November/December 2012 by St. Cloud Area Chamber of Commerce

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â&#x20AC;&#x153;Congress needs more people with experience building businesses, not burning bridges.â&#x20AC;? -Jim Graves

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IN EVERY ISSUE 8

6 President’s Letter

Editor’s Note

14 Business Calendar

Network Central

Top Hats

CONTENTS

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23 Doing Good Smart Giving

Charitable giving can be a valuable business strategy in a down economy.

24 TechStrategies Newsworthy

There are many tools businesses can use to spread their news.

26 Working Well

The New Age of Addiction

Technology addiction can cause deteriorated health, depression, and job loss.

Every entrepreneur has a descriptor. For Bob Coborn, that word is tenacious.

Business Tools

Make your meetings matter.

A NEVER ENDING SPIRIT

G R OW

Meeting Mojo

32 COVER STORY

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NOVEMBER/DECEMBER 2012

22 Management Tool Kit

PROFIT

ON THE COVER: The Tuscany neighborhood in the Westwood Parkway Development. Bob Coborn calls the housing development “my crowning glory. It involved 1200 housing units and there are 17 home owners’ associations there. The Tuscany area is one of our best.”

GROW • NETWORK • PROFIT

PROFIT

This Issue 38 Feature Unbounded

St. Cloud-area businesses are finding a growing market for their goods and services overseas.

42 Special Focus Creditworthy

The Five C’s of commercial lending have long been used by lenders to evaluate a company’s creditworthiness. But the economic realities of the past several years have changed the way they are applied.

50 Business Spotlight Daniel Funeral Home

Economy Central presented by Falcon Bank

PROFIT

Special Sections 43 Financial

and Professional Services; Retirement Trust & Financial Planning

N E T WO R K

Upfront 10 News Reel

What’s happening and who’s moving. Business news from

around Central Minnesota.

10 Book Review

What Makes Great Leaders Great; Management Lessons From Icons Who Changed The World by Frank Arnold

45 Smart Business 12 Your Voice In Government A Case for Reform It’s time

to re-engage moderates in Minnesota elections.

13 People to Know 16 Regional Round-Up Moving & Shaking

ONLY ONLINE •• Tips for a functional home office

•• Become a public speaking superstar

•• Entrepreneurial assistance for veterans

•• 10 trends we won’t remember

www.BusinessCentralMagazine.com

Dedicated, skilled professionals Serving you with dedicated, highly skilled professionals â&#x20AC;&#x201D; itâ&#x20AC;&#x2122;s part of our commitment to quality care.

www.centracare.com

PRESIDENT’S LETTER

NETWORK

We’re Listening Visits with area businesses help the Chamber provide value.

have written about the value of our Grow Minnesota! Program in President’s Letters

over the years. We’ve been involved in this powerful business retention program, in partnership

When the Minnesota Chamber initiated partnerships with local chambers to launch the Grow Minnesota! Program, I had no idea the value and power it would bring to our Chamber.

with the Minnesota Chamber, since its beginning 10 years ago.

Teresa Bohnen, President

We’ve called on hundreds of area

caused the company to announce

part of SCSU’s Winter Economic

businesses and learned first-hand

their permanent closure. We

Institute to get that story. It will be

how to bring them value in an

talked about the regulations

worth your time.

ever-evolving world.

that made staying in business harder and harder for them. The

Chamber initiated partnerships

number of calls we made from

government was requiring ever

with local chambers to launch

50 to 75. I wanted the calls to

more from them in taxation and

the Grow Minnesota! Program, I

be a priority on my already

regulation conformity, even as

had no idea the value and power

full schedule, which created

their industry contracted by 10

it would bring to our Chamber. It

a nightmare of sorts for our

percent per year.

seemed like just another thing to

This year, we increased the

valiant program administrator, Ginny Kroll. As always, Ginny got the job

In the days following the explosion, I found great irony in the politicians who showed up at

get done on top of all the other Chamber initiatives. I now believe it is one of the

done. Here are some outcomes

the devastated site pledging to do

most important things we do.

from calls we made this year.

“everything we can to keep this

Certainly it is one of the most fun

company open.” Weren’t they

and fulfilling. If you would like to

Freightliner has us thinking

the same ones who supported

have a Grow Minnesota! call, call

about ways we can help bridge

the regulations and taxation that

Ginny Kroll or me. You can learn

ongoing workforce needs with

made it so difficult for Verso to

more about your Chamber, but

worker training resources. Our

stay in business for years before

more importantly, we can learn

goal is to complement efforts

the accident?

more about you, which will allow

A call with Jon Pearson at

of others and be more involved

During my last call of

in workforce issues, as the gap

the season, I met with Mark

widens between the needs of our

Krebsbach, managing partner at

businesses and the people who

CliftonLarsonAllen in St. Cloud.

want to work for them.

Their story of growth and expansion

I called on the general manager

When the Minnesota

is fascinating. You’ll need to attend

at Verso Paper five days before the

the Grow Minnesota! Panel sponsored

explosion and fire that eventually

by the Chamber on January 31 as

Business Central Magazine •• NOVEMBER/DECEMBER 2012

us to serve you better. Until next month,

Teresa Bohnen President

Main Phone 320-251-2940 Automated Reservation Line 320-251-2940, ext. 126 Program Hotline 320-251-2940, ext. 125 email: information@ StCloudAreaChamber.com www.StCloudAreaChamber.com ST. CLOUD AREA CHAMBER OF COMMERCE STAFF President | Teresa Bohnen, ext. 104 Vice President | Gail Ivers, ext. 109 Director of Administration Judy Zetterlund, ext. 106 Special Events Coordinator Virginia Kroll, ext. 105 Communications & Workforce Development Coordinator Whitney Bina Membership Sales Specialist Wendy Franzwa, ext. 134

Administrative Assistant Vicki Lenneman, ext. 122 Administrative Assistant Cindy Swarthout , ext. 100 Administrative Assistant Sharon Henry, ext. 124 CONVENTION & VISITORS BUREAU STAFF Executive Director Julie Lunning, ext. 111 Sales Manager Lori Cates, ext. 113 Director of Sales & Marketing Judy Okerstrom, ext. 112 Director of Sports & Special Events Kelly Sayre, ext. 128 Director of Visitor Services Jean Robbins , ext. 129 Receptionist Nikki Fisher, ext. 100

2012-13 BOARD MEMBERS Jim Beck Minnesota School of Business Jason Bernick Bernick’s - Beverages & Vending Gary Berg G.L. Berg Entertainment, Performing Artists & Speakers Craig Broman St. Cloud Hospital/CentraCare Health System, Board Chair Neil Franz Neils-Franz-Chirhart, Attorneys at Law Jayne Greeney Schill St. Cloud Area School District #742 Steve Hahn HahnMark, LLC John Herges Falcon National Bank, Board Vice Chair Scott Johnson Times Media

Diane Mendel Playhouse Child Care Kris Nelson Custom Accents, Inc. Rick Poganski Principal Financial Group Dr. Earl Potter, III St. Cloud State University Roger Schleper Premier Real Estate Services Jodi Speicher The Good Shepherd Community Bill Winter St. Cloud Federal Credit Union, Past Board Chair Chriss Wohlleber Le St. Germain Suite Hotel

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EDITOR’S NOTE

NETWORK

PYMWYHI I can count on one hand – probably one finger – the number of times I have been able to make such a connection between the obscure and the concrete.

St. Cloud’s Microbiologics is a leading provider of quality control microbes. I was given the opportunity to see some of the secrets to their success, but they truly are secrets, so we settled for a photo in the lab.

.hose of you who have been around St. Cloud a long time will remember the Darrell Burger. The Darrell Burger was the signature item at the Flat Iron Restaurant. This triangular shaped building located near the railroad tracks in downtown St. Cloud now houses Studio D Photography. But in the late 1970s and 1980s it was home to a tiny iconic restaurant that served – by its own proclamation and that of its patrons – the Best D*** Burgers in Town. (The *** are mine.) One evening as we entered the restaurant we noticed the ceiling was draped with ribbons. Attached to the ribbons with clothes pins were $1 bills and note cards with PYMWYHI written on them. Of course we asked what it was about. Darrell said if we gave him $1 he’d tell us. In a rare moment of insight, I suddenly knew what it meant. I didn’t think I knew. I knew. I was absolutely certain. My friend, of course, didn’t believe that I knew and I wouldn’t

Business Central Magazine •• NOVEMBER/DECEMBER 2012

tell him. So he paid his $1, I said what it meant and Darrell confirmed that I was right. I can count on one hand – probably one finger – the number of times I have been able to make such a connection between the obscure and the concrete. Not so Bob Coborn. (See the cover story on page 32) Serial entrepreneur and self-described tenacious businessman, Bob has spent his life seeing the indecipherable and turning it into jobs. He sees an isolated cornfield and turns it into a popular housing development. He sees a water testing lab and turns it into an international provider of freezedried microbes. He sees an aging population and turns nursing home care into home-nursing care. He sees young entrepreneurs with ideas and helps turn them into the next major employer. I’ve been thinking a lot lately about inspiration and innovation. Eli Whitney saw a cat reach through a fence to grab at a chicken and was inspired to invent the cotton gin. Many people had seen that same image before Eli Whitney and none of them invented the cotton gin. I asked Bob how he

made the connection between a business in northern Minnesota that manufactured lyophilizers for taxidermy use and his water testing lab in St. Cloud. “I’m tenacious,” he said. “I define that as a neverending spirit. If we decide we’re going to do something, we do it. We don’t give up and walk away.” I think that’s a fancy way of saying, “I don’t know. It just happens.” Sort of like my understanding of PYMWYHI. If you’ve read this far hoping I’ll tell you what PYMWYHI is, you’re going to be disappointed. However, if you send me $1 or give me $1 next time you see me, I’ll tell you. And should I actually receive any money, I will donate it to the Glenn J. Imholte/Chamber Connection 2013 Unite For Success High School Scholarship. Until next issue,

Gail Ivers

Vice President

Editor

Publisher Teresa Bohnen

Briana Stonelake Workplace Behavioral Solutions

Managing Editor Gail Ivers

Jacki Templin Plaza Park Bank

Associate Editor Dawn Zimmerman

Dawn Zimmerman The Write Advantage

CONTRIBUTING WRITERS

ADVERTISING

Whitney Bina St. Cloud Area Chamber of Commerce

Associate Publisher/Sales Wendy Hendricks, Hendricks Marketing

Colette Carlson CliftonLarsonAllen

Ad Traffic & Circulation Yola Hartmann, Hazel Tree Media

Sharon Henry St. Cloud Area Chamber of Commerce Dr. Fred E. Hill St. Cloud State University Gail Ivers St. Cloud Area Chamber of Commerce Tracy Knofla High Impact Training Al Kremers GSCDC’s air service corps David Olson Minnesota Chamber of Commerce Lawrence Schumacher Wordbender Communications, LLC

ART Design & Production Yola Hartmann, Hazel Tree Media Sarah Sucansky Cover Photo Joel Butkowski, BDI Photography ACCOUNTING Accountant Judy Zetterlund WEBSITE Vicki Lenneman

110 Sixth Avenue South • P.O. Box 487, St. Cloud, MN 56302-0487 Phone (320) 251-2940 • Fax (320) 251-0081 www.BusinessCentralMagazine.com For advertising information contact Wendy Hendricks, (320) 656-3808, 110 S. 6th Ave. • P.O. Box 487, St. Cloud, MN 56302-0487. Editorial suggestions can be made in writing to:

Charles W. Mooty CEO, Faribault Woolen Mill Company Interim CEO, Fairview Health Services Thursday, January 24, 2013 11:30 a.m. – 1:00 p.m. River’s Edge Convention Center

JANUARY KEYNOTE SPEAKER

Charles “Chuck” Mooty has more than 30 years of business and civic leadership experience. He earned both his bachelor’s degree and a Masters of Business Administration degree from the Carlson School of Business at the University of Minnesota. After graduating, Chuck worked for SuperValu in the Finance and Treasury departments before transitioning to International Dairy Queen, where he served in a variety of leadership roles for more than 21 years. During his last eight years of service with International Dairy Queen, Chuck held the titles of Chairman, CEO and President. Currently, Chuck is President and CEO of Faribault Woolen Mill Company. He is also serving as interim CEO of Fairview Health Services—a large, integrated health system headquartered in Minneapolis. Chuck has volunteered at Fairview for more than 12 years in various governance capacities. He is the current chair of the board of directors for Fairview. Chuck is a life-long resident of Minnesota, and he is active in a variety of organizations and community activities. He and his wife Elizabeth reside in Minneapolis and have three grown children—John, Paige and Will.

Editor, Business Central, P.O. Box 487, St. Cloud, MN 56302-0487. Submission of materials does not guarantee publication. Unsolicited materials will not be returned unless accompanied by a stamped, self-addressed envelope. © Copyright 2012 Business Central LLC

For more information, call Eric Jungels at 320.251.5420 Corporate Sponsors

Business Central is published six times a year by the St. Cloud Area Chamber of Commerce, 110 Sixth Avenue South • P.O. Box 487, St. Cloud, MN 56302-0487 • Phone (320) 251-2940 Fax (320) 251-0081 • Subscription rate: $18 for 1 year.

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Book Review

Point of View

Your Voice in Government

People to Know

Business Calendar

It Happened When?

Regional Roundup

UPFRONT

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icons from all kinds of social domains clearly shows just how widely and effectively management know-how can be used to attain specific objectives.” Would that this were always true. I applaud his efforts in giving his readers onestop shopping for management know-how. I agree with his position of “while management know-how may most clearly come into its own in running an organization, the knowledge underlying it is actually applied everywhere, whenever people perform, achieve results, or attain goals.” The book is organized around three core areas: Managing Organizations, Managing Innovation, and Managing People. There are 56 chapters structured under the three core areas. Each chapter shares an important perspective of learning from an historical icon. For example, the icon for Chapter 44, Create Trust, is learning from Levi Strauss; the icon for Chapter 53, Foster Creativity All Life Long, is learning from Pablo Picasso.

Business Central Magazine •• NOVEMBER/DECEMBER 2012

uthor Frank Arnold introduces his book stating, “Regardless of the domain in which you wish to achieve your goals, one thing is certain: management know-how will be an essential prerequisite for attaining them.” Management know-how is not just applicable and essential to business. He refers to his book as a practicebased manual designed to be put to practical use. Arnold has a lofty premise. He says that “Spotlighting key aspects of the achievements of

Personal stories tell how management know-how helps leaders reach goals. Reviewed by Fred E. Hill

Management Know-how

McGraw-Hill, New York, 2012, ISBN 978-0-07-177051-4

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NEWS & PEOPLE THAT MAKE UP THE CHAMBER NETWORK

BOOK REVIEW

What Makes Great Leaders Great; Management Lessons From Icons Who Changed The World by Frank Arnold,

NETWORK PROFIT

GROW

The author lists ten social domains of expertise or specialist knowledge. They are Art, Music, Culture, Sports, Medicine, Military, Science, Education & Training, Politics, and Economics. He interweaves these domains in and through his three core areas. He has 14 chapters under Managing Organizations, 10 chapters under Managing Innovation, and 32 chapters under Managing People. I’m not sure if he is connoting that managing people is more difficult than managing organizations. (It is okay to laugh here). I confess I did not know that Niki Lauda is a former Formula One race car driver (see Chapter 51, Think Constructively, learning from Niki Lauda) – who started Lauda Air and NIKI airlines. His chapter convinced me to read and enjoy this book. Try it – you may feel the same way! BC Dr. Fred E. Hill is a professor of Learning Resources Services, at St. Cloud State University.

