MBJ_July18_2014

INSIDE — Investigation leads to $10M settlement with payday lender

35

MBJ FOCUS

YEARS

Small Business

1979

www.msbusiness.com

July 18, 2014 • Vol. 36, No. 29 • $1 • 24 pages

LIQUIDITY »

{Section begins P 12}

» Mauthe Dairy operates with the enviornment in mind

2014

Hybrid Plastics expanding after developing new product line

By WALLY NORTHWAY wally.northway@msbusiness.com

The Lists {P 17} » Main Street Award winners Spotlight {P 4} » After early challenges, owner of prepared dinner business has no regrets PR/Marketing {P 22} » Total ad spending to see largest increase since 2004

A decade ago when Hybrid Plastics announced it was relocating from California to Hattiessburg, the company proved it was not afraid to go its own way. Several national media outlets red the move would be ported Hybrid's demise.

However, Hybrid quickly silenced the critics, finding a wide, global market for its solid polyhedral oligomeric silsesquioxane moleccules while nt offered dipping into the talen through the University of Southern Mississippi's School of Polymers and High Performance See

PLASTICS, Page 9

The three liquid types of polyhedral oligomeric silsesquioxane, also know as POSS. Special to the MBJ

C Spire adding home security to suite of products Her Majesty’s Consul » Great Britain’s Consul General Jeremy in Atlanta Jeremy Pilmore-Bedford visited with the MBJ editorial board last week.

P7

By TED CARTER ted.carter@msbusiness.com

At the launch of C Spire’s ultra-high speed, fiber-based gigabit Internet service, analysts wondered what offerings the Fiber to the Home initiative would include beyond the next generation internet, digital HD television and

nationwide phone service.

They got some answers last Thursday with the Ridgeland telecommunications company’s announcement that a suite of home automation, security and monitoring services will be part of the package. Branded as C Spire Home, the telecom is calling the package the “smart home” promise.

C Spire plans to introduce the new services by the end of the year in Mississippi communities it has selected for the fiber-based gigabit Internet service. The gigabit Internet services are expected to commercially launch in one or See

http://msbusiness.com/events/health-care-heroes-nomination-form/

C SPIRE, Page 5

2 I Mississippi Business Journal I July 18 2014

BANKING AND FINANCE

Investigation leads to $10M settlement with payday lender » The penalties against ACE Cash Express follow last $14 million penalty assessment against Cash America

The customer applies for a short-term loan at an ACE location

The Financial Institution (Bank, ACE or SCO) approves the loan application

By TED CARTER ted.carter@msbusiness.com Texas-based ACE Cash Express, a large payday lender with a franchise store in Hattiesburg, has been hit with $10 million in penalties from the fledgling Consumer Financial Protection Bureau.

ACE Cash Express, CFPB Director Richard Cordray charges, was “relentlessly overzealous” in pursuit of overdue borrowers. ACE Cash Express unlawfully called employers of tardy borrowers and threatened borrowers with lawsuits and criminal prosecutions ACE Cash Express is the largest owner and operator of check cashing stores in the United States and the second largest payday lender.

ACE Cash Express and other payday lenders require borrowers to be employed, have a bank account and show proof of receiving regular paychecks. They must leave a post-dated personal bank check for the principal and fees as security.

Director Cordray said the intimidation used by ACE Cash Express was “part of a culture of coercion aimed at pressuring payday borrowers into debt traps.”

That trap, and the linear progression of how that should occur, was detailed in a graphic included in a company training manual. The CFPB cited the graphic as evidence of a coordinated strategy to trap borrowers in the cycle of compounding debt.

After applying sustained pressure, ACE would offer to relieve the pressure by encouraging the delinquent borrower to pay off existing loans by taking out yet another payday loan, Cordray said.

“Each time, ACE would collect another round of expensive fees, and the borrower would sink even deeper into debt,” he added. “This vicious cycle of debt drained hard-earned dollars from cash-strapped consumers who had few, if any, options available to fight back.”

In a company statement last week, ACE Cash Express said a review by hired firm Deloitte Financial Advisory Services “indicated” that more than 96 percent of ACE’s calls during the review period met collections standards. It noted, however, that it has since quit using outside collection agencies and has stepped up monitoring of its own collections calls.

ACE also denied making rollover loans. “A customer with a delinquent account is not allowed to take out another loan with ACE until the previous loan is paid off,” spokesman Eric Norrington insisted.

Addressing the Deloitte review, CFPB spokesman Sam Gilford said his agency found “methodological flaws that rendered findings suspect.”

Regardless, Gilford added, “The Bureau has a much lower threshold than ACE does for what constitutes an acceptable rate of consumer law violations.”

The action against ACE is actually a “settlement” by which the company agrees to pay the financial penalties without admitting wrongdoing, the agency says. “We’ve put them under an order so they don’t engage in these unlawful practices again,” said Lucy Morris, CFPB enforcement director, in a teleconference with reporters.

The order for ACE to repay $5 million to borrowers and $5 million in federal fines comes slightly more than a year after the CFPB

The customer exhausts the cash and does not have the ability to pay

The customer does not make a payment and the account enters collections

ACE contacts the customer for payment or offers the option to refinance or extend the loan

The Consumer Financial Protection Bureau cited this graphic from an ACE Cash Express training manual to show the short-term lender seeks to entice borrowers into a cycle of debt. levied over $14 million in penalties against large-scale payday lender Cash America.

The CFPB found that Cash America violated the Military Lending Act by illegally overcharging service members and their families.

The penalties included an order for Cash America to pay up to $14 million in refunds to consumers. These violations and the destruction of records in advance of the Bureau’s examination brought a $5 million fine.

The CFPB, created under the Dodd Frank Wall Street Reform and Consumer Protection Act, has authority to oversee the payday loan market and is a clearinghouse for complaints on collections practices y the short-term lenders.

The agency has issued white papers the last two springs that detail disturbing trends in payday lending practices across America. The newest report, issued in late March, found that four out of five payday loan are rolled over or renewed within 14 days.

The study also found that three of out of five payday loans are made to borrowers whose fee expenses exceed the amount borrowed. This occurs through loan renewals, or rollovers, a designation the CFPB gives any low-dollar loans from the same lender to the same borrower within 14 days of each other.

Further, the study found, four out of five payday borrowers who renew end up borrowing the same amount or more. They do this at least once a year, according to the CFPB. The conclusions CFPB reached in its investigation of ACE Cash Express are hardly a news bulletin for those who follow the payday lending sector, said Diane Standaert , legislative counsel for the Center for Responsible Lending, a North Carolina-based non-profit organization created to combat predatory lending.

“I think it means what we’ve known for a long time in that the core of the business model is keeping borrowers trapped in a cycle of debt,” Standaert said.

STATE REGULATORS PROBE PAYDAY LENDER ON SUSPICION OF VIOLATING LOAN ROLLOVER LAW » All American Check Cashing hit with cease and desist order after blocking access to transaction records

By TED CARTER ted.carter@msbusiness.com

Madison payday lender All American Check Cashing is under a “cease and desist” order after refusing to let examiners from the Mississippi Department of Banking and Finance review its records for signs of illegal lending.

Examiners say they suspect All American Check Cashing had a companywide policy of illegally rolling over short-term payday loans. This was done through a formalized policy of having the borrower pay only the fees assessed on the original loan, an arrangement that garners the lender a new set of fees when the loan extension expires, the Department of Banking and Finance says.

Payday lenders require borrowers to be employed, have a bank account and show proof of receiving regular paychecks. They must leave a “delayed” personal bank check as security.

Mississippi law forbids rollover of loans which essentially means “you can’t pay one loan with the proceeds of another loan,” said Taft Webb, director of the department’s consumer finance division.

Webb said his office initiated the cease and desist order after “a couple of days” of All American Check Cashing failing to allow examiners access to records of transactions made at its 41 Mississippi stores.

Examiners were following up multiple complaints received from borrowers about All American’s loan rollover practices, Webb said.

In the order, Webb and Banking Commissioner Jerry Wilson say the department “has reasonable cause to believe that All American check Cashing has violated certain provisions of the Mississippi Check Cashers Act and the Mississippi Title Pledge Act.” As the investigation proceeds, All American can proceed with its payday loans and its other financial retail activities, but can’t take further action on the loans taken out by borrowers who brought the complaints against the company, Webb said.

However, All American also must stop all lending under what the company calls its “Monthly Lending See

STATE, Page 11

July 18, 2014

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Cotton Mill Marketplace breaks ground STARKVILLE — Groundbreaking was Wednesday in Starkville for a 117-room Holiday Inn hotel, part of the the of the Cotton Mill Market Place project now under way at the intersection of Spring Street and Highway 12.

The $20 million investment in the hotel and 15,000-square-foot retail center now under construction should create more than 150 jobs, said developer Mark Nicholas, president of Nicholas Properties. “This is a culmination of a six-year push,� said Nicholas. “We’ve worked with the city for a long time on this project, and they’ve been very supportive.�

He said the Market Place should be open in September, and the Cotton Mill Holiday Hotel will take 12-14 months to build.

The project is directly across Highway 12 from Mississippi State University, on property that was idol with abandoned buildings and rubble, said Nicholas.

Nicholas said the retail center is all but 12 percent leased. Three of the seven tenants include Jimmy John’s Gourmet Sandwich Shop, Hungry Howie’s Pizza and Salsarita’s Fresh Cantina. The hotel will feature a fine-dining steakhouse, said Nicholas.

Courtesy of Nicholas Properties

— Frank Brown / MBJ

The Cotton Mill Market Place (left) is expected to open in September and Cotton Mill Holiday Hotel is scheduled to open in late summer 2015.

Scarlet Pearl Casino Resort will be the first gaming property for D’Iberville, which has been trying to secure a casino for 20 years.

GAMING

Scarlett Pearl Casino construction under way D’IBERVILLE — D’Iberville Mayor Rusty Quave says the tax revenues generated from a casino will allow the city to give raises to police, fire and city employees, as well as pay for much-needed sewer and drainage projects.

Officials broke ground this week for the $250 million Scarlet Pearl Casino.

The Scarlet Pearl is set to open on New Year’s Eve 2015. It will become the 13th casino in South Mississippi.

George Toth, CEO of the developer, Land Holdings I, said the work will bring 500 construction jobs and 1,100 permanent jobs.

The resort will have 300 hotel rooms, restaurants, retail, and conference and entertainment space plus two premium miniature golf courses. “This is what’s going to set us apart. I started to think about all the kids who will play on that course with their parents, their grandparents, the young couples creating the memories,� said Toth.

Toth said the casino will also create jobs. “It makes me feel very proud, because in 2006, I closed a casino in Atlantic City and I put 2,000 people out of work. So now I’ve come full circle, and I’m going to put 1,100 people back to work,� Toth said.

— from staff and MBJ wire services

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4 I Mississippi Business Journal I July 18 2014 PROFILE: COOKIN’ UP A STORM

A passion for food

» After early challenges, owner of prepared dinner business has no regrets

BY ALAN TURNER wally.northway@msbusiness.com

One thing which typically characterizes entrepreneurs of all ages and persuasions is a passion for what they do. This is certainly true for Robin DeVos, owner of Cookin’ up a Storm located in Canton Mart Square in north Jackson.

In a recent meeting, Robin talked about how she came to start the business.

“Early in my career, I worked for various companies, and also owned a janitor-

ALAN TURNER / The Mississippi Business Journal

Cookin up a Storm is located at 1491 Canton Mart Road.

ial business for five years,” she said. “But all of my life, I guess you’d say my hobby and main interest was in cooking. I finally realized that was my gift, and that’s when I decided to start my business.”

Cookin’ up a Storm offers prepared food which customers purchase and take home for dinner or other meals. Among her most popular offerings are a dish she calls “chicken spaghetti,” almond chicken and rice, and always popular with her customers, her chicken pot pies.

“I realized that I didn’t want to wake up old one day and realize that I hadn’t done the things I love most, namely preparing great food. I’ve never looked back.”

She started the business in 2010 and is

quick to admit that there were challenges in the early days, as far as getting the business open and running.

“I’d say you have to learn as you go,” she said.

“People who go into business for themselves Robin DeVos have to learn to adapt to whatever comes their way.”

Robin characterizes herself as a person “who likes to make decisions. I guess I’m a little bit of a control freak.”

She said she comes from a “family of entrepreneurs,” some of whom were wildly successful in their business endeavors.

“So maybe I had those examples to

ALAN TURNER / The Mississippi Business Journal

Stephanie Roberts helps cook and prepare meals at Cookin’ up a Storm.

look to,” she said. “I realized early on that working in the corporate world was not for me … I was like a square peg in a round hole. And I decided I didn’t want to spend one more minute doing something I didn’t love.”

She says her location is perfect, and she serves customers from Jackson, Madison, and Rankin Counties.

