February ibaw 2014

FEBRUARY 2014 February 21st: Legislative Update Robin Vos Speaker of the Wisconsin Assembly

March 21st: GPS Partners Workforce Development

PLUS...

21st Dist. Rep. Jessie Rodriguez

INSIDE THIS ISSUE: WILSON: 5 THINGS A SECURITY EXPERT WOULD NEVER DO ONLINE

HASTINGS: CORPORATE IDENTITY CAN INFLUENCE INTERIOR DESIGN

KEATING: BIPARTISAN LEGISLATION WOULD REDUCE RED-TAPE FOR SELLING SMALL BUSINESS

no business is small At AT&T a storefront is as important as a skyscraper.

Small businesses are the backbone of our economy.

They are the engines of new opportunity and growth. Having access to innovative technologies drives success. And we’re here to make sure you’re connected. Always.

AT&T is proud to support the Independent Business Association of Wisconsin.

© 2012 AT&T Intellectual Property. All rights reserved.

IBAW MEDIA LINKS Executive Director Steve Kohlmann

Gov. Walker Discusses Propane Shortage

President Steve Van Lieshout K & S Technologies .

President Elect 2014 Membership / Sponsorship John Weber Hypneumat VP. State & National Programs Jeff Hoffman Judson & Assoc.

Treasurer Casey Malek Sikich

To listen, click here.

Directors Bart Adams Sikch Ann Barry Hanneman Simandl Law Group S.C Heather Baylor Park Bank Richard Blomquist Blomquist Benefits Jason Kuwayama Godfrey & Kahn Tom Boelkow BSI Design, Build, Furnish Dave Drumel Staff Electric

IBAW Mission: To advance business prosperity through insightful programming, executive networking and member-driven public policy and advocacy.

IBAW Legislative Priorities Online

State Legislative Priorities 2014 State Legislative Priorities

- Workforce Development / Technical College Benchmarks - Pro Growth Tax Reform - Address the Structural Defict of WI DOT - Predictable Sand Mining Regulation

1- Workforce Development / Technical College Benchmarks 2 - Pro Growth Tax Reform 3 - Address the Structural Deficit of WI DOT 4 - Predictable Sand Mining Regulation

Click here to view.

Hi-Crush Partners LP

National Legislative Priorities - Delay of the Affordable Care Act - Support the Existing Level of the Federal Minimum Wage

2014 National Legislative Priorities

- National Energy Policy Capitalizing on our Strengths - Increase Access VISAS for Immigrants with Advanced Degrees & Start Ups

1- Delay of the Aordable Care Act 2 - Support the Existing Level of the Federal Minimum Wage 3 - National Energy Policy Capitalizing on our Strengths 4 - Pro Growth Tax Reform

Click here to view.

5 - Increase Access VISAS for Immigrants with Advanced Degrees & Start Ups

Business Presentation Series February 21st - LEGISLATIVE UPDATE Robin Vos, Speaker of the State Assembly IBAW Legislative Updates are your opportunity to learn the direction of the state and voice your concerns regarding: - Workforce issues - Energy cost - Policy direction for manufacturing - Tax regulation

...

Meet the new 21st Assembly District Representative, Jessie Rodriguez Ms. Rodriguez was as born in El Salvador and moved to the US with her family in 1984 in the midst of a civil war. Coming to America provided many opportunities for Jessie and her family. Hard work and a dedication to education was the key to capitalizing on those opportunities.

To register, click here.

LOCATION! !

THE WISCONSIN CLUB ! 900 W. WISCONSIN AVE. MILWAUKEE

7:00 AM !

!

REGISTRATION & NETWORKING

7:30 AM !

!

BREAKFAST & PROGRAM

9:00 AM !

!

PROGRAM ENDS

Business Lessons from Dakar Steve Kohlmann, IBAW Executive Director

When you need a inspiration for business, it’s hard to beat a good sports analogy: Keep your eye on the ball. Don’t strike out. Tee it up. Take it into the end zone, etc. And who doesn’t like a quote from Vince Lombardi to pump up the team?

