DECEMBER 18, 2015 | VOL. 4 ISSUE 51
FOR THE RECORDS After 40 years, Horizon Records stays in the groove as a Greenville institution
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| AUTOMOTIVE | 3
Röchling Group to expand in Spartanburg County German auto supplier investing $5.8M in new equipment, expansion for Duncan facility ASHLEY BONCIMINO | STAFF
aboncimino@communityjournals.com
Röchling Group’s Duncan, SC facility
Germany-based automotive supplier Röchling Group is expanding in Spartanburg County with a $5.8 million investment in new equipment to boost production volumes, according to a news release. The firm’s North American subsidiary, Röchling Automotive USA LLP, plans to add 25 jobs to its Duncan facility as a part of the investment. “Spartanburg County has been home to our North American headquarters for nearly 15 years, and we are glad to continue our growth here,” said Röchling Automotive USA LLP Vice President Justin White. “As our company has expanded over the years, the support of both the state of South Carolina and Spartanburg County has been greatly appreciated.” Röchling Group focuses on the automotive industry with plastics processing solutions to lower aerodynamic drag and provide better thermal management and improved sound. The group’s global plastics group includes 65 companies that employ 8,000 people in 21 countries, according to its website. “Röchling Automotive is dedicated to providing industry-leading products to our customers, and we
are doing it very successfully with our talented local employee base,” White continued. “We believe that continuing to invest in our existing facilities will keep our company on the leading edge of automotive thermoplastic process technologies and position us well for sustained growth.” The investment in the Duncan facility will accom-
modate higher production volumes, and is expected to be fully operational in early 2016. “Few projects give Spartanburg County as much pleasure as seeing one of our existing companies continue to grow, diversify and expand as Röchling Automotive has done over the years,” said David Britt, chairman of the Economic Recruitment and Development Committee of Spartanburg County and member of the Economic Futures facebook.com/roechlingautomotiveusa Group Board. “With this investment comes a physical expansion into a vacant 150,000-square-foot facility and the addition of several well-paying jobs. We are proud to have Röechling call Spartanburg home for their North American headquarters. They are a great corporate citizen, and we are thankful for the hundreds of jobs they create in our community.”
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4 | THE RUNDOWN |
TOP-OF-MIND AND IN THE MIX THIS WEEK
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VOLUME 4, ISSUE 51 Featured this issue:
Zach Suggs
Greenville joins 10-city Envision America workshop 6 A 3-pack of new craft beer options 13 Bank of America building on the market 19
MONEY SHOT: Last week, a group of students culminated 12 weeks of training at the Iron Yard’s Demo Day. At the Iron Yard’s Greenville campus, the students demonstrated their Python Engineering applications to an audience of local tech companies, engineers and other members of the local tech community. See more pictures on page 27.
WORTH REPEATING “We can take this extra money and spread it around to all these special interest groups and grow government, or we can take most of this funding and take care of the problem that we’re talking about right now.” Page 5 “We’re a business that deals in music objects. And there’s a future for that.” Page 14 “The bottom line is that M&A deals are pricey.” Page 16
TBA Culvers, the fast-food chain specializing in frozen custard and burgers, is opening a second location at 1040 W. Wade Hampton Blvd. next to the new Aldi. Construction begins this week and plans are to open in April 2016.
VERBATIM
On GHS’ change in governance “This discussion was not undertaken lightly.” Greenville Health System Board Chairman Jim Morton, on the board’s 12-2 vote Tuesday in favor of its new governance plan. Read more in this week’s Greenville Journal.
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| CHAMBER / MANUFACTURING | 5
Infrastructure tops Greenville Chamber’s legislative agenda BENJAMIN JEFFERS | STAFF
bjeffers@communityjournals.com When the state last raised the gas tax in 1987, legislators should have designated that the fee would rise each year to match the cost of living change, said Rep. Mike Burns (R-Greenville) at the Greenville Chamber’s recent legislative breakfast. The chamber released its legislative agenda last week, and predictably, the top priority was finding a route to more funding for the state’s infrastructure. Other priorities were better workforce training through education, growing business, boosting tourism in the Upstate and ethics reform. Burns said the failure to adequately fund road maintenance has been especially detrimental to rural roads. While the Legislature resisted raising the gas tax, the state Department of Transportation spent years chasing federal funding for big road projects and ignored the manifold problems associated with crumbling and inadequate rural roads statewide, he said. “We have dropped the ball since the late ’90s with the DOT having emphasis on taking most of the money that has been given them by the state and acquiring federal matching funds,” Burns said. “And to the expense of our local rural roads, that’s what we’ve done, and we’ve done it over time.” During next year’s session, legislators will decide how to spend an unexpected $1.2 billion in surplus revenue. Many are calling for at least part of that money to go toward funding roads.
Photo by Megan Sherard
“We can take this extra money and spread it around to all these special interest groups and grow government, or we can take most of this funding and take care of the problem that we’re talking about right now,” Burns said. A bill to address road funding passed the House last year and sits in special order status in the Senate, meaning it will be one of the first bills legislators address. The Senate Finance Committee stripped that bill and replaced it with its own version that would increase the gas tax by 12 cents over three years. It
Sage expanding Greenville County operations BENJAMIN JEFFERS | STAFF
bjeffers@communityjournals.com Sage Automotive Interiors is investing $5 million to expand operations in its Marietta manufac-
turing facility. The investment will upgrade equipment and technology at the facility. Sage expects to complete the project in phases beginning in 2016. Established in 2009, Sage Auto-
motive Interiors is a provider to original equipment manufacturers in the automotive industry. The company operates more than 15 facilities across North and South America, Asia and Europe. Sage has four facilities in the Palmetto State and employs about 900 workers in the state. “We are pleased to be announcing further investment in South Carolina,”
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would also increase the driver’s license fee from $25 to $50 and increase the vehicle sales tax cap from $300 to $600 and the vehicle registration fee for residents under 65 from $24 to $40. The Senate Republicans have also released a plan similar to the one proposed by the Finance Committee but would also phase in a 1 percent reduction in the state income tax over a period of five years. If the Senate passes a roads funding plan, Sen. Ross Turner (R-Greenville) said differences between the House and Senate plans would have to be hammered out in a conference committee.
gspairport.com
Sage Automotive Interiors President and CEO Dirk Pieper said. “This investment in Greenville County is significant for our associates and operations. Maintaining state-of-the-art facilities and technology for our associates in South Carolina is critical to our success.” The company also announced a $4 million expansion in Abbeville County earlier this year.