N E WS R E E L Adelman Advertising wins awards Adelman Advertising won two 2012 National Mature Media Awards for lifestyle folders created for The Fountains at Hosanna! Senior Living in Lakeville and Trails of Orono Assisted Living & Memory Care in Orono. The program, presented by the Mature Market Resource Center, recognizes the nation’s finest marketing, communications, educational materials, and programs designed and produced for older adults.

Freightliner earns certification Freightliner of St. Cloud has been certified as an Elite Support Dealer. Elite Support focuses on enhancing dealership processes that address customer concerns. To become Elite Support certified, dealers need to demonstrate proficiency in 19 areas including express assessment and customer amenities.

Attorneys recognized as “Super Lawyers” Schwegman Steven

Schwegman and James McAlpine, attorneys with the Quinlivan & Hughes law firm, McAlpine were selected as “Super Lawyers” by Thompson Reuters. Schwegman was selected as a “Minnesota Super Lawyer” and McAlpine was selected as a “Rising Star.”

POINT OF VIEW

Business Central asked readers:

“

There was a fast decline and now a slow increase in our business. We lost over one third of our electricians and half of the shops.”

Mike Nies Nies Electric

“

What significant changes have you seen in your profession or business over the last few years?

”

“ Kirsten Freeman 360 Chiropractic

We have seen a resurgence in the acknowledgement and appreciation of holistic care. We are also working more with the medical community.”

“ Dick Anderson Holiday Inn & Suites

Business is still good. Competition continues to be strong and people are updating their properties, which is good for the industry.”

“ Jeanine Nistler CentraCare Health System

The opportunities and avenues for communication with the public have increased tremendously. Traditional print and broadcast media have now become almost limitless.”

“

We’re in the technology business so it’s always changing.”

medica works for your business. Medica is a leader in providing personalized healthcare coverage. And we offer the region’s most comprehensive portfolio of plan options. Whether you’re looking for cost savings, flexibility, or access to providers, there’s a Medica plan that works for you. Plus, employees get to choose personalized coverage that fits the way they live. So choose the health plan that works hardest – provides the most value – for you and your employees. Medica works for you. For more information, call your broker, or call Medica at 855-55-FOR-ME.

Mike Gunderson Cartridge World MDCA2443B19b-4pt875x7pt375.indd 1

9/17/12 9:43 AM

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UPFRONT

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NETWORK

YOUR VOICE IN GOVERNMENT

N E WS R E E L Bader joins Rajkowski Hansmeier Steven A. Badar has Badar joined Rajkowski Hansmeier as an associate attorney. Badar is a graduate of Gonzaga University School of Law. He will practice in the areas of insurance defense, construction law, criminal law, and general litigation.

Schlenner Wenner hires staff Schlenner Wenner Ebensteiner & Co. hired the

following people: Mark Ebensteiner, Mary Backlund, Tim Beyl and Jon Latcham. Beyl Ebensteiner joins the accounting and audit department as a senior accountant. Backlund joined the accounting and Latcham audit team in Little Falls as manager. Beyl and Latcham, recent SCSU grads, join the firm as tax Backlund and accounting staff.

Coborn

Ruether

Dolan

Tran

Bacon

CSB Board members named The College of Saint Benedict Board of Trustees has named five new members: Rebecca Bergner Coborn, Terrance Dolan, Patricia Ruether, Tu Tran, and Pam Bacon.

A Case for Reform

It’s time to re-engage moderates in Minnesota elections. By David C. Olson

very legislative seat is up for grabs in the November elections. Are you excited by your party’s candidates? Were you actively engaged in selecting candidates who will appear on local ballots? It’s a good bet most Minnesotans would answer “no.” Minnesota takes pride for consistently ranking near the top in voter turnout, yet a majority of rank-and-file citizens play a minimal role in selecting the candidates from whom we ultimately choose an officeholder. A tiny number of political activists do the choosing for us by showing up at their local party caucuses. Even fewer use that steppingstone to attend party conventions where they endorse candidates, the majority of whom wind up on the November ballot. The time-consuming and unfamiliar process tends to discourage moderates – both the moderately interested and the moderately leaning – and to reward those who are singularly focused on hot-button issues. Give credit to the activists who show up for the debates. They unfortunately have transformed today’s political parties into either far-right or far-left ideologies that can be a deterrent to crafting thoughtful, bipartisan solutions to today’s complex challenges. Here are some ideas to reform Minnesota’s nomination process:

•• Candidate recruitment: We must work harder to encourage and enable people to run for office. Wouldn’t it be great if the choice on the ballot were between a Democrat and a Republican who each had practical, private-sector business experience of how our economy works? –––––––– •• Stronger citizen engagement: When did you last attend a caucus? We need to change the process and make it more welcoming and understandable. ––––––––

Business Central Magazine •• NOVEMBER/DECEMBER 2012

•• Eliminate caucuses: Great idea, great history, but today the system is polarizing our democracy and crippling our ability to govern. –––––––– •• Move the primary: An earlier primary creates a fairer playing field for challenger candidates against entrenched incumbents. At present, a candidate new to the game needs to navigate the treacherous waters of the party endorsement and primary process over a seven-month period – only to have 83 short days to build a viable campaign for the November election. Finding ways to enlist more individuals to seek office is the first step, but that alone won’t solve our current predicament. We may need to change the rules just a bit. Then the silent majority needs to show up and participate – or quit complaining. BC David Olson is president of the Minnesota Chamber of Commerce. For more information, visit www.mnchamber.com.

IN THE NEWS

COMMUNITY PRIORITIES INITIATIVE RECEIVES FUNDING The Central Minnesota Community Foundation and the Initiative Foundation awarded $52,500 to area projects within the St. Cloud Area Community Priorities Initiative. Organizations that received grants include: St. Cloud State University, St. Cloud Area Family YMCA, United Way of Central Minnesota, Greater St. Cloud Development Corp., and the City of St. Cloud.

PEOPLE TO KNOW

Five Elected to Chamber Board

The following individuals have been elected to fill three-year terms on the Board of Directors of the St. Cloud Area Chamber of Commerce.

Jason Bernick

Bernick’s - Beverages & Vending

(320) 252-6441 jbernick@bernicks.com

Diane Mendel

Playhouse Child Care

(320) 656-1910 aldimen@charter.net

Dr. Earl H. Potter III

St. Cloud State University

(320) 308-2122 president@stcloudstate.edu

NO MORE STATUS QUO. JOIN ME. If you’re looking for financial resources to take your business to the next level, count us in. For decades, Bremer bankers have been helping movers and shakers all across the region. We have the resources and the business savvy to help you get where you want to go – locally or globally. Talk to a Bremer business banker near you.

Roger Schleper

Premier Real Estate Services

(320) 259-4554 Roger@PremierHomeSearch.com

Chriss Wohlleber

Downtown St. Cloud • 251-3300 West St. Cloud • 656-3300 Sauk Rapids • 252-1938 Sartell • 255-7121 Rice • 393-2600 1-800-908-BANK (2265) Bremer.com

COUNT US IN.

Le St. Germain Suite Hotel

(320) 654-1661 cwohlleber@lestgermainsuitehotel.com

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N O V E M B E R / D E C E M B E R 2 0 1 2 • • w w w. B u s i n e s s C e n t r a l M a g a z i n e . c o m

UPFRONT

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NETWORK

N E WS R E E L Brandenburg completes training Ronald W. Brandenburg, Brandenburg Quinlivan & Hughes P.A., completed a 30-hour civil mediation training requirement and is now a Qualified Neutral under Minnesota Rule 114. Brandenburg can expand his practice to include the mediation of business and employment disputes.

Women on Stage raises $150,000 Women on Stage, an annual fundraiser through the Central Minnesota Community Foundation Women’s Fund, raised a record $150,000 for local programs that support women and girls. Proceeds were granted to Clara’s House, Anna Marie’s, Whitney Center and the Women’s Fund Scholarship Fund.

Marco acquires business, hires staff Marco acquired TelServ Boettcher Communications, Inc., a voice communications, data networking, and managed IT services Streitz provider located in Aberdeen, SD. Marco also partnered with Five Star Telcom, Inc. Employees from Five Star Telcom joined the Marco team and will continue to provide voice and data sales and service to current customers. Jim Boettcher was hired as a managed service manager and business analyst and Katie Streitz was hired as a managed services client relations specialist. development and sales. Compiled by Whitney Bina For consideration in Business Central’s News Reel, please send press releases to Gail Ivers, Editor at givers@StCloudAreaChamber.com

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BUSINESS CALENDAR NOVEMBER/DECEMBER 2012 ••

Visit events.StCloudAreaChamber.com for a detailed calendar.

Can’t miss opportunities to influence, promote, and learn. NOVEMBER 6

Technology and Education Conference Annual conference featuring training in legal, human resource, technology, and other areas. Free and open to the public; 8 a.m. – noon. Holiday Inn & Suites, 75 37th Ave. S, St. Cloud

Nov. 7 and Dec. 5

Nov. 8 and Dec. 6

Lunchtime Learning

Business After Hours

noon-1 p.m.

4:30 - 6:30 p.m.

Nov. 9 and Dec. 7

Government Affairs 7:30 - 9 a.m.

Educational networking events that give busy professionals a chance to stay on the cutting edge. Meets the first Wednesday of the month at the Chamber office, 110 6th Ave. S. Registration is required: $15 for Chamber members, $22 for the general public.

A complimentary open house for Chamber members and guests. Bring lots of business cards and prepare to grow your network!

A discussion of local government issues on the second Friday of the month, at the Chamber office, 110 6th Ave. S

November 8: hosted by House

November 9:

November 7: sponsored by KDV, with Dorraine Larison, Gray Plant Mooty, presenting “Avoiding High Stakes Wage and Hour Claims”

December 6: hosted by St.

December 5: sponsored by

WACOSA, with Mike Schlough, Park Industries, presenting “How to Keep Your Customers Coming Back for Life”

Dec. 7

Chamber Connection Birthday Party 7:30 - 9 a.m.

This fun-filled event celebrates the anniversary of Chamber Connection. $1 at the door; no reservations required. Coyote Moon/Territory Golf Club, 480 55th Ave. SE, St. Cloud

Business Central Magazine •• NOVEMBER/DECEMBER 2012

of Pizza, 1733 Pine Cone Road S, Sartell

Cloud Technical and Community College, 1540 Northway Drive, St. Cloud

Nov. 15 and Dec. 20

Sauk Rapids Chamber 11:30 a.m. - 1 p.m.

For businesses interested in Sauk Rapids issues. Lunch is provided by the host when you register at least two days in advance. Located at Good Shepherd Fellowship Hall, 1115 4th Ave. N, Sauk Rapids

November 15: hosted by

Post Election Discussion

December 7:

Legislative Session Preview

Nov. 21 and Dec. 19

Waite Park Chamber 11:30 a.m. - 1 p.m.

For businesses interested in Waite Park issues. Lunch is provided by the host when you register at least two days in advance.

November 21: hosted by St. Cloud Area ISD #742, with a presentation on the Student Success Initiative. Discovery or McKinley School (TBD) December 19 : Holiday Party

Wells Fargo with a presentation by Representative Tim O’Driscoll on “What to expect from the Legislature in 2013”

hosted by Sentry Bank, at Moose Family Center, 1300 3rd St. N, with entertainment by Tech High School singers, sponsored by Forsberg Investments & Insurance

December 20: Holiday Networking hosted by the Good Shepherd Community

For information on these or other business events, call 320-251-2940.

IT HAPPENED WHEN?

1989 The Birth of Chamber Connection

he St. Cloud Area Chamber’s Number One networking program, Chamber Connection, has grown significantly since it began in 1989. Luke Cesnik, Computech, Inc., started the program, with 22 people attending the first meeting in the basement of the old Chamber office. Tom Moore, president of the Chamber at the time, approved of the program but had one big concern. There was no exit strategy if the Chamber Connection failed to catch on. However, attendance grew quickly and soon over 40 people were at each meeting. After the first couple of years, attendance at Chamber Connection was consistently above 100 members. Today, Chamber Connection still begins with introductions, is hosted by a Chamber member, and includes time for

First Anniversary of the Chamber Connection – December 1990. Jim Hoolihan congratulated Luke Cesnik for his contribution in starting the group.

announcements and testimonials. Every year in December, the Chamber celebrates the birthday of Chamber Connection. Help celebrate Chamber Connection’s 23rd birthday this year on December 7 at Coyote Moon/Territory Ridge Golf Club. No inflation here – the price is still a steal at $1 at the door. BC

TOP: Chamber Connection Birthday Party December 1999 with chair Tammy Schlough Buttweiler (center). BOTTOM: Jim Gruenke (left) and Luke Cesnik at the Chamber Connection Birthday Party December 2009.

N O V E M B E R / D E C E M B E R 2 0 1 2 • • w w w. B u s i n e s s C e n t r a l M a g a z i n e . c o m

UPFRONT

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NETWORK

REGIONAL ROUNDUP

Moving & Shaking

The announcement that international manufacturer Geringhoff is expanding in St. Cloud may be the biggest economic development news to hit Central Minnesota in the last few years. But look around – there is plenty of other good news. CHECKLIST

Fly St. Cloud to Grow St. Cloud By Al Kremers

Construction on County Road 2, west of St. Joseph, started in September.

ST. CLOUD Earlier this year three businesses were able to take advantage of a construction assistance program offered by the St. Cloud Economic Development Authority. All three projects are expected to be substantially finished by December: •• Jason Friese Dentistry is building a 3600 sf building on 25th Ave. S on the site of the former Schwinn bicycle shop. The expansion is expected to retain three and add two jobs. •• Executive Express added 4000 sf at their existing location on Southway Drive in St. Cloud. The expansion is expected to retain 17 and add at least nine new jobs. •• Arctic Cold Storage is completing an 18,000 sf expansion to accommodate new technology. The project is expected to retain 50 and add eight new jobs. •• Also in St. Cloud, Microbiologics completed a substantial addition and remodel of their existing facility, and Marco completed a new headquarters building at 4510 Heatherwood Rd, St. Cloud. “Right now we’re working with a large existing manufacturer about a possible expansion,” Cathy Mehelich, St. Cloud’s

economic development director, said. “And another international manufacturer is looking at St. Cloud or Sauk Rapids. They’ll have 60 jobs to start.” Interest in the area has been driven by workforce needs, Mehlich said. “We’re getting interest from North Dakota and Canada because of our workforce – it’s skilled, it’s substantial, and it’s available.” For more on Geringhoff, see the story on page 28.

ST. JOSEPH If you haven’t seen St. Joseph lately, you haven’t seen St. Joseph. New construction and redevelopment has changed the face of downtown, leaving only one store vacant, according to Cynthia Smith-Strack, economic development consultant for the City of St. Joseph. Highlights include: •• The Mill Stream Shops and Lofts are full •• The College of Saint Benedict completed new dorms and athletic facilities •• Collegeville Development Group’s senior housing, The Villages at CSB, are directly adjacent to the new student housing.

Business Central Magazine •• NOVEMBER/DECEMBER 2012

Beginning December 15th, Allegiant Air will provide twice weekly jet service to Phoenix from the St. Cloud Regional Airport. Direct flights, low fares, close proximity to the airport, and free parking are just the immediate personal benefits of using this service. Additionally, successful Phoenix service is an essential step in securing Chicago service. Twice daily Chicago service will have an $8 million annual economic impact on the region from growth in goods and services provided to area businesses and visitors to the region. Chicago service improves the region’s ability to compete for national and multi-national companies, resulting in further economic benefit to the region. Everybody benefits from a growing economy. Chicago service provides travelers access to a less expensive hub with more daily flights and connections to more destinations. Rather than spending three hours driving to Minneapolis, clearing security and waiting at the airport, travelers can be in Chicago engaging in business or pleasure or on to their final destination. Community support is key to acquiring Chicago service. l Fly St. Cloud l Share your travel information at www. LetsGoSTC.com. l Make a tax-deductible pledge to match the minimum revenue guarantee grant by contacting Jami Bestgen at JamiBestgen@aol.com or 320-252-2411. Al Kremers is chair of the Greater St. Cloud Development Corporation’s air service corps, a founding member of the GSCDC, and a director at DeZurik and DCI.