Having a missing sport gene I’m more of a motor sports fan who is partial to racing. Not the go fast, turn left NASCAR racing where, at the first sign of rain, the race is red flagged. I’m talking about Dakar.

Chances are good you probably haven’t heard of the Dakar.

American TV coverage on it us usually relegated to an obscure sports channel airing at 2:30 am.

So before we go any further, a brief overview: The Dakar is a race which takes place over 13 days and covers over 5000 miles. In past years the race started in Paris, France finishing in Dakar, Africa. But due to terrorist threats in the Mauritania section of the race it was move to South America, but the Dakar name stuck.

For two weeks, with daily timed off road stages, participants trek through the harshest, most desolate terrain the planet Earth can offer. An acid test of man and machine. To give you some perspective on how difficult and dangerous it is on average one racer per year loses his life. This year one of the leaders on the quad bikes narrowly escaped death by leaping off his machine seconds before the bike plummeted off a 1500 foot cliff. And there you sit in the middle of nowhere, defeat snatched from victory, lucky to be alive.

As someone who once rode Baja off road there is one thing you need to know about the desert: Everything wants to kill you.

The animals, the plants, the terrain...all of it. They all want you dead, and they have the means to accomplish it.

As you watch the recap of the daily stages it’s hard not to get caught up in the daily drama. The race has everything you want in the ultimate reality show. Good guys, bad guys, underdogs that despite lack of funding muscle through with little regard to challenges. The terrain is a big equalizer and even the well funded teams have no guarantee of victory. When the flag drops on the daily stage, racers are on their own, there are no pit stops, no mechanics along the way. Carry everything you need because you’re on your own; Fuel, tools, spare parts, courage and true grit.

If you’re unfortunate to break down in the middle of nowhere, other racers may speed past you while they race towards the day’s finish line. If you need repairs, those are made in the middle of the night by you and your team. At dawn the flag drops again. With or without you.

But it isn’t all cut throat. Most racers realize the power of Karma and help each other out. Assisting someone dig out their truck from a sand dune or offering a spare part is common.

Watching this race made me aware of how similar it is to business. Sometimes we feel that as business owners we are on our own. Sometimes we’re on top of our game speeding by hazards and we can do no wrong. Often, despite the odds, we get across the day’s finish line beaten, broken, tired but still victorious.

And sometimes, when things go horribly wrong, we crouch down, break into tears and watch as a fire erupts burning our dreams to the ground.

Yet despite the obstacles, we wake up and start again. Often, we are helped along the way, pulled from being stuck, given the tools we need to continue or we help out someone who is in need.

Nightly we cross the finish line, tired, beat up but still ready to face tomorrow stage.

Welcome to Dakar. And life in business.

For a sample of Dakar click this Video Link.

January IBAW Meeting Cynthia LaConte of Dohmen Company was the speaker at our January 21st meeting. Ms. LaConte is Dohmen’s first female CEO in the its 150 year history.

Ms. LaConte discussed the challenges within pharmaceutical industry, bringing new products to market and the ever changing landscape of business which prompts acquisitions. Cynthia draws inspiration from race car driver Mario Andretti’s quote; “If everything seems under control, you’re just not going fast enough.”

To view the PowerPoint presentation, click here.

Left: There was no shortage of women executives attending the January meeting.

RIGHT: IBAW member Tim Peterson dons the distinct yellow scarf of National School Choice Week and introduces Carrie Bonk of Wisconsin Charter Schools Association.

National School Choice Week provides an unprecedented opportunity, every January, to shine a positive spotlight on the need for effective education options for all children.

Independently planned by a diverse and growing coalition of individuals, schools, and organizations, National School Choice Week features thousands of unique events and activities across the country. The Week allows participants to advance their own messages of educational opportunity, while uniting with like-minded groups and individuals across the country.

National School Choice Week is a nonpartisan, nonpolitical public awareness effort.