“My customers are the best,” she said.

“Without good customers, you just don’t have a business, and people have been great for me. We’re growing nicely.”

Asked her plans for the future, she indicated that she’s considering other locations, both in Mississippi and beyond.

“This is in my blood,” she said. “Why wouldn’t I look to grow my business and make it all that it can be? If you’re in business, you naturally want to be successful.”

In addition to her menu of prepared foods, she also offers made to order sandwiches. She also offers a range of highly tempting desserts, such as vodka chocolate cake, sour cream coffee cake, peanut butter pie, and the great old Southern standard, banana pudding.

“I try to keep a stable menu, so my customers know they can count on certain dishes always being available,” she said.

“However, I do admit that I like to play around with new dishes, and if an item really goes over, we’ll add it to our menu.

You have to be creative and flexible.”

Robin is encouraged to see the growth in north Jackson, including the new Whole Foods market and the development of Eastover.

“I love our location,” she said. “This is a great small shopping center with a great group of business owners.”

As Robin sees it, “you have to love what you do if you’re going to do it all day every day.”

That’s probably perfect advice for anyone who’s been bitten by the entrepreneurial bug.

Cookin up a Storm is located at 1491 Canton Mart Road, and their website is cookinupastorm.kitchen.

ALAN TURNER / The Mississippi Business Journal

Of course, no meal is complete without dessert.

July 18 2014

C SPIRE

Continued from Page 1

more C Spire Fiber to the Home markets by the end of this summer with the home automation, security and monitoring services to follow.

Initial availability will be in one or more of the first C Spire Fiber to the Home cities of Quitman, Ridgeland and Starkville that have qualified areas for related services through pre-registration.

Other home automation markets will be added in the future, C Spire says.

In a press statement Thursday, C Spire said its home package will be “intuitive, simple and easy for consumers to understand and use” through smart phones or any other Web-enabled device. The service will automate such tasks as adjusting the thermostat or turning off lights inside the home from the office or closing the garage door and locking the front door from the other side of town, C Spire says.

The all-digital, IP-based suite of services will be the first in Mississippi offered by a telecommunications provider.

Atlanta telcom analyst Jeff Kagan was among the industry watches curious to know which services would accompany the Internet launch. “They never really talked at about the services this wire line would provide,” he said. “This starts to explain it.”

Look for even more innovative service add-ons as C Spire widens its reach with the gigabit Internet service, Kagan said, describing C Spire as a regional wireless provider that will soon be known as much for its fiber offerings as it is for wireless services.

“This wire line is going to deliver a lot more than home security,” he noted. The ultra-high-speed fiber lines “open the doors to all sorts of new technologies and offerings.”

Today, the likes of AT&T and Comcast are offering the home services in major metro markets. Significantly, said Kagan, Mississippi is gaining big city services ahead of many of the nations larger cities.

“This puts C Spire way ahead of competitors in the region,” he said.

Suzy Hays, C Spire senior VP of Consumer Markets, called C Spire Home a next-generation suite of Internet, digital television, phone, security, monitoring and automation services that helps move us one step closer to making our homes a hub for smarter living.”

Added Hays: “With its unique integration and an intuitive app to easily control and manage every feature, this platform gives consumers what they want and need – meaningful applications coupled with simple, easy interfaces.”

She said the remote home monitoring, automation and security services will be able to control and manage virtually every part of consumers’ homes through a lineup of wirelessly enabled devices, including: » Cameras – see live and recorded video inside and outside the home from your smartphone » Windows and door sensors

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“This wire line is going to deliver a lot more than home security.”

OUR TEAM HAS EXPANDED. SO HAS OUR EXPERIENCE. Butler Snow welcomes new additions to our team.

Jeff Kagan Atlanta telcom analyst

» Smoke, carbon monoxide, motion and broken glass sensors » Door locks » Thermostats » Appliance and lighting controls The C Spire Home touchscreen color control panel, built by Honeywell, is UL certified and will serve as the primary hub to manage C Spire’s all-digital home security, monitoring and automation platform, C Spire said.

The telecom noted that industry analysts expect home security, monitoring and automation services to grow significantly over the next several years as consumers seek more ways to secure and manage their homes from virtually anywhere.

With the 1.9 billion devices that can connect to homes today expected to grow to 9 billion by 2018, the ‘connected’ smart home market is poised to expand dramatically, according to industry research.

Roger Entner, founder and lead analyst for Recon Analytics, said the future of in-home communications and widespread adoption of the ‘connected’ smart home is being driven by “consumers’ desire to harness the power and potential of technology to improve the quality of their lives in the place that matters most to them – their home.”

Entner said he expects consumer interest in smart home solutions to grow with expanded capabilities, usability and other improvements in home security, monitoring and automation solutions.

In addressing pricing of C Spire Home services, C Spire said it will offer several purchasing options and plans to disclose details on monthly pricing and one-time installation costs soon. Hays said the suite of home security, monitoring and automation services from C Spire will be competitive with other smart home offerings on the market today.

Kagan, the Atlanta telecom analyst, said he thinks pricing on the new home services will be competitive with those offered by the telecom giants in major cities.

“I think the more services a customer buys the lower the price for each service,” he said.

“Imagine being able to control everything having to do with your home, automation and security, from a keypad on the wall or your smartphone. You’ve got to love this age.”

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butlersnow.com John A. Brunini is licensed to practice in Louisiana and Mississippi. Neely C. Carlton, Robert B. Harwell, Lauren Raulston McCarthy, and Jonathan H. Still are licensed to practice in Mississippi. Catja Carrell is licensed to practice in Connecticut and Massachusetts. Matthew O. Gray is licensed to practice in Colorado. Jenna C. Newmark is licensed to practice in New York. Brent E. Siler is licensed to practice in Mississippi and Tennessee. Joseph B. Walker is licensed to practice in Tennessee.

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200 North Congress, Suite 400 Jackson, MS 39201-1902 Main: (601) 364-1000 Faxes: Advertising (601) 364-1007; Circulation (601) 364-1035 E-mails: mbj@msbusiness.com, ads@msbusiness.com, photos@msbusiness.com, research@msbusiness.com, events@msbusiness.com

Website: www.msbusiness.com July 18, 2014 Volume 36, Number 29

ALAN TURNER Publisher alan.turner@msbusiness.com • 364-1021 ROSS REILY Editor ross.reily@msbusiness.com • 364-1018 WALLY NORTHWAY Senior Writer wally.northway@msbusiness.com • 364-1016 FRANK BROWN Staff Writer/Special Projects frank.brown@msbusiness.com • 364-1022 TED CARTER Staff Writer ted.carter@msbusiness.com • 364-1017 LISA MONTI Contributing Writer mbj@msbusiness.com • 364-1018

MBJPERSPECTIVE July 18, 2014 • www.msbusiness.com • Page 6

OTHER VIEWS

Remembering how rights were claimed is necessary

M

ississippians commemorating the 50th anniversary of the 1964 Freedom Summer most often are reminded of the violence, including murder, inflicted on some of the activists who stood up to the status quo, demanding the right to vote, public access, integrated schools and full justice under law.

In a broader view, hundreds of separate events contributed to the larger cause and advanced the idea that all people within the American dream must have equal rights, equal treatment and equal opportunity under law.

In Tupelo, what’s known as the March of Discontent registered the grievances of the black community for civil rights. It was stopped by a barricade of police and, as earlier reported, a disturbance broke out and the RC Cola bottling plant’s windows were broken.

Last weekend, a marker was placed by the Convention and Visitors Bureau at the intersection of Frankin and Springs streets, where the march ended. Two landmarks were at that site, the Dixie Belle Theater and the RC Cola bottling plant. The movie house has become a church and the RC Cola building is the law office of Kenneth Mayfield, a Tupelo attorney who was prominent

in civil rights marches and protests during the late 1970s.

Those long ago goals have in part been fulfilled. The right to vote is guaranteed. Integrated schools have been a fact since the late 1960s. Minority hiring remains an issue in some sectors, but progress is measurable.

Mayor Jason Shelton, along with Convention and Visitors Bureau Executive Director Neal McCoy, Councilwoman Nettie Davis and Mayfield unveiled the marker.

“As a community it’s always important to See VIEWS, Page 8

BOBBY HARRISON Contributing Writer mbj@msbusiness.com • 364-1018 TAMI JONES Advertising Director tami.jones@msbusiness.com • 364-1011

» THE OUTSIDE WORLD

» EDITOR’S NOTEBOOK

This has nothing to do with Downton Abbey

MELISSA KILLINGSWORTH Sr. Account Executive

melissa.harrison@msbusiness.com • 364-1030 VIRGINIA HODGES Account Executive virginia.hodges@msbusiness.com • 364-1012

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TACY RAYBURN Production Manager tacy.rayburn@msbusiness.com • 364-1019 CHARINA RHODES Circulation Manager charina.rhodes@msbusiness.com • 364-1045 MARCIA THOMPSON-KELLY Business Assistant marcia.kelly@msbusiness.com • 364-1044 SUBSCRIPTION SERVICES (601) 364-1000 subscriptions@msbusiness.com Mississippi Business Journal (USPS 000-222) is published weekly with one annual issue by MSBJ 200 N. Congress St., Suite 400, Jackson, MS 39201. Periodicals postage paid at Jackson, MS. Subscription rates: 1 year $109; 2 years $168; and 3 years $214.

To place orders, temporarily stop service, change your address or inquire about billing: Phone: (601) 3641000, Fax: (601) 364-1035, Email: charina.rhodes@msbusiness.com, Mail: MS Business Journal Subscription Services, 200 N.Congress Street, Suite 400, Jackson, MS 39201 POSTMASTER: Send address changes to Mississippi Business Journal, Circulation Manager, 200 North Congress Street, Suite 400, Jackson, MS 39201 To submit subscription payments: Mail: MS Business Journal Subscriptions Services, 200 North Congress Street, Suite 400, Jackson, MS 39201.

No material in this publication may be reproduced in any form without the written consent. Editorial and advertising material contained in this publication is derived from sources considered to be reliable, but the publication cannot guarantee their accuracy. Nothing contained herein should be construed as a solicitation for the sale or purchase of any securities.

It is the policy of this newspaper to employ people on the basis of their qualifications and with assurance of equal opportunity and treatment regardless of race, color, creed, sex, age, sexual orientation, religion, national origin or handicap.

The Mississippi Business Journal, is an affiliate of Journal Publishing Company (JPC), Inc.: Clay Foster, president and chief executive officer.

Entire contents copyrighted © 2014 by Journal Inc. All rights reserved.

» HOW TO WRITE Letters to the editor are one of the most widely read features of the Mississippi Business Journal, and they give everyone a chance to voice their opinions about current affairs. We’re interested in what you think and we welcome Letters to the Editor for publication. Here are the guidelines: >> Letters should not exceed 300 words in length as a general rule. >> All letters must bear the writer’s address and telephone number. Street addresses and telephone numbers will not be published, but may be used for verification purposes. Letters may not appear without the author’s name. >> Form letters, thank you letters and letters to third parties generally are not acceptable. >> Letters must be typed or e-mailed. >> Letters must conform to good taste, not be libelous and not involve personal attacks on other persons.

>> All letters are subject to editing, and become the property of the Mississippi Business Journal. >> Letters can be sent to The Editor, The Mississippi Business Journal, 200 North Congress, Suite 400, Jackson, MS 39201, delivered to the newspaper during regular business hours or e-mailed to editor@msbusiness.com. They may also be faxed to Ross Reily at (601)-364-1007.

» CORRECTIONS The Mississippi Business Journal takes seriously its responsibility to provide accurate information, and will correct or clarify articles produced by the editorial department if we have made an error or published misleading information. The correction will be placed in the perspective section.

If you see inaccuracies in Mississippi Business Journal news stories, please report the mistake via email at editor@msbusiness.com.

o, Her Majesty’s Consul General in Atlanta Jeremy Pilmore-Bedford was breezing through Mississippi last week and decided to make a stop at the Mississippi Business Journal.

It wasn’t that long ago that the Consul General from Canada Stephen Brereton came by and visited with us, but somehow it feels a little different when you’re handed a business card for someone working for “Her Majesty”.

The Consul General for any country spends time promoting trade. When Brereton visited, he made a point of noting that Canada was Mississippi’s most polific trading parter.

This time, Pilmore-Bedford made sure to point out that Great Ross Reily Britain is America’s most prolific trade partner and that the U.K. is looking for ways to increase trade between the U.K. and Mississippi.

While in Jackson, Pilmore-Bedford met with Gov. Phil Bryant, Lt. Gov. Tate Reeves, a representative from MDA’s Trade Office and other state officials.

He also toured the construction of Mississippi Power’s Kemper County energy facility to learn about carbon capture technology. The U.K. has two similar pilot projects in North Yorkshire and Aberdeen, Scotland, and is closely watching construction of the Kemper County facility.

