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Contents
THE MAGAZINE FOR GROWING BUSINESSES IN SOUTHERN MINNESOTA
STAFF & CONTRIBUTORS
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COVER STORY
Publisher: Concept & Design Incorporated Editor: Lisa Cownie
Locally Sourced
Art Director/Staff Photographer: Kris Kathmann
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The rapid growth of Friesen’s Family Bakery and Bistro is well-known throughout the greater Mankato community. But it’s what is fueling that growth that is now coming to light. Owners Tony Friesen, Natasha Frost and Spencer Vanderhoof talk about how their commitment to community takes a three-pronged approach.
Contributing Photographers: Art Sidner Contributing Writers: Erin Dorney, Roger Hislop, Kathy Sheran Production: Becky Wagner Circulation: Becky Wagner Printing: Corporate Graphics, N. Mankato
PROFILES
Mailing: Midwest Mailing, Mankato
Nurturing IT
Cover Photo: Kris Kathmann
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CIRCULATION
Sam Bloedow grew up in a family that fostered his entrepreneurial spirit, and it has paid off. He started Thriveon nearly 15 years ago, and today his technological footprint is found nationwide.
Production Value
9,400 for September/October 2016 Published bimonthly
CORRESPONDENCE
50
Send press releases and other correspondence: c/o Editor, Connect Business Magazine P.O. Box 176, Nicollet, MN 56074
From the New York City film scene to Mankato, Ryan Sturgis brings his passion for the arts to the southern Minnesota business community. Sturgis is hoping to show businesses here how they can use the art of filmmaking and storytelling to promote their business.
E-mail: editor@connectbiz.com (please place press releases in email body) Web: www.connectbiz.com Phone: 507.232.3462
COLLABORATION CONNECTION – SPECIAL REPORT
Creative Spaces
Fax: 507.232.3373
ADVERTISING
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Coworking is a trend taking hold across the country. Mankato is at the forefront of this movement with Envision Lab. A unique approach to working that can be beneficial to startups and mature companies alike.
Call: (507) 232-3462
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ABOUT CONNECT Locally owned Connect Business Magazine has ‘connected’ southern Minnesota businesses since 1994 through features, interviews, news and advertising.
COLUMNS
Editor’s Letter Cownie Connection
Connect Business Magazine is a publication of Concept & Design Incorporated, a graphic design firm offering print design, web design, illustration and photography. conceptanddesign.com
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IN EVERY ISSUE
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EDITOR’S LETTER
Making a Difference I have always been amazed at the mettle of my friends and acquaintances who take the plunge into starting or buying a business. Cutting ties with a steady paycheck, benefits, regular hours...a boss, has always been a scary proposition for me. Yet, I understand why they do it. For many I know, it’s the freedom to work on their own terms. To build something they are proud of. Of course, for some it is a financial decision. And for others it’s a chance to make a difference. And this issue of Connect Business Magazine is celebrating that spirit. The owners of Friesen’s Family Bakery and Bistro are making a difference in our community with their focus on local sourcing, zero waste and community involvement. Sam Bloedow, founder and owner of Thriveon in New Ulm, is using his old fashioned family traditions to help area companies navigate a very technologically-modern business world. And Ryan Sturgis, owner of True Facade Pictures in downtown Mankato, was immediately drawn to the stories of passionate entrepreneurs and nonprofits in the region. Now, he aims to make a difference by helping them tell their stories, using film to promote their cause. These businesses are all born from an entrepreneurial spirit. That’s why our special Collaboration Connection report, brings you the story of Katie Boone, cofounder of Envision Lab, a wonderful resource for young companies just starting out and for mature companies looking for a way to help their employees grow. Envision Lab is evidence that the Greater Mankato area is on the forefront of a business trend taking hold across the nation: coworking. Happy reading, and hopefully, learning!
Lisa Cownie Editor
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Call for Nominations
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Business Person of the Year Award Nominate a colleague and see them featured on the cover of Connect Business Magazine’s January 2017 issue. All nominations are confidential. PREVIOUS WINNERS
2008: Jeff Thom
2009: John Finke
2010: Pamela J. Year
2011: John Roise
2012: Dan & Angie Bastian
All American Foods
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Nominate at connectbiz.com/bpoy NOMINATIONS OPEN SEPT 1 through SEPT 30
IT’S EASY TO NOMINATE! Go to connectbiz.com/bpoy and fill out the entry form by noon, September 30. Three important rules: You can’t nominate yourself; the nominated person must work and live in either Blue Earth, Le Sueur, Martin, Brown, Watonwan, Waseca, Faribault, Sibley or Nicollet County; and the nominated person must not have appeared in a major Connect Business Magazine feature from 2014-16.
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How the winner is chosen: Connect Business Magazine will learn more about the nominees, and forward the information on to our judges, who are Minnesota State University business professors. Each judge will have up to three votes: five points will be awarded for their first choice, three for second, and one for third. The top vote-getter will appear on our January 2017 cover, and the two runners-up will appear inside the magazine. Judges will take into consideration the person’s character, leadership abilities, community involvement, and business results. Business persons from any business — large or small, profit or nonprofit, large town or small — are eligible.
NOMINATE A COLLEAGUE TO APPEAR ON THE JANUARY 2017 COVER!
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Blue Earth Midwest IT Systems, Inc. has received the CompTIA Managed Services Trustmark™, a respected industry credential that signifies its adherence to best practices for technology service delivery and customer interaction. “Earning this credential identifies Midwest IT Systems, Inc. as a business that meets or exceeds the best business practices the IT industry has to offer,” said Nancy Hammervik, senior vice president, industry relations, CompTIA. “This includes managed services agreements, standard operating procedures, systems and tools for delivering services and general business operations.” The Trustmark was developed by CompTIA, the non-profit association for the information technology industry, in collaboration with industry experts and leaders, to identify businesses that have made a commitment to the highest levels of integrity and sustained quality service. To earn the CompTIA Managed Services Trustmark, Midwest IT Systems, Inc. was evaluated on several aspects of their business operations, including organizational structure, technology tools and systems they utilize, standard operating procedures and IT service specific activities. The company also committed to abiding by a code of conduct and provided customer references.
Mankato Vetter Stone Company is donating Minnesota stone, native to the area and used around the world, in the outdoor space at Mankato’s new Verizon Event Center. Vetter’s donation will be used to create a gathering space that draws off of natural beauty to create Vetter Stone Plaza at Second and Walnut streets. For the past several months, Vetter Stone has been collaborating with city staff, Twin River Council for the Arts and Mankato native
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artist Greg Mueller to design space that includes art which builds from a compressed image of the Minnesota River. “Our family is pleased to make this donation to the community to help carry on the legacy of our sister Ann Vetter. Ann was very involved in supporting the local arts and was especially interested in the Mankato Symphony and the City Art Walking Sculpture Tour. Ann fully understood the importance of art to the community. This gift builds on that vision by helping create additional art space in Mankato’s City Center,” says President and CEO of Vetter Stone Company, Ron Vetter. The project is expected to be completed fall 2016. Blethen, Gage and Krause announces a new attorney, Jacob (Jake) Sherlock. Sherlock previously served as the Judicial Law Clerk for the Honorable Larry M. Collins in the Waseca County District Court in Waseca, Minn. Jake represents clients in a wide array of litigation-related matters, including personal injury, product liability, family law, criminal defense, and insurance law. Jake is a 2014 cum laude graduate of William Mitchell College of Law. Connect Real Estate Group is proud to announce that Chris Cousins has been awarded the nationally recognized Military Relocation Professional Certification. The National Association of Realtors® awards the MRP certification to Realtors® who help military personnel, veterans and their families find housing that lets them make the best use of their benefits and serves the unique needs of military life. Kerri Ellegard has joined Connect Real Estate Group as their newest Realtor. Kerri currently resides in Minnesota Lake with her fiance and their 3 children. Kerri moved to the area when she was 9 and is excited to serve the community she has grown to love and call home. Kerri has a degree in Business Management Administration, but calls real estate her full-time occupation. Kerri is thrilled to now be able to help serve clients in Mankato and
Incentives for Job Creation surrounding communities with finding a place to call home. Mayo Clinic Health System announces a collaborative effort with River Hills Mall to offer community wellness programs, health education, and resources and family activities designed for all ages. “This exciting collaboration helps bring Mayo Clinic knowledge and expertise into the community and directly to health care consumers,” says James Hebl, M.D., regional vice president for Mayo Clinic Health System Southwest Minnesota. “We want to be proactive and help people be well; in addition to being available when people are sick.” Included in the collaboration is the Children’s Play Area, a Mayo Clinic Mile mall walking program and events throughout the year that promote health and wellness. Eide Bailly LLP, a regional CPA and business advisory firm, announces several promotions: Brock Thaemlitz and Sara Ptacek to Senior Associate; Andrew Wagner, Devon Soule, and Jenn Faust to Manager; Brian Haley, Brooke Forstner, and Sean Finley to Senior Manager. The consulting firm Great Place to Work® and Fortune have named Marco one of the country’s 100 Best Workplaces for Millennials in 2016. Marco earned a place on the list based on Millennial team members’ responses to anonymous survey questions asking about the levels of trust, pride and camaraderie they experience in the workplace. “At Marco, we are excited to tap into the talents of Millennials, and to prepare our younger workers for greater responsibilities,” said Sara Lommel, Director of Human Resources. “(This) honor reflects our efforts to expand our great culture as we continue to grow. We feel this is important not only for members of the Millennial generation, but also for all our employees.” Marco also ranked as one of the country’s 30 Best Workplaces to Retire From in 2016. In 2015, Marco was named 100 Best Workplaces For Women and Best Small & Medium Workplaces by Great Place to Work® and Fortune. Mankato Clinic has been named one of the Top 150 Workplaces in Minnesota by the Star Tribune for the second consecu-
tive year. Produced by the same team that compiles the 25-year-old Star Tribune 100 report of the best-performing public companies in Minnesota, Top Workplaces recognizes the most progressive companies in Minnesota based on employee opinions measuring engagement, organizational health and satisfaction. The analysis included responses from over 73,870 employees at Minnesota public, private and nonprofit organizations. The rankings in the Star Tribune Top 150 Workplaces are based on survey information collected by WorkplaceDynamics, an independent company specializing in employee engagement and retention. Mankato Clinic was ranked fifth on the large company list. “We are thrilled to have been selected as a top workplace for the second year in a row by the Star Tribune,” says Mankato Clinic CEO Randy Farrow. “Creating a great work environment for our staff continues to be a big focus at the Mankato Clinic and it’s nice to be acknowledged for those efforts. We know that having an engaged workforce is absolutely essential to our mission of delivering high-quality, patient-focused care to this region. If our staff is thriving, we are thriving.” The Mankato Clinic was founded in 1916. Greater Mankato Growth was recently ranked by membership, number six out of 25 on The List: Chambers of Commerce in the Minneapolis / St. Paul Business Journal. This is the third year in a row that the organization has both appeared on the list and been ranked sixth.
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“Our organization’s success is rooted in the collaborative spirit of our marketplace and member businesses,” says Jonathan Zierdt, president & CEO of Greater Mankato Growth, Inc. “We would like to thank our members for their investment in GMG, and their continuous dedication and support in advancing business for a stronger community.” As of June 2016, GMG had 944 members. New local events could get a financial boost from a recently-released Explore Minnesota pilot program. According to the Explore Minnesota website, the New Events Grants program is “designed to generate economic impact and increase media awareness of the state as an event destination.” Applicants must meet a set of minimum requirements to be considered for the grant program. “One of the grant criteria is for groups to get the support of its local tourism organization. We’re happy to work with any local groups that meet the qualifications or that are interested in applying for a grant through this program,” said Anna Thill, president of Visit Mankato. The other minimal grant criteria include: the event must be new to Minnesota and open to the public; the city in which the event is held must have adequate lodging available; the organizing group must agree to generate additional funding; and the Explore Minnesota logo or a link to ExploreMinnesota.com must be incorporated. There are two categories in the New Events Grants program: bids and sponsorships, which is competing against the rest of the state to secure a specific event; and event operation, which is using the funding for operating and promotional expenditures. The minimum grant amount available for the bids and sponsorship category is $1,000; the minimum for the events operations category is $5,000. Event types can include a new festival, exhibition, fair, sporting or leisure event. For the complete Explore Minnesota New Events Grants guidelines, visit exploreminnesota.com/industry-minnesota/ ways-to-get-involved/new-events-grants/. To schedule a meeting with Visit Mankato staff about your new event, contact the
SEPTEMBER/OCTOBER 2016
office at 507-385-6660 or email visitors@ visitmankatomn.com.
MANKATO
Lumiere Real Estate Group Deb Atwood and Jen Schmidt with Lumiere Real Estate Group traveled to New York for more training with Barbara Corcoran and other top Real Estate Agents around the country.
Six Mankato businesses received Dementia Friendly @ Work educational session presented by Mankato/North Mankato ACT on Alzheimer’s volunteers. This one-hour training helps local organizations heighten their awareness of dementia and take action to create an environment that is safe, respectful, and welcoming for people living with dementia and their families. Representatives from Goodwin Consulting, Friesen’s Bakery, MRCI, The Wine Cafe, Mom & Pop’s and the Coffee Hag completed the Dementia Friendly @ Work session. The training focused on how to recognize the signs of dementia, tips for communicating and interacting with a person who has dementia, how to create a dementia-friendly space, and available resources in Mankato/North Mankato. For more information, or to schedule your own Dementia Friendly @ Work training, visit rndc.org/alzedu.
New Ulm Thriveon service technicians, Michael Poppler and Josh Dalluge, have attained Network+ certification. Network+ is one of the credentials administered by CompTIA, the leading IT industry professional organization.
