August 2014 issue of In Business Magazine

AUG. 2014

Special Section: Business Owners' Legal Services Guide

Seeking

Opportunity in Our

MULTICULTURAL MARKET

Selling to

Uncle Sam

Can You Balance

Conflicting ‘Right’ Answers?

Power Lunch By the Numbers Business Calendar This Issue Scottsdale Area Chamber of Commerce National Association of Women Business Owners – Phoenix

Exit Strategies Can Yield New Growth $4.95 INBUSINESSMAG.COM

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www.inbusinessmag.com In Business Magazine is a collaboration of many business organizations and entities throughout the metropolitan Phoenix area and Arizona. Our mission is to inform and energize business in this community by communicating content that will build business and enrich the economic picture for all of us vested in commerce.

Partner Organizations Rick Murray, CEO Arizona Small Business Association Central Office (602) 306-4000 Southern Arizona (520) 327-0222 www.asba.com

Steven G. Zylstra, President & CEO Arizona Technology Council One Renaissance Square (602) 343-8324 www.aztechcouncil.org

Doug Bruhnke, Founder & President Global Chamber (480) 595-5000 www.globalchamber.org

Dorothy Wolden, President NAWBO Phoenix Metro Chapter (480) 289-5768 www.nawbophx.org

Rick Kidder, President & CEO Scottsdale Area Chamber of Commerce (480) 355-2700 www.scottsdalechamber.com

Mary Ann Miller, President & CEO Tempe Chamber of Commerce (480) 967-7891 www.tempechamber.org Our Partner Organizations are vested business organizations focused on building and improving business in the Valley or throughout Arizona.

As Partners, each will receive three insert publications each year to showcase all that they are doing for business and businesspeople within our community. We encourage you to join these and other organizations to better your business opportunities. The members of these and other Associate Partner Organizations receive a subscription to In Business Magazine each month. For more information on becoming an Associate Partner, please contact our publisher at info@inbusinessmag.com.

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Applications are now being accepted. For more information please email i n f o @ c onqu e s t t r a i n i ng . c om Untitled-3 1

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A U G U S T 2014

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Mark B. Bonsall

Bob Parsons

Janice K. Brewer

Elliott D. Pollack

April 2014 President & CEO Dignity Health Arizona

March 2014 CEO Salt River Project

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January 2014 Governor The State of Arizona

May 2013 CEO Elliott D. Pollack and Company

Ted Simons

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December 2012 Vice Chairman National Bank of Arizona

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April 2012 President & CEO Blue Cross Blue Shield of Arizona

Craig R. Barrett

Candace D. Wiest

Jerry Colangelo

Derrick Hall

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AUGUST 2014

Special Section: Business Owners' Legal Services Guide IN BUSINESS MAGAZINE

18

AUG. 2014

CONTENTS

Seeking

Opportunity in Our MULTICULTURAL MARKET

MULTICULTURAL MARKET

Selling to

Uncle Sam

Can You Balance

AUGUST 2014 • inbusinessmag.com

Seeking Opportunity in Our Multicultural Market

Conflicting ‘Right’ Answers?

Power Lunch By the Numbers Business Calendar This Issue

Exit Strategies

Can Yield New Growth $4.95 INBUSINESSMAG.COM

Scottsdale Area Chamber of Commerce National Association of Women Business Owners – Phoenix

Phoenix is rich in multicultural communities, and businesses are seeking a growth advantage in reaching out to them. Joe Bardin explores the strategies and return on the efforts through interviews with businesses reaching into specific cultural communities and with organizations that represent those communities.

DEPARTMENTS

9 Guest Editor

Rudy Parga Jr., managing shareholder of Ryley Carlock & Applewhite, introduces the “Multicultural” issue.

FEATURES

16 Plan Exit Strategies to Yield Positive

10 Feedback

Outcomes

Noted business and community leaders Brad Gabel, Manny Molina and Kate Wells respond to IBM’s burning business question of the month.

Experienced advisors in cash-out and exit strategies discuss with Amy R. Handler options for the entrepreneur who decides it’s “time to move on.”

16

12 Briefs

24

“Tap Your Target Market,” “Creative Clarity,” “Office in the Cloud,” “Bare Necessities to Launch at ASU” and “Career Transition Connections”

30 Nonprofit

The Giving Institute’s annual report of philanthropic trends encourages business and nonprofit leaders to discuss the real issues and truths surrounding fundraising in the United States.

32 Assets

2015 Porsche Macan Turbo Plus: Top Valley locations for an off-site meeting or retreat

32

14 By the Numbers

B2B merchants report fraud attempts constitute a costly one-fifth of online product inquiries.

24 Selling to Uncle Sam: What Business

Owners Need to Know

15 Trickle Up

Small businesses can gain a big boost from government contracting, explains Doña Storey.

SPECIAL SECTIONS

35 Scottsdale Area

Chamber of Commerce Partner section

43 National Association

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51 2014 Legal Guide

A business owner’s resource to legal services

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A U G U S T 2014

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View from the top looks at how Lisa Urias built her marketing company, Urias Communications, by facing up to her limitations.

25 Books

New releases offer fresh ideas on building business in our ever-changing world.

26 Legal

Attorneys discuss rules, regulations and legal ramifications businesses should be aware of when hiring new employees.

33 Power Lunch

Cibo Pizzeria Plus: Easy-to-pick-up catering options for the office

66 Roundtable

Today, there often is no single “right” answer, so how do business leaders solve problems that have two or more competing alternatives that can never be fully resolved?

ON THE AGENDA

27 Spotlight

Marketing Technology Summit ‘You CAN Do Business with the Federal Government!’

28 Calendar

Business events throughout the Valley

Wilen

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AUGUST 2014 • VOL. 5, NO. 8

OPERATIONS Louise Ferrari

BUSINESS DEVELOPMENT

Louise Ferrari Alex J. Goff Craig Jeffries Steve Kulick Maria Mabek Sara May Katie Pacioni Kelly Richards Cami Shore

EVENTS Amy Corben More: Visit your one-stop resource for everything business at www.inbusinessmag.com. For a full monthly calendar of business-related events, please visit our website.

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PRESIDENT & CEO Rick McCartney

EDITORIAL DIRECTOR RaeAnne Marsh

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FINANCIAL MANAGER Donna C. Mitchell, CPA ACCOUNTING Todd Juhl

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POSTMASTER: Send address changes to InMedia Company, 4455 E. Camelback Road, Building C, Suite 135, Phoenix, AZ 85018. To subscribe to In Business Magazine, please send check or money order for one-year subscription of $24.95 to InMedia Company, 4455 E. Camelback Road, Building C, Suite 135, Phoenix, AZ 85018 or visit inbusinessmag.com. We appreciate your editorial submissions, news and photos for review by our editorial staff. You may send to editor@inbusinessmag.com or mail to the address above. All letters sent to In Business Magazine will be treated as unconditionally assigned for publication, copyright purposes and use in any publication, website or brochure. InMedia accepts no responsibility for unsolicited manuscripts, photographs or other artwork. Submissions will not be returned unless accompanied by a self-addressed, stamped envelope. InMedia Company, LLC reserves the right to refuse certain advertising and is not liable for advertisers’ claims and/or errors. The opinions expressed herein are exclusively those of the writers and do not necessarily reflect the position of InMedia. InMedia Company considers its sources reliable and verifies as much data as possible, although reporting inaccuracies can occur; consequently, readers using this information do so at their own risk. Each business opportunity and/or investment inherently contains certain risks, and it is suggested that the prospective investors consult their attorney and/or financial professional. © 2014 InMedia Company, LLC. All rights reserved. No part of this magazine may be reproduced or transmitted in any form or by any means without written permission by the publisher.