•• The City of St. Joseph is about 40 percent through a large business retention and expansion survey that covered 150 local businesses. “The survey results will help the city identify red flags for development,” Smith-Strack said. “We hope to learn which businesses might be thinking about leaving and why, who might need some assistance, and if there are any regulatory or development processes that we can streamline. “ •• Construction of the County Road 2 to County Road 3 connection has finally begun. This interchange, west of St. Joseph, will move truck traffic out of downtown St. Joseph, without restricting local traffic.

SAUK RAPIDS Sauk Rapids’ downtown continues to enjoy growth and redevelopment. The Old

“We’re getting interest from North Dakota and Canada because of our workforce – it’s skilled, it’s substantial, and it’s available.” Capital Tavern, Good Patina, Flying Pig Pizza, and Independent Lifestyles all opened in the downtown area in the past year. Along with the new faces, longtime downtown resident, Jimmy’s Pour House did an outside remodel and Wash ‘n Tan received a major face-lift helping the town continue its pattern of growth and development that received a jump start with the completion of the Sauk Rapids Bridge in 2007. Other development in Sauk Rapids includes: •• Hardware Distributors put on a

40,000 sf expansion •• Custom Caseworks added 15,000 sf to their facility •• The Torborg apartments and townhomes on U.S. Highway 10 will be finished by the end of 2012. The development has been well–received with all 20 townhomes already leased.

WAITE PARK A few businesses that recently opened in Waite Park include: Fiesta Taco, Mexican Village Too Express, and Treasure Chest. BC

When joints wear out, we rebuild. Stay active with minimally invasive joint replacement surgery from St. Cloud Orthopedics.

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(verb) restore to sound condition after damage or injury See also: St. Cloud Orthopedics In 2011, our orthopedic surgeons successfully completed over 7,500 surgical procedures.

1901 Connecticut Ave S, Sartell StCloudOrthopedics.com 320.259.4100 orthopedics redefined

Knee & Shoulder • Joint Replacement • Sports Medicine • Hand Center • Trauma • Spine Center • Foot & Ankle • Physical & Occupational Therapy

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UPFRONT

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NETWORK CENTRAL

Network! The Chamber Open

Photography by QuarterTon Productions

The 2012 Chamber Open was held at Blackberry Ridge Golf Club. Almost 140 golfers participated.

Oops! Bob Miller, Kendeco (L) didn’t know his own strength when he borrowed a club from Mike Gibbons, St. Cloud State University.

(From left) Angie Hill, Restoration Professionals; Kristen Berreau, St. Cloud Overhead Door; Wendy Hendricks, Hendricks Marketing; Jackie Tendrup, Finken Water Centers; Tara Tollefson, Plaza Park Bank

Jim Gruenke, Mark J. Traut Wells (right) says “I’m such a lousy golfer that the only way I can get any recognition is to round up random bystanders and convince them to act like they are impressed with my game.” And make sure there’s a photographer standing near-by.

Business After Hours at CentraCare Health System River Campus

Cheryl and Mike Nies, Nies Electric

Kirsten Freeman, 360 Chiropractic (left) and Jeanine Nistler, CentraCare

Mark Larkin, CentraCare Health Foundation (left) and Craig Broman, St. Cloud Hospital

Business Central Magazine •• NOVEMBER/DECEMBER 2012

Cheryl Hochhalter, Bremer, and Peter Maus, J. F. Kruse Jewelers

NETWORK CENTRAL

Network!

Business After Hours at DJ Bitzan Jewelers

(From left) Kyle Gregory and Aaron Smith, Schlenner Wenner and Co.; and Dan Anderson, Miller Welle Heiser

Steve Sauer, Erickson Electric and Pat Bitzan

(From left) Dee Rengel, Rengel Printing; Rachelle Nelson, Sentry Bank; and Peter Mullin, Kramer Financial

Mike Schmitt, Coldwell Banker Commercial-Orion (left) and Ted Takala, Wells Fargo Bank

Don Bitzan, DJ Bitzan Jewelers

N O V E M B E R / D E C E M B E R 2 0 1 2 • • w w w. B u s i n e s s C e n t r a l M a g a z i n e . c o m

TOP HATS | New Members ProvidaCare Medical Supply, a respiratory/durable medical equipment company for oxygen and PAP therapy, 414 Great Oak Drive, Waite Park. Pictured: Inese Mehr, Lisa Strong, Vicki Burton and Owen Peterson.

DAYTA Marketing, social media marketing, 921 1st Street N, Suite 205, St. Cloud. Pictured: Chris Panek, John Riordan, Luke Riordan and Jill Magelssen.

Cragun’s Resort Legacy Golf, 11000 Cragun’s Drive, Brainerd. Pictured: Diane Ohmann, Jackie Giefer and Owen Peterson.

Avalon Fortress Security Corporation, full protection security, 2407 109th Ave. NE, Suite 110, Blaine. Pictured: Tauna Quimby and Dan Seman.

McGough Construction, new construction and renovation in all sectors of the construction industry, 3900 Roosevelt Road, Suite 115, St. Cloud. Pictured: Owen Peterson, Danielle Johnson, Jim Rothstein, Janet Artmann and Inese Mehr.

Lester’s Water Works, horizontal drilling for geothermal, 26052 County Road 139, St. Cloud. Pictured: Eric Wille, Tauna Quimby and Lester Wille.

CDS Welcome Home, LLC, a six bedroom home for assisted living on five acres on the Mississippi River, 616 22nd St. S, St. Cloud. Pictured: Chris Panek, Chris and Dara Smith and Jill Magelssen.

Food Dudes Delivery, delivery and catering from a wide variety of local restaurants, 408 ½ 37th Ave. N, St. Cloud. Pictured: Kris Nelson, Dave Carlson and Jayne Greeney Schill.

Skin FitNessMD/The Vein Center, offers a wide variety of safe, proven ways to enjoy younger, healthier looking skin, 1990 Connecticut Ave. S, Sartell. Pictured: Brenda Eisenschenk, Maretta Johannes, Kristin Storm and Kris Hellickson.

Artzeria, digitally customizing your photos, 1257 2nd St. N, Sauk Rapids. Pictured: Tauna Quimby, Jim Schmitz, Dan Stevenson and Kris Nelson.

HARNESSING TECHNOLOGY. UNLEASHING

YOUR POTENTIAL.

Call today for all your IT n e e d s : • Web Site Design and Development • Content Management Systems (CMS) • Search Engine Optimization (SEO) • E-commerce Contact Jaime Engel 320.257.7100 www.jdb.com

Featured Project AbeTech

Highlights: Over 130 Pages , Kentico CMS Random Customer Quote Repeater, Web Analytics www.abetech.com 20

Business Central Magazine •• NOVEMBER/DECEMBER 2012

• Custom Applications Development • Dashboards and Reporting • Project Management • Network Design and Support

TOP HATS | New Businesses

TOP HATS | New Locations, New Ownership & Expansions

TOP HATS | Milestones

The Work Connection, temporary help services, 200 25th Ave. S, Suite 103, St. Cloud. Pictured: Roger Schleper, Nathan Brown, Joel Marie Neubert, and Kris Nelson.

25 year Chamber member Workplace Behavioral Solutions, human resource and management consultation, 1015 St. Germain St. W, Suite 440, St. Cloud. Pictured: Jayne Greeney Schill, Emily Larsen, Shawn Friday, Briana Stonelake and Inese Mehr. AirMaxx Trampoline Park, indoor trampoline park offering family fun and fitness, 3900 Roosevelt Road, St. Cloud. Pictured: Garrett Ewers, Nate Heilman, Owen Peterson, Dr. Mike Balfanz, Russ Pikus, Rob Young, Tauna Quimby, Kayla Deters and Ken Larson.

Massage Envy, a massage therapy franchise catering to people who want the benefits of massage at an affordable price, 2714 W Division St., St. Cloud. Pictured: Bob Lien, Sandy Loom, Amber Larson, Scot Ziessman.

Restoration Professionals, 24 hour emergency service, fire, water, mold, and more clean-up, power washing, 301 34th Ave. S, Waite Park. Pictured: Jayne Greeney Schill, Chris Steinke, Angie Hill and Kris Nelson.

25 year Chamber member Express Employment Professionals, locally owned employment expert with 26 years staffing industry experience, 1410 St. Germain St. W, St. Cloud. Pictured: Jayne Greeney Schill, Christy Zietlow, Kimberly Kowach, Jill Magelssen, Amy Sip, Tiffany Platz, Tristen Moulzolf and Roger Schleper.

Schuler Shoes, 342 3rd St. NE, Waite Park. Pictured: Diane Ohmann, Maggie Kihin and Kris Nelson.

25 year Chamber member Royl Masonry, 2445 Imperial Drive, St. Cloud. Pictured: Diane Ohmann, Kurt Lommel and Jayne Greeney Schill.

CW Technology, provider of managed IT services and system procurement 25113 21st Ave., St. Cloud. Pictured: Chris Panek, Mike Kiekenapp, Kathleen Court Stanger, Josh Niezgoski and Tauna Quimby.

25 year Chamber member Kalenda Law Office, 919 St. Germain St., Suite 2000, St. Cloud. Pictured: Jayne Greeney Schill, Theresa Loch-Thoele, Robert Kalenda, Bonnie Johnston, Brenda Pretzer and Kris Nelson.

Continuing to Make a Difference!

Celebrating 41 Years of Excellence in Caring for You! Accredited by Accreditation Association for Ambulatory Health Care, Inc.

St. Cloud Surgical Center 1526 Northway Drive • St. Cloud • 251-8385 • 800-349-7272 www.stcsurgicalcenter.com

N O V E M B E R / D E C E M B E R 2 0 1 2 • • w w w. B u s i n e s s C e n t r a l M a g a z i n e . c o m

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Doing Good

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Working Well

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BUSINESS TOOLS

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NETWORK PROFIT

RESOURCES THAT HELP YOUR BUSINESS GROW

MANAGEMENT TOOLKIT

Meeting Mojo

A few simple steps will help make your meetings matter.

By Tracy Knofla

methods of contacting people about cancelled meetings. Every effort must be made to alert folks of cancelled meetings in order to maintain employee trust.

2) Create a working agenda.

sk twenty people their pet peeves about meetings and you can be sure they will have similar responses. These include: meetings that start late, run over allotted time, allow participants to engage in extended tangents, don’t accomplish anything, were unnecessary to begin with, had no clear leader, and allowed participants to hold side conversations or text continuously during meetings. Curtailing these behaviors will not only enable your meetings to be more effective, it will

create meetings that your employees will be happy to attend. Try these techniques to enhance your meeting mojo.

1) Make sure you have a compelling reason to meet.

Don’t allow a “regularly scheduled” meeting time to dictate your plans. You either DO have something to accomplish or you DON’T. Cancel meetings when you don’t have important things to accomplish. Special note: make sure you have at least two

About the writer

This means a written agenda that is available prior to the meeting as well as at the meeting. This document allows you to focus and refocus discussions and provide opportunities for participant research and reflection on issues. This document should have lines under each agenda item so that people can take notes (even electronically) and review their action items and areas of responsibility following the meeting. The agenda should be projected or displayed on a wall of the meeting room with the actions taken under each item so that participants who are late can see what has been accomplished without disrupting the flow of the meeting.

3) Start and end every meeting on time. There is nothing more precious in the workplace than time. Respect

your participants’ workload and other commitments by setting a firm time for the meeting and strictly adhering to it.

4) Begin each meeting by setting or reviewing the behavioral norms established for this group. These could include expectations about personal participation, active listening, texting, settling conflicts, etc. These norms may seem awkward at first, but once agreed upon, they become the basis for confronting disrespectful actions.

5) ALWAYS summarize the accomplishments/action items at the end of every meeting. Reiterate how these actions will help the group achieve its goals. Meetings can be a wonderful way to share information and create strategies for future growth. They can also be a time-consuming waste of valuable employee resources. Get the best out of your people by hosting meetings that they look forward to attending because they realize that you respect their time, talents, and contributions. BC

Tracy Knofla is the co-owner and featured consultant of High Impact Training. She has been presenting to audiences across the country for more than 25 years.

Business Central Magazine •• NOVEMBER/DECEMBER 2012

DOING GOOD

Smart Giving

Charitable giving can be a valuable business strategy in a down economy. By Colette Carlson, CliftonLarsonAllen

t’s budget time – time to assess where you’re at and where you’re going. You stare at the line item “donations.” You know it’s important to contribute to your community in order to keep it strong and vibrant, but in this economy you need to be smart about your giving. Charitable donations are one of those expenditures that provide a double benefit: first, as a tax deduction for a business or for the owner of a pass-through business entity and second, as a marketing tool. Smart donors insure that their donations provide the intended benefit and are also recognized by the community. How? They investigate the financial track record of the charity and they make sure that the donation is reciprocated by the charity in the form of public recognition.

Involvement in a charity provides an opportunity to increase awareness of a business, expand market share and grow the top line. As unemployment rates have increased, charities have seen a decrease in monetary gifts, but an increase in in-kind gifts. Employers can cash in on the desire of employees to “keep on giving” by establishing programs that encourage charitable giving. Some prominent trends in this area include employer matches of employee donations, employer volunteer grants where employees contract with the employer to complete a designated number of service hours in exchange for an employer’s monetary grant to a charity, and the “adoption” of a specific charity by the business.

INTENT IS KEY . Businesses donate to charities in many ways, including cash or property donations (including inventory, supplies and fixed assets), participation on charitable organization boards and time commitments to the charity itself. . Cash donations provide a dollar-fordollar deduction unless the donor receives a benefit (i.e. dinner tickets). . Donations of business assets generally yield a deduction no greater than the donor’s cost of the item. . Donations of real estate are deducted at the fair market value of the property. . The structure of a donation can result in an ordinary versus a charitable deduction where the primary intent of the donation is to market the business. Documentation of intent is key.

Washington works for you!

As a business owner, I understand what Obamacare and Washington Bureaucracy are doing to our small businesses. I’ve voted to cut spending, balance the budget and address the taxes, regulations, and uncertainty that limits our recovery.

That is why Trust in Small Business and the US Chamber of Commerce have endorsed me, along with hundreds of families and businesses in Minnesota. PAID FOR BY BACHMANN FOR CONGRESS

MicheleBachmann.com

N O V E M B E R / D E C E M B E R 2 0 1 2 • • w w w. B u s i n e s s C e n t r a l M a g a z i n e . c o m

BUSINESS TOOLS

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G R OW

TECH STRATEGIES

Newsworthy There are many tools businesses can use to spread their news without waiting for traditional media to notice them. By Dawn Zimmerman

It is estimated that half of people now learn about breaking news through social media rather than official news sources.

