Alaskan Owned and Operated

Providing quality home furnishings across the Great Land

Dave Cavitt is no stranger to tough times. Like so many other Alaska businesses in the ‘80s, his employer, Sadler’s, faced many challenges during the economic downturn. Yet, looking back, Cavitt credits his continued success to the knowledge and resilience he forged while working through those difficult times. Armed with these hard-earned lessons, Cavitt went on to purchase Sadler’s and expand the business from three to 13 locations throughout Alaska, with three new storefronts on the horizon.

“First National’s Wealth Management and Trust team provides exceptional service and expertise.”

Dave Cavitt | Owner | Furniture Enterprises of Alaska

Building resilience

Cavitt is now the owner and president of Furniture Enterprises of Alaska – which owns and operates Sadler’s Home Furnishings, Williams & Kay, Ashley HomeStore, Ultimate Mattress, La-Z-Boy and Mattress Firm. He joined Sadler’s in 1975 as a day laborer, helping paint an addition to the original store in Chugiak. After the job was complete, he stayed on as Sadler’s second employee, performing warehousing and delivery work before transitioning into sales and management.

Cavitt’s first few years at Sadler’s coincided with the state’s oil boom, which resulted in an exciting, hectic time for the furniture reseller. “The pipeline was being built, and Alaska’s economy was on fire,” Cavitt said. “We were selling furniture as fast as we could get it in.” A manager at the time, he was at the forefront of the team’s efforts to keep up with the massive demand. “Sadler’s opened stores in Anchorage, the Peninsula and Fairbanks.”

Then, in early 1986, the rug was pulled out from under Sadler’s success when oil prices plummeted to less than $10 a barrel. “People’s homes dropped in value so much they just moved out and left them,” Cavitt recalled. “Furniture purchases dropped 70% almost overnight.”

Many furniture retailers simply closed their doors.

With Cavitt’s help, Sadler’s tightened its belt and weathered the economic downturn. This experience taught him the importance of understanding the local and national economy. “One of the lessons I learned in the ‘80s is there are always going to be ups and downs. Because of that, you have to strategize how to persevere through the downturns,” Cavitt said. “The 1980s packed a lifetime of business lessons into less than a decade.”

Shaping tomorrow

Years later, when money started flowing back into the Alaska economy, Sadler’s was well-positioned to support Alaskans’ furniture needs, and Cavitt was ready to use what he learned to move the business forward.

His first step was to purchase Sadler’s in 1989 and create Furniture Enterprises of Alaska. Another step came when a large national bank acquired the local bank used by Furniture Enterprises of Alaska. Cavitt knew he needed a new local financial partner who understood Alaska’s economy.

That’s when First National Bank Alaska came in. Cavitt still recalls his first meeting with First National when he was pursuing the opportunity to purchase the University Center. He met with then bank President D.H. Cuddy, current Board Chair and CEO/President Betsy Lawer’s father. “Mr. Cuddy met with us directly and made it clear what we needed to do to finance the large purchase. Betsy herself oversaw the project. Over the years, she has become one of my most trusted sources of information on Alaska’s economy.” Lawer eventually introduced Cavitt to Lending Unit Team Leader Zac Hays, who is the furniture reseller’s primary banker today. “From back then until now,” said Cavitt, “everyone I have collaborated with at First National has been a person of integrity.”

After the successful purchase of the University Center, Cavitt continued to leverage the bank’s knowledge of the local economy and One Solution approach to provide a suite of services to meet his business’s banking needs and grow his company.

Lessons Learned

Today, Cavitt attributes a large part of Furniture Enterprises of Alaska’s prosperity to its 150 employees, some of whom have been with the company almost as long as he has. They reflect another lesson Cavitt learned in the ‘80s: The importance of having reliable, experienced employees you can trust. “We are big into collaboration. A group of people knowledgeable on a subject will come up with a better answer than the smartest one of the bunch.”

To Cavitt, trust in your team is essential to building a resilient business. That trust extends to Cavitt’s banking relationship as well. “During the beginning of the pandemic, our go-to banker Zac was there, helping us take advantage of lower long-term interest rates for our real estate loans and short-term loans to adjust our inventory levels. That support continues today.” Cavitt knows he can always rely on First National for support and to provide solutions to his unique business needs.