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Sunnking's Duane Beckett - "Entrepreneur Creates Opportunity Out Of The Scrap Heap"

Duane Beckett, Sunnking's founder, president, and CEO, is in his 11th year with his business. Beckett initially did not envision himself to be in the scrap metal business, but it ended up being one of the best things to ever happen to him. Read on to see the interview that Beckett recently had with the Rochester Business Journal.

 

Duane Beckett will be the first to say he did not envision a career for himself in the scrap metal business.

But in his 11th year as founder, president and CEO of Brockport-based Sunnking Inc., he is pleased with his professional route. He entered the business through a part-time job at a scrap yard as a student. He would later manage a scrap disposal facility.
 
"I thought it was the end of my life," he says of his early years in the industry. "But, actually, it's one of the best things that ever happened because it spawned this company."
 
Beckett, 42, founded Sunnking in 2000. The firm is an electronics recycling, data destruction and asset management company that specializes in collecting, refurbishing, reselling and recycling electronic products from residential and commercial suppliers throughout New York and other parts of the East Coast.
 
The company employs some 50 workers. In addition to its Brockport base, Sunnking has facilities in Buffalo and in Rochester at the Monroe County Transfer Station.
 
Sunnking may be Beckett's baby, but it was not something he hoped to parent in his youth.
 
A graduate of Byron-Bergen High School in Genesee County, Beckett took some college courses but decided to get a job instead of continuing toward his degree.
 
He bounced around from job to job-door-to-door sales to scuba diving instruction in the Florida Keys-before landing one at Eastman Kodak Co.'s scrap facility. When Kodak decided to outsource the operation to Integrated Recycling Services Co. in the 1990s, Beckett stayed on, continuing to manage the site.
 
The job on the Kodak site taught Beckett a great deal about the industry, including types of scrap metals and commodity values, and paved the way for the creation of Sunnking.
 
During his time at Kodak, the company was scrapping a lot of electronic equipment. Little was known then about recycling that type of material properly.
 
Beckett saw an opportunity.
 
He formed Sunnking as a reseller of electronic equipment. Beckett chose the name because, during the firm's infancy, it was selling a lot of Sun Microsystems equipment.
 
As equipment was bought and sold, however, the firm came to a point where it had amassed equipment with no value.

Scrap industry
So Beckett turned to his previous decade in the scrap metal industry. He bought some equipment and began recycling the obsolete equipment as scrap metal.
 
Beckett's experience, combined with Sunnking's sales channels, has helped the firm succeed, he says. Initially located in Gates, the venture started to generate revenue that led to more business and the need for additional employees.
 
Today Sunnking is based in 90,000 square feet of space in a warehouse on the campus of Allied Frozen Storage Inc. Inside are boxes upon boxes of items waiting to be recycled, including computers and televisions. The company also has a retail store in Brockport.
 
Sunnking's customers are predominantly other businesses in the Northeast. The firm fills up tractor-trailers full of electronic recycling, which is not limited to computers, Beckett says. Other such equipment can commonly be found in the automotive, industrial, telecommunications and medical industries.
 
While the business was fairly flat during the recession, Beckett said sales have increased at Sunnking over the past two years.
 
Company leaders declined to disclose financial information but said the firm is projecting a minimum 60 percent increase in material recycled this year over last.
 
A new recycling law that went on the books this year, coupled with ongoing public education on electronics recycling, is driving that volume increase, says Michelle Read, chief financial officer.
 
Read, who has been working at Sunnking since 2001, praises Beckett's leadership.
 
"Duane's initial approach of reselling used electronic equipment is what launched the immediate success of Sunnking," she says. "This idea, coupled with his unique ability to find value in various materials and his willingness to take a risk, has propelled this company into the successful organization it is today."
 
Under Beckett's leadership, Read adds, Sunnking has developed into a company with valuable workers who are integral to the firm's success.
 
"We strive to create a fun atmosphere and a company that's easy to work for," she says.
 
Sunnking is also a bit of a family affair. Beckett's mother, Teddy-who, like his late father, Bill, was once a Kodak employee-works at Sunnking.
 