“T

here’s a plane in the Hudson. I’m on the ferry going to pick up the people. Crazy.” That’s how the infamous Hudson River plane landing story broke. It was a tweet by a driver of one of the New York commuter ferries that was diverted to pick up the stranded airline passengers. He used his mobile phone to take a shot of the plane and uploaded it to TwitPic, a service that enables Twitter users to instantly share their snaps over Twitter. He was not alone. Within minutes of the US Airways flight ditching into the river, social media lit up with passengers reassuring their friends and loved ones, and onlookers capturing an

unforgettable moment. Some of the biggest stories broke in social media: the death of Osama bin Laden, protests in Egypt, the royal wedding, and the death of Whitney Houston. How we get our news is changing. On an average day 61 percent of Americans read their news online and an equal proportion look to newspaper, radio and social media, according to a report by Pew Research Center. It is estimated that half of people now learn about breaking news through social media rather than official news sources. Social media is changing the way media outlets – large and small – get and report the news. In most cases, news media organizations are using social media to

About the writer

post news and drive traffic to their websites. That strategy accounted for a 57 percent spike in traffic on their sites in 2009, and continues to serve as a significant driver. This year proved to be a tipping point with online news revenue surpassing print newspaper revenue. The shift provides significant opportunities for businesses. They no longer need to rely on making the perfect pitch to a reporter to get their stories told. Organizations certainly can begin by posting “news” through their social media account. But there are many tools that businesses of all sizes can use to spread the news even farther, faster. Here’s a look at just three of them: ShareThis (Sharethis.com) ShareNow (Sharenow.com) Organizations can add a ShareThis widget or the latest ShareNow widget to their website to make it easy for readers to share their articles on Facebook, LinkedIn and Twitter.

Dawn Zimmerman is CEO of The Write Advantage, a St. Cloud-based communications company that specializes in social media.

Business Central Magazine •• NOVEMBER/DECEMBER 2012

This goes beyond adding a Facebook icon to the website by allowing organizations to track which articles are being shared the most and on which networks. HootSuite (Hootsuite.com) Some social media administrators say they could not imagine life without this tool. It allows organizations to manage multiple social media accounts, schedule messages to be posted, and track the posts getting the most engagement. BlogFrog (Blogfrog.com) This tool focuses on engaging what are considered “influencers” to help spread specific content. Companies can use BlogFrog to increase their online presence, and blog readership in particular, by creating or engaging an interactive community of social media influencers based on a topic, vertical market, demographic, social influence, or consumer reach. BC

TECHNEWS

INNOVATION AWARDS The Center for Nonprofit Excellence and Social Innovation, in partnership with the Greater St. Cloud Development Corporation, presented the 2012 St. Cloud Innovation Awards in Sept. The Small Business I-Award was presented to Dawn Zimmerman and Jon Nock, coowners of Cloud Co-Working. The Large Business I-Award went to GeoComm. Non-profit I-Awards were presented to the United Way of Central Minnesota and to the Paramount Arts Resource Trust. All winners received a $1000 cash prize.

BY THE NUMBERS

Paper Rules At least in some applications. In a recent survey of readers, SmartPulse on Entrepreneurs found that a significant majority still use paper to keep track of their to-do lists. A distant second was email. Here’s how the results played out:

www.scr-mn.com

57.38% The old fashioned way, on paper

23.77% Through my email program

11.07% It’s all in my head

7.79% Through a web-based application

Formerly St. Cloud Refrigeration CentRal | metRo diViSion St. Cloud 320-251-6861 MetRo 800-827-1642

RefRigeRation HVaC SeRViCe Building automation food SeRViCe

noRtHeRn diViSion BaxteR 800-273-9071

SoutHeRn diViSion RoCheSteR 877-399-4546 Mankato 800-447-3259

DOING GOOD

BREMER HELPS HUNGER RELIEF The seventh annual “Taking Action to End Hunger” campaign raised $111,174 – up from last year’s record donation total of $84,614. Bremer Bank’s $50,000 matching gift was met and exceeded when donations increased nearly 32 percent over 2011. In seven years, the Bremer campaign has raised $958,608 for Second Harvest Heartland and local Feeding America food banks.

POWERING YOUR BUSINESS IS HUMANLY POSSIBLE Build the workforce you need to succeed in this new business environment. 425 East Saint Germain Street Suite 103 Saint Cloud, MN 56304 320-251-1924

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BUSINESS TOOLS

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G R OW

WORKING WELL

The New Age of Addiction

The consequences of technology addiction can include deteriorated health, depression, and job loss. By Briana Stonelake

ebster’s Dictionary 2012 defines addiction as a “compulsive need for and use of a habit-forming substance… characterized by tolerance and by well-defined psychological symptoms upon withdrawal.” How does this relate to technology? We can all likely think of someone who cannot get through a meal, movie, or even a conversation without reaching for a phone to check Facebook or Twitter, or to send a text. Symptoms of technology addiction include: Excessive Thinking: Excessive Thinking about what you will do when next online, and what you have done recently. For example, laying awake thinking about the next text message you want to send.

Lying: A sign of most addictions. If you need to lie, then you have something to hide. Experiencing Detriments: If you find yourself staying up late or missing work or class, for example. Tolerance: If you need increasingly longer periods of time online to achieve satisfaction, you are developing a tolerance. Cravings: If you get anxious or irritable when you cannot get online or check Facebook, you may be showing withdrawal symptoms. Technology addiction can negatively impact workplace performance and everyday functioning. “Twenty-seven percent of companies say that they’ve fired employees for

Business Central Magazine •• NOVEMBER/DECEMBER 2012

misuse of office e-mail or Internet,” according to Snapshotspy.com. Technology saves time, money, and energy. However, when it becomes addictive, the impact on work performance includes: •• Increased absences •• Distraction from work •• Loss of trust with co-workers •• Isolation from the team •• Job loss due to poor performance

Boundaries regarding technology in the workplace should be set to promote professionalism. Boundaries should also be developed at home to ensure that next generation workers know the consequences. “It is not the kids who have brought the widespread use of technology

into the home; it is us [the parents],” concludes a 2011 Barna Group study titled, The Family and Technology Report. As parents, teaching children the proper uses of technology can help minimize technology addiction in the next generation. As an employer, these steps can address technology addiction: •• Discuss and educate on signs/symptoms •• Report suspected misuse to a supervisor or the human resource department •• Provide open door policies regarding this issue •• Use employee surveys to gain a better understanding of technological uses •• Gain commitment and understanding from all departments across the organization on this issue As organizations become more proactive on technology addiction, it may become apparent that some employees are addicted. In such instances, access local services for individual and group therapy to address the addiction and underlying issues. The consequences of untreated technology addiction include erosion of social relationships, health problems, and depression. If you think you may have an issue or are simply curious, take the online test at www.virtual-addiction.com. BC

Briana Stonelake is a Licensed Graduate Social Worker with Workplace Behavioral Solutions.

TECH NEWS

And the winners are… Finalists for the 2012 Tekne Awards include Central Minnesota’s own St. Cloud State University. SCSU is a finalist for the EdTech Award, recognizing the development of technologies and innovations that enhance teaching and learning both in and out of the classroom. The Tekne Awards honor those who play a significant role in discovering new technologies that educate, improve lifestyles, and impact the lives and futures of people living in Minnesota and all over the world. The awards are presented annually by the Minnesota High Tech Association. The winners will be announced Nov. 1. For more information, visit www.BusinessCentralMagazine.com

NO MORE TEARS

Almost everyone knows someone who has watched in horror as a cell phone sank sadly into the water – be it the lake or the toilet. Well, salvation may be at hand. A few firms are competing to provide waterproof coating for phone makers, increasing the odds that your next Smartphone will be safe from an inadvertent trip to the loo. That’s just one of a handful of new Smartphone technologies that are on the horizon. Source: Time Techland

Edible Waste

An oxymoron? Maybe not. Inventor and chemical engineer David Edwards is well on his way to creating what he calls WikiCells. The idea is rooted in the way nature delivers nutrients: in a digestible skin “held together by healthy ions like calcium.” Think apples, potatoes, tomatoes: they all have an edible exterior that protects the treat within. Edwards and his team have experimented with a wine-filled grapelike shell, and an orange juice-laden orb with a shell that tastes like an orange. Possibilities like an edible milk bottle or yogurt container are not out of the question. The inventor’s goal is to help reduce packaging waste —millions of tons worth end up in landfills each year, according to the EPA. Source: GOOD BC Nov/Dec 2012 Ad_Layout 1 9/21/12 2:37 PM Page 1

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ECONOMY CENTRAL

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BY THE NUMBERS

Home Run

International manufacturer expands to St. Cloud

Daniel Hansmeier, CEO of Geringhoff Worldwide

fter almost a year of meetings, information gathering, site-visits, hard work and a lot of hope, German farm equipment manufacturer Geringhoff selected St. Cloud as the site for its new plant. The operation will be located in St. Cloud’s Airport Industrial Park. Geringhoff officials visited over 40 factories before choosing St. Cloud. “Why are we here?” asked Daniel Hansmeier, CEO of Geringhoff Worldwide. “Because of the people,” he said. “The people in St. Cloud were so helpful and put so much effort into our meetings. Then when we went back to Germany, they became even more helpful and put more effort into answering our questions. “We can’t wait to integrate in the community,” Hansmeier added. “When we visited St. Cloud I wouldn’t say that it felt like home, but it felt like it could become home.” “The quality of the local workforce was one of the primary factors that contributed

to our decision to open the facility here,” said Joe Jandrisch, president of Geringhoff in North America. “In the end, it was the people from Minnesota and the St. Cloud region that made the difference.” St. Cloud’s proximity to local suppliers in fabricated metal, advanced plastics production, hydraulics and electronic componentry also helped attract Geringhoff to the region. “The Minnesota Chamber was contacted twice by the Minnesota Department of Employment and Economic Development,” according to Bill Blazar, senior vice president, Business Development & Public Affairs at the Minnesota Chamber. “They asked us to help identify potential suppliers key to Geringhoff’s success with a St. Cloud area location. Using our statewide Grow Minnesota! business data base we were able to identify suppliers to meet Geringhoff’s needs. The St. Cloud Area Chamber is a great Grow Minnesota! partner, helping insure that St. Cloud area businesses are well represented, not just for this request, but all such requests that we receive.” Securing Geringhoff was a joint effort of several organizations. The Greater St. Cloud Development Corporation and the City of St. Cloud provided the company with community and business information. They also worked closely with the State of Minnesota regarding incentives and regional benefits for the company. St. Cloud State University and St. Cloud Technical and Community College provided facility tours, and information about local workforce and training options. This is Geringhoff’s first manufacturing site in North America. The company plans to hire 100 people initially, but Hansmeier suggested that this might be only the beginning, since the site has expansion space available. “We have a variety of new products coming to the North American market,” Hansmeier said. “We see huge potential for future growth.” – GAIL IVERS

Business Central Magazine •• NOVEMBER/DECEMBER 2012

71.2%

Minnesota’s population that was in the labor force in 2011

75.1%

Minnesota’s population that was in the labor force in 2000

292,071

the number of Minnesotans employed in manufacturing in 2010

87,637

the number of Minnesotans employed in construction in 2010

-7.5%

the projected decrease in manufacturing jobs in Minnesota from 2009-2019

15.3%

the projected increase in construction jobs in Minnesota from 2009-2019

Economy Central presented by

Earnings Growth Story Source: Bureau of Economic Analysis, CA05N Personal income by major source and earnings by NAICS industry. Last updated April 25, 2012—revised estimates for 2010; Source: Minnesota Department of Employment & Economic Development;

PRESENTED BY FALCON BANK

$64,755

62 128 160 157 182 117 215

ECONOMIC INDICATORS TRENDS Sartell St. & Cloud

$2,489,399

$2,076,302

$1.5M

$0 J FA MS

AO MN JD

No. of42permits 256 46 241 206 106 122 62 118 25 127 62 128 160 157 182 117 215 59 17 27 98 92

Sartell Sauk Rapids

$0 D

O M

N A

permits No. of permits 43 55 No. 52 of27 37 121 57 152 24 141 35 59 32

D M

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42 41

17 45

27 59

46 43

92 122 1

Compiled by Sharon Henry, data Sauk current as of 9/14/12 Waite Park Rapids

RESIDENTIAL BUILDING RESIDENTIAL PERMITS BUILDING PERMITS

Commercial Building Permits

$2M

$2,434,500

$1.5M

St. Cloud

$2,544,033

$2,489,399

$2,076,302

Sartell

RESIDENTIAL BUILDING RESIDENTIAL PERMITS BUILDING PERMITS

Residential Building Permits $2M

Sauk Rapids Sartell

RESIDENTIAL BUILDING RESIDENTIAL PERMITS BUILDING PERMITS $2M

No. of permits 121 152 141

$2M

$1.5M

St. CloudWaite Park Sauk Rapids

Sartell

$2M

$1.5M

$10,914,217

$2,434,500

$10,914,217

No. of permits 256 241 206 106

Sartell St. Augusta Waite P Sauk Rapids

COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDA COMMERCIAL BUILDING PERMITS,RESIDENTIAL CONSOLIDATED COMMERCIAL BUILDING PERMITS, RESIDENTIAL CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED RESIDENTIAL RESIDENTIAL BUILDING PERMITS RESIDENTIAL RESIDENTIA RESIDENTIAL BUILDING PERMITS BUILDING PERMITS BUILDING PERMITS BUILDING PERMITS BUILDING PERMITS RESIDENTIAL BUILDING PERMIT $778,000

$0 J FA MS

AO MN JD

permits No. of42permits 256 46 241 206 106 122 62No. 25of 127 62 128 41 1603515745182 41 117 42 215 31 59 17 27 98 92 118 $1.5M

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41 No. 27 of28 15 31 35 No. 26 of27 permits permits 43 55 52 37 121 57 152 24 141 35 59 32

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$1M $0 N D J FA MS AO MN JD JJ AF $2M No. 8 of2permits 3 043 55 6 16 52 13 27 1137 757 11 24

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$1.5M

$12,457,379

$46,603,752

$10,914,217

46 43

RESIDENTIAL BUILDING PERMITSBUILDING PERMITS RESIDENTIAL $2M $2M $0 $0 FA MS FJ M A AA SM O J NJ DA J

$12,449,306

M A

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$3M $778,000

$8,431

41 42

$25,702,953

$46,115,239

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St. Augusta St. Augusta

St. CloudWaite Park Sauk Rapids

Sartell

$0 O N D A J S F M O $2M No. permits 52 of27 37 121 57 152 24 141 35

$1N

$12,457,379 $23,294,590

$10,914,217

$12,449,306

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$.5M

RESIDENTIAL BUILDING PERMITSBUILDING PERMITS RESIDENTIAL $2M $2M $0 AF M AA SM O J NJ DA J

$2,434,500

$0 A S $2M No. of permits 43 55

$4M

$4M $.5M

$2M

$5,475

$3M

$1.5M

$6,178,910

$1.5M

$215,190

$1M

of permits 121 152 141

$25,702,953

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TSBUILDING PERMITS AL

$1M A M

No. of42permits 59 17 27 256 46 241 98 206 92 106 122 62 118 25 127 62 128 160 157 182 117 215

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$8,431

$0 A S O $2M No. of permits 121 152 141

$1.5M

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BUILDING PERMITS BUILDING PERMITS BUILDING PERMITS RESIDENTIAL BUILDING PERMITS BUILDING PERMITS RESIDENTIAL BUILDING PERMITS TS,RESIDENTIAL CONSOLIDATED COMMERCIAL BUILDING COMMERCIAL PERMITS, RESIDENTIAL CONSOLIDATED BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING COMMERCIAL PERMITS, BUILDING CONSOLIDATED PERMITS, CONSOLIDATED COMMERCIAL BUILDING COMMERCIAL PERMITS, CONSOLIDATED BUILDING PERMITS, CONSOLID RESIDENTIAL BUILDING PERMITS RESIDENTIAL RESIDENTIAL RESIDENTIAL $778,000

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-1.5

-2.0 M 10

10%

Median Local Nonfarm JobsHo 1.5

$200,000

0.8

$150,000

0.0

SA 0.6

F A

FSt. CloudM

J A N/A

S M

N M

$100,000

0.4 -1.0

St. Cloud Minneapolis/St. P 6% Rochester

-0.5

-1.5 Minneapolis/St. Paul 0.2 Minnesota Benton & Stearns Counties United States $50,000 Minnesota -2.0 4% F

