Over
the 30 years, he has found the balance that
many operators strive toward: a great family,
a successful company, and a work force that
includes lifelong friends and family. It’s his
nurturing of strong personal relationships that
has been the cornerstone of his professional
accomplishments, and it’s a credo that is opening
doors internationally as Gateway expands its
network well beyond the hometown that he adores.
President of Gateway Limousines Worldwide, Sam
Amato has seen a lot in his three-plus-decade
career. Gateway, based just outside of San Francisco
in Burlingame, California, has survived some
pretty incredible events already: The late ’70s
and early ’80s recession, the heyday of capitalism
and hedonism in the late ’80s and ’90s, the
1989 Northridge earthquake, the rise and fall
of the dot-com era, 9/11, and the recent recession,
just to name a few. The laid-back, liberal West
Coast city was always on the cusp of something
new. All of those events affected the city and
how Amato ran the company; each was a lesson
in preparation for the next change.
Bill Williams, Amato’s father-in-law, started
Gateway in 1978 as a part-time hobby. That was
how it was done in the ’70s and ’80s in the
limousine industry: it was generally a weekend
gig for an enterprising soul to make some quick
cash. Williams ran his 1968 Cadillac, which
he had purchased from a funeral home, during
the off hours of his job with the Golden Gate
Transit System. He was mostly chauffeuring tourists—through
his connection with the Sheraton Hotel at Fisherman’s
Wharf—around the infamous City by the Bay. Williams
solicited Amato to help with evening tours as
the hobby grew into a full-fledged business.
Amato, a newlywed who was working at Petrini’s—an
upscale supermarket chain with a family-owned
mentality—as a store manager and wine buyer
for its San Francisco locations, thought the
limousine industry was a lot of fun and could
become a lucrative business, as well as a great
way to show tourists how interesting the city
he loved was. Amato’s father-in-law soon passed
on the reigns solely to him; he was already
putting in an incredible amount of hours between
the two jobs. It was not rare for him to get
a couple of hours of sleep each night between
the two. By this time, Amato had started a family,
and work was consuming all his time. It was
in the early ’80s when Amato decided that he
was going to end his career in the grocery business
and run Gateway full time.
Gateway became a serious venture in 1982. Amato
had a small staff and added a few more cars
to the fleet when the Sheraton at Fisherman’s
Wharf gave him an office and parking spaces
on the property, in exchange for managing the
hotel’s VIP shuttle. The hotel had just purchased
a new 48" American Coach stretch limousine.
“That’s when hotels paid us [to work] and I
was even using their equipment,” says Amato.
“Those were the days.” He was even allowed to
use the limousine for business outside the hotel
as long as he provided insurance coverage and
maintained the vehicle. “It was a sweet deal,”
remembers Amato.
In the ’80s, Amato recruited his lifelong friend,
Rich Azzolino, who was part-owner of Caesar’s
Restaurant in San Francisco at the time, to
help him with additional tours in Wine Country
as Amato expanded the business. “Sam asked if
he could use my 1936 Buick and 1953 Packard
for some wedding work,” Azzolino recalls, as
his involvement with the company grew. Azzolino
helped Amato part-time with everything from
driving to paperwork through most of the ’80s,
all while he continued his restaurant career
and even taught at the California Culinary Academy.
He didn’t become full-time at Gateway until
the end of the ’80s.
Amato and Azzolino met in elementary school,
a friendship that was forged through their involvement
with the Salesian Boys and Girls Club, as well
as their love of hotrods and classic cars. They
were from the same neighborhood—North Beach—which
was known as San Francisco’s “Little Italy”
and produced such greats as Joe Dimaggio and
Francis Ford Coppola. North Beach is woven into
their DNA. It was this intimate knowledge of
the city that really drove the business in the
beginning. Amato and Azzolino created extensive
tours, which included not only the incredible
sights of the city, but fabulous eateries and
wineries that only locals knew. “We knew how
to get clients into places that were hard to
get into,” says Azzolino.
San Francisco is unlike any other city in the
United States, and it draws a good share of
tourists from all over the globe, including
a large majority from Asia. Amato refers to
his hometown as “a little bit Boston, a little
bit New York, but with great weather.” Azzolino
adds: “If I want sun, it’s only 30 minutes away.
If I want snow, it’s only a few hours away.
And the views—they are fantastic from anywhere
in the city. There’s only 720,000 people in
San Francisco proper, so its smallness and uniqueness
are, are just so special. I think it’s the best
melting pot there is across the United States.”
