Q&A with The Casa Group's Founder, Michael Rattacasa

Interviewer:

How did The Casa Group form?

Michael:

I've spent my entire career in the industry, starting as a partner with one firm and then transitioning to a larger corporate organization. Over the years, I've gathered valuable insights from both the positive and negative aspects of those experiences. When I founded The Casa Group, I was determined to create a construction consulting firm that could offer comprehensive solutions to our clients. Drawing from my 15 years in the industry, I embraced the strengths and eliminated the weaknesses.

My goal was to establish a company with a solid foundation, incorporating the checks and balances and internal processes typical of a large corporation. At the same time, I wanted our organization to remain highly adaptable. This agility would enable us to provide our clients with a range of services across multiple sectors while tailoring our approach to meet each client's unique needs.

We aimed to stand out from our competitors who often offer a one-size-fits-all solution. Instead, we wanted to give our clients the opportunity to tell us what they need, and we would be the company that could confidently respond with a resounding "yes."

Interviewer:

What is your approach to the business model and company vision of The Casa Group??

Michael:

I believe that an ideal business launch should be driven by a vision, a concept that I've carried with me since a young age, influenced by my grandfather's wisdom. He once told me that “In life, we don't win and lose; we win and learn.” This perspective guided me in shaping my vision for launching a consulting firm. It entailed embracing both the positive and negative experiences as valuable lessons, examples of what to avoid, or how to time things appropriately.

The goal was to understand how to apply these life experiences to the business world and vice versa, finding practical applications for these lessons. That vision led me to create the consulting firm I envisioned from scratch, one that could achieve my big goals. In essence, I aimed to build a company that could encompass all of? these insights and principles.

Interviewer:

In your experience, how have your relationships and connections with clients positively influenced the way you approach projects?

Michael:

Many of our clients have been associated with me or our firm for a considerable time. Some have known me personally for years, while others have a history of working with our organization. In the world of consulting, working alongside individuals for two decades can foster deep connections that go beyond mere transactions. These relationships evolve into friendships, with a deeper understanding of each other's professional journeys.

Our long-term clients have witnessed my career's various phases, and they've had the opportunity to observe the evolution of our firm. Their high level of confidence in both our team and the individuals working within our company has been instrumental in realizing our company's vision. This unwavering trust in our ability to execute our vision has empowered us to scale and accelerate our growth significantly.

We didn't start from scratch with zero clients and the arduous task of cold calling and door-knocking. Instead, we had 15 years of relationships and trust, providing a solid foundation for our expansion.

Interviewer:

What percentage of clients from your first 15 years in the business are you carrying forward with The Casa Group?

Michael:

Since the peak of my career as an executive, which was around 2010, I've maintained enduring relationships with about 85% of our clients. What's remarkable is that these relationships are mutually beneficial. I'm just as eager to work with them as they are with us. The core of our business revolves around the remarkable individuals at The Casa Group, with Vinnie playing a central role. I often find myself in the spotlight, known by name and experience. However, I recognize that it's the collective effort of our team that drives our firm's accomplishments.

It's important to stress that none of our achievements would be possible without the dedication and contributions of every member here. Building and accelerating this success story requires securing individuals like Vinnie, someone who's willing to stand by your side and say, "I've got your back. Let's forge ahead together."

Interviewer:

Tell us a little bit of the story about bringing Vinnie on to The Casa Group team.

Michael:

Vinnie joined my team during his college years in the early 2020s. His introduction came through a family friend's recommendation, and he wasn't seeking significant compensation; he simply wanted an internship to explore career possibilities beyond manual labor or warehouse work. Vinnie possesses exceptional talent, impressive versatility, and a sharp intellect. When I saw Vinnie, it felt like I was looking at a younger version of myself, approximately eight years prior. I instantly recognized that he could be the individual I had been seeking, someone who could fill the role of my right-hand person.

We share a deep bond, akin to family, which fosters a high level of openness among us. The similarity between Vinnie and me is almost comical, and our mutual reliance on each other is a driving force behind our shared business success.

Interviewer:

What future do you see for The Casa Group for the next five years? Where are things going in terms of services, verticals, and people growth??

Michael:

I'm genuinely content with our current position. We've been at this for a significant amount of time, exploring various marketing strategies, including our presence on LinkedIn and other promotional efforts. However, I've always been inclined to steer clear of elaborate marketing campaigns and avoid participation in expensive conferences, which I often view as a misallocation of resources. Instead, I believe in the power of personal connections, where spending dedicated and focused time meeting one-on-one is more effective than distracted handshakes and elevator pitches at a conference.

My aspiration is for The Casa Group to become a household name in our industry. As we continue to scale and grow, one crucial principle for me is to ensure that no single client contributes more than 8% of our business. Relying on a client for 60% of our business is unsustainable and risky. I aim to maintain this 8% threshold, which ensures our resilience. With this approach, we won't face severe consequences if we lose a client, as we can quickly backfill the gap. My vision is that when somebody thinks “construction consulting in New York City”, I want them to think “The Casa Group.”

Interviewer:

How do you plan to get to the next level?

Michael:

To reach the next level, our path forward is clear: we must maintain our unwavering commitment to executing at the highest level, just as we've consistently done. Building a dynasty, whether in sports or business, starts with winning one game, then one championship, and continues to multiply from there. The key is to execute each task with exceptional efficiency, precision, and effectiveness.

No matter the project's size or duration, whether it's a one-day task or a multi-year engagement with a dedicated team, our approach remains the same. Every project, be it a conference call to review a proposed office or apartment renovation, or a massive 10-million-square-foot development, deserves our utmost dedication. We execute each of them as if it is the one and only project we have.

