Jan. 16, 2015 UBJ

JANUARY 16, 2015 | VOL. 4 ISSUE 3

upstatebusinessjournal.com

NEWS

| RETAIL | 3

Former ITA chief of staff named Aunt Fannie’s VP JENNIFER OLADIPO | SENIOR BUSINEESS WRITER

joladipo@communityjournals.com

Aunt Fannie’s Inc. named Adam Wilczewski, former chief of staff at the United States International Trade Administration (ITA), an executive vice president this week. Aunt Fannie’s is the creator of FlyPunch, a nontoxic fruit fly pesticide made from natural ingredients that has quickly gained ground in retail and commercial markets in the United States and abroad.

Wilczewski, a longtime friend of CEO Mat Franken, had invested in the company in February 2014 through his St. Louis-based business development and investment firm, Busch Global Ventures (BGV).

He said throughout the course of the year he had spent a lot of hands-on time with the company and, seeing its potential, became interested in an inside position. BGV will remain open in St. Louis, but his focus will be on Aunt Fannie’s, Wilczewski said.

Prior to founding Busch Global Ventures, Wilczewski led the efforts at the ITA under the U.S. Department of Commerce to strengthen the domestic and international competitiveness of U.S. industry through multilateral trade and investment activities.

He also has served in leadership roles in four presidential campaigns.

“Adam comes to us with years of global leadership experience spanning prestigious roles in government,

Aunt Fannie’s Inc. executive vice president Adam Wilczewski corporate, entrepreneurial, international, legal and fundraising sectors,” said Franken. “It is truly an honor to have Adam as such an important part of these next phases of our growth … Adam’s deep experience across multiple sectors will enable us to capitalize on these global demands for our offerings and enable us to continue to scale, empowering individuals and corporations to handle fruit flies safely, effectively and naturally.” “[Franken] is like a brother, so the chemistry is exciting. It’s fun to be with your buddy,” Wilczewski said. He added that Greenville is a “beautiful city to live and work.” His wife and daughter will join him in Greenville this weekend.

Strong local knowledge and talent National perspective and resources The Greenville office of Jackson Lewis is best known for its sophisticated employment litigation practice, its national ERISA practice, and its Fair Labor Standards Act work. We advise businesses on all aspects of employment law and regularly defend businesses in employment law disputes. To learn more about the services we offer in Greenville, please contact Office Managing Shareholder Stephanie Lewis at (864) 232-7000 or lewiss@jacksonlewis.com.

With over 780 attorneys practicing in 54 locations throughout the U.S. and Puerto Rico, Jackson Lewis provides creative and strategic solutions to employers in every aspect of workplace law. Recognized as the 2014 Law Firm of the Year in the category of Litigation – Labor & Employment, and ranked in the First Tier nationally in the categories of Employment and Labor Law on behalf of Management in U.S. News – Best Lawyers® “Best Law Firms,” our firm has one of the most active employment litigation practices in the U.S. To learn more about our services, please visit us at www.jacksonlewis.com.

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4 | THE RUNDOWN |

TOP-OF-MIND AND IN THE MIX THIS WEEK

UBJ

|

01.16. 2015

VOLUME 4, ISSUE 3 Featured this issue: Tech meets education at Encore Technology 12 Frazee Dream Center’s Matt Reeves is One to Watch 14 Condo development planned for downtown Greenville 30

MONEY SHOT: An overhead shot of the South Ridge development under construction on Church Street in Greenville, taken via drone by Travis Runion of Captured Video Production. Real estate is one of the industries expected to make heavy use of drone photography in the future.

Read more on page 6 Photo by Travis Runion

WORTH REPEATING

TBA

“I can fly these drones pretty much anywhere I want under [FAA] guidelines with full immunity, until I charge you a nickel for it. Then I’m breaking the law.” Page 6

A new Wal-Mart Supercenter is coming soon to the Cherrydale area. Word is the new store will be located on 20 acres at 3136 N. Pleasantburg Drive near Furman Hall Road.

“We have a limited number of days in our lives to do good stuff, and I wake up every morning thinking time is my enemy.” Page 14 “You can’t have 100 percent sustainable, because that’s not affordable, and you can’t have 100 percent affordable, because that’s not sustainable.” Page 22

Village of West Greenville coffee lovers can officially rejoice: The Village Grind, a new coffee shop on Pendleton Street near Lily Pottery, is set to open Friday, Jan. 16.

CLARIFICATION An article in the Jan. 9 issue of UBJ, “NEXT 3.0,” stated that the NEXT Innovation Center “officially broke off” from the Greenville Chamber of Commerce. In fact, NEXT is now a wholly owned subsidiary of the Chamber as a separate LLC. We apologize for our imprecise phrasing.

VERBATIM

On changing the South “Last fall, Bill opened his first storefront in downtown Greenville, but it’s what the 27-year-old entrepreneur is doing to give back that has us taking note: 20 percent of all Billiam sales goes toward fighting human trafficking in Atlanta.”

Southern Living, naming Bill Mitchell, founder of Billiam Jeans, one of “50 People Who Are Changing the South in 2015.” Read the article at southernliving. com/travel/peoplechanging-south-2015.

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6 | TECH BYTES |

UBJ

NEWS

|

01.16. 2015

Game of drones Look for big opportunities for unmanned aircraft systems—and big obstacles in the way SHERRY JACKSON | STAFF

sjackson@communityjournals.com Drones are all over the news lately. Amazon and Google want to use them to deliver packages, pizza delivery restaurants are testing out pies-in-the-sky delivery scenarios, farmers are using them to check on livestock and crops more easily, and police departments in other cities are starting to use unmanned aerial vehicles (AUV) to get a sneak peek inside potential hostage and dangerous sit-

uations.

Advances in camera and video technology along with declining prices have put AUVs within reach for a lot of people. But what are the laws surrounding drones? Who can and can’t use them? And what about privacy concerns?

FAA RULES The category for unmanned aircraft systems (UAS), a.k.a. drones, is broad, including anything from small quad copters that hobbyists may purchase

to military-style unmanned aircraft.

Federal Aviation Administration rules say a UAS cannot be used for commercial purposes unless a special permit is granted. But the rules are different if you’re not planning on making money. According to the FAA Modernization and Reform Act of 2012, drone usage doesn’t require FAA approval as long as the aircraft is flown strictly for hobby or recreational use within sight of the operator. The law also states that UAS must be flown below 400 feet and

WHAT CAN I DO WITH MY MODEL AIRCRAFT?

Do’s

Avoid doing anything hazardous to other airplanes or people and property on the ground.

Fly a model aircraft/UAS at the local model aircraft club.

Take lessons and learn to fly safely.

Contact the airport or control tower when flying within 5 miles of the airport.

Fly a model aircraft for personal enjoyment.

Fewer delays. Fewer headaches.

Don’ts

Fly near manned aircraft.

Fly beyond line of sight of the operator.

Fly an aircraft weighing more than 55 pounds unless it’s certified by an aeromodeling community-based organization.

Fly contrary to your aeromodeling community-based safety guidelines.

Fly model aircraft for payment or commercial purposes.

Source: FAA

Furman University physics professor John Conrad pilots one of the school’s quad-copter drones.

cannot be launched within five miles of an airport, unless the operator of the aircraft notifies the airport operator and control tower beforehand.

FAA spokesman Les Dorr said the FAA has been working since early >>

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NEWS

“They’re very easy to fly and you’re not really nervous about crashing.” He said he doubts privacy concerns will be a huge issue going forward as the cameras on the drones are at a pretty wide angle.

“It’s not much different than with people using Google Earth or Google Street View. You’re not going to get any more detailed than that,” he said.

Runion said he and other professional photographers treat drone safety as a matter of common sense.

“I’m not going to fly next to an airport.

It’s essentially a tripod for my camera that flies, so I treat the rules and etiquette the same.”

The biggest interest he’s seen so far has been from builders and real estate professionals wanting aerial video and photography. He’s quick to add that he isn’t using his drone for any commercial projects. “I’m just waiting on the FAA to give us permission,” he said. “I don’t want to risk anything I’m doing now for early exposure.”

A quad-copter drone flies above Furman University.

>>

2014 to revise the law to “expand the commercial use of UAS in certain tightly controlled, low-risk situations.” Dorr said companies must apply for airworthiness and operational exemptions.

These proposed changes to the existing rules could possibly mandate that drone operators have pilot licenses and limit flights to daytime hours, below 400 feet and within sight of the person at the controls.

As of early January 2015, the FAA had received 214 petitions from companies in industries such as filmmaking, pipeline inspection, aerial surveying, precision agriculture, stack inspections and real estate. “We have granted 14 requests, and we continue to evaluate the applications in the order they were submitted,” said Dorr.

There is no ETA on when the new rules will be released, he said.

COMMERCIAL APPLICATIONS The new federal rules would likely preclude delivery drones under development by Amazon and Google and make some other potential drone uses too expensive for small businesses, the Wall Street Journal has reported. The changes would erode the value of operating unmanned aircraft for many businesses, particularly small ones, drone makers and users warned. Requiring that users only fly drones within their view would effectively prohibit many commercial applica-

Photos by Greg Beckner

tions, including pipeline inspections, large-scale crop monitoring and deliveries, they said.

“In places all over the world, except the U.S., people are making money hand over fist selling services such as real estate mapping, smart agriculture and pipeline overflights,” said John Conrad, a physics professor at Furman University who purchased the university’s first drone two years ago and now has a fleet available for him and his students to use.

“I can fly these drones pretty much anywhere I want under [FAA] guidelines with full immunity, until I charge you a nickel for it. Then I’m breaking the law,” he said. “That’s what’s stifling the development of manufacturing of these drones in America.”

But drones are readily available, made in places like China and France, and at less than $1,000 for a good, mid-grade drone. Consequently, hobbyists, photographers and others are purchasing drones for their own use and to gear up for possible commercial applications.

Travis Runion, who owns Captured Video Production in Greenville, said he bought his first drone in February 2014 and was hooked. “It was a great merge of flying and aviation and then my photography and video,” said Runion, who also has a pilot’s license.

Runion said the drones are equipped with a compass, gyroscope and GPS.

OTHER USES While the commercial application of drones is very much in the hands of the FAA, Runion sees future drone

use for individuals leaning heavily to recreational and adventure sports. He said companies are working on drone technology that will allow a drone to follow you while skiing downhill or surfing a wave.

Police departments in some areas of the country are also experimenting with drone usage, but there are no plans yet to use them here. Both the Greenville Police Department and the Greenville County Sheriff’s Office have said they don’t currently own drones nor do they have plans to use them in the near future.

Conrad’s Furman students are making use of their drones, producing a video last year that showed overflights by drones in underserved Greenville County communities such as Poe Mill and New Washington Heights. The investigators for the project used drone technology to assess street lighting in an effort to help stem crime in the neighborhoods.

SEE IT WORK See Furman’s drone video “Tracking Lights” at bit.ly/tracking-lights.

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| TECH BYTES | 7

8 | RESTAURANTS |

NEWS

UBJ

01.16. 2015

Denny’s reports highest same-store sales growth since 2006

The Disney Way For Christmas, we took our girls on a Disney cruise. If you have ever been on a Disney Cruise or anything Disney related, then you know that it was top-notch. When I wasn’t seeing Mickey, snorkeling, or just relaxing by the pool, I couldn’t help but think of the business of Disney.

ASHLEY BONCIMINO | STAFF

aboncimino@communityjournals.com

A few years ago, I read The Disney Way: Harnessing the Management Secrets of Disney in Your Company by Bill Capodagli and Lynn Jackson. As I looked around the ship and interacted with the “team” members, I was reminded of this book and the deliberate business model behind Disney.

LEE YARBOROUGH

|

Spartanburg-based Denny’s Corp. announced a 4.7 percent increase in same-store sales during the fourth quarter and 2.8 percent same-store sales growth for the year ended Dec. 31, 2014.

The company operates 16 restaurants in South Carolina, according to its website.

The growth represented its fourth consecutive year of positive system-wide same-store sales growth, as well as its highest annual system-wide same-store sales growth since 2006, according to a news release.