Nicollet Schmidt’s Meat Market won international recognition at the ‘DFV-AAMP Quality Competition for Sausage and Ham’. The IFFA Quality Competition was the first event of its kind held in the United States. IFFA is the leading international trade fair for processing, packaging and sales in the meat industry, and hosts an international meat competition every three years in Frankfurt, Germany. The German Butchers’ Association (Deutscher Fleischer-Verband) formed a partnership with the American Association of Meat Processors (AAMP) to host the “satellite contest” in the U.S. The results from the U.S. competition will be included with those from Germany and acknowledged as being a part of the international show. Schmidt’s Meat Market will be awarded with: (5) Gold Medals: Original Summer Sausage, Jalapeno & Cheese Summer Sausage, Bacon-Cheddar-Ranch Brats, Wieners, Bacon and (1) Bronze Medal: Wisconsin Style (Cranberry & Cheddar) Summer Sausage. To make the event identical to the show in Frankfurt, organizers sent judges from Germany to conduct the competition. All entries were graded on appearance, consistency, smell and taste. The competition received more than 300 entries from 15 states. Southern Minnesota Initiative Foundation (SMIF) is happy to announce the addition of three new community foundations this past year: Eagle Lake Community Development Foundation, Lanesboro Area Community Foundation, and St. Charles Area Community Foundation. SMIF manages funds for 26 community foundations and 37 designated funds as part of its mission to encourage local community philanthropy in southern Minnesota.
St. Peter First National Bank Minnesota announces the appointment of Ben Gossett as Vice President, Business Banker. “Ben has been promoted to our Vice
President Business Banker position at our St. Peter location. He will concentrate on business banking services including commercial loans. He is dedicated and knowledgeable in his field with 6 years of banking experience. He has earned this opportunity as Vice President at First National Bank Minnesota.” said Mike Bresnahan, President and CEO of First National Bank Minnesota. Ben earned his college degree in finance from Minnesota State University Mankato joining First National Bank Minnesota in 2010. “I’m grateful for the opportunity to be the Vice President of Business Banking. I appreciate the confidence that First National Bank has in me. I’m looking forward to serving our local businesses and assisting them with their financial goals.” said Ben Gossett. First National Bank Minnesota is a $200 million community bank headquartered in St. Peter. It serves the communities of St. Peter, Mankato and Gaylord. For more information, visit www.fnbmn.com or call 507-931-4000.
Waseca
SIGN REPAIR
The next Business After Hours will be held on September 12 at Edina Realty’s new location, 1311 North State Street. Principal -John Priebe will be hosting a Chamber Business After Hours event on September 28th to celebrate their 20th anniversary. Edward Jones-Brian Hanson and Canadian Pacific Railroad were presented progress awards by the Chamber Ambassadors. Congratulations to Canadian Pacific Railroad on their new location and newly built general yard office Waseca facility. First National Bank of Waseca has announced they’ve hired Jade Prins as Vice President of Business Development. Itron, Inc. named Kent Patterson as Senior Operations Manager, taking over for Bob Whitney upon his retirement. Chamber members celebrating milestones are Clemons Bus Lines (70 years), Century 21 (55 years), Waseca Optometric (65 years), and Waseca Arts Council (40 years). The Board of Directors of First National Bank of Waseca is pleased to announce the addition of Jade Prins as Vice President of Business Development.
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By Lisa Cownie Photo by Kris Kathmann
Mankato bakers strive to epitomize the local food movement by sourcing from, producing in, partnering with and giving back to the community. For the owners of Friesen’s Family Bakery and Bistro in Old Town Mankato, their business model is not just a part of their business strategy, it is the very heart of it. A business model based not on how money will be made, but how it will be spent. Locally. By committing to locally sourcing everything from the ingredients in the food they make, to the light bulbs that illuminate their beautifully remodeled building, Tony Friesen, Natasha Frost and Spencer Vanderhoof are striving to develop more self-reliant and resilient food networks in the community, and while they are at it, improve the local economy. The trio believes they have found a recipe for success with even parts of locally sourcing whenever possible, zero waste practices and exemplary customer service. And each of the three owners brings something different to the table. Tony grew up in a baking family. His dad Ernest owned Pastry Palace and Friesen’s Bakery, and also spent time running the bakery departments at Madsen’s and Randall’s grocery stores. Tony absorbed all he could from his dad. Tony says, “It’s just what I’ve always done. I started working for my dad when I was 13 helping at the Pastry Palace. It was a natural thing to go in to work at 2 in the morning before school in high school, because that’s when you fry donuts! I no longer fry donuts, but I am still at work at 2 in the morning to make sure pastries are freshly made for the day.” Tony went on to work for Hy-Vee for 19 years, transferring all around the upper Midwest. His partner in business and in life, Natasha Frost, is also an attorney that provides legal technical assistance on public health issues to communities and local governments through the Public Health Law Center at the Mitchell Hamline School of Law. She was Tony’s best friend in high school. continued > 12
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Spencer Vanderhoof, Natasha Frost and namesake Tony Friesen own Friesen’s Family Bakery & Bistro in Mankato.
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Locally Sourced
“We were high school best friends, so when I say I spent a lot of time at the Pastry Palace, I mean A LOT of time at the Pastry Palace. So I know the history of Friesens and their baking.” – Natasha Frost Natasha says, “So I was also hanging out at the Pastry Palace back in high school. Although I was there after school not at 2 a.m.! We were high school best friends, so when I say I spent a lot of time at the Pastry Palace, I mean A LOT of time at the Pastry Palace. So I know the history of Friesens and their baking. My journey took me on a different path, although through my work now I am invested in the food
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system and public health and I wanted to bring that aspect to our business model. I understand the legal aspects, so that helps demystify that stuff.” Spencer Vanderhoof, a college student who has known Tony since his early childhood, helps complete the ownership triangle. His focus is on the customer experience. Like Tony with his dad, Spencer started learning from Tony at a
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very young age. Spencer jokes, “I was born the year they graduated high school, so I wasn’t in their class, but when I was about 14 I started working with Tony at Hilltop Hy Vee. He helped me get my first job. I started out pushing carts, paying my dues. I can’t say I enjoyed that part too much, but my dad, Rob Vanderhoof, instilled a strong work ethic in me from a young age. Not
Tony Friesen, Natasha Frost and Spencer Vanderhoof | Friesen’s Family Bakery and Bistro
to mention he stopped buying me things, so I had to find some way to make money! But at 15 I got to work with Tony in the bakery, and started learning that aspect of it. Also, I did well in high school in business classes so always had that feel for the business side of things.” Since opening at 515 N. Riverfront Drive in May of 2014, the Friesen’s franchise has grown from occupying 896 sf to more than 5,000 sf that now includes ample seating, a full-service kitchen including a separate area for making gluten-free items, and a newly renovated conference center that can accommodate up to 50. Their menu has also grown from baked goods and a few soups, to baked goods, a full lunch menu and catering. Their workforce has also grown, starting with four team members they are now up to 14. It’s a business venture that has not only paid off for the three owners, but for the community as well.
Connect: Friesen’s opened in May 2014 and the community immediately embraced you. Tony: When we originally opened, our idea was that we were opening a bakery that would sell a little bit of soup. We had 896 sf, four tables, and it was crazy. We opened to lines out the door basically for about five weeks. The first week we were open we had to close two of the days because we ran out of product. It was very apparent that we had underestimated what Mankato was looking for in Old Town. Within about two months time, we rented out another extension to our space to help with storage and to add space for seating. That’s a benefit of being a small business. We had the benefit of being able to listen to the customer, and make adjustments to our business model as far as what the customer was looking for. You know just because what we wanted to do and what we thought we would do on day one, well,
three months later, six months later, a year down the road we had to make a lot of adjustments and our company has changed. Yes, we’ll talk about the details of the expansion later, but first let’s talk about what hasn’t changed with Friesen’s: your fundamentals. Tony: Definitely and that is what has allowed us to do what we’ve done. When we decided to do this, we wanted to do it right and that meant talking to other local small businesses we admired so we could learn from them. So before we opened I talked to Mom and Pops down the block here to find out how they handled their waste and the composting systems. I talked with The Coffee Hag to find out more about what they do with community involvement. In fact, Jen Melby-Kelley was the first person I sat down with months before we opened because I wanted her to know that we were coming in to be a part of the community. Not to compete, but to complement the
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other businesses here and what they are doing.Those two businesses were our biggest influence and we knew that if we were going to open a business down here in Old Town, there were certain things we had to pay attention to. And those were the same things that were already important to us; locally sourcing, zero waste and community involvement. Now I hope as we have seen our composting and our local sourcing be successful for us, it is affecting other businesses. Just as we looked to our neighbors in Old Town as an example, we hope others will now also look up to us. And we’ve started talking about it more, so if other businesses are not paying attention, they should be. I know your original business plan was to locally source the ingredients for your products, but
Locally Sourced
Lifelong Learner Spencer Vanderhoof is a marketing major at Minnesota State Mankato, that’s on top of his duties as one of the owners of Friesen’s Family Bakery and Bistro. Spencer says, “As owner I manage day to day operations, employees and product. Customers are my number one priority, and customer service is something that I really hang my hat on.” He enjoys his classes, but it’s what he is learning outside the classroom that is proving to be invaluable. Spencer says, “One thing I am learning, is that it’s always bigger than what you imagined. I’ll be honest, when I came into this I expected it to be a lot more low key. I expected some days off, living a normal life while owning this business. But then you open up and see the response you get from everybody and you realize it’s just not gonna be what you anticipated.” The operation’s rapid growth, meant Spencer had to learn to adjust quickly. He says, “I came in very naïve, but right away my eyes opened to what this could be and what it means to own a business. Adaptability has been the key. I think the biggest learning curve for myself personally as a young entrepreneur was listening to those around me and being able to adapt.”
Friesen’s Family Bakery and Bistro
you’ve really taken it beyond that haven’t you? Natasha: I think it has really evolved. We wanted to make quality products from the beginning, and source locally whenever possible. We knew that was something really critical to us. And in my world, my day job, I have seen it is hard for restaurants to do that. We were really fortunate because our head chef Sarah Haayer, was already doing that. That’s the way she cooks at home. Her vision is to use fresh, locally-sourced ingredients. So it was easy from that perspective as she was already on board with it. But that was only part of it. We are in Minnesota so we don’t always have access to fresh fruits and vegetables, so from a systems approach it’s been a challenge. We’ve been able to systematize it though with help from The MVAC Food Hub. That partnership has been critical. Before, Jay Weir Locally Sourced
Local Connections:
Farmers The MVAC Food Hub located on North Victory Drive in Mankato is southern Minnesota’s first and only nonprofit local foods distributor. Now in its third year, the Food Hub strives to develop new markets for locallygrown foods by purchasing fresh vegetables from local farmers, then washing, packing and processing them for pick up by consumers. “Locally sourcing is not a fad. People are becoming more conscious of where their food is coming from,” says Joe Domeier, director of the MVAC Food Hub. The Food Hub supports around 20 farmers within a 50-mile radius of Mankato. Domeier says, “This helps ensure our small, local farmers are getting paid a living wage for their food because they work hard. I don’t know many people that work harder than produce farmers.” Before the MVAC Food Hub, when local institutions purchased food, most of the money flowed to large corporations outside of Minnesota. The food hub now directs those dollars to local, smaller farm families. Families who shop in our communities, send kids to our schools, and pay state and local taxes. Visit www.mnvac.org for more information.