Five Things a Security Expert Wouldn’t Do Online Mark Wilson, Director of Information Risks Management, Sikich, LLP If holiday shoppers learned one thing this past season, it was that cyber attacks and data breaches can happen whenever, wherever. The December 2013 cyber attack on Target stores compromised as many as 40 million credit and debit card accounts, proving that cyber attacks don’t just happen when someone gets a hold of your email account. I wasn’t affected by this data breach, but I know multiple individuals who were—and there was nothing any consumer could have done to prevent it.

But there are plenty of other kinds of cyber attacks that are somewhat preventable (I say “somewhat” because being 100 percent secure is near impossible). I asked our director of information risk management (aka security guru), Mark Wilson, what five things he would never do online. Obviously, the list could be pages and pages long, and if I asked him a year from now, chances are the list could be completely different. For now though, what would an IT security expert recommend avoiding online?

Cyber Security Don’ts 1.

Use an Unsecured Network. When performing a bank transaction or purchasing products online, always use a

2.

secure network. Also, look for the “https” in the URL—the “s” indicates a secure website.

Overshare on Social Media. Oversharing on social media in generally something individuals should avoid, whether via text, photos or other multimedia. But posting certain information, especially anything confidential,

3.

can lead to cyber attacks.

Trust Unknown Sources. Avoid opening emails or items from sources that you don’t know. Cyber attackers will try to fool you in any way, so if you don’t remember ordering anything from Amazon, don’t click on that tracking link a shipping carrier supposedly sent you.

4.

Stay Out-of-Date. We’ve said it before, and we’ll say it again—update your software. Especially when browsing

5.

Internet sites, ensure your anti-virus and anti-malware software are active and current.

Be Lenient with Passwords. Distributing, or even maintaining, your passwords in clear text (e.g. email, Word, Excel, etc.) can be disastrous. Keep them encrypted, and make sure you’re using different passwords for your various log-ins.

All of these actions can help prevent cyber attacks on you or your organization, but educating yourself on Internet security will go a long way in continually reducing your risk. To grow your awareness about Internet safety and cybersecurity even more, download our eBook, Safety First: Risk, Convenience and Security in a Cyber World, or follow the Security category on our blog.

Mark Wilson, Director of Information Risks Management at Sikich LLP, can be reached at (630) 210-3063 or mwilson@sikich.com.

Members in the News...

Three Harbors Council has notified Bob Gross of Gross Automation he will be receiving the Boys Scout’s Silver Beaver Award for 2014.

The Silver Beaver is the highest award a council can present a volunteer for distinguished service to youth.

Corporate Identity Can Influence Interior Design Kim Hastings, President, CJ & Associates, Inc.

It’s becoming increasingly common for corporate culture and branding to influence the interior design process.

Many companies want to impart a certain type of culture and corporate identity into the design of their office space and businesses. As a result, the look and function of office, retail, medical and education facilities are increasingly impacted by image positioning strategies.

Regardless of size, companies are using the interior design of their offices, meeting facilities and businesses to convey images that will have a positive impact on employees, customers and others.

The use of signage and the repetition of logos are established practices in large restaurant chains and retail outlets. This aesthetic sameness approach to interior design means one facility will look like sister facilities. Although a customer may never have been to a particular location of a restaurant or retail business before, the familiar design elements help to facilitate immediate trust in the quality of products or services offered.

That feeling of trust can also be generated in employees and customers who visit corporate offices in multiple locations that share common interior design standards.

Design-conscious image building can help support a company’s overall branding strategies. For instance, technologybased companies typically want the interior design of their offices to convey a cutting edge mentality and image, often through a modern, deconstructionist style that incorporates metals and bright colors.

Financial service firms, on the other hand, strive to create an image of stability and success through more traditional interior design, utilizing darker woods and heavy brass fixtures.

Law firms may design office space to convey a feeling of power and control. This can actually become an influential component to negotiations that take place within the facilities.

Using corporate culture and image in the interior design of facilities can play an important role in positioning companies in the marketplace. It can be used to convey specific feelings and images to employees, customers, visitors and others in office spaces, educational building, medical facilities and more.