San Francisco is of course known for its famous
hills and majestic Golden Gate Bridge, which
connects the peninsula with Marin County, a
gateway to Wine Country, Napa, and Sonoma. Its
only real weather concern is fog, which can
be quite challenging, although earthquakes have
shaken things up a bit in the past. A tourist
or two has been known to leave his heart in
San Francisco, so it’s no wonder that Gateway
has such incredible success with its tours.
During the mid-’80s, the company really took
off, especially through a contract with Grey
Line, which put them into over 40 hotel tour
and concierge desks. Gateway began to work with
major corporations such as The Gap and Blue
Shield. The Silicon Valley was becoming an important
area, and even though there was still a good
demand for tours, Gateway’s business was refocused
toward corporate work. Amato began working with
destination management companies as well as
special event coordinators, with less and less
emphasis on hotels. He opened an additional
office in Burlingame just a mile from San Francisco
International Airport, a move that contributed
significantly to their corporate strategy with
easy airport access. Today, corporate work comprises
nearly 90 percent of all its business.
The good times were good; however, it was the
bad times that taught Amato the lessons he needed
to survive. Gateway’s best year on record (2000)
was at the height of the dot-com boom, when
businesses were going public and financial companies
were opening branches to handle all the IPOs
that were popping up. Gateway’s fleet was nearly
45 vehicles, and the company was barely keeping
up with demand. “We were very busy,” notes Amato.
Amato started to see the decline before the
bubble burst. “A lot of the financial firms
that had moved to the area to help take the
companies public were emptying,” he says. “I
saw the drop in February 2001. We lost 25 to
30 percent of our business at that point.” The
worst wasn’t over, however, because a few short
months later 9/11 devastated the travel sector,
especially corporate. The ripple effect was
felt throughout the country. “We went from 45
cars to about 25 as fast as we could,” he says.
“We had started to renew the fleet in early
2000 and now were stuck in leases for cars we
had to pay for but weren’t moving. It was a
rough time.”
While some companies on the East Coast saw an
up-tick in business post- 9/11 after flights
were cancelled and travelers were stranded with
access only to ground transportation, the rest
of the country was at a near standstill. “Many
of our corporate clients began telecommuting
instead of flying,” he says about the state
of business travel following the attacks.
Azzolino says that while they were worried,
Gateway was one of the few companies that actually
survived in the area. “Relationships were the
key to survival,” he says. “We all helped each
other throughout the country as much as we could.”
When business started to come back, Amato emerged
with a newfound sense of caution. “Now before
we make any major purchases, we think twice
and really check the idea before we go through
with it,” says Amato. “It’s easy to purchase
when times are good, but now we ask ourselves,
‘How can we do this with what we currently have?’
We check the numbers before committing to it.”
He says it was this experience that helped him
through these past few years as well.
Amato also recognizes that the industry they
joined several years ago is changing rapidly.
The cars don’t look the same, nor does the business
model. What used to be a cash-heavy business
is now living in the world of billing and credit.
Their fleet, once dominated by limousines, is
now primarily sedans, SUVs, shuttles, and vans.
“I like the Escalade and Tahoe, but it’s going
to be hard to replace the Town Car L because
of the reliability, comfort, and recognition,”
says Amato. The current Gateway fleet fluctuates
between 60 and 70 vehicles, only a handful of
which are limousines with a majority of sedans,
vans, and SUVs. They also have a few minibuses
and a coach, but there’s not one stretched SUV
on the lot, although Amato did once add a 200"
Hummer to the lineup—a move that many of his
staff won’t let him live down. “It was an impulse
buy,” says Amato, laughing. Suffice it to say,
the Hummer wasn’t a hit for Gateway.
Environmental awareness is still being felt
in California, while the recession helped it
fizzle in other parts of the country. “It’s
going to be CNG, hybrids, or another alternative
fuel, but someone has to step forward for this
industry,” says Amato. His son, Joel, who recently
rejoined the company, adds: “The big vehicles
are also the future. There will be more shared
rides and traveling in groups,” with the exception
of the real high-up executives whom the Amatos
think will still travel alone.
The changing corporate environment has also
been the impetus for their company’s rebranding.
“Executives don’t want to see the word ‘limousine’
on their invoice,” says Amato, adding that the
larger transportation companies across the United
States have also rebranded their companies.