A U G U S T 2014

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INBUSINE SSMAG.COM 5/14/14 10:43 AM

RUDY PARGA JR., MANAGING SHAREHOLDER, RYLEY CARLOCK & APPLEWHITE

GUEST EDITOR

Business Growth in Multiculturalism

RUDY PARGA IS Managing Shareholder of the law firm Ryley Carlock & Applewhite.

He has a broad commercial and employment litigation practice, and previously led the firm’s Litigation group.

Parga is named in multiple editions of Best Lawyers® and Southwest Super Lawyers®, and has garnered recognition locally as well. He is also frequently acknowledged for his community leadership, which includes serving on the Chicanos Por La Causa Board of Directors.

ALTHOUGH ARIZONA HAS been in the spotlight for controversy over issues that center on cultural differences, there is strength in cultural diversity in the Valley’s business community that is also a driver of commerce.

During my 20-year career as a lawyer, I’ve been amazed to see how small and interconnected the world has become, thanks to rapid advances in technology and communication. It’s clear to me that cultivating cultural awareness in an organization is now a necessity to ensure business success. In my own firm, for example, we have completed client projects throughout the world and in myriad languages, including English, Spanish, Chinese, Japanese and Portuguese. Aside from bottom-line benefits of fostering multiculturalism in the marketplace, I believe and have seen firsthand that people within an organization ultimately believe that promoting cultural awareness is the right thing to do. The richness of different perspectives fosters more robust creativity in finding business solutions for clients and customers.

This month’s cover story looks at how businesses are using cultural awareness to their advantage in the marketplace. In Business Magazine explores what businesses are doing to enhance opportunity and business development with and within identified cultural communities that include Hispanic, Asian and Native American, as well as business growth that spans cultural boundaries. In addition to input from individual businesses, In Business Magazine has reached out to organizations that include the Hispanic Chamber of Commerce, the Arizona Asian American Association and the Disadvantaged Business Enterprise program.

Looking at business opportunity with the United States government, Doña Storey’s “Enterprise” feature offers insight on best practices as well as pitfalls to avoid for businesses contracting with what she identifies as the “world’s largest consumer” – the government. Business owners’ exit strategies and cashing out a business are the focus of this issue’s “Strategies” article from Amy Handler. And exploring a challenge facing business leaders in our increasingly interconnected global world, David Dotlich discusses, in the “Roundtable” feature, how executives lead others to successful outcomes when there are no “right” answers.

These are a few of the wide variety of topics and information in this August issue of In Business Magazine directed to the decision maker and aimed at growing business in the Valley.

In Business Magazine presents the Valley’s most comprehensive “Business Owner’s Legal Guide” for business owners to use as a reference in seeking legal services Valley-wide.

I am pleased to be Guest Editor of this “Multicultural” issue of In Business Magazine and invite you to enjoy the articles that follow.

Sincerely,

Connect with us: Rudy Parga Jr. Managing Shareholder Ryley Carlock & Applewhite

Multicultural Opportunity AS BUSINESS OWNERS, seeking out opportunity to build our bottom lines is a strict focus. Adding a larger audience or marketplace only seems logical. For some businesses, this includes working to attract multicultural markets to our services or products. Many of the larger companies have the bandwidth to focus on these markets. For smaller business, as Joe Bardin spells out in this month’s cover story, being authentic to the culture is a way of thinking. He interviews several businesspeople locally who are working in this area and who advise what it takes to truly gain opportunity with the multiple cultures that exist here in the Valley.

INBUSINE SSMAG.COM

Story Ideas/PR: editor@inbusinessmag.com Business Events/Connections: businessevents@inbusinessmag.com Marketing/Exposure: advertise@inbusinessmag.com We want to thank Rudy Praga Visit us online at for his leadership on this topic www.inbusinessmag.com and his work that he continues to do locally to bring awareness to the multicultural market. He is a champion of this type of inclusion and of building business by connecting our roots and promoting our heritage. This is a positive influence that businesses can embrace (and are embracing) to help our communities beyond the bottom line.

—Rick McCartney, Publisher

A U G U S T 2014

9

FEEDBACK

VALLEY LEADERS SOUND OFF

Executives Answer

Many companies make a purposeful effort to contact different cultures to build business. What is your company doing to attract diverse cultures to your business?

Brad Gabel Vice President, Native American Division Kitchell Sector: Construction WE MADE A conscious effort years ago to take our experience to Indian Country, engaging with various Native American communities through very targeted activities.

We have been fortunate to hire professionals who are Native American and/or who have fostered deep connections in Tribal communities, leading to work throughout the Southwest that now includes not only hospitality and gaming projects but also justice and education facilities. We long ago learned that every Nation is unique and leadership changes often, but all have in common the desire to enhance the economic security of their People, and we do everything we can to promote and support this effort.

We take great pride in our mentorship program that encourages and promotes Native American participation on our construction projects.

We have held cultural sensitivity training for the A/E/C industry (architecture, engineering and construction), featuring panelists from Tribal communities discussing best practices and insights from the field. And to foster the growth of future Native American construction professionals, we award scholarships and internships to high-achieving Native American students who are part of NAU’s Construction Management program and ASU’s Del Webb School of Construction.

Manny Molina President M&M Media, LLC Sector: Media and Advertising ATTRACTING A DIVERSE client base takes commitment and a willingness to adjust business practices to meet the unique needs of Hispanics, African Americans, Asians and people from other cultures.

While some organizations would prefer that people from diverse cultures simply adjust to us, their cultures are far older and more ingrained than ours.

It starts for us by having the cultural sensitivity to learn the language of our customers, building rapport, developing trusting relationships and understanding cultural beliefs that can impact marketing effectiveness. Recognizing that these individuals have unique qualities that extend beyond elements such as race and valuing these differences through various advertising and communications channels help make marketing campaigns a success. We also ensure that marketing messages to diverse target groups are authentic and accurately reflect cultural norms and traditions. Diversity is important not only from a corporate responsibility standpoint but also for viability in an increasingly heterogeneous market.

M&M Media, LLC mmmediaoutdoor.com

Kitchell kitchell.com

Brad Gabel is vice president of Kitchell’s Native American Division. The dedicated division was established in 1999 to serve the construction needs of individual Nations, and has built projects totaling more than $800 million for more than 25 Native American communities, with many of those projects achieving close to 90 percent Native American participation during construction.

Kate Wells President and CEO Children’s Museum of Phoenix Sector: Arts & Culture THE CHILDREN’S MUSEUM of Phoenix’s vision is to foster a joy of learning. We do this in a number of ways, which include building cultural understanding, facilitating positive social interaction and celebrating diversity.

Currently, there are nine different languages represented among our floor staff, which is identified on their name badges. Our Art Studio is packed with books, stories and projects that reflect multiculturalism. Our child-sized Market exhibit presents a selection of “food” items that reflect languages from other countries.

