Torch is hot Company on magazine's 'Hot 100' lets skilled employees drive success

A4-year-old Huntsville company on Entrepreneur magazine's 2006 "Hot 100" list is actually sizzling. Since its founding in 2002 by Don Holder and Bill Roark of Huntsville, Torch Technologies Inc., No. 54 on the "Hot 100," has seen phenomenal growth.

The company provides three main services:

Weapons system performance analysis.

Modeling and simulations.

Information systems technology.

"We primarily provide engineering services on missile defense programs for the government," said Julia Michaux, the company's human resources director. Clients include the Army Aviation and Missile Command (AMCOM); Space and Missile Defense Command (SMDC); Program Executive Office Air, Space, and Missile Defense (PEO ASMD); and Missile Defense Agency (MDA).

The company focuses on "very high-end engineering services," employing the cream of the crop, "very technical, highly qualified individuals," most of whom are found in a local pool, Michaux said.

"The pool is a small pool anyway," she said. "We try to attract those people by offering something a little unique."

Torch is an employee-owned, employee-oriented company. "We're still forming our culture," allowing new employees to be a part of that evolution, Michaux said.

The idea is obviously catching on.

Torch grew by about 400 percent by the end of its second year. "We had gone from seven employees at the end of '02 to 35 at the end of '03," she said, adding that Torch grew 70 percent in 2004 and another 38 percent by the end of 2005. "In three years, we went from seven employees to 75." Today the company has 99 employees.

Revenue has grown accordingly, with $2.9 million by the end of 2003, $6.2 million by the end of 2004, and $9.6 million by the end of last year.

"We think we'll do $12 million this year, at least," said Michaux. Torch also hopes to expand into other markets, possibly Washington, D.C., and Ohio.

But because the majority of the company's employees are "the products of mergers or acquisitions," Torch founders vow to allow employees to hold the company indefinitely.

"We're not growing the company up to sell it," Michaux said. "The founders have an exit plan in case they decide they want to get out."

That promise for employees is "one of the driving forces of Torch," she said.

Maria Anton, executive editor of Entrepreneur, said businesses had to meet the following criteria to be considered for the magazine's 2006 "Hot 100" list:

Must have been founded no earlier than 2001.

Founder must be actively involved in daily operations and have a controlling interest in the business.

2005 sales must be at least $1 million.

Must have fewer than 1,000 employees.

Michaux said the need for high-caliber employees is ongoing at Torch. The slogan that appears on the company's job-recruitment ads calls for those who are "committed to superior performance and interested in owning a company that's committed to excellence," she said.

Torch Technologies is at 4035 Chris Drive, Bldg. 4.