Polishing his family's retail gem

After clashing with dad, Craig Husar returned, charted future course

Rachel McCormick-Jennings

In 1991, Craig Husar left his family's Brookfield jewelry business and moved to California after he and his father, Lyle, clashed on business ideas.  The younger Husar sought to gain his own experiences, including treasure-hunting dives and touring with shipwreck artifacts. He also finished school at the Gemological Institute of America in Carlsbad, Calif., and worked in jewelry boutiques in Beverly Hills, Calif.

"I wanted changes that my father, being experienced, knew weren't right for the business," Craig recalls. "It was a matter of different business opinions."

Craig Husar returned to metro Milwaukee in 1998 to join the family business, Lyle Husar Designs. Craig, 38, is in line to be his father's predecessor in five years when Lyle Husar, 64, retires. The Brookfield Husar business has no connection to Husar's House of Fine Diamonds in West Bend.

Craig envisioned injecting new life into his father's business, 17395 W. Blue Mound Road, by introducing first-class designer brands. To do so required long meetings to recruit designers. Meanwhile, Lyle and Craig formed a partnership that involved trust.

One of the toughest challenges for a family-owned business is accepting change, Craig said. While Craig was away, he and his father frequently shared ideas on how to improve the business. Craig moved back to Wisconsin with the understanding that he would gain the freedom to begin implementing changes at the retailer.  

Believing in one another was a natural progression for the father and son, they say. Craig got the experience he needed to believe in himself and his newfound ideas and Lyle began to listen more openly.

"It's difficult growing up in a family business and not knowing if your success is based solely on your family's past success," Craig Husar said. "I felt going to California would prove to myself that I could be a success on my own."

The biggest issue family businesses face is the transition from generation to generation because there is no separation of family and business issues, said Father Gregory Konz, co-director of the Kohler Center for Entrepreneurshipat Marquette University. A key issue is which next-generation family member will take over and what the first generation's role will be after that.

Well-planned transitions enable family businesses to succeed instead of folding, Konz said. Forty percent of business reach the second generation and 10 percent make it to the third.

Craig worked as an instructor at the Gemological Institute for two years before joining now-deceased treasure hunter Mel Fisher in Key West, Fla., on diving expeditions. The younger Husar traveled to 85 cities showcasing recovered artifacts from a shipwreck on a tour sponsored by family-owned jewelry stores. In between traveling, Craig worked in high-end jewelry boutiques in Beverly Hills, Calif.

"Having traveled, I had a grand vision of what I wanted to see at Husar Designs. It involved a complete makeover from the size and scale of the store to the types of products," Craig said.

Lyle Husar founded the business in 1968 as a watch and clock store called Husar's Tic Tok Shop. In 1980, he expanded into diamonds and gemstones. The store moved from a 400-square-foot space on Pilgrim Road in Brookfield to a 4,000-square-foot store in 1989 with 12 employees.

Lyle's wife, Alice, 62, is co-owner and chief financial officer and their daughter, Christine Husar-Anderson, 35, manages the custom couture jewelry department.

Featuring diamonds

Before he returned, Craig said, the store lacked a focus on any particular brand of diamonds and watches. His largest contribution to Husar Designs has been featuring diamonds and customizing services. Diamonds and colored gemstones now represent the 70 percent of Husar Designs' sales.

The family financed the cost to upgrade the store's inventory but it was a gradual process.

They began with Swiss brand watches and also included those with international recognition like Rado Watch. Next came exclusive bridal rings from Tacori and more recently, Hearts on Fire and Lazare diamonds. Working collectively with Lyle Husar, Craig has brought 46 designers into the store.

"It was like a chain reaction. Designers saw we were carrying specific brands and it caused them to pursue us," Craig Husar said.

Craig Husar also brought a computerized design program, Gemvision, to the store which enabled Husar Designs to create custom jewelry.

Revenue has increased 20 percent in each of the past five years. The Husars attribute the increased sales to their location on the busy Blue Mound Road corridor, word of mouth from happy customers, and an educated staff's ability to assist customers.

Introducing new products to customers is a risk. Before revamping the product offerings, the Husars surveyed customers to determine what consumers wanted and studied national trends.

"If you're a small business and invest hundreds of thousands of dollars and nothing sells then you lose," Craig Husar said. "We've been fortunate that we haven't experienced that."

Lyle Husar Designs

Founded: 1968
Address: 17395 W. Blue Mound Road, Brookfield
Web Site: www.lylehusardesigns.com
Owners: Lyle and Alice Husar
Employees: 12
Annual revenue: Declined to disclose
Business plan: Sell high-quality diamonds, jewelry and watches; customize jewelry pieces; and repair jewelry
Growth plan: Improve custom designs and abilities as craft people to attract more customers to the existing location

Lessons Learned

What has been your toughest business decision? "To overcome my fear of public speaking, I accepted an instructor position at the Gemological Institute of America and lectured to thousands of jewelry industry professionals. To overcome my fear of water, I became certified in scuba and worked as an underwater archaeologist in the Florida Keys."

What's the biggest risk you've taken so far? "Leaving the world of underwater exploration to return to Wisconsin. After being in Santa Monica, Calif., and Key West, Fla., for seven years, my risk was giving up everything I had established there to make a better life here. It was a challenge because of the lifestyle change. Many of the styles and trends just didn't work in the Midwest. It took quite some time to understand what Milwaukeans wanted."

Who is your mentor/source of support in a crisis? "My father's legacy as a businessman, creative thinker, master watchmaker and goldsmith has inspired me to follow in his footsteps. He is the guiding force behind our tremendous growth. My mother's ability to understand and listen to the needs of the customers. Drawing upon her patience and introspective nature, I have overcome some of the most difficult challenges in my life. I also was inspired by treasure hunter Mel Fisher, whom I worked with for four years."

What's your business philosophy? "Be passionate about your business and personal life. Your personal energy and enthusiasm is often the only factor that causes others to seek you out."

What are the goals you have yet to achieve? "Improving our designs, improving our abilities as craft people. It all involves improving upon what we're already doing. Not making any major changes but continuing looking at each item of the business and making it more consumer friendly. To break down the barrier between the perception that custom jewelry is unobtainable and that small business can't be highly competitive with multi-chain business."

Responses from Craig Husar