6 | SUSTAINABILITY |
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Greenville selected to participate in Envision America 10 cities nationwide to receive tech support for smart city projects APRIL A. MORRIS | STAFF
amorris@communityjournals.com Greenville will be among nine other cities attending an Envision America workshop Jan. 12-14 to learn how to jumpstart a smart city initiative that will help with challenges in energy, waste, water or air. Envision America was created in the model of North Carolina’s Envision Charlotte, which was launched in 2011 and aimed to lower the city’s energy consumption 20 percent over five years. The focus was sustainability in uptown in buildings 10,000 square feet or larger and 61 signed a pledge to participate, said Amy Aussieker, Envision Charlotte executive director. Sensors gathered data about energy use and participants launched a behavior-based program for those working in the buildings, she said. Property managers also participated and University of North CarolinaCharlotte performed energy audits for the buildings to target areas for reduction. Then the program moved into capital improvements that could further reduce consumption. The latest data reflects a 17.1 percent reduction
of energy usage, putting the initiative on track to reach the 20 percent goal, said Aussieker. Envision America, a nonprofit announced in September by the White House, was modeled after the Charlotte program. Greenville County and City of Greenville officials will be joining those from Pittsburgh; Los Angeles; San Diego; Milwaukee; Portland, Ore.; Dallas; Cambridge, Mass.; Spokane, Wash.; and New York City.
The workshop is designed to link various sized cities with the technology needed to track the data and partners to help implement their plans, said Aussieker. Each of the 10 participants will receive the Envision America app designed to engage the local community and “gamify” sustainability programs, according to the nonprofit. GE will offer consultation on smart city infrastructure along with access to its GE Predix industrial Internet platform for one year. Microsoft also will provide the cities with Microsoft Azure Government cloud platform for one year. Paula Gucker, assistant Greenville county administrator for community planning, development and public works, said the workshop will help the county determine what sort of alternative energy it could derive from former landfills, including solar or wind on site. Another focus could be improving water quality in the Reedy River, she said.
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 800 attorneys practicing in major 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 a “Powerhouse” in both Complex and Routine Employment Litigation in the BTI Litigation Outlook 2015 and ranked in the First Tier nationally in Employment Law – Management; Labor Law – Management and Litigation – Labor and Employment in U.S. News – Best Lawyers® “Best Law Firms,” our firm has one of the most active employment litigation practices in the world. To learn more about our services, please visit us at www.jacksonlewis.com.
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| TAXES | 7
Amazon sales tax exemption ending in South Carolina BENJAMIN JEFFERS | STAFF
bjeffers@communityjournals.com The South Carolina sales tax exemption for Amazon.com is coming to an end this year, meaning an estimated $13.8 million in additional revenue for the South Carolina, according to officials at the state Revenue and Fiscal Affairs Office. The exemption for in-state sales officially sunsets on Jan. 1, 2016. The South Carolina sales tax revenue is divided between the state’s General Fund, the Education Improvement Act Fund and the Homestead Exemption, which is a property tax relief fund. Four percent of the sales tax revenues goes into the General Fund. The other two percent is divided equally into the other two funds. An estimated $9.2 million of the additional revenue from Amazon will go into the General Fund next year. The Education Improvement Act Fund and Homestead Exemption will each get about $2.3 million, according to estimates by the Revenue and Fiscal Affairs Office. Since 2011, South Carolina customers haven’t had to pay tax on purchases after legislators agreed to the exemption in an effort to draw the Seattle-based company to build a distribution center in Lexington County.
$13.8 million
in additional revenue next year
$9.2 million in General Fund
$2.3 million in Education Improvement Act Fund
$2.3 million in Homestead Exemption
The House rejected the proposed exemption initially when Amazon announced plans to build the distribution center in the state and promised 1,249 jobs and $90 million in investment, according to the Associated Press. However, legislators accepted the offer after Amazon upped the jobs promise to 2,000 and the investment to $125 million, according to AP. Although South Carolina customers didn’t pay sales tax at purchase, they were still supposed to receive an email from Amazon and pay the sales tax as part of their income taxes.
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EAVESDROPPING ON CONVERSATIONS AND WORDS OF INSIGHT
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| DIALOGUE | 9
Where we’ve been and where we’re headed ASHLEY BONCIMINO | STAFF
aboncimino@communityjournals.com
Leaders from NEXT, GADC and the Upstate SC Alliance met at the Commerce Club last week for the Greenville Chamber of Commerce’s Quarterly Economic Update to lead a discussion on economic development issues facing the Upstate.
ON TALENT
ON LOSING COMPANIES IN 2015
ON TRANSPORTATION
“We’ve had a software company leave basically because the founders found that, whether it was real or perceived, they couldn’t get the type of programming talent that they needed. I think the takeaway from that is, yeah, we need to keep producing more talent. … The Clemsons and The Iron Yards and the Furmans and others are doing that, but also it’s marketing and promoting that we have talent, and that it isn’t just a perception problem, especially with tech companies.”
“The office market requires space, and one of the things we struggle with in Greenville is Class A office space. I had a conversation with a developer last night, and I encouraged them to build some speculative office space in Greenville, because there’s demand. … I think if we had that kind of space, we would be successful, as has happened in Greenville over the last couple of years in attracting those kinds of firms. I don’t think there’s anything we can do to stop a decision like that from a business standpoint, but we can certainly prepare ourselves better for work from those kinds of companies. I think we’re well on our way.”
“The Legislature needs to look at that this year, and I’m hopeful that they will. When you have the president and CEO of Michelin North America coming out and saying if the state of South Carolina doesn’t do something to get their act together, do something about funding the roads, that when we’re building another plant or looking to expand, guess what: We’re going to look elsewhere. That’s not good.”
John Moore,
president & CEO, Greenville Area Development Corp.
John Lummus,
president & CEO, Upstate SC Alliance
Photo by Benjamin Jeffers
president & CEO, NEXT
J. Mark Farris,
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Restaurant Depot investing $5.3M for first S.C. location in Mauldin ASHLEY BONCIMINO | STAFF
aboncimino@communityjournals.com New York-based cash and carry warehouse company Restaurant Depot is building its first South Carolina location in Mauldin with a $5.3 million investment expected to create 60 jobs in the area. Restaurant Depot plans to complete and open the 56,000-square-foot warehouse in June 2016, according to a company representative. Located on six acres in the Brookfield Corporate Center on East Butler Road, the wholesale store is ideally placed to serve the growing market between Atlanta and Charlotte, Restaurant Depot Regional Vice President Rich Danieli told Upstate Business Journal. “Not only is the market sizeable enough that it was our next priority to go to, but it’s growing as well,” said Danieli, a Clemson University graduate who said he chose the Brookfield site over several others in the area. “There are plenty of local restaurants, and it has good access right there on the highway … it fit all of our criteria.” Founded in 1990, Restaurant Depot supplies independent food businesses with food, beverages, equipment and supplies from members-only store locations 4256_Introducing Ed Stein UpstateBusJournal.pdf
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in 32 states. The company plans to hire around 40 employees locally in addition to relocating several employees from outside South Carolina, said Danieli. “The city is delighted that they chose Mauldin to locate their facility here,” said Mauldin City Administrator Trey Eubanks. “Certainly our demographics and our location demonstrate the strength that we have to benefit a company like that, and we look forward to supporting them as they complete construction and look to open next year.” Eubanks said Restaurant Depot wasn’t the only large company looking to locate in Mauldin. Last year, Fortune 500 company Esurance announced plans to invest $2.1 million and create 450 jobs for a sales and claims office in the same corporate center. The office was the company’s fifth national facility, and its second on the eastern half of the country, said Eubanks.