10

A U G U S T 2014

Manny Molina is principally engaged in two fast-growing enterprises in the Arizona marketplace, Molina Management, LLC and M&M Media, LLC, an outdoor billboard company. Active for more than 25 years as a leader of numerous boards and philanthropic groups, he currently serves as Life Director of the Fiesta Bowl and a member of the Phoenix Convention & Visitors Bureau Executive Board and Board of Directors and the Chicanos Por La Causa Board of Directors, among others.

Books are distributed throughout the Museum and in our Book Loft in multiple languages as well. All of this, combined, creates opportunities for our visitors, especially our youngest ones, to think, “Hey, that’s the language I know and speak. They know me here.”

There is also a lot of programming built on teaching visitors about other cultures and the things that make each of us special. So, multiculturalism is not just something that we incorporate into the Museum on a periodic basis, it is something that is integrated within everything we do each day.

Children’s Museum of Phoenix ChildrensMuseumOfPhoenix.org

Kate Wells is a co-founder of the Children’s Museum of Phoenix, and was its director of development and marketing from 2001 to 2009. The year 2009 saw her traveling the world with her husband and daughters, returning to take up the post of associate general manager at Eight, Arizona PBS from 2010 to 2013. She was named president and CEO of the Children’s Museum of Phoenix in December 2013.

INBUSINE SSMAG.COM

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Creative Clarity CONTENT CREATORS READY to harness their online publishing power can now get help from ClearVoice, a content platform built to showcase author authority. The platform enables brands and publications to search a comprehensive index of content producers by their areas of expertise.

Writers, journalists and bloggers are also encouraged to claim their ClearVoice profiles to promote their influence and troubleshoot authorship markup issues. clearvoice.com

Office in the Cloud GETTING DOCUMENTS, EMAILS, calendar and spreadsheets through the cloud is truly the future and so convenient.

Microsoft’s Office 365 is powered by the cloud, so users can get to their applications and files from virtually anywhere — PC, Mac and tablets — and they’re always up to date. Same goes for updates to features — users get them automatically. Cost varies with size of the user’s business. office365.com

Bare Necessities to Launch at ASU

BARE NECESSITIES, A college delivery service providing students with necessary toiletries such as toothpaste, shampoo and conditioner, is launching at ASU for the upcoming fall semester. Founder Lou Cesario came up with the idea when a friend forgot to buy shampoo at the store. “Why can’t we have these sorts of things delivered to us?” Cesario says of his inspiration.

“They are needs that apply to everyone … It would be a great service for college students, especially freshman, because they come in not knowing what to expect.” At $24.99, each bag has a guaranteed value of $60 of product that includes random promotional products from sponsors outside of ASU. Several distribution companies have expressed interest in working with Bare Necessities and plan to offer special promotional packages as well.

The two-month-old company earned its start-up funding through the ASU Edson Student Entrepreneur Initiative, an annual event that provides grant funding to a number of ASU startups. Proposals go through five rounds of judging until the top 50 are selected to receive funding and resources. “Out of 400, we placed in the top 50,” says Cesario, “and that opened a lot of doors for us not only at ASU but other universities.” Bare Necessities is planning to launch by having its packages already waiting in the dorm rooms for arriving students. “Our goal is to become habitual as a product and a service that remains with the student for all four years,” he says.

“Bare Necessities is segmented because we are targeting college students as well as parents and relatives on their behalf,” Cesario explains, and adds, “There are products and services similar to ours but there is not much that captures the same demographic as us and provides the same amount of products and value we give to the customers.

“Aside from the college aspect, we are also looking into retirement homes and military as well,” Cesario says, noting that Bare Necessities aims to grow its demographic. “Right now we have ASU, and that is a great start, but by no means is that where we are going to end.”

—Alexandra Lyon Bare Necessities bnbag.com

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Photo courtesy of Bare Necessities

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A U G U S T 2014

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BY THE NUMBERS

METRICS & MEASUREMENTS

Fraud Is Big in Online B2B Sales Nearly one-fifth of online product inquiries are fraud attempts

by RaeAnne Marsh A RECENTLY RELEASED survey of B2B merchants reveals 19.29 percent of the purchase inquiries they receive online are fraud attempts. Of these, payment fraud is the most common form of attack, representing 60 percent of fraud losses suffered by merchants in the past five years.

“The inquiry may seem genuine, with the purchaser possibly asking all the right questions,” says Richard Barker, CEO of Kitmondo, an online global marketplace for buyers and sellers of business and industrial equipment, which conducted the 2014 Small Business Fraud Survey. “But then they try to buy fraudulently — such as asking the merchant to send the product prior to payment or engaging in check fraud or credit card fraud.”

In the case of a bogus or stolen credit card, the credit card company will charge the transaction back to the merchant and the merchant carries the loss unless he has some form of insurance — which Barker observes is relatively uncommon.

“Fraudsters rely on two things — numbers and naiveté. Pumping huge volumes of inquiries into enough businesses gives them critical mass, and naiveté or lack of vigilance

Fraudulent Online Product Inquiries The impact of fraud is felt unevenly. As fraudsters succeed against businesses in an industry, they beget copycatters who continue to target that industry.

Percentage of Inquiries that are Fraud Attempts

Percent of Businesses Affected

75% +

3.06%

50-75%

7.14%

25-50%

15.3%

10-25%

24.5%

0-10%

50%

Average loss to fraud

$40,032

Average percentage of online inquiries that are fraudulent

19.29%

2014 Small Business Fraud Survey of 2,496 B2B merchants

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“Fraudsters rely on two things — numbers and naiveté. Pumping huge volumes of inquiries into enough businesses gives them critical mass, and naiveté or lack of vigilance on the part of some business owners gives the fraudsters scope for success.”

—Richard Barker

on the part of some business owners gives the fraudsters scope for success,” Barker explains.

Yet for businesses, taking the time to vet all product inquiries puts considerable strain on their resources.

Addressing this problem, Kitmondo relaunched this past March with a change from the open platform it had offered for eight years to focus on a fraud-free forum that is designed to protect both buyer and seller by serving as a clearing house for the transaction. “Unless we get money that is cleared funds, the seller doesn’t have to ship the goods,” Barker says.

Conversely, if the product is not delivered, the funds can be returned to the buyer.

Using scoring indicators developed from its historical data on purchase behavior, Kitmondo assesses purchase inquiries for fraud indication.

Among the red flags that prompt it to advise a seller against making the transaction are requests to send equipment to let the buyer try it prior to purchase. While such a request is common in the equipment world, Barker says, it is important to verify the addressee is not a bogus company. “There is a trail that most authentic [companies] leave online,” Barker says, observing that a lot of fraudsters use an

assumed identity. “Although it’s not a fool-proof tool, it they don’t have a social trail, a LinkedIn account, a work email address, it starts to paint a negative picture.”

Merchants can also vet an inquiry by asking probing questions about how the buyer intends to use the product. Explains Barker, “With industrial or professional equipment, most buyers in our field are pretty educated about how to use the product.”

A response like “Oh, it’s not for me; it’s for someone else” should raise suspicions about the legitimacy of the purchaser.

And Barker notes that almost all genuine buyers will try to negotiate, asking for such allowances as a discount or flexible payments.

“Fraudsters are not too worried about price because, clearly, they don’t intend to pay. So, particularly if it’s a new customer, this is a big red flag.”

