‘I started with $2000 in my bank account’ … the rest was tenacity

“I had this little red book, A5 size, and each day I would date and document everything line by line. What did I sell? What was my cost? What was my profit?”

Methodical to the minutiae, detailed to the decimal point. Liong Eng recalled his daily discipline as if it was yesterday.

“Then I’d put my signature next to the line as a confirmation. But actually, now I’m looking back, I was the only one who ever saw that book so I have no idea why I felt the need to verify.”

Pausing to laugh at his younger self, such a simple anecdote offered a glimpse into the early years of both Liong and Silverfern IT – the company he founded almost 35 years ago.

But this isn’t set up to be a story of inspiration. Rather a lesson in the power of combining inner courage and confidence with an insatiable appetite to differentiate and an unwavering work ethic.

In other words, roll up your sleeves, roll the dice and roll with the punches.

“I started with $2000 in my bank account,” Liong shared.

Perth. February 1991.

But the entrepreneurial seeds were arguably first planted in Christchurch, during the early 1980s. At that time, Liong was studying Computer Science at the University of Canterbury.

“I moved to New Zealand from Malaysia to finish my degree and then got a job working for an IBM Business Partner in 1984 – I met my wife, Lily, there and we got married in 1986,” Liong said.

Soon after, the newlyweds sought pastures new and targeted a relocation to Toronto. Lily was working for a large Japanese multinational at the time and had been offered a position in the Canadian team.

Liong resigned and a migration to North America was in the works.

“At the time, I was a successful sales rep and closed a couple of large deals, one of them being with Mainland Cheese in Dunedin,” Liong added. “It was a multi-million-dollar contract selling IBM AS/400 so I was a little bit of a shining star at the time.”

The deployment combined software from BPCS (Business Planning and Control System), which was an enterprise resource planning (ERP) product developed by US vendor, System Software Associates (SSA).

Word from the South Island reached Western Australia, with Focal Systems – a specialist BPCS partner at the time – issuing a “pretty good offer” to relocate Liong and his wife to Perth instead.

“Everything was paid for so we thought, ‘okay, if it doesn’t work out then we can always go to Toronto’,” Liong noted. “But my wife sacrificed her position and a good future for this, with no guarantees that it was going to work out.”

It didn’t work out.

The major financial crisis of 1987 – aka “Black Monday” – compounded a challenging start to life across the Tasman and in under a year, Liong made an amicable separation with Focal Systems.

“There was too much upheaval and I wasn’t closing deals,” he admitted. “But I said to my wife that over those past 8-9 months in Perth, I formed a deep understanding of the market and also the IBM range.

“It presented an opportunity to get into the computer broking business of buying and selling hardware.”

At the time, the major players in that space operated on the East Coast of Australia – notably Computer Merchants (now Truis), Classic Blue and Atlantic Computers.

Hence exploiting a “gap in the market” to launch a business on the West Coast.

Dice rolled. Now time to roll with the punches.

From one-man-band to first employee

The stakes were high. Not only had Liong and his wife sold their house in New Zealand but a baby was on the way.

“My wife was working for a company in Perth so we had some income plus savings from the house sale,” Liong calculated.

“In the worst case scenario we had a little buffer but that only covered about 8-9 months so if it failed, I planned to go and find a job. As an IT professional at the time, I was confident of getting hired almost anywhere.”

Upon registering the fledgling start-up, Liong settled on the name, Silverfern IT.

“I love rugby,” Liong said. “I loved the All Blacks when living in New Zealand and because I was based in Christchurch, the Crusaders were my team.

“So, why not have a silver fern as a nod to New Zealand and red and black colours to represent the Crusaders? At the start, it was a funny story for my Australian customers going in explaining the back story as a Kiwi.”

With small seed capital secured and a name registered, Liong started to learn ‘who was who in the IBM zoo’ – relying on the generosity and flexibility of customers buying mid-range products from Big Blue.

“They were so good to me,” Liong recalled. “I would say to my early customers, ‘I don’t have much money in my bank account so if you buy something from me, I have to buy it from somewhere else, so it would be nice if you could pay me earlier’.