9:56 AM
“I’m proud to be in a position to serve our community!” “This community is home to me! I know the people, the businesses, and the way of life that makes this area special. After 22 years in the local market, I am honored to be the Upstate Regional President for BNC Bank. We are off to a great start, and I could not be more excited about our selection of financial products and services. I look forward to seeing all my friends – old and new – as we deliver more than you expect...our brand promise.”
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For a complete listing of banking offices throughout the Carolinas and Virginia, please visit our website.
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| BEER | 13
3 new Upstate options for craft beer fans SHERRY JACKSON | STAFF
sjackson@communityjournals.com The onslaught of craft breweries in the Upstate continues with three new options announced. THE CASUAL PINT Touted as “the fastest growing craft beer franchise in the nation,” The Casual Pint expects to open its first South Carolina location in mid-2016 at 1818 Augusta St., in the Augusta Village shopping center next door to Augusta Grill. The Greenville franchise, The Casual Pint’s 12th location, will be owned by Roger Kersch and be managed by Greg McCoy. Kersch is planning two additional locations in the Upstate, yet to be announced. Local beer enthusiasts at each location will be able to enjoy the coffee shop atmosphere of The Casual Pint’s more than 400 in-house beer varieties, or they can take their brews to go by the bottle, can, growler, keg or pint from an ever-changing 22-tap wall and ready-to-go beer coolers, McCoy said. “The craft beer lovers here in South Carolina have created a need for more craft beer industry-related businesses,” he said.. “From encouraging brewery openings and now beer retail markets, it’s a thriving community and I’m happy to spearhead this effort in South Carolina.” UPSTATE BEER GARDEN RESTAURANT & SOCIAL HAUS Set to open at the end of this month, the Upstate Beer Garden Restaurant & Social Haus will be a “chef-driven beer garden featuring a great craft beer portfolio, lunch, dinner, late night and brunch menus by Executive Chef Christopher DuPont,” the company said in a release. Located at 1071 Fernwood Glendale Road in Spartanburg, the two-level, 7,600 square foot restaurant will have two outdoor beer gardens and private party rooms. Entertainment will include live bands, 15 HD TVs showing sporting events, food and craft beer pairing events and “beermosa brunches” on Saturdays and Sundays.
A grand opening celebration is planned on Dec. 31. For more information, visit upstatebg.com POUR TAPROOM Plans have been filed with the city of Greenville Design Review Board to renovate the former Miniature World of Trains space on Falls Park Drive in downtown Greenville into a new pour-your-own craft brewery called Pour Taproom. This would be owner Nate Tomforde’s second location, the first being in Asheville, N.C. The brewery features a high-tech spin on craft brew with RFID tracking bracelets worn by customers. The bracelets send a signal to the tap, allowing customers to pour their own beer and be charged to the nearest ounce. Pour Taproom will feature 70 taps and include some wines and ciders in addition to local and regional beers. Customers can either consume their beverages on-site or get a “crowler,” a 32-ounce, sealable can, to go. Pour Taproom is planning to open in Spring 2016.
OPEN AND ANNOUNCED Other recently opened and announced craft breweries in the Upstate: 13 Stripes Brewery is currently underway at Taylors Mill. Loose Reed Brewing, opening late Spring/early summer 2017 on Augusta Street in the former Growler Station space. Carolina Bauernhaus Ales opened in early December at 115 Federal St. in Anderson. The Community Tap recently announced its second location to open summer 2016 at The Commons on Welborn Street. The Growler Haus recently opened its third location in Fountain Inn. Upstate Craft Beer Co. is set to open next week at 400 Augusta St., in the former Claussen Bakery bldg. Birds Fly South Ale Project has just signed a lease for a to-be-announced Greenville location and plans to open by late summer 2016. Fire Forge (previously known as Croxbone Brewing Company) and Monkey Wrench are currently looking at Upstate locations.
PHOTO BY: MARC BLAZAR, THE ORCHARD INN, SALUDA, NC
23 West North Street, Greenville, SC 29601 864.232.2761 • www.rushwilson.com Open Mon.-Sat. 9:30am - 5:30pm; Wed. 9:30am - 1:00pm
14 | MILESTONE |
A TRIBUTE TO OUR LONG-LASTING ENTERPRISES
SOUNDS FAMILIAR Gene Berger’s musical passions have helped keep Horizon Records alive through economic downturns and a digital revolution VINCENT HARRIS | CONTRIBUTOR
vharris@communityjournals.com
When Gene Berger opened Horizon Records in 1975, setting up shop at 730 S. Pleasantburg Drive in Greenville, he wasn’t really interested in peddling Top 40 albums. “I was a classic case of obsessive collector becoming a business owner, and that’s not always a good business model,” he says with a laugh. But for 40 years, Berger has kept Horizon Records going, fueled by a passion for just about every kind of music under the sun, an incredibly loyal customer base, and a willingness to evolve. THE BEGINNING Berger was 20 years old when he opened a 600-square-foot storefront underneath his mother’s yarn store at Morgan Manor on Pleasantburg, financing the business with a small bank loan and his personal savings. His eclectic taste and passion for collecting music found their way to Horizon’s shelves. “Everybody back then was worried about Conway Twitty or KISS, and we were like, ‘Whatever, we need Roxy Music! Where’s Norman Blake? Get me some Jerry Jeff Walker or Weather Report!’” Berger says. “That’s always been our perspective. It’s always been this mishmash of what we’re into.” After a year or two, the space at Morgan Manor began to feel a little cramped, and Berger moved the store to a larger space at 347 S. Pleasantburg, where they stayed for 22 years. But even during that extended stint, Berger always kept his eyes on another area of town. “It was simple: I wanted to be downtown, I wanted my own parking and I wanted to have a neighborhood that could support me,” he says. “Some people that were helping me said, ‘You should look at the corner of Stone and Main Street.’ It was this old, abandoned gas station that was just sitting there. And I think >>
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>> we just looked it up on the tax map and called the people who owned it and started negotiating.” The new location at 2 W. Stone Ave., which combined Horizon Records with the Blue Z Café (later The Bohemian Cafe) under one roof, opened in 2003 and was immediately successful. But unfortunately, a musical revolution and an economic crisis were right around the corner. A NEW MODEL “It was a multiplicity of bad things followed by a multiplicity of good things,” Berger says of the mid-to-late 2000s. “We had just moved to Stone Avenue and had this really great honeymoon period that astounded me. We opened our doors, and people just poured in in May of 2003. We had a heyday.” Then the digital revolution took hold within the music industry. “Digital sales and ripping, burning and downloading of music began to chew on us mightily,” Berger says. “And we were in the middle of all that when the Great Recession kicked in in 2008. It was tough; multiple times, I thought we were going to have to close.” But a willingness to adapt had always been present within Horizon’s DNA. So when Berger got an email about Record Store Day – a day designed to bring increased attention and sales to local independent record stores – he was all ears, both out of habit and necessity. “At that point I was like, ‘Hell yeah! Let’s do it! Because I’m hurting here,’” Berger says. “We jumped in, and immediately got a little bump from it. And it’s built every year. It’s made a lot more people aware of record stores and what their value is in the community.”