Denny’s opened 22 system restaurants during the fourth quarter and 38 restaurants during 2014, bringing the total restaurant count to 1,702.

Walt Disney’s original philosophy and vision is still evident in all things Disney. Dream. Believe. Dare.

Do. These four words are the pillars behind Disney’s success and can help all business leaders.

Dream: • Encourage all employees, regardless of job title, to dream in a structured way in order to solve problems and develop solutions.

• Hold off-site retreats to plan and strategize.

Believe: • Formalize your company’s mission and values and use as a training tool all employees. Every employee attends Disney University to learn about Walt’s vision. As you walk through a Disney park, you can feel the difference.

The company closed nine franchised and licensed stores during the fourth quarter, and closed 36 franchised, licensed and company stores during 2014.

During the first three quarters of 2014, Denny’s reported earnings per share growth of 13 percent. Earnings per share grew 21 percent in 2013 and 33 percent in 2012.

Denny’s Corp. reports combined annual sales of $2.6 billion in its 1,596 U.S. restaurant and 106 international restaurants. Approximately 91 percent of system restaurants are franchised.

• Use the core values as a guide when evaluating all business decisions.

• Reinforce the company’s vision and values on a regular basis through companywide meetings.

Dare: • Allow employees the opportunity to develop innovative ideas and reward this behavior.

• Spend time evaluating failures to help plan for future projects.

• Use multifunctional teams to evaluate processes. For example, when Disney evaluated new attractions, even the custodian was brought in to provide valuable feedback.

Do:

Stay in the know on Twitter.

• Treat your customers like guests.

• Expect perfection and plan out all details before execution.

• Go the extra mile. Disney does such a great job with this that their guests don’t mind paying extra for the experience.

Walt Disney died before Disney World in Florida opened. Yet if he were alive today, he would see that his core beliefs are still the driving force of the Walt Disney Company. As business leaders, we all need to take more time to dream; inspire our team to believe; take risks and dare to be unique; and pay attention to the details in order to do what is necessary for success. In essence, channel your Inner-Mickey!

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MOVERS, SHAKERS AND DISRUP TORS SHAPING OUR FUTURE

| INNOVATE | 9

The 4-letter word that will take manufacturing to the next level Education needs to adapt to changing landscape

By KRIS FRADY,

director, Clemson University Center for Workforce Development

Manufacturing is the economic engine for many communities across South Carolina. From the Upstate to the Lowcountry, the state’s workers are putting cars on the road and planes in the air.

For many workers, the jobs that come with a robust manufacturing sector make the difference between barely getting by and getting a ticket to the middle class. Even entry-level work at some advanced-manufacturing companies pays $50,000 a year.

“The shift to high-tech manufacturing comes with advantages, including higher pay and more satisfying work.”

But manufacturing jobs are no longer what they used to be. The days of dirty, dimly lit shop floors are gone. Everything is high-tech now. Brains are more valued than brawn. As the landscape shifts, four letters will be key to taking manufacturing to the next level.

STEM. That stands for science, technology, engineering and math. Manufacturers are demanding more of it, and our education system should adapt.

The shift to high-tech manufacturing comes with advantages, including higher pay and more satisfying work. And the emphasis on advanced manufacturing means fewer jobs can be outsourced because no other country has a workforce as skilled as does the United States.

But the shift also brings new challenges. Global competition and new technology have hit some segments of the workforce especially hard. Workers who end their education at high school or even earlier face slim pickings in the hunt for jobs that pay decently. At the same time, manufacturers tell us that a growing need for qualified technicians has left some jobs open for months.

To ensure that the nation retains its competitive edge, we need to bridge the “skills gap.” The good news is the Internet is opening doors that didn’t exist 15 or 20 years ago. Prospective students needn’t be held back by work schedules, family obligations or lack of transportation.

With the right curriculum, students can study in a place and time of their choosing. Several high-quality programs are already available through high schools and technical colleges in South Carolina and across the country. They teach basic skills, such as maintenance and safety, that students will need to get a job in a modern manufacturing plant.

Some participants may choose to go directly into the workforce, while others may decide to further their education with a degree in engineering or science. Either way, it’s a terrific pathway into a rapidly changing workforce.

Virtual reality is also opening some exciting possibilities in education.

Some of the technology’s deepest roots are in the gaming community, but the biggest impact could be on teaching workers the skills they need for hightech manufacturing.

Virtual reality helps reinforce textbook lessons and can even show students how to avoid mistakes that could be lethal in real life. Simulations range from how an injection-molding machine works to removing a battery from a hybrid car.

The simulations are spreading to high schools and technical colleges across the country as the “It is imperative that we break down the silos that have traditionally falling cost of technology separated the P-12 system, industry and higher education. Combining lowers the barrier to parour efforts helps get resources into the hands of the teachers who ticipate. Many simulations need them to develop a highly qualified workforce.” can be done on standard laptop and desktop comabout vibrations. To the students, it may seem like puters. But to make them even more eye-popping, magic at first. But then they learn the science and simulations can also be designed for the Oculus Rift pre-engineering concepts behind it. virtual reality headset.

The wheels are in motion to take manufacturing One simulation that we’ve found works particuto the next level in South Carolina and nationwide. larly well with the Oculus Rift puts students in the But we need to keep the momentum going role of an auditor. Students can hear the bangs and forward. It is imperative that we break down the clangs of a factory as they navigate the plant from a silos that have traditionally separated the P-12 first-person viewpoint, searching for safety violations. system, industry and higher education. Combining It’s a great way to hold a student’s attention. our efforts helps get resources into the hands While education targeted to adults will solve of the teachers who need them to develop a highly our short-term needs, we believe that we also need qualified workforce. to prepare the youth for next-generation jobs.

Manufacturing remains key to prosperity in our It can start with students even before they state and across the nation. By teaching the skills enter kindergarten. needed in the next-generation workforce, we will Smells can teach students about chemicals. shore up the middle class and put families on the Crushing a soda can be a lesson in air pressure. road to success.

Having students form a “boomwhacker band” by banging together hollow tubes is a fun way to learn

10 | DIGITAL MAVEN |

UBJ

THE TECHNICAL SIDE OF BUSINESS

|

01.16. 2015

Trash talk Proper electronics recycling can keep toxins out of the landfill— and keep your data out of the wrong hands computers that still contained personnel and student information, including Social Security numbers for about 100,000 students and 1,000 staff members.

Disagreements abound about the best process to DETERMINE IF IT CAN STILL BE USEFUL wipe your drives—if you really want to get your geek Is the old equipment useful anywhere else in your What did your business get for Christmas? on, you can read them here: goo.gl/yhLUOy. operation? Sometimes older computers still have Maybe some new computers, tablets or smartphones?

Most non-military or nationuseful functions, even if they Now that you’ve started rolling out the new stuff, al security organizations recIT’S THE LAW aren’t workhorses anymore. You you may be asking yourself what to do with the old. ommend dban.org, where you may have a higher-end computOur electronics are seething pits of heavy metals, can download free software for er somewhere in your operation toxic fumes and leaching chemicals. Certainly we personal use and find software for someone who just checks have all seen the photos of landfills in the poorest packages to purchase for enemail. parts of the world where the industrialized countries terprise use.

Businesses often don’t look at dump our laptops, iPads and outdated servers. The Don’t overlook mobile computer use as a whole because World Health Organization outlines the health and devices, phones, tablets and roll-downs can take time and environmental damage being done by dumping, readers (and for home users, resources. But they can also save It is illegal to dispose of computers, dismantling and harvesting valuable elements from game consoles).

They are money when you look at least computer monitors, televisions and e-waste around the world in this article: goo.gl/ miniature computers and they once a year at whether you have printers (as well as parts of any of QfqsrX. The world’s children, it points out, are the store data on chips, SIM cards, the right tool in the right perthese items) in a recycling or trash most vulnerable to the health impact of lead, mini-SDs and more.

A good son’s hands. Do you need to buy container (S.C. Code of Law, cadmium and chromium leaching into groundwater article from Consumer Reports new equipment? Or swap 48-60-90). from mountains of decaying electronic waste. (goo.gl/2IpFD0) explains how something?

For a list of electronics recycling Not only is responsible disposal the right thing to to check all these devices and locations and other resources, visit MAKE SURE ALL YOUR DATA do, it is also the law. Since July 2011, it has been wipe the data before recycling. scdhec.gov/e-cycle.

IS WIPED FROM IT illegal in South Carolina to dispose of electronic PICK THE RIGHT RECYCLER Still there will be devices that waste in residential trash and unregulated landfills.

Every company with a truck you want to get rid of. Most importantly, you need to Residential e-waste can be taken to recycling centers, is not the same, so be sure you select a company that make sure the hard drives of any computing devices but commercial e-waste must be disposed of through not only knows how to handle e-waste, but has the are thoroughly wiped. Many recyclers will offer this an authorized recycler. experience and certifications to back that up. This service, but in making this decision, remember it is is especially true if you are going to have your recyyour data and not theirs. If you want to have the reEvery company with a truck is not the same, cler handle secure destruction of your data. Accordcycler do it, read on for a list of questions to ask to ing to the Telecommunications Industry Association, so be sure you select a company that not ensure the company you choose knows what it’s doing. reputable firms should be able to provide you with only says it knows how to handle e-waste, A warning: It takes time to completely destroy all certification that your data was destroyed and a but has the experience and certifications the data on a hard drive. A basic reformat will not record of the methods it used. be sufficient. That’s a lesson that the Greenville to back that up.

TIA says qualified organizations should be able County school district learned in 2006 when it sold to produce proof that they have proper facilities and training, as well as management/operation audits to back that up. Certifications, such as E-WASTE GENERATION AND RECYCLING 2000–2011 ISO 14001 or certs from industry organizations such as the International Association of Elec4,000,000 tronics Recyclers (IAER), should also be 3,500,000 available to be produced. A detailed list of 3,000,000 questions can be found here: goo.gl/PpJjuy.

TONS OF 2,500,000 If the company you’re using is just a conduit E-WASTE 2,000,000 to a final recycling operation, it should still be able to tell where the job is heading and provide 1,500,000 proof of delivery to a firm that has these cer1,000,000 tifications and references. If you’re doing that, 500,000 however, you might want to ensure that your 0 drives have been wiped before pickup.

2000 2005 2007 2009 2010 2011 This may be an area most affecting small Total e-waste generated 1,900,000 2,630,000 3,010,000 3,190,000 3,320,000 3,410,000 businesses and nonprofits. Electronic waste disposal is a growing problem. Being aware of the E-waste trashed 1,710,000 2,270,000 2,460,000 2,590,000 2,670,000 2,560,000 steps to take, questions to ask and qualifications E-waste recycled 190,000 360,000 550,000 600,000 650,000 850,000 to look for is critical for businesses, no matter how Percent Recycled 10.0% 13.7% 18.3% 18.8% 19.6% 24.9% small, to be part of doing the right thing.

By LAURA HAIGHT, president, portfoliosc.com

Here are several steps to take and questions to ask yourself and your vendor before you dispose of those old electronics.

1

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12 | JUMPSTART |

UBJ

COMPANIES BLAZING A TRAIL IN ENTREPRENEURSHIP

|

01.16. 2015

EDUCATION MEETS TECH Encore Technology Group CTO Michael Knight demonstrates one of the company’s Clear Touch Interactive Displays. One of many different components Encore offers, the Clear Touch allows up to six touch sources simultaneously.

JENNIFER OLADIPO SENIOR BUSINESS WRITER joladipo@communityjournals.com

Experts say the future of education is inextricably tied to technology. Greenville’s Encore Technology Group makes its profits in the places where the two meet, literally.

The company was founded two years ago by former members of the technology division at Computer Software Innovations (CSI), when CSI sold to another company. Since then, Encore has charted its own path on the IT landscape.

“When we first carved away from CSI in the spring of 2013 and we were moving into our new Greenville office space, we were setting up new accounting and enterprise resource planning systems as well as implementing new operational policies and procedures,” said chairman and CEO Todd Newnam.

“Because we were doing all of that in the midst of our busy 2013 summer season, we had some operational challenges. We didn’t execute some things as well as we should have.”