“They would place the order and within a week ask me to send an invoice – they would pay me even though the goods hadn’t yet showed up.”

Living proof that ‘don’t ask, don’t get’ tactics can work in business, especially when the stakes are high and alternative options are limited. Asking is one thing however, relying on the support of customers as trusted partners is another matter entirely.

“I was very blessed to have customers like that who helped my wife and I start the business, and they became family friends later on,” Liong recognised.

Two years in and the business reached a milestone.

“I hired my first employee, a lady called Geraldine,” Liong said. “Geraldine was probably in her late 40s and had just arrived from South Africa with her husband and young kids.

“I remember her so fondly, she was so nice to me and was almost like my mother – taking care of me, ensuring I was okay and supporting the business as a general manager of sorts.”

Hiring a first employee is a major milestone for any entrepreneur – a sign of growth, belief in the business and a step into leadership. But it also brings significant pressure.

Suddenly, it’s not just about your own survival; someone else’s livelihood is in your hands. Every decision feels weightier, every setback more personal.

You’re no longer working for yourself – you’re now responsible for someone else’s income, development and well-being.

“Oh man,” Liong sighed.

“It definitely made me more focused having one more family to feed and worry about. I always thought of her kids and naturally made it a priority to at a minimum, ensure her salary was taken care of each month.

“But I also had a rent commitment plus my own baby coming.”

So, what should a man that literally bet the house on making the business a success do in response? Work. Work. Then work a little more.

Perhaps Mark Cuban put it best – “work like there is someone working 24 hours a day to take it all away from you.”

Because as Gary Player attested, “the harder I practice, the luckier I get.”

That level of focus fuelled Liong during those early mornings and late nights. Success in his eyes wasn’t – and still isn’t – about making a lot of money… it’s as humble and simple as being able to pay the bills and have some money leftover for his family.

‘Look Lily, this month we’re $500 better off than if I was employed.’
‘Look Lily, this month we’re $700 better off…’

“That gave me a lot of confidence,” Liong admitted. “People say that confidence builds confidence and it’s very true because I was very focused on getting the job done which was about properly understanding the requirements of my clients.

“I was super responsive and would spend a fortune calling the UK or US markets to try and find solutions for my customers. It would cost me a lot of money talking late at night but I had to check in with other brokers across the world for answers.”

Servicing customers in the extreme, underpinned by a refreshing dose of authenticity and honesty.

Conversations would start with an open-ended question. What price would you be willing to pay for this product?

“Then we’d work backwards together,” Liong calculated. “Okay, that’s too low because my cost is this and I need this much margin so how about this amount? Oh, and can you pay me upfront as well please.

“We always worked it out as partners. That was how I grew and built up the business, by being honest and open at every stage.”

This approach not only built credibility with customers but also the bank. Payments were made promptly and over time, a trusted partnership was established based on a sound financial track record and strong baseline of reliability.

The recruitment of Geraldine also coincided with the renting of office space, “well, a room actually” as the company started to flex its muscles and enter a new phase of growth.

“My first purchase was a desk and a chair, then about 8-9 months later I bought a computer desktop,” Liong described. “I didn’t use it for much, if anything, but I was in the computer business so figured I should sit there with a computer and phone.”

Riding the entrepreneurial rollercoaster

Liong’s journey is littered with self-deprecation. Never one to take himself or the scenario too seriously, such humorous detachment has helped narrow the chasms along the way.

“The most fundamental thing about running a business is that you have to be passionate,” he stressed. “You have to enjoy resolving problems for clients and truly understand why you’re doing this in the first place.

“I’ve never focused on the money because money is very short-term and shouldn’t be the reason why you’re in business. Trust me, if you focus on the client and do right by them, the profits will automatically follow.”

Patience is also a virtue in this space.

“Those wanting to start a business have had a little seed in their head for months or even years,” Liong added. “Don’t just wake up in the morning and think you can make it all work, it takes time to figure out and grow.