“I WAS A CLASSIC CASE OF OBSESSIVE COLLECTOR BECOMING A BUSINESS OWNER, AND THAT’S NOT ALWAYS A GOOD BUSINESS MODEL.”
“BE REMARKABLE” At the same time that Record Store Day helped to fuel a renewed interest in both independent music sellers and the vinyl album itself, Berger also began making changes to the way he ran Horizon. Berger’s new business philosophy came courtesy of his wife, Barbara. “Through her, I found out about an author named Al Katz, who had written a book called ‘A Journey With Mac,’” he says. “So I opened it up, and it changed my world. The concept was all about ‘Be remarkable, and everything else will take care of itself.’ When you get remarkable people and you let them do remarkable things, great things happen.” That new attitude prompted a restructuring of the Horizon staff’s responsibilities. Brian Walker, who came to Horizon in 2009 from nearby competitor Earshot Music, took over most of the product-buying responsibilities, and supervised a refit of the store’s layout that put more emphasis on their new and used vinyl selection. Caroline Bayne, hired in 2006, began to handle a great deal of Horizon’s social media and visual presentation, and longtime employee Martin Keene, hired in 1994, became the store’s bookkeeper, a position that had previously been outsourced. “Having those things taken care of finally gave me a balance where I could do strategic things and seek opportunities and discover collaborations with artists and labels,” he said.
Gene Berger, owner, Horizon Records
Photos by William Crooks
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ON THE HORIZON Berger says that he doesn’t know what the future might hold for Horizon Records, but he feels confident about the store’s place in the Upstate. “We’re a business that deals in music objects. And there’s a future for that. You have to have a community that wants it, and you have to keep getting better. The future is about finding new ways to be passionate about it. It’s about sharing the passion for the music.”
16 | PROFESSIONAL |
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STRATEGIES FOR HONING YOUR PROFESSIONAL SKILLS
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12.18.2015
M&A volume reaches record high SATISFACTION
Thinking of buying or selling? Check these tips By MELINDA DAVIS LUX Member, Wyche P.A.
Merger and acquisition deals announced this year have made 2015 the biggest year ever for merger and acquisition activity in the U.S. Announced M&A volume in the U.S. exceeds $2.2 trillion this year, according to data provider Dealogic. M&A in 2015 has surpassed the previous record high year in 2007, indicating that M&A activity has fully rebounded from the 2008 recession.
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1116 SOUTH MAIN STREET 8 6 4 . 4 6 7 . 9 8 0 0 | N N P W E A LT H . CO M Nachman Norwood & Parrott is a local wealth management consultancy for top-tier individuals and qualified retirement plan sponsors. Investment products and services are offered through Wells Fargo Advisors Financial Network, LLC (WFAFN), Member FINRA/SIPC. Nachman Norwood & Parrott is a separate entity from WFAFN. *Based on current client records.
What does the booming M&A market mean for buyers? The bottom line is that M&A deals are pricey. Investment bankers and M&A analyst firms are reporting that valuations – typically calculated as a multiple of earnings – are at all-time highs in most M&A sectors. High valuations are driven by demand from both strategic buyers and private equity firms. With large cash balances and a favorable lending environment, corporations are motivated to seek growth by acquisition. Private equity firms – with an estimated $475 billion of committed capital to invest – are competing with strategic buyers to deploy those funds. The result? Intense competition for acquisition opportunities. How can buyers protect themselves? Conduct thorough due diligence and plan for integration. A buyer who pays top dollar for a deal wants to fully realize the deal’s expected value after the acquisition is complete. An unexpected liability that is discovered after closing can reduce deal value. Similarly, unexpected snags in post-closing integration of the business may be costly. A prudent buyer can reduce those risks by conducting a thorough due diligence investigation of the business and preparing a detailed integration plan prior to closing. Obtain indemnification and escrow protection. From a contractual standpoint, indemnification and escrows are the primary means by which a buyer protects against acqui-
sition risk. The seller agrees to indemnify – or make whole – the buyer if the seller’s representations about the business are untrue. A portion of the purchase price typically is placed in escrow to satisfy the seller’s indemnification obligation. The amount of the escrow is negotiable. A prudent buyer should carefully assess the risk profile of the target business and tailor the escrow amount to address that risk. M&A deal insurance may also provide a solution when a buyer lacks negotiating power to obtain a healthy escrow, or when a deal presents unique risk. Consider all transaction costs. Most deals include adjustments to the purchase price. The most common adjustment is based on working capital. The target company’s working capital accounts – current assets and current liabilities – are measured at closing. If the working capital at closing is greater (or less than) an agreed-upon benchmark amount for the business, the purchase price is increased (or decreased). The benchmark amount is a key deal term that affects the ultimate purchase price. In certain deal structures, the purchase price is distributed or “allocated” among the target’s assets for tax purposes. The purchase price allocation, which is agreed upon by the buyer and the seller, has a financial impact on both parties. For example, a buyer realizes a benefit in the form of reduced tax liability by allocating purchase price to assets that can be depreciated faster than other assets. Acquisitions involve costs such as escrow agent fees, antitrust filing fees and transfer taxes. The buyer and the seller typically negotiate whether the buyer, the seller or both will bear those costs. In an intensely competitive M&A environment, a buyer needs to offer a top-of-the-range purchase price to win a bid. A prudent buyer, however, can look for opportunities to realize >>
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upstatebusinessjournal.com
>> value from other, more subtle deal terms. The benchmark working capital amount, purchase price allocation, and cost sharing are examples of those deal terms. What does the booming M&A market mean for sellers? Today’s M&A market favors sellers. Sellers have the opportunity to sell at high valuations on sellerfriendly terms. How can sellers maximize sale opportunities? Identify strategic buyers. Strategic buyers typically enjoy cost savings when integrating a target business with an existing business. As a result, strategic buyers often are able to offer higher purchase prices than private equity firms. Strategic buyers will usually provide the best valuation for the target business. Negotiate deal terms during bidding process. Sellers should try to fully negotiate deal terms during the bidding process. A seller’s negotiation leverage is greatest when buyers
STRATEGIES FOR HONING YOUR PROFESSIONAL SKILLS
are competing to win a bid. That leverage decreases substantially after the seller selects the winning bidder. In a seller-friendly environment, a seller can require that potential buyers propose detailed deal terms as part of the bid package, including: • Escrow amount • Escrow release date • Working capital benchmark amount • Working capital adjustment terms • Post-closing employment terms for target company employees • Post-closing key executive employment arrangements • Indemnification provisions, including thresholds and caps • Closing contingencies To obtain the most seller-friendly deal, the seller can negotiate those terms, or even the full purchase agreement, before final selection of the buyer. Prioritize deal certainty. Deal certainty matters. Potential buyers should identify possible closing issues in the bidding process. A buyer who can fund a deal with available cash, for example, should be favored over a buyer who needs financing to fund an acquisition. The seller should also factor in speed to closing when selecting a buyer. A seller should favor a buyer who can close a deal quickly, all other factors being equal. Sellers are wise to investigate potential buyers to determine whether they have a history of successfully closing acquisitions. An experienced buyer is more likely to allow an M&A process to move smoothly towards a successful transaction. Melinda Davis Lux is a corporate and M&A attorney at Wyche who has more than 15 years of experience providing guidance on sophisticated merger and acquisition, joint venture, and corporate financing transactions.