Pilmore-Bedford, a lifelong diplomat, has only been on the job in Atlanta since late last year, therefore he is still learning a lot about the South.

On this trip the Mississippi Development AuthorSee REILY, Page 7

PERSPECTIVE

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» RICKY NOBILE

ROSS REILY / Mississippi Business Journal

Her Majesty’s Consul General in Atlanta Jeremy Pilmore-Bedford visits with the Mississippi Business Journal’s editorial board in its offices last week in Jackson

REILY

»FROM THE GROUND UP

Sales tax collections as an economic indicator

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mall business makes a substantial contribution to the economic health of cities in Mississippi. Small businesses not only provide jobs, their sales tax collections are a significant source of revenue for their communities. That makes them economic development engines.

Although the term “economic development” has no standard definition, it is generally agreed that economic development is “the process of increasing the wealth of a community.”

So how do we measure the wealth of a community? To be sure, there are many perspectives on wealth. Quality of life is wealth to some, an educated workforce to others, a strong economy to even others.

Because a city is a corporation, let’s apply this idea of wealth in the way that an investor or an accountant might value a corporation. There are two important measures (statements) in every investment analysis: the balance sheet and the income statement. One perspective is to look at the assessed value of real estate as the balance sheet and sales tax collections as part of the income statement. It is noted that sales tax collections are not the only source of revenue for cities, but they are a good measure of the economic activity of a city.

The number of employees, while important and is an indicator of the overall economic health of a company, it is not the measure of value - or wealth - of a company. Indeed, some companies have seen their values increase by reducing the number of employees. Another way of looking at the concept would be to consider whether a community would rather have 20 new minimum wage jobs versus whether 100 existing highly paid employees received a 20 percent increase in pay from their out-of-state employer. It might very well be that in

Phil Hardwick

such an example that more money came to the community in the latter case.

Having said all that, I was intrigued by the list of sales tax collections as published in a recent issue of the Mississippi Business Journal. As mentioned above, sales tax collections, although not the only source of revenue for a city or town, nevertheless offer a good clue to the economic health of a community.

Comparing sales tax collections for a given period versus another period is useful to chart what economic course a city may be on.

Having let curiosity got the best of me, I compared the sales tax collections of the 10 largest cities by sales tax collections by Year to Date 2014 vs Year to Date 2013, and then calculated the percentage change in each. The results were as follows: City 1. Jackson 2. Hattiesburg 3. Gulfport 4. Tupelo 5. Meridian 6. Southaven 7. Ridgeland 8. Biloxi 9. Flowood 10. Laurel

YTD 2013

YTD 2014

% Change

$28,960,211 $19,353,416 $17,353,416 $16,360,649 $13,190,549 $11,424,967 $11,352,511 $9,964,537 $9,468,575 $8,425,749

$29,094,541 $19,699,766 $17,925,577 $16,464,251 $13,654,718 $11,786,586 $11,741,799 $10,192,708 $9,782,701 $8,858,463

.005 .018 .033 .063 .035 .032 .034 .023 .033 .051

I then identified the 10 municipalities with the lowest tax See HARDWICK, Page 8

Continued from Page 6

ity helped steer his visit as it wants to promote a longterm growth, job creation and the internationalization of the state’s economy.

Pilmore-Bedford had many nice things to say about Mississippi, its people, workforce, education and general hospitality of the state.

But if you’re wondering what sticks out most about his trip to Mississippi, there are three things.

First, as you might expect, Pilmore-Bedford is more than flattering when it comes to Bryant and Mississippi. He notes that Mississippi is “a very business friendly state as is most of the South, but Mississippi goes above and beyond.”

Secondly, he says the most asked question on his tour of the Magnolia State is how does he like fried food in Mississippi?

“Fine, thank you,” is his reply.

Lastly, other that business issues and pointing out Great Britain’s largest corporations that do business in America, Pilmore-Bedford says the single largest misconception of Mississippians about Great Britain is that life there is somehow just like it was in the PBS drama “Downton Abbey.”

I’m not sure there is anything there really to learn except from that other thant there a lot of us that can’t wait for the Season 4.

(Pilmore-Bedford) says the most asked question on his tour of the Magnolia State is how does he like fried food in Mississippi?

“Fine, thank you,” is his reply.

Contact Mississippi Business Journal editor Ross Reily at ross.reily@msbusiness.com or (601) 364-1018

8 I Mississippi Business Journal I July 18, 2014

PERSPECTIVE

»HEALTHCARE AND BUSINESS

» WHAT YOU’RE READING

Expanded Medicaid under ACA cuts uninsured rate

Here are the most-read stories on msbusiness.com from July 8 - July 15.

U.

S. Sen. Roger Wicker recently tweeted the results of a study showing the percent of people without health insurance increasing in Mississippi as evidence that the Patient Protection and Affordable Care Act is not working in the state.

The tweet caught my attention because Wicker, a Tupelo Republican, served as chair of the state state Senate Public Health Committee in the 1990s before going to Washington, D.C., to serve in Congress and always has been viewed as being knowledgeable on health care issues.

The study Wicker cited was done by WalletHub, a social media company that allows people to shop for “smarter financial decisions” and does a litany of state rankings on various issues.

In this particular instance, WalletHub had taken data compiled by the Kaiser Family Foundation, a national nonprofit that focuses on health issues, and on other data to ascertain the number of uninsured in Mississippi and across the nation before and after the Affordable Care Act — also known as Obamacare — was fully enacted this past January.

The results are alarming in Mississippi.

According to WalletHub, the uninsured rate has increased from 18.1 percent pre-ACA to 21.6 percent now.

What is even more alarming is that Mississippi is the only state cited by WalletHub as having its uninsured rate increase after the ACA was enacted. Nationwide, according to WalletHub, the rate decreased from 17.8 percent before to 14.2 percent after the enactment of Obamacare. A couple of states saw their uninsured rate drop by more than 10 percent.

According to the study, only Texas now has a higher percentage of uninsured than does Mississippi.

Coincidentally, an study released by another group, the Commonwealth Fund, says that the percentage of uninsured among the poor had dropped significantly from 28 percent to 17 percent in the states that opted into a provision of the ACA allowing them to expand Medicaid to cover people earning up to 138 percent of the federal poverty level, or about $15,000 per year for an individual.

In the states that did not expand Medicaid, there was basically no change in the percentage of uninsured among the poor.

About half the states have expanded Medicaid while about

1. Ole Miss offering new beacon tech for sports fans 2. Proposals get an ‘F’ from state education leaders Bobby Harrison

half, led by Republicans who opposed the Affordable Care Act, have not. Mississippi, of course, has not expanded Medicaid.

The Commonweatlh Fund, a foundation that focuses on health care improvements, concludes about 20 million people have gotten health insurance through ACA options.

There are numerous other studies indicating that the number of people without health insurance has decreased significantly since the enactment of the Affordable Care Act. Gallup, for instance, shows that the rate of uninsured nationally has dropped from 18 percent to 13.4 percent, according to its latest survey. And it also shows lower rates of the uninsured in states that expanded Medicaid.

Interestingly, according to the aforementioned WalletHub

Mississippi is the only state cited by WalletHub as having its uninsured rate increase after the ACA was enacted. Nationwide ... the rate decreased from 17.8 percent before to 14.2 percent after the enactment of Obamacare.

HARDWICK

Continued from Page 7

collections and performed the same calculations.

1. Falcon 2. Eden 3. Paulding 4. Gattman 5. Sn. Lake Shores 6. Paden 7. Beauregard 8. Sylvarena 9. Glendora 10. Winstonville

$572 $596 $1,258 $1,374 $1,610 $1,778 $2,663 $3,441 $3,769 $3,935

$1,258 $756 $1,644 $1,371 $4,302 $2,169 $2,542 $3,086 $4,725 $2,477

119.9 26.9 30.7 (.002) 167.2 22.1 (.045) (.103) 25.4 37.1

study, in neighboring Arkansas, one of the few Southern states to expand Medicaid, the uninsured rate has dropped from 20.9 percent before the ACA to 13.8 percent now.

While Mississippi governmental leaders opted not to expand Medicaid, more than 62,000 Mississippians did opt to participate in Obamacare by purchasing health insurance, often with the help of federal subsides, on the health care exchange. Studies indicate that a vast majority of people who purchased insurance on the exchange did not have prior coverage.

Without the exchange, one could conclude Mississippi’s uninsured rate would be even higher.

Is that high rate of uninsured Mississippians a failure of the Affordable Care Act, as Sen. Wicker tweeted, or a failure of state leaders?

Bobby Harrison is the Capitol Bureau chief for the Northeast Mississippi Daily Journal. Contact him at bobby.harrison@journalinc.com or call (601) 946-9931.

Based on the above information, it appears that large cities in Mississippi are seeing moderate growth in their economies.

From the small cities list it is obvious that small increases or decreases make a big difference in revenue to a small town.

Jack Shultz, author of Boomtown USA: The 7 ½ Keys to Big Success in Small Towns, calls it the “teeter-toter effect,” meaning that small increases or decreases have a greater effect in small towns. The point of this is to illustrate the usefulness of sales tax collections as an economic measurement.

Here’s hoping your business and your city’s sales tax collections continue to grow.

Phil Hardwick is coordinator of capacity development at the John C. Stennis Institute of Government. Pease contact Hardwick at phil@philhardwick.com

3. Back to school — Jason Walton leading Jackson Prep 4. DAVID DALLAS: Fight on, Chris McDaniel, fight on!

5. Lack of time, money hurting McDaniel’s effort

» MBJ COMMENTS ONLINE

State should value small business owners more RE: “KiOR retains investment bank to explore sale or restructuring” ... Does this surprise anyone, when is the state going to take an interest in the true economic force in Mississippi, The Small Business Owner, I know dozens of people who could take 10 percent of (the amount loaned to KiOR) and turn it in to long term jobs in sustainable industries and retail projects.

The state legislature, if they approved this, should be liable for it. Pie in the sky projects like this and the ill fated “Where’s the Beef” project are a joke.

McDaniel is deluded RE: “Lack of time, money hurting McDaniel’s effort to toss Cochran’s win” ... McDaniel has offered no evidence anyone violated the law by voting in the Democratic primary and The Republican run-off. Instead, he has presented thinly veiled dog whistles claiming blacks are not allowed to vote in a ‘white’ run-off. McDaniel is so deluded he actually believes the neo-Confederate nonsense he professes.

Where’s the MAGIC? RE: “It’s showtime for MAGIC as state launches single accounting system” ... Anybody noticed that it is July 10 and MAGIC is still not up and running?

Dallas is on the mark RE: “DAVID DALLAS: Fight on, Chris McDaniel, fight on!” ... Well put, David. The ugly truth is harsh but nevertheless there. Those who believe in more responsible government to to work harder, well in advance of election time, to get principled, public-service minded, fellow citizens to step up and serve. We need to begin elected those that sincerely seek to have all elected officials and employed public servants as well make the system work– not ‘work the system’.

VIEWS

Continued from Page 6

know where you came from and the history of the community as you look to the future and where we’re going from here,” Shelton said.

Fifty years is ancient history as measured by many people, but its importance as a time of change for the better is invaluable.

Unmet goals remain a challenge, but unity and good will make hurdling them possible and probable.

(The March of Discontent marker is the fourth Civil Rights and African-American Heritage Trail marker in the Heritage Trails Enrichment Program.)

— Northeast Mississippi Daily Journal

July 18 2014

PLASTICS

I

Mississippi Business Journal

I

9

Continued from Page 1

Materials, also in Hattiesburg.

Now, Hybrid is in the process of a major expansion of its 35,000-square-foot plant to accommodate yet another pioneering, in-house developed product — a liquid form of POSS that officials believe will open up yet more new markets.

“When we built our first facility in 2009, we did not have liquid POSS available,” said Dr. Joe Lichtenhan, president of Hybrid Plastics. “We have since introduced this new product line of POSS, and it has been well received by several industries like personal care, coatings, paints and oil and gas.”

POSS is a chemical that bridges the gap between ceramic and organic materials to form a singular molecular composition.

POSS comes in a variety of forms — powder, polymer pellets and now liquid.

Lichtenhan said the liquid POSS offers advantages over the solid forms. It is easier to handle and mixes well with other chemicals without having to be heated, cutting time as well as energy and production costs.

While the company is a pioneer, it has taken its time developing and market testing liquid POSS. A Hybrid technology team perfected the liquid form in 2011 and believed it a winner. Still, Hybrid let the market decide by including the new liquid POSS product in its catalogue. It found takers immediately, and Lichtenhan and his staff were ready to pull the trigger on ramping up liquid POSS production.

