Elevating employees from dependents to mini-partners is one of the practices that define this new generation of entrepreneurs. ““Microsoft Millionaires,’’ a title once reserved for the software giant’s successful geeks, has almost become a generic term for employees who have grown rich with their companies. With Marcus and Blank, the idea that they are giving hardworking folk a shot at the American dream is more than just rhetoric, it is practically a religion. ““A lot of the people who have made the most money with us don’t have advanced degrees,’’ boasts Blank, ““but we’ve given them a chance to earn through hard work a way of life that they never imagined they could have.’’ Adds Marcus with proselytizing zeal, ““We should be a model for the free-enterprise system.''
Marcus and Blank’s affection for the common man no doubt stems from the fact that until not long ago they were pretty common themselves. Fired from their jobs at Handy Dan, a West Coast hardware chain, the middle-aged executives had a vision for a warehouse-size home-improvement store, but they were so broke that they couldn’t afford merchandise to fill their shelves. (They ended up disguising a lack of inventory by stacking empty paint cans behind full ones.) The phenomenal rise of their stock - $1,000 invested in 1982 would be worth $152,000 today - means that each of the men is now worth well over a half-billion dollars.
The money allows for a very opulent lifestyle, but still it rings true when the executives insist that amassing an ever-larger fortune isn’t what drives them. At 68, company chairman Marcus still spends much of the year on the road, training staff, and Blank, 54, chief executive officer, frequently works 12-hour days. They are motivated by emotional attachment more than anything else, they say. Home Depot, explains Blank, ““is our legacy, our baby.''
As if to emphasize how unimportant the money really is, both men say they plan to give the vast majority of their wealth away to foundations instead of passing it on to their offspring. Blank’s money will go to, among other things, programs aimed at helping women improve their self- esteem - his personal answer, perhaps, to the female employees who have sued Home Depot in recent years claiming they weren’t offered the same opportunities to advance as men. Marcus’s money will go to those who ““can’t help themselves,’’ like severely physically and mentally handicapped children. Meanwhile, jobs at Home Depot will remain available, both say, for those who can help themselves and dream of making a fortune doing it.
title: “There S No Place Like Home” ShowToc: true date: “2022-12-19” author: “Mary Faircloth”
People are buying these secondary homes because, well, they can. More and more countries now allow foreigners to own property at relatively affordable prices. Elsewhere, developers now step in to take care of the legalities. And though experts say that most people still buy real estate within a four-hour ride of their primary residence, improved travel routes have opened up new markets, especially in Asia and Europe. Among the hottest new destinations: Sri Lanka, Spain and Hungary. Earlier this year Scott Sanders, developer of the Terrace Downs community near Christchurch, New Zealand, sold nine properties over three days to Hong Kong residents. “People are investing in this lifestyle,” he says.
Families with young children have helped drive the boom. After all, vacationing in a different luxury suite every year can really put a dent in the college fund. Henrietta Wheatman and her husband, U.K. residents with three kids under 12, own holiday houses in France, Italy and Thailand. Wheatman, a former stockbroker, raves about how much more relaxing it is to stay in a place of one’s own. She also believes it gives her kids a deeper understanding of other cultures; her son Hugo, 11, plays with Thai kids his age when they spend breaks in their Phuket villa. “All this travel is brilliant for the children,” she says.
Buying a vacation home can also be a good investment. Wheatman earned $50,000 last year by renting out her Thai villa, more than offsetting the $24,000 it costs annually to maintain and staff the house. All her vacation homes have appreciated up to 100 percent, and practically pay for themselves through rentals brought in by referrals and Web sites.
But be warned: buying holiday homes can be addictive. A few weeks ago, Hong Kong resident Andre Meyer bought his fourth vacation place at Terrace Downs. A golfing enthusiast, the entrepreneur also owns property elsewhere in New Zealand and South Africa, all close to golf courses. Short-term lets give him a good return. “I wouldn’t do it [if it meant throwing] money away,” he says. The chance to work on his golf game doesn’t hurt, either.