If you operate more than one facility, it may be worth the time and effort to evaluate the benefits of standardizing interior designs based on the type of business or service identity that you want to strengthen or establish.

Bringing out the Leader in You Michael Theisen, President of Sales Management and Marketing Solutions

Did you ever aspire to be a leader or think you could become one if only given the chance? Are you waiting for that magical leadership development course that just has to be out there for you to attend to make you the respected leader you want to be? Are you waiting for that promotion that will catapult you in that “leadership role”? Those are great questions, however, maybe the more important question is “What can I do today to put myself on the path to becoming a GREAT leader?”

Some people say leaders are born not made. I disagree. I believe a person can take steps to seize opportunities to lead within their daily life, even if they are not the “boss” and build their leadership awareness and leadership skills to become a successful leader when they find the opportunity to lead or are given the chance to lead.

Let me share with you my thoughts on some people that I look up as being or having been good leaders and the traits or principles that their leadership was built on. I have to start with one of my favorite books; “Good to Great” by Jim Collins. In that book the author describes the term “Level 5 Leadership” and cites several business leaders such as Darwin Smith of Kimberly Clark, Cork Walgreen of Walgreens or George Cain of Abbot Labs. Each of these men, not household names were cited in “Good to Great” as Level 5 Leaders. Keys to achieving this status were the principles of combining personal humility and professional will along with unwavering resolve.

Another great leader that comes to mind is Rudolph W. Giuliana, the former mayor of New York City who displayed his leadership during and after the September 11th attack on the World Trade Center. In his book, “Leadership” he describes some key leadership principles as Reflect, then Decide and states that leadership is a Privilege, but it also carries Responsibilities.

Finally, out of the world of sports, one of my favorite leadership examples is Tony Dungy, former NFL player and head coach of the Indianapolis Colts. In his book, “The Mentor Leader” he defines leadership as “how others around you flourish as a result of your leadership.”

I recently came across what was described as the first definition of Leader - “primary shoot of a plant, the main artery through which the organism lives and thrives.” The above people are examples of this definition.

Here are some simple ideas to start your path to effective leadership. Don’t wait to start practicing them.

Start writing down your personal ideas / plan as soon as you finish this article.

Define your idea of what makes an effective leader.

Think about a person you worked for that in your opinion exhibited strong leadership attributes and ask yourself what set him/her apart from others. Take a look outside your workplace maybe in your church, local/national leaders/politicians. Take a look at sports you participate in or professional athletes or coaches

that appear to be strong leaders. What attributes set them apart from others in their field, making them effective leaders of people? Jot down your thoughts on paper and then lists the skills or attributes you think you would want to be part of your leadership principles.

List opportunities that exist today in your life to start showing leadership.

Even if you are not in a management position, look within your company or church group for opportunities to lead by heading a committee, a volunteer event or other activity. Take a look at coaching a youth sports team, getting involved in your local government or school leading an initiative or project. Check with local not for profit organizations in your community and find out if they have a need for someone to lead or head up a program. There are a lot of opportunities to start developing your leadership skills. Keep your eyes open for the chance.

Work at developing leadership traits/ skills Becoming a good or great leader takes some effort, but with work, you can develop or evolve your leadership capabilities. Above I cited several examples of books that I have read to improve my leadership style and I have a list of 70+ books I have read, from management text books, to historical figures to sports related people all offering insight and ideas on becoming a better leader. Also, consider taking a course, maybe at a local school or a seminar that you see advertised. Finally, just identify people you feel demonstrate strong leadership trait and observe their behaviors, their approaches and how they conduct themselves. Apply these readings, classes or observations to how you conduct yourself in business and your personal life and you are on your way to becoming an effective leader.

Bring out the LEADER in you by starting today.

Michael Theisen, President of Sales Management and Marketing Solutions, LLC. and is a member of IBAW. His company focuses on working with small to medium sized businesses, providing consulting services in the area of Sales Management, Marketing and Strategic Planning.

To receive his Leadership book list contact him at mjtheisen2003@yahoo.com.