Barker notes that a fraudster will work to gain the seller’s trust but then try to change the deal at the very end in the hope that the seller feels invested in the transaction or believes trust is truly established. “Be totally vigilant to the very end of the sale,” he advises.

Kitmondo kitmondo.com

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A VIEW FROM THE TOP

TRICKLE UP

Lisa Urias – It’s All About Team

Expertise and limitations marked her foray into the underserved multicultural niche

by Kristian Seemeyer LISA URIAS FOUNDED Urias Communications to address an underserved need for strategic marketing and PR with a multicultural focus. Now a local and national award-winning marketing, community and public relations agency, Urias Communications specializes in the multicultural markets of the U.S. Southwest, with concentration on the Hispanic market.

Urias’ first challenge came after a stint of time off from work after having her second child. She had served in international marketing in the water and energy sector — primarily in Mexico and Latin America. The challenge was: What to do next?

“It was the period during deregulation and it was very exciting and dynamic, but there was a lot of traveling involved,” says Urias. “My husband, who is an attorney and a great advisor to me, said, ‘You understand how to connect businesses with markets.’

And I realized with my experience in the Hispanic marketplace that there was this great, untapped resource.”

Urias, president and CEO, began her company, Urias Communications in 2003 and it’s been growing ever since.

One of Urias’ challenges from day one in business for herself, she says, was knowing her limitations. “After 15 years in international marketing, I knew entry market penetration. What I didn’t know were a lot of the other aspects of business. I didn’t know how to develop contractual agreements; I didn’t know HR rules; I didn’t know a lot of the financial aspects of the business. The first

Photo courtesy of Urias Communications

Building Communication

■■ Lisa Urias began Urias Communications in 2003, and took full ownership in 2006.

■■ Last year, Urias expanded her company ■■ ■■

and named Jennifer Sanchez a partner in the firm.

Urias Communications grosses approximately $6 million per year.

The company has won an Addy Award, National Best of Blue Award and Copper Quill Award, among other recognitions.

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“It’s key to know your limitations and then surround yourself with the talented professionals you can count on to do the job. I’ve been very fortunate in that regard.”

—Lisa Urias

three years was a crash course in an MBA. I learned to get that expert help from attorneys, CPAs and HR professionals.”

It’s all about the team, Urias says. “If you don’t have the right team, you’re going to make a lot of missteps. Right now, I am surrounded by a great team. I’m not creative, so I have writers and other creative people working with me. I do not do project trafficking, so I have a team for that. It’s key to know your limitations and then surround yourself with the talented professionals you can count on to do the job.

I’ve been very fortunate in that regard.”

Urias says she faces hurdles in the Hispanic marketplace. “There is great lack of understanding that large corporations and smaller businesses have about the Hispanic demographic. Most of the huge corporations have some understanding, but there is a serious lack of awareness,” Urias says.

How to solve that problem? “I show them the numbers, and that’s usually all it takes,” she says.

Fifteen trillion dollars is the expected buying power of Hispanics by the year 2015; Arizona’s population is 30 percent Hispanic; 70 percent of Hispanics own a laptop and 52 percent own a Smart phone; 80 percent of Hispanic adults use social media; 60 percent of

Hispanic business owners plan on expanding their business in the next year; in Arizona alone, Hispanics represent a $43-billion market. Those are just some of the numbers Urias and her team present to businesses when trying to convince them to reach out to the Hispanic population.

“It really is a surprise to find how many large companies, and even nonprofits, don’t understand the market and how much money they can make. It’s a matter of showing them the numbers. Everyone is looking for growth.

The Boomers are growing older and their spending will decrease as they get older. The median age overall is 46. The median Hispanic age is 26.” Plenty of room for growth.

Another challenge Urias faces in the work force is of a different nature, and she seems reluctant and disappointed to say it.

“I’ve been a woman in the work force for 25 years and I’ve noticed some challenges associated with being a minority and a woman and showing people that you are capable of managing multimillion-dollar accounts. I’ve had to take the initiative to prove myself and sometimes go above and beyond what was asked for to prove my value. It isn’t prevalent, but it does exist.”

Urias Communications uriascommunications.com

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STRATEGIES

SMART SUCCESS

Plan Exit Strategies to Yield Positive Outcomes There are numerous options for the entrepreneur who decides it’s “time to move on”

by Amy R. Handler ARE THERE ANY true positives that can come from selling a business? Yes, say three experts who have experience making cash-outs and exit strategies both happy and lucrative events.

There are various reasons an entrepreneurial owner may decide to sell a successful and profitable company, says Orville (Chip) Fisher, an attorney, investment banker and managing director at the private investment-banking firm Greene Holcomb & Fisher in Phoenix. “These reasons may include old age and health, or the desire for a new owner to take a company to the next level. Another reason might be that the owner wants to take some money out of the company and diversify,” he says.

In many cases, the seller wants to start a new business, but it is seldom in the same field as the business he or she just exited because buyers usually ask sellers to sign a non-compete clause lasting at minimum five years, points out Jerry Mills, founder of B2B CFO, which provides CFOs to companies on an outsource basis. However, having sold their company at a profit, sellers may go on to continuously purchase and sell new companies

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in varying fields; there are many successful businesspeople who have thus earned the nickname “serial entrepreneur.”

It may be time to cash-out a company when that company has exceeded all expectations and the entrepreneur, investors and employees have all secured financial success, turning the company over to a new entrepreneur and investment group to grow the business further.

However, according to Fisher, the primary reason a company shuts down is because it fails to make money. In this situation, the company can file for bankruptcy or the business can liquidate and sell everything.

But ailing companies can be helped with the right management team at the helm.

“I’m dealing with a business right now where the entrepreneur has taken the business with a great brand name to its limit, and it’s [now] ceased to be profitable. The reason is because the business doesn’t have the right management and is now overextended. The managers don’t have the skills or capabilities to make the business profitable. The entrepreneur could see that the person running the business is in over her head,” Fisher says. New management of experienced professionals may find growth opportunities and turn things around, or may have to make tough costcutting decisions the founding entrepreneur would likely find difficult. “The way this can happen [in this business] is that the manager must step back and accept the fact that she’s more skilled in sales and marketing as opposed to operations, and must give the reigns to someone else,” Fisher elaborates.

Part of the selling process is identifying the type of buyer who would be interested in the company and acceptable to the seller. Says Mills, “Some owners might want to sell to a private equity group, some might want to do an Employee Stock Ownership Plan (ESOP), some might want to do a management buyout or family transfer.”

Selling to a private equity group (PEG) could net the business owner a much greater profit, but the owner will give up majority interest and/or complete control during the process the PEG is an investor in the business.

The PEG’s role is to improve the company and to sell it for a much higher price than it was worth when the PEG invested. The owner might be able to earn more money when the company is sold. Says Mills, “The major issue is losing control while the PEG is the investor.”

For the ESOP option, “the company has to be ‘bankable,’ meaning that it has to be able to borrow a lot of money from a bank,” Mills says, explaining that a trustee will form the ESOP

“Most of the time, if a company is being sold, liabilities the owner is obligated to pay are assumed by the buyer, which eliminates the seller’s personal liability. This usual requirement of the sale is positive, particularly if the seller stays on as management.”