The expansion has been executed in three phases. The first two phases — design/engineering and acquisition of equipment — are complete. The final construction phase is underway, and Hybrid hopes to have the new line up and running this November.

The expansion will increase five-fold Hybrid's current capacity to produce liquid POSS. (The company will continue to produce its other solid POSS products.)

Company officials did not give the exact cost of the project, calling it a "multi-million-dollar capital investment." The company expects to add 10 new jobs, bringing the total payroll to 30 workers.

It represents another chapter in a notable history for Hybrid. In the early 1990s, a scientific team under the direction of Lichtenhan and housed at Edwards Air Force Base in California invented POSS, the first new class of chemical feedstocks to be developed in 50 years. In 1998, the team spun this POSS technology out of the Air Force Research Laboratory and founded Hybrid Plastics, carrying it from a small research and development firm to full-blown manufacturer.

In 2004, Hybrid made headlines when it moved to Hattiesburg. Many of those headlines questioned, sometimes harshly, the decision to come to Mississippi.

"We took a little risk and a lot of flack," Lichentan remembered. "(Newspapers) wrote we were moving to the boondocks, and that we would never be heard from

ELI BAYLIS / Special to the MBJ

A side-by-side comparison shows the liquid and solid forms of POSS, a chemical that bridges the gap between ceramic and organic materials to form a singular molecular composition.

again. It was a bunch of hot air." He added that Hybrid used Mississippi-based firms to execute the expansion. "There are some really great engineering, design and installation people in Mississippi."

He added that the relocation put Hybrid next door to the School of Polymers and High Performance Materials, one of only three accredited higher education programs focused on polymers and a ready source of new talent for the company.

The headlines since then have been overwhelmingly positive. For instance, in 2011 it made the news when its POSS was used to enable the world’s first synthetic organ transplant in Sweden. And, just last year R&D Magazine named Hybrid as a winner of its prestigious R&D 100 Award.

Today, Hybrid Plastics is unique among nanotechnology companies because it actually manufactures its nano-products on a multi-ton scale, and nearly half of Hybrid's sale come from overseas customers.

For more on Hybrid Plastics, visit www.hybridplastics.com.

ELI BAYLIS / Special to the MBJ

Hybrid officials story possibilities during an expansion planning session in the manufacturing space.

10 I Mississippi Business Journal I July 18, 2014

A match set to happen: Conn’s and Jackson » Merchandiser prefers to be in previously vacated space in proximity to households with incomes of $25,000 to $50,000

By TED CARTER ted.carter@msbusiness.com The head of retail for Conn's HomePlus says the matchup of the retailer's prototype customer and Jackson's abundance of working class households made the Capital City an easy choice as the Texas company's 85th store location.

Having gone on a growth spree that extended the retailer's reach from its Western origins into South Carolina and back through Tennessee, Conn's found Jackson a natural next stop to make, said David Trahan, retail president of Conn's, a furniture-appliance-electronics seller that will open July 26 in the 43,000 square-foot former Circuit City store at 1051 E. County Line Road.

While Conn's has a scattering of stores in power centers and malls in the West, the merchandiser prefers to set up in second-or-thirdgeneration retail space close to plenty of households with annual incomes of $25,000 to $50,000, Trahan said.

It's a question, he said, “of how many of our core look- alike customers are in a geographic area and can we pull them to our site.”

Conn's stores are typically 40,000 square feet to 45,000 square feet.

Inside, shoppers find nearly equal mixes of furniture, household fixtures,

HEALTHCARE

How Mississippi hospitals scored in U.S. News and World Report’s rankings The Baptist Memorial Hospital-Desoto in Southaven is the best hospital in Mississippi, according to the 2014-2015 U.S News and World Report Best Hospital rankings Memorial Hospital-Gulfport and University of Mississippi Healthcare tied for second best ranked hospital in the state.

The Best Hospital rankings are updated every July and the hospitals are grouped into 16 individual specialty lists that range from cancer treatment to orthopedics.

Southwest Medical Center in Brookhaven and St. Dominic in Jackson tied for fourth. » Baptist Memorial received nationallyrecognized marks in the four specialties of Gastroenterology & GI Surgery, Nephrology, Neurology & Neurosurgery and Pulmonology » Memorial Hospital-Gulfport received nationally-recognized marks in the three specialties of Diabetes & Endocrinology, Nephrology and Neurology & Neurosurgery » University of Mississippi Healthcare

For the Mississippi Business Journal

Conn's stores typically offer a near equal mix of furniture, household fixtures, appliances and bigger-ticket electronics. major appliances and big-ticket electronics.

For an idea of what sets Conn's apart from other such retailers, think the Sears and Roebuck of generations past, said Trahan, who is in his 28th year with the publicly-held Conn's (NASDAQ:CONN).

Sears and Roebuck marketed itself to working people through offering “aspirational” items such as dining sets, bedroom suites and modern ovens, dishwashers and refrigerators on credit terms they could afford. Customers ventured into the stores to make monthly payments and – not coincidentally — often spotted new items they aspired to own.

The 120-year-old Conn's in many ways follows that model with its “Yes Money” consumer financing, a program Trahan said is accomplished through the retailer's ownership of a financing arm. Customers who have yet to establish strong credit or have dings on their credit can get financing on store items, Trahan said.

received nationally-recognized marks in the three specialties of Cancer, Nephrology and Urology » Southwest Medical Center received nationally-recognized marks in the specialty of Neurology & Neurosurgery » St. Dominic received nationally-recognized marks in the specialty of Neurology & Neurosurgery The rankings are based mostly on death rates of patients who represent especially challenging cases and on overall patient safety. Hospitals are also ranked on their reputation, which are based on annual physician surveys.

The three best hospitals in the nation are the Mayo Clinic in Rochester, Minn., Massachusetts General Hospital in Boston and John Hopkins Hospital in Baltimore, Md.

HEALTHCARE/TECHNOLOGY

UMMC. St. Dominic among ‘most wired’ JACKSON — The University of Mississippi Medical Center and St. Dominic Hospital were recently named to the 2014 “Most Wired” list for health-care facilities by Hospitals & Health Networks Magazine. This is the second time UMMC has been recognized with the honor.

UMMC and St. Dominic were two of four medical

“About 75 percent of our purchases are put on our house credit program,” he said, noting terms run from six months to 25 months.

Trahan estimated that buyers who receive Conn's house credit pay rates that are a third of the charges they would encounter at rent-to-own stores. “It absolutely is” much less expensive, he said.

“First and foremost, you get a new product and a bigger selection.”

Added Trahan: “It’s about that $25,000 to $55,000 household income – that is our core customer.”

The retailer, headquartered in The Woodlands outside Houston, also has a conventional credit card as well as a credit option offered to higherrisk borrowers through an outside finance provider, according to Trahan.

Return customers are another distinction Conn's has in common with Sears, the retail president noted.

“Even with all the new stores we have opened in the last year and a half, approximately 65 percent of our customers are repeat business.”

centers in Mississippi to be recognized as “Most Wired” in the study. Others were North Mississippi Health Services in Tupelo and Magnolia Regional Health in Corinth, which was named as one of the “Most Improved” facilities in the state.

In partnership with the American Hospital Association, the magazine conducts the survey each year to recognize organizations for excellence in IT services and technology deployment in patient care.

For instance, the magazine says, 67 percent of Most Wired hospitals share critical patient information electronically with specialists and other care providers. Most Wired hospitals, those that meet a set of rigorous criteria across four operational categories, have made tremendous gains by using IT to reduce the likelihood of medical errors. Among Most Wired hospitals, 81 percent of medications are matched to the patient, nurse and order via bar code technology at the bedside.

“The Most Wired data show that shared health information allows clinicians and patients to have the information they need to promote health and make the most informed decisions about treatments,” said Rich Umbdenstock, president and CEO of the American Hospital Association.

“Hospitals, their clinicians and their communities are doing tremendous work to enhance their IT systems in ways that support care and delivery.

— from staff and MBJ wire services

ENERGY

Lab ranks TVA in Top 10 in Green Power revenue NORTH MISSISSIPPI — The Tennessee Valley Authority is one of the top 10 utilities for green power sales.

The U.S. Department of Energy’s National Renewable Energy Laboratory ranked TVA at number nine nationally for 2013.

In addition, the city of Oak Ridge was designated the U.S. Environmental Protection Agency’s first Green Power Community in the Southeast. That’s based in part on participation in TVA’s Green Power Switch program.

According to the utility, Green Power Switch gives consumers and businesses the opportunity to buy blocks of electricity generated by renewable resources like solar and wind.

Oak Ridge increased participation in Green Power Switch from 500 customers to more than 800 during a two-month campaign. The enrollment represents more than 5 percent of Oak Ridge’s customers, the highest rate of any community in the program.

— from staff and MBJ wire services

July 18, 2014

STATE

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Mississippi Business Journal

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Continued from Page 2

Program, he said. Under this policy, employees are illegally directed to accept only the fee on a delayed deposit check and “further instructs them on how to illegally roll a check during the middle of each month, the cease and desist order states.

The order notes All American designed the program especially for borrowers who get monthly paychecks or government benefit checks.

Webb and Wilson said examiners discovered the “Monthly Lending Program” on All American’s intranet last month. “Multiple examined locations have also confirmed participation/use of the program,” they said.

In a further demand, Webb and Wilson addressed the use of the “delayed” deposit checks borrowers must give All American as a requirement of the loan. The company, they said, must cease and desist from “rolling” checks, renewing checks and “in any form or fashion using the proceeds of one delayed deposit check to pay the principal or fee owed on any other delayed deposit check.”

In an indication they suspect All American is lending to borrowers who do not have actual bank accounts, Webb and Wilson’s order forbids the company from doing delayed deposit transactions for customers who do not maintain legitimate bank accounts. The order further prohibits transactions based on a prepaid debit card instead of a bank account.

Webb, in an interview Tuesday, said he is unsure when the department will complete its investigation. While each violation can bring a fine of up to $500, findings of serious wrongdoing could lead to revocation of All American Check Cashing’s license to operate in the state, according to Webb.

“We are in the very early stages of the investigation,” he said.

“Over twothirds of that is due to churning borrowers every two weeks”

‘No Meaningful Regulation’ Diane Standaert In Mississippi, Center for Responsible Lending’s payday loans are legislative councel either tier one or tier two. Tier one loans are limited to a combined total of $400 and have a twoweek repayment period. A tier two loan is a single loan of from $250 to $500 and must be repaid within 28 days. The state allows a fee of $22 to be assessed on each $100 of a tier one loan and $44 on a single tier two loan.

The Center for Responsible Lending, a non-partisan watchdog organization based in North Carolina, designates Mississippi as among states lacking laws that provide meaningful regulation. The organization, created to combat predatory lending, estimates Mississippians pay $261 million a year in fees to the state’s slightly more than 1,000 payday lenders.

“Over two-thirds of that is due to churning borrowers every two weeks,” said Diane Standaert, Center for Responsible Lending’s legislative counsel.

Source: PAYDAY LENDING ABUSES AND PRED ATORY PRACTICES by the Center for Responsible Lending

In Mississippi and elsewhere in the United States, 75 percent of the fees handed over to payday lenders come from borrowers who take out more than 10 loans a year, Standaert said.

Mississippi’s “no meaningful regulation” designation is merited by the payday-lender friendly provisions legislators inserted into a 2012 renewal of the state’s payday lending law, said Paheadra Robinson, an attorney and the Mississippi Center for Justice’s director of consumer protection.

As revised, Mississippi’s law helps to ensure borrowers stay trapped in a debt cycle, she noted in an interview Tuesday.

The law increased the allowable loan amount from $400 to $500 but lengthened the repayment period from 14 to 28 days and limited the fees attached to 28-day loans.

But it left lenders a way around the 28-day repayment period and fee limit that accompanied it, Robinson said. Say a borrower needed $400.

Instead of making a tier two loan of $400 with a fee cap of $44, the lender uses its leverage as the loan authorizer to persuade the borrower to take out four $100 loans, each of which carry a fee of $22, she explained.

The borrower gets his $400 but he also is owes $88 in fees and has 14 fewer days to pay up.

It’s all legal, Robinson said.

But what is not legal though widely practiced in Mississippi is an arrangement by which the borrower, on a continuing series of 14-day due dates, keeps paying the $88 in fees, she added, with the $400 principal remaining intact.

“That is what that company (All American Check Cashing) was doing,” she said.

“We can’t wait to see the final outcome.”

11

AN MBJ FOCUS: SMALL BUSINESS

Old-fashioned flav

Mauthe Progress Dairy Barn products provid

sio m

By BECKY GILLETTE mbj@msbusiness.com

I Courtesy of Mauthe Progress Dairy Barn

Mauthe sells more than 500-600 gallons of milk in glass bottles that are reused.