Encore’s core business remains the same as when it was part of CSI: hardware reselling. However, it

is taking a slightly different position as a young and growing brand.

“From a rebranding perspective, you’ll see a lot of things on our website about being a solutions provider,” said Michael Knight, Encore’s chief technology officer. “Where our value really comes into play is when we bring together multiple hardware and multiple software providers into a cohesive solution for the customer.”

KNOWLEDGE AND CAPABILITY The company sees itself as stepping into providing the broad knowledge of available technology some local school system IT directors, for instance, might not be fully aware of, as well as the engineering capabilities to bring them into the schools.

Encore provides IT engineering services and cloud-based hosted

Photos by Greg Beckner

Encore Technology Group participates in the future of schools

solutions, and also resells IT hardware to clients in the public sector. Newnam, who took on the CEO role last year, said what has surprised him most about the business is the long sales cycle in the public sector, particularly within the K-12 market.

“In the K-12 market, it’s a much more measured approach to planning and procuring and deploying than I’ve seen in other businesses—two to three >>

Some of Encore’s awards on display in the company’s lobby.

>>

upstatebusinessjournal.com

>>

times as long,” he said. That reality has meant the sales team needs to have more transactions on the books in order to maintain the company’s overall volume, as well as larger sales and engineering teams for a sector that tends to require more and ongoing support than most commercial customers do.

Another issue has been the wintertime dip in a business that has proved to be seasonal. The company has addressed it by cross-training some employees so that they can do other jobs during the slower season. For instance, pre-sales engineers are training to also take on installations during the summer.

Newnam said employees like the additional training, which essentially expands their own skill sets and makes them more marketable.

The company targets public school systems, municipal governments and similar organizations, selling hardware such as interactive touch screens, storage and data networks, and physical security systems, as well as IT engineering services like data centers and cloud-based services such as computing and Internet phone systems.

COMPANIES BLAZING A TRAIL IN ENTREPRENEURSHIP

that he characterized as normal for the industry.

Occasionally, employees have gone to work for some of Encore’s providers, maintaining a relationship from the outside.

Newnam said the company is looking to grow its business and expand its geographic footprint, which will lead to more hiring. But there isn’t any rush: New operations require finding people with the right mix of industry expertise and sales experience.

Now that the company is more efficient and effective, Newnam said he feels the company can look toward acquisitions.

“What I would love to do, whether it’s in one year or three years, is look into doing an acquisition of a competitor either in-territory or out-of-territory— something that expands us in Florida or maybe something that expands us into Maryland,” Newnam said. “The management team here is very good and has the capability to execute it.”

OPPORTUNITIES FOR GROWTH Encore has four total current data centers and is actively building a second one in the United Kingdom. Annual revenues are about $50 million and growing, Newnam said. Accounts include more than 2,000 cloud-hosted phones for Detroit public schools and a recent data migration for 44 Ohio public libraries.

Overall, cloud services are also growing “very fast,” and the company has added some new product lines, Newnam said. Those hosted platforms present opportunities for national growth. Yet Newnam said the company’s principal focus is on being the leading IT provider in its niche in the Southeast. The bulk of its business is in the Carolinas, and part of the company’s growth has come from finding new markets within those states, Newnam said. In addition, Encore has expanded into Virginia and more aggressively into Georgia and Florida.

A high demand for technology in education has also presented important growth opportunities. It is unlikely to be abated any time soon as federal, state and local governments are funding the infrastructure to support that, Newnam said.

David Masters, vice president of sales, added that the market is growing in “flipped” classrooms where students access lessons outside the classroom and educators use class time for deeper exploration. For Encore, that creates a market for integrated devices that travel home with students and staff networks to enable such functionality.

EFFICIENCY AND EFFECTIVENESS Although the business has grown, the staff size has not. Just over 100 employees work for the company today, compared to about 120 when it first started. Technology and increased efficiency have allowed Encore to reduce staff even as business increases, Newnam said.

The faces at the top have changed. Newnam became CEO last year after serving as board chairman, and the rest of the staff has seen some rotation

| JUMPSTART | 13

Members of the Encore management team are (from left) Michael Knight, CTO; Todd Newnam, chairman and CEO; and David Masters, vice president of sales.

14 | WHO’S WHO: ONES TO WATCH |

WHAT YOU WANT TO KNOW ABOUT PEOPLE YOU NEED TO KNOW

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01.16. 2015

Director, Frazee Dream Center APRIL A. MORRIS | STAFF

amorris@communityjournals.com

Matt Reeves once spent his workdays planning landscaping and stone masonry projects for clients “who had extra money.” Now he runs the Frazee Dream Center— working to build skills and relationships for area children who need a leg up. Reeves talks about his journey from service in the Air Force and playing Clemson football to providing preschool, afterschool and mentoring programs for kids who need extra support.

How did you decide to start the Frazee Dream Center?

My wife, Jenny, and I would work summers at Fellowship of Christian Athletes [FCA] camps. Both of us grew up with a terrific family structure.

We started meeting kids who didn’t have an example of a family like ours and were struggling in the chaos of their lives. We would set down ground rules and put them on a schedule. They quickly adjusted and we saw a real change in their behavior by Friday morning. What most surprised me was some of these kids would cry and not want to leave, saying it was the best week of their lives.

We started the conversation of what it would look like when we did something like this—when we were 50 years old. In 2006, when our daughter, Tomy John, was 4 years old and our son, Champ, was 6 months old, we thought, “Why not do this right now?”

How did you execute the plan?

INQUIRE NOW: John O’Donoghue 1.800.611.8630 WFCGREENVILLE.COM

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Matt Reeves

“We have a limited number of days in our lives to do good stuff, and I wake up every morning thinking time is my enemy.”

THE NEW WELLS FARGO CENTER

UBJ

At 33, I decided to start the program, and the landscaping business would fund it. I found this 50,000-squarefoot building and bought it. We worked the landscape business and our crew helped work on the building.

In December 2006, I decided to sell the company. I sat at my table and watched other companies pick up my

equipment, and it was gone within seven days. It was very scary and very freeing at the same time. We had about 18 months of capital to work with.

Photos by Greg Beckner

“I can’t for the life of me figure out why we can’t have 10,000 people connecting with 10,000 kids with all the businesses and churches that we have around here.”

Was there a time when you were sure you would fail?

Did it happen?

When I was in the Air Force, people pushed me further than I thought I could go. When I left the Air Force, I thought I was Superman. But when I got to Clemson [to play football], I realized that I was a subpar athlete—I was two steps behind everyone else and two inches shorter. After three weeks of practice, I never thought I would set foot on the field. But the coach had me play in nearly every game—fullback, outside linebacker and on all the special teams.

What keeps you up at night?

It’s the 14-year-old girls who are pregnant and having children. We need to start helping that child from “day zero.” The “day zero” happens and we may miss working it. If we start to work with a child at six years old, they’re already six years behind and it’s nearly impossible to catch up.

We have a limited number of days in our lives to do good stuff, and I wake up every morning thinking time is my enemy.

What is the most rewarding mistake you’ve made?

The Frazee Dream Center is also my most rewarding mistake. It was something that I didn’t plan: We had no >>

upstatebusinessjournal.com

>> vision of what it would look like or how to fund it after 18 months.

If I had to do it again, I would take a year and plan. I would do it how we do it now, not how we did it nine years ago. It was a huge undertaking to get into with such little knowledge about what poverty is, who these kids are and what I am capable of. In the beginning we thought were going to have it all fixed in two years.

The rewarding part is that we see kids’ lives change daily, and we had more than 1,000 volunteers last year. It’s changing their lives as much as the child’s.

What’s next for you?

WHAT YOU WANT TO KNOW ABOUT PEOPLE YOU NEED TO KNOW

| WHO’S WHO: ONES TO WATCH | 15

POINTS OF INTEREST Age: 42 Education: Grew up in Anderson and attended T.L. Hanna High School. Served in the Air Force and later attended Clemson University, studying secondary education. Also played football all four years at Clemson.

First business: Reeves Landscape Management, landscaping and stone masonry, for 10 years.

Family: Wife, Jenny, trained as special education teacher; daughter, Tomy John, 12; and son, Champ, 9.

Frazee Dream Center namesake: The center is named for James Frazee, a friend who died at age 32.

We have 140 kids in the afHobby: Brazilian jiujitsu. “Gym proximity ter-school program and we have is the major factor in where my family vacations.”

700 mentor volunteers in Anderson and Greenville counties. Our goal for 2015 is to have 1,500 mentors connecting with 10,000 kids with all in Mentor Upstate, which is run out the businesses and churches that we of our center. have around here. We’re working Greenville County has more than toward it. I hope in five years we have 20,000 elementary school kids on free a majority of those kids in a [mentor] or reduced lunch and probably 10,000 relationship with someone who has a of those kids live in generational little more time and a little less chaos poverty. I can’t for the life of me figure in their lives. out why we can’t have 10,000 people

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16 | ON THE MOVE |

UBJ

PLAY-BY-PLAY OF UPSTATE CAREERS

ELECTED

HIRED

HONORED

HIRED

|

01.16. 2015

AWARDED

Kenneth M. Rogers

Chip Hardy

Bernie Ferrone

Ashley Downing

Jack W. Bonner III

Named to the American College of Psychiatrists.

Rogers is chairman of the Greenville Health System and University of South Carolina School of Medicine Greenville departments of psychiatry.

Rogers was also named to the American Board of Psychiatry and Neurology’s steering committee on Certification in Child and Adolescent Psychiatry.

Named as a new member of FinTrust Investment Advisors.

Hardy previously worked at PrimeTrust Advisors, where he was one of the cofounders. He is an Accredited Investment Fiduciary and specializes in fiduciary and investment consulting for corporate retirement plans, trustees and investment committees.

Honored at the Upstate Mediation Center for mediating the highest number of Family Court mediations. This was the second year he received the distinction. Ferrone started volunteering at the mediation center after his 20-year career mediating contract property disputes for the South Carolina Association of Realtors.

Named communications manager at Ten at the Top (TATT). Downing will serve as the TATT liaison to local media services. She will also be responsible for management and promotion of the Ten at the Top website and coordinate all Upstate Regional Forums and bus day-trips.

Will receive the Distinguished Service Award from the American College of Psychiatrists. Bonner is emeritus professor of clinical neuropsychiatry and behavioral science at the University of South Carolina School of Medicine Greenville. He has served as president of numerous national psychiatric organizations.

THE FIRST STEP IN APPROVAL FOR THE DEMOLITION OF THE GREENVILLE NEWS SITE BUILDINGS was given last week from the City of Greenville Design Review Board.

Demolition permits, however, will not be issued until after a special hearing on Jan. 28 where the DRB and an urban design consultant hired by the city review the conceptual site plan in detail. Demolition could start as early as this summer, said developers.

The new project called Camperdown is expected to have a public plaza surrounded by 16 condos, 225 apartments, an upscale sevenstory hotel, two office buildings, retail and restaurant spaces and a dine-in movie theater.

COMMUNITY PULSE announced the following members of its 2015 Advisory Council, which is responsible for social networking programs and coordinating involvement in community service projects: Mike Pennington, chair; Ebony Austin, vice chair; Kelly Byers, PaceSetters chair; Tracy Olsen Connor, connects chair; Jed Dews, capacity chair; Lauren Good, marketing chair; Paul Halphen, leadership chair; Lindsay McPhail, PULSE in the Arts chair; Janell Pennington, social chair; Lindsay Pfrommer, talent chair; Holly Pruitt, investment chair; Claire Richards, marketing vice chair.

The Greenville Chamber hired Katie Busbee as manager of government relations and Andres Rivera as a membership development specialist. Busbee will work in all areas of business advocacy initiatives. She previously interned in Congress and at the South Carolina Statehouse. Rivera will assist with growing and retaining membership.

Previously, he was a business-owner

Photo by Greg Beckner

actively involved in the Chamber’s small business programs.

Upstate Forever named the following officers to its board of directors for 2015: Brice Hipp, chair; Mark Taylor, vice chair; Glenn Hilliard, secretary; and Tom Kester, treasurer. The organization also named Mike Baur as a new member.

