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Old Mon 27-Mar-06, 02:28 PM   #16 (permalink)
Scotty
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I History of Smiths (from his mouth, not website)

The Beginning: Level I


First ever Smith's School of English English School was in Mito (owned most recently by a good guy called Tom Payne, who still owns another school).


Mark started it after the Import-Export company firing (as per the "Who is Mark John Smith" page:

#1: So Who Is Mark John Smith? :: Smith's School of English Watch :: Creating Awareness of SSE's Lies, Fraud, Scams, & Commercial Cult-Like Behavior


It was kids and adults, though mainly kids. It was in a house in the country, quite a walk from the station.

Mito Smith's School of English was the first, and original school.

Second "Smith's school of English" English school was Tsuruhashi in Osaka.

This school is currently still operating, and is owned by a good guy and real teacher. (Michael Crawford)

Next stage after Mark had both schools (Mito and Tsuruhashi) was for him to start hiring gaijin teachers at 1,562yen per hour. Everyone is part-time as a teacher.

Thanks to the KFM magazine (Kansai Flea Market), Mark grabbed the most crucial assets so far.

Peter Stanford and Donavon Reimer were both friends with independent and successful schools in Takarazuka and Itami respectively.

Mark had a brilliant idea! He could incorporate their two schools into the "Smiths" system.

Thereafter, Yuka was the full time secretary for all four (Mito, Tsuruhashi, Itami and Takarazuka) schools.

Also Donovon and Peter started working as 'Directors and employees' of Smiths. They gave up their own schools for a 'longer vision, investment money and a contract '(since broken by Mark)

After a lot of investment money was poured into the money from Peter Stanford, and a Japanese Investor and ex-student of Tsuruhashi, Mark got even more excited.


Mark now had four schools, a full-time and free secretary (Yuka). His drinking and smoking was his Achilles heel at the time. Effective working time each day was about 3 hours, but he could sell in that time.






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Level II for Smiths.

Now he had Smiths Mito School, Smiths Itami School, Smiths Takarazuka school, and Smiths Tsuruhashi school(at the time the head office and still the company bank account's branch).

Next stage was Peter, Donovon and Yuka now as Directors had to work hard to cut the massive monthly costs that they had at the time.

Unfortunately, Peters Investment money went into Marks nice, new, shiny four wheel drive. Little less than a few days after he got the 'investment capital'.

Then along came the HPS (High probability sales). Miles Zonkin was a successful and crucial part of the process to build the company.

The salesman brought the company to it's next level.

It now stood at 4 medium sized schools with massive monthly operating costs.

Mark met and consequently employed Miles Zonkin. Miles sold (for Mark's Smiths School of English) 10 franchise schools.

He was to be paid 50,000 yen commission per school sold as the agreement.

Mark instead got the 10 new franchisees money and promised them 'geographical exclusivity' for their respective locations.

Now he had about 11 schools!! (I say about, because some of the first 'franchisees' saw the company for what it was. They bought a Visa, and got on with something else.

Mark now had a problem. He had to pay Miles his commissions for sales. 500,000 yen. Instead of that, he smeared Miles's name publicly and refused to pay his promised money...
Mark now had a problem. He had to pay Miles his commissions for sales. 500,000 yen. Instead of that, he smeared Miles's name publicly and refused to pay his promised money...

But on the other hand, he now had school franchisee revenue. (What Mark himself calls the POWER of the company)

11or so schools paying their franchisee fee meant he could start putting that power to use. He didn't need Miles anymore, so he didn't pay him. That simple.

The most important thing he got from Miles besides generated income was how to use HPS (High Probability Selling).

So it was bye bye to Miles,(who still hasn't got his money) and on to stage III of the company.. Now about 11 schools, a free Secretary (now busy as hell) and Donovon, Peter and Mark as Directors. ................




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STAGE III

Now Mark was looking and feeling like "Smith's School of English" was a company. He was getting even more excited.

It was time to use the money that investors had given him now.. But what to do with it? He had his nice, shiny new 4wd, a free (albeit busy) secretary wife and two guys working for him (not as employees, but as directors)...

Kyobashi Head Office School was to be the next stage. This was to make the company look GREAT.

People who would see this 'Head Office' were to think differently then when they saw the underground Tsuruhashi Smith School head Office.

Time and opportunity were well placed for Mark here......

The current building that 'Smith's School of English Japan' exists within was once a totally different location, albeit superficially.

It currently is a 7 story building, with the owners recently having built an apartment house on top of the seventh floor.