| PROFESSIONAL | 17
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UBJ
REAL ESTATE DEALS AND DEVELOPMENTS ACROSS THE REGION
SHERRY JACKSON | STAFF
sjackson@communityjournals.com |
McCrory Construction expands to Greenville
12.18.2015
@SJackson_CJ
Blue Ridge Brewing Co. leaving downtown Greenville New Greer location to open in April 2016
Citing “a robust business climate and strong demand from repeat customers and new business,” 98-yearold McCrory Construction Company is adding a regional office in Greenville. The office will be the firm’s first full-service location outside of its Columbia, S.C., headquarters and will serve clients in Georgia, North Carolina and South Carolina’s Amsler Upstate region, company officials announced. Located in Suite 107 of the Allendale Building, at 555 N. Pleasantburg Drive, McCrory anticipates hiring 10 office, field management and administrative support positions in the coming Shealy months. Executive vice president Donald G. Warren, former president and CEO of Suitt Construction Company in Greenville, will head the new office, while Fred Fulmer, also formerly of Suitt, will Warren serve as director of
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preconstruction services. Dennis G. Shealy, McCrory’s senior vice president of corporate business development, will coordinate marketing and business development. “The I-85 corridor and Upstate South Carolina, northeastern Georgia and western North Carolina have proven to be key areas of growth and focus for our organization, and McCrory is responding to customer interest in our having a physical presence in the region,” said Allen Amsler, McCrory president and CEO. “Adding this full-service presence also allows us to consider future strategic growth opportunities for our people as we expand.” McCrory Construction is a full-service general contractor licensed in 13 states across the Southeast, with expertise in the retail, commercial, health care, multifamily and industrial construction segments.
y p p a H s y a d i l o H
facebook.com/Blue-Ridge-Brewing-Company-154871862327
After 20 years, Blue Ridge Brewing Company will be closing its downtown Greenville location by the end of this year. But loyal customers need not fear. Already in progress is a new location at 308 Trade St. (the former Cazbah space) in downtown Greer that will open by April 1, 2016. Owner Bob Hiller said the Blue Ridge team is excited about the new location and “keeping the brand alive.” Blue Ridge Brewery will occupy two buildings in Greer – one for the restaurant and brewery and another building next door where they will house the brewing equipment, allowing more space and brewing capacity. Hiller said he is pursuing other locations in Greenville but nothing is firm quite yet.
That will leave two vacant spaces along Main Street in downtown Greenville: the Blue Ridge Brewing space at 217 N. Main St., and the adjacent property, the former Sky at Blue Ridge space at 219 N. Main St. The two spaces are 3,377 square feet and 2,226 square feet, respectively. Jim Simkins of Simkins Properties, which owns the property, said the spaces are being marketed for $36 per square foot plus an additional $4 PSF NNN. Initial response has been strong by a variety of national, regional and local retail and restaurant tenants, said Simkins. “We are extremely excited to have something that is fresher and in touch with where the foodies are headed in Greenville,” said Simkins.
from our offices in Greenville, Spartanburg and Anderson www.naiearlefurman.com 864.232.9040
12.18.2015
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REAL ESTATE DEALS AND DEVELOPMENTS ACROSS THE REGION
upstatebusinessjournal.com
SHERRY JACKSON | STAFF sjackson@communityjournals.com |
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@SJackson_CJ
Bank of America building on the market $17M market value for 15-story building in downtown Greenville made to the property, including the more prominent lobby space and the shared connection to Aloft and parking, has created a lot of value, he said. The largest block of available space in the building is on the top floor. The 12,488 square feet of available space has “sweeping views of downtown Greenville,” and the space is “extremely conducive to tech companies, who often require open, collaborative work environments,” according to marketing materials for the building. Clutter says he expects the building’s sale to close in early spring 2016. Rents are rising and this is a desirable location, he added. “It’s a good opportunity for all.” According to other real estate sources, expect to see listings next year for the Wells Fargo Building, Sun Trust Building and Liberty Towers in downtown Greenville.
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Greenville, SC
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29601
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864.561.4031
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info@parkplaceonhudson.com
Rendering Provided by HFF
www.parkplaceonhudson.com
million renovation, the Bank of America building in downtown Greenville is on the market. The listing price is undisclosed, but according to Greenville County tax records, the property has a fair market value of $17,643,170. The 15-story building was built in 1973 and has 196,152 square feet of Class A office space with 14,283 square feet of ground floor retail. Tenants include Bank of America, CBRE, IBM, ClearChannel, TIC Property Management, Southern Management, NEXT on Main, The Iron Yard and others. It’s currently 88 percent leased. Interest in the property is high, including national interest, said Ryan Clutter, senior managing director and co-head of the Carolinas office of HFF, which is marketing the building. The improvements
104 S. Hudson Street
All spruced up from a recent $4
xperience in old Greenville. ience in Greenville’s coveted West End District? A place at once steeped in the
thoroughly forward-thinking in its conception and vision for the future. A place
s storied downtown setting, and also points the way to a dynamic, one-of-kind-
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What if there was a vibrant, new living experience in Greenville’s coveted West End District? A place at once steeped in the history and charm of old Greenville, and yet thoroughly forward-thinking its conception and vision for the future. A place that celebrates all that has come before in this storied downtown setting, and also points the way to a dynamic, one-of-a-kind-lifestyle that’s altogether unique. This is the best of both worlds: a rich heritage and a modern living experience, all bound together by a collection of 24 thoughtfully designed, original townhomes.
Renderings and Plans presented are illustrative and shall be used for general information purposes only. Actual layout, room dimensions, window sizes and locations and steps to grade vary per plan and are subject to modification without notice.
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REAL ESTATE DEALS AND DEVELOPMENTS ACROSS THE REGION
SHERRY JACKSON | STAFF
sjackson@communityjournals.com |
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12.18.2015
@SJackson_CJ
18,000 SF strip center planned in Simpsonville process of combining the parcels and annexing the property into the City of Simpsonville, Griffin said. This is the primary delay in construction. Of the 18,000 square feet, 3,500 is
committed with 16,500 remaining to be leased. Construction is expected to begin second quarter 2016 and be completed late 2016 or early 2017.