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Locally Sourced
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Sarah was actually going to different farmers to get the product. Now with the MVAC Food Hub just up the road and able to deliver to us, that has been a great step in that process. Because of that, we are able to expand our locally-sourced options. And with our kitchen expansion, we are now able to source pork from right down the road. So, that was the original idea, to have locally-sourced food products and be able to support local farmers and producers. But now our local source vision is so much more than that. From a strong early relationship with Greater Mankato Growth, to getting our bikes from locally-owned Nicollet Bike Shop, or going to Tune Town to
Locally Sourced
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When Friesen’s needed more space for an expansion, Tony and Natasha bought the building at 515 S. Riverfront Drive in Mankato. They embarked on a quarter of a million dollar renovation of the place. Now dubbed Frost Plaza, in part to recognize the leadership both Natasha’s parents have played in the Mankato community, the couple stuck to their commitment to support local business and used 17 local vendors. They include: Alliance Ayers Masonry LLC Bellissimo Paint & Coating Blinds & More Drywall Unlimited Guaranteed Electric Service, Inc. KRI Kato Moving and Storage Company Mankato Computer Repair Northern Comfort Old Fashioned Carpentry, LLC Redline Signworks Ross Thate Custom Welding Schwickerts Strange Design, LLC The Tile Guys, LLC WW Communications
Friesen’s Family Bakery and Bistro
get records, we are committed to supporting local business in the way we shop for non food items and personally as well. Tony: Can I interject? There is something I’ll never forget. One of the things I saw two years ago when we got our first batch of rhubarb from Lisa Coons, Lisa came in to drop off a whole big bunch of rhubarb so we gave her lunch for her and her family as a thank you. We then posted on line that we had locally-sourced rhubarb muffins and it was like a swell of people coming in! They were so attached to that and that was probably the moment for me that I realized that the fundamentals that we believed in, that were just us and part of what we do, also had a lot of potential as a marketing tool. A very genuine marketing tool. It’s not having sales, it’s not offering stuff half off, it’s not clearance. It’s just this very genuine thing that we would be doing anyway. We are so committed to it, I get excited when I can locally source our light bulbs at Denco! When you can look at it all the way down to that, just think what we can do as a community. Yes, just imagine if the region committed to buying from each other, what a strong, vibrant economy could be created. But is that feasible? Isn’t there a higher cost for you in doing that? Tony: Well, take honey for example. I could buy a 50-pound pail of
Locally Sourced
Local Connections:
Suppliers Friesen’s Family Bakery and Bistro proudly locally sources from the following vendors: B&B Specialties B. Stark & Co. Beans Coffee Company Compart Duroc Curiosi-Tea House Denco Lighting Goodtimes Manufacturing Hilltop Florist KC’s Best Wild Rice MVAC Food Hub Moody Bees Honey Red Feather Paper Co. Valley Veggies SEPTEMBER/OCTOBER 2016
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Locally Sourced
“I believe our strength and what has made Friesen’s as strong as it has been have been the partnerships and commitments that we’ve made to locally sourcing.” – Tony Friesen honey for $126 or I could buy a 50-pound pail from a local, smaller producer for $154. That extra $28 I spent stayed in our economy and supported that family. From a customer point of view, I would personally rather spend an extra 75 cents on my lunch and know it supported families that live in my community. Natasha: And also, we know how that honey is made. That’s the other thing, if you understand how and where your food comes from you can make better choices, healthier choices. Spencer’s generation is leading that movement in many communities around the country. Spencer: Truly, my generation wants to
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know where their food is coming from and not only that, but who are the owners of that business. And we really want to be invested and stay connected to the community we are living in. There is growing understanding that we can’t just stay connected through social media, we have to stay connected in a personal, really fundamental way. I think Friesen’s is a part of that movement because we are connecting with other businesses. It seems that in order to make those principles you’re founded on work, you need those connections with other businesses. Tony: I believe our strength and what has
SEPTEMBER/OCTOBER 2016
made Friesen’s as strong as it has been have been the partnerships and commitments that we’ve made to locally sourcing. And for others interested in it, I would say to just start somewhere. For us it started with wanting to support Valley Veggies near Lake Crystal, then it moved to Moody Bees Honey and Curiosi-Tea House, those sort of things. Just building partnerships every chance we can, like our partnership early on with Prairie Pride. And now we see others joining in. Take Blue Bricks for example. They came to us and said ‘we want to partner with you’ and now with that partnership, we deliver fresh breads daily. And that has rolled into partnerships with Best Western, with Bonfire, with the Eagles Nest in Eagle Lake. The Verizon Wireless Center recently came to us and now we have an agreement to do the meals for the artists that come into town for the summer concert series at the Vetter Stone Amphitheater. They want to show those visiting our region, what we
Tony Friesen, Natasha Frost and Spencer Vanderhoof | Friesen’s Family Bakery and Bistro
can do locally and that we are putting that extra care in. So when I sit down and I talk to anybody about their business, I will always tell them what will strengthen their business is making partnerships. Natasha: And it all goes back to the business model. Lisa, you mentioned just imagining a Mankato region where we all put extra dollars into our local businesses. That would be great because that would mean those dollars stay here and support families here. If people will shop here, those dollars won’t leave our community and it just feeds back in. It’s a loop that can build a really strong, vibrant community. That is money that can be put back into quality of life and infrastructure like trails, education, safety, it all falls down the line. So, I think we are really developing strong partnerships not just for our business model, but just supporting each other
as local businesses. That’s been fun to see as well, because it’s not just shopping, it’s problem-solving together and cross promoting each other and celebrating successes of our neighbors. I mean when Jenn at The Coffee Hag recently won some awards, we were thrilled and it was great to celebrate that, a victory of an amazing, local small business owner. So it’s just finding those ways to support each other in our community. It seems maybe the tide is turning away from the so-called Big Box stores. Spencer: My generation, those in their early 20s, have grown up with kind of a chain focus. Mankato, I believe, started as a chain place but now it’s starting to have a different feel, especially in Old Town, with The Coffee Hag and Nicollet Bike Shop. You see people of all ages really starting to understand that not everything comes from
Locally Sourced
True Family Business To say Friesen’s Family Bakery and Bistro is a family business is an understatement, especially when you consider they think of many as “family.” It all started for Tony and Natasha back in high school. Natasha says, “Tony and I were high school best friends and actually that lasted through his career moves with Hy Vee all over the Midwest. And when I decided to move, he helped me move to California 15 years ago! We reconnected at our 20-year class reunion four years ago. It was fun to settle into a new sweetheart relationship. We had a history together and knew each others’ families. Family is very important to us. We are close to both of our families. Going into business together was an exciting addition to our journey together!” As their journey continues, their family grows, which now also includes friends and community members they’ve met along the way. Natasha says, “This is a true family business. I mean, you can go out front and see Tony’s dad helping at times. My family is very invested, too. My sister, Nicole Lange, is the accounts manager and jack of all trades. She is an invaluable member of the management team. Spencer brought in friends that have a strong work ethic as well to help us as we’ve grown. So that’s another reason we’ve been so successful, we’ve been able to bring in these different family, friends and community groups to help support us as we move forward.”
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Walmart or Sam’s Club. The local factor is coming back very strongly, and I think that Friesen’s has been a large part of that. Locally sourcing is just one of your passions, the other is zero-waste. Natasha: So zero waste from a catering aspect is to minimize products that go into the landfill. We do this by having reusable plates and silverware, and by having a compost stream for the food that’s left over, which is actually very little since our food is so wonderful! But food and paper products we compost and we recycle. We ensure and think critically about limiting food waste from the beginning but any we do have is going into the compost stream, so it gets put back into our environment. And then with recycling that leaves very little garbage that goes into the landfill. Composting is critical because sometimes our eyes are bigger than our stomachs, and so we might have some food waste. It’s exciting to see Mankato expanding in that realm as well. We now have composting for all residents for free in Mankato. Whereas we’ve been composting since the day we opened. Again, that was part of our business model, to ensure all goes back into the soil to provide nutrients for the products we buy from local farmers. A lot more businesses are doing it now and its easier now for residents to get that waste back into our system as well. I know you said you got input from other businesses before you opened. Are you now rubbing off on other businesses? Natasha: Oh yes! Tony: Without a doubt. Natasha: I think the locally-sourced approach for sure is spreading. It’s funny because it was part of our business model from the beginning, but it’s just been how we’ve shared those stories that’s been key. It’s all about how we communicate with our customers so they know what they are getting. I think that’s where we’ve gotten a little more savvy, is telling our story. And zero waste is at the heart of what we do, inspired by Mom and Pops as they also had that as part of their business model. We
Tony Friesen, Natasha Frost and Spencer Vanderhoof | Friesen’s Family Bakery and Bistro
“If I had another business owner come in and tell me that they were better at customer service than we are, I would be excited to go shop at their store to learn from them.” – Tony Friesen are excited that other businesses are coming through and thinking about zero waste. It’s really important for our community to understand the waste system and to ensure we have a healthy environment for those growing up behind us, for when they get to be our age. So education might be considered another thing you do! Natasha: And impacting future generations because we now have this phenomenal partnership with Here We Grow. The kids there are a part of our composting stream. The food the kids leave on their plates goes into a composting bin that we bring back here. It’s exciting because they are seeing how it works. They are truly the next generation and we are helping be a part of showing them the value of local sourcing. They have a garden and we are incorporating it into what we offer here. Tony: Here We Grow is a great example of one of the partnerships we were talking about. I am anxious to see where it can lead. Elizabeth from Here We Grow represents another small business owner that is run-
ning a business on fundamentals. Putting fundamentals ahead of many other things, and for her to be able to serve kids locallysourced foods family style is amazing. They have a garden, so we can take an afternoon and pick green beans with them, then bring it back here, prepare it and the next day show them the whole farm to table from dirt to plate. That’s exciting to us to add that education aspect for those young learners. The third key component of your business model was exemplary customer service. Tony: It is such at the heart of what we do. When we interview, we tell people in the interview that our standard is that we have better customer service than anyone else and that is our standard. If I had another business owner come in and tell me that they were better at customer service than we are, I would be excited to go shop at their store to learn from them. When you set that standard from the beginning with your new employees, they come in and see owners on site, they see owners that greet the customers and take a personal involve-
ment. You don’t stand a chance of walking in here and then back out the door without knowing we care about you. Spencer: The people that are coming in to interview have to know the mindset that this is such a small interconnected place. There has not been and hopefully will never be a time when the owners don’t know who an employee is. Being so tight knit, we see everyone that comes in. Anyone that works for us, has to pay attention to that. I say people can go anywhere for a baked good but they come here because our customer service is a high standard, our most important aspect because that’s how we keep them coming back. With the big box stores sometimes you get lost because of the scope of what they are doing. Our scope is smaller, and if we can be an example of good customer service in Mankato, well then, we’ll be proud of that. Listening to customers is also how you knew what to do as you expanded. Tony: In the first three or four months, the things we heard the most were the need for more seating, the need for gluten-free
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items and the need for some sandwiches so we could have more lunch options. So we rented more space and made those adjustments by adding more seating and a pantry so we could expand our menu. Not surprisingly though, we filled that up quickly! Then requests started coming in for catering. With understanding catering meant selling to such a large number at one time, Friesen’s as a company was faced with a decision that we needed to build a full-scale kitchen, a kitchen that would be comparable to anyone’s kitchen in town. So that meant expanding again for the third time in less than two years. Tony: Yes, we started looking around at different buildings that might be for sale for a production kitchen in the area, but we still had the desire to stay in Old Town. We ended up talking to our landlord at that time, Mike Brennan with Brennan Companies, and made on offer on the building we were already located in. We expanded from 1300 sf to now just over 5000 sf! We built a catering kitchen that has a separate dish room, walk-in coolers and freezers, plus a separate gluten-free production area. And the gluten-free area is important to us. That was a big request from our customers. In fact, that has almost become a signature item for us, that we can produce gluten-free on site, and the items aren’t ordered in. We are the only place from here to Rochester to the cities that actually does that. Besides the kitchen, we built conference rooms in the back of the building with the ability to house up to 50 people. Sitting in the area now, it seems you try to pay a lot of respect to the first life of this building. Tony: That was critical to us. The building was originally a creamery built in 1923. Then from 1960 to 2014, when we came in, it was offices. We like to think it’s coming into its third life. It’s a retail setting again. A large volume of people come through the doors each day. We wanted to take this back conference room and pay respect to the first part of this building’s life. We’ve done that with some historic pieces that are located in the building and we have some original pieces, such as the boiler and a door face.
Tony Friesen, Natasha Frost and Spencer Vanderhoof | Friesen’s Family Bakery and Bistro
Even in the renovation process, we stuck to the model of local sourcing. We invested a quarter of a million dollars in this building using local banks, MinnStar, Profinium and Minnesota Valley Credit Union. And we used 17 different local contractors. That’s our commitment to the community. Natasha: In fact, we have Ayers Masonry outside right now working on our drainage system. Even the table we are sitting around was built by Old Fashioned Carpentry. As the southern Minnesota region continues to grow, I see this as a way for the area to keep its “specialness.” Natasha: Yes, we have strong ties with local small business owners, because we are a small business. But we also have strong partnerships with big business like the ones we’ve mentioned, Best Western, Verizon Wireless Center, so we want to provide a support network for other small businesses because the big guys have their own level of support. But I do want to ensure that part
of what we are doing is having an influence on big business as well. Tony: Verizon sought us out. They came to us because they had a meeting with the heads of their local people in charge discussing concessions and how to make concessions better. Well, one of the things they talked about was the buns. Well they can make the buns better if they got fresh baked buns. And that led them to us and from there we got into communications about how to make it better for the artists. So it was decided to offer locally-sourced catering to them. Verizon is a huge corporation but it’s made of people who live and work here. Us talking about locally sourced I believe had an affect on one of their meetings and that came back to us. So, while a lot of our partnerships are with small businesses and that’s who we want to build up, we also have an appreciation for the people that work in the local offices of big business because they are a part of the community, too.
THE ESSENTIALS
Friesen’s Family Bakery & Bistro Phone: (507) 345-4114 Address: 515 North Riverfront Drive Mankato, Minnesota Web: friesensfood.com
Any final thoughts? Advice for our readers. Spencer: The biggest thing I could say is don’t limit yourself to your expectations because they might end up exceeding what you imagined! Just be ready to roll with the punches and whatever things may come. Be able to adapt to what the consumer wants and what the public is giving you as a response. Then you can be a part of something very special. Editor Lisa Cownie, also of KEYC News 12, writes from Mankato.
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Sam Bloedow founded New Ulm-based IT company Thriveon at age 21. Later, he brought his entrepreneurial family onboard and Thriveon began to grow. By Erin Dorney Photo by Kris Kathmann
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I could begin this article with a lot of very impressive buzzwords. The world of information technology (IT) is chock full of them. Innovation! Sustainability! Agile! Synergy! Big data! Instead, I’d like to introduce you to the Bloedows (pronounced Blay-doh, like Play-doh), the family force behind Thriveon (pronounced Thriv-E-on, like,well, like nothing else). Thriveon encompasses all of the above and more. Headquartered in New Ulm with additional locations in Grand Rapids and Bloomington, Thriveon is a family-owned IT managed services company that provides businesses technology leadership and proactive IT strategies for growth. With a roster of 20 full-time employees, up from 14 in January of 2015, Thriveon helps companies with 15 to 500 computers improve how they leverage information and technology to achieve business success. Thriveon’s current focus is growth. “We have a goal of growing at a rate of 30% year over year,” said Sam Bloedow, Founder and CEO. However, the company will not grow at the expense of the experience they provide to their clients, as can often happen with companies who grow quickly. This dedication to the client experience is an aspect that distinguishes Thriveon from other managed IT service providers. Through their proprietary Information Technology Strategy (ITS™) model, the company spends a significant amount of time interfacing with clients about business goals, mission, alignment, and continuity , providing a roadmap that moves beyond support to a strategy for growth. It’s a system that takes the hassle of managing IT off the plate of business owners who just want to focus on their true passions. There’s a whole clan behind this sustained success; in addition to Sam, his father Steve serves as President, his mother Judy in Inside Sales, and his younger brother Jake is Service Manager. continued > SEPTEMBER/OCTOBER 2016
Sam Bloedow, founder and CEO of Thriveon.