—Phillip Guttilla

INBUSINE SSMAG.COM

and the ESOP will use the company to borrow the money to buy out the owner(s). This often involves millions of dollars for the transaction and the company must be able to borrow money and repay the loan.

A management buyout or family transfer usually yields the lowest amount of money for the owner for a business sale and also carries the greatest risk, Mills observes. “Additionally, management and/or family members do not have money, and this means the owner has to sell the business with a carry-back note. This note is usually paid over many years.” The downside to this is the owner must rely upon management and/or family members to run the business prudently so it can earn enough money to pay back the note.

There may be buyers interested in the company for strategic reasons, says Phillip Guttilla, a certified public accountant, chartered financial analyst and attorney who heads the Corporate group at Phoenix law firm Polsinelli. These are companies in similar industries or in vertical industries that might see what a troubled company has built up as a positive that can fit into what the acquiring company has built up. “The strategic acquirer might acquire the troubled company to cut expenses and increase revenue with a positive cash flow,” Guttilla explains.

Once the company is readied, it can close the deal with the buyer of choice. But Mills notes it is important to first fix whatever may be wrong, even if it means delaying the process of bringing in a buyer. “We don’t want to scare away a buyer, and if we can fix the problem, then we can potentially sell the company for more money.”

“When I help people start companies, I always counsel them to have an exit plan,” Guttilla says, noting this holds true for purchasing a company as well. “As the late businessman and author Dr. Stephen R. Covey writes in The Seven Habits of Highly Effective People, you start with the end in mind. Any business owner starting out should have a sense of what the plan is. Will the company go public, or should it be packaged attractively for purchase should a bigger player come along?

In many venture capital funds, there are time horizons. Most funds have a 10-year life span.

Funds are established to get to an exit — that 10-year mark,” Guttilla explains.

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B2B CFO b2bcfo.com Greene Holcomb & Fisher ghf.net Polsinelli polsinelli.com

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17

Seeking

Opportunity in Our

M

ulticultural arket Businesses focus on engaging with minorities

by Joe Bardin

HE MULTICULTURAL MARKETPLACE IN THE PHOENIX AREA

is a rapidly growing one. Where once corporations focused almost entirely on connecting and serving the mainstream Anglo culture, and could afford only limited outreach to minorities, now dynamic organizations are finding they can’t afford not to engage effectively with minority communities. This is because minorities now represent significant growth opportunities.

In certain cases, such as Hispanics and Asians, the opportunity is driven by dramatic population increases. “When it comes to the new demographics of Maricopa County, the future is now,” says Mario Diaz, principal of Mario E. Diaz & Associates, who is a longtime liaison between public and private sectors as a lobbyist and PR/ business advisor knowledgeable on the Phoenix scene. “Latinos make up nearly 40 percent of Phoenix. For businesses to continue to succeed, they have to adjust to the consumer.”

Only 3 percent of the population at present, the Asian population doubled in the last

decade to 176,695, according to the 2010 census. No other minority group grew at a faster rate.

In the case of Native Americans, the attraction for mainstream businesses lies in their unique access to prized real estate and gaming rights. In all cases, bottom-line impact is at stake. “It used to be about quotas to fulfill minority participation,” says Diaz, “now it’s about opportunity.”

As James Garcia, director of Communications & Public Policy at the Arizona Hispanic Chamber of Commerce, puts it,

“These corporations are very good at counting both people and dollars. They see that Hispanics are more than a third of the population already, that it has grown 100 percent in 20 years and is on pace to do that again the next 20 years. It’s impossible to not notice.”

The case for multicultural engagement is clear. Less clear is what the best strategies are for bridging cultural gaps in order to tap into the potential for bottom-line growth.

“It’s not just about sponsoring Cinco de Mayo anymore,” says Garcia. “Companies are starting to understand it takes a real commitment.”

Translation Doesn’t Translate

“It’s not just about sponsoring Cinco de Mayo anymore,” says Garcia. “Companies are starting to understand it takes a real commitment.”

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The level of commitment involves going beyond simply retooling existing marketing materials through translation, which knowledgeable observers agree is a strategy doomed to failure. “I see that all the time — companies that turn their English commercials into Spanish,” says Miguel Bravo, manager of Strategic Partnerships at APS. “They don’t even change actors. It really doesn’t work.”

“Marketing to minority communities requires the same strategic approach as marketing to the mainstream community,” says Jennifer Sanchez, of Urias Communications, which focuses on the Hispanic community.

This starts with understanding the audience, and that calls for sound market research.

“It’s such a fast-changing environment,” says Bravo, “even though I’m Hispanic and have worked in this sector for a long time, I still need to keep up with what’s really going on out there.”

What research consistently turns up is that the old bigoted clichés about minorities couldn’t be more wrong; not only do minorities not all look alike, they don’t think alike, act alike or purchase alike.

“The hardest thing for people who are new to working with Native American tribes to understand is that every tribe is separate and independent,” says Kari McCormick, director of Client Services, Native American Division at commercial builder Kitchell. “They have their own government, their own laws, their own codes. So to assume that working with one means you know how to work with another is not an assumption you want to make.”

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Luis Caballeros, executive director of the Hispanic Marketing Center of Excellence at Cox Communications, conducted extensive research on his audience and found a similarly striking spectrum of diversity. “We really dissected our audience,” he says. “We found we have younger bi-culturals who are more English dominant but hold tight to their culture, as well as older people who are Spanish dominant.”

Research also identified significant distinctions among Hispanics whose families come from different countries, from Mexico to Puerto Rico to Cuba. This had practical implications for the Phoenix-based bilingual call center, which fields calls from regions throughout the U.S., in which certain populations feature more prominently, such as Cubans in Florida.

It’s worth mentioning that U.S. Census data shows comparable diversity within the Asian population, albeit in much smaller numbers. Chinese are no longer the largest Asian group in Phoenix. There are now more Indians and Filipinos than Chinese, along with growing numbers of Vietnamese, Cambodians and Burmese.

While Cox identified extensive differentiation among Hispanics, the research did lead to a unified bi-cultural strategy. “It’s not about what language they speak, but what content they want delivered,” says Caballeros.

Awareness and usage studies showed Cox its Hispanic audience responded to the same cultural cues regardless of whether the message came in English or Spanish. “Whether it’s a face, a product, a specific word — certain cues are culturally relevant,” Caballeros observes. “So we focus on cultural relevance, then decide what language to use.”

Now, Cox’s English-language commercials still use Hispanic talent and even feature Spanish words. Conversely, Spanish-language commercials also employee English words considered relatable, such as “cool.” This blending mirrors the hybrid experience of the Hispanic community today.

Cox has shifted the overall context of the conversation as well to reflect the updated profile. “The rule was: Make your scenes aspirational. But we’re already there; we’re not just aspiring anymore,” says Caballeros.

To illustrate how Hispanics have raised their economic standing, “There’s no more families INBUSINE SSMAG.COM

“Working with tribes is a deeply rooted trust relationship,” McCormick emphasizes.

“It’s a long-term commitment. If you’re just getting in to make a fast buck, it won’t resonate with them.” in kitchens eating anymore,” says Caballeros.

“We’re now showing young professionals in their 30s living their lives using our products.”

Going for the Whole Enchilada

Once organizations have a clear understanding of who their minority audience is, a holistic approach is required to attract and retain interaction with it. “Companies are now launching comprehensive, full-budget strategies, including print, radio, TV and social media,” says Urias Communications’ Sanchez. “You have to do it the right way if you want to succeed.”