W Georgia Rd
I-3 85
Rd gia Ge or F e rry R d
Ne el y d
wood Rd Cape
Site Size: 2.0 Acres Proposed Gross SF: 18,000 Traffic Count: 14,200+ per day on W Georgia Rd
UBreakiFix to open first SC store in Greenville tronics, is opening its first South Carolina store on Monday, Dec. 21, at 475 Haywood Road in Greenville. The company, which repairs cracked screens and water damage and handles software, camera issues and other technical problems, currently operates more than 150 stores in the U.S. The Haywood Road location will be approximately 1,200 square feet and is the second store for owners Layne Lowry and Chris Olliver, who also own a uBreakiFix in Charlotte, N.C. “We understand that our electronics are investments, and we want to do our part to help people protect those investments,” Lowry said. “We also want to draw special attention to the quality of our work and our ironclad warranties. We want to support the Greenville community by serving users of technology.” Lowry and Olliver are planning on opening at least three additional locations in the Upstate, including one in Anderson.
St
85 I-3
Rd erry
Stenh ou se R
UBreakiFix, a same-day repair service of small elec-
urtis
WC
ly F Nee
The shopping center is being built by three business partners: Paul Hecker, a physical therapist and owner of Elite Physical Therapy in Greenville; Scott Saunders, a regional franchisee of Great Clips; and a local, private commercial real estate investor and owner. Mark Griffin of Griffin Property Solutions is marketing the property. Rates start at $18 per square foot/NNN. The development group chose the location due to the strong demographics, high concentration of families and a need for services in the area, Griffin said. The site is located in Greenville County and part of it falls within the city limits of Simpsonville. The partners are in the
s Rd E Standing Spring
demographics in Simpsonville have fueled construction activity not just in residential, but also in retail services and amenities. The latest project: a new 18,000-square-foot strip center planned at 1301 W. Georgia Road. The Shops at West Georgia Road will be built across from the soon-tobe-open Walmart Neighborhood Market and existing Spinx gas station. Tenants already signed include Great Clips and Elite Physical Therapy. A lease for Mimi’s Express Japanese Steakhouse is in progress. Two endcaps are available for restaurant or drive-thru concepts.
W
A growing population and strong
12.18.2015
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upstatebusinessjournal.com
THE FRESHEST FACES ON THE BUSINESS LANDSCAPE
Open for business
Low Country Shrimper recently opened at 105 East Butler Road, Suite B, Mauldin. Restaurant hours are Monday-Thursday, 11 a.m.-8 p.m.; FridaySaturday, 11a.m.-9 p.m.; and Sunday, 11 a.m.-5 p.m. For more information, visit lcshrimper.com. CONTRIBUTE: Know of a business opening soon? Email information to bjeffers@communityjournals.com.
CLOSE MORE DEALS. Over 100,000 readers look to the UBJ every week to help them close more business.
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| NEW TO THE STREET | 21
22 | ON THE MOVE |
PLAY-BY-PLAY OF UPSTATE CAREERS
HIRED
HIRED
UBJ
ELECTED
HIRED
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12.18.2015
ELECTED
Ashley Taylor
Katyn Hardin
Grice Hunt
Kelly Smith
David F. Cuda
Named director of media and public relations at Bon Secours St. Francis Health System. She most recently served in public relations at Shriners Hospitals for Children—Greenville. She also joined the Center for Developmental Services board of directors for 2016.
Named an experience coordinator at Coldwell Banker Caine’s Spartanburg office. Hardin will ensure the office environment is welcoming and provide a positive experience for both agents and staff. She previously served as an education advisor at Joined Inc.
Elected to join the Executive Committee of commercial real estate firm NAI Earle Furman. A shareholder and broker in the Industrial Division, Hunt holds the Society of Industrial and Office Realtors (SIOR) designation.
Joins the Upcountry History Museum as curator of collections. Smith teaches U.S. and world history at University of South Carolina – Upstate, Spartanburg Methodist College and Greenville Technical College. She has a B.A. from USC Upstate and an M.A. from Villanova University.
Named senior vice president of Colliers International | South Carolina. Cuda is director of corporate solutions for the company. Cuda currently serves as president of the South Carolina Economic Developers’ Association and is on the board of directors of the South Carolina Chamber of Commerce.
COMMUNITY The City of Fountain Inn hired Byron Keith Rucker as economic development and Younts Center for Performing Arts director. Rucker
has served as director of event production and executive vice president of operations with Scheer Sports Inc., president of Marquee Events Inc, executive director of
Main Street Events Inc., COO for Club 9 Sports LLC, founder/owner of IMO Strategy LLC and regional manager for Show Pros Entertainment Services Inc.
DISTRIBUTION WYNIT Distribution named Sarah Segrest as head of corporate business development. Segrest has worked with the company since 2010 and has >>
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12.18.2015
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PLAY-BY-PLAY OF UPSTATE CAREERS
upstatebusinessjournal.com
VIP David Engel Joins Serrus Capital Partners as senior vice president of equity investment and debt placement. Previously, Engel ran a consultancy in Atlanta where he completed more than 150 capital raise and consulting projects across the country. Prior to that, he was a founding employee and principal of Atlanta financial advisory firm Homrich Berg Inc.
>> served in various business development roles, including managing several technical product lines for its specialty print strategic businesses unit. Segrest also led the initiative to build a comprehensive 3-D print and scan category. EDUCATION Spartanburg Community College hired Patricia Jones as associate vice president of instruction. Jones will lead SCC’s academic and non-credit programs, academic initiatives and curriculum development. She most recently served as the district dean of academic affairs at Polk State College.
FINANCE Douglas E. Myers joins FinTrust Investment Advisors. Myers has over 20 years of experience in the securities industry working with both institutional and retail accounts. He has knowledge of convertible bonds, fixed income and equity markets.
IT Bill Swedberg has been named information security manager at KeyMark. Swedberg will provide leadership in securing data and systems throughout the company. Swedberg has more than 20 years of IT experience in healthcare, banking, insurance and business sectors.
MANUFACTURING
| ON THE MOVE | 23
NOSE DIVE $10 WEEKDAY LUNCH
Milliken was recognized by Future Materials as the “Most Innovative Large Size Company.” The award recognizes innovation, achievement and leadership throughout the technical textile industry.
PR/MARKETING Jackson Marketing, Motorsports & Events hired Kelsey Madden as event producer and promoted Luke Bell to account coordinator. Madden recently completed five months as a contract events coordinator for Jackson. She previously served as alumni coordinator for Lee University and completed multiple public relations internships. Bell will handle day-to-day project management for several Jackson clients. He previously served as a performance service specialist for the company. Infinity Marketing won four MarCom Awards in the 2015 International Competition for Marketing and Communication Professionals. The company won a Platinum Award for “Your Dream,” an entry in the single spot television category for its client, Limestone College Extended Campus. Infinity also won a Gold Award for “XFINITY Braves” in the print ad category for client Comcast and two Honorable Mentions for Comcast’s “XFINITY Think Fast” and one for FATZ Cafe’s social media campaign “Food Speaks.”
