Issue link: https://iconnect007.uberflip.com/i/1512467
46 SMT007 MAGAZINE I DECEMBER 2023 that requires millions of dollars in CapEx to sus- tain a profitable and high performing business model. With escalating interest rates, you must pick and choose where to pay cash and where to finance. ROI is always a concern when mak- ing these types of decisions. When financing or leasing equipment, you have several years to pay it off, so the ROI can be almost instan- taneous, while preserving operating capital. Similar to buying a car, you can drive off the lot the same day without sacrificing the fam- ily budget. Is the CHIPS Act trickling down to you yet? e CHIPS Act is in its infancy and smaller companies will not feel the effect for the next five to 10 years at best. However, larger com- panies may be able to reap the ben- efits in a shorter period with gov- ernment subsidies for building new factories and investing in cap- ital equipment, as well as tax cred- its for hiring and expanding the workforce needed to eliminate the dependence on foreign countries to produce low-cost components and PCBs that we use in the prod- ucts we build in the U.S. What concerns you most in your growth plans: capabilities, capacity, or competition? All three can pose a challenge to any service industry. It's like the old joke, "Fast, cheap, high-quality—pick two." For a salesperson to sell, they must possess the capabilities to even have the opportunity to bid the work. Capa- bilities come in several different forms, includ- ing upper management, plant and program management, engineering, customer service, and, of course, the staff doing the actual work. Capabilities can also be processes and the equipment necessary to meet the specifica- tions of the customer. I feel it's important to look forward and plan your "capabilities road- map" accordingly. To grow, you must have the capacity to bring in new business or expand the existing busi- ness that you already have. Without additional Outside Zentech's Dallas, Texas facility.