A FIRST PERSON ACCOUNT OF RUNNING A SMALL BUSINESS.

THERE aren't too many people whose resume includes research chemistry, motorcycle maintenance and firewood retail. But those are the career paths Fred Vanacore has taken.

After growing weary of the isolation of working in laboratories finding the right smells for perfumes and baked desserts, he moved from New York to Los Angeles in 1968. For 11 years, he operated a garage repairing motorcycles in West Hollywood. But when a nearby firewood company moved out of the area in the mid 1970s, Vanacore saw an even more lucrative opportunity. He opened Hollywood Firewood Co. in 1976, and business was so good, he sold his garage within three years.

"I leased a location next to the Formosa Cafe for $800 a month and the inventory at that time was only about $12,000. Several years later, it was necessary to move to North Hollywood, where I'm currently located, because the (regulations on) storage requirements are more relaxed. Today I pay $2,000 a month rent and the inventory is about $80,000.

"But revenues went from $35,000 the first year to what might be $250,000 this year. I buy already cut, split and dried firewood from wholesalers in Arizona, San Joaquin Valley and the Ventura County area.

"We sell at least six different types of wood in two sizes -- 22 to 24 inches and 16 to 18 inches. Pine and cedar are good for fast starting and higher flames and have a great aroma. Eucalyptus, almond and oak are longer burning. And walnut is in the middle of those two groups.

"We measure by the cord, which is 225 to 400 logs costing $298 to $359. A minimum purchase is one quarter of a cord, which would run $110 to $144.

"It's better to buy by the bulk. It becomes a better deal for the customer. Our service is almost entirely home delivery, which is free within 15 miles of the business. And we do free stacking where the truck stops, like a garage or carport.

"If customers want to bring them inside or around the back of the house, carrying charges range from $5 to $45, depending the distance.

"Out of 1,250 customers a year, I'd say 80 percent are steady and 20 percent are new. I sell approximately 800 tons of firewood a year. I started out with a staff of five and I still have five."