At the time, it was a dead and practically empty shell, with a dance studio on the sixth floor, and some other small company on the third floor.

It was in a street with 'Pink' shops and fast cars. It needed occupancy and badly! Along came the right man at the right time with the right plan.

Mark Smith. He made an agreement with the building owner that would bring the man Tenants and money. It would bring Mark, the 'Image' he needed to build the growing company he had...

Mark (with his usual sales flair) agreed with the Dance School Company (and building owner 6th floor) that he would move his company into the 1st and 7th floors of this 'dead' building.

This would give the building money and occupancy at the same time. Also increasing chances of greater tenancy due to a 'livelier' atmosphere.....

The agreement went ahead. Mark opened "Kyobashi Smith's School of English Japan" which became the new head office. This was opened on the 7th floor of the building.

It has to this day a beautiful view from the lobby, polished wood floors and a really professional image appeal.

At the same time, on the 1st floor of the building "Smith's Bar" was opened at approximately the same time. (currently 'BarGetsome' and owned by a decent guy called Tony. Tony also bought and lost 2 Smiths English Franchise schools from Mark at the same time that he bought the Bar)

Now the Tsuruhashi Smiths Head Office and School was sold to a decent Canadian guy (current owner) at the same time.




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Stage IV

(History of Smith's School of English according to Mark's version)

He'd done it!

Mark had gone in a short time from being fired to being the owner and main director of a 12ish school chain.

(In a matter of about 3-4years)

The "Smith's School of English Franchise" system was truly born....

The money, skills and time investment of Peter Stanford, Donovon Reimer, Miles Zonkin and a Japanese investor (Momodani Smiths School's Building owner's brother) had created Smith's School of English.

Necessary, indeed essential to the success was the Secretarial, Accounting and Visa/Immigration work performed by Mark's third wife, Yuka.

Now, the company had Donovon Reimer working as 'CEO' from 200-2003. This was until I (Scott Spargo) came along for my 'Business mentorship'.

In that time, Smiths School of English went up to about 45 Schools. Do the math about how that works yourself, but it's great money for Mark.

Mark John Smith at the time:
"We went franchising because everything else was a failure"

(Mark copied Peter Stanford’s idea of a one man school, and sold a Visa with it). It's called franchising.

Another Mark John Smith quote:
"I've made the illegal, legal and profitable and my business. I'm selling Visa's and 'Air'."

Pete already had the Itami and Mikuni schools with a secretary in place, before he became an investor in 1998.

He had an about 1,000,000 yen a month business already running, which was given to Mark Smith in return for a 450,000yen a month salary.

Peter quit Smiths in early 2000. Thereafter Donovan Reimer became CEO.

Don had Takarazuka school, making about 700,000yen a month, and gave it to Mark in return for a 300,000 yen a month salary.

About a year after Kyobashi was opened, the old head office of Tsuruhasi was sold to Michael Crawford.

Now his empire was 45 'Franchisees' paying for their Visas and secretarial services. One full-time CEO, Donovon Reimer and many ex-franchisees in Kansai.
This was when he was bombarding KFM and other Kansai orientated media publications. He was aiming for people living in Kansai (especially ex-JET program and gay people and those with VISA problems)

Ex-Jet teachers coming up to the end of the 3 year Visa were perfect candidates for his Visa sponsorship. He loved this, and the fact that non-degree qualified people also got their Visas through him.

This is what he saw as his market until recently. The internet website power to attract overseas candidates proved irresistible to him.

Overseas candidates were better because:

A. They hadn't heard about Mark Smith like people living in Kansai

B. They NEEDED a VISA, and didn't know how to get one

C. He could ask a higher price, because all these people could see was his website.

D. He could use his power from 45 people paying him monthly franchisee fee to use
a lawyer and…

E. (If needed) Private Investigators and threatening goons to keep 'Anti-Smith' threads and websites out of his GOOGLE search engine positioning eyes.




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Stage V: Greed, the Final Frontier

He now basically controlled the whole game. His chessboard, his Kings, Queens, of course the valuable Pawns: Franchisees.

Imagine if you will:

You have about 15,000USD salary per month. How do you stay satisfied with only 15,000USD a month? It's not possible.

How are you earning that 15,000USD a month? You are selling Visa's and Air!

It's a salesman’s dream!

Not only that, if there are problems with your customers you can be rude, deceitful and threatening to them.
It's Japan, and what are they going to do anyway?

They are generally too afraid to leave after giving so much money and time, when they didn't have it to give in the first place.

Last edited by gfell; Sat 24-Mar-07 at 04:10 PM.
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