FINANCE Al Cannon and Carter Hall of Nachman Norwood & Parrott received their CFP certification. To become a CFP professional, an individual must complete requirements in education, experience and ethics.

LEGAL Jackson Lewis P.C. named Wendy Furhang a shareholder in the firm’s Greenville office. She is one of 21 total Jackson Lewis attorneys that were elevated to shareholders across the country. Furhang focuses her practice on employment litigation, which includes defending public and private employers in a variety of legal claims including wrongful termination, harassment, discrimination, >>

CONTRIBUTE: New hires, promotions & award winners may be featured in On the Move. Send information and photos to onthemove@upstatebusinessjournal.com.

upstatebusinessjournal.com

PLAY-BY-PLAY OF UPSTATE CAREERS

| ON THE MOVE | 17

VIP

Lillian Brock Flemming: Elected Named to the Girl Scouts of South Carolina—Mountains to Midlands board of directors for a two-year term. Flemming is Greenville’s vice mayor pro tem and District 2 representative. She has served on City Council since 1981, and currently serves as the city liaison to the Greenville Transit Authority board of directors.

>> retaliation, wage and hour claims, breach of contract and employee classification issues.

Gallivan, White & Boyd P.A. elected Jared Simms and Tom Vanderbloemen as shareholders. Simms focuses his practice on defense of employment and workers’ compensation matters on behalf of employers, insurance carriers, self-insured corporations, third-party administrators and claims servicing agencies. He joined GWB as an associate in 2011. Vanderbloemen handles a range of litigation in the federal and state courts, with an emphasis on business litigation, intellectual property matters and appeals. He assists clients in pursuing, defending and resolving disputes concerning patents, trademarks, copyrights, trade secrets and technology as well as other related intellectual property matters.

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SPORTS The Boston Red Sox announced the Greenville Drive 2015 coaching staff.

Darren Fenster will return for his second season as manager, and he is joined by hitting coach Nelson Paulino, pitching coach Walter Miranda and head athletic trainer Satoshi Kajiyama.

Paulino and Kajiyama return for their second consecutive seasons in Greenville, and Miranda returns to Greenville for the first time since 2007.

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al e r , gy ce, o l o n or f h k c r te wo will n i , s n d t io n a t e h a r l t t u e p gy rs h r o e T p a en e, e t y d a t an xt 15 es e c e n n a n e fi th e p sha At the start of this New Year, UBJ is taking the long view of the business and other trends that will shape the future of the Upstate.

In the year 2030, many nationwide trends will have made their way to our area. With some now-nascent technologies becoming mainstream, we might very well be eating 3-D printed snacks while engaging with holographic advertising as we walk past storefronts. Smaller living spaces will be in demand and parking garages will likely be smaller, with our cars driven to us by robots.

The population wave coming to the Southeast will change the way the Upstate looks in many ways. Age, race and nationality will all be represented in different proportions from the degree they are today. Those population shifts will bring new demands for services and opportunities for business to Upstate communities.

These are the changes we’ll be able to physically see with our eyes – but quieter developments will also affect the business world in 2030. Regulations of all kinds will continue to shape the direction of businesses and industry, from federal coal emissions limits to post-2008 financial regulations that drive consumers and businesses toward alternative finance.

Educators and industries will have taken aim at the pending skills gap crisis, and sidelined cash will try to make itself useful in heightened M&A activity.

Some aspects of the area’s social, business and physical structure 15 years ago are nearly unrecognizable today. Some of that is due to the deliberate planning and enduring work of many people in the community, and some of it can be attributed to the larger forces – expected and unexpected – that shape society.

With that in mind, UBJ has brought together some hard numbers, big ideas and ongoing trends to consider what will change – and what just might stay the same – in the years to come.

2030 continued on PAGE 20

20 | COVER |

UBJ

THE FUTURE ISSUE

|

01.16.2015

Technology 2030 RFID, iBeacons and 3-D printing you can eat— today’s cutting-edge innovations will be tomorrow’s everyday tech SHERRY JACKSON | STAFF

sjackson@communityjournals.com

Technology experts say advances in tech—both now and in the future—will be driven by the “Internet of Things.”

“The ‘Internet of Things’ is the hottest topic in tech right now,” said Karen Chupka, senior vice president of the International Consumer Electronics Show and the Consumer Electronics Association.

“It’s all about the opportunity to connect everyday items like cars, home security systems and kitchen appliances to networked devices like PCs and smartphones for greater control and management of our everyday lives.”

What about in 2030? Here’s a look at some of the technology already making waves that is set to become much more mainstream in 2030.

Finger-lickin’ 3-D printing Over the past several years, 3-D printers have become more advanced and less costly. Experts predict future 3-D printing technology will be able to produce body parts, food, housing and much more. At last week’s 2015 International Consumer Electronics Show, Rock Hill-based 3D Systems unveiled its new CocoJet, a 3-D printer that produces chocolates. Developed with The Hershey Company, the printer can print custom designs in dark, milk or white chocolate. Expect more soon from 3D Systems on commercial plans for this class of chocolate 3-D printers.

The Rock Hill company also showcased its ChefJet series, the first professional-grade, food 3-D printers, in its CES 2015 booth. The full-color ChefJet Pro will be food-certified and produce edible 3D printed candies and décor. In a company blog post, 3DS said it will open a new Digital Kitchen space in Los Angeles later this year to serve as “a place for food artists and members of the hospitality, culinary and event communities to gather and explore the possibilities and potential of 3-D printed food.”

Beacons beckon shoppers and travelers Science fiction films have long depicted holograms that assist with providing directions, answering questions or serving up targeted ads as a person walks by a store. The technologies that can make that a reality are already here; by 2030, beacon technology should be in full swing.

With the rollout of iOS7, Apple launched iBeacon, a technology that allows its mobile apps to listen for

signals from beacons and use Bluetooth to react accordingly. Other mobile devices such as Android have similar technology.

Virgin Atlantic is testing the technology at Heathrow Airport. Passengers heading toward the security checkpoint will find their phones automatically pulling up their mobile boarding passes ready for inspection.

Macy’s quietly rolled out 4,000 iBeacon devices to its 786 stores across the country this past holiday shopping season. The iBeacon devices send special offers to nearby smartphones that have the Shopkick app, a popular deals platform that Macy’s partnered with.

While iBeacon technology has been trumpeted as an innovation on the cusp of transforming brick-andmortar shopping, the Washington Post reports few retailers have fully embraced it so far. Companies such as Lord & Taylor, American Eagle and Duane Reade have tested it in a limited number of shops, but Macy’s appears to be the largest retailer to be integrating the technology into all its stores. Look for more industries and more applications in the coming years.

RFID hits home

According to the Institute for the Future, RFID (radio frequency identification) has emerged “as a promising and controversial technology in the worlds of commerce, health, and security.” The Institute touts RFID tags as (1) the next stage in the evolution of supply chains and inventory management; (2) a replacement for optical identification technologies in packaging and passports; and (3) a tool for improving shopping experiences and consumer satisfaction.

Assuming RFID does not stumble due to securityor privacy-related problems, people will begin to use RFID in their homes within the next two years, the Institute says. Many may first notice RFID tags in security and health applications. People will also begin to experiment with personalized applications.

RFID will become a component in home-management systems, which will help to schedule shopping, laundry, and other tasks, experts say.

Ultimately, RFID will be one of the technologies that bring pervasive computing from the computer laboratory into the home.

upstatebusinessjournal.com

THE FUTURE ISSUE

| COVER | 21

Real estate 2030 In the future, robots will park your car, and a 3-D printer might churn out your next house SHERRY JACKSON | STAFF

sjackson@communityjournals.com

Aerial photograph of Lake Keowee taken from a drone Photo by Travis Runion

Drone’s-eye views The real estate industry is primed to take advantage of drone technology and is expected to have the most commercial drone usage over the next 15 years.

Companies are already gearing up to be ready once FAA regulations allow drones to be used commercially in early 2015.

Real estate will be at the forefront of that technology, with experts envisioning the ability to offer bird’s-eye views of properties, better virtual walkthroughs and the capability to “keep an eye” on properties that are hard to get to. See more on drone technology on page 6.

Robo-parking Print your house The thought of being able to 3-D print an entire house using both new and recycled materials may be huge, but it’s not pie-in-the-sky dreaming.

A July 2, 2014, Computer World story reported that Yingchuang New Materials in China became the first company to construct multiple buildings using 3-D printers that extruded recycled building materials. The company was able to print the shells of 10 one-room structures in 24 hours and at a cost of only about $5,000 per building. The buildings, which had to harden at the factory and then be transported and assembled on site, will be used as offices at a Shanghai industrial park.

A New York architect and contractor, Adam Kushner, is working on the first-ever 3-D printed estate, featuring a 2,400-square-foot home and 3-D printed swimming pool that uses a patented, magnesium-based binding process combined with a material similar to sand to render stone-like objects.

Expect to see more automation in U.S. commercial parking structures in 2030. As robotic technology improves and public transportation options increase, the need for huge parking garages will diminish.

Future patrons will drive up to a platform and watch as their vehicles are whisked off and deposited into a much smaller, but more efficient structure.

Late last year, a Miami condo complex opened with a $6.5 million automated parking garage with Roomba-like robot platforms moving vehicles up and down elevator lifts and into parking spots, reported Curbed.com. The massive garage will hold more than 480 vehicles, to be moved and reorganized by 30 robots and five lifts as residents return cars for parking or order them for retrieval. The system promises users will have their vehicles within three minutes of issuing commands by smartphone, tablet or text messaging.

Shrinking the footprint As less parking is needed due to increased public transportation and urban living, what will cities do with all of those parking garages and spaces? Ac-

cording to the Urban Land Institute, parking garages are already underutilized, with about 40,000 parking structures in the U.S. operating at half their capacity. Also, by the year 2030, 72.1 million Americans will be aged 65 or older, according to the Administration on Aging.

That equates to smaller, more easily accessible homes—a change that is “definitely something we need to look at,” said Fred Payne, Greenville County Council member and multi-modal transportation advocate. Payne envisions dwellings that are “below studio-apartment sized” as part of a mixed-use development that could feature a mix of three-bedroom units all the way down to the micro-sized units.

“I think it would be really ugly to have 200 of these [micro-units] together,” he said, citing the containerized housing units (CHUs) used by the American military.

In April 2014, the Savannah College of Art and Design took on the challenge to repurpose those parking garages into micro-housing unit communities and introduced the SCADpad, a 135-square-foot micro-apartment that occupies one parking space.

One additional space can be used for a terrace area.

These micro units would be perfect for people who travel often and more desirable than staying longterm in a hotel, Payne said. “They need to be in an effective transportation corridor,” he added, allowing the elimination of parking areas in favor of more living spaces.

Energy-efficient structures will also be at the forefront of building in 2030. The Energy Independence and Security Act of 2007 requires all new and renovated federal buildings to meet the net-zero standard by 2030 and all commercial buildings to achieve it by 2050. A net-zero building will result in no net emissions of greenhouse gases because of improved energy efficiency combined with use of on-site renewable energy.

22 | COVER |

UBJ

THE FUTURE ISSUE

Biomass and solar will play a part in the Upstate’s future, while the state comes to terms with its nuclear legacy aboncimino@communityjournals.com

Biomass emerges as untapped SC resource A small but growing energy industry could mean a lot of green for South Carolina.

“We have more wood in the state than we’ve ever recorded,” said S.C. Forestry Commission Resource Development and Business Development Director Tim Adams. “The bottom line is there is plenty of underutilized biomass for energy projects.”

Woody biomass—which can refer to several different types of energy sources and forms—can produce steam, heat and electricity, and has been heralded as a carbon-neutral alternative or supplement to coal.

Based on 2008 figures, biomass could supply 12 to 14 percent of total retail sales of electricity sold to all users in South Carolina, according to Adams.

While the state has already enjoyed some success with biomass energy production—including facilities in Allendale, Newberry and Dorchester counties— demand for biomass energy sources rises and falls with fossil fuel markets, he said. Opportunity is particularly high in the Upstate and Piedmont regions.

