Company History
M&D Supply was founded in 1967 by Mary Mitchell, E. W. McCown, and Jack Dyson. The company started out as a small single unit supply store. Today the third generation of the Dyson family own and actively manage the business. The company has grown from its humble start to now employing more than one-hundred people in three locations.
Changing Times
Since its founding, M&D Supply has faced numerous challenges. The three partners decided that the company's merchandise should reflect a farm supply orientation when they opened it in 1967. In the first few years of operation, M&D showed only marginal profits, reflecting a decline in the agricultural sector. Later, the partners decided to place more emphasis on hardware, and in 1970, the store became a member of Ace Hardware Corporation.
Dyson, the President and managing partner, was diagnosed with bladder cancer in the fall of 1971. Less than three months later, a fire damaged the store's contents to the extent that the entire inventory had to be liquidated. After the fire, his partners declined to invest in the re-opening of the business. Thus, he was faced with battling cancer and trying to finance the rebuilding of M&D Supply on his own. Despite this adversity, a vision drove him: he was determined to own the best hardware company in Southeast Texas!
Between visits to St. Luke's Hospital, he hit the streets in search of a financial institution that would provide a loan. For some time, his efforts were unsuccessful. He had just about given up on conventional means of financing and was looking for private investors when his luck changed. He received a clean bill of health from his doctors, and a local banker, Gerald Clark, helped him secure an SBA loan.
During the spring of 1972, Dyson began having stomach trouble, and his doctor scheduled him for routine ulcer surgery. Unfortunately, the surgery revealed that his cancer had returned and was inoperable. He had only months to live. Nevertheless, in June of 1972, M&D celebrated its grand re-opening. His death five months later left his wife, Bernice, with a fledgling business to run and a sizable note to pay.
Through grit and determination, she managed to care for a terminally ill husband, cope with his loss, and successfully run a business. Harry Christian, hired by Dyson just before the fire, was an expert in operations. Good management and favorable local economic conditions created by rising oil prices supported double digit sales increases for ten straight years.
In 1979, the second generation of the Dysons emerged when Jeff Dyson became general manager. By 1982, the company's facility was not sufficient to support continually growing sales, so the decision was made to more than double the building's size from 10,000 to 25,000 square feet. The expansion depleted cash reserves, but positioned the business for anticipated sales growth.
Just after the expansion was completed local economic conditions deteriorated. Oil prices collapsed, and petrochemical plants began aggressive layoffs as the industry began to capitalize and set up overseas. A national home center chain, Sutherland Lumber, opened in the Beaumont market.
In 1985, oil prices collapsed again. Simultaneously, the state announced the beginning of a three-year road construction project for College Street. Another chain, Handy Dan, opened a warehouse home center store in the Beaumont market. Sales fell dramatically.
The mid 80's were tough financial times for the business. It took teamwork and sacrifice to get through. Finally, in 1988, sales began to rebound. The increase in sales enabled the company to make investments in inventory, automation, and physical plant. The business rhythm enjoyed in the 70's began to return.
Increasing Competition
During the 80's and 90's, independent hardware companies across the nation came under the most intense competitive pressure in their history. M&D and the Southeast Texas market were no exception. The proliferation of chain stores, mostly public companies, threatened our existence.
In 1993, Sutherland Lumber Company located a 100,000 square foot facility across the street from our College location. In the fall of 1995, Lowe's Inc. constructed a 150,000 sq. ft. store. In addition, Sutherlands opened another 100,000 square foot facility in Nederland, Texas and The Home Depot opened a 150,000 sq. ft. store in November 1997.
To combat the "Big Box" invasion, in 1993 the company engaged in an expansion project. The project involved moving the garden center operation into some formerly leased property and joining it with the hardware store by building a corridor between two buildings. It increased the size of the retail area by 10,000 square feet, and provided the extra space needed to re-merchandise the store, add inventory, put in a rental department, and expand the garden center. In 1995 the company again re-merchandised the store with new fixtures and additional inventory. In 1997 M&D built an express drive-through lumberyard. The last few years of the 90s were focused on growing the commercial / industrial business. The company hired an inside and outside sales team, created a catalog, and purchased trucks for our delivery system. They also added additional product lines and once again expanded the facility by approximately 7000 square feet.
In 2000, M&D Supply formed a joint venture company with Ace Hardware Corp for the purpose of multi-store expansion. Our second store, located in Vidor, opened in April of 2001 and our third, located in Lumberton, opened in November of 2004.
Now and Into the Future
Today, M&D Supply is owned and operated by third generation entrepreneur Scott Hatcher. Although the company may have dramatically changed over the years, its goals remain the same: provide quality products, knowledgeable staff, and timely service. M&D Supply…where good help is easy to find.