Business Day in Madison, February 6th IBAW will once again be a partner with our friends at the WMC for Business Day in Madison on Thursday, February 6th at Monona Terrace in Madison.

For more information and to register, click here.

FEATURED SPEAKERS “Never Quit: The Story of a Life Built on Successful Missions” Robert O’Neill - Team Leader, Naval Special Warfare Development Group; Retired Member Seal Team Six

“Politics and Public Policy - 2014 and Beyond” A.B. Stoddard - Associate Editor and Columnist for The Hill

“A Tour of a Challenged World” Daniel Christman - Senior Counselor to U.S. Chamber President

Governor Scott Walker

PROGRAM EMCEE Charlie Sykes Talk Show Host, WTMJ Radio-Milwaukee

Bipartisan Legislation Would Reduce Red-Tape Costs for Selling Small Businesses Ray Keating, Chief Economist, SBE Council, Washington D.C. The small business community got some rare, good bipartisan news from Congress on January 14. In fact, a pro-small-business piece of legislation didn’t just get bipartisan support; it actually received a unanimous 422-0 vote of approval.

The bill – the “Small Business Mergers, Acquisitions, Sales, and Brokerage Simplification Act” (HR 2274), sponsored by Rep. Bill Huizenga (R-MI) – would reduce the regulatory costs associated with the sale and purchase of small, privately held companies.

Under current law, broker dealers must register with the Security and Exchange Commission (SEC), the Financial Industry Regulatory Authority (FINRA), and one or more state regulatory bodies. The associated costs, of course, get passed on when small and family-owned businesses are sold.

This bill in the House, along with accompanying Senate legislation (S.1923) introduced by Senator Joe Manchin (D-WV) and cosponsored by Senator David Vitter (R-LA) would reduce regulatory burdens by exempting brokers performing services related to the sale of small, private firms.

According to a Forbes report, “Under the 1934 act, brokers pay registration fees, which usually range between $5,000 and $75,000 a year, to the Financial Industry Regulatory Authority (FINRA), [Michael Nall, president of the Alliance of Merger & Acquisition Advisors (AMAA),] says. In addition, initial set-up and compliance costs often exceed $150,000, according to testimony before a subcommittee of the House Committee on Financial Services by Shane Hansen, a partner with law firm Warner, Norcross & Judd on behalf of the AMAA.” Congressman Huizenga noted on the House floor, “Currently, all M & A brokers are subject to costly, burdensome regulatory requirements which adversely impact and unnecessarily increase the costs that business owners incur when they buy or sell their businesses. (Business owners) can’t move ahead, they can’t really afford to sell that corner store, mom-and-pop-type operation, so they end up closing it.” He also pointed out that “there’s approximately 10 trillion, that‘s trillion with a ‘T,’ privately owned, small family type businesses that will be sold or potentially closed in the coming years as baby boomers retire,” and that this legislation could help many businesses to be sold, with jobs saved, rather than being closed.

Bipartisan support for common-sense deregulation is still possible in our nation’s capital. Let’s hope that the U.S. Senate quickly follows the House’s lead on this pro-small-business legislation.

To read SBE Council’s letter in support of H.R. 2274 please click here.

To read SBE Council’s letter in support of S.1923 please click here.

Raymond J. Keating is chief economist for the Small Business & Entrepreneurship Council.

2013 First Business Economic Survey of Northeast Wisconsin First Business Bank has been conducting the economic survey of Northwest Wisconsin for the past six years. The survey was based on the responses of 382 businesses across the county. The sample size has an error range of 5 percent and a confidence level of 95 percent. Full survey results are available at www.firstbusiness.com/ surveyresults Executive Summary:

(APPLETON, WI) – December 6, 2013 – Key findings of the 2013 First Business Economic Survey of Northeast Wisconsin, which was conducted by the University of Wisconsin’s A.C. Nielsen Center for Marketing Research in September and October of 2013, indicate businesses saw decreased profitability in 2012, however sales revenue remained steady.

Key Findings for 2013: - The percentage of Northeast Wisconsin businesses reporting increased Profitability in 2013 was significantly down from 53.6% in 2012 to 39.1%.