“There are businesses actively looking at the Upstate for these,” said Adams. “We’ve had a lot of interest.”

SC BIOMASS SOURCES Lowcountry Biomass Wood pellet plant; Jasper County Enova Energy Group Wood pellet plant; Edgefield County EDF Renewable Energy Woody biomass electricity generation; Allendale, Dorchester counties Ameresco Inc. / Savannah River Site biomass cogeneration facility; Aiken County

SC’s solar future looks bright 2014 was a big year for South Carolina solar, but it will take the next decade to determine how far it can go. State energy stakeholders—including utilities Duke Energy, S.C. Electric & Gas Co. and state conservational groups—were enthusiastic about June legislation that allowed for solar net metering within the state.

Solar net metering—which allows residential and commercial customers to sell energy they generate back to the grid—in South Carolina made waves when stakeholders agreed in December to give oneto-one retail credit for generated energy and would not charge solar fees.

01.16.2015

The toss-up with nuclear

Energy 2030 ASHLEY BONCIMINO | STAFF

|

“Any excess energy that we receive from them, we give them the retail value, and that’s a pretty good deal,” said Jim Donahoo, spokesman for Laurens Electric Cooperative, which serves customers in Abbeville, Anderson, Greenville, Laurens, Newberry, Spartanburg and Union. “Fifteen years from now, will things have to change? It depends on whether or not you see a high penetration of these distributed generation systems. A lot of these things come down to math.”

For South Carolina utilities, heavy reliance on solar is not yet cost-effective, meaning solar net metering may be a way to approach renewables in the near future. Duke Energy Carolinas plans to use nuclear and natural gas for the bulk of its energy capacity mix, but will inch renewables from 7 percent to 13 percent by 2029. Despite maintaining the largest solar farm in the state, public utility S.C. Electric & Gas Co.’s energy mix will include 10 percent renewables and hydro by 2020.

During the next 15 years, increasing emissions regulations—particularly the much-discussed emissions guidelines from the U.S. Environmental Protection Agency—will continue to shape the direction and priorities of the state’s energy industry as customers push for energy efficiency, emission reduction and distributed generation, said Donahoo.

“Really, as it relates to generation here in South Carolina and power, we need to have a balance between sustainable and affordable power,” he said.

“You can’t have 100 percent sustainable, because that’s not affordable, and you can’t have 100 percent affordable, because that’s not sustainable.”

As one of the most nuclear-dependent states in the country, the next two decades could be crucial in determining South Carolina’s nuclear future, particularly since operating licenses for all seven existing nuclear units in the state are set to expire between 2033 and 2043.

Operators will have to start planning well before 2030, since replacement nuclear plants take around seven years to build, in addition to design, planning and regulatory approval time. Timelines and budgets can also surpass original projections, such as state utility SCANA Corp.’s V.C. Summer nuclear construction project in Jenkinsville, S.C. In 2013, the Palmetto State’s four existing nuclear power plants—seven units total—provided 57 percent of the state’s net electricity generation. The national average, for comparison, is around 19 percent.

After 30 years of no nuclear construction in the country, only five new units are underway, two of which are in South Carolina. All U.S. nuclear operating licenses will expire between 2029 and 2049, including the seven in South Carolina. This means units will have to be replaced by new nuclear, their existing licenses must be extended by another 20 years, or utilities will need to find other energy generation replacements.

“A lot of us in the industry are looking at that with interest,” said Duke Energy Carolinas Resource Planning and Analytics Director Glen Snider, who is responsible for projecting energy needs and trends for the Carolinas region of the $25 billion utility.

Duke operates three nuclear units in South Carolina, all of which will expire in 2033 and 2034. The company plans to increase its nuclear capacity to 30 percent from 28 percent of the total energy mix by 2029, which may prompt it to built a new plant of its own, said Snider.

“Are we going to extend those nuclear licenses to 80 years? Are we going to retire them?” said Snider.

“The nuclear story will evolve just beyond that 15-year horizon … when all of their licenses begin to expire at the same time.”

SC NUCLEAR OPERATING LICENSE EXPIRATIONS Name

Operator

Location Expires

Oconee Nuclear Station, Unit 1

Duke Energy Corp.

Seneca, SC

02/06/2033

Oconee Nuclear Station, Unit 2

Duke Energy Corp.

Seneca, SC

10/06/2033

Oconee Nuclear Station, Unit 3

Duke Energy Corp.

Seneca, SC

07/19/2034

Catawba Nuclear Station, Unit 1

Duke Energy Corp.

York, SC

12/05/2043

Catawba Nuclear Station, Unit 2

Duke Energy Corp.

York, SC

12/05/2043

Virgil C. Summer Nuclear Station, Unit 1

SCE&G

Jenkinsville, SC

08/06/2042

H.B. Robinson Steam Electric Plant, Unit 2

Carolina Power & Light Co.

Hartsville, SC

07/31/2030

Source: U.S. Energy Information Administration

upstatebusinessjournal.com

THE FUTURE ISSUE

| COVER | 23

Workforce development 2030 Look for the link between education and workforce to become even more pronounced ASHLEY BONCIMINO | STAFF

aboncimino@communityjournals.com

Tapping unused talent sources We can have the best education and training systems in the world, but they won’t be worth much if we don’t have new students to go through them, says Upstate Workforce Investment Board Executive Director Ann Angermeier. While part of the struggle is awareness for eligible students and their parents, another often-ignored issue is access, she said.

For example, some people in the inner city and rural communities—which often have unemployment rates in the double digits—could be willing to learn and work, but they might not have a way to travel, she said.

Companies in need of skilled workers often exist significantly outside the reach of public transportation, she said.

“If there was some way that we could work on the rural issue, the transportation issue, and get people to where they can get to school and get to work, I think we could really solve a lot of our issues to be able to upgrade our skills,” she said.

The solution wouldn’t be expensive. Angermeier’s organization received a grant for several thousand dollars that provides transportation—a rented church bus—that allows 12 people in high-demand areas to improve their skills and education. While that may not sound like much, it proves that people are willing to work if given the opportunity, she said.

Economic development firms have been hard pressed to keep advertising that the state has a skilled workforce, said Angermeier. “This is the year we’re going to see a lot more collaboration on how to fix this issue,” she said. “This year is going to make us or break us.”

Funding a la carte education Years ago, a student might have come through a technical college to get an associate degree, with plans to move on to a four-year degree. With today’s rising cost of education—both in time and money— South Carolina’s workforce pipeline has to include funding for modular education, said SC Technical College System President Jimmie Williamson.

Today, students are shifting toward what Williamson calls “stackable credentials,” or a student’s

cobbled-together collection of certificates that make up his body of knowledge. The idea is that to keep up with ever-changing skills needs, employees only have time and resources for one or two modules at a time. While this is great for employers and industry, the problem is how students fund this approach, Williamson said.

“Federal financial aid wouldn’t pay for this hodgepodge of skill sets unless it was a part of a formalized degree program,” he said.

“This approach to cherry-picking certain skills and modules is a typical way of a person being educated.”

Addressing workforce needs is not new to the state organization. The SC Technical College System administers ReadySC, a workforce development program that helps companies find and train people using companyand industry-specific training programs. The program worked with 81 companies to train nearly 4,700 individuals in fiscal 2013-2014, and more than 280,000 since 1961.

FAST FACTS:

60%

of employers find it difficult to find well-prepared candidates for entry-level positions.

52%

of the 553,000 jobs created in the state during the next 17 years will require higher education.

Expect a shortage of 44,000 workers with associate degrees and 71,000 workers with bachelors degrees or higher by 2030.

Source: Upstate Regional Education Center, USC Darla Moore School of Business

HELP WANTED Top 5 occupations requiring higher education projected to have highest workforce shortages: Health care practitioners Management Education

“Every parent thinks their kid should be a doctor, a lawyer,” she said. “I think Computers and mathematics we have to show that manufacturing is not the big Source: USC Darla Moore School of Business dirty plant.”

According to a study released in September 2014, part of the problem is Push to shift industry perceptions informing students and parents of in-demand and The next few years will see a big push for all levels high-paying employment opportunities. While top of education to build South Carolina’s workforce student career choices included arts, communicapipeline, according to Upstate SC Alliance President tions and education, top employer needs in the three and CEO John Lummus.

Upstate counties were manufacturing, health care “The link between workforce and education is and construction. going to be more pronounced in the next couple of The report—an Upstate Gap Analysis study years,” said Lummus. “The educational institutions released by the Upstate Regional Education Center— are going to be vital.” said a full 60 percent of employers find it difficult Part of that effort will be to break outdated perto find well-prepared candidates for entryceptions of industries that most need skilled labor, level positions. including manufacturing. In this case, South Caro“There is a misalignment between parent and lina’s history as a textile hub might be holding it student career choices and workforce needs,” acback, said Angermeier. cording to the study.

Business and financial operations

24 | COVER |

THE FUTURE ISSUE

UBJ

|

01.16.2015

“I think it’s going to be REGIONAL M&A TRENDS, H1 2014 transformative [for South Carolina] if businesses Southeast can learn to use it,” he $40.50 said.

The other hot topic in 6.50% Texas alternative finance is, of course, equity crowdfund$49.50 ing, which South 7.90% Carolina has been flirting with since a bill was introduced and defeated last year. ReintroCalifornia duced this year by $191.80 S.C. Rep. Dwight Loftis, the bill could 30.70% unlock new channels for capital by Midwest permitting more $113.60 people to invest.

ASHLEY BONCIMINO | STAFF 18.20% As it is, current aboncimino@communityjournals.com securities law only allows accredited investors to particiMid-Atlantic Alternative financing pate in equity crowd$206.60 By 2030, banking regulations and tight lending funding, and the bar to markets won’t stop people from getting the investbe accredited is high.

33.10% ment and loans they need. While the rise of peerIndividuals must have a to-peer lending and equity crowdfunding won’t make salary of $200,000 or banks defunct, alternative finance will offer other more, or have a net worth solutions to entrepreneurs and business owners, of $1 million excluding the financial experts say. value of their house, while New England Take peer-to-peer lending platforms such as couples must have comProsper and Lending Club. Instead of someone $22.60 bined salaries of applying for a traditional loan at a bank, people who $300,000 or more.

3.60% US Total $624.60 need money log on to the platform and are connect“There are a lot of folks ed with another individual who has money to invest, Source: Mergermarket H1 2014 report, Southeast US who say it’s too hard to be said FinTrust Investment Advisors CIO and Chief accredited, that the Compliance Officer Allen Gillespie, who cowrote an threshold is too high, that equity research paper on Lending Club. Borrowers it doesn’t allow enough people to invest in these Fewer banks, bigger banks make payments back on the loan, with interest. private offerings,” said Nelson Mullins Riley & The bank of tomorrow is going to be accessible While the platform started with just personal Scarborough partner Mike Johnson. For example, from everywhere. It’s also going to be huge, accordloans, some peer-to-peer lenders now offer some of the most knowledgeable people about ing to Greenville-based Southern First CEO Art small-business loans, which could have the subject, those who work at the Securities Seaver. serious implications for the traditional banking and Exchange Commission, might not be accredit“Fifteen years ago, it was about branches and industry’s hold on consumer and business lending, ed, he said. locations,” said Seaver, who also served as the S.C. Gillespie said.

Bankers Association Board of Directors chairman in 2013. “In 15 years, banking will have nothing to do with locations.”

SOUTHEAST M&A ACTIVITY H1 2014 BY INDUSTRY That doesn’t mean physical locations won’t exist, however. Branches are important for visibility, and 1. Pharma, Medical & Biotech $8.5 billion 21% of market share customers place value on non-automated and professional relationships, Seaver said. But it means there might be fewer of them, and the number of 2. Financial Services $8.1 billion 20.1% of market share branches won’t be indicative of a bank’s success.

Case in point: Southern First only has four Greenville 3. Business Services $5.4 billion 13.4% of market share branches, but has the fifth-largest market share, he said.

While the cost of technology has evened the playing 4. Technology $4.9 billion 12.1% of market share field for banks of all sizes, however, ever-tightening industry regulations have raised the barriers to market entry so high that very few new banks will 5. Other $13.5 billion 33.5% of market share even try, said Seaver.