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The Thriveon Origin Story Sam Bloedow founded Thriveon in 2002, when he was just 21 years old. He was born in Sleepy Eye, Minn., a town of approximately 3,500 people located 14 miles west of New Ulm. “I’ve always been interested in entrepreneurship and running a business,” he said. “When other kids would be playing games, I was playing run-abusiness. Early on I would do things like create a business plan and figure out what I could sell to the neighbor kids.” Sam started building and fixing computers out of his parent’s basement in high school, taking advanced IT certification classes and exploring technology as a hobby. Initially, he planned to become a CPA, until he shadowed one for a day. “I realized that what I liked most about what the accountants did was how they used computers, and how the computers they used provided value to their organization. That’s when I became interested in how IT was being leveraged to help the business,” he said. Sam also noticed that there was a lack of IT support services for businesses in his region, and that’s when his entrepreneurial mind clicked into place. Over the years, Sam had observed both of his parents running their own businesses. Steve owned an electrical contracting company for 20 years and Judy had a Curves gym franchise. “I grew up in what I consider an entrepreneurial family, liking the idea of operating a business and helping other people,” said Sam. Their own business successes allowed the Bloedows to support Sam’s vision for the company. “I didn’t have any concerns about it, knowing that I had restarted a business basically from scratch and made that work and that Judy had taken a Curves business that was in the tank and in two and half years turned it around and made it very successful,” said Steve. “I had my office at home so he was pretty well aware of how it works. It’s not 8-5, Monday through Friday. When the phone
Nurturing IT
Getting to know you:
Sam Bloedow Birthplace: Sleepy Eye, Minnesota
220 South Third Street St. Peter, Minnesota Phone: 931-3310 nicolletcountybank.com
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Education: An Associate of Applied Science (AAS) degree in Computer Systems Networking and Telecommunications from Brown College. Family: Wife Jessica (a Pharmacist), sons Alex (8) and Jonathan (6), daughters Elizabeth (4) and Adeline (9 months). Hobbies: Jet skiing, swimming, coaching baseball, helping with team hockey.
Thriveon | New Ulm
rings at three in the morning you get up and move,” he added. And although he loved computers, the idea of helping other organizations grow was the most appealing aspect to Sam. “Empowering people to create business success with information and technology was really the underpinning of it all,” he said. So, What is Managed IT? Small- and medium-sized businesses come to Thriveon for a number of reasons; IT takes up too much of their time; they want to improve the technology experience for their staff, or they feel stuck, frustrated, or uncertain about the security of their business information. Bottom line, IT is holding them back in some way. “We provide an entire IT department as a service for a fixed monthly fee,” said Sam. Thriveon starts by sitting down and discussing business plans with owners and executives and coming up with a roadmap that will help them achieve their goals through information and technology. “That could come in the form of needing a new line of business applications. That could come in the form of rolling out a new location,” he said. Thriveon’s expertise is that they understand the infrastructure and essential foundations that IT needs to be built
on in order to work for an organization instead of against it. When that foundation is in place, it becomes possible to use IT strategically. The company takes time to understand their clients’ goals, to guide them so that they get the most out of their IT investments. Businesses often feel like they have only two options with regard to IT: outsource support or hire internally. In many outsourcing situations, companies feel like the support company never really understands their business. When building out internal staff, companies can find themselves distracted from their main line of business because they have to also be in the IT business. Thriveon provides a third option. “We can come in and plug in as an entire IT department—top-down, with all the management structure, the processes, systems, and outcomes in place,” said Sam. The company is also highly credentialed, one of only three managed service providers in Minnesota to receive the CompTIA Managed Services Trustmark. The certification is an indicator of adherence to industry best practices and sound business management. To receive the trustmark, Thriveon was externally evaluated on aspects of operation such as organizational structure, technology tools and systems, standard operating procedures, code of conduct, and customer testimonials.
Founder Sam Bloedow (foreground) with brother Jake and parents Judy and Steve. All are employees of Thriveon. SEPTEMBER/OCTOBER 2016
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Family Dynamics Thriveon manages over 1,500 desktops and a few hundred servers everyday, with about 40 clients. “Our smallest customer today has 5 computers and a server. Our largest customer is at 260,” said Sam. However, the responsibilities do not fall on his shoulders alone. In 2005, Sam’s father Steve joined the company as President. The two are 50/50 partners in the business. 2008 saw the addition of Judy in Inside Sales and in 2009 younger brother Jake joined the team. While the idea of being in business with your family members might be terrifying to some, the Bloedow’s make it work with stunning
Nurturing IT
Developing IT Trends FAMILY OWNED SINCE 1927
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One of Sam’s responsibilities as CEO is to keep an eye on IT trends developing throughout Minnesota and the rest of the country. As someone involved in building business processes and structures that also include the ability to pivot fluidly, keeping a finger on the pulse of IT is imperative. Increase in overall risk: “Organizations are growing more reliant on technology without growing more mature in terms of how they manage that technology. They have more “eggs in the technology basket”, and if technology hiccups or goes down, that affects companies more than it ever has before.” Increase in security threats: “Three years ago there were some isolated threats but the general perception was that people were only going after ‘the big guys’ so as a small business owner in rural Minnesota, who am I to be the target of some kind of attack? Unfortunately, that’s not how it works. Hackers are now broadcasting a really wide net in the hopes of catching somebody. The more somebodies they get, the more money they make. The ones who get hacked into are the ones that are most vulnerable, which often translates to small or medium sized businesses who have assumed that everything is okay and things are just business as usual.”
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SEPTEMBER/OCTOBER 2016
Thriveon | New Ulm
“We can have open conflict and then move past it quickly and get onto the next thing. Or, get together and grill out for supper and not have that conflict anymore,” – Jake Bloedow smoothness, and with a few tricks up their sleeves. For one, Sam and Jake don’t refer to Steve or Judy as Mom or Dad in the office. “One of the things that helps us work well together is that we have clearly defined roles and responsibilities. I think that helps keep it fairly clean,” said Sam. “We can have open conflict and then move past it quickly and get onto the next thing. Or, get together and grill out for supper and not have that conflict anymore,” his brother Jake added. As with any business that has experienced significant growth, trust is imperative, and is just one benefit Sam sees in bringing his family onboard. “You need to invest in and focus on trust and team building. Some of that is already built in with the right family members,” he said. The Bloedows tend to spend time with each other outside the office a lot more than most families. “It’s neat because we’re together all the time here, yet we like to spend time together as a family after. Family time is important to us,” said Judy. The importance of family was a value
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Nurturing IT
Advice For Young Entrepreneurs “Chances are your vision for where you want to be is much bigger than your ability to get there today. Take the time to celebrate the wins you have, to enjoy the journey of getting there. Doing that will inspire you to go even further, to continue investing in yourself. If you’re going to go down the path of entrepreneurship, you need to be willing to change and mold who you are over time, constantly be learning new things and developing yourself at a rate greater than the business is growing, so that in turn you can do that for your team.”
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Nurturing IT
The Bloedows tend to spend time with each other outside the office a lot more than most families. “It’s neat because we’re together all the time here, yet we like to spend time together as a family after. Family time is important to us,” said Judy. instilled on the Bloedows throughout their upbringing, with regular summer and winter vacations and suppers together every night. One of the challenges to having everyone in the same building is not letting their work consume family time once they leave the office. “Maybe the hardest thing is trying to get away on vacation together,” laughed Judy. “I agree, sometimes when we are trying to be off the grid we can’t avoid discussing or conducting business,” added Steve. Company Values and Workplace Culture Another unique aspect of the business is that Thriveon focuses on its employees just as much as its clients. Being intentional about where they’re going as a company, what they offer, and how they behave has attracted a certain type of employee to help Thriveon’s growth. “Is it the stereotypical IT person who sits in a back room and never talks to people? Nope, it’s not,” said Sam. “We’re bringing in employees who enjoy working with other
people, who enjoy the challenge of helping a business accomplish their goals.” The company recently earned a spot on the 2016 list of 100 Best Places to Work in Minnesota, their second time on the list as they were also included in 2014. Compiled by Minnesota Business Magazine, the list is determined by the scores of an anonymous online questionnaire filled out by the employees at each nominated company. Once employees are brought onboard, Thriveon invites them to become part of a trusting and supportive family. Staff develop career roadmaps, working on a monthly basis to identify development opportunities and goals. The workplace culture is one that recognizes and encourages teamwork and collaboration and rewards high performance and continuous improvement. Thriveon hosts holiday parties, summer get togethers, and regular potlucks at the office. “It’s important that the employees know that family is important. That they can take time off for their children’s games,
that really does come first,” said Judy. The company is flexible, willing to try things and see if they work or not. “Building a growing company, we need to be open to change, constantly questioning what we do in a positive way with the idea of continuously improving,” said Sam. “Building processes and systems so that we create a consistently great, repeatable customer experience is important. At the same time we make sure that everybody is open to challenging that experience, looking for ways to make it better.” This intentionality is confirmed by the positive feedback Thriveon receives from many of their customers. In the IT world, it’s common to get negative feedback, a double-edged sword of “What am I paying you for if the technology is broken?” and “What am I paying you for if everything is working?” Customers consistently tell Sam how easy Thriveon is to work with, expressing appreciation for their listening and communication skills. Theirs is a service
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Thriveon | New Ulm
THE ESSENTIALS
Thriveon Phone: (507) 359-6451 Address: 210 South 20th Street New Ulm, Minnesota Web: thriveon.net Facebook: Thriveon01 Twitter: twitter.com/Thriveon1
that relies on trust, clients are sharing competitive and confidential information with Thriveon in order to help them understand business needs and goals. Technology can be a particularly touchy subject if not handled delicately. So much of modern day business relies on it that it can sometimes be embarrassing or intimidating for an owner to say that they don’t understand how something works. At Thriveon, a focus on relationship building aims to overcome those fears, helping clients open up so that technology can be approached proactively instead of reactively. A Family Legacy Although the company does not have a stated spiritual component, the Bloedows are faith-filled. “Definitely where the company has come from, I think, is based off our faith. We all went to church last night, randomly, not knowing anyone was going to be there and all sat together,” said Jake. “We do that a lot,” his mother added. “We all line up in one pew.” For Sam, the most rewarding part of this business is helping people grow. “Within the organization, helping employees develop in their career and achieve the successes they’re looking for in life,” he said. “And doing that same thing for our customers and their business, helping them grow and achieve their goals.” When I asked Sam about what he hopes to pass on to the next generation of this family-owned business, he paused thoughtfully before answering. “They’re so young, it’s too soon to tell,” he said. “It’s probably more about teaching them some of the things that I’ve learned through building a company, so that whatever they decide to do, they hold that knowledge.”
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I
EXPANSION GRAND OPENING CELEBRATION Thursday, September 1, 2016 Free and Open to The Public • • • • •
Festivities Begin: 2:30 p.m. Speakers: 3:00 p.m. Ribbon Cutting: 3:20 p.m. Tours: 3:30-6:30 p.m. Alive After 5 – Music on the Plaza: 5:00-8:00 p.m.
n September, culmination of plans set in motion May 15, 2014, with the approval of a $14.5 million bonding referendum, will be realized with the grand opening of the Verizon Wireless Center Event Center. The entire project included an arena remodel, to provide a home base for MSU men’s and women’s hockey, a new space for concerts, conventions and trade shows, and an outdoor gathering area. The arena renovations were completed first to be ready for the beginning of MSU’s 2015-16 hockey season and included remodeled men’s and women’s locker rooms, new office spaces, and training and conditioning facilities. A state-of-the-art center hung scoreboard was added to complement the renovation. The rink is available from September through early April, and with the Event Center completion, will be covered fewer times each year during major concert events. This will be accomplished by moving events formerly held in the arena to the newly completed space; resulting in better ice quality because it will not be necessary to cover it so often. The new Event Center is able to seat just over 2,000 and features a large auditorium with retractable seating, which may be used for a variety of concert and performing arts events, comedy performances, trade shows and tournaments, large parties, and conventions. New flexible breakout rooms and an expansive second floor lobby enhance the new space. The second floor lobby features outstanding views and some great features and is sure to become a popular place for pre-function activities.
The added space brings new challenges for civic center staff; training on new sound and lighting equipment, procedures for placing the orchestra shell, extending and retracting the seats, creating new room layouts, to say nothing of the logistics of managing events scheduled in the new space and pre-existing space simultaneously. Verizon Wireless Center has an extremely competent and organized full-time staff in addition to part-time employees who have been with the facility for many years and staff is confident we can make everything happen. In 1995 the civic center opened its doors; in part, constructed to provide home ice for MSU hockey and to revitalize downtown Mankato. Downtown has since become a vibrant and dynamic environment; a new hotel was built, new restaurants added and many businesses have located to the downtown area. The Verizon Wireless Center currently generates in excess of $42 million annually in economic impact and that number will most likely increase with the expansion.