- The proportion of firms reporting unchanged Profitability was significantly up from a mere 5.13% to 20.6%, showing less polarization in the change of Profitability.

- Businesses targeting the Wisconsin region also reported a significant increase in unchanged Profitability from 5.1% to 20.6%, suggesting less polarization in the results.

- Significantly higher than 14.3% in 2012, 38% of the businesses targeting the Midwest region reported decreased Profitability. A significantly lower proportion of businesses targeting the Midwest region reported increased Profitability at 38.1% vs. 71.8% in 2012.

- Only 19.9% of Northeast Wisconsin businesses reported exceeding Expected Performance, which was significantly lower than 27.5% last year.

- Consistent with last year, around 40% of Northeast Wisconsin businesses were able to meet their Expectations in 2013.

- The proportion of Northeast Wisconsin businesses reporting an increased Number of Employees was significantly down to 22.8% in 2013 from 35.9% in 2012. With over 60% reporting an unchanged Number of Employees vs. only 45.4% last year; employment remained fairly consistent in 2013.

- There was also a statistically significant increase from 38.5% in 2012 to 57.1%, in the proportion of businesses targeting the Wisconsin region and reporting the unchanged Number of Employees.

- For 2013, the proportion of businesses reporting unchanged Overall Wages was significantly higher at 37.3% compared to 27.8% last year. This signals that more businesses than earlier are experiencing similar wage changes.

- 62.3% of manufacturing businesses reported increased Wage in 2013, which is significantly lower than 79.4% in 2012 - 50% in 2013 vs. 25.5% in 2012 of the Other Businesses category project Wages to remain unchanged in 2014, indicating less variable Wage changes experienced by businesses.

- The proportion of businesses reporting decreased Prices went significantly down from 11% in 2012 to 5.3% in 2013.

- 54.1% of businesses targeting the Midwest region reported unchanged Prices in 2013, which is significantly higher than 28.6% in 2012.

- Only 3.08% of both B2B and B2C businesses reported decreased Price in 2013, which is significantly lower than 9.7% in 2012.

- Significantly less than last year, only 38% project increased Capital Expenditure. Almost half the businesses forecast unchanged Capital Expenditure in 2014.

- 77% of the businesses project better performance in 2014, projecting overall a positive outlook for 2014.

Although not statistically significant, this year slightly fewer businesses reported an increased Sales Revenue than those in 2012. At 40%, a higher proportion reported decreased Sales Revenue in 2013. This compares to 28% in 2012.

- Auguring well for their industry, significantly less retail businesses project decreased Revenue for the next year. (12% compared to 36% in 2012) - Consistent with last year, almost 62% reported increased Operating Cost in 2013. Furthermore, 56% of businesses are projecting increased Operating Costs for 2014.

- In terms of Capacity Utilization, no significant change was reported in 2013 as compared to 2012.

Around 15% of the businesses, a slightly higher proportion than in 2012, reported Over Utilization of Capacity.

This is the sixth year this study has been conducted.

The 2013 First Business Economic Survey of Northeastern Wisconsin was sent to 7,120 local businesses. Of those, there were a total of 382 surveys received, which were adequately completed pertaining to the key economic indicators within the required time frame. This equates to a response rate of approximately 5.37% (see chart below for historical response rates). Of the 382 surveys, 170 were entered online and the remaining 212 were received via fax/mail.

This survey sample size has an error range of 0.05 and is at the 95 % confidence level. For the purposes of this report, Northeast Wisconsin is the 18 county region of Northeast Wisconsin, commonly referred to as New North.

The counties include Outagamie, Winnebago, Calumet, Waupaca, Brown, Shawano, Oconto, Marinette, Door, Kewaunee, Sheboygan, Manitowoc, Fond du Lac, Green Lake, Marquette, Florence, Menominee, and Waushara.

-

Thank you to our Corporate Sponsors who make your IBAW programing possible.

BLOMQUIST BENEFITS

K & S Technologies

Become a IBAW sponsor and join us in helping Wisconsin small business.

