What the F... is Brazil? It is an ODD country. The real history of a successful businessman who went bankrupted thanks to his own Country
I have had the chance to live abroad and even then continue to run my business in Brazil. I used to be proud of my country, and that's why I have never even considered the possibility of moving my family to a REAL COUNTRY. I thought Brazil was a real country and I was contributing to leverage it's economy, it's Wealth. I am sorry. For me it's impossible to name Brazil a country right now. I am warning you. This article is my personal opinion and it is heavily bitter.
I didn't come from a rich family. My father was a self made man. I was working for Andersen Consulting (the Accenture's name at the time) in São Paulo, with a promising carrier with 25 years old. I had already my first Post Graduation in Fundação Getúlio Vargas, the best of the Best in Latin America, with an investment of about US$18,000 (too much money for the country and for my family at the time - 1992 - 1995).
I came back home and left all my international intent carrier in São Paulo. My father was ill and had few time of life yet. Some years after he was gone business was doing really well. I have always had a restless spirit. I was married, a small daughter and the will to sell my shares and come back to São Paulo and have the so much international carrier. I attended an Executive MBA - www.onemba.org - the most international Executive Program until today. US$ 130,000 investment, without the traveling and other expends to attend classes in: São Paulo every month (air tickets, lodging, food, etc), Washington, Rotterdam, Gdansk, Monterrey, New Delhi and Hong Kong. Right after OneMBA, I realized how much an executive program had a good influence in my business and personal life. I attended in 2011 a program in Stanford (US$20,000 investment) and in 2012 a program in Harvard (US$ 50,000 investment). My business had as Andy Grove's definition, a Strategic Inflection Point. The point that marks disruption point, for profit reach new Heights or Decline. In our case, was Heights. We drove 7 different companies to under just one umbrella, a Holding Company. All the partners became share holders of Carlos Elias Participações S.A.. We controlled the country's foot and mouth disease vaccine market. We were second largest Pfizer Animal Health (now Zoetis) clients in the world. Every business trip around the world from Dow Agrosciences', BASF's and Pfizer's, among others, I was invited (no chance to say no) just because of my background and my english.
At the time that we invested in Corporate Governance, which drove us to a positive SIP (Strategic Inflection Point). I hired one CFO because I needed desperately someone used to perform Structured Operations, leverage with low cost money taken abroad. He was from Rio de Janeiro and his wife didn't fit in our headquarter town. Country life was no fr her. Outside life from Rio was not for her. We (the CFO, a friend and myself even bought a Mall Shopping for her to keep busy). Needless to say that his income was a golden ticket. He resigned and went back to Rio in the middle of the project. Then I hired the second CFO, who got lost with the earnings. Too much money made him lost his mind and lowered his performance. At the time his income was something about US$ 30K per month. I fired him because, in my opinion and several other share holders, I did his job as he did, with no extra cost.Once again I had to perform: CEO, CFO and Chairman of the board. Totally against the Corporate Finance principles.
Once again, this is a bitter outflow. It is a kind of a catharsis. To finish this project, I am writing a book named Surreal. Because all of that was/is Surreal.
Then it came the fall, and it was too fast. We based our growth thru the American way. Levering, using bank money to sustain growth. Couldn't make a most wrong move. Brazil is not a normal country, never was and I am hopeless it will be in my lifetime. Business environment is toxic. At the time that I attended the Harvard Program, had de advice of more than one person, including the program coordinator, to take all my assets abroad. I did the opposite. I leverage money with my own house as collateral. It was April. On October we shot down. 600 employees, 25 branches, 2 manufacturing plant and sales around US$ 150 MM per year. Just like snap fingers. Closed down for no cash for day to day operation.
Then I became radioactive. Me and my time who trusted the Project rosed the company 5 times it's size in 3 years, My income used to be US$ 2 MM. I invested US$ 218,000 in my education and nowadays, and he deserves every cent, my barber makes much more money than myself. As the title said, Brazil is an odd place. I have stamped in my forehead: Bankrupted. In a serious business environment anywhere else, it would be an asset. I have been there. I know how it is and have the capacity of avoid what I lived and focus on growth, profit, accomplishments.
Today we will have Presidential, Senators, Federal and State Deputy's elections. It will change sh..t. There will be more of the same. Fatally we will have a second turn for Presidency. The extreme right side will be elected - Jair Bolsonaro. He is not my dream candidate. But in this election the people is so tired of the left (Labor's Party) - PT - and the massive corruption and proximity with the worst governments in Latin America (Venezuela, Cuba) that we simply don't have a choice. Nobody likes Bolsonaro. He is controversial, radical, homophobic. He has lots of characteristics that a democratic country would fight against. Once again, we have no choice. The 99% of other candidates have competed for presidency at least 3 times. They are figurative. No chance at all. What gives us some hope is that WE ARE A STABLISHED DEMOCRACY. Our basis, our foundations are now solid. He can't do anything without the congress support. And he will not have it. The congress and the senate will be renewed with the same legislators that drove the country to the major recession of all time. To run the country he will have to lower his tone and will have to do what all of the former presidents did. To buy out the congress naming the opposition with second and third echelon on big Government Owned Companies, like Petrobras. Not technical workforce, political. We could be the Oil Country, our reserves are Huge, but we have our PNB based in the first scale of agribusiness. We produce, export and other countries add value, that we could easily do, industrializing it. I really don't know what will be the next years. I sincerely hope to live in a Real Country.