“It will be hard for the $100 million, $200 >> Source: Mergermarket H1 2014 report, Southeast US

Finance 2030

Investments, financing and banking will undergo transformative shifts in the next 15 years

upstatebusinessjournal.com

>> million bank to survive just because of the regulations,” he said. Increased overhead costs come primarily from ever-tightening regulations, which take tremendous toll on banks that have to allocate resources to absorb, understand and implement rules. For example, the Dodd-Frank Wall Street Reform Act, which was enacted to prevent events that led to the 2008 financial crisis, included more than 14,000 pages of dense legal parameters.

Only one bank has been created in the last two years, said SC Bankers Association President and CEO Fred Green. On top of that, dwindling customer foot traffic to traditional brick-and-mortar locations means branches have less utility per customer, which further increases costs.

“It’s a lot harder to start a bank because that profitability you were able to count on in the first, second or third year won’t be there until the fourth, fifth or sixth,” said Seaver. “For banks that aren’t growing, that cost is going to be so prohibitive that they’re going to look for an exit strategy.”

The result? Even more mergers and acquisitions, which gradually thins the herd to include just fewer, but much larger, banks.

Boomer blowout, burning buildup and betting on recovery Many firms have extra money to spend, and it’s been burning a hole in their pockets since before 2008.

“Before the economy went through its great recession, a record amount of money was raised before the economy went down,” said Devin Green, COO of Greenville-based independent M&A advisory firm The Capital Corp. “All of that money that was raised … they pressed ‘pause’ because they didn’t want to buy a company with the economy the way it was.”

Now, private equity firms and companies are looking to put that money to work, which will drive heightened mergers and acquisitions activity for years to come.

But there’s another reason activity is up: baby boomers.

“So 8,000 Americans turn 65 every day right now, and a lot of those own businesses. A lot of those don’t know who is going to run their business once they retire,” said Green, whose firm works with companies earning $10 million to $100 million in revenue.

“Because they don’t have a son or daughter, or a family member in the business, we’re seeing a trend in M&A right now.”

The trend could have an even more dramatic effect on capital-starved South Carolina, which has historically low levels of in-state capital availability.

“There’s a massive disconnect between the number of companies and the supply of money,” said Green, who said that by necessity much of the buying and investing activity would come from out of state.

“There just isn’t a lot of private equity in the state.”

Founded in 1991, The Capital Corp. works with lower middle market companies with revenues between $10 million and $100 million in revenue across 40 different industries and segments.

THE FUTURE ISSUE

| COVER | 25

Population 2030 The face of the Upstate’s future will be older, more diverse JENNIFER OLADIPO

Wiser about getting older

SENIOR BUSINESS WRITER joladipo@communityjournals.com

The Upstate population is skewing older, also in line with national trends. An older population will mean, among many things, more disposable income for housing, services and products that contribute to an active and social lifestyle.

Many retirees will come from outside of the state, said Kevin Parker, executive director of Woodlands at Furman. About 40 of Woodlands residents are from other states, he said.

Russell Stall with Greenville Forward said an aging population will also impact the health care system and require the community to address the rising cost of living.

The population of younger adults will also grow, but in much smaller numbers, according to the U.S. Census Bureau. Their tastes for less fuss might drive a trend toward more urban-style housing development with small footprints, however, Stall said.

Hispanics on the rise The Upstate as a whole will be much more culturally diverse in 15 years. Growth in business will bring more employees from international companies, and Hispanics will continue on their trajectory of rapid growth in numbers. The U.S. Census Bureau projects 36 percent growth in the Hispanic population by 2030, and local experts expect the Upstate to reflect that trend.

Gustavo Nieves, CFO of UniComm Media, which specializes in marketing to Hispanic audiences, predicts the Upstate’s Hispanic community will resemble Charlotte’s in 15 years: more participatory in the mainstream community and more economically stable and powerful.

“Greenville County will continue to be the reddest county in the reddest state, I think. We’ll remain highly religious, as well.”

“Our community will be more prominent in offices, professional occupations and executive-level positions, and Hispanic businesses will be significantly more powerful.”

—Russell Stall, Greenville Forward

—Gustavo Nieves, UniComm Media

COUNTY POPULATION PROJECTIONS: 2015 - 2030

April 1, 2000 April 1, 2010 Census Census

July 1, 2015 July 1, 2020 July 1, 2025 July 1, 2030 Expected increase Projection Projection Projection Projection 2015–2030

Abbeville

26,167

25,417

25,300

Anderson

165,740

187,126

193,300

Cherokee

52,537

55,342

56,100

Greenville

379,616

451,225

473,300

Greenwood

66,271

69,661

70,600

Oconee

66,215

74,273

76,600

Pickens

110,757

119,224

121,600

Spartanburg

253,791

284,307

295,100

Union

29,881

28,961

28,700

York

164,614

226,073

248,800

1,521,609

1,589,400

South Carolina 4,012,012

25,100

25,000

24,900

199,500

209,000

218,500

56,800

57,000

57,300

495,400

518,800

542,300

71,500

73,100

74,700

78,900

84,000

89,100

123,800

128,300

132,900

305,800

318,500

331,200

28,500

28,300

28,100

271,500

296,100

320,700

1,656,800 1,738,100

25,200 69,000

36,100

1,819,700

2015 Projection

2030 Projection

Expected Increase

% Expected Increase

Upstate

1,589,400

1,819,700

230,300

14.49%

GSA

961,700

1,092,000

130,300

13.55%

Outside Greenville

1,116,100

1,277,400

161,300

14.45%

Source: U.S. Census Bureau, S.C. Department of Health and Environmental Control, and S.C. Budget and Control Board - Office of Research & Statistics.

LIKE A BOSS

S EE PAG E 29 FOR M ORE DETAI L S

BUSINESS BRIEFS YOU CAN’ T MISS

If you know a dynamic business leader and figurehead in the Upstate, let us know.

26 | THE FINE PRINT |

UBJ

|

01.16. 2015

Japanese firm to build $41M plant in Spartanburg

Greer State Bank announces new foundation

Kobelco Construction Machinery Co. announced plans to invest $41 million in Spartanburg County to complete a 156,000-square-foot excavator manufacturing facility and create 131 new jobs.

The S.C. Coordinating Council for Economic Development approved a $750,000 set-aside grant to assist with property improvement costs, as well as job development tax credits related to the project. The facility—located in Moore, S.C.—is slated for completion in December and will reduce lead time for customer orders and improve the firm’s response time to market needs, according to a news release.

Kobelco will use the port in Charleston to both import components and export finished goods, according to SC Ports Authority President and CEO Jim Newsome.

Kobelco Construction Machinery Co. is one of nine businesses under the Japan-based Kobe Steel Group, which employs close to 40,000 people worldwide. Kobelco entered the U.S. market in 2013, and has concluded dealer agreements with 62 companies, 52 of which are based in North America.

The Greer State Bank has announced a new foundation to benefit the Greater Greer area.

“This is a first for our bank and I am extremely excited for the opportunity to serve as chairman in our inaugural year,” Christy Blackwell, president and chairman of the foundation, said in a release.

April Staggs, vice president and co-chair of the foundation board, said the foundation received more than $40,000 in contributions and commitments from band employees and the board of directors in a 30-day period.

The Greer State Bank Foundation Board will consider requests from local charitable organizations under Section 501(c)(3) of the Internal Revenue Code. Applications will be available on March 2 and can be found on the bank’s website: GreerStateBank.com.

Membership grows in environmental stewardship program The South Carolina Environmental Excellence Program (SCEEP) has renewed three members and welcomed three additional members into the program.

“These member companies demonstrate a leadership commitment toward DHEC’s goal of improving South Carolina’s environment not only through recycling, but also through water and energy conservation,” said Elizabeth Dieck, the Department of Health and Environmental Control’s director of environmental affairs.

The SCEEP is a voluntary program designed to recognize and reward South Carolina facilities that have demonstrated environmental performance through pollution prevention, energy and resource conservation, and the use of an environmental management system. Upstate company Fujifilm Manufacturing USA Inc. in Greenwood began recovering condensation from boilers and other processes generating steam to recover water losses.

Century Aluminum of South Carolina Inc., Santee Cooper Regional Water System and Interlake Mecalux have renewed their membership in the program through 2017.

Caterpillar, Fujifilm Manufacturing USA Inc. and Joint Base Charleston have been accepted as new members of the program through 2017.

Integrated Biometrics introduces fingerprint scanner Spartanburg-based Integrated Biometrics has introduced its newest offering: the Columbo Desktop FAP PIV 30 Scanner.

“This particular size scanner is rare in the marketplace and is designed to perform at the highest level with tablets, smartphones and PCs,” Steve Thies, Integrated Biometrics’ CEO, said in a release.

The fingerprint scanner is intended for use in military, border control, law enforcement, financial and healthcare applications. The device is already being sold to its target vertical markets. The new fingerprint scanner has a full-featured software development kit for easy integration.

ScanSource to acquire Brazilian communications distributor ScanSource Inc. has signed a definitive agreement to purchase Network1, Intersmart Comércio Importação Exportação de Equipamentos Eletrônicos S.A. The company is one of Brazil’s leading value-added distributors with a strong offering of communications equipment and services, according to a release.

As part of the transaction, ScanSource, based in Greenville, has purchased all of Network1’s operations throughout Latin America, including Brazil, Mexico, Colombia, Chile and Peru. The purchase of Network1 enables ScanSource to expand its worldwide communications business

upstatebusinessjournal.com

BUSINESS BRIEFS YOU CAN’ T MISS

The company currently operates two plants in York County, three plants in Chesterfield County and one plant in Spartanburg.

Hiring for the new positions is expected to take place this year.

German automotive and aerospace manufacturer Schaeffler Group North America announced plans to invest $163.8 million and add 440 jobs in total to its three South Carolina operations. The company will be adding new equipment to its Spartanburg operations and expanding its facilities in Chesterfield and York counties.

Headquartered in Herzogenaurach, Germany, Schaeffler employs 80,000 people in 49 countries. The group’s North American arm, Schaeffler Group USA, is headquartered in Fort Mill, S.C., and manufactures precision products for machines, equipment and vehicles in the aviation and aerospace industries.

The Chesterfield and York county projects have been approved for job development credits by The Coordinating Council for Economic Development. Schaeffler Group USA could not be reached for comment.

NOVEMBER 21, 2014 | VOL. 3 ISSUE 47

Still a

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UPSTATEBUSINESSJOURNAL.COM/WHOS-WHO

German firm invests $164M in SC

NOMINATE THEM NOW.

Performance apparel manufacturer Vapor Apparel will open its first U.S. manufacturing facility in Union County. The 30,000-squarefoot facility will be built in an existing Union County building, and will house its domestic cut-and-sew division.

The $1.3 million investment is expected to create 114 jobs over five years, and will expand the Charleston company’s e-commerce fulfillment and print-on-demand services.

Vapor distributes throughout the U.S., Canada, Australia, Germany, the U.K. and the Caribbean.

Located on an 8.5-acre trace of land in Union County, the facility is expected to come online during the first quarter. ReadySC will be assisting with the recruitment and training for Vapor’s open positions at the facility.

The Coordinating Council for Economic Development approved a $100,000 rural infrastructure fund grant to assist with the costs of real property improvements related to the project.

Founded in 2004, Vapor manufactures performance apparel and offers digital print-on-demand services.

MA NUFA CTURI NG • POLI TIC S/ GOV ERN MENT • REAL ES TATE • TEC H/ IT

Charleston firm to open facility in Union County

ACCOUNTI N G • E CON OMIC D E VE LOP MEN T • FINAN C E • HEALTHC ARE • HOS PITALITY • LE G AL

S EE PAG E 29 FOR M ORE DETAI L S

into Latin America.

“Network1 net sales for calendar year 2014, on a U.S. GAAP-adjusted basis, are estimated at approximately R$720 million (approximately US$306 million, using the average foreign exchange rate for 2014) with operating margins consistent with ScanSource’s communications business,” the release said.

