Adam Ferrari Of Phoenix Energy On 5 Things You Need To Run A Highly Successful Family Business

As a part of our series about 5 Things You Need To Run A Highly Successful Family Business, I had the pleasure of interviewing Adam Ferrari.

Adam leverages nearly 20 years of experience in the oil and gas industry as a leader at Phoenix Energy, focusing on key initiatives for the company’s growth. Raised in an Illinois farm town, he earned his Chemical Engineering degree magna cum laude from the University of Illinois at Urbana-Champaign.

Thank you so much for joining us in this interview series! Before we dive in, our readers would love to learn a bit more about you. Can you tell us a story about what brought you to this specific career path?

I started my career as a chemical engineer, earning my degree from the University of Illinois at Urbana-Champaign. My early professional years were spent as a completions and production engineer for BP in the Gulf of Mexico. I gained hands-on experience in oil exploration and production, which solidified my technical expertise. Later, I transitioned into investment banking, working at Macquarie Capital, where I learned how to strategically deploy capital in the energy sector, so I’ve worked in both the technical and financial portions of the industry.

What truly brought me to this career path, however, was my family. My parents, Daniel and Charlene Ferrari, both had blue-collar careers: my father worked as a pipefitter and sheriff’s officer, and my mother was in electrical drafting for Exelon. They taught me the values of hard work and resilience. In 2014, they took a leap of faith and started investing in oil and gas alongside me, which was a pivotal moment for our family. Together, we funded a drilling project in Colorado. It ended up being a dry hole, but it taught us invaluable lessons about perseverance and risk-taking.

In 2019, we launched Phoenix Capital Group, now called Phoenix Energy, with a vision to bring efficiency and transparency to capital formation in the energy sector. The company’s name, Phoenix, holds deep personal meaning — it symbolizes a rebirth, especially for my father, who has faced some life-changing health challenges with immense courage. Phoenix Energy remains a family business despite our rapid growth and still embodies the values and principles my parents and I hold dear.

Can you tell us a bit about your family business and your role in it?

Phoenix Energy is a domestic oil and gas company. We operate across nine states with a focus on the Williston Basin of North Dakota. The company manages mineral rights, non-operated interests, and our own oil and gas operations. We’ve grown significantly over the past 5 years thanks to our unique, direct-to-investor approach to financing. Currently, we are approaching production volumes of 20,000 barrels of oil equivalent per day for the entire company. Our operating division alone has sold more than 2.3 million barrels of oil overall as of the end of 2024.

My role as CEO involves strategically leading the company’s growth. Some days, that means working with our Capital Markets team to ensure we have growth capital, and other days, it means helping the operations team with production. I see myself as both a steward of the company’s vision and a bridge between my family’s values and the broader goals of our organization.

What do you think makes your company stand out? Can you share a story?

When we launched Phoenix Energy in 2019, we decided to raise capital through corporate bonds rather than equity or traditional bank financing. This strategy is uncommon for oil and gas, which is dominated by institutional investors. Our direct approach not only gives our investors a unique opportunity to participate in the success of an energy business but also ensures that we retain control of our operations, enabling us to be agile and make decisions that align with long-term value creation rather than short-term market pressures. We’ve built an in-house financial technology platform and a robust Capital Markets team to make this possible, and it is not something that our competitors can leverage when they see growth opportunities.

Can you share the most interesting story that happened to you since you began this career?

I think the story of Phoenix continues to be the most interesting thing in my career, and the story is still being written. It’s a blessing that I’ve been able to combine my experience in oil and gas with my work in energy finance to create something truly unique in an old industry that is critical to global infrastructure. We’ve had to continuously innovate to make our direct-to-investor model work alongside our data-driven approach to finding, underwriting, and acquiring the best mineral assets. We will have to reconnect in a few years to fill in more details on the story!

Can you share a story about the funniest mistake you made when you were first starting? Can you tell us what lesson you learned from that?

In my early days as an engineer in the Gulf of Mexico, I was tasked with overseeing a critical piece of equipment on a rig. In my eagerness to show the crew my value, I went on an impassioned technical rant about what I believed was a “game-changing” modification. After a few minutes of enthusiastic explanation, a senior colleague interrupted me to point out that the modification I proposed was already part of the standard setup — and had been for years. This still gets a laugh from those who were there!

It was humbling and taught me a valuable lesson. Enthusiasm and confidence are great, but they must be paired with listening and learning. Since then, I’ve made it a point to take a curious and humble approach to new challenges. I check my assumptions and seek input before diving in and pushing forward a solution.

Are you working on any exciting new projects now? How do you think that will help people?