“But definitely give it a go. Don’t look back 20 or 30 years from now and think, ‘I wish I had done that’ – your life could have been different.”

When pressed further, Liong shared two non-negotiable values that have not only helped scale success but also preserved sanity and focus.

1. Health
2. Control

“I am very disciplined, health wise,” Liong stated. “Remember, you are a pillar of the business and the business needs you to be mentally and physically strong.

“So be in the best position you possibly can because you can control that. I do everything in my power to stay in my prime so that I can work in the best space and shape to help the business.”

Naturally, such a philosophy extends into control.

“Understand what you can control and control it, then leave the rest,” Liong advised. “I do my very best to mitigate problems but you can stress about global matters or market dynamics that you have no influence over.

“Instead, I prefer to control what I can then deal with the real problem if or when it arrives.”

Sharing an example, Liong referenced a long-term customer that had sold to a publicly-listed company.

“In my opinion, they were unprofessional by not informing us what would happen with our contract,” he explained. “That created quite a problem so in this instance, part of it could be controlled but the other couldn’t.”

As a strong advocate of making to-do lists, Liong has a daily ritual of ticking off his action items before the close of each day. Any outstanding issues beyond his influence are left on the page, not taken home to overthink.

“Just leave it as tomorrow’s problem,” he said. “I shut myself down on those things and prefer to go home, look in the fridge and work out what to cook for dinner that evening.

“Our kids have left the nest so it’s just Lily and I. I enjoy cooking dishes, chopping up the ingredients and putting the rice on – whatever it is. Leave the challenges of the office at the office.”

While entrepreneurship is often romanticised as a path to freedom and success, the reality is often more complex and challenging. For Liong, one of the biggest difficulties has been dealing with people.

“That’s the most challenging element,” he accepted. “Yes, you have good people that come along the journey but it took me a while to understand that they work in a very different way to you as the business owner.

“When I was younger, I always hoped that people would share my vision and would work alongside me on that but I was wrong. They obviously didn’t have the same skin in the game so I shifted my approach and expectations.

“Now, I focus on harmony and ensuring we strike a balance to ensure that things are done properly and we deliver value.”

Harmony can be difficult to achieve in a turbulent market however.

Because if the adage that everything changes in the industry every five years carries weight, then Silverfern IT is in its sixth generation – fast approaching seventh with the business set to celebrate 35 years of trading in 2026.

This is a company that started out as a computer broker, before embracing LAN (local area network) technologies and subsequently, managed services. Next on the agenda is ESG (environmental, social and governance).

“You learn as you go,” Liong advised.

“We were 100% hardware then we moved into selling PCs and desktops before expanding into the network and hiring our first engineers. Managed services naturally followed but that took a few years to get right in terms of adding differentiated value.

“Today, IBM has supported our move into sustainability and we are building out a strong platform offering for the government space.”

Whatever the technology and however the delivery method, one fundamental anchor point has grounded Liong every step of the way.

“I’m of the belief that to be a good business owner, you have to build good relationships – whether that’s with your clients, your employees, your suppliers or your bank,” he advised.

Armed with more than three decades of hindsight, Liong is often asked if the rewards of business ownership outweigh the risk.

Being an entrepreneur and being employed offer two very different professional experiences, each with its own benefits and trade-offs. Ultimately, the choice between the two comes down to individual goals, risk tolerance and personality.

“Remember, you might enter peak employment in your 30s or 40s when you’re making a lot of money,” Liong explained. “But you’re paying higher taxes and have children around as well, so your saving potential is often quite limited.

“Then you reach your late 40s and early 50s and the company makes you redundant. Then it becomes very difficult to get another role at the same salary level.”

On the flip side, Liong thrives from knowing significant decisions are only a fingertip away as a business owner – trusting a healthy dose of gut feel and market knowledge to move the needle in the pursuit of growth.

“Would I do anything differently?” Liong asked. “I don’t know. Although I do know that there are so many benefits to starting your own business and working for yourself.

“But I’m not here to give advice, I’m just sharing what I do.”