This includes social media. Sanchez points out that Hispanics’ online participation is comparable or exceeds the mainstream marketplace. In fact, the most “liked” Facebook page-holder is Shakira, the Columbian pop singer, with 99,688,825.

Running a distant second is American pop singer Beyonce, with about 63 million.

Arizona Public Service, a client of Urias Communications, is following this advice.

The company currently has TV campaigns

on Univision and Telemundo, a robust radio campaign across five Spanish-language stations locally, and digital campaigns online. A print campaign, to appear in three Spanish newspapers locally, is in the works, as is the launch of a social media strategy through Facebook.

The need for a holistic approach to minority marketing applies to smaller organizations as well. “We don’t believe in gimmick marketing,” says Chandler Center for the Arts General Manager Michelle Mac Lennan. “We really listen and then give value. We get communities engaged in the process and then listen to what they are calling for.”

Mac Lennan recognized that Zoppe Italian Family Circus, for example, had appeal to a wide range of minority communities that are familiar with the theatrical tradition of this cultural experience. To promote it, Mac Lennan reached out to Philippine, Chinese, Italian and Hispanic communities, each in a manner relevant to them. This included engaging the various members of the circus to speak to the communities in their native languages, such as the Columbian Fire Dancers doing a radio interview in Spanish.

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Reaching In as well as Reaching Out

In addition to engaging with minorities externally, it’s vital that organizations prepare internally to retain and nurture the relationships they are seeking to create.

Recognizing the need for cultivating its own expertise in serving Native American communities, Kitchell established its Native American Division in 1999.

“We’ve got a whole division that understands the difference of working in Indian Country,” says McCormick. “This way, we’re not retraining people again and again.

And we’ve also hired some of the best and brightest from the Native American tribes themselves.”

The division conducts annual trainings to which it also invites vendors, such as engineers and architects. In addition, it does in-house training for every new tribe it engages with.

“Each tribe is a sovereign nation, so it’s like preparing to work in Canada or Switzerland; you have to understand the laws and the culture,” says McCormick.

Trainings include cultural sensitivity, such as correct nomenclature. Calling the people “Indians” is considered inappropriate; “Native Americans” is the preferred term. At the same time, referring to tribal land as “Indian Country” is appropriate. Trainings also help with understanding tribes’ organizational arrangement. It can be difficult to identify who the key decision makers are, depending on the tribe’s governing structure. And, with councils sometimes meeting just once a month, scheduling can be challenging.

McCormick notes when Kitchell first started working in Indian Country two decades ago, tribes had a less than stellar view of contractors in general, and Kitchell had to work hard to establish trust. The top rank of contractors weren’t interested in the perceived risk of working with Native American nations, and so the tribes had fewer choices of partners. But the stakes have grown and so have the tribes’ options. “Now, you’re looking at $200-million casino projects, compared to a $5-million government center back then, for example,” says McCormick. “So there’s much more to take a risk on.”

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To this day, some contractors still fear Native American sovereignty, which directs that litigious disputes are taken to tribal courts first. McCormick insists that these courts are now as “sophisticated as local jurisdictions.”

In any case, she says, Kitchell’s Native American Division has never had to resort to a courtroom to resolve differences.

If corporations are growing savvier, so too are the Native American communities themselves.

Salt River Pima-Maricopa Indian Community holds prime real estate along the 101 Freeway in the East Valley, and is regularly approached by potential development partners.

“The process has gotten a lot easier than 1015 years ago,” says Blessing McAnlis-Vasquez, marketing project manager for the Talking Stick Destination Area. The tribe’s Community Development Department now has dedicated staff for fielding proposals, and includes people with expertise in dealing with the municipal regulations of Scottsdale and Gilbert. “It’s really not that scary to work with us,” jokes McAnlis-Vasquez.

“Working with tribes is a deeply rooted trust relationship,” McCormick emphasizes.

“It’s a long-term commitment. If you’re just getting in to make a fast buck, it won’t resonate with them.”

Investing in Connecting

Companies are positioning themselves for long-term relationships with Hispanics as well.

Cox Communications was the first company in its industry to offer bills in Spanish. It also provides Spanish-speaking techs, along with its bilingual call center that is part of its Bilingual Center of Excellence. Interestingly, Cox has found that English-dominant Hispanics often call there, probably because they feel better understood from a cultural standpoint. Call center staff are trained to speak clearly and avoid colloquial terms that may be unfamiliar to Hispanics from different regions.

Arizona Public Service has cultivated long-standing relationships with the Hispanic

For Cox, recruiting minorities is a priority as well. “We always want to reflect the communities we serve, in terms of our diversity ,” says Kristina D’Alessandro, director of Talent Acquisition.

INBUSINE SSMAG.COM

market through partnerships with community organizations, including the Arizona Hispanic Chamber of Commerce (AZHCC), Chicanos Por La Causa (CPLC) and Valle del Sol. Each partnership enables APS to support community-building activity, as well as providing real business benefits.

APS’ association with CPLC, which provides social services, has been in place for 30 years.

Supporting CPLC also allows APS to promote programs for limited-income customers, which “helps keep the lights on for people who need help, and drives revenue for us,” says Bravo.

Through the AZHCC, APS identifies Hispanic businesses as potential suppliers. This is a boost for those minority-owned firms and is also an advantage for APS. “Direct access to these companies means more competition among suppliers, so we get a better product at lower prices,” Bravo explains.

APS’ total Hispanic Business Spend, which includes all money spent on Hispanicowned businesses, has steadily increased in recent years, from $11.9 million in 2011 to

INBUSINE SSMAG.COM

$16.5 million in 2013, and is expected to be significantly higher for 2014.

Jobs as well as Services

Some of the most important bridge-building to minority communities comes not in the form of services rendered but jobs generated.

“Most tribes have a priority on jobs,” says Kitchell’s McCormick. “The hope is to have apprenticeship and training for skills that go beyond that particular project. We have hired many Native Americans and expect to on most projects.” In the past, some tribes tried to create internal enterprises without reaching out for expertise. Now, tribes are asking Kitchell to mentor tribal members to take their positions. “It’s a wonderful full circle, accepting that they had to go out of house to get certain skills in-house.”

For Cox, recruiting minorities is a priority as well. “We always want to reflect the communities we serve, in terms of our diversity,” says Kristina D’Alessandro, director of Talent Acquisition. “We’re about 30 percent Hispanic, which is in line with Arizona as a whole.” Cox also has very real needs for Hispanics to fulfill its service promise to that market. To effectively recruit minorities, D’Alessandro says, “It can’t just be a check box on the corporate to-do list; it has to be an innate part of your culture. I have a passion around this issue. I believe that if we’re not diverse in our work force, we’re missing out on the diversity of ideas and talents we could have.”

Cox does not rely on simply posting job openings. It has found that its minority recruiting is most effective when it’s done out in the field. “Recruiters need to physically get out from behind their desks and build those relationships,” D’Alessandro says.

While Cox recruiters use traditional contact points such as job fairs, they see that these can be confusing and intimidating to some minorities who may nevertheless be qualified candidates. “We have the best results when we educate people in their space, where they are comfortable,” D’Alessandro says. This usually entails meeting at a community organization office already familiar to the candidates. “That’s when we see those aha moments where the light bulb goes on and people see that ‘yes, I

am qualified for a position with Cox.’” One mistake D’Alessandro sees companies make is to hire minorities, but then not have the internal support programs to help them acclimate and overcome cultural differences.