We have exciting growth plans for our operating division in 2025. We are currently expanding our existing footprint in North Dakota and moving into Montana. From a business perspective, this gives us more barrels, which translates to more revenue. But it also helps the local communities where we work. By increasing our drilling activities and adding new wells, we’re creating jobs, supporting regional economies, and contributing to America’s energy independence. At the same time, we’re continuing to prioritize efficient and responsible development to ensure long-term benefits for all stakeholders involved.

None of us are able to achieve success without some help along the way. Is there a particular person who you are grateful towards who helped get you to where you are? Can you share a story about that?

I am deeply grateful for my grandmother, Jean Ferrari. She played a big role in shaping who I am today, not only by helping to raise me but by instilling the family values that guide both me and my father. She taught me the importance of hard work and putting family first — principles that guide everything we do at Phoenix Energy.

To honor her influence, we named our first operated pad in North Dakota the Jean Ferrari Pad. It was a proud moment for our family and our business, as it symbolized how she continues to inspire. Her legacy lives on in our work, in the way we treat our employees and investors like family, and in our commitment to building something meaningful and enduring.

How have you used your success to bring goodness to the world?

My family has established The Ferrari Foundation, which is dedicated to supporting the next generation of healthcare professionals, particularly those focused on improving care for patients with physical disabilities. My dad has transverse myelitis and is paralyzed from the chest down, but with the help of talented healthcare professionals, he has remained resilient and a key contributor to the growth of the business.

Seeing the dedication of his providers led us to create the Adam Ferrari Health Science Scholarship, a $20,000 award aimed at empowering students pursuing degrees in health sciences. This scholarship reflects our family’s commitment to giving back and fostering future leaders in healthcare. By investing in these students, we hope to contribute to the future of healthcare and make a positive impact on the lives of those in need.

Ok thank you for that. Let’s now pivot to the main parts of our interview. How do you define a family business? How is a family business different from a regular business?

A family business is one where multiple generations or family members contribute to both the growth and vision. My parents are involved in decision-making at Phoenix, and my wife is our Chief Marketing Officer. This business is the lifeblood of the family and needs to function with the same principles of collaboration, trust, and shared values that drive decision-making in a household. Everyone from the growing team to our more than 4,500 investors is a part of the family, and I have a unique sense of responsibility to all these parties. I think that fosters a long-term perspective and a commitment to values that go beyond quarterly results that drive many businesses.

In your opinion or experience, what are the unique advantages that family owned businesses have?

Having my parents actively involved in decision-making and my wife working on our marketing efforts ensures that every aspect of the business reflects the same principles of collaboration and accountability that drive a household. I have found that this can foster a culture of loyalty and commitment, extending to our employees, partners, and investors, who we view as an integral part of the Phoenix family. It promotes a strong work ethic when you are standing side-by-side with your family on a daily basis.

What are the unique drawbacks or blindspots that family owned businesses have?

The same personal dynamics that strengthen collaboration and trust can also blur boundaries. Addressing conflicts can be harder when you are worried that the results will bleed into the home. We address these potential drawbacks by fostering a culture of complete transparency and data-driven decisions. When we all agree to rely on data to guide key decisions, we achieve a balance that allows the business to benefit from the best of family values and professional rigor.

What are some of the common mistakes you have seen family businesses make? What would you recommend to avoid those errors?

One of the most obvious and common mistakes family businesses make is failing to establish clear boundaries between family and business roles. Emotional dynamics can spill over into professional decision-making, leading to conflicts or inefficiencies. Another frequent mistake is insular thinking by not seeking outside perspectives on new opportunities for growth or improvement.

I have struggled with both at times, but I have benefited from formalizing roles and responsibilities for family members and treating the business like any other professional organization. This includes having processes for data-driven decision-making that everyone in the organization follows. Additionally, I routinely seek outside input — whether through consultants or non-family executives — to bring fresh ideas and expertise.

What advice would you give to other CEOs or founders of family businesses to help their employees to thrive?

You have to be willing to achieve what your competitors will not and cannot achieve. My family did not have the inheritance or tremendous wealth to start Phoenix Energy; we had my professional experience along with determination, resilience, and resourcefulness. Don’t underestimate what is possible when you build a culture that empowers employees to act and feel like part of your family. When people understand their contributions are valued and tied to a greater purpose, you can foster this sense of belonging that truly allows you to achieve great — and difficult — things.

How do you define “Leadership”? Can you explain what you mean with a story or example?

Leadership, to me, is the ability to inspire, empower, and guide a team toward a shared vision. In oil and gas, we are headed into battle every day, and I want the best people around me to contribute the best they can. It gives us the best chance of winning. I try to set an example of hard work, trust, and transparency to create an environment where collaboration and innovation thrive.