St. Cloud Minneapolis/St. Paul Rochester A

MINNESOTA - MONTHLY % CHANGE COUNTRY WIDE

0.0

$100,000 -1.0

Minnesota Unemploy Nonfarm J

$150,0000.0

STEARNS COUNTY

MINNESOTA

O A

J F M A M J J A Sheriff ’s Foreclosure Auctions Median Housing Prices 1.5 1.5

$41,900

J J A $0 D J AF

Food & Be Unemployment Rates

1.0

A O

A Quarter 1st 2nd Quarter S O20 N $20,000

O 0

1.5

$100,000

J 3rdFquarter M A 4th M quarter J J J A N/A

S 0

$20,000

30 $40,000

$1M $1M SM O A NM D J J J F A M A M $100,000 $40,000 10No. 9of permits 11 1310 3 7 8 10 3 9 6 11 3 13 3 3 4 8 3 6

$20,000 20 $72,162 $1,200

St. Cloud -1.5 Paul Minneapolis/St. Paul Minneapolis/St. Minnesota Minnesota 40 United States United States $50,000 $60,000 -2.0

$2M

$60,000

$0 A 30 $40,000 No. of permits 10

St. Cloud $80,000

COUNTRY WIDE

2.5

$60,000 J

COMMERCIAL BUILDING PERMIT COMMERCIA

3.0 $.5M $80,000

STEARNS COUNTY $100,000 1.7%

$150,000

AJ $0

No. of permits 0

$1M

2.2% Sheriff ’s Foreclosure Auctions -0.5 Median Housing Prices -0.5

JF A M SA O M NJ

FN MD

$120,000

$80,000 $.5M

$120,000

$.5M

QUARTERLY % CHANGE IN REAL GDP STEARNS COUNTY2011-2012 $100,000 $100,000

$1.5M

$1M

Local Nonfarm Jobs Local Nonfarm Jobs 1st A Quarter

ST. CLOUD

1.0

$120,000

2.8%

$200,000

-0.5%

$2M NA DS

Unemployment Rates Food & Beverage Tax Collections 0.5 0.5

1.8%MINNESOTA

6%0.0%

Gross Domestic Product Sheriff ’s Foreclosure Auctions

St. Cloud Source: www.positivelyminnesota.com $50,000 4% $0 Minneapolis/St. Paul J F M A M 10 J J J J A A SS OO NN D M OA N M DJ D JD JJ AF S J F M A M J Minnesota BENTON AND STEARNS COUNTY MONTHLY % CHANGE - MONTHLY % CHANGE BENTON AND -STEARNS COUNTY United States

MINNESOTA - MONTHLY % CHANGE- MONTHLY % CHANGE MINNESOTA 2.0

0.5%

1.5

Minnesota Nonfarm Jobs Minnesota Nonfarm Jobs A

2.0

1.0%

$1.5M

$1,200

$40,000 4 of permits 1 0 51 No.

N/A $195,840

Lodging Dollars Food & Beverage Tax Tax Collections St. Joe St. Augu ST. CLOUD ST. CLOUD

XXXX XXXX XXXX 8%

2.2%

1.5

MINNESOTA

$200,000 -1.0 J F 1st Quarter

2.8%

1.8%

1.0

nemployment Rates Unemployment Rates Economy Central presented by 3rd quarter

11 16 14 18

$60,000 $60,000 FN MD AJ MF JM A M J J A $0 $0 A S O N D J M AF S 0

3.0 1.5%

$60,000 $60,000 4% N -0.6 J D J J A F SM O A NM D J J F M A M J 10 J $0 2.0 $0 A S O N D J A F S MO A N MD J J J F AM 30 -0.8 $40,000 $40,000 No. of permits 10 7 10 9 11 13 3 8 3 6 3 3 No. of permits 10 7 10 1 9 11 13 3 4 8

Median Housing Prices Median Housing Prices0.5

JO FN MD A J MF

$120,000

-0.4

uctions Auctions oreclosure 0.5

$3,105,391

ST. CLOUD

4th quarter

ST. CLOUD

$1.5M

$157,030

-2012 00,000

0.4

$1M

3.0

$1.5M

2.2% $1M Gross$1MDomestic Product Sheriff ’s Foreclosure Auctions STEARNS COUNTY2011-2012 0.2 30IN REAL GDP $100,000 1.7% $100,000 QUARTERLY % CHANGE 6%

2.0 Jobs oss Domestic United ProductStates Nonfarm 1.8% $1M

8% Food & Beverage Tax Tax Collections Lodging Dollars

$15,075

$60,000

$3,105,391

0.6

$3,105,391

0.8

$157,030

$80,000

$15,075

$80,000

2.5

1.0

2.8%

$3,536,834

3.0

odging TaxHome Dollars Sales Closed - Total 150

$41,900

$900

Sheriff ’s Foreclosure Gross Domestic Auctions Product

20,000

1 11

$80,000$.5M

-0.4 $0

J MS

Gross Domestic United ProductStates Nonfarm Jobs

ST. CLOUD

N M

XXXX 1.7%

arm Jobs

. CLOUD

$72,162

$120,000 $120,000 0.4 $1M $1M $0 NJ60 DA J A F S M O A N M D J J J F A M A M 0.2 $100,000 $100,000 0 No.57 4of permits 1 00 10 00 0 4 0 1 1 0 0 1 1 0 0 0 61 45 OJ

1.5

$619,558

ST. CLOUD

$1.5M

ST. CLOUD $1,200

COUNTRY WIDE COUNTRY WIDE 2011-2012 % CHANGE COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED 10% $120,000 10% $120,000 0 0 $0 0 $2M $0$2M $0 F M A M J J A J J A J J A S O N JD A S O N D 10% J $2M F MA A S MO J N J D A J J J A S O $2M NA DS JO FN MD AJ MF JM A M 2.0% NGE 2011-2012 % CHANGE UNITED STATES IN REAL-GDP MONTHLY % CHANGE STEARNS COUNTY2011-2012 QUARTERLY % CHANGE IN REAL GDP $100,000 QUARTERLY$100,000 $1.5M

2.2%

1.8%

$80,000$.5M

$1.5M $195,840 $72,162

Unemployment Rates Unemployment Non Farm JobsRates

$1.5M

Lodging Dollars Food & Beverage Tax Tax Collections

& Beverage Tax Collections ax Dollars UnemploymentFood Food & Beverage Tax Collections St. Augusta2011-2012 St. Joe CLOUD ST. CLOUD St. Augusta ST.Rates St. Joe 30

$0 $2M J

$2M

1.0

2.8%

$80,000$.5M

$.5M

$1M $0 $0 2.0 $0 6J A F S M O A N M D A J JS J F OA M N AD MJ A JF S JMO AAN MD J J J F AM AA $100,000 $40,000 of 6permits 11 14No.812 6 12 11 45 1627 0 of permits 7 2345 6 2250 16 1927 22 7 61No. 4522 19 11 9of14permits 7 8 44 1318509No. 9 permits 6 $2M 11 844 18 of 0 21 127 135 9No. 23 57 120

Employment

No. 12 of 7permits 13 11 9

$20,000 N/A $195,840 -0.2 -0.2 Building departments for the following cities: St. Sources: $1MCloud, Sauk Rapids, Sartell, Waite Park, St. Augusta, and St. Joseph. $41,900 $8,990 90

= $8,990 exceeds chart scale $1N

M $0

O 14

$2M

$1M

120

3.0

$4M

$1.5M $.5M

-0.4 M A 60

M J $0 J FA

COMMERCIAL BUILDING PERMITS, BUILDING CONSOLIDATED COMMERCIAL PERMITS, CONSOLIDATED

150

$1M

Sales Closed - Total Lodging TaxHome Dollars

$.5M

$8,431

0.0

$619,558 $1M

UNITED STATES - MONTHLY % CHANGE 2011-2012 $100,000 QUARTERLY % CHANGE IN REAL GDP

XXXX

0.4 $0 $0 $0 J F A M AA S M O A N MAD JS J JO F ANM DA JMA F JS MJO A AN M D J J 60 0.2 $2M $2M No. of permits 7 1 3 1 4 3 o.3 of permits 23 27 17 4 6 5 3 7 3 0 21 8 12 0 1 7 11 14 7 1 3 1 4 3 No. of permits 23 27 17 4 6 5 3 7 35 12 120

Gross Domestic United ProductStates Nonfarm Jobs

$1M$5M

1.0

$12,457,379

$46,603,752

120 $4M

Sheriff ’s Foreclosure Auctions ome Sales Closed - Total

$1.5M

$120,000

United States Nonfarm Jobs $1M

$1.5M

UNITED STATES - MONTHLY % CHANGE $4M

No. of permits 5

COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED

150

$5M $1M

$.5M

D M

$3,536,834

$1.5M

COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED

,558

N A

O M

No. 0 of 1permits 7 811 28 14 317

No. of permits 11

MA A S MO J N J D A J $0 A S

$.5M

St. Joe

$900 COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDA

Home Sales Closed Sheriff - Total ’s Foreclosure Auctions Lodging TaxHome Dollars Sales Closed - Total Waite Park Sauk Rapids ST. CLOUD St. Augusta Waite Park ST. CLOUD BENTON COUNTY ST. CLOUD

$1.5M

$5M $1M

St. Joe

$20,000 $8,990

$1M

$41,900

$3,105,391

$46,603,752

$15,075

J $2M F

$1M $1M $0 $0 AO MN A JD S JJ O AF N M D A J MAF JS

M N

3 412

$157,030 $3,105,391

N J

$2M A S

$0 $0 FA M AA SM O J N60 J DA J

A AO

$3,105,391

457

$15,075

S A

M JS

$619,558

$8,431

$0 AD MJ JAF $2M 17 46 No. 5 34 of permits 26 25 2103

F JO M AN

$3,105,391

$18,600

$8,990

$157,030

$2M $0 N D

$46,603,752

e Auctions Sauk Rapids Sartell $1.5M

42 531 12 41 241 10

$2M $1M M

$1.5M $.5M

$1M

$41,900

$8,511

$3,105,391

45 2

$619,558 $1.5M $.5M

$15,075

AO MN JD

$80,000$.5M

$.5M

$3,536,834

No. 4 of8permits 9 641 35 5

$2M A M $0

50 No.27 7 $2M 2345 6 44 2250 1927 22 7 61 2357 6 45 22 of permits 120

$3,105,391

$1N $8,990

$3,536,834

$6,178,910

O 31

$6,178,910

S 28

$46,603,752

$0 J FA MS

of permits 8

$2M J D

COMMERCIA COMMERCIAL BUILDING PERMIT

$2M $1M $0 D J A F S MO A N MD J J J F A M

$100,000 No. of permits 45 44

$3M

St. Augusta St. Augusta

St. Joe

$1M

0 $2M

$1.5M

$60,000

Waite Park Waite Park St. Joe

$2M

$18,600

$778,000

$1M $0

$4M

$619,558 $64,755 90

$1.5M

$.5M

$18,600

$120,000

$5M $1M M J

ITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED RESIDENTIAL BUILDING PERMITSBUILDING PERMITS RESIDENTIAL BUILDING PERMITSBUILDING PERMITS AL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED RESIDENTIAL RESIDENTIAL $2M $0

$4M

$1.5M $.5M

COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED $3M 150

$2M $1M J A F SM O A NM D J J J F A M

$2M 23 27 No.120 of permits

$619,558

$2M

$3,536,834

$8,511

$3M

$2M

$1M$5M

$46,603,752

$.5M

$12,457,379

$46,603,752

$10,914,217

$4M

$8,431

$1M

$1.5M

$39,800

$5,475

$4M $.5M

150 $778,000

$12,457,379

$1.5M

$39,800

M D

$8,431

$5,475

$1M

$1N

$.5M

$1M $0 $0 $0 $0 $0 $0 $0 J J A 6AA SM O J NJ DA J JJ AF M AA SM O J NJ DA 6A F A MS AO MN JAD JSJ AOF NM DA JM FA J MS J AO A MN JD 60 S O N DA JS J F M A M F M $2M $2M permits No. 41 45 59 827 of228 315 043 635 16 757of 11 permits permits 4118of8127 9 641 No. 35 5 of 45 2 241 210 42 4531 412 41 No. 31 55 26 13 0 45of 1permits 14 of 31 7permits 41 323 8 27 19 permits 42No. 17of permits 27 43 46 8 98 2892 31122 No. 52 27 1137No. 24 35 1132 3 41 No. 59 743 811 28

A N 32 59

St. Augusta St. Augusta apids

4 No. 8of permits 2 $2M3 2 0 4 6 4 16 8 13 2 11 3 7 0 11 6

$.5M

$5,475

$0 $0 S O J F M A M A J J A N D A S M O $2M $2M No. permits 52 37 121 57 152 24 141 35 27 of 28 15 43 31 55 35 No. 26 of27 permits

$1N

$4M

$2M $1M

$2M

Sheriff ’s Foreclosure Auctions Sales Closed - Total Home Sales Closed - Total Lodging TaxHome Dollars BENTON COUNTY ST. CLOUD ST. CLOUD Waite Park Sauk Rapids ST. CLOUD St. Augusta Waite P

$46,603,752

$3M

$215,190

$.5M $64,755

$8,431

$.5M

$2M No. of permits 12 2

$5,434,857

$4M

$5M $1M J A F SM O A NM D J J J F A M

$5,475

$12,449,306

$5M $1M M J

$25,702,953

$46,115,239

$12,457,379 $23,294,590

$215,190

55 3552 3227 41 3745 5759 24 43 35

$1.5M

COMMERCIAL BUILDING PERMITS, COMMERCIAL BUILDING PERMITS, CONSOLIDATED $3M $3MCONSOLIDATED 15

$8,511

$12,449,306

$1.5M

$.5M

$8,511

COMMERCIAL BUILDING PERMITS, CONSOLIDATED$3M COMMERCIAL BUILDING PERMITS, CONSOLIDATED $3M

$5M $5M$1M $1M SM O A NM D J J J F A M A M

$25,702,953

$4M

$46,115,239

$.5M

$2M

$5M $1M

$2M

Sheriff ’s Foreclosure Auctions Sartell BENTON COUNTY Sauk Rapids

$1.5M

St. Cloud

$64,755

$2,434,500

$10,914,217

$4M

$12,449,306

$25,702,953

$1.5M

Sartell

$778,000

$2M

$5M $1M

$12,457,379 $23,294,590

$5M $1M

$2M

$5,434,857

$2M

United States

-0.2

NOVEM B E R / D E C E M B E R 2 0 1 2 • • w w w. B u s i n e s s C e n t r a l M a g a z i n e . c o m 0.8

$0 A

M AJ S J O

0.0

10% S

No. of permits $60,000 256 241 206 106 $80,000 $1N $0

$8,431

$5,475

$60,000

ECONOMY CENTRAL

•••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• •••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• A S O N D J F M A M J J A •••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• •••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• •••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• •••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• •••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• •••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• •••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• No. of permits 11 3 0 1 7 11 14 7 1 3 1 4 3 •••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• ••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••

$60,000 $0 A

N/A S O N BY D JFALCON F M A M BANK J J A PRESENTED

$20,000

No. of permits 8 $40,000 $0

8% $1M $0

$40,000

No. of permits 5 $0

$20,000

XXXX S

N $8,990 D J

N/A J

No. of permits 6% 11

ECONOMIC INDICATORS & TRENDS Waite Park St. Augusta Sartell Sauk Rapids St. Cloud S