Network1 has more than 60 vendors, 8,000 customers, and nearly 400 employees and is the largest company that ScanSource has acquired to date.

| THE FINE PRINT | 27

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UBJ

REAL ESTATE DEALS AND DEVELOPMENTS ACROSS THE REGION

|

01.16. 2015

Cureton Place community slated for Augusta Street area

PROJECT PARTNERS Rendering by Justice Design Studio

SHERRY JACKSON | STAFF sjackson@communityjournals.com @SJackson_CJ Greenville developer RealtyLink has submitted plans for a new townhome community called Cureton Place, just off Augusta Street.

The 10-townhome community will feature three-story units with two-car garages. Each unit will be about 1,700 square feet and come equipped

with upscale finishes such as fireplaces, hardwood floors, granite countertops, stainless steel appliances and crown molding.

Each townhome will also have balconies and some outdoor space, said Rick Thoennes with Rembrey Custom Homes, which will be doing the construction work.

The three duplexes currently on the property will be razed when the last lease expires in September 2015. But Thoennes said that doesn’t mean that a

DEVELOPER: RealtyLink Residential GENERAL CONTRACTOR: Rembrey Custom Homes ARCHITECT: Justice Design Studio deal can’t be made and construction can begin earlier.

Sales for Cureton Place will begin in February with prices in the $400,000 range. Once construction begins, Thoennes expects it to take 10-12 months until completed.

Charlie’s Steakhouse goes back to the ’30s A retro, 1930s look is in store for the former Charlie’s

Photo by Greg Beckner

Steakhouse building on Coffee Street in downtown Greenville.

The Greenville Design Review Board gave tentative approval to plans filed by the Johnston Design Group, which show a replica of the restaurant’s original 1930s sign and restoration of the original 1930s canopy and storefront.

Once developers complete the demo work and discover what it uncovers, DRB staff will make the final determination on how to proceed.

Plans on file show the glass atrium that juts out onto the sidewalk would be removed, along with plywood cladding along the upper level.

Charlie’s Steakhouse, a downtown icon and family business since 1921, closed its doors at the end of December.

Look for more details in the Photo provided near future.

2015 NOMINATION FORM

2015 NOMINATION FORM W

B

M

AugustaRoad.com Realty LLC Joan Herlong, Owner/Broker in Charge

3 MINUTES CAN CHANGE SOMEONE’S CAREER. Nominate them now.

WHAT MAKES SOMEONE A WHO’S WHO? The UBJ Who’s Who recognizes 8 people in our business community who are committed to advancing their fields. Whether new to the scene or veterans in the trenches, they’re the professionals to look out for and look up to. Their names are on the tips of colleague’s tongues for making strides and pushing their organizations, their professions, and our community to the next level.

They’re asking the hard questions and finding solid solutions. Many have gone uncelebrated. Until now.

Areas of professional contribution include but not limited to: Accounting, Finance, Healthcare, Economic Development, Hospitality, Legal, Manufacturing, Politics/Government, Real Estate, and Tech/IT.

THE FINE PRINT:

NOMINATOR CONTACT INFORMATION Name___________________________________________________________ Title/Company___________________________________________________ Relationship to Nominee__________________________________________ Email___________________________________________________________ Phone__________________________________________________________

The 2015 winners will be honored at an awards celebration on March 26, 2015 and highlighted in special edition of the Upstate Business Journal that will publish that same night. The best candidates will quantitatively demonstrate business success (financial results, career growth), community involvement, leadership ability (public profile/reputation), and influence (impact on the Upstate region specifically). Nominees and/or Nominators may be contacted to provide further information. All submissions will be voted on by a neutral, 3rd party panel of Community Leaders. Please submit your nomination(s) by 11:59 pm on Friday, January 30, 2015. Nominees must be residents of the Upstate, South Carolina. Past winners are not eligible to win again.

NAMES DO NOT HAVE TO BE SUBMITTED FOR EVERY CATEGORY IN ORDER TO BE ENTERED. THE LEGEND – An individual with a long lasting impact on the business climate in the Upstate.

Name_______________________________________ Title/Company______________________________________________ Email___________________________________________________ Phone____________________________________________________

THE YOUNG GUN – An up and comer.

Name____________________________________________ Title/Company_____________________________________ Email_____________________________________________________ Phone_______________________________________________________

THE ENTREPRENEUR – An idea maker and trailblazer.

Name______________________________________________ Title/Company_____________________________________________ Email___________________________________________________ Phone____________________________________________________

Title/Company______________________________

THE WILD CARD – Based on a pool of candidates identified by our Panel and voted on by our social media audience from February 16-22, 2015.

Email__________________________________________________

Name________________________________________________

Phone____________________________________________________

Title/Company_________________________________________

THE BOSS – A leader.

Name_____________________________________

Email________________________________________________

THE CLOSER – A dealmaker.

Phone_________________________________________________

Name_____________________________________________ Title/Company____________________________________ Email_____________________________________________ Phone____________________________________________________

THE INNOVATOR – A mover, shaker, and disrupter

OTHER – Know a deserving candidate, but unsure which category best suits the nominee? No problem. Nominate them here and leave it to our expert panel of judges to determine the best fit.

Name__________________________________________________ Title/Company_________________________________________

shaping our future.

Email__________________________________________________

Name____________________________________________

Phone__________________________________________________

Title/Company___________________________________ Email____________________________________________________

Please provide any other information (links to articles or web pages about nominees etc…) you’d like for us to reference here:

Phone____________________________________________________

_______________________________________________________ _______________________________________________________ _______________________________________________________

MAIL THIS FORM TO: COMMUNITY JOURNALS, LLC, ATTN: KATE BANNER, 581 PERRY AVENUE, GREENVILLE, SC 29611 OR COMPLETE NOMINATION FORM ONLINE AT: UPSTATEBUSINESSJOURNAL.COM/WHOS-WHO

30 | SQUARE FEET |

|

UBJ

REAL ESTATE DEALS AND DEVELOPMENTS ACROSS THE REGION

01.16. 2015

Condo development planned for Park Avenue

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countertops, stainless steel appliances and crown molding, as well as covered, “big, useable balconies,” he said.

The cave, a resident gathering area, will have sofas, a kitchen and fireplace along with moveable glass walls overlooking the pool. A small building on site will be demolished while a larger office building near the property will stay.

Prices will range from $325,000 to $500,000 with a majority in the $350,000 range, said Thoennes.

Pre-construction sales will begin in February. Thoennes said he expects construction to begin “sometime in 2015” and take about 18 months to complete.

McG

planned near Stone and Park avenues in downtown Greenville. Called Four Fifty Park after its address, the 53-unit condo complex will feature two- to three-bedroom units ranging from 1,200 to 1,800 square feet.

Visitor parking will be available in the front and back of the building, but resident parking will be below the condos in a gated parking garage that will have electric charging stations and storage units for each condo.

Rick Thoennes, developer with RealtyLink Residential and Rembrey Construction and Development, said the community also will feature a resort-style swimming pool with waterfall, an exercise facility, pathways along the adjacent stream and green space areas for dogs and residents.

“It’s a downtown setting but more of a woodsyrustic feel,” said Thoennes.

Some units will have fireplaces and all will have upscale finishes such as hardwood floors, granite

ch

St

E Sto

Hi

t lS

ne Av

e

Rendering by Justice Design Studio

SHERRY JACKSON | STAFF sjackson@communityjournals.com @SJackson_CJ

85Studio ARCHITECT: Sam Justice, Justice Design I-3

SALES: Coldwell Banker Caine

Ave

upstatebusinessjournal.com

REAL ESTATE DEALS AND DEVELOPMENTS ACROSS THE REGION

| SQUARE FEET | 31

South Main at River gets council OK Greenville City Council voted Monday night to allow the project at 702 South Main to proceed. The mixeduse project at the corners of Main, River and Augusta streets will feature approximately 30 apartments and 4,200 square feet of retail on the ground floor.

Council amended a previous agreement with developer Steve Mack, owner of STM Acquisition & Development, which specified that the facades of two historic buildings previously on the site be used or replicated in any new construction.

The agreement was drafted in 2008 after Mack’s 2006 request to demolish the two 1800s-era buildings was rejected by the city’s Design and Preservation Committee.

Mack took the issue to a circuit court, which negotiated the settlement facade agreement through mediation. The two buildings were demolished and the corner has sat vacant since then.

Michael Kerski, planning and development manager for the city, said the new agreement took four months of informal and formal reviews. Most DRB members thought the new design reflected modern Greenville and the previous one was “Disney-esque.”

“It’s a modern interpretation of a historic structure,” he said.

The building will be four stories along Main Street and then step up to six stories, about the same scale as other West End developments such as the Field House and the Custom House. A rooftop area at the

Rendering provided by Craig Gaulden Davis

corner of Main and River will serve as an outdoor community area.

Plans by architect Craig Gaulden Davis also call for a contemporary art feature in front of the project along Main Street and a six-story water feature with unique lighting along River Street.

The South Main at River development will also be adjacent to the six-story, 217-unit Link Apartments complex at Rhett and River Streets, to be built

by North Carolina developer Grubb Properties.

Lillian Brock Flemming was the only council member to vote against the project. “Regardless of what I see, it is still six stories. I’m totally against this change. It totally changed the context of the building to me,” she said. “I think we’re doing the wrong thing here.”

Cindy Landrum contributed to this story.

32 | SOCIAL SNAPSHOT |

INSIDE THE UPSTATE’S NETWORKING AND SOCIAL SCENE

UBJ

|

01.16. 2015

Photos Provided

100 PERCENT Around 150 of Greenville’s business and community leaders gathered in January at the 100 Percent event at the Peace Center’s Certus Loft to discuss workforce diversity issues facing South Carolina. Panelists at the event presented by Wyche included Julie Godshall Brown, president and owner of Godshall Staffing and chairwoman of the Greenville Chamber of Commerce 2015 board of directors; Nancy Whitworth, Greenville’s director of economic development; Dick Wilkerson, former chairman and president of Michelin North America; Minor Shaw, president of Micco LLC; U.S. District Judge Bruce Hendricks; and S.C. Rep. Chandra Dillard.

Photos provided

CONTRIBUTE: Got high-resolution photos of your networking or social events? Send photos and information for consideration to events@upstatebusinessjournal.com.

upstatebusinessjournal.com

THE FRESHEST FACES ON THE BUSINESS LANDSCAPE

Open for business HTF—The Survival Store recently held a ribbon-cutting at 3016 N. Main St., Suite G, Anderson. The store provides survival, prepping and homesteading products. For more information, visit htfsurvival.com or call 864-401-8601.

| NEW TO THE STREET | 33

THE INBOX

Stay in the know with UBJ’s free weekly email.

Photo provided

CONTRIBUTE: Know of a business opening soon?

Email information to bjeffers@communityjournals.com.

Sign up today: UpstateBusinessJournal.com

We are the COMMERCE CLUB, where Greenville’s dynamic leaders come to CONNECT, HOST, WORK and PLAY.

Start networking today with a Commerce Club Membership.

Contact Stephanie Page at stephanie.page@clubcorp.com or 864-232-5600. Not a Member? You can still book a private event at the Commerce Club. Contact Crystal Moorhouse at crystal.moorhouse@clubcorp.com or call 864-232-5600 ext. 202.

17th Floor One Liberty Square, 55 Beattie Place Overlooking Downtown Greenville 864-232-5600 • commerce-club.com

34 | PLANNER |

UBJ

EVENTS YOU SHOULD HAVE ON YOUR CALENDAR

FRIDAY JANUARY 16 BUSINESS ANALYTICS WORKSHOP Greenville ONE, 1 N. Main St., Greenville; 8:30 a.m.-1 p.m.

COST: Chamber members $39/ class or $199/series, nonmembers $49 or $230 RSVP: 864-862-2586

TEDX GREENVILLE

REGISTER: bit.ly/ analytics-workshop

Zen Greenville, 924 S. Main St., Greenville; 6-8 p.m.

Comfort Suites Simpsonville, 3971 Grandview Drive, Simpsonville; 8-9:30 a.m.

TOPIC: Dress & Success: Do they have anything in common?

Speaker: James Carter, Empire Ltd.