A good example was the launch of our operating arm in 2023. It is uncommon for a company like Phoenix without institutional financing to undertake such an ambitious and capital-intensive initiative. As the leader, I had to ensure that everyone — engineers, field operators, and our administrative staff — understood the bigger picture and how their roles were critical to the success of the project. My leadership wasn’t about having all the answers but bringing out the best in our team to ensure success. We were able to bring our first wells online ahead of schedule and under budget and have since set several drilling speed records in the Bakken Formation.

What are the “5 Things You Need To Run A Highly Successful Family Business”?

Perseverance

Running a family business in oil and gas is not for the faint of heart because you are competing against publicly funded corporations. In the early days of Phoenix, we routinely competed with much larger companies for mineral rights. One particular deal required us to outmaneuver a larger competitor by not just matching their offer but also demonstrating the personal relationships and trust we build with mineral owners. Closing the deal took months of negotiations, countless setbacks, and grit. That perseverance paid off, and it has shaped our team’s approaches to acquisitions to this day. Those who endure and adapt are the ones who succeed.

Humility

You don’t know everything and will never know everything. There was a moment early in my career when I thought I had mastered both the technical and financial nuances of the oil and gas industry. During a project in the Bakken, an experienced field manager pointed out an overlooked efficiency opportunity in our well completion process. His idea saved us over a million dollars on that project alone. Those moments are a reminder that there is always more to learn. Staying humble allows you to embrace new ideas, no matter the source, and continually improve your operations.

Speed to Opportunities

I remember when we identified a promising tract of mineral rights in North Dakota. Our proprietary software flagged the opportunity, but we knew time was of the essence. Within days, we had underwritten the asset, established a relationship with the seller, and secured funding to close the deal. A larger, well-regarded competitor had begun to express interest just a week later, but the deal was already underway by then. Swift, informed action has allowed us to grow from a small family business to one of the largest private mineral owners in the U.S.

Commitment

The first few years of Phoenix were built on long hours and the unwavering belief that we could build something unique in the oil and gas sector. I remember staying up late in my apartment in Denver, poring over financial models and property evaluations, driven by a familial commitment to succeed. Those sleepless nights and relentless focus on the long term proved foundational. There’s no shortcut to success — just a commitment to consistent effort and belief in your vision.

Hard Work

Launching an operating arm requires substantial 7-figure investments. So when we drilled our first wells in the Bakken, it was an all-hands-on-deck effort. From engineers to field operators to our family back in the office, everyone was fully invested in making that project a success. The process was grueling, with unexpected challenges at every turn. Through hard work and never taking the easy way out, we brought those wells online ahead of schedule and under budget. The payoff wasn’t just in revenue — it was in proving to ourselves and our investors that Phoenix can truly deliver results as an operator in the Bakken.

We are very blessed that some of the biggest names in Business, VC funding, Sports, and Entertainment read this column. Is there a person in the world, or in the US with whom you would love to have a private breakfast or lunch with, and why? He or she might just see this if we tag them :-)

Right now, it would be Chris Wright, the newly appointed Energy Secretary under President Trump. I have followed Chris and his work with Liberty Energy for a while. His tech-forward approach to energy solutions aligns with how I see the future of Phoenix. I’d love to discuss how our industry can evolve in the coming years to balance energy independence with production demands. His insights on advancing domestic energy production while navigating regulatory landscapes would be invaluable for a company like ours.

You are a person of great influence. If you could inspire a movement that would bring the most amount of good to the most amount of people, what would that be? You never know what your idea can trigger. :-)

It would be one that champions energy literacy and accessibility. Energy is the foundation of modern life, yet so many people misunderstand its complexity or take its availability for granted. I would advocate for widespread education about how energy is produced, its role in our daily lives, and the importance of balancing sustainability with practicality. With more knowledge, I think we can encourage better decisions about its use, development, and conservation that lead to better outcomes for Americans and the entire globe.

This movement would focus on ensuring access to affordable energy for all, especially in underprivileged communities where energy poverty can limit opportunity. As we have seen over the past several hundred years, empowering people with energy has a ripple effect on innovation, improving quality of life, and fostering progress.

How can our readers further follow your work online?

Visit our website at phoenixenergy.com. There, you will find news, updates, and links to our social media profiles. We also host regular Phoenix Energy investor webinars, where you can learn about our business and investment opportunities in less than one hour. I often watch along, so I might even answer your question if you attend!

Thank you so much for joining us. This was very inspirational.