$20,000

$2M

heriff ’s Foreclosure Auctions Home Sales Closed - Total $778,000

Median Housing Prices

$100,000 $120,000

$215,190

$.5M

60 $0 $20,000 O N D J A F SM OA NM D J

J J FA M

J N/AJ

$.5M $64,755 0.8

$40,000 $60,000

$0 O

0 D $50,000 J A F S MO ANMD J J J F AM

1.0

92 122 118$900 127

J F FM M A

60 M

J A-1.0 J A

St. Cloud -1.5 Minneapolis/St. Paul Minnesota RESIDENTIAL BUILDING PERMITS RESIDENTIAL PERMITS COMMERCIAL BUILDING BUILDING PERMITS, CONSOLIDATED United States -2.0

$2M

$5M

$4M

$1.5M

$120,000

$3M

3.0% 0.8 2.5%

0.6

$1M

0.8

$.5M $0

No. of permits 10

-1.0

-1.5

No. of permits 0

-2.0

Augusta SaukSt. Rapids

RESIDENTIAL BUILDING PE COMMERCIAL BUILDING PERMITS, S

Minneso

$2M

$5M

MINNESOTA $1.5M

2.8%

$80,000

$.5M

$1N

-1.5% J N/AJ

JMO

-0.5

$8,990

45 50 27 23 76 11 4No. 25 3 6Cloud 16 9 of86permits 2 44 20 St.10 5 13 127 11 0.5 22

M J 2007

-0.2

A 2008

O 2009

-1.0

$20,000

JAN AMD

Mpls/St.Paul

M Minnesota A M J

United States

M 2006

0.5 0.0 8%

= exceeds chart$619,558 scale1.7% $.5M $1M

1.0

= exceeds chart $0 scale D AJA MFS M

0.0

1.8%

1.5

$18,600

DS $40,000 JO FN

-2.0%8 No. 12 of permits No. permits 8 of28 31 24

$8,511

$1M $2M

2.2%

$60,000

$0 O NA

A 0.2 S

0-0.621

2.5

$.5M

0.4

-0.4

$778,000

2.0

0.00.0%

COUNTRY 1.5 WIDE 10% 1.0

$3M

$2M

0.6

-2.5% St. Cloud -0.8 N/A F M A M J -3.0% Minneapolis/St. Paul -1.0 Rochester J

J O JN AD

No. of permits 0.0 43 55

3.0

$1M

-1.0%

$100,000

0.5%

$4M

BENTON AND STEARNS COUNTY - MONTHLY % CHANGE ST. CLOUD

0.2

2.0 10% United States Nonfarm Gross Domestic Product Annual change inNonfarm realJobs GDP Local Unemplo FoodJobs & Beverage Tax Collections UNITED STATES - MONTHLY % CHANGE 2011-2012 QUARTERLY % CHANGE IN REAL GDP COUNTRY WIDE

$39,800

DM A

COUNTRY WIDE

1.03.5%

SM F OM J NAJ

$1M $.5M F

St. 30 Cloud M A M J Paul J A Minneapolis/St. Minnesota 9 6 11 8 18 16 United States

XXX

-0.5

No. of permits 5

$1,200

Gross Domestic Product Unemployment Rates

0.0

D 2010

$0 M

OO N N D D J

N/A D

$0 St. Cloud $0 A S OA NS DO6%JN FD MJ -1.5 Minneapolis/St. Paul 45 No. of11permits No. of permits 17 4 146 75 3 023 27 1 7 11 Minnesota United States -2.0 A

3rd quarter

4th quarter

1st Quarter

2nd Quarter

Sources: Minnesota Compass led by Wilder Research; Bureau of Economic Analysis - www.BEA .gov.

0.0

$72,162

XXXX XXXX XXXX XXXX

$0 J F J MJ AA MS

St. Cloud Minneapolis/St. Paul Rochester

0.5 $0

SartellWaite ParkSt. Joe

11 permits No. of permits No. 43 55 52 27 24 1735 32 626 41 545 359 743 3 41 of35 45 41 42 No. 31of permits 41 37 27 2357 28 2715 31 435 $50,000 0.4

$195,840 J J A

-0.5

-0.5%

$20,000

-0.2

0.6 $0 D M AJA

$20,000 S OJ N D$40,000 F

A N

0.0

1.0%

$60,000 $80,000

$.5M $0 $41,900 0.5A S

No. of permits 0

AND STEARNS COUNTY - MONTHLY2.0% % CHANGE

0.2 A

0.41.5%

$100,000

of permits No. of permits 121 152 141No.59 42 17 2 27 4 46 4 98 8 92 2122 3118 0127 6 16 13 11 7 $100,000 10 30 $0 J J A S O N D J F M A M J

Local Nonfarm Jobs

$1M $80,000 $100,000 BENTON

$1M

$8,511

$40,000 $150,000

$1.5M

ST. CLOUD

$2M $150,000

$.5M

$120,000

$1M

$200,000 $60,000

$200,000 $3M

$1M

MINNESOTA

$.5M

$1.5M

MINNESOTA

120

$5,434,857

$4M

$10,914,217

$100,000 150

$80,000

ST. CLOUD $23,294,590

$1.5M

TEARNS COUNTY ST. CLOUD

$1M

Median Housing PricesTax Dollars Lodging

$2,434,500

$120,000

6 J

Food & Beverage Tax Collections

ST. CLOUD $1.5M

RESIDENTIAL BUILDING PERMITS RESIDENTIAL PERMITS COMMERCIAL BUILDINGBUILDING PERMITS, CONSOLIDATED 4% F M A M J J A $2M J $2M $5M

Housing/Real Estate Lodging Tax Dollars

N/A

RESIDENTIAL RESIDENTIAL BUILDING PERMITSBUILDING PERMITS $0 $2M

$12,449,306

$25,702,953

$46,115,239

No. of permits 121 152 141

$6,178,910

$40,000

1.0

120

$1M $.5M 1.5 F M A

$46,603,752

$8,990

$12,457,379

$2M $1M $100,000

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$.5M J F$2MM A M J J A $41,900 25 62 128 160 157 182 117 215 $619,558

$8,431

2.0

$80,000

$619,558

$5,475

$120,000 $80,000

-0.2

Cost of Living - Minnesota

Sheriff ’s Foreclosure Auctions Median Housing Local Nonfarm Jobs Sheriff ’s Foreclosure AuctionsPrices Home Sales Closed - Total Lodging Tax Dollars Waite Park St. Augusta St. Joe Sartell STEARNS Sauk Rapids Waite Park COUNTY MINNESOTA BENTON AND STEARNS COUNTY - MONTHLY % CHANGE ST. CLOUD St. Augusta BENTON COUNTY ST. CLOUD COMMERCIAL PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS,BUILDING CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PERMITS, CONSOLIDATED COMMERCIAL BUILDING PE Gross Domestic Product Sheriff ’s Foreclosure Auctions Median Housing Prices Local No 50

3.0 40

$3M

2.0 $2M

9 $3M

2.2%

1.8%

$41,900 0

0.5 S 28

$50,000 $619,558 20

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$1M

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-0.4

$60,000

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N/A

J F JM A A SM O J N J DA J

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No. of permits 5

No. of12permits 10 14 7 13 $0 A S O

10 9

AN 69

11 11

$100,000 0 Oct-06

1.0

Oct-07

Oct-08

Oct-09

Oct-10

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Oct-11

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3rd quarter

Sheriff ’s Foreclosure Auc 103.3 COUNTY 102.4 STEARNS 50

Rat 110.6 Unemployment 102.5 COUNTRY WIDE 40

112.9

101.5 98.0

104.0 110.4

St. Paul, MN

$80,000

108.3

0.5 101.9

115.2

100.5 99.7

20 105.2 110.5

$60,000 Rochester, MN

101.5

0.0 95.0

98.1

116.8 102.5

109.2 100.8

90.6

XXXX

75.9

95.9

94.8

92.5

92.0 1st-1.0 98.6 2nd Quarter79.5 Quarter

83.2

97.6

0 112.3 98.4 A S O

4th quarter

-1.5

United States

10%

98.7

-2.0

N J D FJ

N/A

80.9 MF

111.0 97.2

M A

J M

99.0 6%

233.5

Brooklyn NY

183.4

Honolulu HI 170.8 San Francisco CA 163.2

XXXX

105.1 100.5

Manhattan NY

San Jose CA

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151.4

Stamford CT

146.7

Washington, D.C. 145.5 Framingham-Natick MA 143.0 Orange County CA 142.5

0.8

S1st Quarter O N

D2ndJQuarter F M

St. Cloud Minneapolis/St. Paul Rochester

-0.2 J

Business Central Magazine •• NOVEMBER/DECEMBER 2012

A M

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0.6

0.4

0.2

0.0

BENTON AND STEARNS COUN

156.5

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Local Nonfarm Job

$50,000

10 St. Cloud Sources: Tax Collections – City of St. Cloud Minneapolis/St. Paul Incorporations - MN Secretary of State, Graph courtesy of SCSU Rochester $0 4th quarterA

4 -0.2

1.0 103.4

St. Cloud$20,000

107.7

Minneapolis/St. Paul Wausau, WI 95.6 Minnesota

O 0

Minneapolis, MN 1.5

0.0 Eau Claire, WI 3rd quarter

S 0

111.9 102.5

-0.5 93.6

95.4

1.7%

D 0.0 J

No. of permits 0

96.2

$50,000

0.5

250

1.7%

78.0

Now online

2.2%

Minneapolis/St. Paul A Rochester

2.0

Cedar Rapids,$40,000 IA

N/A

JM FA MM A J M

200

20 $150,000

1.5

150

2.8%

100

$200,000 30

1.8%

MINNESOTA 2011-2012 QUARTERLY % CHANGE IN REAL GDP

2.0

168

Median Housing Prices Gross Domestic Product 2.5

102.2 101.1

ACCRA COST OF LIVING Among the 306 urban areas Local Nonfarm Jobs Sheriff ’s Foreclosure Auctions Median Housing Prices participating in the first quarter report, STEARNS COUNTY BENTON AND STEARNS COUNTY - MONTHLY % CHANGE MINNESOTA the after-tax cost for a professional/ $200,000 50 managerial standard of living ranged 0.8 40 from more$150,000 than twice the national average in New York (Manhattan) 0.6 = exceeds chart scale NY to 30 almost 17 percent below the national $100,000 0.4 Visit www.BusinessCentral average in Harlingen, TX. 20

3.0

813 183

95.0 2.2% 106.8 1.5

Number of Incorporations ST. CLOUD AREA

$120,000 St. Cloud, MN 2.02012 2nd Qtr 1.8%

0.5

6% M

1.0

$60,000

J F $20,000

$100,000

-0.8$40,000

$40,000

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$80,000

2.5

10%

0.2 $100,000

$100,000

120

COUNTRY WIDE

ST. CLOUD

0.4

$195,840 0.2

$900

2.8% St. Cloud, MN Nonfarm Jobs 97.1 & Beverage Tax Collections 1st Qtr 2012 Food 94.7 Minnesota 106.2 76.8 95.5 MINNESOTA - MONTHLY % CHANGE ST. CLOUD

Unemployment Rates Lodging Tax Dollars

$.5M

$20,000

3.0

1.0

0.6 $120,000

$120,000

150

XXXX

St. Cloud, MN 2011 Average Gross Domestic Product Annual Data 95.6 IN REAL 103.9 2011-2012 QUARTERLY % CHANGE GDP 78.5

UNITED STATES - MONTHLY % CHANGE

ST. CLOUD

$2M

-0.2 0 $0 St. St. Cloud Minnesota Size Cloud J A S O N D to A J J A S A and S Oother N D Upper J F MMidwest A J M F J MCities J A A M ofJ Comparable $0 $0 $0

United States Nonfarm Jobs Commerce/Services 0.8

$120,000

$2M

Second Quarter 2012

135 Cloud 912 9 Area 6 11 8 18 16 of Realtors, No. ofhttp://stcloudrealtors.com/pages/statistics; permits 11 3 No. 31 No.4of permits 8 9 5Estate 6 11 5 14sources: 2 122 710 St. 0 of permits 1 7 0 11 0 14 0 7 4 1 13 01 14 Housing/Real Association 0.0 0 A S O N D J F M A quarter 4th quarter Quarter 2nd Quarter Benton3rdCounty Sheriff’s Civil1st Process; Stearn’s County Sheriff’s Office; http://thething.mplsrealtor.com/

& -Beverage Home Sales Food Closed Total Tax Collections

150

$.5M $.5M St. 30 Cloud 0.0 Minneapolis/St. Paul$41,900 $1,200 Rochester $50,000

$72,162

$900

S O M A $0 N D AJ

MINNESOTA he Cost of Living index measures regional differences in the cost of BENTON AND 0.8 $100,000 120 consumer goods$200,000 and services, excluding taxes and non-consumer $1.5M $1.5M $1.5M expenditures, for professional and managerial households$80,000 in the top 0.6 = exceeds chart scale 0.8 income90 quintile. It is$150,000 based on more than 90,000 prices covering almost 0.4 $60,000 0.6 60 different items $1M prices are collected quarterly by the St. $1M for which $1MCloud 60 Area Chamber of Commerce. Small differences should not be interpreted 0.2 $40,000 $100,000 0.4 as showing any measurable difference, according to ACCRA.

$100,000

$8,431

$.5M

$5,475

$2M

1.0

No. of permits 8

$1M

1.7%

1.5

$1N

$1.5M

$1M

50 $150,000

$4M

$12,457,379

2.5

STEARNS COUNTY

2.8% $1.5M

$2M

$5M

2011-2012 QUARTERLY % CHANGE IN REAL GDP

$4M

$200,000

$2M

$5M

Source: C2ER - The Council for Community and Economic Research. *Includes single-family and multi-unit residential housing

G Se ood rv s/ ice s

T po ran rta stio n He Ca alt re h

$157,030

$3,105,391

$15,075

Ut ili tie s

$3,105,391

Ho us ing *

G Ite roc m ery s

Al l It em s

$3,536,834

$46,603,752

0.0

-0.2

Rod Runge

Vice President and Branch Manager

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A NEVER ENDING

SPIRIT EVERY ENTREPRENEUR HAS A DESCRIPTOR. FOR BOB COBORN, THAT WORD IS TENACIOUS.

BY GAIL IVERS // PHOTOS BY JOEL BUTKOWSKI

utdoor advertising. Wholesale appliances. Land development. Retail gardening center. These are just a few of the types of businesses Bob Coborn has helped build. In all, he has started, or taken over in their first phase of development, 22 businesses. Of those, two weren’t successful. “We had a beverage bottling business. That was one of the losers. It was in business one year,” Coborn said. “The other was the wholesale appliance company. That was totally my fault. I didn’t do enough due diligence.” Coborn, a native of St. Cloud, may best be known in Central Minnesota as a land developer. From 1991 to 2008 Coborn’s Land Company was one of the largest residential land developers in Central Minn. That isn’t to say that he built houses. He didn’t. He developed the land so houses could be built on it. “You can’t build houses on a corn field,” Coborn said. “We worked with municipalities on zoning, did the platting, put in the roads, water, sewer, park areas, that sort of thing. I won’t say we were the

Business Central Magazine •• NOVEMBER/DECEMBER 2012

biggest, but during that time we were among the biggest. We literally created developments for thousands of houses.” Even while he was creating housing developments, Coborn had a second full-time job. He was changing a small, local water-testing lab, into an international provider of quality control microbes. In 1983 Coborn left the J.W. Miller Construction Company. With a two-year noncompete agreement before he could open his own shop, he began looking around for something new to work on. His father was a partner in a company called Environmental Protection Laboratories. The partner wanted to retire so Coborn’s father suggested he take a look at the business and see what he might do with it. “I said I’d take a look and put a business plan together,” Coborn recalled. “It turned out I liked the plan and my father suggested I join the company and implement the plan with the idea of eventually buying into the company. Which I did.” Coborn had a big vision for the company. It included securing top level quality certifications, moving away from being a testing laboratory to

After 25 years at the helm Bob Coborn (left) sold Microbiologics. During his tenure he took the company from a local testing lab with $200,000 in sales and turned it into an international manufacturer of lyophilized microorganism preparations with $10 million in sales. Brad Goskowicz (right) took over as CEO in 2010, leading the company through a major expansion and on-going double-digit growth.