Upcoming Events at the VWC Event Center Brandi Carlile Friday, September 2 Martina McBride Friday, September 9 Tech N9ne Thursday, September 15 MSO, Music of Led Zeppelin Saturday, October 8
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Minnesota State Mankato Strategic Partnership Series
Growing Together The Partnership Between Eide Bailly and Minnesota State University, Mankato’s College of Business Creates Real-World Learning Opportunities for Students and Keeps the Firm Connected to a Pool of Qualified Talent. When Luke Howk is working on a new project or opportunity for students at Minnesota State University, Mankato’s College of Business, one of the first calls he makes is to Eide Bailly. Howk, the Internship and External Partnership Coordinator for the College of Business, knows that the Mankato-based accounting firm can be counted on to assist in developing new initiatives and supporting existing programs. “Eide Bailly is always ready and willing to help,” Howk says. “They’ll come talk to the marketing club. They’ll make a presentation to the entry level accounting classes about possible career paths. They’ll help us develop new opportunities for our students. Whenever we need help, Eide Bailly is there.” There’s a reason the firm is so eager to be involved. More than half of the staff in the Mankato office are Minnesota State Mankato alumni. Many of those started at Eide Bailly as interns and were then hired full-time after graduation. Developing those future employees starts by participating in their education. Which is why Eide Bailly hosts back-to-school socials for students, why it participates in the annual Meet the Firms day, why it hosts a booth at career fairs on campus, and why it invites students to its offices for Meet Eide Bailly day during busy season. Continued > SEPTEMBER/OCTOBER 2016
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“We look for and appreciate any opportunity In Touch with Technology we can have with students to talk with them Technology is present in almost every interand prepare them for what might be in store action at Eide Bailly. Accountants bring laptops for them in their future careers,” says Ben to client meetings. Clients share documents Ellingson, partner-in-charge at the Mankato electronically through a secure online portal, office. Technology, he says, is one of the main and internal communications are often shared topics of conversation. “We stress that they won’t electronically as well. Meeting rooms all have just be using a pen, paper and highlighter anyvideo conferencing capabilities that provide more. Interns who work with us get hands-on easy connections to other offices and Skype is experience with the software and technology frequently employed to hold meetings on the fly. they will use as accountants.” But other industries use technology in difThe best way to get that hands-on experience ferent ways too—and Eide Bailly has to be is through internships, which allow accounting up-to-speed with that too. “How businesses use students to gain real-world experience in the technology becomes part of how we serve them field prior to graduation. Minnesota State as business advisors,” Ellingson explains. “Our Mankato has strong partnerships with several firm now has an entire technology consulting accounting firms in the area, and internships are service that helps clients choose and implement an important part of each of those—including technology that will help them in all aspects of Ben Ellingson Eide Bailly. their business.” Last spring, five Minnesota State Mankato That’s why it’s critical to Ellingson that students worked as interns at Eide Bailly during accounting students understand how to use the annual busy season from January through April. Those interns technological tools and are prepared to employ them when they helped prepare financial statements and tax returns. They particicome to work at Eide Bailly. Certainly, they still need to know how to pated in internal communications and attended meetings. But first, use a 10-key and be proficient keyboarders—but there’s much more Ellingson explains, they went through an on-boarding process involved now. “Technology has created a need for us to be adaptable intended to set them up for success. “Everything from an office tour and stay on the cutting-edge to help our clients,” Ellingson explains. to meeting with the staff for an informal lunch to training sessions of But he doesn’t expect students to arrive already understanding the applicable software they will be using,” he says. Howk is impressed by the quality of internship experiences that Eide Bailly offers students. “They go the extra mile to make sure that More often than not, internships students have mentors who work with them, that they have access lead to jobs. “Accounting firms to leaders in the firm and that they have opportunities to network as well. It’s a full-circle experience that truly helps them when they use internships as part of the start to practice themselves.” evaluation of potential new hires; More often than not, internships lead to jobs. “Accounting firms it’s part of the hiring process.” use internships as part of the evaluation of potential new hires; it’s part of the hiring process,” explains Brenda Flannery, dean of the College of Business at Minnesota State Mankato. “Most accounting students are hired after their internship.” all of it. Instead, he looks at internships and other programs with That’s one of the reasons that many Minnesota State Mankato Minnesota State Mankato as opportunities to share the kind of students seek out internships at Eide Bailly: they want to end up specific, real-world information that will prepare them for their working there after graduation. As a top 25 accounting firm with professional careers. “From preparing financial statements and tax 29 offices in 13 states, Eide Bailly has a reputation for being a caring, returns to internal communications and meetings, interns will have compassionate firm that encourages its 1,600 accountants to get the opportunity to use and learn the technology tools that help us involved in their communities. Flannery knows of at least a few deliver the service our clients expect,” Ellingson says. current students who came to the University specifically because Howk sees that as one of the biggest benefits the University’s they knew it has a strong partnership with Eide Bailly. “They already partnership with Eide Bailly offers to students. Not only are they know that’s where they want to work,” she says. “They know that learning about possible career paths and networking with business it’s a firm that puts people first, and they want to be part of that.” leaders—they are learning how to put everything they’ve learned 38
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Not only are they learning about possible career paths and networking with business leaders—they are learning how to put everything they’ve learned into practice.
into practice. “They have the opportunity to apply what they’ve learned in the classroom in the workplace,” Howk says. “That realworld experience is one of the biggest benefits of this partnership for students.” The learning, Ellingson adds, goes both ways. He says that he and his partners find themselves picking up new ideas from the students all the time. “They often help spark new ideas and connect us to new resources,” he says. “And more than once, they have introduced us to new or enhanced technologies, too.”
Sense of Community The partnership between Eide Bailly and Minnesota State Mankato has grown considerably in the past four to five years, in part due to the number of alumni who have contributed to the firm’s growth and success locally. Those alumni appreciate the opportunity to stay engaged with their alma mater, and their firm encourages that. They recognize how important those employees are to their current and future success. “There are truly more ways than I can count that our Minnesota State Mankato alumni have contributed to Eide Bailly’s success and growth,” Ellingson says. “As a whole, they have brought knowledge, ideas, creativity, connections and enthusiasm to our office. They are able to work both individually and as a team to accomplish both large and small projects. Our Minnesota State Mankato alumni play an increasingly important role in supporting the firm’s initiatives in areas that will make significant positive contribution to our firm’s success.” So strong is the relationship that when Eide Bailly recently made a financial gift to the University, the alumni working there matched the gift. That sort of engagement, combined with the time and talents that they give year round, is remarkable, Flannery says. “They make this University a priority,” she says. “We are really grateful for this partnership with Eide Bailly. We consider them to be good friends as well as partners—it’s really a very special relationship.”
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COWNIE CONNECTION
As the deadline for this issue rapidly approached, I found Lisa Cownie myself with an acute case of writer’s block Editor when it came to this column. Panic was about to ensue. (And trust me, panic only tightens the grip and prevents any useful thoughts from getting through). So, on the eve of the deadline, I decided to just let go of the chaos in my mind, by going to the chaos of the KISS concert at the Verizon Wireless Center in Mankato. I joked with a colleague as I headed out, “Maybe the KISS fellas will have an epiphany for me!” They did not disappoint. No, I didn’t find inspiration in their lyrics, although I tried. But rock-n-rollin all night and partying every day really isn’t an option for me most days, but especially, I feel, on a Monday. Instead, I took hold of a few words Mr. Paul Stanley said from a platform way above my head. His words raining down on me from on high. “Mankato! Mankato, I know you are leaders, not followers!”
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Yes, Mr. Stanley. Yes we are. It was very perceptive of him to pick up on that in his short time here, as I am certain he doesn’t just say that everywhere he goes. He totally gets our “vibe”! The growth the greater Mankato area has experienced over the past decade is because of people here who lead. But it’s more how they lead that I would like to talk about. First, though, let’s take a quick look at some of the ways in which Southern Minnesota shows its leadership. #3 in the nation for Best Small Places for Business and Careers (Forbes 2014) #2 on list of Best Place in Minnesota for Young Families (North Mankato, nerdwallet.com, 2014) #5 Best Small City in America (nerdwallet.com, 2015) #9 Best Town to Raise a Family in Minnesota (Niche, 2015) #3 in the Nation for Affordable Healthcare (livability.com, 2014) #5 Safest Community in Minnesota (N. Mankato, movoto.com) #8 in the Nation for Work-Life Balance, (nerdwallet.com) Truly, the list of accolades goes on and on. For more visit www. greatermankato.com. Through my various roles in the community, I have had the chance to talk to and get to know many of our leaders. One of the things I admire most is that the region is brimming with business men and women using the work they do for the greater good of the community, not just their bottom line. Folks who choose to lead by
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sharing what they know with others; people helping people, working together, collaborating. That means at times the leaders are also followers, learning all they can from their neighbors. A thriving community is made up of people with varying skills, abilities, perspectives, and knowledge. Each person in a community has value. Each has a role to fill. Much like, I would imagine, a rock show. Sure, you have the performers that everyone sees. But for every one of them you have a multitude more behind the scenes. Those who handle equipment, lighting, the soundboard, and those who make sure the stage is safe. Just to name a few. Everyone has a role to play. And I have feeling if one of those areas needed help, someone would pitch in so the show can go on. Just like we do here. The stories in Connect Business Magazine are examples of how business leaders succeed by working together. And lead by getting input from all those with a vested interest. An example of that is happening in Fairmont. Community leaders coming together to figure out what is needed in Fairmont to attract business and talent, and how to address those needs. It’s a truly grassroots effort that is counting on those already working in the community to step up. Using talent already in place there, to attract new. For instance, the Fairmont Area Chamber and members of the Speakers Bureau are inviting organizations and individuals to speak to local groups. Areas of interest identified include: personal finance,
workplace/school violence, mental health, integration and diversity, employee engagement and retention, and entrepreneurship. The Speaker Series is funded through a Blandin grant, 4that has identified certain goals: to help make Fairmont a highly competitive community, to provide high quality instruction to our area professionals and citizens, to stimulate discussion and involvement on important community issues, to improve Fairmont’s quality of life through community education, and to create a coordinated series that makes Fairmont a better place. The city is already off to a good start. According to the Fairmont Area Life website, Fairmont has landed on the top of some prominent lists. • Ranked 10th in towns that take the least of your money • Ranked 13th in best places to start a business in Minnesota • Ranked 39th best town to raise a family in Minnesota So, I had to go to a rock concert to gain some clarity for this column. But as I think about it, I realize this certainly isn’t the first time a rock star’s words have given me direction. Mick Jaggar once told me you can’t always get what you want, but if you really try you can get what you need. I take to heart the words of Robert Plant who tells us there are two paths you can go by, but in the long run there’s still time to change the road you are on. I have no clue what next issue’s column will be about just yet, but I’m not going to panic. As I’ve always heard the very wise Bob Dylan say; the answer, my friend, is blowin’ in the wind.
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COLLABORATION CONNECTION — SPECIAL REPORT Sara Nett and Katie Boone at Envision Lab in Mankato.
Creative Spaces
By Lisa Cownie Photo by Kris Kathmamnn
Envision Lab spurs creative economy development It’s been eroding for years now. A “normal” work day is certainly not what it used to be. The decline of the “9-to-5” job that has historically defined our country’s workforce, is evident. Some working well before 9am and well beyond 5pm. Others, though, taking more control of their time, working when they want, and on projects that they deem valuable. Some experts say the freelance movement is the industrial revolution of our time. The Freelancers Union recently conducted a comprehensive survey of the U.S. independent workforce. The survey found there are 53 million people doing freelance work in the United States. That accounts for 34% of the national workforce. And 77% of those say the best days are ahead for freelancing. In fact, predictions are that freelancers will make up 40% of the workforce by 2020. Now, the traditional business community is trying to make this new way of working 42
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sustainable for all. Recognizing the shift in the workforce and trying to figure out how it fits into their world. As with so many other things it seems, the Greater Mankato area is on the leading edge of understanding this movement. Proof of that is Envision Lab. Located in downtown Mankato, it is the only one of its kind in the southern Minnesota region Connect covers. Envision Lab offers what is commonly referred to as a “coworking” space. But it is so much more than a building that offers innovative work spaces and private meeting rooms. Envision Lab is all about the people. It strives to facilitate collaboration, build connections, and leverage resources to foster business development in the region. The coworking movement espouses five core values: community, openness, collaboration, sustainability, and accessibility. The Envision Lab strives to give business development support to those who lack
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confidence and experience. The owners term it as creative economy development because they reach out to businesses that don’t traditionally go to the Small Business Development Center because they don’t know it exists, or don’t connect with Greater Mankato Growth and other chambers because they’re scared of the suits and ties. But to truly understand what Envision Lab is, you have to get to know the person behind it: its founder Katie Boone. While working in the nonprofit sector Katie was introduced to the Art of Hosting, a way of facilitating conversations that matter and that lead to wise action. She sees it as a way to collaborate and move things forward. She fell in love with the notion and decided it was time to jump ship from nonprofits into freelance consulting work based on that concept. She loved the freedom and flexibility of working from home, but it did pose a few problems.
“The challenge was I needed to get out of my sweat pants, and brush my teeth more frequently,” Boone laughs. “Whenever I was on Skype calls with clients, the doorbell would ring, or my mail would come and my dogs would go crazy. Often I was trying to do laundry and dishes and juggle all that. Plus, I just missed the rhythm of having people to work with.” Two and half years into her consulting practice she was accepted into a Harvard Executive Education program called Leadership Organizing Action, Leading Change. Boone reflects, “It was through the Art of Hosting community that I learned more about coworking spaces other colleagues in Brazil, Amsterdam and Nova Scotia had opened up. The Harvard program lead me to understanding the need to have a neutral space for people to meet and come together to address community challenges and opportunities. I knew that was what I wanted to do and I knew Mankato was ready for a space like that.” She let the idea brew in her head for about three years. “And then one night at 3 am I woke up and my brain would not stop. It just kept going. I felt this internal nudge to just go down to the garage. There’s a 16-foot-long white board down there, and I just started mapping out what I thought a coworking space could look like in our region. And at 3 in the morning, I go to my
“I could see how Envision Lab was starting to come into fruition. And I was like ‘huh, well why isn’t anyone doing this?’ And when you ask yourself that, that usually means you are the person who is going to have to take the risk.” – Katie Boone garage and I create a map and by the time the birds were up, I could see how Envision Lab was starting to come into fruition. And I was like ‘huh, well why isn’t anyone doing this?’ And when you ask yourself that, that usually means you are the person who is going to have to take the risk.” So with the help and guidance of friends and mentors, she did take the risk. And in March 2015 Envision Lab opened its doors. “I would say our first week we had 64 people that came through and that was with no advertising, strictly word of mouth and social media. There was a lot of learning that week, educating the 64 people on what the space was. So we saw all these people testing it out and then they went away and it was like crickets chirping!” So it was back to the drawing board in a way, and through lots of experimentation and constant change, today the Lab is thriving. “We were able to show people that the Lab is a place for them to experiment and try out their ideas without huge overhead
costs. And from June until October we saw a ton of new things happening with these businesses. Connections being made, ideas coming together, more business support coming in, from June through September we helped 15 businesses get started in 12 weeks. That got the attention of the Small Business Development Center. Now we partner with them on Start Up Labs, sessions that give people tools to get the spinning ideas out of their head and developed in a way that makes sense.” That’s when Boone also found a new partner to help her with the growing lab, her longtime friend Sara Nett. Nett was freelancing herself as a mixed media artist in North Dakota. “I had been working as a freelance artist for 18 years when I joined up with Katie. I was working as a community organizer in my hometown after completing the same Harvard program Katie attended.” Nett first came to Mankato for what was supposed to be a short visit to help Boone with some workshops. She ended up staying
Strategic Partnership Series SPONSORED BY: Connect Business Magazine, Radio Mankato and Minnesota State Mankato are partnering to promote southern Minnesota partnerships between businesses and organizations with MSU students and faculty. The goal is to highlight various industries to show the breadth of businesses in the region and how higher education is helping advance them.
