The economic downturn that crippled so many industries in Southwestern Ontario just may have been a turning point in the growth of Attica Manufacturing Inc.

The Dundas St. East business, owned by Andy Mavrokefalos, is a machine shop just west of Highbury Ave. that creates new parts and products for area industries, exactly the kind of business that gets hammered in a recession when industries aren’t buying.

Though sales plummeted at Attica in 2009 and 2010, owner Mavrokefalos used that time to invest in new equipment and technology, spending cash and taking on debt.

“We put more money in during the recession than we ever did in the history of the company. We did take on debt to do it; debt management was very important to us,” he said. “If we didn’t buy the machines, I don’t know where we would be right now. It increased our depth with existing customers, and widened (products they could offer) those companies.”

The investment enabled Attica to outbid, by as much as 50%, competitors going after the same business, including some Asian bidders, Mavrokefalos said.

That is the power of investing in a down economy, so a business can be better positioned for recovery when the economy shows signs of stability and growth. Now Attica is enjoying its best sales growth, year over year, in its nine-year history.

“We have taken our punishment and now this year looks very healthy. (The year) 2011 was a good year for us,” Mavrokefalos said.

Sales are up about 25% in the last two years, he said.

If Mavrokefalos had to pinpoint a reason, for Attica doing well in tough times, he looks no further than across the shop floor in his machine shop.

There, his father, Gerry (Gerassimo), 73, still comes to work every day, where he runs his own business C&M Machine that shares the business space with Attica.

“He can outrun a lot of 20-year-olds for sure,” Mavrokefalos says, laughing.

“My father didn’t give me a platform, it was more like a springboard. Today, he advises me still. He has been through so much, so many downturns, recessions, there is nothing like having a mentor beside me always to guide me through rough patches.”

C&M was where Mavrokefalos got his start at 14, cleaning toilets and machines and sweeping floors. He worked his way up until he branched out with his own business, Attica, in 2002. But to this day the two businesses are in the same building.

Mavrokefalos also is quick to praise his mother Athena. She worked for years as a hairdresser before having children. After staying home with them, she began working in administration at the plant.

Working at his father’s business steadily since he was 14, Mavrokefalos graduated from Westminster secondary school at 17 and enrolled at Fanshawe College.

He studied machining. After graduating in 1991, he returned to his father’s business.

“The shop was small. We only had about six people, but we had a lot of work - Kellogg, Ault Dairies, Labatt and we did work for Cami,” Mavrokefalos said.

In 1997, C&M bought its first CNC machine. In the world of machine shops, the machine is the Cadillac of technology because it lathes and machines parts faster and for less money. But the machines themselves are expensive.

“My dad knew I was itching to try (CNC machines), but it really helped the rest of the shop, too. We were able to produce a lot more than on conventional equipment,” Mavrokefalos said.

It was soon after that investment he got a call from another machine shop, looking for a shop with CNC techhnology that could help it fill orders. Mavrokefalos took on the work. They began making thousands of parts, a tall order for a small shop.

“All of a sudden I got this bug, this burn, trying to find more work, more production and machining . . . Within a year we had a second CNC machine, going from dozens of parts to thousands, from using equipment worth $18,000 to $90,000 and another year later, $140,000.”

It was soon after that Mavrokefalos struck out on his own, under the wings of his father, forming Attica. C&M provided parts for equipment and machinery, to keep its operation running, whereas Attica makes parts to sell to other industries, a supplier.

Today, C&M is Attica’s biggest supplier, meaning father and son still work closely, and that suits Mavrokefalos just fine.

“My father was not like a lot of Greek dads. He was very patient. Every time I made a mistake the first question he asked is ‘What did you learn.’ It’s incredible what that does to a kid’s confidence, to take a risk and not be afraid to get your hand slapped.”

Mavrokefalos’ strategy to expanding is the “snowshoe effect,” creating as wide a footprint as possible to diversify his business.

The biggest challenge this year could be finding a new home. Attica is at full capacity in its 24,000-square-foot shop and is looking for a 50,000-square-foot plant, he said.

Attica is nominated this year in the quality category in the London Business Achievement Awards. The business was also nominated in 2009, being named a finalist.

“It is an honour,” said Mavrokefalos of the nomination.

Mavrokefalos’ voice rises with pride about visiting Kefalonia in the northwest of Greece, the island his parents hail from. His aunts showed him drawings his father did as a young man in Greece attending technical school.

“He never told me how well he did, not a word. He won all these awards. He entered in national technical drawing competitions. I didn’t know any of this. I was amazed. He is so humble.”

Mavrokefalos’ father never pushed into the field, saying only he needed help in the shop, but Mavrokefalos grew to love the work.

“My dad wanted to give me my wings and I felt ready,” he said of opening his own company. “He runs a tight shop and it has seen him through very challenging times. I have to rely on his experience.

“I can make all the decisions about Attica, but I don’t. I look to my dad and he has to be on board. He does not have one share (in Attica) but I have tremendous respect for my father. I am his son, first.”

http://www.lfpress.com/money/businessmonday/2012/01/13/19242526.html