CONTRIBUTE: New hires, promotions & award winners may be featured in On the Move. Send information and photos to onthemove@upstatebusinessjournal.com.
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24 | THE FINE PRINT |
UBJ
BUSINESS BRIEFS YOU CAN’ T MISS
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12.18.2015
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Community and Charitable Foundation. “This funding will have direct and tangible impact in Pickens County.” The annual contribution was made possible by proceeds from the BMW Charity Pro-Am presented by SYNNEX Corp., The Reserve at Lake Keowee’s 2015 Charity Golf Classic and Auction and The Reserve’s Swine and Dine culinary event and fundraiser. “The Reserve at Lake Keowee community and staff support the Foundation’s goal of giving back to our Pickens community each year,” Washburn said. “It is through their diligent efforts, as well as the fantastic support of our sponsors, that our financial contribution to local organizations continues to grow.” Since the Charitable Foundation’s inception in 2006, The Reserve has raised and distributed nearly $400,000 to support the Pickens community.
SBDC to host small business awards Reserve at Lake Keowee donates $110,000 to charity
The Reserve at Lake Keowee’s Charitable Foundation gave a total of $110,000 to charities in 2015. The total is double the program’s record for a single year. The Reserve gave $22,000 each to the Pickens Senior Center, Safe Harbor, Pickens County Meals on Wheels, Feed a Hungry Child and Helping Hands of Clemson. “The recipient organizations are each thoroughly deserving and have an excellent track record of community assistance and improvement,” said Cathy Washburn, the first-year executive director of The Reserve at Lake Keowee’s >>
The Clemson Chapter of the South Carolina Small Business Development Center will host awards for small business owners in 2016. Nomination packets are available online for 3 categories: Small Business of the Year, New Business of the Year and Service Provider of the Year. Any company can apply as long as they have been a client of the SBDC. The deadline to apply is Feb. 15, and winners will be recognized at the annual SBDC breakfast in July. To see the nomination criteria, visit: clemson.edu/ centers-institutes/sbdc/awards-application.html
Sandlapper Capital Investments, LLC Launches
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Denny’s expands to Dubai
Denny’s Corporation, headquartered in Spartanburg, has opened two new restaurant locations in Dubai, United Arab Emirates. The company last week launched a flagship location, which follows the recent opening of the country’s first Denny’s in September. Both restaurants introduce the brand’s new Heritage design elements to the region, featuring “a warm and welcoming atmosphere pronounced by a unique balance of natural wood tones, earthy textures, modern colors and metal accents,” according to a release. The two new Dubai locations are the first of 30 franchise restaurants planned for the area by regional franchise partner Advance Investment L.L.C., the master franchisee of Denny’s for the Gulf Region. The partnership encompasses an exclusive agreement to develop Denny’s restaurants in nine
countries within the Middle East over the next 10 years. “We have built a brand that has garnered a loyal following well beyond the United States, and are pleased to open our new restaurants in Dubai which demonstrate the global demand for what Denny’s offers: classic American comfort food served in a welcoming environment at an everyday value,” John Miller, Denny’s president and CEO, said in a release. Ghassan Kassabji, executive director of Food Quest, providing management support to Advance Investment LLC, said, “We are proud to be the first to bring Denny’s to the United Arab Emirates and introduce local families to the diner favorites that have resonated with guests around the world. We believe the concept is a great fit for the region.”
12.18.2015
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BUSINESS BRIEFS YOU CAN’ T MISS
upstatebusinessjournal.com
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Crowne Plaza wins top award for quality and service
Building Engineer of the Year. The Best of the Best award winners come from the top 10 hotels out of 225 hotels in the Crowne Plaza brand.
Intercontinental Hotels Group (IHG) awarded The Crowne Plaza Greenville with the highest honor for excellence in quality and service, the Torchbearer Award. The award was created to honor the best of the best as measured by 12 months of guest satisfaction surveys, and is given to the top 10 Crowne Plaza hotels in North and South America each year. Euan McGlashan, managing partner of Valor Hospitality Partners, which manages the hotel, said, “Receiving the Torchbearer award is recognition of the Crowne Plaza team’s dedication to providing best in class service and is a testament to the strength of Valor Hospitality’s core values and guiding principles that help to define the hotel’s service culture. The Crowne Plaza Greenville recently completed a $5 million total hotel renovation in January 2014. “All of our associates are extremely proud and most deserving of the award, which does not come easy and requires a tremendous focus on attention to detail and service,” said General Manager Greg Greenawalt. “Our keys to success include a serious focus on doing the simple things brilliantly, cleanliness and proper working order of all items in the hotel and guest rooms.” Greenawalt and Barney Gibson were honored with IHG’s Best of the Best awards for the Crowne Plaza brand nationwide. Greenawalt received the General Manager of the Year Award and Gibson won the Chief >>
LS3P to merge with Myrtle Beach firm
Architecture firm LS3P and Hubbard Architecture LLC of Myrtle Beach are merging the two firms on Jan. 1. This merger brings LS3P’s total number of offices to seven. Hubbard Architecture specializes in architectural design and planning for hospitality, attraction, residential and retail projects. LS3P provides services nationwide from its offices in Charleston, Columbia and Greenville, S.C., and Charlotte, Raleigh and Wilmington, N.C. “Hubbard Architecture has established a reputation for excellence within the industry,” said Thompson E. Penney, president and CEO of LS3P. “We are honored to combine forces with a firm which consistently embodies the highest values, and represents the best aspects of our field in terms of design, integrity, and relationships.” Jim Hubbard, who is also the incoming president of AIA South Carolina for 2016, said he sees the merger as an opportunity to blend Hubbard Architecture’s strengths with LS3P’s knowledge and resources. “In partnering with LS3P,” he said, “we have a significant opportunity to expand our capacity, better serve our clients and achieve significant positive impacts for multiple market sectors across the region.”