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longer than expected. Nett says, “I had watched the process and evolution of it and when I visited, I thought, ‘Oh I’m supposed to be here’ and my husband must have sensed that because when I returned to North Dakota he immediately said, ‘we need to move to Mankato’ he even already had a list of houses to look at!” After years of working on her own, Nett had found a way she could work with others. “This is work that takes all the skills I have developed from my freelance work and married them into one thing that I can do with one organization. And I’m thrilled that now I can really build the type of change that is so necessary if we are to build sustainable economies for everybody.” That’s why the business community is starting to pay attention. Envision Lab, and other coworking spaces like it across the country, are helping to bridge the gap between entrepreneurs and big business. Nett says, “Our goal is to help spur creative economy development by getting all the voices to the table. Because right now one group works on one piece, and another on a different piece, but nobody ever sees what each other is doing. We want to build a network so everyone is on the same page.” Boone says, if successful, it could be a win-win for all involved. “We serve as transformational agents creating a system that will help make everything more
equitable and accessible for everybody. So my goal is to create a win-win: small business can be created and big business can benefit because now there is job growth and economic vitality in our community. We’ve got more diverse businesses getting ready to get started here, than I think I’ve ever seen anywhere.” Both Boone and Nett believe the coworking movement can help facilitate growth of young business, which will in turn help businesses that are more mature. Boone says, “One of the things that frustrates me the most is when I talk to people and they say, ‘well one out of 3 small businesses are going to fail within the first three years’ and I think, well isn’t that a selffulfilling prophecy? If we don’t have proper infrastructure and support for those start ups, how else are they supposed to succeed? We want to provide people that can help them navigate, and support them. “ To that end, Envision Lab just launched Small Growth Ventures, a collaboration with the GMG Foundation, that will help Boone and Nett with what they call, venture philanthropy. Boone explains, “Our community has people that want to invest in venture, so this is their chance. So our community now has a way to support these start-up efforts, without huge risk. The start ups will get prescreened through our partnership with
the Small Business Development Center, so they are legit. They have a plan, their financials are in order, they know what their next steps are, it’s the capital that is needed. So small micro investments from people who can use those at tax write offs and help things go a lot faster and we’re excited about it.” Nett believes this type of growth is arriving in Southern Minnesota at just the right time. She says, “This is not the traditional, standard, more industrial growth, rather it’s the artists, the underground economy finally coming into the light. It’s been there the whole time, but now we can actually make it visible. “This is really all about jobs, that’s our ultimate goal. If we can create an economy that is thriving through small, diverse businesses, then we are creating jobs. Those 15 start ups in 12 weeks we mentioned, that was 12.24 full time equivalents. No, it’s not the 435 that the Walmart Distribution Center brought in, but the community continues to chip away at it. This approach is a slower but stable process. Because of it, you’re not totally relying on those big employers. If they shut down or have lay offs, it devastates a community. I’ve seen that happen too many times.” For more on the Envision Lab, go to envisionlab.co.
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Mayo Clinic lands on list of best hospitals in the nation in U.S. News and World Report In addition, Mayo Clinic is ranked No. 1 in more specialties than any other hospital in the country. Mayo Clinic took the No. 1 spot in Arizona, Florida and Minnesota. It also ranked No. 1 in the Phoenix metro area and in the Jacksonville metro area. Mayo Clinic is part of a select group on the U.S. News Honor Roll recognized for “breadth of excellence,” according to the magazine. To make the “honor roll,” a medical center must rank at or near the top in at least six of 16 specialties. Mayo Clinic was first overall in the magazine’s annual honor roll ranking of its Best Hospitals list and was ranked No. 1 in eight specialties: Diabetes and Endocrinology, Gastroenterology and GI surgery, Geriatrics, Gynecology, Nephrology, Neurology and Neurosurgery, Pulmonology, Urology. Mayo Clinic Health System in Mankato was rated High Performing in heart failure and hip replacement by U.S. News & World Report’s 2016-17 Best Hospitals for Procedures & Conditions, which was published online. These ratings focus on how well hospitals performed in nine common inpatient procedures and conditions.
State sees third annual increase in minimum wage The state’s large employer minimumwage rates rose to $9.50 an hour on August 1. Large employers will be required to pay at least $9.50 an hour when the employer’s annual gross revenues are $500,000 or more. Small employers must pay at least $7.75 an hour when the employer’s annual gross revenues are less than $500,000. The training wage rate of $7.75 per hour may be paid to employees younger than 20 years old for the first 90 consecutive days of employment. The youth wage rate of at least $7.75 per hour may be paid to employees younger than 18 years old. In January 2018, the rates will be annually indexed to inflation.
Le Sueur-based Cambria completes the largest installation in company history at U.S. Bank Stadium in Minneapolis. Cambria, the first and only family-owned American-made producer of natural quartz surfaces, can be found in the stadium’s premium clubs and suites, including The Medtronic Club, Mystic Lake’s Club Purple and Delta Sky360 Club. Cambria is an Official Corporate Partner with the Minnesota Vikings. The company has created 12 bold, custom quartz designs, featuring rich purple, gold, white and black tones in unique marbling and veining. The U.S. Bank Stadium project is the largest installation of Cambria on a single project since the company’s inception in Le Sueur in 2001. More than 18,000 square feet of Cambria is installed in a variety of surface applications with intricate fabrication details, including countertops, bars, banquets and furniture.
New wholesale meat processing plant to open in Northfield Burnsville-based Valley Natural Foods announces it will open Valley Natural Meats, Inc., a $2 million facility. Valley Natural Foods acquired 16 acres of land, including a building that will be retrofitted to meet the growing demand of livestock producers and serve the needs of family farms in 10 Southern Minnesota counties. Valley Natural Meats, a subsidiary of Valley Natural Foods, will feature a 4,400-squarefoot MDA- and organic-certified meat processing plant and 4,000-square-foot holding barn. The plant also will manufacture specialty, and smoked and cured meats, jerky, hams and sausages for wholesale and retail customers. Located at 1595 57th St. W in Northfield, Valley Natural Meats will begin operations later this year by processing approximately 25 head per day, including cattle and hogs. Phase two
operations, planned for 2017, will include becoming USDA-certified to allow the sale of products outside of Minnesota and the processing of lamb and goats. Long-term processing of deer and bison is planned for 2018. Phase one construction is expected to be completed and operational in November 2016.
The Minnesota Beef Council has launched a new website. The new website showcases the “Beef. It’s What’s For Dinner” recipe library, which includes the nutritional attributes of beef. It also includes beef cooking tips and tricks through videos and infographics. Throughout the new website users have the opportunity to learn more about how Minnesota’s beef farmers and ranchers are raising safe, wholesome and nutritious beef through the ‘Meet a Minnesota Beef Farmer’ page.
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Jobs added in Owatonna Exercise equipment manufacturer Life Fitness is adding 110 jobs as part of a $22.9 million expansion of its factory in Owatonna. The Rosemont, Ill., based company said it will expand the facility by 150,000 square feet to make room for increased production of Cybex exercise equipment. Specialists in welding, fabrication, powder coat painting and assembly will be hired. The jobs will pay an average wage of $18.37 an hour. The Minnesota Department of Employment and Economic Development (DEED) is supporting the project with an $850,000 grant from the Job Creation Fund. The company will receive the funding once it has met job and investment commitments.
Land O’Lakes announces new business unit PRNewswire reports SUSTAIN will focus on aligning environmental sustainability efforts across the full Land O’Lakes, Inc. Enterprise. The new business unit will focus on helping to ensure sustainable crop production by delivering insights, products and services; enhancing sustainability within the dairy foods and feed businesses; and partnering with other entities, including government, to improve efficiency and
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collaboration on conservation and sustainability programs. The SUSTAIN business will be led by Matt Carstens, formerly vice president of Ames, Iowa-based United Suppliers, Inc. United Suppliers’ seed and crop protection businesses merged with Land O’Lakes in October 2015, and operates today as Winfield US, a part of Land O’Lakes, Inc. A second step will merge United Suppliers’ crop nutrient business with Land O’Lakes in late 2017.
X Games to be held in Minneapolis ESPN announces the X Games will host many events at U.S. Bank Stadium in 2017 and 2018, “We’re definitely pumped,” X Games vice president Tim Reed said. He cited the “young, vibrant aspect” of Minneapolis and the support of the city and state for the bid. He calls the new, $1.1 billion stadium “a beautiful building.” Reed also cited the new U.S. Bank Stadium’s huge video boards and the common areas that can stage musical acts. X Games competitions include skateboarding, BMX and motocross. A flat track for motocross will have to be built elsewhere in Minneapolis, and the games are working with the city to identify a location, according to Reed.
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Indicators show slow economic growth ahead Figures from a survey of supply managers in nine Midwest and Plains states have dropped again and suggest slow or no economic growth ahead. The report says the Mid-American Business Conditions index fell to 47.6 in July from 50.1 in June. Creighton University economist Ernie Goss oversees the survey, and he says global economic uncertainty, including Britain’s vote to leave the European Union, was a significant concern for many of the supply managers in the survey. The survey covers Arkansas, Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, Oklahoma and South Dakota.” MINNESOTA: The July Minnesota Business Conditions Index declined slightly to 51.2 from 51.6 in June. Components of the index from the monthly survey of supply managers were new orders at 48.1, production or sales at 47.4, delivery lead time at 55.1, inventories at 49.9, and employment at 55.4. “Minnesota’s manufacturing sector is adding jobs with nondurable goods producers’ job gains more than offsetting job losses for heavy or durable goods producers. But within the durable goods sector, technology manufacturers, such as medical equipment producers, continue to experience positive growth,” said Goss.”
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Local Chamber & Economic Development News
Any chamber of commerce, convention and visitors bureau, or economic development organization in our reading area—large or small, from Amboy to Winnebago—can post on our free bulletin board. For details, email editor@connectbiz.com.
Blue Earth Cindy Lyon, Blue Earth Chamber
The Blue Earth Chamber, and Convention and Visitors Bureau have purchased the blighted gas station in front of the city’s Jolly Fellow and are in the process of demolishing, tiling & fundraising for a new building at the site! The organizations have raised $150,000.00 so far. More fundraisers are planned. The goal is to have offices, a receptionist, souvenirs, TIC, Giant Memorabilia Museum & restrooms all under one roof all year round.
Mankato Bridget Norland, Greater Mankato Growth
The newly redesigned and relaunched site, greatermankatoevents. com, boasts new features and upgrades, such as syncing with social media, mobile-friendly features and easier entry of recurring events. Additional upgrades include visually appealing photos to choose from and opting to add “Things to Do” that are ongoing happenings around the community. Things that anyone can go, see or do whenever it fits into their schedule, like viewing the CityArt Walking Sculpture Tour. Submit your events for free at greatermankatoevents.com!
Mankato Julie Nelson, Small Business Development Center
Did you know that encore entrepreneurs are one of the fastest growing groups of small business owners? If you are age 50+, entrepreneurship can offer an opportunity to use your knowledge, passion, life and professional experience toward successful small business ownership. The SBDC can help you with a business plan and next steps. Go to myminnesotabusiness.com to apply for our no-cost consulting services.
Region Nine Nicole Griensewic Mickelson, Development Commission
Interested in solar energy but don’t know how to make it work for you? Region Nine’s Renewable Energy Task Force (RETF) will be hosting a workshop on community solar gardens on September 7th at the St. James Library. This free educational workshop will be held from 6:00 p.m. – 8:00 p.m. in the St. James Meeting Room of the library. For more information, go to rndc.org.
New Ulm Sarah Warmka, New Ulm Chamber/CVB
The New Ulm Area Chamber of Commerce welcomes Safety Solutions as a new member. The Chamber hosted an Employment Law Update with Cory Genelin from Gislason & Hunter on August 3. A Social Media Breakfast was held July 29 at the Best Western Plus. The Chamber Board visited New Ulm Precision Tool, Inc., Taco Johns and 3M. They also hosted a panel discussion with local
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young professionals, and other planning sessions to help them set the direction for 2016-17.
Nicollet Alesia Slater, Nicollet Chamber
Happy Fall! We have all been traveling with the detours in the Nicollet area and as school is about to start we encourage you to drive with extra caution. Watch for kids walking, biking and those flashing school bus lights, so everyone can arrive to school safely. The Chamber welcomes back the students and staff at the Nicollet Schools. Please follow all of the chamber happenings at nicollet.org.
Sleepy Eye Kurt Kramer, Sleepy Eye EDA
Sleepy Eye is currently experiencing a number of exciting economic developments and activities. The EDA is addressing the current local early childcare needs and working on providing additional child care offerings with Tri-Valley and local providers. The On The Job Training Program (OJT) that exists with local businesses and the two high schools in the community, experienced another successful year with 20 businesses and 28 high school students participating in the program.
Waseca Gary Sandholm, Waseca EDA
Two big developments in Waseca this summer. Bomgaars, a farm store chain based in Sioux City, Iowa with 80 stores in the Midwest and Plains, will open a store in Waseca. With 20 to 25 employees, Bomgaars will convert a 41,000 square foot building into its next retail location. The Waseca City Council approved drafting construction plans to extend infrastructure to the west interchange with Hwy 14 in preparation for industrial expansion. The transition to autumn brings the sounds of brass, wind, and percussion at the 29th Annual Waseca Marching Classic on Sept. 17. Club 57 hosts a car show in the morning, the parade at 12:30, Field Competition with a show at 5:00 pm. Fireworks close the event at 8:15. Farmamerica hosts its Haunted Corn Maze and Feed Mill October 21, 22, 28, & 29 at Farmamerica 3½ miles west of Waseca.