COST: Free

TOPIC: We Built This City on Rock and Roll.

NOT. COST: Free REGISTER: bit.ly/tedxjan2015

WEDNESDAY JANUARY 21 TECH AFTER FIVE Pour, 221 N. Main St., Greenville; 5:30-7:30 p.m.

GREER CHAMBER ANNUAL MEETING

TOPIC: Bringing Resilience into Your Life SPEAKER: Tim Wiles, veteran

KEYNOTE: Jim Newsome, president and CEO of SC Ports Authority

FYI FRIDAY LUNCHEON

REGISTER: bit.ly/

COST: $16.95 RSVP: 864-232-5600

FRIDAY JANUARY 23

Spartanburg Headquarters Library, 151 S. Church St., Spartanburg; 11:30 a.m.-1 p.m.

SPEAKER: Ted Pitts, president and CEO

01.16.2015

COST: $15 REGISTER: bit.ly/ tli-january

REGISTER: bit.ly/fyiFriday

Commerce Club, 55 Beattie Place, Greenville; noon

Embassy Suites Greenville Golf Resort & Conference Center, 670 Verdae Blvd., Greenville; 5:30 p.m. cocktail reception, 7 p.m. dinner

COST: Chamber members $65, nonmembers $75

of SC Chamber of Commerce COST: Chamber members $15, nonmembers $20

REGISTER: bit.ly/techafter-five-jan

THURSDAY JANUARY 22

COST: Free

SMALL BUSINESS SUCCESS SERIES

greer-meeting

COMMERCE CLUB LUNCHEON

Industry professionals give input on analytics skills needed by organizations

TUESDAY JANUARY 20

Networking event for tech professionals

|

WEDNESDAY JANUARY 28 SATURDAY JANUARY 24

ENTREPRENEURS FOR A CAUSE

TOASTMASTERS LEADERSHIP INSTITUTE

Bailey’s Sports Grille, 2409 Laurens Road, Greenville; 6-9 p.m.

ITT Technical Institute, 6 Independence Pointe, Greenville; 8:30 a.m.–2 p.m.

Brides Against Breast Cancer is raising funds for programs for families impacted by cancer.

Education and training for club officers to perform their duties effectively and with the right skill sets.

TICKETS: $35 advance, $45 at the door REGISTER: bit.ly/ for-a-cause

CONTRIBUTE: Got a hot date?

Submit event information for consideration to events@ upstatebusinessjournal.com.

entor onday

A Movement is coming.

upstatebusinessjournal.com

A QUICK LOOK INTO THE UPSTATE’S PAST

| SNAPSHOT | 35

The Peoples National Bank (established in 1887) occupied the northwest corner of West Washington and Laurens streets, where a livery stable had once operated. In 1926 the bank moved to its new home constructed on West Washington Street by Morris-McKoy Building Company for $84,490. In 1972, a high-rise Peoples National Bank Tower was built on Laurens Street where the Virginia Hotel had once stood. By the time the new tower was completed, Peoples National had merged with Bankers Trust Company. In 1987 the bank joined with North Carolina National Bank and later became part of Bank of America. The Peoples National Bank building shown in this photograph was demolished about 1972.

To the left of the bank is the Wallace Building or Franklin National Life Building, which was also demolished in the 1970s. This five-story building had retail space on the street level and offices on the upper floors.

Historic photo provided

Today the former home of Peoples National Bank is the construction site of a new downtown development which will include retail shops, office space, a parking garage and the 144-room Aloft Hotel.

Historic photograph available from the Greenville Historical Society.​ From “Remembering Greenville: Photographs from the Coxe Collection” by Jeffrey R. Willis

MARKETING & EVENTS

IN THIS WEEK’S ISSUE OF UBJ? WANT A COPY FOR YOUR LOBBY?

PRESIDENT/CEO

ART & PRODUCTION

UBJ PUBLISHER

ART DIRECTOR Whitney Fincannon

Ryan L. Johnston rjohnston@communityjournals.com

OPERATIONS Holly Hardin

EXECUTIVE EDITOR

Kristy Adair, Michael Allen

MANAGING EDITOR

CLIENT SERVICES Anita Harley, Jane Rogers

HOW TO CONTRIBUTE

SENIOR BUSINESS WRITER

STORY IDEAS:

Jennifer Oladipo

ideas@upstatebusinessjournal.com

STAFF WRITERS

EVENTS:

Ashley Boncimino, Sherry Jackson, Benjamin Jeffers, Cindy Landrum, April A. Morris

events@upstatebusinessjournal.com

PHOTOGRAPHER Greg Beckner

onthemove@upstatebusinessjournal.com

SALES REPRESENTATIVES Sarah Anders, Kristi Jennings, Donna Johnston, Annie Langston, Lindsay Oehman, Pam Putman, Maddy Varin, Emily Yepes

jackson Marketing Group’s 25 Years

1988

1997 Jackson Dawson launches motorsports Division 1993

1990 Jackson Dawson acquires therapon marketing Group and moves to Piedmont office Center on Villa.

>>

with a majority of them utilizing the general aviation airport as a “corporate gateway to the city.”

In 1997, Jackson and his son, Darrell, launched Jackson Motorsports Group. The new division was designed to sell race tires and go to racetracks to sell and mount the tires. Darrell Jackson now serves as president of the motorsports group and Larry Jackson has two other children and a son-in-law who work there. Jackson said all his children started at the bottom and “earned their way up.”

Jackson kept the Jackson-Dawson branches in Detroit and others in Los Angeles and New York until he sold his portion of that partnership in 2009 as part of his estate planning.

The company now operates a small office in Charlotte, but its main headquarters are in Greenville in a large office space off Woodruff Road, complete with a vision gallery that displays local artwork and an auditorium Jackson makes available for non-profit use. The Motorsports Group is housed in an additional 26,000 square feet building just down the street, and the agency is currently looking for another 20,000 square feet.

Jackson said JMG has expanded into other verticals such as financial, healthcare, manufacturing and pro-bono work, but still has a strong focus on the auto industry and transportation. It’s

Chairman larry Jackson, Jackson marketing Group. Photos by Greg Beckner / Staff

Jackson Marketing Group celebrates 25 years By sherry Jackson | staff | sjackson@communityjournals.com

Solve. Serve. Grow. Those three words summarize Jackson Marketing Group’s guiding principles, and according to owner Larry Jackson, form the motivation that has kept the firm thriving for the past 25 years.

Jackson graduated from Bob Jones University with a degree in video and film production and started his 41-year career in the communications industry with the U.S. Army’s Public Information Office. He served during

Vietnam, where he said he was “luckily” stationed in the middle of Texas at Fort Hood.

He left the service and went to work in public affairs and motorsports at Ford Motor Company in Detroit.

After a stint at Bell and Howell, where he was responsible for managing Ford’s dealer marketing and training, the entrepreneurial bug hit and he co-founded Jackson-Dawson Marketing Communications, a company specializing in dealer training and product launches for the auto industry in 1980.

In 1987, Jackson wanted to move back south and thought Greenville would be a good fit. An avid pilot, he

learned of an opportunity to purchase Cornerstone Aviation, a fixed base operation (FBO) that served as a service station for the Greenville Downtown Airport, providing fuel, maintenance and storage.

In fact, when he started the Greenville office of what is now Jackson Marketing Group (JMG) in 1988, the offices were housed on the second floor in an airport hangar.

“Clients would get distracted by the airplanes in the hangars and we’d have to corral them to get back upstairs to the meeting,” Jackson said.

Jackson sold the FBO in 1993, but says it was a great way to get to know Greenville’s fathers and leaders

>>

2003 motorsports Division acquires an additional 26,000 sq. ft. of warehouse space

1998 1998 Jackson Dawson moves to task industrial Court

also one of the few marketing companies in South Carolina to handle all aspects of a project in-house, with four suites handling video production, copywriting, media and research and web design.

Clients include heavyweights such as BMW, Bob Jones University, the Peace Center, Michelin and Sage Automotive. Recent projects have included an interactive mobile application for Milliken’s arboretum and 600-acre Spartanburg campus and a marketing campaign for the 2013 Big League World Series.

“In my opinion, our greatest single achievement is the longevity of our client relationships,” said Darrell Jackson. “Our first client from back in 1988 is still a client today. I can count on one hand the number of clients who have gone elsewhere in the past decade.”

Larry Jackson says his Christian faith and belief in service to others, coupled with business values rooted in solving clients’ problems, have kept

2009 Jackson Dawson changes name to Jackson marketing Group when larry sells his partnership in Detroit and lA 2003

2009-2012 Jackson marketing Group named a top BtoB agency by BtoB magazine 4 years running

him going and growing his business over the years. He is passionate about giving back and outreach to non-profits. The company was recently awarded the Community Foundation Spirit Award.

The company reaffirmed its commitment to serving the community last week by celebrating its 25th anniversary with a birthday party and a 25-hour Serve-A-Thon partnership with Hands on Greenville and Habitat for Humanity. JMG’s 103 full-time employees worked in shifts around the clock on October 22 and 23 to help construct a house for a deserving family.

As Jackson inches towards retirement, he says he hasn’t quite figured out his succession plan yet, but sees the companies staying under the same umbrella. He wants to continue to strategically grow the business.

“From the beginning, my father has taught me that this business is all about our people – both our clients and our associates,” said his son, Darrell. “We have created a focus and a culture that strives to solve problems, serve people and grow careers.”

Darrell Jackson said he wants to “continue helping lead a culture where we solve, serve and grow. If we are successful, we will continue to grow towards our ultimate goal of becoming the leading integrated marketing communications brand in the Southeast.”

2011 Jackson marketing Group/Jackson motorsports Group employee base reaches 100 people

2008 2012 Jackson marketing Group recognized by Community Foundation with Creative spirit Award

pro-bono/non-proFit Clients American Red Cross of Western Carolinas Metropolitan Arts Council Artisphere Big League World Series The Wilds Advance SC South Carolina Charities, Inc. Aloft Hidden Treasure Christian School

FEBRUARY: FOCUS ON HEALTH CARE The big business behind getting better

CoMMUnitY inVolVeMent & boarD positions lArry JACkson (ChAirmAn): Bob Jones University Board chairman, The Wilds Christian Camp and Conference Center board member, Gospel Fellowship Association board member, Past Greenville Area Development Corporation board member, Past Chamber of Commerce Headquarters Recruiting Committee member, Past Greenville Tech Foundation board member David Jones (Vice President Client services, Chief marketing officer): Hands on Greenville board chairman mike Zeller (Vice President, Brand marketing): Artisphere Board, Metropolitan Arts Council Board, American Red Cross Board, Greenville Tech Foundation Board, South Carolina Chamber Board eric Jackson (Jackson motorsports Group sales specialist): Salvation Army Boys & Girls Club Advisory Board

November 1, 2013 Upstate bUsiness joUrnal 21

20 Upstate bUsiness joUrnal November 1, 2013

AS SEEN IN

NOVEMBER 1, 2013

ADVERTISING DESIGN

Jerry Salley jsalley@communityjournals.com

MARKETING & ADVERTISING

UBJ milestone

1988 Jackson Dawson opens in Greenville at Downtown Airport

Emily Price

Mark B. Johnston mjohnston@communityjournals.com

Susan Clary Simmons ssimmons@communityjournals.com

1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

UBJ milestone

Order a reprint today, PDFs available for $25. For more information, contact Anita Harley 864.679.1205 or aharley@communityjournals.com

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NEW HIRES, PROMOTIONS, AND AWARDS: UBJ welcomes expert commentary from business leaders on timely news topics related to their specialties.

Guest columns run 700-800 words.

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publishers of

u UP NEXT JAN. 30: COMMERCIAL REAL ESTATE QUARTERLY The biggest deals and latest developments in CRE

Kate Madden

DIGITAL STRATEGIST

Photo by Greg Beckner

MARCH: INTERNATIONAL ISSUES How the Upstate does business with the rest of the world, and vice versa.

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Copyright ©2015 BY COMMUNITY JOURNALS LLC. All rights reserved. Upstate Business Journal is published weekly by Community Journals LLC. P.O. Box 2266, Greenville, South Carolina, 29602.

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