Deciding to strike out on his own was difficult, however. He had a three-year-old daughter, a son about to be born, only $1000 in savings, and a close relationship with his boss, Jack Mallicoat.
"It was a very emotional experience," Benowitz recalled. "As tough as I thought I was from growing up in Brooklyn, I cried when I told him I was leaving. But I felt I was stagnating. I was 27 with a growing family, and I needed to grow financially as well."
Today, he employees 20 court reporters and has started another business, Worldwide Videoconferencing, which sells videoconference equipment and services to some of his attorney clients who can't always make it to depositions far away.
A Second Success
Using the profits from his court reporting business and more than $300,000 in personal savings, he built Worldwide Videoconferencing, now with five employees, by targeting the legal profession as well as the business community and public sector.
He founded Worldwide Videoconferencing in 1989 in response to attorneys' complaints about traveling. The new technology would allow them to attend out-of-town meetings without actually leaving town.
Surprisingly, though, lawyers were slow to take advantage of videoconferencing, Benowitz said. Many were reluctant to use the new technology and, despite their complaints, still wanted to do some traveling.
"You know, you can't have dinner at Spago in Los Angeles from Miami," Benowitz said, grinning.
In the last year, his videoconference business has quadrupled, he said, largely due to increasing travel costs, more affordable technology and greater public awareness. Clients include the Ruden McClosky law firm, Burger King, First Union Bank and State Attorney's Office. Also his company serves as co-marketing representative for resellers of VTEL, PictureTel and Sony videoconference equipment.
"The industry used to sell about 5,000 videoconferencing systems in a year. Today, we're selling almost twice as much as that in a quarter," said Richard Gadberry, distribution manager for Sony Videoconferencing in Dallas. "About five years ago, when someone bought a videoconference system, they did so for their own private network, to improve internal communications. But people today are buying them to speak to suppliers, manufacturers, customers, prospects and business associates."