Beckett appears low-key and laid-back. His tiny office off the corner of a conference room with few, if any, personal items could belong to any employee. He largely relies on his workforce to complete their tasks and touches base with his top-level managers, who get together for weekly meetings.
 
Beckett, who enjoys being his own boss, prefers to take what he calls a "bird's-eye view" of the business, rather than getting in the trenches.
 
"My management style is very hands-off," he says. "If you don't hear from me, that's a good thing. If I need to approach you and talk about your role (at the company), then we're probably looking at a problem."

Growth industry
Sunnking is in a growth industry, and though Rochester is home to three of the largest electronics recyclers in the state,

Beckett believes there is enough work to spread around.
 
"A lot of what needs to be recycled is currently going into the waste stream," Beckett says of electronic recyclables. "There's a huge volume of material that is still relatively hard to get to."
 
One area where he sees a huge growth opportunity is in the residential marketplace. To help, Sunnking has been conducting recycling events throughout the region where people can drop off their electronic recyclables.
 
He also is looking to expand Sunnking's geographic area, noting there are now 25 states with residential electronic recycling laws.
 
The best part of the job for Beckett is the positive environmental impact Sunnking is having by recycling electronic equipment. Another plus is his employees.
 
"We have built a great company with a great culture," he says, describing the environment as casual and relaxed. "I'm a little laid-back, and that may rub off on others here."
 
What he does not like is the unheated warehouse in the winter.
 
"It's just cold," he says with a laugh.
 
While the cold may be tough, the most challenging part of the job for Beckett is changing the public's perception when it comes to recycling electronics.
 
"Recycling (electronics) properly is not cheap, and it's not easy," he says.
 
He is also focused on health and safety initiatives on the job.
 
Sunnking recently achieved the Environmental Protection Agency's Responsible Recycling certification, known as R2 certification. Sunnking is the first recycling facility in the state to achieve the designation.
 
Beckett says the voluntary certification can be compared with more widely publicized ISO standards for manufacturers, but it is specific to the electronics recycling industry. It sets requirements related to environmental, health, safety and security aspects of recycling electronics and equipment.
 
The company strives for zero waste production through its electronics recycling practices, and achieving the certification supports the effort, Beckett says.
 
Sunnking's R2 certification coincided with the state's Electronic Equipment Recycling and Reuse Act. It went into effect April 1 and requires manufacturers of electronic equipment to accept electronic waste for collection, handling, recycling or reuse. Such electronic equipment includes computers, televisions and "small electronic equipment" such as portable digital music players.
 
Beckett is bullish on the new law, to a degree. While he would like to see it have "more teeth," it is a good step in keeping toxic materials out of landfills and could lead to more jobs due to the increase in electronics recycling rates.

Off the job
When not working, Beckett most enjoys the region's warmer months because that is when he can get his 36-foot motorboat in the water. He and other members of a boating group often motor along Lake Ontario and take trips to Montreal, Toronto and the Thousand Islands.
 
Beckett, a bachelor who lives in Brockport, also enjoys cooking. He often tries new dishes, which can range from gourmet meals to experimental dishes.
 
Jeffrey Mullen of Batavia-based Matteo & Mullen CPAs has known Beckett for the past 12 years. He also is Sunnking's CPA.
 
He describes Beckett as a visionary in his field, who has grown his business each year.
 
"He seems to be one step ahead of everyone else," Mullen says, adding that Beckett's likeability is a factor in his success. "Once you meet Duane, you instantly like him. He's a joy to be around."
 
Moving forward, Beckett sees a number of ways to grow Sunnking. He is also open to whatever professional challenge comes next, whether in his current industry or elsewhere.
 
"I still don't know what I want to be," he says.

Duane Beckett
Position: president and CEO, Sunnking Inc.
Age: 42
Family: Single
Residence: Brockport
Activities: Boating, cooking
Quote: "My management style is very hands-off. If you don't hear from me, that's a good thing."

Source: Rochester Business Journal