Interviewer:

When I talk to your staff, one thing that continues to come up is that you take the work personally. When things go well, you’re extremely proud; when things go less than expected, you’re not happy. How does this play into day-to-day work??

Michael:

My company bears my name, much like my grandfather's legacy. In fact, the last item he ever wore before his passing was a “The Casa Group” hat, which holds special significance to me. My family doesn't have a trademark product or service; it's our clients who make everything possible. I owe them a debt of gratitude, and I'm acutely aware of their crucial role in our journey. Their trust and the opportunities they provide are not lost on me; I value and appreciate them deeply.

In the realm of consulting, there are no salesmen or slick marketing tactics. People follow people, and clients choose to work with us because they're paying for the commitment we bring from top to bottom, from the initial sales pitch to the final execution. We don't operate on the principle of selling an empty promise and then leaving clients to grapple with operational issues. Our business is built on transparency, trust, and accountability. When I make a commitment, whether through a handshake or a signed contract, there's no doubt in my mind that it will be fulfilled without question.

Interviewer:

Coming out of the pandemic, what do you see as the opportunities or concerns?

Michael:

This is a challenging period, especially given the current political climate. New York City is facing an oversaturation of commercial office space and a shortage of available housing, and regulators are grappling with how to address this complex issue. The construction industry has essentially hit a standstill, and the high cost of money, along with elevated market caps, is making it difficult for people to secure investments or loans. Furthermore, the absence of state tax abatements has created a puzzling situation where commercial office owners are struggling to reposition or rezone sections of New York City for residential use.

Despite the chaos in the real estate market, property owners still have maintenance needs and are trying to navigate complex financial situations, including refinancing. They also face repair and renovation requirements within their buildings. In such circumstances, they often turn to us because they want to avoid the hassle of dealing with these issues themselves. So, even when we're not working on major projects, we find ourselves handling a significant volume of smaller tasks that collectively equate to the magnitude of our larger projects. This trend is likely to persist, given the desire of property owners to offload these responsibilities onto us.

Interviewer:

Have you had to make any pivots to the business model?

Michael:

The construction industry is currently experiencing a shift in project types due to various factors, including political considerations. While there may be fewer new skyscraper projects underway, there is a significant demand for other types of construction work. Rather than focusing solely on towering structures with hundreds of stories, there's a noteworthy emphasis on addressing existing conditions in buildings, rectifying violations, and legalizing old permits.

This presents a positive opportunity for our construction company, as we are actively engaged in projects aimed at resolving these issues. Many property owners are seeking assistance to refurbish commercial properties, rezone them for residential purposes, and secure the necessary loans for these transformations. To obtain financing from banks, it's crucial to ensure that there are no violations or open permits associated with the buildings.

In essence, while the landscape may be different with fewer skyscrapers on the horizon, there is a vibrant market for revitalizing and repurposing existing structures. Our commitment to addressing these challenges positions us as a valuable partner for property owners looking to navigate the complexities of renovations, rezoning, and securing loans for their projects.

Interviewer:

How do you acquire new clients?

Michael:

In our line of work, word of mouth carries the most weight as a marketing tool. When you're dealing with building owners who often share experiences, a recommendation from a mutual connection can be exceptionally powerful.?

An interesting case in point: I received a call from someone who had learned about me through a shared acquaintance. The conversation took an unusual turn as they mentioned that I was reputed to be a bit unconventional. The client sought a partner capable of grasping their project from a holistic perspective and delivering a targeted approach with peripheral options tailored to their ultimate objective.

They had heard of my expertise and wanted my help. This circumstance exemplifies how a reputation can quickly spread and attract new clients. I pride myself on being direct, no-nonsense, and straightforward, and that's precisely what clients can expect when working with me.

Interviewer:

Through the pandemic, your core team has stayed 100% intact. What do you attribute to this nonexistent turnover?

Michael:

Kindness wins, but that doesn't mean we should shy away from difficult conversations. You're absolutely allowed to have those conversations. Personally, I might lean a bit more towards being confrontational than others, and that's just my style. I'm not claiming to be the "take the high road" guy. What I can say is that, at the core, I have a big heart, and I try to communicate without seeking credit or recognition. The loyalty I receive from these people is truly remarkable, and it's not for any reason other than the connections we've built.

Interviewer:

Do you have a specific philosophy or approach you've employed in managing your team that has led to those strong connections?

Michael:

The loyalty I receive from my employees means a lot to me. It's not just about business; it's about being there for them in good and tough times. We all face personal challenges, like family issues and sick children, but I've strived to be not just a business owner, but someone they can rely on in various aspects of life. This, I believe, is the foundation of the strong loyalty I receive.

When I started this business, my goal wasn't solely to make money. It was about providing opportunities for people. Looking back at my entire business journey, right from the inception to BSI, I've learned that to retain your core team, you can't treat them poorly. You have to find ways to handle both the good and bad times and ensure that your core team feels valued and respected. If you want to keep these key people around, alienating them or making them feel unappreciated isn't the way to go. It's about understanding their needs and keeping the bond strong.

Interviewer:

As a CEO in a quickly growing firm, can you share some final thoughts or observations as you look back at the last several years?

Michael:

I'm just thankful for the opportunity to be able to do this. I'm thankful that my employees represent my name and that they understand what I'm trying to do. I'm thankful for the clients for trusting me to do it.

I owe everything to the support system around me. None of this would be possible without the people who are like family to me, and they deserve all of the credit. I don't claim any of it for myself.