N AN ERA WHEN MANY small dairies in the U.S. are struggling to survive, the Mauthe Progress Dairy Barn located near McComb in southwest Mississippi is thriving by bringing back old-fashioned ways including selling milk in glass bottles that are reused and producing a type of cheese indigenous to New Orleans that was extinct before the Mauthes family revived it in 2001.

While glass bottles cost more, the Mauthes consider it worth it. They sell 500 to 600 gallons in glass jars per week.

“That is 500 to 600 plastic jugs that are not going into a landfill somewhere,” Kenny Mauthe said. “People will tell you milk in glass jars tastes better, as well. It keeps better. It stays colder.”

They also sell milk in BPA-free plastic jugs. Again, that costs more, but they feel it is the right thing to do.

“Our grandchildren all drink this milk,”

ing Pl $5 ar wa pa

Courtesy of Mauthe Progress Dairy Barn

The Mauthe family are front row, from left, Daniel Mauthe, Katie Mauthe Cutrer, Sarah Mauthe Tullos, Travis Mauthe. Back row are parents Kenny and Jamie Mauthe.

Mauthe said.

While it is not certified organic, the dairy follows organic practices such as using natural fertilizers including fish emul-

be ou W am fro is sel pu

Mauthe currently has 36 milk cows.

Courtesy of Mauthe Progress Dairy Barn

The dairy makes other products such as yogurt and cheese.

Courtesy of Mauthe Progress Dairy Barn

Courtesy of Mauthe Progres

Mauthe also sells milk in BPA-free plastic jugs, which cost the more than other plastic jugs.

July 18, 2014 • MISSISSIPPI BUSINESS JOURNAL • www.msbusiness.com

lavor

provide taste of history

ogress Dairy Barn

he Cutrer, ie Mauthe.

sion fertilizer, poultry litter and waste whey from the cheese making to fertilize pastures.

Recently the Mauthe’s efforts to go down the natural dairying path lead to them winning the Green American People & Planet Green Business Award that carries a cash prize of $5,000 to each of the three national winners. The Mauthes are using the award money to purchase an irrigator to pump wastewater out of the lagoon to irrigate and fertilize their pastures.

“We’re thinking from now on we are pretty much going to be able to use that and whey for our source of fertilization for our pastures,” Mauthe said. “We have a total of 50 acres here.

We were trying to figure out an irrigation system for a small amount of land feasibly priced and found a stationary unit from Alfa Ag that we will move with a tractor or truck. This is the right thing to do environmentally. We want to be self-sustainable as much as possible so we don’t have to purchase our chemicals.”

organic sh emul-

Courtesy of Mauthe Progress Dairy Barn

c jugs, which cost the farm

See

MAUTHE, Page 16

Courtesy of Mauthe Progress Dairy Barn

The traditional Creole cream cheese was revived under the Mauthes.

14 I Mississippi Business Journal I July 18, 2014

SMALL BUSINESS

So, you want to open a home-based business? » Many success stories have begun at home, but be sure to study before you get started

By LISA MONTI mbj@msbusiness.com

So you want to start a home-based business. You’re not alone. The Small Business Administration estimates that more than

half of all U.S. businesses are based out of an owner’s home. The SBA notes that Apple Computer, Hershey’s, Mary Kay Cosmetics and Ford Motor Company all started as home-based businesses.

Those shiny examples aside, there are

potential pitfalls to such undertakings if you don’t do your homework. The SBA suggests that before you dive into a homebased business, ask yourself if you can live and work in your home. What changes will you have to make to the living arrange-

ments of your and your family? How much will working at home add to your expenses?

What will your neighbors think?

Advantages of operating a business based in your home include no commuting time or expense, less or no childcare costs, flexible working hours, lower costs to operate your business, tax write-offs, employment opportunities for relatives working for you and satisfaction of being your own boss.

The downside of working at home includes maintaining a work schedule, isolation without co-workers and separating work from real life in the same space.

There may also be legal requirements regulating home-based businesses in your community such as zoning ordinances and restrictions on the production of certain items.

The good news is, there is an abundance of help and advice to get you on your way from SBA and other organizations and agencies.

“We work with a ton of startups and we see a lot the same mistakes,” said Tony Jeff, president and CEO of Innovate Mississippi, a nonprofit organization that fosters technology-based economic development for the state.

One misstep is not getting feedback early on from customers. “Don’t wait to talk to or even sell to your customers, even before you start your business if you can, ” Jeff said.

Jeff said many inexperienced entrepreneurs have an irrational fear of immediately being overwhelmed with customers and work. “I’ve never seen that happen,” he said. “It’s a fallacy I hear all the time.”

Another pitfall to avoid is overspending on rent and equipment at the get go. “With today’s technology and virtual incubators, there is absolutely no reason to spend a lot of money on an office or equipment until you have orders and customers,” Jeff said.

Most startups don’t have a lot of meetings so there’s no need to pay for a conference room. Jeff suggests asking your bank to borrow meeting space if it’s needed.

Eager entrepreneurs often are tempted to spend money they don’t have while their venture is getting off the ground. Renting, leasing or using someone else’s space or equipment get the job done while saving money, Jeff said. “Spending less money is critically important in the early days,” he said. “Saying ‘If I could spend $100,000 I could get my first customers is like jumping out of a plane and then packing a parachute.”

Jeff advises entrepreneurs to know who See

HOME, Page 16

“Partnering with a bank that values flexibility, reliability and integrity was a real TURNING POINT for our business.”

Derek Starling Sr. & Willie A. O’Neal Jr.

SOL Engineering Services LLC - Jackson, MS

Get the whole story at regions.com/turningpoints

Friends since engineering school, Derek Starling Sr. and Willie A. O’Neal Jr. are the owners of SOL Engineering Services LLC, a company that has steadily expanded beyond its municipal and civil engineering roots. After facing the initial challenges of starting a business, Derek and Willie quickly realized the importance of having a reliable banking relationship and turned to Regions Banker LoRose Hunter.

LoRose delivers results for the business with reliability and integrity. While these business partners focus on navigating state and municipal contract bids and managing innovative projects, LoRose helps them aggressively pursue opportunities for growth. Derek and Willie are thankful to have found a banking partner who not only shares their values, but also their vision for moving forward. To see how we can help your business move forward when it’s at a turning point, turn to Regions.

Loans | Treasury Management | Can-Do Attitude © 2014 Regions Bank. All loans and lines subject to credit approval.

SMALL BUSINESS

16 I Mississippi Business Journal I July 18, 2014

Photo courtesy of Sara Roahen and Southern Foodways Alliance

Photo courtesy of Sara Roahen and Southern Foodways Alliance

Kenny and Jamie Mauthe expanded the Mauthe family dairy business into the McComb area in the 1980s..

Mauthe Farms’ creole cream cheese with summer fruit.

MAUTHE

Continued from Page 13

While many consumers are familiar with the term grass-fed, and the health advantages of grass-fed meat including higher rates of omega-3 fatty acids that are are good for the heart, some grain feeding is helpful for milk production.

“With the genetics the cows have today, we have to feed some grain to have a healthy cow,” Jamie Mauthe said. “Genetically, they are made to produce a lot of milk. A dairy cow needs some grain to keep her in good body condition. We do feed a small amount of grain while we milk, and the rest is grass.”

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“FCCI’s culture stands out. We are a big company, but we don’t act like one. When I go out and visit policyholders with agents and our loss control consultants, our goal is to get to know and really help the agents and policyholders we work with.”

Trey Stone, CIC Senior Marketing Underwriter Gulf Coast Region Birmingham, Alabama Now, let’s talk about your business. liability t Auto t Property t Crime

General Workers’ compensation t Umbrella Inland marine t Agribusiness t Surety Coverage available in 18 states. © 2014 FCCI

The dairy makes value-added products such as yogurt and cheese, including their signature Creole cream cheese that was no longer being made until the Mauthe family revived the tradition.

“It used to be called old-fashioned clabber, Mauthe said. “We sell it, and we also make cheesecakes out of it. It is a soft, white cheese that has the heavy cream poured back on top of it. The Creoles made it famous in the 1800s before refrigeration, and would sell it in the French Quarter.”

Kenny Mauthe’s family started dairying in New Orleans in the 1930s in the lower Ninth Ward, and sold Creole cream cheese.

The Mauthe dairy moved north to Folsom, La., in the 1950s, a dairy still operated by Mauthe’s dad, Henry Mauthe. In the 1980s, Jamie and Kenny Mauthe moved 45 miles to McComb to begin dairying there.

Their quest to bring back the Creole cream cheese got a big lift when the Slow Food International Chapter of New Orleans did an article on them. Prior to the article, they were selling 100 packages of Creole cream cheese per market day in New Orleans. After the article came out, they sold 500 in 45 minutes.

“Now we are in 36 grocery stores in the New Orleans area,” Jamie said. “Kenny’s dad buys his milk from us and processes it at his facility in Folsom. He sells 600 per week in Louisiana and we are selling about 800 a week in Mississippi.”

The Mauthes sell products at farmer’s markets in New Orleans and Covington,

HOME

Continued from Page 14

to market their products or services to, specifically the people who want the advantage of buying what you’re selling versus your competitors. “Name the first 10 people you are going to call. If you can’t answer that, you haven’t done real market

La., and McComb and Jackson. They are currently also the largest vendor for the Good Egg food buying club, and also sell through Hollygrove Farm and Markets, a storefront grocery story in New Orleans that sources products from farmers within a 200-mile radius. Another good outlet for them is the Beaverdam Fresh Farms buying club based out of Starkville, which also sources from local producers.

Currently the Mauthes milk 36 cows, and every bit of the milk is processed. The business has been doing so well they have been able to bring both of their daughters into the operation. Sarah Tullos, 32, is in charge of the cheesecake business, and Katie Cutrer, 30, is head of processing.

“We all kind of wear every hat here,” Mauthe said. “We all milk. We all go to farmers markets. We all do delivering.”

Other fresh cheeses they make include a farmhouse cheddar and a spreadable cheese, fromage blanc. Their whole milk yogurt is also popular, especially as it is difficult to find whole milk yogurt, and any kind of yogurt, that is not loaded with sugar.

Kenny, the head cheesemaker, started learning the business in 2001 working with a professor who headed the dairy science department at Louisiana State University.

He also got help from a “secret ingredient”…a woman who has provided expert consultation that has helped them with production problems.

“Cheese-making can be challenging and she has helped us more than once,” he said.

segmentation,” he said.

Jeff said he is frustrated about one thing that most Mississippi entrepreneurs fail to do. “We just don’t think big enough,” he said. “We say we want to be the biggest in the Pine Belt, for example, when to me the really interesting companies are the ones that want to be the biggest in the world.

People need to be thinking bigger.”

MISSISSIPPI MAIN STREET AWARD WINNERS Name of Award

July 18, 2014

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Mississippi Business Journal

Winner

Best Façade Rehabilitation Over $10,000 Best Façade Rehabilitation Under $10,000 Best Historic Rehabilitation Project Best New Signage Best Public Improvement Project Best Adaptive Re-¬use Project Spirit of the Creative Economy Best New Development Project Best Community Collaborative Project Best Creative Fundraising Project Best Public-¬private Partnership Project Best Image or Branding Promotion Best Image or Branding Promotion Best Retail Promotion Best Special Event Main Street Merchant of the Year Sam Kaye Excellence in Design Award Special Service Award (Private Sector) Special Service Award (Public Official) Spirit of Main Street Spirit of Main Street Spirit of Main Street Spirit of Main Street $500 Scholarship: Excellence in Main Street $500 Scholarship: Excellence in Main Street $1,500 Scholarship: Main Street Manager of the Year

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17

Program and/or Town

The Grover Hotel Wilbourn Building Revitalization The Thompson House Starkville Wayfinding Signage Square Renovations Phase One Crawdad Hole Jr. The Winery at Williams Landing Renasant Bank Caroling on the Square Feast for the Farmers Off The Square Market American Rhythm Greenwood: That's So Delta Doubloon Deals Delta Hot Tamale Festival Alexe van Beuren Larry Albert, Albert and Associates Architects Stephanie Patton Mayor Billy Nowell Erin Napier Lawson Grimes Mike Bryan Nancy Kidd Kay Carter Kim Hopkins Ellen Russell

Team Cleveland Main Street Batesville Main Street Association Leland Chamber of Commerce Greater Starkville Development Partnership Carthage Main Street Water Valley Main Street Main Street Greenwood Greater Starkville Development Partnership Canton Chamber/Main Street Downtown Tupelo Main Street Pontotoc County Main Street Downtown Tupelo Main Street Main Street Greenwood Biloxi Main Street Main Street Greenville Water Valley Main Street Historic Hattiesburg Downtown Association Leland Chamber of Commerce Team Cleveland Main Street Laurel Main Street Aberdeen Main Street Amory Main Street New Albany Main Street Biloxi Main Street Vicksburg Main Street Pontotoc County Main Street

F OR OR S LE AL AS E E

Source: Mississippi Main Street Association. Please send questions and comments to Wally Northway at research@msbusiness.com.