Joel Amato, who says he was “born into the company,”
is leading the charge on the company’s rebranding
efforts as well as its expansion of affiliate
relationships around the world. Joel worked
various positions at Gateway during school breaks
and part-time during college. He detailed cars
and learned many of the office functions. After
graduating college he interned at Franklin Templeton
Investments and moved to London to work for
an international head-hunting firm before deciding
to return to Gateway. Living abroad has given
Joel a thorough understanding of the international
markets, especially European.
The business was never forced on Joel; Amato
wanted to make sure that he developed the passion
and drive for the industry that he had and still
has. Joel is now the vice president of operations
and serves as Amato’s right-hand man. Joel’s
familiarity with other cultures has helped the
company expand its already well-established
global network.
Amato began building his book of affiliates
in the early 1990s. “I made a lot of good contacts
at the limo shows,” says Amato. “We began offering
transportation to other cities nationwide through
Carey, Metropolitan, Dav El, and the contacts
I made at industry events. In 1994, we became
the exclusive Dav El affiliate in the San Francisco
Bay Area until the network opened its own facility
in the city in 1999. To sustain the camaraderie,
Amato holds a meeting with his affiliate companies
each year at the limo shows, which always includes
some California wine, cheese, and salami. “Families
eat and drink together at great gatherings,”
he says about his affiliate family.
The international affiliate network has been
more challenging, but Joel is confident that
it’s the right direction for the company. “The
problem is that everything is set up differently,”
he says about transportation companies across
the globe. “It’s tough because you have to find
companies that you can work with. They may not
pick up their phone 24/7 because that’s their
culture.” Joel adds that it’s a definite area
of continued growth for Gateway. Amato says
that they have been successful through their
hotel contacts, especially European visitors.
Gateway’s phone system even features a voice
with a European accent, a move that Amato says
gives the company an international flair.
Vetting affiliates has consistently been a long
process, because, as Azzolino puts is, “they
have to fit the Gateway model.” He says the
paperwork is extensive, but necessary to ensure
that customers are placed with a thoroughly
checked company matching Gateway’s philosophy.
“We’ve created standards that many companies
don’t,” Amato says. Vehicles are swapped before
the warranty expires. “Our maintenance crew
checks the vehicles on a daily basis; we don’t
wait until things wear out. Our preventative
maintenance means that we take care of it before
it becomes a problem, even at an expense. We
make sure that the things within our control
stay within our control.” Amato adds that a
mistake is taken seriously and corrected immediately.
“With so many moving parts, there’s a lot of
room for error, so we try to stay on top of
it.”
Joel’s decision to join the company, says Azzolino,
is indicative of how the industry is changing.
“Today, Joel’s generation will take a charge.
It’s a business that really requires a college
degree now. It used to be guys starting a business
on weekends right out of high school, but technology
is really leveling the playing field.” Amato
says the next generation has learned to use
technology to get business that once was a hands-on
thing for him. “Our generation was very hands-on
and in person,” says Amato. “For Joel’s generation,
it’s about technology to communicate with customers.
It’s been interesting to balance the two [approaches],”
he says. The company already uses DriveCams,
GPS tracking, Nextels for communication, and
the latest software for reservations and dispatch.
For Joel, however, he wants to make the process
seamless and to use the technology of smart
phones to not only communicate with the passenger
before the car arrives, but to keep the admin
booking the trip in the loop. He says that the
applications for technology are “endless.”
Amato and Azzolino have also made their impact
on the industry. Although they accomplished
much over the years, Joel’s position in the
company has freed up some time for them to focus
on legislative efforts. Azzolino is a member
of the Limousine Digest Editorial Advisory Board.
Amato was involved in the creation of the Greater
California Livery Association (GCLA); Azzolino
has served as a board member for the last 6
years. “It’s one of the best associations across
the United States,” says Azzolino. “We’re one
of the only ones with a full-time lobbyist,
and we’re helping to create laws that benefit
all of us in California and beyond,” he says.
Amato and Azzolino are also an instrumental
part of the industry on a national level. Amato
is a member of the Taxicab, Limousine & Paratransit
Association’s (TLPA) Steering Committee, while
Azzolino is a National Limousine Association
(NLA) board member, jobs which both of them
take seriously. “We’re tackling all kinds of
issues like card check, Department of Transportation
(DOT) audits, and the changing regulations on
vehicle sizes. Taxes are also a huge issue because
the industry is a large target right now [for
states looking for revenue.] The TLPA and NLA
have become working partners with legislation,
which is a great benefit for everyone.” Gateway
was also honored as the 2007 TLPA Operator of
the Year and James Lilley, chauffeur training
supervisor and chauffeur, was awarded TLPA’s
2009 Chauffeur of the Year.
Amato learned quickly that fighting was the
wrong way to handle the agencies that were passing
rules and regulations that affected their business.