For example, in traditional Hispanic culture, challenging authority can be considered wrong. While this can get one in trouble in mainstream corporate culture as well, it is generally considered a good thing to share alternative ideas and suggestions for improvement. Internal support programs for minorities can help them shine where they might not otherwise.

Leadership Still Lagging

Ultimately, true corporate diversity will be measured not just in customers served and even employees hired but in integration at the top level of executive leadership. But, according to James Garcia of AZHCC, progress in this regard continues to lag. “Most companies are still playing catch-up. They should be identifying talented people now and training them to be in position for that opportunity, so that when it opens up, they are at least part of that pool.”

Cox may be furthering this cause through its Lider program, which helps Hispanics within the company to grow and advance internally.

And APS supports Valle del Sol’s Hispanic Leadership Institute, whose mission, as it states on its website, is to promote “the individual development of Hispanics for increased participation in leadership roles and serves as a principal education and networking resource for expertise and advocacy on leadership issues affecting Latino communities.”

While it may not yet be a top priority for mainstream corporations, Chandler Center for the Arts’ Mac Lennan sees diversifying the Center’s Board of Directors as vital. As she puts it, “How else can we serve the different communities we serve, if we’re not a reflection of them?”

Arizona Hispanic Chamber of Commerce azhcc.com Arizona Public Service aps.com Chandler Center for the Arts chandlercenter.org Cox Communications cox.com Kitchell kitchell.com Mario E. Diaz & Associates medandassociates.com Urias Communications uriascommunications.com

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23

ENTERPRISE

RISKS & REWARDS

Selling to Uncle Sam: What Business Owners Need to Know

Government contracting can be a big boost to small businesses

by Doña Storey THE U.S. GOVERNMENT is the world’s largest customer, spending billions of dollars every year on goods and services and buying everything from hair care products to cyber security consulting.

Although selling to Uncle Sam might seem challenging, the payoff can be an upward spike in the growth of any company, large or small.

The federal government sets a statutory goal to award 23 percent of its contracts to small businesses. Included in this goal are groups of small businesses with various characteristics, each having its own goal established by federal executive agencies. As an example, 5 percent of contracts should specifically go to women-owned small businesses.

Getting started with focused research can make all the difference in whether success comes sooner or later or never. The first question to answer is, “Does the government buy what I sell?” Of course, the answer to that question must always be some form of “yes.” The next step in preparation is learning how the federal government is buying a particular product or service. The government buys stand-alone products but also buys larger procurement packages that are multiple goods and/or services wrapped into one. Knowing this ahead of time gives a business owner an advantage, helping him decide whether the company should work on its own or work as a subcontractor under a large prime contractor.

Get into the System The first step for a company to be considered a vendor to the U.S. government is to register in the supplier database known as SAM (System for Award Management). This is important for two reasons: The government buyers will be able to find the company in their supplier search, and companies must be in this database to be paid. Large prime contractors also look for small-business partners in SAM because they are often required to have a certain percentage of their subcontractors be a representation of small, certified businesses.

In addition to SAM, another key website is Federal Business Opportunities, where most of the current solicitations to buy goods and services can be found. This site is a very important tool for market research to find out how the government bought products and/or services in the past, which businesses can learn by using an archives search.

Even if a business owner thinks his company is too small to manage a government contract, looking at current solicitations opportunities and previously awarded contracts may help a business owner find a way to get started as a subcontractor to a larger, more experienced firm. Teaming or subcontracting is a good way to get a foot in the door.

Certifying a business is a great way to position a company to capture what are called “set-aside procurements.” These ensure that a small company in a particular category, such as women-owned or service-disabled veteran-owned, has to compete only against others in their size and certified category. Certifications are one of the ways the federal government has attempted to level the competitive playing field. For those small businesses that qualify, a competitive edge can make a tremendous difference in growing the company from a small

Do’s and Don’ts for Government Contracting Selling to the government can be a huge growth opportunity for small businesses, but the process can seem confusing.

These are mistakes businesses should be careful to not do: Waste time chasing contracts that cannot be won.

■■ ■■ Not understand that a Request for Proposal lists all the ■■ 24

regulations that become the terms and conditions for the contract.

Sign teaming agreements with primes that are openended and could lead to no work after time and money is expended in the chase.

A U G U S T 2014

Starting with well-established business practices, businesses can follow these additional steps to achieve success: Develop a well-thought-out selling plan utilizing past performance that clearly describes the business’s true capability.

■■ ■■ Get coaching to learn how to manage the proposal process.

■■ Go into every contract knowing where risk is in advance and have a wellthought-out risk mitigation plan.

■■ Plan in advance of doing any work on any contract how the company will perform key project management processes such as meeting deadlines and submitting invoices to be paid for its products or services.

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BOOKS regional provider to having a larger, national competitive reach.

A recent survey by American Express OPEN reported that twothirds of women-owned firms (67 percent) find the women-owned small business (WOSB) certification useful in seeking contracting opportunities. The “Contracting Support Small Businesses” page on the U.S. Small Business Administration website describes the various categories and opportunities.

Peggie and James Simmons of Assets Conversion Inc. in Phoenix are an example of a small company applying for a certification for minority business owners. They have found that getting an 8(a) certification as the marketing tool will help scale up the growth of their company. In their case, they also have the ability to apply for a service-disabled veteran-owned certification as well. Having additional certifications will only increase a small company’s competitive edge. Using these certifications during the government’s fiscal fourth quarter’s frantic buying season which ends September 30 can be a win-win for both government procurement officials trying to meet small business goals and a company looking for a small contract to build up their past performance for future competition.

Benefit from Self-Awareness A special process known as capture management is a marketing technique that the large primes use and one that small businesses should learn from and apply to their companies as well. Capture management is the process of knowing and understanding one’s own company and how it is positioned in the marketplace so that the right decisions are made in terms of what contracts to chase and what contracts to let go.

Capture management ultimately leads to the key decision called “bid/no bid.” One of the mistakes small firms make is chasing too many procurement opportunities that, in fact, they could never win. In addition to helping make the best bidding decision, capture management works when a business owner and his leadership team have made a focused effort to learn and understand the entire acquisition process and how to maximize the company’s marketing dollars.

Many small businesses have successfully used government contracting as a way to scale up their existing business by diversifying their contract portfolios in the commercial and government marketplaces. Those companies that become successful in the government space find the new knowledge they develop to win contracts strengthens their ability to grow their commercial business. The federal government can enable a small business to expand to a national reach in one contract when it takes the time to learn about and utilize all the tools available to it.

American Express OPEN forum americanexpress.com/us/small-business/openforum Federal Business Opportunities fbo.gov System for Award Management sam.gov/portal/SAM/#1#1 United States Small Business Administration sba.gov

Doña Storey is the American Express OPEN Advisor on Scale Up, advising entrepreneurs on how to find rapid growth through corporate and government procurement as well as helping large organizations scale their entrepreneurial partners to better meet demand in both the commercial and government marketplaces. She is an entrepreneur herself with extensive experience running and scaling up a business. For more resources on government contracting, visit www.openforum.com/governmentcontracting.