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NEWSMAKERS

18 I Mississippi Business Journal I July 18, 2014

Areng replacing Carriere Renee Areng, the assistant director of tourism for Visit Baton Rouge in Louisiana, is the new executive director of the Mississippi Gulf Coast Regional Convention and Visitors Bureau. Areng is currently executive vice president of sales and marketing at Visit Baton Rouge, where she has worked since 2002. She will join the Gulf Coast team Aug. 1.

Her appointment follows a seven-month search after Beth Carriere resigned in November.

King wins award Justice Leslie D. King of Greenville is this year’s recipient of the Chief Justice Award. The award recognizes King’s 19 years of service as an appellate judge. He was elected to the Court of Appeals in 1994 and began hearing cases in January 1995. He served as chief judge of the Court of Appeals from 20042011. At the time he left the Court of Appeals, he was its longest-serving member, having been elected to the court at its inception. He was appointed to the Mississippi Supreme Court on March 1, 2011.

Before he was elected to the Court of Appeals, King served for 15 years in the House of Representatives. He was vice chair of the House Ways and Means Committee and vice chair of the Conservation and Water Resources Committee. He is a former Washington County Youth Court counselor, prosecutor and public defender, and former Metcalfe municipal judge.

King graduated from the University of Mississippi and Texas Southern University School of Law.

Liao elected as Fellow Jun Liao, a Mississippi State University engineering faculty member, recently was elected as a Fellow of the American Heart Association. He is an associate professor of biomedical engineering in the university's James Worth Bagley College of Engineering. Liao is a doctoral graduate of the Cleveland Clinic Foundation and Cleveland (Ohio) State University. His research has focused on cardiac and heart valve biome- Liao chanics, regeneration and simulations. A member of the American Heart Association since 2005, Liao has published 45 peer-reviewed journal articles and five book chapters. In addition to the heart association, his work has been supported by the National Institute of Health, U.S. departments of Defense and Energy and NASA. Liao joined the agricultural and biological engineering department in 2007 following post-doctoral training at the University of Pittsburgh. He also holds a bachelor's degree in physics from Sichuan University in China.

Stockholders elect directors Stockholders of Southern AgCredit recently elected Gene Boykin of Rolling Fork and re-elected Reggie Allen of Brookhaven and T.C. Hall of Gloster, La., to the lending cooperative’s board of directors. All three directors will serve three-year terms.

The Southern AgCredit 10-member board also includes chairman Kevin Rhodes of Pelahatchie; vice chairman Scott Bell of Lena; Van Bennett of Spearsville, La.; Allen Eubanks of Lucedale; Larry

Strange made president Dr. Paula Stewart Strange has been named the 139th president of the Mississippi Dental Association. She is only the second female to hold that position. Strange, a native of Raymond, received a certificate of dental hygiene in 1981 from University of Mississippi School of Health Related Professions.

After practicing for 14 years and three children later, she returned to University of Mississippi School of Dentistry where she became a 1995 cum laude graduate and for 16 years practiced as a sole practitioner at Paula Stewart, D.M.D. & Assoc. In June 2012, she relocated her practice from Clinton to Highland Village in Jackson.

Strange Strange has always been active in the dental organizations, the community and the church. Recently she served as president of the District IV Dental Society, MDA elected alternate delegate to the American Dental Association and the MDA board of trustees. She is a past president to the Mississippi Dental Alumni Association, and is still serving as a board member. She is a lifetime member of The Guardian Society, a Fellow of the American College of Dentists and the Pierre Fauchard Academy member, member of Mississippi Association of Women Dentists, American Academy of Cosmetic Dentistry and the Jackson Dental Study Club. Strange is also a governor-appointed board member of the Mississippi Radiation Advisory Council.

Killebrew of Lexington; Emery Skelton of Winterville; and Linda Staniszewski of Hattiesburg.

MPA elects McNeece Joel McNeece, 44, the publisher of The Calhoun County Journal in Bruce, has been elected the 142nd president of the Mississippi Press Association. He will serve as president of MPA and Mississippi Press Services Inc., an affiliated advertising and marketing service.

McNeece and his wife, Lisa, and sister-in-law, Celia Hillhouse, own and operate the McNeese 5,000-circulation weekly newspaper. Lisa McNeece is a former president of MPA, and her father, the late S. Gale Denley, is a past president and member of the MPA Hall of Fame. McNeece has worked in the newspaper industry for more than 20 years during which time he has won numerous awards for writing in news, sports and his weekly column. In 2009, McNeece was honored with the Dan Phillips Leadership Award from the National Newspaper Association. He currently serves as Mississippi state chairman for NNA. McNeece has served multiple times as president of the Bruce Chamber of Commerce, three times been named Chamber Member of the Year and served 13 years on the organization's board of directors. He is also a Paul Harris Fellow and past president of the Bruce Rotary Club. He has served as the chairman of the Bruce Museum board of directors since 2006 and twice been named Bruce Citizen of the Year.

Also elected to leadership positions were first vice president Don Norman, publisher of the Starkville Daily News; second vice president Paul Keane, publisher of The Wayne County News in Waynesboro; and treasurer Tracie Fowler, general manager of the Hattiesburg American. Jim Prince, publisher of The Neshoba Democrat and president of Prince Newspaper Holdings Inc., becomes immediate past president and chairman of the MPA Education Foundation.

Elected to three-year terms as directors were Stephanie Patton, editor and publisher of The Leland Progress, and Clay Foster, publisher and CEO of Journal Inc., the parent company of the Northeast Mississippi Daily Journal in Tupelo and the Mississippi Business Journal.

Tim Kalich, publisher and editor of The Greenwood

Commonwealth, was awarded the J. Oliver Emmerich Award for Editorial Excellence for a commentary piece written about Gov. Phil Bryant and the debate over Medicaid expansion in Mississippi. It was the third year in a row and fourth time overall Kalich took the honor, setting a record in the category.

The Mississippi Business Journal won 14 awards in the mid-size weekly category, including second in General Excellence. Ted Carter won the In-depth/Investigative Coverage category. Editor Ross Reily won the Editorial Page and Editorial Writing categories. Frank Brown won for Best Graphic, Best Headline and Best Feature Photo. Stephen McDill won the Sports News Story category and shared a Picture-Story Combination win with Clay Chander.

Carter finished second in Planned Series and third in General News Story. Tacy Rayburn was second in the News Photo category. The staff took second and third in Special Sections.

Turner dies at 81 John Franklin Turner, longtime owner and editor of the Greene County Herald in Leakesville. He was 81.

A native of Washington County, Ala., and resident of Leakesville, Turner graduated from Washington County High School and the University of Southern Mississippi. He served in the U.S. Army during the Korean Conflict. He also served on the Mississippi Prison Industries Corporation board of directors for 18 years.

He was a member of First Baptist Church of Leakesville where he served as deacon and last year was honored as deacon emeritus. He was a founding member of Leakesville Volunteer Fire Department, and was a former Civil Defense Director of Greene County.

In his spare time, Turner loved to fish and hunt.

Whitt earns doctorate Stephen W. Whitt, executive director of The Innovation Center in Biloxi, has received a doctorate in education from the University of West Florida in Pensacola. Whitt has been in the business incubator field for over a decade and has spent the last eight years in the Biloxi facility.

His dissertation was titled “Business Incubator Effectiveness in Facilitating Entrepreneurial Accesses and the Impact on Incubator Client Firm Sustainability and Profitability.”

Perry promoted, Rhoades welcomed Eley Guild Hardy Architects has promoted Heath Perry to principal. Perry received a bachelor of architecture in 1998 from the University of Tennessee and joined EGH upon graduation. In 2002, Perry passed his ARE and became a registered architect. During his career, he has been actively involved in CSI (Construction Specifications Institute) currently serving as its treasurer for the past 13 years and is the past president of the CSI Gulf Coast Chapter. Perry, a native of Winfield, W.V., currently resides in Saucier with his wife, Laura, and two children, Laurie and Slade. He spends quality time with his children serving as a head coach for Woolmarket AllStars and attending mission trips with the youth group from his church. When Perry has time, his hobbies include fine woodworking (furniture), hunting, fishing and shooting sports.

Eley Guild Hardy Architects also welcomes Adam Rhoades as an intern architect. A native of Champaign, Ill., Rhoades received a bachelor of architecture in 2014 from Mississippi State University. While attending MSU, he was actively involved with the Alpha Rho Chi fraternity doing various charitable and volunteer work as well as hosting professional events for the students in the College of Architecture, Art + Design. Rhoades is the son of Ron and Dinah Rhoades and currently resides in Diamondhead.

Treasury adds Nordan, Scoggins Emelia Nordan is the new policy director at the state Treasurer’s Office. Nordan has been with the Treasurer’s Office since 2012. She began working with the College Savings Mississippi Program and more recently has served as aide to Treasurer Lynn Fitch. Nordan is a graduate of the Trent Lott Leadership Institute at the University of Mississippi and has a degree in public policy leadership.

Nordan fills a vacancy created by the departure of Ashley Comstock. Comstock had served as policy director since the beginning of Fitch’s term in 2012 She is returning to the private sector to work for Jackson-based, Mississippi Legislative and Consulting Group, LLC. Also, Marcy Scoggins, of Madison, will join the treasurer’s staff as executive assistant to Fitch. Scoggins has over 18 years of experience in government, and comes to the agency after serving as an assistant scheduler for former Senate Majority Leader Trent Lott and as director of scheduling for former Congressman Chip Pickering and Congressman Gregg Harper. She is a graduate of the College of Business and Industry at Mississippi State University.

Mitchell dies at 77 Mariel Wayne Mitchell recently died in Tupelo after a long illness. He was 77. An Itawamba County native, Mitchell graduated from Itawamba Community College and attended Freed-Hardeman University, the University of South Alabama and the University of South Mississippi. He served as a minister in Florida, Alabama and several locations throughout Mississippi. He began his preaching career in 1957 at the Kosciusko Church of Christ.

Mitchell purchased The Belmont and Tishomingo Journal in August 1976 and later The County Shopper.

Also he owned KeMa Publishing.

Mitchell was appointed by Gov. Haley Barbour in January 2011 to serve on the Mississippi State Board of Funeral Service as an at-large member, and was honored by being selected as the secretary/treasurer for the group. He spent the last 17 years as the minister of the Mt. Gilead Church of Christ in Itawamba County, the place where he preached his first sermon in 1952.

NEWS MAKERS

July 18, 2014

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Mississippi Business Journal

Haralson earns certification Board chooses Bagley

Davis to lead patrol

Firm welcomes McGuire

Christopher Haralson, MS, ATC/L, an athletic trainer with the Rush Health Systems sports medicine team, has received certification from the Titleist Performance Institute (TPI).

According to Rush, Haralson is now the state’s first and only TPI certified level 2 fitness professional.

Law enforcement veteran Keith Davis is the new leader of the Mississippi Department of Marine Resources' Office of Marine Patrol.

Davis, 43, has worked in law enforcement on the Coast since 1993, including Gulfport Police Department, Harrison County Sheriff's Office, Mississippi Gulf Coast Community College in Perkinston, D'Iberville Police Department and most recently as Davis Moss Point police chief.

While he was captain of investigations in D'Iberville, Davis was selected to attend the FBI National Academy.

GranthamPoole CPAs has made Margaret Anne McGuire, CPA, an associate of the firm, where she serves on the Audit Team. A native of Jackson, McGuire earned her bachelor's degree in accountancy from Auburn University and her master of accountancy from the University of Mississippi.

Haralson

Archer takes honor Dr. Todd Archer of Mississippi State University's College of Veterinary Medicine has been honored by the American College of Veterinary Internal Medicine Foundation. In recognition of his demonstrated commitment to advancing veterinary specialty medicine and "outstanding dedicated volunteer service," the assistant professor recently received the foundation's 2014 Distinguished Service Award. He has served as a member of the foundation's board of directors and Scientific Review Committee, and was a program planner for a foundation specialty forum. He is a University of Mississippi science graduate who went on to receive master of science and doctor of veterinary medicine degrees at MSU. A member of the CVM faculty since 2010 and a specialist in small animal internal medicine, he currently is president-elect of the Mississippi Veterinary Medical Association.

Archer's teaching areas include hematology, immunology, endocrinology and interventional radiology.

MSU staff presented awards Nine Mississippi State University staff members on the Starkville campus and three serving at other locations around the state are winners of 2014 Donald W. Zacharias Distinguished Staff Awards. To be eligible, award nominees must be classified as a professional or support staff employee working at least half-time and with a minimum of three years of campus service, among other criteria.