“The other guys wanted to go in and fight them
head-on,” says Amato about disputes with airports,
departments of transportation, and other government
and local organizations. “The difference is,
we try to work with these agencies, instead
of fighting them. We find the compromise.”
Gateway—and most companies in California, in
fact—doesn’t use independent contractors. Azzolino
says that it’s something that works well for
the company. “We’re completely employee-based,”
he says about his chauffeurs. “That way they
act the way that we expect them to, and they
use our cars instead of whatever they want to
show up in.” Chauffeurs are extensively trained
in a program that includes classroom and on-the-road
instruction—which can be upwards of 40 to 80
hours of training time, depending on the chauffeur.
The training is also repeated quarterly, and
the entire staff is involved in quality control.
“We get input from our dispatchers, reservationists,
and even other chauffeurs,” says Amato. “We
have stringent hiring requirements to ensure
that we are indeed hiring the ‘right’ person
for the job. Our chauffeur training program
has the best of both worlds as we utilize the
Tom Mazza program along with the Executive Chauffeuring
School program.”
Gateway has always been a family-oriented company.
Amato’s wife, Karen, is the vice president.
“She does a great job with quality control of
affiliates through ghost rides,” and she has
a knack for marketing. His daughter, Gina, worked
there when she was younger, and now helps out
from time to time with reservations and as a
site coordinator. Amato’s brother, Tom, is the
head of accounting. Pete Malatesta, with the
company over 20 years, is the fleet manager
as well as Amato’s cousin. Various cousins and
friends from the neighborhood he grew up in
also lend their talents to the company.
Gateway employees over 70 chauffeurs, 25 office
staff, and 4 sales employees, including an operations
manager, director of human resources, sales
manager, and full-time mechanic. “We, as leaders
of the company, never ask employees to do something
we would not do ourselves,” says Amato. “We
make every effort to make people feel as though
they are VIPs no matter who they are. We treat
each employee, from reservations to chauffeurs
to detailers, as though they are the most important
for the company’s success.”
The company also opened a satellite location
in Los Angeles a little over 2 years ago. “We
saw a tremendous amount of business in that
area, so we felt it was a good growing market
for us,” says Amato. “The chauffeurs we have
there are fantastic, and the chauffeur supervisor,
Orin Beresford, makes sure that it’s running
smoothly. Everything is run and dispatched from
San Francisco. So far it’s worked extremely
well.”
While Amato—with Azzolino’s help—has done a
lot over the last 30 years to build Gateway,
they are also committed to their families. “I
spend every chance I get with my family,” Amato
says, with agreement from Azzolino. From coaching
little league to tailgating at 49ers and Giants
games, Amato has made it a point to make sure
that his family was (and is) as important as
his business. Azzolino’s family—his wife and
two adult children—has little involvement with
the company. Their kids went to rival high schools,
which made for interesting times in the office
for the sports fans.
The lifelong friends also share their passion
for cars and each has a twin 1956 Thunderbird.
Since they were kids, they have attempted to
hit as many classic and antique car shows as
time would allow. Amato introduced his son to
the world of classic cars and has helped him
rebuild quite a few over the years. Their special
passion, of course, is hotrods.
Every year Gateway contributes to schools, local
events, cancer societies, their childhood hangout,
The Salesian Boys and Girls Club, and the Make-A-Wish
Foundation, to name a few. Gateway also contributes
annually to industry events, all of which are
above and beyond the charity budget.
To this day, they are still surrounded by friends
they went to grammar school with, but their
circles of friends have significantly expanded
beyond the Bay Area. “I love this business,”
says Amato. “Everyday is different, challenging,
and rewarding. What makes me feel good is I
have made close friends from all over the United
States and worldwide. I remember telling my
son Joel, that being rich is not how much money
you have; it’s the friendships you have.”
Azzolino couldn’t agree more. “Being a part
of this business has allowed us to meet people
that we never would have met, from continent
to continent, all across the country,” he says.
“These are people I would trust my kids with.
It’s the lifelong relationships that we’ve developed
that we never would have if not for this business.
I can’t imagine doing anything else.” LD |