BUSINESS PROFILE Microbiologics, Inc. CEO Brad Goskowicz COO Donna M. Scholer ADDRESS: 217 Osseo Ave N, St. Cloud, MN 56303-4455 PHONE: (320) 253-1640;

1-800-599-2847 FAX: (320) 253-6250

www.microbiologics.com OWNERSHIP: Granite Equity Partners, a private equity investment firm in St. Cloud, MN BUSINESS DESCRIPTION:

Manufactures lyophilized microorganism preparations for quality control purposes. The preparations are used in the clinical, pharmaceutical, cosmetic, dietary supplement, food, water, environmental, and educational industries. LOCATIONS: Headquarters in St. Cloud, MN; a second lab in Lexington, KY COMPANY CERTIFICATIONS:

• ISO 9001:2008 Certified • ISO 17025:2005 Accredited • ISO Guide 34:2000 Accredited • CE Mark Conformity • Food and Drug Administration Establishment • ATCC Licensed Derivative® Program SALES: About $20 million SERVICE AREA: Worldwide. Microbiologics ships to 138 countries NUMBER OF EMPLOYEES: 82 in

St. Cloud; 21 in Lexington, KY STARTED:

1971

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TIMELINE 1968-1975 Bob Coborn serves as regional manager for Morton Buildings 1971 Bob Coborn, Sr., with partner Cleon Lemont start Environmental Protection Laboratories in St. Cloud. The company’s primary activity is to test water quality. 1975-1983 Coborn works as development consultant for J.W. Miller Construction, St. Cloud 1975 Environmental Protection Laboratories starts manufacturing microbiology culture media for clinics, small hospitals, and veterinary clinics 1982 Jerald Tjernagel, a microbiologist from Mankato becomes a partner in the business, helping to design and develop new products. 1983 Cleon Lemont retires. Coborn Sr. approaches Bob Coborn, Jr., to change the business from regional testing services to global manufacturing. Company sales are $200,000. 1984 Coborn uses his connections with a business in northern Minnesota to purchase a freeze dryer (lyophilizer). The machine allows Microbiologics to freeze-dry microorganisms for transport anywhere in the world. 1986 EPL, renamed Microbiologics, focuses on growing and distributing

microorganisms for use in quality control in clinical and industrial microbiology laboratories 1991-2008 While growing Microbiologics, Coborn also owns Coborn’s Land Company, a residential land developer in Central Minnesota. Revenue from the land development company help fund Microbiologics’ growth. 2008 Coborn sells controlling interest in Microbiologics to Granite Equity Partners, a private equity investment firm based in St. Cloud. Company sales are $10 million. 2009 Brad Goskowicz joins Microbiologics as sales and marketing director

Bob and Veronica Coborn

2010 Coborn co-starts Cherrywood Advanced Living; his wife, Veronica, opens MicroScientifics; Coborn advances Coborn Investments, Inc. to become a merchant bank. 2010 Goskowicz takes over as CEO of Microbiologics 2012 Microbiologics expands their facility from 24,000 sf to 46,000 sf; company sales top $20 million.

manufacturing microbial preparations for labs, (see the accompanying story) and expanding into the global marketplace. He also changed the company name to Microbiologics. Critical to Microbiologics growth was a connection Coborn made between his St. Cloud company, and one in which he was a partner in northern Minnesota that manufactured lyophilizers. Lyophilizers are commonly used to freeze-dry food, medical specimens, taxidermy, and other industrial processes. “I was involved in this other company. That’s how I knew where to find the machines,” Coborn said. It wasn’t long before Microbiologics was specializing in providing lyophilized microorganism preparations used for quality control in clinical and industrial microbiology laboratories. To supply capital for the company’s growth, Coborn returned to his land development roots. “I took money from the land company to support research, development, and growth of Microbiologics,” he said. “Microbiology is not my area of expertise,” he added. “Land development is my area of expertise. But I knew how to drive the business. In 2000 we set three major goals: provide the industry with the best possible products, achieve the highest level of credentials possible, and deliver our product to the global market place. By 2007 we had achieved all three.” In 2008 Coborn sold Microbiologics to Granite Equity Partners in St. Cloud in order to pursue new entrepreneurial opportunities. He had taken the company from $200,000 in sales in 1983 to $10 million. Much of what Coborn does today has its roots in Microbiologics. He continues to have a significant financial investment in the company and serves on the board of directors. His wife, Veronica, owns MicroScientifics, which draws on the international relationships she developed while creating distributorships in Latin America for Microbiologics. And Coborn has created

Business Central Magazine •• NOVEMBER/DECEMBER 2012

an investment company that helps fund and advise his and other start-up companies. “When we sold Microbiologics I said to Veronica, we have all these great relationships in place already. Let’s not let them grow cold. There’s an opportunity here we should take advantage of.” In June 2010, Veronica Coborn started MicroScientifics. She and Coborn seek out U.S. companies that manufacture microbiology-related products and help take them worldwide. “Some companies don’t have the money to go into the international marketplace,” Coborn said. “It can be incredibly expensive and time consuming. We are the manufacturer’s

“

The obstacles to running a business are the same today as in the past, but the responsibility on the entrepreneur is more extreme. You can’t stroll into the bank and ask for money. No one does that today.

”

–BOB COBORN

agent and can expedite the process for the manufacturers.” The Coborns seek out companies that can benefit from their international distribution network, but do not compete against Microbiologics. “I’m kind of proud of the fact that we’re making some impact on the balance of trade with our export efforts,” Coborn said. While Coborn helps Veronica with MicroScientifics, his major focus is on Coborn Investments, Inc. and a new

VALUE PROPOSITION

St. Cloud’s Microbiologics is turning freezedried bugs into double-digit growth.

icrobiologics is unique. Well, almost. There are only three companies in the world, including Microbiologics, which compete in the microbial quality control field. The other two are small departments within much larger firms. That gives Microbiologics what company CEO Brad Goskowicz likes to call “a unique value proposition.” Microbiologics grows fungi, yeast, bacteria, and parasites that are shipped to companies that need to test for those exact microbes. The problem is, you can’t prove a negative. So how do the companies know if their quality control equipment is working? “If you’re a food company, you need to ensure that you are not contaminating your end product,” Goskowicz explained. “You need to test your building, your equipment, your counters…. We provide the test material – the bugs – you can use to prove that your testing equipment is working properly.” The microbes come from certified sources around the world. Microbiologics takes small numbers of these microbes and grows them into huge numbers. “We get them freeze dried,” Goskowicz said. “We reconstitute them. Grow them to increase the number. Then we freeze dry them again and ship them to customers.” Once freeze dried, the microbes are stable for up to two years. “You rehydrate them and they come back to life,” he said. The freeze drying process is done in a lyophilizer. The lyophilizers used at Microbiologics are part of their secret to success,

and it is a secret. “No photos in here,” Goskowicz said as he walked through the lyophilizer room. Most of the company’s product is turned into pellets for shipping. “We have a special formula for the pellets to freeze and wake the bugs,” he said. How the pellets are created is part of the secret formula. “We don’t share that either.” Their process is precise, according to Goskowicz. “We can freeze dry in exact quantities. Some customers need to be able to test for very low levels of a bacteria. Some want really high levels. For instance, they may want to make sure that the preservative they are using is working.”

DIAMOND IN THE ROUGH Microbiologics was founded in 1971 by Bob Coborn, Sr., and Cleon Lemont. Originally it was a laboratory testing facility specializing in environmental and public health threats. In 1976, the company began manufacturing microbiological diagnostic products including culture media. In 1983, Bob Coborn, Jr., joined the company eventually purchasing it from the original owners. “Bob Coborn, Jr., changed the name from Environmental Protection Laboratories to Microbiologics,” said Donna Scholer, the company’s chief operating officer. Scholer joined the company in November 1982 and spent eight hours labeling media tubes on her first day. “We did food, water, feed, and forage testing here. Bob thought bigger.

Almost all of Microbiologics product is shipped out as pellets. The company produces more than 2 million pellets per year FUN FACT

He asked ‘What else can we do in the world of laboratory?’ We understood what labs needed because we were a testing lab.” In 2008 Coborn sold controlling interest in Microbiologics to Granite Equity Partners, a private equity investment firm based in St. Cloud. Goskowicz joined the company in 2009 and became CEO in 2010. “It truly is a diamond in the rough,” Goskowicz said of the business. “Bob did a lot of really great things, but we have a long way to go to reach our full potential.” Proof that the business has room to grow is in the numbers. In 2008 the company had 55 employees and $10 million in sales. Just four years later they have 85 employees and sales have doubled. One of Coborn’s many contributions was ensuring that Microbiologics had the best and highest certifications possible. “Under Bob the focus wasn’t on letting the community know what

we did,” said Scholer. ”We focused on getting all of our accreditations and on product lines and growing our business.” Those accreditations set Microbiologics up for its current growth. “The trend is your friend,” Goskowicz said, “and the trend is toward more controls and higher standards for controls. Think food safety. At Microbiologics we have the highest levels of standards for testing you can have.” Creating an international distribution chain for Microbiologics products was another of Coborn’s legacies. Forty percent of the company’s business comes from outside the U.S., according to Goskowicz. “Places that never did testing are doing testing now. Places that were testing, are starting to use controls, which is what we produce. And the big companies that always were doing testing, are now standardizing their

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testing worldwide. We had 15 percent growth right through the recession and we don’t see that dropping.” Since 2009 the company has gone from six lyophilizers to 14.

Cherrywood, a senior living facility, is one of Coborn’s newest companies. “We employ 45 people, we provide care for 40 elderly, and we didn’t exist two years ago,” he said.

As CEO, Goskowicz is responsible for sales and marketing. His background in business start-ups and medical technology were the perfect combination to help the company grow. He is also responsible for changing the corporate culture. “The culture wasn’t bad before,” he said. “It was a typical entrepreneurial system where the entrepreneur is the CEO and drives all the decisions and others carry them out. That works great for companies of a certain size, but at some point the line out the door gets too long and it slows everything down.” Goskowicz is working to create a culture that is a continuous improvement loop. He restructured the organization, empowered employees to make independent decisions, created appropriate committees, and instituted regular staff meetings. “Those are the formal methods of culture change,” he said. He is also using informal methods such as role modeling by senior management, encouraging collaboration and cross functional behavior, and providing social training. “People don’t like to change and they won’t until they start to see success,” he said. The company’s recent expansion – from 24,000 sf to 46,000 sf – allowed them to relocate departments and align the physical plant with the flow of work. “Surroundings are huge,” he said. Now there are spaces where informal and spontaneous meetings can occur and cubes, while designed to provide privacy, have low walls that also encourage interaction. In addition to the expansion, the company completely renovated the original building. “We didn’t want to have any employees working in the ‘old’ building,” Goskowicz said. “We didn’t want to create that kind of separation.” “We’re getting more community recognition now,” Scholer said. “Unless you worked in a lab you didn’t know what we do here. It’s nice to see we are being recognized after all these years. It gives us a little more legitimacy in the community.”

COURTESY OF CHERRYWOOD ADVANCE LIVING

CULTURE CHANGE

“

We make loans, we mentor, and we help with business plans. If we feel they have a chance we help them along. I know which ones will work because we spend the time to analyze every request.

”

–BOB COBORN

company called Cherrywood. “Microbiologics took 20 years to grow. I had to find investments and financing. Cherrywood will take five years because I’m able to be the investor, as well as the CEO.” Cherrywood is a senior living facility that consists of two 10-unit cottages joined by a common living space. It provides full nursing home care in a residential setting – complete with living, dining and kitchen facilities in each cottage. The facility is licensed by the state and has a fully licensed, skilled nursing staff. Currently there is a Cherrywood in Richmond and

Business Central Magazine •• NOVEMBER/DECEMBER 2012

one in Big Lake. A third one is scheduled to be built in St. Cloud. “Every entrepreneur has a word that describes them,” Coborn said. “In my case, it’s tenacity. I define that as a never ending spirit. If we decide we’re going to do something we do it. A good example is Cherrywood. We employ 45 people, we provide care for 40 elderly, and we didn’t exist two years ago.” Coborn plans to build 10 units in Central Minnesota, with the next two to three well through the planning stage. “You can’t just say you’re going to build these and build them,” Coborn said. “There are lots of regulatory bodies that you’re working with. You’re working with municipalities. You’d be amazed what we have to go through and all the approvals we need. It takes years of advanced planning.” And it takes tenacity. “Maybe we’ll build Cherrywoods all over the U.S. Maybe we’ll franchise them. I don’t know, we’ll see. Right now we want to build 10 units in Central Minnesota.” In addition to funding his own enterprises, Coborn’s Investments makes investments in other companies, according to Coborn. “We make loans, we mentor, and we help with business plans. If we

PERSONAL PROFILES Bob Coborn AGE: 65 TITLES: • CEO, Cherrywood Advanced Living • President, Coborn Investments, Inc., • Vice President, Business Development, MicroScientifics HOMETOWN:

St. Cloud

EDUCATION: 1968, Business

Administration, Harding University in Searcy, Arkansas Wife, Veronica, is from Brazil. They were married in 2008. Coborn was married to his first wife, Kathleen, for 37 years. They had two daughters, Cara, who died in 2009 and Chanda Gebhardt, who with her husband Eric, own Fairview Gardens in Sauk Rapids.

FAMILY:

feel they have a chance we help them along. I know which ones will work because we spend the time to analyze every request.” Coborn is as interested – if not more interested – in the entrepreneurs as he is in their companies. He recently invested in a company that takes apart cars and sells the parts on eBay. “What appealed to me was the person,” Coborn said. “He’s an immigrant from Laos. Aggressive. Had the idea…the drive... the spirit. He just needed a little help getting started. I’ll say that five years from now he’ll have 20 people working for him.” Nurturing what he calls “that true spirit of entrepreneurism,” is important to Coborn. “It’s easy to tell you what I like best about being an entrepreneur,” he said. “It’s watching and being part of the people. Helping them grow and achieve their dreams. It’s not about the money for me, it’s about the people.” BC Gail Ivers is the vice president of the St. Cloud Area Chamber of Commerce and managing editor of Business Central Magazine.

HOBBIES:

Hunting, fishing,

boating

No Varicose Veins. No Surgery. No Down Time.

FUN FACT: Coborn has helped

create an indeterminable number of jobs. The land development projects alone have created thousands when you take subcontractors into account. Currently, the companies he owns employ a combined total of 55 people.