In the professional category, the 2014 winners are: Dallas Breen, associate director of John C. Stennis Institute of Government and Community Development; LaDonna Bullman, contract and grant specialist for Forest and Wildlife Research Center; Delores Hudson, assessment specialist for Office of Institutional Research and Effectiveness; Chance McDavid, senior extension associate for Central Mississippi Research and Extension Center in Raymond; Jacqueline Mullen, director of Center for Student Activities; and Dennis Sankovich, executive director of MSU Riley Center in Meridian.

In the support staff category, the winners are: Jennifer Carruth, office associate at the Center for Advanced Vehicular Systems; Mary Franklin, custodian II with Custodial Services; Sharon Hankins, academic records assistant in the mechanical engineering department; Terry Johnson, building and grounds attendant for Crosby Arboretum in Picayune; Bonnie Ladner, office associate in the industrial and systems engineering department; and Cynthia Ward, custodian II with the College of Veterinary Medicine.

The board of directors of BancorpSouth Inc. has selected Chris A. Bagley as the next president and COO of BancorpSouth Inc. and BancorpSouth Bank.

Bagley will succeed James V. Kelley upon his previously announced retirement on Aug. 15.

Bagley, who joined BancorpSouth earlier this year as an executive vice president, was previously a named executive officer and chief credit officer of Prosperity Bancshares Inc. in Houston, Texas. He has over 31 years of experience in commercial banking. He has served as a named executive officer at a publicly traded financial holding company, where he served on the seven-person executive committee that directed and oversaw all bank lending and operations.

He has also served as a regional loan concurrence officer, a voting member of the senior loan committee, member of the operations and BSA risk committees and was the lending liaison for the fair lending component of compliance exams. He has also served as a member of the board of directors for a publicly traded financial holding company.

Prior to joining Prosperity Bank, he worked at both Texas Commerce Bank as a commercial lender and Bank of Almeda where he served in various key roles including internal auditor, compliance officer, commercial lender and ultimately as the as the bank's chief lending officer as well as serving on the bank and holding company board of directors.

Bagley received a bachelor of business administration from Stephen F. Austin State University and an MBA from the University of Houston. He presently serves as an advisory board member of the University of Houston banking certificate program through the Bauer College of Business.

Kelley has served as BancorpSouth's president and COO since the company's merger with First United Bancshares Inc. in 2000. Prior to the merger, Kelley served as chairman, president and CEO of First United Bancshares in El Dorado, Arkansas.

Brantley, Jordan earn licenses WealthPartners’ Christopher Brantley has earned an additional securities license, the Series 65 Uniform Investment Adviser Law Exam, in addition to the Series 6 (Investment Company Products/Variable Contracts Limited Representative) and Series 63 licenses (Uniform Securities Agent State Law Examination) he holds. Brantley serves in insurance and wealth management services and is responsible for case design and product research. He was formerly with Jackson National Life and Annuity in Nashville, Tennessee, as a wholesale representative. He received a bachelor of business administration in managerial finance and banking and finance from the University of Mississippi.

Also, Rita Jordan, office administrator, has earned her life insurance license. Jordan handles insurance underwriting support within the Insurance Services Division at WealthPartners. Prior to joining WealthPartners in 2013, Jordan was in business administration with a real estate investment trust company in Jackson for 22 years and with Ingalls Shipbuilding in Pascagoula for 17 years. She is a graduate of Belhaven University with a bachelor of business administration.

Cole made interim president David C. Cole has been named interim president at Holmes Community College. Cole, who served as Itawamba Community College's president for 20 years, took over at Holmes after current President Glenn F. Boyce began his new position with the state College Board as associate commissioner for academic affairs. Cole was superintendent of the South Panola School District from 1974 to 1992. He received a bachelor’s, master’s and doctorate degrees from the University of Mississippi.

Boyce had been president at Holmes since 2005.

Firm welcomes Clark, Dewsnap Celia Barrett Design has added Kacey Clark, allied A.S.I.D., associate I.I.D.A., LEED green associate, and Leigh Dewsnap, allied A.S.I.D., C.S.I. Clark is a junior designer.

Previously, she worked with FH Design in Nashville, Tennessee.

A native of Mountain Brook, Alabama, Clark received a bachelor of science in interior design from Auburn University. She will be joining the A.S.I.D. Jackson District leadership team in October Clark as the social media chair.

Dewsnap recently joined the firm as a junior designer. She completed her internship with Celia Barrett Design. Prior to this, Dewsnap worked as a color specialist at Seabrook Paint Company. A native of Jackson, she received a bachelor of science in interior design from the UniverDewsnap sity of Southern Mississippi.

ASU chooses Weir LLJuna Weir, associate director of athletics/senior women administrator, has been named the interim director of intercollegiate athletics at Alcorn State University. Weir began her career at Alcorn 16 years ago and currently has oversight for Alcorn’s 17sport athletic program.

She is a member of the National Association of Broadcasters (NAB) and the National Association of Collegiate Women Athletic Administrators (NACWAA). Weir earned both her master of science and bachelor of science degrees from Alcorn. She is married to Dante Weir and they have two children, Jonathan and Danyel.

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McGuire

Brieger comes to KeyTrust KeyTrust Properties welcomes Tanya Brieger to its sales team. A graduate of Belhaven College, Brieger majored in business administration. She received her MBA from Millsaps College. She was the director of enrollment services for the adult degree program of a local private college for over 10 years with the Institute of Professional Development. Prior to her career in higher education, she was in Brieger telecommunications for over 20 years working in customer service, sales and marketing. During this time, she also served as an adjunct professor for Belhaven College, teaching marketing and business communications.

In 2004, Brieger was one of Mississippi’s 50 Leading Businesswomen, Leadership Jackson in 2003 and Leadership Madison County in 2008. She is a member of the Madison United Methodist Church and is active in children’s ministries. One of her main hobbies is gardening and volunteering with the Master Gardeners.

Moody named assurance leader HORNE LLP has named partner Kade Moody, CPA, as the new leader of health care assurance services. Moody will lead a team of more than 15 team members as they provide health care assurance services throughout the Southeast. Moody specializes in providing assurance and advisory services to clients in the health care industry. He is also the firm’s audit quality partner as designated by the Governmental Moody Audit Quality Center.

Moody has more than 20 years of experience in public accounting providing assurance and advisory services to many of Mississippi’s largest privately owned companies. He has extensive experience providing enterprise risk management services and also oversees the firm’s services to covered entities participating in the federal 340B Drug Discount Program.

Moody earned his bachelor of science in accounting from the University of Southern Mississippi.

For announcements in Newsmakers; Contact: Wally Northway (601) 364-1016 • wally.northway@msbusiness.com

20 I Mississippi Business Journal I July 18 2014

“There are many positive things on the horizon for Mississippi, and we need to begin focusing on quality of life issues.”

“Government may have empowered non-productivity in some ways, and the system does leave some people behind.”

"I guess you could say I help them connect the dots between education and economic development.”

Dr. Becky Smith, Extension Professor, Mississippi State University

» ALAN TURNER

Importance of economic education “Economics is more than just numbers and spreadsheets,” Dr. Becky Smith told us recently. “It’s a vehicle to teach

critical thinking.”

Becky has taught economics for the past 20 years. Born in Michigan, she

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lived in California and received her undergraduate economics degree from Pepperdine University before moving to Louisiana to get Alan Turner her masters and doctorate degrees at LSU. As an Extension Professor at Mississippi State University, she works in a number of areas, including the Master Teacher of Economics program which educates Mississippi teachers on delivering effective economics training for high schools throughout the State. This is done in concert with the Mississippi Council on Economic Education.

“Teachers are economic developers,” she said. “I help them understand how their local economies work. I guess you could say I help them connect the dots between education and economic development.”

For Becky, it’s all about connecting teachers and students to “business and the real world.” She’s also involved in a personal financial program for college students.

She clearly loves what she does, and said she is “proud to work in this department.”

“I think this is a great time to be an economics educator,” she said. “There are many positive things on the horizon for Mississippi, and we need to begin

focusing on quality of life issues.”

Characterizing herself as “moderate in my outlook”, she suggested that Mississippians need to develop more of a “self-reliant mindset.”

“Government may have empowered non-productivity in some ways, and the system does leave some people behind,” she said. “What we need is to cultivate an inclusive sense of community among all our citizens, and recognize that we’re all interconnected in one way or another.”

She talked about the need to create what she referred to as “global value,” and to leverage the great things we can do to expand our economic horizons.

MSU was the first Center among the state’s Universities, and now there are centers at Southern Mississippi, the University of Mississippi, Delta State, Millsaps, Mississippi College and Jackson State.

“I think we’ve made great progress in economic education in recent years,” she said. “But there’s still lots of room for further progress.”

Becky is clearly an educator with a passion for what she does, and she radiates a sense of energy and purpose.

Along with others, this can transform our state and lead to a bright future for all Mississippians.

Contact Mississippi Business Journal publisher Alan Turner at alan.turner@msbusiness.com or (601) 364-1021.

July 18 2014

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Mississippi Business Journal

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21

» MISSISSIPPI LEADERS by Martin Willoughby

Making ideas reality Broadband Voice founder isn’t afraid to take chances

I

often hear people say about a particular business or idea: “I thought of that a long time ago, but I never acted on it.”

They indeed may have had an idea for a very successful business, but unfortunately, it remained just that – an idea.

Novelist Andre Malraux said, “Often the difference between a successful person and a failure is not one has better abilities or ideas, but the courage that one has to bet on one’s ideas, to take a calculated risk – and to act.”

Unfortunately, the prize only goes to those who take initiative. I subscribe to the theory, “Ideas are cheap; execution is expensive.” Obviously, the reality of taking action is that there is risk. However, as author Denis Waitley noted, “Life is inherently risky. There is only one big risk you should avoid at all costs, and that is the risk of doing nothing.”

Gary Watts, Founder and CEO of Broadband Voice, is one of those entrepreneurs that is not afraid to turn ideas into action.

Watts grew up in Jackson and graduated from Mississippi College. Upon gradua-

Up Close With ... Gary Watts

Title: Founder & CEO of Broadband Voice First job: State Mississippi Department of Revenue Print Shop Favorite Books: Ragamuffin Gospel by Brennan Manning; What I Saw at the Revolution by Peggy Noonan Proudest moment as a leader: Being able to take some of our biggest talents at Broadband Voice as young employees and helping them mature to reach outstanding potential. Many of our longest standing employees have grown to lead this company to success alongside me, and I’m grateful and will be forever proud of that.

Hobbies/interests: Mississippi State Athletics; Church Planting; Music/playing piano; Connecting People/Networking

tion, he had the opportunity to own and operate a Dairy Queen franchise which he did for almost a decade. He went on to work in the sales division for a startup technology company, Unity Communications, based in Jackson. He was rapidly promoted to VP Sales in 2000, and in 2006, Watts recognized that the next generation of telephony would be rooted in hosted VoIP solutions. That realization led him to start Broadband Voice to provide Voice over IP (VoIP) products and services for small to medium-sized businesses. The company has now become one of the fastest growing VoIP technology companies in the Southeast.

Watts shared with me some words of wisdom for other leaders and entrepre-

neurs. “Take chances. One thing that I do (probably to my wife’s dismay) is take chances. I’ve never heard of anyone growing and learning without some failure. And failure affords us opportunities that we might not otherwise experience.” Watts candidly noted, “I walked away from owning a franchise in a situation that most people would have seen as a failure. But if I never had that experience, I would have never been able to establish the relationships and learn what I have to help build our growing business at Broadband Voice.”

One of Watts’ other key beliefs is that it is critical to operate a business with integrity. He noted, “I’m a firm believer in running a business of ethical excellence.

More and more, I see that honesty is becoming less valued, and it concerns me for

our future. Our business and communities will thrive if we focus on transparency in our relationships.”

He also emphasized that trusting the people he hires is a key business philosophy.

Martin Willoughby Watts said, “I remain dedicated to choosing good people to lead Broadband Voice and allowing them to enhance their skills set within the workplace so that they are aligned to help lead this company to great things. Micromanaging leads to stifling the people within your business, which can lend itself to high turnover and an unhealthy business model.”

Watts is a great example of a leader who is not afraid to take a calculated risk and act. Once he realized there was an opportunity in the marketplace to serve customers using VoIP technology he thoughtfully analyzed the marketplace and then with passion and persistence executed on his plan to deliver great service to customers. Leaders like Watts remind me that true accomplishments occur when ideas are put into ACTION. Martin Willoughby is a business consultant and regular contributing columnist for the Mississippi Business Journal. He serves as Chief Operating Officer of Butler Snow Advisory Services, LLC and can be reached at martin.willoughby@ butlersnow.com.