To learn about the benefits of sponsorship, contact Steve Kohlmann by clicking here.

Member Spotlight: Red Elephant Chocolate Red Elephant Chocolate's founding cafe resides in a former produce merchant's building in Milwaukee's Historic Third Ward. The building forms part of "Commission Row," an avenue where Italian immigrants built a thriving hub of fruit and vegetable warehouses and public markets in the early 1900s. Today Red Elephant Chocolate joins the vibrant community of shops, restaurants, galleries and theaters revitalizing the off downtown Third Ward where it is introducing its unique Chocolate Café concept. They are creating a comfortable cafe setting for chocolate lovers to savor not only traditional chocolates but also bakery, ice cream and unique beverage based chocolate products and gifts. It is not only the home of their Milwaukee Chocolate Café, but the headquarters for their business as well as the fulfillment center for their online Cloud Café.

Urban renewal goes hand-in-hand with their philosophy of chocolate. It's about connecting the present with the past, respecting tradition, and building upon it. From the first hot cocoa sipped by the Aztecs and other early American civilizations who invented 1000’s of years ago to the first chocolate bar made in America, the possibilities and benefits of the cocoa bean are constantly being discovered and rediscovered.

At Red Elephant Chocolate, the story of one of the world's greatest foods is present in each bite, sip, or flavor of their premium chocolate delights.

Richard Keenings holds their invented ‘chocolate’ whipped cream puff above special flavor hand decorated truffles.

Red Elephant also draws on the classic Milwaukee tradition of excellence in the chocolate industry. We individually handcraft their selected line to exacting standards. The base of their products is the highest quality all-natural chocolates, including from single-origin South American cocoa. They are also partnering with local family businesses who have passed down techniques and skills from generation to generation.

This is their way of making this rich history your unforgettable story, or shall we say, a chocolate experience you'll never forget!

Red Elephant Chocolate Third Ward Café 333 N. Broadway St., Milwaukee, WI 53202 U.S.A. Phone: 414-431-5509 Click for website.

Chocolate case displaying the individually hand crafted and decorated chocolates made on site.

One of their chocollatiers in their studio creating their delights.

Welcome A New IBAW Member!

Al Schultz Sherwin Industries Sherwin has been manufacturing asphalt and pavement sealers for over a quarter century, and distributes asphalt pavement maintenance supplies and equipment. Click for website.

You Can Make a Difference In Wisconsin!

Spread the word of IBA to your business associates pass on the IBA brochure!

Download it in PDF format or pass the link on.

Available at www.ibaw.com

Get Informed Get Connected Get Involved

Join Wisconsin’s premier business association!

Contact IBAW by clicking here.

THANK YOU SPONSORS...

AT&T Industrial Towel & Uniform Blomquist Benefits Associated Bank Sikich Godfrey & Kahn Park Bank Lauber CFO’s von Briesen Vrakas / Blum Advantage Leasing

Grace Matthews Simandl Law Group, S.C. BSI - Design, Build, Furnish K & S Technologies Judson Commercial Real Estate Reinhart, Boerner, Van Deuren, S.C. Hypneumat Mfg Sponsor support helps IBAW continue to bring insightful programming to small business owners.

Ask about becoming a sponsor today!

2014 – Base Statistics In the past 2 years Waukesha County has experienced 74 industrial expansions of +-20,000 SF or $1mm in investment.

Total Industrial space absorption within the County for 2013 was 1.9 million SF. The reported vacancy rate stands at 3.7% over a 70.2 million SF tracked inventory set.

There are presently 91 buildings that have 10,000 SF or more space available and only four that are in the 90,000 SF and up range.

X

The existing inventory stock is dated. The average age of the 91 availabilities is 1985. Almost 30 years old!

2014 – The Trends to Watch Build to suit activity and new construction could be poised for a break out year. Within Waukesha County, there are only 26 buildings north of 10,000 SF that are for sale. Of the 26 buildings, 15 have been on the market for more than 12 months.