“The procedure itself was not painful. Plus my legs look and feel so much better.” ~BERNIE Physicians with The Vein Center and Regional Diagnostic Radiology: Dr. Jody Bolton-Smith Dr. Danielle Leighton Dr. Rochelle Wolfe

Brad Goskowicz AGE: 56 TITLE: Chief Executive Officer,

Microbiologics HOMETOWN: Milwaukee,

Wisconsin EDUCATION: Bachelor of Science Degree in Medical Technology from Marquette University, Milwaukee FAMILY: Wife, Peggy; children,

Tony, Julie and Caitlin HOBBIES: Fishing, golf, speed

skating BEST BUSINESS ADVICE: It is never the wrong time to do the right thing.

www.beautifulresults.com 320-257-VEIN (8346) 1990 connecticut ave s sartell, mn 56377

Call The Vein Center today for your complimentary consultation and ask about our cosmetic treatments. like us on facebook

N O V E M B E R / D E C E M B E R 2 0 1 2 • • w w w. B u s i n e s s C e n t r a l M a g a z i n e . c o m

FEATURE

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PROFIT

UNBOUNDED Whether it’s heavy-duty grinders delivered in cargo ships, small parts sent in boxes, or software transmitted via the Internet, St. Cloud-area businesses are finding a growing market for their goods and services overseas. By Lawrence Schumacher

hose who have ventured into foreign markets may follow different paths, but they generally agree on one thing – finding international buyers takes research, commitment and lots of patience. “When you go international, you have to make an investment,” said John Babcock, president of Rotochopper Inc., which manufactures grinding equipment in St. Martin. “It involves expenses that take some time to recover, but you will get them back, because the markets are there, waiting.” Minnesota companies are increasingly looking to foreign markets to spur growth, especially during a sluggish domestic economy. The Minnesota Trade Office reported in August that exports from this state reached a record $5.4 billion in the second quarter of 38

Business Central Magazine •• NOVEMBER/DECEMBER 2012

2012, up 3.4 percent from the same period last year. That growth came despite uncertainties in some overseas markets, including financial crises in Europe, said Katie Clark, executive director of the trade office. “Many small and mid-sized companies are creating new jobs and a healthier economy in Minnesota through growing their export business,” she said in a release noting the record quarter. Making connections Indeed, St. Cloud-area businesses are finding that they don’t have to “go big” to go overseas. Even small businesses can find international markets, if they know where to look and how to make the right connections. To hear Mark Held tell it, international markets found Ickler Bearing and Machine, not the other

“Many small and mid-sized companies are creating new jobs and a healthier economy in Minnesota through growing their export business.” - KATIE CLARK, EXECUTIVE DIRECTOR, MINNESOTA TRADE OFFICE

way around. “We don’t travel much,” the company’s general manager said. “But we did do an international trade show in Chicago, and that started things moving for us.” The company found there was a demand for replacement parts for highpressure dairy homogenizer pumps that wear out – parts Ickler specializes in making – in international markets such as Latin America, Canada, China and Japan, Held said. Since picking up their first foreign customer about 12 years ago, Ickler has seen international sales rise to become about 15 percent of the company’s business. At GeoComm Inc., President and CEO Tom Grones hopes to make his connections with Californiabased ESRI pay off. The St. Cloud-based public safety and GIS software company plans to co-host an international conference with ESRI in Argentina in October. “If we’re not jumping in, we’re at least wading in waist-deep,” Grones said. “I’m an optimist, and I believe at least one significant opportunity is going to result from going out there.” Doing your homework For Grones, October’s conference is the culmination

of more than a year’s worth of research that identified Latin America and the Caribbean as the best potential markets for GeoComm’s E-911 software and other public safety and security-related products. “The (St. Cloud-based) Anderson Center really helped a lot,” Grones said. “I took away enough information from their sessions to do the necessary research.” First, Grones said, a company must know the value it brings to the domestic marketplace. Next it must examine which international markets offer the opportunity to bring the same value. Finally, it must assess where the culture and timing is right to deliver that value. Other resources, such as the Minnesota Trade Office and the US Commercial Service, can help open doors and provide valuable information, he added. Rotochopper found its first overseas opportunity in northern Europe, especially Scandinavia, according to Babcock. “There’s a similar business culture there as here, despite the language difference,” he said. “And we found that American products, by and large, are widely respected overseas for their quality and service.”

Adjacent parking Conference planning services Flexible catering options Personalized customer service Registration services available State-of-the-art technology

SCSU Welcome Center Location:

355 Fifth Avenue South (4 blocks north of campus) St. Cloud, Minnesota Contact:

320.308.6100 welcomecenter@stcloudstate.edu

www.scsutraining.com/rentwc

WORKING WITH PEOPLE, NOT JUST NUMB3RS.

STEVE SCHUELLER, C.P.A.

with Jerry Smude of Evergreen Equipment

“As our business grew, we knew we needed more expertise. We turned to Schlenner Wenner & Co. to help lead us through this growth. With a local office and an experienced reputation, they get the job done right.” -Jerry Smude

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N O V E M B E R / D E C E M B E R 2 0 1 2 • • w w w. B u s i n e s s C e n t r a l M a g a z i n e . c o m

FEATURE

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PROFIT

customers expect.” Held finds that securing payment from foreign customers can prove tricky, and advises a cash-first policy as a safeguard against varying legal systems and business cultures. “The funds are transferred and in our account before it leaves our dock,” he said. “We don’t even take credit cards, because the transactions can be reversed.” Sustaining momentum After what he hopes is a successful conference in October, Grones said GeoComm will likely face a choice – invest in building its overseas business by hiring someone who can be dedicated to that task, or risk losing its momentum. “We’ve

Business Central Magazine •• NOVEMBER/DECEMBER 2012

COURTESY OF ROTOCHOPPER

Overcoming obstacles Today, Rotochopper products are also sold in Australia, New Zealand, Turkey, and the Middle East, Babcock said. Indeed, machinery is Minnesota’s top export, according to the Minnesota Trade Office. Sales climbed 9.1 percent from a year ago, to $1.1 billion. The biggest challenges are getting the large industrial grinders the company specializes in to their customers. “Shipping things takes time, it’s expensive and it affects your sales process,” Babcock said. “You also have to identify good dealers in these various countries and build relationships with good people who can provide the service on the other end that your

Rotochopper’s B-66 horizontal grinder with crawler tracks shown here grinding and coloring wood waste to produce colored landscape mulch.

High Expectations? We perform. taken it about as far as we can go with me doing the research and travel in my spare time,” he said. “We’re going to have to bring in additional talent to make this stick.” The economic and financial turmoil in Europe has affected Rotochopper’s international sales, making it hard to predict what each year will bring, Babcock said. Minnesota Trade Office figures bear that out, with sales to Europe falling 5 percent from the previous quarter. “It bounces around. One year is strong, and another year we only sell one or two machines in Europe,” he said. “This debt crisis is a big deal for us, and it’s mostly out of our control.” Final recommendations If Ickler can find international markets to sell its products to, then other St. Cloud-area businesses can too, Held said. “Don’t be so intimidated by it,” he advises other companies who may be considering selling to foreign markets. “It’s not as hard as you think. You just have to be bold enough to jump in and try.” Take a systematic approach and search for the right opportunities for your company, Grones advises. “You have to do a significant amount of research,” he said. “The more work you put in on the front end, the better I believe the result will be.” Above all, don’t expect a fast payoff, Babcock warned. “Be careful, slow and deliberate and the payoff will be there,” he said. “Just don’t expect to make a quick killing. It’s not trouble free, but (international markets are) going to be a key to future growth for most companies.” BC

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Lawrence Schumacher is the creator and owner of Wordbender Communications, LLC, a communications consulting and freelance writing firm. He lives in St. Cloud with his wife and two children. N O V E M B E R / D E C E M B E R 2 0 1 2 • • w w w. B u s i n e s s C e n t r a l M a g a z i n e . c o m

SPECIAL FOCUS

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FINANCIAL SERVICES

CREDIT WORTHY

ere’s a look at what you may not know about the Five C’s of commercial credit, the steps bankers take when evaluating your business request and what has changed. Collateral is not the only king. Collateral includes what the company or an individual owns and can pledge as security for a loan. Lenders want to see what assets can support repayment. While cash is always the primary source of repayment

for a loan, pledged assets offer a secondary source. Buildings, equipment, vehicles and marketable securities such as stocks and bonds are seen as strong collateral. Accounts receivable and inventory, when combined with a solid track record, also can work for short-term borrowing. Capacity can be defined as cash flow. Capacity has long been defined as the ability of a business to repay the loans. Today it has become almost synonymous with cash flow. There has been a market shift since 2008 that has made cash flow

the most critical metric lenders use in the evaluation process. For many years, the real estate market delivered business owners the appreciation values they needed to cover loans when cash flow went south. A lender’s evaluation of a company’s cash flow often begins with the dissection of a company’s financial statements and tax returns for the past three years. Lenders look at the traditional metrics, such as net income, sales and profit margins by year and focus on understanding the intricacies of the figures. They also use a series of key ratios, such as debt service coverage. The

About the writer Jacki Templin is a business banker at Plaza Park Bank, a family-owned community bank based in Sartell. She has 16 years of banking experience and works with small business owners every day to help them achieve their goals. This column is presented for informational purposes only and does not provide advice on an individual situation.

Business Central Magazine •• NOVEMBER/DECEMBER 2012

FINANCIAL & PROFESSIONAL SERVICES

Learn more about the variety of financial & professional services available to businesses in Central Minnesota on the following pages. RMA Annual Statement Studies provide insights on what’s average for every industry and allows lenders to compare a particular company’s key financial ratios to the national average. Capital shows skin in the game. Capital describes an owner or management teams’ personal investment in the business. Like any good investor, lenders prefer business owners have some “skin in the game.” There are no hard and fast rules on capital ratios, but a good rule of thumb is for at least 20 percent of a

company’s funding come from the owner based on today’s conditions. Character matters. Character is the overall impression a business and the executive team make on the lender. Yes, this is subjective and that’s why business banking relationships are so important, especially today. Background, experience, reputation and personal credit all play a part in a lender’s assessment of character. Conditions can change everything. The role of conditions became all too

clear for business leaders during the recent recession. When evaluating conditions, lenders look at everything from the current economic landscape to competition in the marketplace. When conditions are unfavorable, companies often need to compensate with more capital or collateral. Evaluating a company’s creditworthiness is not one-dimensional. By applying a series of factors like these, lenders – and the business – can take the steps needed to position the borrower for future success. BC

FINANCIAL & PROFESSIONAL SERVICES

Bremer Insurance

American Heritage National Bank

Allan Karki

Mindy Clafton

Agent/Owner • 320-251-3333 www.ProGrowthInsurance.com

Insurance Representative 320-656-3379 •• mjclafton@bremer.com bremer.com If you own or manage a business, you need the proper insurance products and services to protect your livelihood. At Bremer Insurance, we take action to learn your unique needs — and we’ll provide appropriate solutions to meet them. Property & Casualty Solutions • Automobile • Workers’ compensation • Umbrella coverage • Directors and officers • Surety bonds • Crime • Employment practices liability Life and Health Solutions • Group Health • Life Insurance Please stop by one of our five convenient St. Cloud area locations to learn more.

ProGrowth Insurance

THE COVERAGE YOU NEED, THE PRICE YOU DESERVE. American Heritage National Bank, a family-owned commercial bank over four generations, where more than just money… relationships are our business. www.LogBank.com West St. Cloud – (320) 654-9555 East St. Cloud – (320) 257-5000 Offices also in Long Prairie and Browerville

ProGrowth Insurance was founded over 80 years ago. Today, owned by Allan Karki, ProGrowth’s offices are located in Sartell and Gaylord Minnesota. ProGrowth Insurance is a full-lines Insurance Agency, with 6 licensed agents, operating in the fivestate Midwestern area. Our primary focus is on home, auto, business and recreation Insurance – but we also offer our Insurance expertise in all areas including life, disability, worker’s compensation, bonds and more. Whatever your personal or business Insurance need, we’ll work hard to design a plan that offers you security and value.

Member FDIC

N O V E M B E R / D E C E M B E R 2 0 1 2 • • w w w. B u s i n e s s C e n t r a l M a g a z i n e . c o m

FINANCIAL & PROFESSIONAL SERVICES

Falcon National Bank

Farmers & Merchants State Bank

Steve Laraway

Eric Peterson Commercial Loan Officer 320-252-5121 •• eric.peterson@fmpierz.com fmpierz.com Farmers & Merchants State Bank has the knowledge and experience to offer you everything you’d expect from a full-service bank, and more. As a leader in Central Minnesota offering financing solutions for local businesses, we have employees with local roots and experience to help your business grow. Stop by or give us a call today.

Laraway Financial Advisors

John Herges President and CEO 320-223-6300 jherges@falconnational.com www.falconnational.com A DOOR THAT’S ALWAYS OPEN. Mine. We understand that no two businesses are alike; that’s why we offer a unique, personalized approach to business banking. If you value a dedicated staff, local decision-making, and money to loan when you’re ready to borrow, you’ll appreciate Falcon National Bank. That’s reality. Member FDIC.

President & CEO, J.D., CPA ®, CFP ® (320) 253-2490 •• steve@larawayfinancial.com www.larawayfinancial.com At Laraway Financial Advisors, we believe your financial future is a journey that should not be embarked on alone. We are as invested in your financial freedom as you are and are with you every step of the way. Steve Laraway has over 30 years of experience in the financial planning/ investment management field. He has extensive knowledge on investment strategies, tax planning, securities, employee benefit plans and estate planning. Securities offered through Cambridge Investment Research, Inc., Member FINRA/SIPC.

Because Experience Still Counts… At Farmers & Merchants State Bank, we’re proud of our people. That’s because they have the knowledge and experience to offer you everything you’d expect from a full-service bank, and more. We believe you want a banker to do more than just hand you an application. You want someone who understands you and your business. We offer just that – employees with local roots and experience to help your business grow. If experience still counts… think Farmers & Merchants. Stop by or give us a call today!

Eric Peterson, Loan Officer 9 years experience, Rice native

Serving Sauk Rapids since 1995, and a part of Pierz since 1908.

Sauk Rapids 1301 2nd St N. 320.252.5121

Pierz

80 Main St. 320.468.6422

fmpierz.com

Business Central Magazine •• NOVEMBER/DECEMBER 2012

Roger Poganski, Chief Credit Officer 30 years experience, St. Cloud native

SMART BUSINESS: Laraway Financial Advisors

Schedule your annual “physical” with Laraway Financial Advisors Inc., schedules his annual

Take this important “Five-step check” for your financial health:

physical because it’s the

1 Has my

Steven A. Laraway, Laraway Financial Advisors,

smart thing to do. Similarly, he believes in an annual investment “physical.” “Just as your health calls for conscientious monitoring, your financial situation in today’s economy suggests the wisdom of frequently meeting with your advisor,” says Steve.

personal situation changed this past year? New job? Experienced a death or divorce? Facing a health issue? You may need changes to your financial plan.

2 How did my

investments perform last year and over time? Was the performance of each of your investments appropriate for the risks you took? If not, consider changing the types and amounts of your allocations.

3 Did I receive

5 What do I need

value in return for the fees charged to me this past year?

to do now to work toward a positive financial future?

Does my advisor listen? Follow my wishes? Return my phone calls? Give me invaluable service? It’s important that you get what you pay for in an advisor.

Save more? Review my risk tolerance? Curtail spending? Or, re-adjust my financial plan? A financial advisor helps you adjust the plan when necessary. Call upon other members of your financial team as well–– attorney, accountant, life insurance professional, and others. “At minimum, schedule an annual investment check-up,” reminds Steve. “And if your financial situation changes, see your advisor immediately for his or her timely advice. Your financial health is too important to leave to chance.” — mary macdonell belisle

4 Does my current

asset allocation help me achieve my goals? Did I make progress toward my financial objectives and dreams for my life? The manner in which a person invests has a significant impact on the end results. An advisor helps determine whether, based on the asset allocation, you can have reasonable expectations of meeting your goals.

BUSINESS DESCRIPTION: Laraway Financial Advisors, Inc., is an

1219 33rd St. S., St. Cloud, MN www.larawayfinancial.com

Independent Registered Investment Advisor, headquartered in St. Cloud, MN. LFA has its own well-defined investment process and focuses on providing the right solution for clients, using a team approach.

Laraway Financial Advisors, Inc., 1219-33rd St. S., St. Cloud, MN, 320.253.2490, 800.758.8916 Securities offered through Cambridge Investment Research, Inc., a Registered Broker/Dealer, Member FINRA/SIPC. Investment Advisory Services offered through Laraway Financial Advisors, Inc., a Registered Investment Advisor. Cambridge Investment Research, Inc., is not affiliated with Laraway Financial Advisors.