To learn more contact: Trevor Gordon, CEO (864) 679-4701 ext. 101 tgordon@sandlappercapital.com 2015 Roaring Twenties Award: South Carolina’s 4th Fastest-Growing Company Real Estate Forum Magazine: One of 2015’s 2015’s Fastest-Growing Companies
Agribusinesses to learn marketing skills at seminar
| THE FINE PRINT | 25
South Carolina agribusinesses can test their marketing skills without risking their own cash during a three-day seminar offered by the Clemson University Cooperative Extension Service. The 17th annual “Executive Marketing: Developing a Marketing Plan” seminar runs Jan. 6-8 at Litchfield Beach and Golf Resort about 20 miles south of Myrtle Beach. It is designed to help farm operators boost profitability. Enrollment is limited and registration is required by Dec. 18. Contact Extension agribusiness consultant Scott Mickey at smickey@clemson.edu for details. Seminar topics cover market trends and outlooks, land value, financial planning, business management, supply and demand estimates, crop insurance and
FOR ACCREDITED INVESTORS ONLY. This announcement does not constitute an offer to buy or sell securities. Such offers may only be made to qualified accredited investors via Private Placement Memorandum. Investments should be considered highly speculative and involve a degree of risk including the potential for complete loss of principal investment. This announcement does not supersede the PPM. Securities offered through SANDLAPPER Securities, LLC (Member FINRA/SIPC) an affiliate of Sandlapper Capital Investments, LLC the Sponsor/Manager of the Fund. Investors will be entitled to a preferred distribution accruing from date of issuance of Preferred Units at a cumulative, non-compounding rate of 10.0% per annum on capital contributions. Investors may also receive an additional distribution accruing from date of issuance of Preferred Units at a cumulative, non-compounding rate of 5.0% per annum on capital contributions. INCOME IS NOT GUARANTEED.
more. Additionally, a market simulation will allow participants to test various marketing tools and crop insurance products without risk. Participants also will write tailored marketing plans based on operational costs and profit requirements for their specific businesses. “They set their own goals for what they want to do in the coming year and they leave with a plan for 2016,” Mickey said. More than 450 farmers have taken the course over the past 16 years, he said. Instructors include Mickey, an expert in crop insurance, government programs, market analysis and agriculture business management; along with Dave Kohl, professor emeritus at Virginia Tech and trends editor at Corn and Soybean Digest; and Jeff Beal, a market analyst with the Chicago-based advisory firm The Gulke Group and a frequent contributor to Al Pell’s Weekend Marketplace.
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INFORMATION YOU WANT TO KNOW
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12.18.2015
OVERHEARD @ THE WATERCOOLER
BIZ BUZZ
RE: THE MILL MAN
The top 5 stories from last week’s issue ranked by shareability score
Distilled commentary from UBJ readers
> Pat Grissinger, Upstate SC Realtor “Glad to see the old mills put to use.” > Greenville Center for Creative Arts “This is our partner and we sure are glad!” > Greenville County Redevelopment Authority “Not only is this good news for Greenville in general, but in particular, Mr. Burt’s donation of land will help GCRA and our partner nonprofit, the Greenville Revitalization Corporation, bring great things to the Monaghan community!”
RE: FRESH SEAFOOD ON THE EASTSIDE > Diane Morgan Maxwell “Excellent! We get to have one of Coastal Living Magazines favorite seafood restaurants, right here in the Upstate!!! Yummmmm! And ... the owners are great great people ... be sure to visit their new venture!” > Beth Smith “Looking forward to trying this new restaurant on the Eastside.”
RE: MICHELIN ON MAIN CLOSED AFTER 8 YEARS > Professional Network Connections “Any guesses as to who will move into this premiere downtown Greenville location?” > Michael Hoffman “Oh wow … often wondered how they stayed in business.”
RE: 2 NEW LOCATIONS KEEP UPSTATE BEER SCENE HOPPING
>> WEIGH IN @ THE UBJ EXCHANGE Got something to offer? Get it off your chest. We’re looking for expert guest bloggers from all industries to contribute to the UBJ Exchange. Send posts or blog ideas to eprice@communityjournals.com.
>> 440
2. Fresh seafood on the Eastside
>> 436 3. Lowes Foods announces second area grocery
>Craig Kinley “David Thornton Brad Thomas Keston Helfrich front and center… Should have copy for you to sign at the Growler Haus next week when we rx our weekly stipend of Upstate Business Journal.”
>> 216 4. New garden-style apartments near Furman University
RE: LOWES FOODS ANNOUNCES SECOND AREA GROCERY
>> 188
> Upstate South Carolina Real Estate “I was just talking about this with some friends. Very excited to go shop here!” > Jennifer Laundry “Yes very excited. Also getting a gas station, restaurant and medical offices. A new streetlight to help with traffic flow too!!!!! Going to be very pretty.” > Jennifer Simms SC Upstate REALTOR “Online shopping and drive through pickup! I’m in. Five Forks is growing…”
RE: CJ
5. Students trained in SAP get a leg up in manufacturing
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> Michelle Baker Willis “So what does that mean for the studio WSPA has in that space?”
> Mary Beth Culbertson “WHAT????”
1. New life for old mills
> The Main Street Program, Anderson, SC “Congrats again to the new opening of Carolina Bauernhaus Ales. Make sure you check them out.”
> Maggie Blair “Could be a small Greenville welcome/info center (could incorporate Michelin/BMW merch)??”
> Stella Spadaro Dominguez “The city should rent it as a welcome center.”
>> 822
> Loose Reed Brewing Company “Congrats to Carolina Bauernhaus Ales! We’re excited to join them next year!”
Here at Community Journals, we’re a team of dog lovers – and now we’re lucky enough to have an office dog of our own! Meet our newest, four-legged employee, CJ. She’s as sweet as can be and will be here to greet you as soon as you walk through our door! CJ came to us from Greenville County Animal Care as a heartworm-positive rescue dog. She just underwent her last treatment and is recovering wonderfully! #itsaCJlife
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DECEMBER 11, 2015
| VOL. 4 ISSUE 50
THE MILL MAN eye for Pace Burt brings an for development and a heart ’s community to the Upstate - pg. 14 former textile villages
DIGITAL FLIPBOOK ARCHIVE >> The layout of print meets the convenience of the web: flip through the digital edition of any of our print issues at >> upstatebusinessjournal. com/past-issues
12.18.2015
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INSIDE THE UPSTATE’S NETWORKING AND SOCIAL SCENE
| SOCIAL SNAPSHOT | 27
IRON YARD DEMO DAY Last week, the Iron Yard’s Greenville campus hosted Demo Day for its latest class of Python engineers. Students demonstrated their Python Engineering applications, the culmination of their 12 weeks of training at The Iron Yard, to an audience of local tech companies, engineers and other members of the local tech community.
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Photos by Zach Suggs
ART & PRODUCTION
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JAN. 15, 2016 THE MARKETING AND BRANDING ISSUE Getting the word out on local businesses.
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DIRECTOR OF EVENTS & ACCOUNT STRATEGY
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
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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-prof 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 lients 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
CoMMUnitY nit inVolVeMent nitY in olV inV olVe VeMent & 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
Anita Harley, Jane Rogers
Jerry Salley jsalley@communityjournals.com Ashley Boncimino, Sherry Jackson, Benjamin Jeffers, Cindy Landrum, April A. Morris
jackson Marketing Group’s 25 Years 1988 Jackson Dawson opens in Greenville at Downtown Airport
1988
Holly Hardin
CLIENT SERVICES
MANAGING EDITOR
UBJ milestone
OPERATIONS
Ryan L. Johnston rjohnston@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
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