Digging into reasons we’re happy — or not

W » Stumbling on Happiness

By Daniel Gilbert Published by Vintage Books $14.95 softback

hat makes you happy? What’s likely to make you happy in the future? The answers may seem obvious to you, but Daniel Gilbert’s Stumbling on Happiness will show you that they’re actually anything but.

This lively book is not a self-help manual, but a work of psychology written for a popular audience. It’s a book I’ve read more than once, recommended to countless friends, and have continued to think about and reference for years. It will change the way you think – and, more importantly, it will change the way you think about the way you think.

Hopefully, too, it will get you closer to an answer for this critical question: “Why do we so often fail to know what will make us happy in the future?” Anyone who has made a decision or choice only to find that it didn’t make us as happy as we thought it would can relate. (I’d wager that’s everyone, at one time or another.)

There’s no one, single solution for this most basic of problems. Instead, the book describes the many ways that our memories and our imagination work together to, in essence, help us make decisions about the future based on faulty information.

For instance, our memories are not generated by some internal recording device, faithfully taking down each and every bit of info. Instead, and by necessity, memory is a “sophisticated editor that clips and saves key elements of an experience and then uses these elements to rewrite the story each time we ask to reread it.”

Think about a time that you experienced something and later shared your memories of it with another person who was also there. While overall you may both remember the event in a similar way, you each have specific memories of it that the other does not. Memory’s subject to suggestion, as well. If the other person points something out from that event that you don’t actually remember, you’re likely to add it to your story of the event anyway, without even realizing it.

The catch for predicting future happiness, then, is that our imagination relies on memory to consider how we’re likely to feel about something down the road, assuming that how we felt about something in the past is how we’ll feel in the future.

But for many reasons, we often misremember how we actually felt. Our imaginations also assume, often incorrectly, that our future selves will feel the same as our current selves.

It’s a fascinating subject, and one that will make you reexamine how you make decisions.

— LouAnn Lofton, mbj@msbusiness.com

22 I Mississippi Business Journal I July 18 2014 » THE SPIN CYCLE

Total ad spending to see largest increase since 2004 otal media ad spending in the U.S. this year will see its largest increase in a decade, according to new figures from eMarketer. On the strength of gains in mobile and TV advertising, total ad investments will jump 5.3 percent to reach $180.12 billion, achieving 5 percent growth for the first time since 2004, when ad spending increased 6.7 percent.

Mobile will lead this year’s rise in total media ad spending in the US, and advertisers will spend 83 percent more on tablets and smartphones than they did in 2013 – an increase of more than $8 billion.

By the end of this year, mobile will represent nearly 10 percent of all media ad spending, surpassing newspapers, magazines and radio for the first time to become the thirdlargest individual advertising medium, Todd Smith trailing only TV and digital.

Though investments in TV advertising will rise just 3.3 percent, advertisers will spend $2.19 billion more than they did in 2013, making it the second-leading category in year-over-year dollar growth.

The surge in mobile advertising is chiefly due to an increased use of tablets and smartphones. According to eMarketer’s latest estimates, U.S. adults will spend an average of nearly three hours per day with mobile devices this year.

In 2013, daily time spent on mobile devices and on desktops and laptops was equal, totaling 2 hours 19 minutes, but this year, time with desktops and laptops will drop slightly to 2 hours 12 minutes, while mobile time will increase significantly. TV remains by far the largest beneficiary of adults’ media time, at 4 hours 28 minutes in 2014, hence its persistent lead as the top category for advertising spending.

Strong, steady growth in mobile advertising will push digital ads to represent nearly 30 percent of all U.S. ad spending this year. Advertisers will invest more than $50 billion in digital channels in 2014 for the first time, an increase of 17.7percent over 2013. Just over one-third of that will come from mobile, but by 2018, mobile will account for more than 70 percent of digital ad spending.

The accelerated rise in ad spending is influenced in part by growing revenues from leading internet media companies, particularly those that are capitalizing on mobile revenues. eMarketer projects advertising revenues for a handful of the top U.S. digital ad-selling companies, which collectively

entry is long but worth a look since this is such a common element found in news releases.

Looking to create a stronger relationship with today’s journalists? Correcting these small mistakes in your news releases will help reporters and other key audiences read, adapt and share your news.

T

U.S. adults will spend an average of nearly three hours per day with mobile devices this year.

will represent 18.2 percent of total media ad spending this year – led by Google and Facebook.

Google alone already accounts for more than 10 percent of all advertising spending in the U.S., and in 2016, Google and Facebook is forecast to take a 15 percent share of the $200 billion total media advertising market. Mobile ads on Facebook will total 68 percent of its U.S. ad revenues this year, up from 46.7 percent last year, and while Google’s ad revenues won’t flip to majority-mobile until 2016, they’re shifting quickly. This year, Google’s U.S. mobile revenues will comprise only 36.8 percent of its overall ad revenues, but by 2016, the medium will account for 65.8 percent.

times as “9:30 a.m.” and not AM. Always be careful with EDT vs. EST or CDT vs.

CST; simply using ET or CT are nice failsafes.

2. Trademark symbols — avoid them.

Trademarks and other symbols are not, and actually never have been, meant for use in PR and news copy. Remove these symbols to make it easier for reporters to utilize your releases.

3. Percent vs. % — in most cases, spell it out. Standard AP style suggests you write out “percent” in news releases, while utilizing the % symbol in tabular information such as financial tables.

4. Entitled vs. Titled — Can you spot the difference here? The survey was titled “Top 100 AP Style Gaffes.” Let’s just say you’re entitled to make a few mistakes, just 8 style mistakes frequently not AP style mistakes. In short, do not use found in today’s news releases “entitled” to refer to the title of something.

5. Acronyms come later — when referring Associated Press news style has been in the news recently, at least for journalists and to organizations: Do not put an acronym in parentheses after the first reference to public relations professionals, after announcing a rash of controversial changes. As the organization. Easily recognizable you know, it is important that PR, IR, mar- acronyms, by themselves, can be used on second reference without spelling out the keting and communication professionals stay abreast of AP style, and its iterations, so organization’s name a second time.

6. The dreaded –ly — avoid hyphenating you can relate to the media on their level, these words: Do not hyphenate a comwrite cleaner news releases, increase mespound modifier when using adverbs that sage adoption, and boost awareness. end in -ly, such as commercially-available Of course, you must consider the style products. The correct style is commercially preferences of your company or clients, available products, no hyphen. but you also have an obligation to the 7. Write it out — don’t use shortcuts when media – the end user – to craft a wellreferring to numbers: As the AP points written story. Here are eight of the most out, spell out numerals one through nine common style bloopers to avoid: 1. Dates and times — eliminate redundan- and use figures for 10 or above.

8. Capitalizing job titles after a person’s cies. Too often, we see dates written as name — a no-no… AP recommends that “Wednesday, June 4, 2014” when writing you only capitalize a title used before a simply “June 4” would suffice. Also, write person’s name, not after. The AP’s titles dates as “June 4” and not “June 4th “ and

Golden Mic: John Seigenthaler, journalist, political confidant, advocate for equality John Seigenthaler, a legendary journalism icon, intimate confidant to presidents. civil rights pioneer and fierce defender of the First Amendment died recently at age 86, and took with him a bygone era of stoic newsmaking.

As a journalist for The Tennessean, Seigenthaler once saved a suicidal man’s life on a bridge over the Cumberland River in Nashville – a bridge eventually named after him. As the newspaper’s longtime editor, he led coverage of the civil rights movement when most Southern newspapers, including the rival Nashville Banner, ignored the growing resistance to racial segregation in the South. Seigenthaler also exposed corruption in the Teamsters union, grave deficiencies in the state’s mental health system and illicit activities of the Ku Klux Klan in Tennessee. And he inspired generations of journalists to greatness.

Notable writers under his leadership included author David Halberstam; Bill Kovach, former editor of the Atlanta Journal-Constitution; Jim Squires, former editor of the Chicago Tribune; Tom Wicker, former New York Times columnist; and author David Vise of the Washington Post.

He was also part of the inner circle of John F. Kennedy and Robert F. Kennedy.

For his lifelong dedication to journalism and justice that made the world a better place – Seigenthaler takes the Golden Mic! Each week, The Spin Cycle will bestow a Golden Mic Award to the person, group or company in the court of public opinion that best exemplifies the tenets of solid PR, marketing and advertising – and those who don’t. Stay tuned – and step-up to the mic! And remember … Amplify Your Brand!

Todd Smith is president and chief communications officer of Deane, Smith & Partners, a fullservice branding, PR, marketing and advertising firm with offices in Jackson. The firm — based in Nashville, Tenn. — is also affiliated with Mad Genius. Contact him at todd@deanesmithpartners.com, and follow him @spinsurgeon.

SALES MOVES

July 18, 2014

I

Mississippi Business Journal

I

23

Âť JEFFREY GITOMER

Twitter webinar firestorm — tweet this!

I

did my first big Twitter group tweet last week.

It’s called a “tweetcast.�

Three companies – Adly (adly.com), Evolve!, Inc. (evolvesinc.com) and KiteDesk, (KiteDesk.com) – combined resources and invited 22 experts, including me, to tweet the answers to questions as they were posted. The result was a firestorm of tweets, re-tweets, and assorted comments.

In short, it was an overwhelming success. Hundreds of tweets per minute, and value messages flying all over Twitter-space. Mine included.

KiteDesk, Evolve! and a few others were both sponsors and responsible for the platform, the communications, the experts, and creating a set of questions for us to reference and tweet our answers to.

Below are the questions and my tweeted replies.

Q1. Isn’t spending too much time on Social Media dangerous? I’d rather my team sell vs. tweet.  Spend as much time on social selling as you do watching some dumbass TV show A1 #gitomer #socsales  Allocate time, don't spend it - at least an hour a day to build your social net-worth #gitomer A1 #socsales  All customers are looking for value, why not communicate with all of them at once. #gitomer A1 #SocSales

Âť Anyone that does not allocate at least an hour a day communicating value messages to your customers is a fool. #gitomer A1 #SocSales Q2. Give me real examples of situations where social selling produced results. Better yet - tell me how social selling has produced results that would not have been possible without it (company name, campaign, outcome, etc). Âť NOTE WELL: Just because you are ready to sell, does not mean they are ready to buy. #gitomer A2 #SocSales Âť Value messages not sales messages, will ultimately create buyers. #gitomer A2 #SocSales Âť Wanna meet more valuable people on social selling networks? Offer more valuable messages! #gitomer A2 #socsales Q3. How do best-in-class companies measure and manage social selling results? Âť Apple doesn't measure - how are they doing?

Microsoft does - how are they doing? #gitomer A3 #SocSales Âť Apple doesn't measure - how are they doing?

Blackberry does - how are they doing? #gitomer A3 #SocSales Âť Measuring results of social media and social sales is a total waste of time - just do it! #gitomer A3 #SocSales Q4. How do I get my team to change its behav-

ior to incorporate social selling into its routine?  Marketing: Solicit testimonial videos and reallife examples that can be posted on Facebook and YouTube. #gitomer A4 #SocSales  Marketing: Provide your team with a full suite of messages and things to say to their customers. #gitomer A4 #SocSales  Marketing: Provide your team with a full suite of social selling templates. #gitomer A4 #SocSales Q5. What is marketing’s role in social selling and how can the two departments work together to produce results?  The best role for marketing is to get all their salespeople up and running on social media and social selling. #gitomer A5 #SocSales  The best role for marketing is to prepare all salespeople with a full suite of social selling tools. #gitomer A5 #SocSales  As a customer, I don’t want a sales message I want to value message. Do you get that marketing? #gitomer A5 #SocSales  The best role for marketing is social media is to stay out of it. #gitomer A5 #SocSales  In general, marketing has no concept of selling.

They pound customers with boring messages that have no value. #gitomer A5 #SocSales Q6. Are there holes in the social sales toolbox? If so, what’s missing?

Âť It's not just social Jeffrey Gitomer sales, it's social service.

How good are you at social listening? #gitomer A6 #SocSales  Missing from 99% of all social selling messages: a value message to the prospective buyer. #gitomer A6 #SocSales Q7. Are traditional sales tools such as email and phone calls still relevant? Why/why not?  Great salespeople combine traditional selling and social selling. There’s plenty of place for both. #gitomer A7 #SocSales  Traditional sales calls and traditional selling has lost part of its value and its efficacy based on social selling. #gitomer A7 #SocSales Take a close look at my answers. Some I prepared in advance, some I created on the spot.

RESULTS: I was re-tweeted and “favoriteâ€? more than 250 times during this event, I gained more than 100 new Twitter followers, and I learned some very valuable lessons about the attraction of this type of promotion. Âť Short answer: It worked. Âť Long answer: I want to (will) do it again.

Jeffrey Gitomer has written books on sales and conducts training and seminars. He can be reached at www.gitomer.com or at salesman@gitomer.com.

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