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New Sacramento business owners take leap in risky time

Published: Tuesday, Jan. 13, 2009 - 12:00 am | Page 7B

Side-by-side on a stretch of Sacramento's E Street sit two vastly different businesses with something encouraging in common: They're opening.

Opening a business always carries risks, especially in rugged economic times, but Grateful Dog, a day care for dogs, and the Scoot Shop, a scooter shop, are confident they can fly.

"It's definitely unnerving, but I think it's a strong choice," said Robert Espinosa, who, with his wife Tammy Zimmer, owns Grateful Dog day care and boarding at 17th and E streets.

"We had a good business plan, good research. That kept us positive, telling us that this is going to work," he said. Though the retail portion of the business is open now, the boarding section is set to to open in mid-February.

Rebekah Spurgeon, who, with husband, Theron, opened the Scoot Shop in December in a renovated auto repair garage, also sees opportunity amid today's economic struggles.

The Spurgeons say they wanted to create a resource for the city's scootering community but also target a newer commuter – the loft dweller and the urban resident searching for a more fuel-friendly way to get across town.

"The whole idea behind riding a scooter is lifestyle and (making) a practical choice. Especially with the downturn in the economy, people are looking for economical choices," Rebekah Spurgeon said.

Andy Rosten, who owns the building that houses the Scoot Shop and Grateful Dog, said he was convinced that both could make a go of it in a down economy after hearing their business proposals.

"Both are unique to downtown," said Rosten, who owns a general contracting company.

Grateful Dog is leasing 8,000 square feet from Rosten for $5,100 a month, or about 64 cents per square foot. The Scoot Shop has about 6,300 square feet of space for $3,150 monthly, or 50 cents a square foot.

The two stores add to the neighborhood's retail mix. Next door is Midtown Furniture Gallery and a Midas auto shop.

Inside the Scoot Shop, rows of gleaming scooters face each other on the cement floor, from retro-looking Vespas to sleek models from Taiwanese manufacturer SYM, whose prices begin at $2,300.

The couple had hopes of owning a business after Theron, now a captain in the Army reserve, separated from active duty.

Theron's uncle, who owns scooter dealerships in Michigan, planted the seed a couple of years ago while the couple were stationed in Colorado. The idea began to grow when they returned to Sacramento, where Rebekah was born.

"We looked at different cities and markets – Denver, Minneapolis – and they had scooter dealerships. But there wasn't one in midtown" Sacramento, Theron said.

Concern over higher gas prices have helped boost scooter sales nationwide. Several stores in the Sacramento area sell the vehicles, which can get as much as 100 miles per gallon or more. Hot Italian, a cafe and clothing store opening soon at 16th and Q streets, plans to sell vintage Vespas.

At Grateful Dog, crews are putting finishing touches on a spacious boarding facility behind the retail floor.

"We really wanted (to be in) midtown," said Espinosa, who has managed and owned similar boarding businesses in the Bay Area and Sacramento.

Espinosa will offer cage-free boarding and play areas, private kennels and even small suites for dogs. Rates run from $30 for day care to more for overnight boarding.

The Espinosas believe Grateful Dog is the only facility like it in midtown, though Wag Hotels, which bills itself as a luxury pet hotel that also offers boarding and doggie day care, has a nearby location in West Sacramento.

Espinosa declined to say how much the couple has invested in the business but said they turned real estate and other investments into start-up capital and a rainy-day fund.

"This is just me and my wife, so it's been challenging, but we were approved (by the city) last month, so we're on the road," Espinosa said.

They have one more goal: to move to the neighborhood once the business is up and running.

"We wanted to work for ourselves, live in the community and work in the community," Espinosa said.


Call The Bee's Darrell Smith, (916) 321-1040.


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