Given the market strength, if a property has remained vacant for north of 12 months, there are either functional issues or pricing issues (or both). Without a proactive approach this class will continue to struggle. Appearance and functionality have supplanted lowest price as primary drivers for facility selection.

There will be upward pressure on pricing for any well- conditioned asset constructed within the past 20 years should it come on the market. Expect price per square foot #’s to get close to 2008 levels for user buildings.

Manufacturing continues to lead the way on capital investments and this trend will benefit Waukesha County’s robust industrial base. IHS Global is predicting that there will be a 7% increase in capital spending for 2014 ($211 Billion) by manufacturers. Nearly double the 2013 amount. The State of Wisconsin will also be entering the 2nd year of the Qualified Production Tax Credit which is gradually eliminating State Income Tax for manufacturers.

2014- The Predictions With an expansion cycle that has had a strong run (74 within the County in two years), and an inventory shortage for existing product, businesses will have to take a much closer look at the construction process to satisfy expansion needs. This could slow overall market momentum given timing and pricing of new construction.

Expect 2 new multi-tenant buildings of 80,000-150,000 SF in the Pewaukee market in 2014.

Small to medium size manufacturing firms will drive more demand in Waukesha County in 2014 than Warehouse/Distribution use.

The market is close to equilibrium at 3.7% vacancy and I do not see much further compression of the vacancy rate. Waukesha County will not be in the news as much this year and I am forecasting year end vacancy of 3.6% with a net market absorption of 350,000 SF. 1285 Sunnyridge Road Pewaukee, WI 53072 262.695.8800 www.judsonrealestate.com

Wisconsin Industrial Market Leaders

Contact Jeff Hoffman, SIOR, CCIM 262.695.8800

jhoffman@judsonrealestate.com

We can’t be responsible how you feel after attending our meetings.

IBAW’s Business Presentation Series offers high level speakers on timely business topics keeping you informed and exhilarated.

Quality programming every month.

That’s IBAW.

“As a result of listening to the speakers today I was able to find and lookup the WI Lean Govt. working group and booked appointments with three departments so far this afternoon.”

- Mark Truesdell, CTAccess / Computer Technologies of Wisconsin, Inc.

“...I am much better informed and educated on a plethora of topics.”

- Todd Poston

Political Advocacy • Education • Networking www.ibaw.com / 262-844-0333 / IBAWOffice@gmail.com

IBAW 960 Timber Pass Brookfield, WI 53045 Office: 262-844-0333 WWW.IBAW.COM

Membership Application Name____________________________________________________________________________________ Company_________________________________________________________________________________ Type of Business___________________________________________________________________________ Address__________________________________________________________________________________ City, State, Zip_____________________________________________________________________________ Phone____________________________________Fax_____________________________________________ Email______________________________________Website________________________________________

PLEASE CHOOSE THE APPROPRATE CATEGORY FOR YOUR INVESTMENT IN THE GROWTH AND STABILITY OF SMALL BUSINESS NUMBER OF EMPLOYEES IN COMPANY

ANNUAL DUES

1–5

$215

6 – 15

$275

16 – 25

$375

26 – 49

$470

50 or more

$600

Sustaining Member

$700

Special! – Pre pay breakfast meetings – 12 for the price of 10

AMOUNT

$300 ENCLOSED AMOUNT:

PAYING BY CHECK ?

Make checks payable to IBA – and mail to: IBA 960 Timber Pass Brookfield, WI 53045

WANT TO PAY ONLINE? You can also pay by Mastercard / Visa at the IBA Membership page. www.ibaw.com ________________________________________________________________________ The Independent Business Association of Wisconsin is a not-for-profit entity filed with the IRS under 501(c)(6) of the Internal Revenue Code. As a not-for-profit association, the members of The Independent Business Association, Inc. are allowed to deduct a percentage of dues that are not used for lobbying purposes. For the year 2013 based on the total income of the association and the lobbying expenses as reported on the Wisconsin State Ethics Board Lobbying reports for 2011 the percent of dues that were used for lobbing purposes is 10%. Therefore, the percent of dues that would be tax deductible is 90%.