Waseca Kim Foels, Waseca Chamber
Join us for an “Architects of Tomorrow” simulcast on October 19 and be equipped with insights that will unleash the visionary leader in you! By attending you will sharpen your leadership skills, increase employee engagement and grow leaders within all levels of your organization. Speakers include: Nick Saban, Head Football Coach, University of Alabama; James Brown, CBS Sports and News Broadcaster; and Steve Wozniak, co-founder of Apple. Cost is $95. Continuing Education Credits are available. Register at wasecachamber.com/events or call 835-3260.
Wells Emily Hassing, Wells Area Chamber of Commerce
The Wells Area Chamber of Commerce held its first ever “Summer in the City” in June. It was a huge success in downtown Wells. The Chamber also reports another great Kernel Days Celebration August 18-21. The Chamber will be hosting its annual Vegas Night Fundraiser on Friday, November 4th, a fun and enjoyable community event open to the public. The Chamber welcomes those interested in joining or learning more about the Chamber of Commerce to reach out. 48
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CONNECTING BACK
Read the entire articles at connectbiz.com
LOOK YOUR BEST PHOTOGRAPHY & ILLUSTRATION
5 YEARS AGO
SEPTEMBER/OCTOBER 2011 Five years ago in the September/October 2011 issue of Connect Business Magazine, we featured Brad Radichel of Mankato’s Condux International and Condux Tesmec. Profiled businesses that issue were August Schell Brewing Company of New Ulm and Express Diagnostics International of Blue Earth. 10 YEARS AGO
SEPTEMBER/OCTOBER 2006 A decade ago in our September/October 2006 issue, MRCI WorkSource Executive Director Pam Year graced our cover. At that time, Pam led Minnesota’s largest provider of community-based and supported employment for people with disabilities. Profiled companies that issue were Itron out of Waseca, and The Candyman in New Ulm. 15 YEARS AGO
SEPTEMBER/OCTOBER 2001 Taking a look back 15 years ago, we see Bob Alton, of what was then Hickory Tech (now Consolidated Communications), on the cover. Alton explained how Hickory Tech was on the forefront of technological advances, and certainly poised for growth. His forecast turned out to be true! Other featured businesses in September 2001 were Shady Oaks Nursery of Waseca and Braun & Borth of Sleepy Eye. 20 YEARS AGO
SEPTEMBER/OCTOBER 1996 Twenty years ago, Connect Business Magazine featured candid, extensive interviews with our Congressmen in 1996 Gil Gutnecht and David Minge. The issues politicians were talking about then, similar to the issues facing Americans today as well. Also profiled were Shoreland Country Club of St. Peter and CompuConnect/Southern Minnesota Office Machines of Mankato.
Commercial Photography 3D Technical Illustration Graphic Design
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Founder Ryan Sturgis (left) and “right hand man” Michael Chalhoub in the True Facade studio.
By Lisa Cownie Photo by Kris Kathmann
True Facade uses cinematic filmmaking techniques to create powerful marketing messages for its local clients. Plot: A young man born in New Hampshire and working in the film industry in New York City, follows the love of his life to a small city in southern Minnesota. Scene: Mankato, Minn. Cue: Ryan Sturgis. “When I moved to Mankato nine years ago, I noticed all the entrepreneurial endeavors here. Better yet, there were a lot of fun ones! I could just see the passion behind the stories. A lot of people working really hard to make something 50
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come true for them. I knew they had great stories, and that telling those stories would be the best promotion for them.” Enter: True Facade Pictures. Sturgis founded True Facade Pictures as a way to bring what he had learned in the film industry in New York to Mankato. True Facade started as an independent film company specializing in short and feature length narrative, documentary and reality films. But the company is now also a leading producer of promotional and web videos in the
Greater Mankato area. “I wanted to introduce the area to a cinematic style and open businesses here up to a new way of marketing. My first few clients were Bent River Outfitters, CityArt program, the 410 Project, and Raw Fusion. They were paramount for me. I purposefully chose those things in town that were contributing significantly to our culture,” says Sturgis. He started True Facade in the basement of his home, with one camera and some editing software. Then he just started
walking around to see what he could find. What he found was a need for his services in southern Minnesota. Sturgis says, “I saw there was a need and an interest here. In general in our society and in our culture, video marketing is experiencing a huge insurgence. It is growing exponentially.” In order to grow True Facade, he knew he needed help. Cue: Michael Chalhoub. continued > SEPTEMBER/OCTOBER 2016
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Born and raised in Mankato, Chalhoub was a recent graduate of Minnesota State University Mankato. He had a degree in Philosophy, and like Sturgis wanted to use video to get his ideas across. Chalhoub says, “I made my first film when I was nine years old. It was about getting my grandfather a cup of coffee! My real passion is ideas and I think video is the perfect medium to express ideas.” He spent a couple of years after college trying to make small films and documentaries on his own. But he finally came to a life-changing conclusion. “I realized I couldn’t do it alone. And I knew that if there was another filmmaker in Mankato, then he or she needed help because I knew I couldn’t do it on my own. So, I ended up meeting Ryan and in the very first week we had a connection. We have two very different philosophies on life and how to do things but they complement each other so well in our storytelling.” The two met in September of 2014 and now Sturgis refers to Chalhoub as his right-hand man. Together the duo has grown the business and it now occupies the entire space at 509 S. Front Street in downtown Mankato. Chalhoub says, “We started getting all sorts of fun jobs like the United Way 2015 campaign, the YMCA and the 2016 Connecting Kids campaign, just all sorts of nonprofits and projects in town. Through all the interviews we get to learn so much about the community and that helps in business.” Sturgis adds, “Yeah, we get such insight and see what drives the culture around here. We had an awesome opportunity working on the United Way campaign to meet a lot of business people and a lot of contributors. We really got a sense of the community.” But the breakthrough came this last year when True Facade started doing commercials. Sturgis says, “We went from promo vids to adding short documentaries and now to commercials. When we made that decision to do commercials, we picked who we wanted to do a commercial for first. That was Todd Snell of Snell Motors. We picked him because we had interviewed him for United Way and he’s this amazing person
True Facade Pictures | Mankato
and Snell gives back to the community so much. So we started there.” Chalhoub says, “Ryan came up with an amazing tagline which is, ‘Snell, where are you getting your car?’ We went in there with storyboards and a whole plan laid out. And they took a risk on us. We made five
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What Is True Facade Pictures? True Facade Pictures can provide directors of photography, general direction, and general staffing to film original scripts or projects. It provides an inclusive production package to individuals or companies looking to film their scripts or projects. This package includes: script consultation, highquality acting talent, a production team, editing, sophisticated direction, and all necessary equipment. It does not include funding for your project, however, we can help you raise money through the many different networks out there designed to support the art of filmmaking.
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“I found ‘the one’ and was going to follow her anywhere,” explains Sturgis when asked how he landed in Mankato, Minnesota after working in the New York City film industry. “My wife, Heather Hamilton, and I moved to Mankato in 2007 because she got a professorship in the theater department at Minnesota State University.” He says theater is another love, “I’ve always had a desperate passion for movies. I have been known to watch films by directors from their first film to their current or last one made–in sequence.” What was the first movie you went to see? Did you like it? “Snow White and the Seven Dwarfs. I loved it. It is the very first animated feature film and the desperately passionate creation of conceptual genius, Walt Disney, who is one of my cinematic heroes.” Who is your favorite director? Why? “My favorite director is Paul Thomas Anderson. He is capable of articulating, in his films, pieces of the human emotional spectrum that most of us can only feel but can not communicate. He speaks to me in a language I don’t fully understand which makes me feel like there’s something larger than myself out there. And he’s great with actors.” What is your favorite movie of all time? “My favorite movie of all time is Frank Capra’s “It’s A Wonderful Life”” If you could work with anyone in the film industry, who would it be? “If I could work with anyone I think I’d work with John Ford. He’s an adventurist and an absolutely brilliant director. Plus, I’m a real sucker for Westerns.”
True Facade Pictures | Mankato
commercials for them and it all culminated recently when we won national awards for those spots. We went up against 13,000 competitors from across the nation and won two 2nd place Telly awards.” As the accolades come in, Sturgis feels more and more confident. “Now we have picked up Tailwind Development as a client, another great community-oriented, local client. So I do think we are going to continue to find that there are companies in Mankato that will supply the amount of production that we need, but it is still a question because as we grow and as we do the next thing, our creative and our production costs are growing exponentially, too. I don’t see us being stuck and trying to adhere to only this market. Eventually we will start pitching ideas to ad agencies in the cities as well as regional businesses.” But they know there’s a lot to be done right where they are now. And they plan to make sure area businesses understand the growing market for promotional videos and how they can be used in nontraditional ways. Sturgis says, “We work closely with company’s marketing teams to show them how we can complement what they are already doing in marketing, with video. We have ways which we can market those
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Behind The Scenes:
Michael Chalhoub “I believe in method, not magic tricks,” explains Chalhoub when asked how he uses his Philosophy degree from Minnesota State Mankato, to guide his career in filmmaking. “I once read a sort of self-help book that said in order to be what you want to be, you have to have a definitive goal. Once you establish that goal, then only do things that help you achieve that goal.” Chalhoub took that to heart three or four years ago. “What I found, is that once you make that commitment to something, life decisions are kind of made easy for you. For instance, say you have five opportunities, well, pick the one that is going to help you attain your goal. Even with finances, only spend on things that help you reach your goal. Following that path, led me here to True Facade.”
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“We are writing a grant to the Minnesota Arts Board to do a pilot for a series! It will be a narrative-based series that we want to shoot right here in Mankato.” – Ryan Sturgis videos online in new ways. One is IP address targeting. For instance, ever notice when you are on YouTube and an ad pops up and you are amazed at how applicable it is to you? Well, that’s something we can provide. Google ads, YouTube ads, we can help use the internet for video marketing. Companies are going to want to spend some of their marketing dollars in that medium. And we can get them there. We are full service from creative to production, to distribution. We are currently doing it with the biggest companies in Mankato right now.” A goal for the duo is to elevate their industry throughout the region, as it’s something that hasn’t really been available before. Sturgis says, “I want to make the area
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aware they have full-service video marketing accessible to them in their own backyard. They do not have to go through an agency in St. Paul to get high-end production. What we do is considered national-level creative.” Even with all the technological advances, such as nonlinear editing and IP address targeting, for Sturgis and Chalhoub it still gets down to one thing to be successful. Chalhoub says, “The story really is the core of the work. It is the story that gets us excited. We use video and other elements, but it all comes down to the story and how those elements can fit into it.” Sturgis agrees, “It’s been a goal to bring that video marketing element to Mankato but the larger goal for Michael and I is the
storytelling and to do that through film. Our tagline is ‘cinematic video production’. So when we’re talking about cinematic, we’re talking about a whole bunch of different things, the audio, the scene, the actors. They all contribute to the way a story comes through. The production value is high with our projects, but obviously the real key is the story.” The collaboration between Sturgis and Chalhoub has proven to be invaluable in their storytelling process. Chalhoub explains, “That’s a really important element in the partnership, we have found a fun, creative way to tell stories because we each bring different perspectives. With a story of any kind, whether narrative or documentary, you have to have a clear way of getting from the beginning to the end. But you also have to have things from the sides to fill it in! And we each come in from a different side! So when editing we combine both perspectives and we end up with a great story arc that
True Facade Pictures | Mankato
THE ESSENTIALS
True Facade Pictures Address: 509 South Front Street Mankato, Minnesota Phone: (507) 382-4319 Web: truefacadepictures.com
is really well supported and that really has been significant in our way of forming ideas and working together artistically.” The two are now creating their own story, beginning with the transformation of their building. Chalhoub reflects, “It’s interesting because the company is called True Facade and the first thing we did was rip the old facade of this building down. It is still a work in progress. But we have put up a new facade and are now redoing the inside.” A building that reflects their evolution as a company: from short films to commercial production and, coming soon, television shows. Sturgis says, “We are writing a grant to the Minnesota Arts Board to do a pilot for a series! It will be a narrative-based series that we want to shoot right here in Mankato. The story is about a female music engineer and DJ in her late 20s. We’ve got local music groups involved and optioned to be part of this series. So while we are enjoying the video marketing side of the business, we’ll continue to push ourselves on the cinematic side as well.” Right now Sturgis and Chalhoub are the only employees. They have two interns and use independent contractors they trust to help with projects. “We are truly a turn-key, full-service operation,” says Chalhoub. “We know all the ins and outs as far as the legal aspects, insurance and all of that, so companies don’t have to worry about a thing.” Sturgis adds, “But we are also small enough that we try to have a personal relationship with each client. We talk to the owners and work with the marketing teams. Video marketing is the future and we’re glad to be a part of it here in southern Minnesota.”
Nick Smith Mankato, MN (507) 625-5649
Stacey Johnson Owatonna, MN (507) 455-5299
Jay Horner Owatonna, MN (507) 455-5200
Jessica Grayson Owatonna, MN (507) 455-5358
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Federated Mutual Insurance Company - Federated Service Insurance Company - Federated Life Company 121 East Park Square • Owatonna, MN 55060 • (507) 455-5200 • www.federatedinsurance.com
Editor Lisa Cownie, also of KEYC News 12, writes from Mankato.
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LETTER TO THE EDITOR
Sen. Kathy Sheran wrote the following opinion in response to a brief summary in the Business Trends section of our March/ April issue. Regardless of income, all Minnesotans share the same strategy when it comes to taxes: pay as little as possible. Certainly there is nothing wrong with this, as lower tax burdens allow Minnesotans to save or buy more of what they want and need. However, by looking at taxes solely through a “lower is better” lens, we lose the full story when it comes to their benefits. And we unquestionably lose perspective when we hear partial facts regarding Minnesota’s tax burdens. A recent Twin Cities Business study warns Minnesota is losing billions in taxable income as a result of tax increases for top earners. Among the many ambiguous concerns is a claim about why some highincome individuals have left our state. The study tells us that, “In almost three fourths of the cases, survey respondents said their reason for leaving had to do with Minnesota’s tax policy and collection practices.” A closer look at the actual survey calls this claim into question. Nearly half of the provided choices for leaving include tax concerns, making it difficult to imagine how tax policy wouldn’t fall into the top answers for a majority of respondents. It is most important to understand this survey was not filled by individuals who pay taxes. Instead, it was completed by 150 wealth management, investment banking, and other firms with a median of 350 clients, who were asked to estimate or approximate (guess) the reasons for all of their clients. Asking a third party to lump
together clients and homogenize their reasons for leaving is not even close to a reliable look at the individual reasons for moving out of state. Rather than estimate, I prefer to look at the comprehensive data, which shows an entirely different story. In the year following the hike in top tax rates, there was a 6% growth in the number of Minnesotans in the highest bracket. Even greater was the 15.3% increase in individuals filing with over $1 million in income. Undoubtedly, some have left our state in part due to higher tax rates. But when pressed on showing specific cases, opponents have had difficulty naming more than a few. Indeed, the larger picture shows that we have grown the number of high earners in Minnesota. We have always heard predictions of our state’s financial demise from above average taxes, but they have never seemed to materialize. Our above average corporate income tax has not forced out our Fortune 500 companies. In fact, we still have the highest number of such companies per capita in the country. Capital gains taxes have similarly not led to a mass exodus of high earners. And on a bipartisan basis, we are raising the estate tax exemption over five years. None of these above average taxes have stopped Greater Mankato from growing into an integral economic driver for our state. In fact, when this session’s tax bill is resolved, the first $100,000 of business property taxes will be exempted, providing the greatest relief for areas like Mankato where small business properties are not worth millions of dollars. So why is this “Great Migration” not happening? The answer is people don’t just take taxes into account when deciding where
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to live. Instead, they care about overall quality of life for themselves, their family and their workers. Indeed, it is rare to find someone who makes their sole living decision on whether they pay as little as possible in taxes. Many choose to move for a job, spouse’s job, weather, family, educational opportunities, or any in a list of factors. Do high-earners benefit from paying higher taxes? They get roads for their workers, their products, and their families to drive on. They get better public education for their families and workers. They get safer streets for their families and workers. They get better outcomes on health care for their families and workers. They get one of the most highly educated, happy, and competitive workforces. And CNBC tells us they get the number one business climate in the country. Whether low-tax advocates like to admit it or not, our above average taxes have allowed Minnesota to be more than above average. We have been, and continue to be, one of the best places to live and work in the world. Tax policy undoubtedly makes a difference in people’s lives, but there are two sides to the coin. As we cut hundreds of millions in taxes on the wealthy, we also cut our investments in roads, health, education, jobs, and business. While we may make Minnesota more attractive on taxes, such cuts would make us less attractive on the quality of life which has made our state such an amazing place to live in. And that is what would actually start driving workers, then businesses, from our state. The Legislature should keep taxes as low as possible without compromising the strengths of our state for businesses and workers. High-income earners pay more than any other in our state and play a vital role in our success. We have asked them to make a larger investment in Minnesota because it provides them with some of the best opportunity for success. And we know from the past few years that high-income Minnesotans understand this, with most opting to stay in our state because of our unparalleled quality of life and business climate. “Kathy Sheran represents Senate District 19, which includes portions of Blue Earth, Le Sueur and Nicollet counties. First elected to the Senate in 2006 and re-elected in 2010 and 2012, she is chair of the Senate Health, Human Services, and Housing Policy Committee.”
HOT STARTZ!
Very New or Re-formed Businesses or Professionals New To Our Reading Area
JANESVILLE
Ginger P. Designs
ART SIDNER
When Janesville resident Gina Peterson started planning her wedding just more than six years ago, she kept running into a problem. Peterson says, “I just couldn’t find what I was looking for with my wedding invitations. Everything seemed very traditional or not in line with my style. I wanted them to be more modern and custom to reflect our style as a couple, so I designed my own and I couldn’t believe how many people commented on the invitations.” Peterson, a marketing designer for Ridley Inc. in Mankato at the time, decided to start a little Etsy shop selling her own designs of invitations. And Ginger P. Designs was born. She says, “I really only started the online Etsy shop because I thought it would be fun to have some extra shopping money and help me stay busy.” She certainly stayed busy. The Etsy shop took off and in 2013 she was able to go full-time and work from home. “I actually really enjoyed working out of the home, but I was meeting more and more with brides at neutral sites and was having extra help come over and that can be tough when you are operating out of your home. It was time to take the next step and take the business to a brick and mortar location!” She recently purchased a lot on Main Street in Janesville. Peterson says, “We built an open space that allows for me to meet with customers and brides, has a work area, lots of storage for stock inventory, and now a retail space!”
Ginger P. Designs offers custom stationery and paper goods including wedding invitations, save the dates, programs, place cards, grad invites, shower invitations, birth announcements, and holiday cards. In addition to her custom work, she has a small product line of greeting cards, wrapping paper, notepads, and recipe cards. A newer offering is a service called “Ginger Mail” where subscribers get a variety of seasonal stationery products delivered right to their mailbox every 6 weeks. For more information, go to www.gingerpdesigns.com. GINGER P. DESIGNS Address: 208 South Main Street Website: gingerpdesigns.com Instagram: @gingerpdesigns
Fifteen Offices ProudlyServing the Upper MidwestCivil and Municipal Engineering Water and Wastewater Engineering Traffic and Transportation Engineering Structural Engineering Aviation Planning and Engineering Water Resources Engineering Coatings Inspection Services Landscape Architecture Services Funding Assistance Surveying and Mapping www.bolton-menk.com SEPTEMBER/OCTOBER 2016
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HOT STARTZ!
Spinner’s Bar and Grill Spinner’s Bar and Grill on Belgrade Avenue in lower North Mankato has new ownership after almost 13 years, but new owners Clay and Sandra Oachs say Spinners will remain the same beloved neighborhood bar it’s always been. Sandra says, “We pride ourselves on having some of the coldest tap beer in the area, quality drinks and friendly service. We are inconspicuous and will never be trendy and we’re okay with that. Our soul is intangible and our regulars are the heartbeat of our business.” Clay was born and raised in Mankato. For the past 20 years he’s worked as a Master Mechanical Insulator in the Twin Cities. Sandra grew up an Iowa farm girl who moved to Mankato the summer of 1992 to attend college. She never left! She says, “I fell in love with the place and the people and a particularly handsome man and never looked back.” Most recently Sandra worked as the Director of Sales at the Hilton Garden Inn in downtown Mankato. Owning a bar was a big step for them, but they felt the time was right. “I have a passion for the hospitality industry and purchasing Spinners will allow my husband and I to continue to serve in the industry we love,” explains Sandra. “Spinners Bar has an interesting past and we look forward to continuing to tell the brand story and preserving the history of it. The hospitality world is so varied, and making sure we stay relevant in the ever-changing business will be the key for our success. Our
heart is investing in the community that we live and work in, and we will continue to strive to make it a better place for our neighbors, children and grandchildren.” Sandra and Clay have two children Amber and Chase, and two Grandchildren, Cayden and Rylynn. Spinners is open Monday through Saturday 8 a.m. to 2 a.m. and Sunday’s 10 a.m. to 2 a.m. Sandra muses, “Currently we don’t serve breakfast, but have a great coffee!” SPINNER’S BAR AND GRILL Address: 301 Belgrade Avenue Telephone: (507) 625-9751 Website: spinnersbarandgrill.com
ART SIDNER
NORTH MANKATO
Very New or Re-formed Businesses or Professionals New To Our Reading Area
MANKATO
Covered Bridge Furniture Davy Kreider is a long way from the Pennsylvania farm he grew up on. But what he learned there in the middle of Amish country, has traveled with him throughout his life; starting as a worker in his parents’ retail greenhouse business, to teaching at a Mennonite Parochial school in Pennsylvania, then to Haiti as part of a Christian aid organization. Kreider says, “ When I finished in Haiti and was ready to return to the United States, I was trying to decide what to do with my life. I had long toyed with the idea of opening a retail store of some kind. I had enjoyed the retail aspect of the greenhouses and I thought I would like to start my own business.” Now he is in Mankato combining all of what he’s learned over the years, by opening Covered Bridge Furniture. Opening in March of 2016, Covered Bridge Furniture sells bedroom, dining room, home office and living room furniture crafted by Amish artisans in northern Indiana. “Our furniture is all solid hardwood meaning that nothing we sell will be a cheap particle board covered with a wood veneer. It’s beautiful and built to last a lifetime,” Kreider says. He chose Mankato to open his business after meeting a few Mankatoans while working in Haiti. Kreider explains, “Even though Mankato was a smaller town I quickly realized that it was a major retail hub for south-
western Minnesota and northern Iowa, drawing much more retail traffic than just Mankato. About the time I was looking for a retail space, my current space became available and was a perfect fit as it was formerly the site of a furniture store.” Kreider says although he is a Minnesota transplant, he has found the local community to be friendly and supportive. For more information, go to coveredbridgefurniture.com. COVERED BRIDGE FURNITURE Address: 500 Raintree Road, Raintree Mall Telephone: (507) 380-3843 Website: coveredbridgefurniture.com
ART SIDNER
To be considered for one of three spots in the November Hot Startz!, email the editor at editor@connectbiz.com. Businesses considered must have started—or changed greatly in form—within one year of our publishing date. Professionals chosen must be new to our reading area.
Pioneer Bank Your Business Bank
David KRAUSE
Duane OLENIUS
Mike KUNKEL
Andrea JOHNSON
Denise NIENOW
HARRINGTON
Mike
Exceeding Expectations. www.bankwithpioneer.com
Lewisville • Madelia • Mankato • Mapleton • North Mankato • St. James • Lake Crystal Loan Production Office 507-625-3268 SEPTEMBER/OCTOBER 2016
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ASK A PROFESSIONAL
Roger Hislop Solutions Engineer, Consolidated Communications, Mankato
Embracing The Cloud Navigating Through the Complex Landscape of Cloud Services
This is likely not the first article you’ve read about what “the Cloud” can do for your business, a topic that can be confusing. Different people have differing definitions, expectations and perspectives on the Cloud. A definition for this discussion, uses “Cloud” as the removal of intellectual assets and specific equipment from the physical building. Let’s take a look at what the Cloud may offer your business, and some real-world applications of moving to Cloud services. First, the ability to move things from an actual structure into an abstracted off-site environment provides several advantages. A business running a customized program on a server in the network room may experience hiccups on this server, such as Windows updates and hard drive issues, which will impact business operations. Unexpected power outages will not only make the server unavailable, but may also corrupt data. Pulling this machine out of the building, and putting it into a real data center environment, will mitigate these risks. Second, having infrastructure in the Cloud rather than in a physical facility can provide ease of access to critical information when it is
needed. By definition, Cloud architecture is not in your building. Therefore, the Cloud is constructed so that your data can be delivered to a remote location. The Cloud doesn’t care if the “remote location” is your main office, your house or even your mobile device. Even if you want your data to be housed in your building, you can still send backup copies to the Cloud, where it will remain secure and accessible in the event that you need to recover something lost from your primary data repository. Another aspect of an off-site IT solution is enhanced Disaster Recovery capabilities. Common crippling events, such as prolonged power outages, equipment failure, fire and storm damage, are minimized in a Cloud environment, due to the enhanced architecture of Cloud data centers and the ability to get to your data and services from anywhere. Yet another advantage of Cloud architecture is scalability. Think about how a typical business approaches the replacement of an aging server. The old method of forecasting the growth of this business for three or five years into the future, and buying equipment today that will
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500 Raintree Rd., Mankato, MN • 507-380-3843 Hours: Mon.-Wed. & Sat. 10am-5pm Thurs. & Fri. 10am-8pm, Closed Sun.
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hopefully be capable of meeting that requirement in 2020, is inefficient and is not optimal. Running that application in a massive Cloud environment separates the software from the hardware platform, providing the ability to simply rent the resources needed today, and to easily toss more memory and CPU power to the application whenever it’s needed. The issue of security is top of mind with ransomware and other malicious malware becoming disturbingly commonplace. Research has shown that most cloud-based solutions are superior to on-premise designs in this regard. Providers of Cloud services are security experts and can put more financial resources into maintenance of a solid security posture than can the typical small or medium business. Finally, as most Cloud services are designed as services that are abstracted from physical equipment, the pricing model is typically subscription-based, meaning that the periodic shocks of capital expenditures are replaced with predictable and cost-effective monthly (or annual) expense. So how does this look in practice, on the street (or on the gravel road, or in the back 40)? The first massive adoption of Cloud services was undertaken by telephone companies. None of us ever knew when the machines in the central office were replaced with new machines or when the billing software was updated. Everyone just picked up the phone, dialed a number and talked (and maybe even listened). Today, modern IP telephony pulls even more functionality into the Cloud while providing new features such as video and presence (the ability
to see if the person you’re trying to reach is available). Applications, too, have been in the Cloud long enough to have matured into solid service offerings. News and weather information are commonly accessed online, almost as a commodity. Salesforce and other online CRMs have experienced tremendous growth, as have Internet banking and other information-based industries. Even Microsoft Office applications (Excel, Word, and so on) are now hosted in the Cloud. The ability to present data to any authorized user via a web browser or an app on a smartphone is revolutionizing business and offers significant advantages to users adopting these new business models. The move of physical hardware from network closets into the data centers of local service providers began a number of years ago, and is now accelerating with the advent of Cloud-based virtualized environments, where vast arrays of high-end machines spin up virtual computers as they’re needed, and instantly delete them upon completion of their tasks, all on demand. In the end, pushing onsite infrastructure away from the physical building and into the Cloud provides increased resilience, more access to your information when you need it, business continuity even in the event of a disaster, increased flexibility to scale up (or down), professional security, and lower total cost of ownership. What this means is that by partnering with a trusted, experienced Cloud provider, you can stop spending time working on your infrastructure, gain new and enhanced access to your information and applications, and put new energy into your business.
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