INBUSINE SSMAG.COM

EVER-CHANGING BUSINESS

Zero to One: Notes on Startups, or How to Build the Future THE NEXT BILL Gates will not build an operating system. The next Larry Page or Sergey Brin won’t make a search engine. And the next Mark Zuckerberg won’t create a social network. The act of creation is singular, as is the moment of creation, and the result is something fresh and strange. This book is about how to build companies that create new things. It draws on everything Peter Thiel has learned directly as a co-founder of PayPal and Palantir as well as from being an investor in hundreds of start-ups, including Facebook and SpaceX. The single most powerful pattern Thiel has noticed is, successful people find value in unexpected places, and they do this by thinking about business from first principles instead of formulas.

Peter Thiel and Blake Masters $27 • Crown Publishing Group • September 2014

The Reciprocity Advantage: A New Way to Partner for Innovation and Growth A POWERFUL NEW kind of competitive advantage is now possible thanks to technological and social disruptions that are already occurring. These disruptions revolutionize how companies can partner to create new growth. The Reciprocity Advantage shares a model for creating that growth.

Reciprocity and advantage are words that are not normally seen together, but reciprocity — giving now to get later — will become a normal part of winning in the future. The Reciprocity Advantage shows how to leverage new forces like digital natives and cloudserved supercomputing now into massively scalable, profitable, incremental growth for one’s business.

Bob Johansen and Karl Ronn $27.95 • Berrett-Koehler Publishers, Inc. • September 2014

The small BIG: small changes that spark big influence EVERYONE, AT SOME point each day, will have to influence or persuade someone — a boss, co-worker, customer, client, spouse, kids or even friends. What is the smallest change that can be made to the request, proposal or situation that will lead to the biggest difference in the outcome?

In The small BIG, three heavyweights from the world of persuasion science and practice describe how, in today’s information-overloaded and stimulation-saturated world, increasingly it is the small changes that lead to the biggest differences. Drawing from extensive research in the new science of persuasion, the authors present many small changes that can bring about momentous shifts in results.

Steve J. Martin, Noah Goldstein and Robert Cialdini $28 • Grand Central Publishing • September 2014

A U G U S T 2014

25

LEGAL

LEGAL MATTERS TO BUSINESS

Hiring on the Right Side of the Law There are myriad rules and regulations governing the hiring process

by RaeAnne Marsh THE GAMUT OF issues businesses must properly navigate when bringing on a new hire ranges from background checks and social media history to drug testing to treatment of disabled and other specific classes of workers — and the correct approach is not necessarily intuitive.

In some cases, the law is downright confusing, such as the rules around E-Verify. This national database of individuals who may legally work in the United States was created to be a resource for businesses to use voluntarily. But Arizona’s Legal Arizona Workers Act, passed in 2008, made participation in E-Verify mandatory for businesses large and small. “Arizona employers must run the I-9 form through the E-Verify system within three days of an employee’s hire,” says Craig O’Loughlin, a partner in the Phoenix office of Quarles & Brady.

Visas also require an I-9 form, and Lisa Coulter, an attorney in the Phoenix office of Snell & Wilmer, notes it is important for an employer to pay attention to the kind of visa: what kind of work authorization an employee has, whether it is an education visa, and when it will expire. If a foreign national has applied for a visa but does not yet have it, Coulter says, “It’s risky to hire hoping they will get it.”

There has been a huge increase in raids by U.S. Immigration and Customs Enforcement for employee records, according to Coulter.

And the action is beginning to be more critical than previously. “In the past, ICE would give notice that it will be reviewing a company’s employment records, giving businesses time to make changes and correct them,” she says. The trend now, however, is to freeze the records as of the notice, and the penalties for mistakes can be in the hundreds of thousands of dollars.

“It’s important that businesses constantly review and monitor the I-9 records, and

make sure the person doing them is properly trained,” Coulter says.

An employer who runs a background check on new hires which includes credit history information must always be aware of the rules under the Fair Credit Reporting Act, O’Loughlin notes. The FCRA requires the employer to get written permission and — an important step that O’Loughlin says it seems many employers fail to do — if the employer then decides for any reason to not hire the applicant, that employer must provide notice to the person as to the reason he wasn’t hired, give him a copy of the report, and give him an opportunity to dispute the accuracy of the report.

Additionally, O’Loughlin says, many states have enacted “mini FCRAs” that add more protections for the individual. While Arizona is not one of those states, their rules can apply to Arizona companies doing business there.

California, for instance, requires an employer to give an applicant a copy of anything the employer sees with relation to any type of consumer reporting as well as a copy of

that person, but it allows the person to make the

the individual’s rights under the law — and O’Loughlin notes the statute is written to apply to California companies no matter where they do business and to out-of-state companies doing business in California.

Social media is another area fraught with potential landmines. Accessing an applicant’s social media history may be seen by an employer as offering insight into how well the individual might fit into the company culture, but another result could be opening the employer to a charge of discrimination.

There are states that have laws expressly forbidding employers from asking for access to an employee’s social media accounts. Arizona is not one of those states, but such access could still create problems. “It could stifle speech to refuse to hire people who are doing nothing more than exercising their rights,” O’Loughlin says. Plus there is a concern regarding the information an employer could get, such as learning about a disability. Explains Coulter, “An employer might see the applicant is a member of the Diabetes Association or has a spouse in a wheelchair. That may not be the reason for not hiring that person, but it allows the person to make the claim that it’s the reason he wasn’t hired.” It opens an employer to claims he would otherwise not have to deal with. “Just because you can get information doesn’t mean you should,” Coulter observes.

claim that it’s the reason he wasn’t hired.”

Snell & Wilmer LLP swlaw.com

“An employer might see the applicant is a member of the Diabetes Association or has a spouse in a wheelchair. That may not be the reason for not hiring

—Lisa Coulter

26

A U G U S T 2014

Quarles & Brady LLP quarles.com

INBUSINE SSMAG.COM

WWW.INBUSINESSMAG.COM

August 2014

ON THE AGENDA

A listing of Greater Phoenix business organizations and their events. Visit www.inbusinessmag.com for an expanded monthly calendar of educational, networking and special business events.

Greater Phoenix Chamber of Commerce

Arizona Technology Council

You CAN Do Business with the Federal Government!

Marketing Technology Summit

Wed., Aug. 13 — 11:30a – 1:30p

THE SIXTH ANNUAL Marketing Technology Summit, hosted by the Arizona Technology Council and the Phoenix chapter of the Business Marketing Association, will be held at Hilton Scottsdale Resort. The focus this year is Big Data, with workshops and panel discussions on tools and tactics for leveraging Big Data to create top-notch content and strategies for marketing and sales. Event attendees will include public policy leaders, legal professionals, educators and marketers, marketing and public relations agency leaders, venture capitalists, bank managers and high-tech organizations. The event attracts more than 300 attendees and 20 exhibitors each year.

The event will include three morning workshops where attendees will be able to speak and work with local businesses and industry leaders. In addition, two panel discussions will be held featuring local experts on “CIO/CMO ‘Big Data’ Thought Leadership” and “Data and Customer Success Management.” Awardwinning speakers Laura Ramos, vice president and principal analyst at Forrester Research, and Rowan Trollope, senior vice president and general manager of the Collaboration Technology Group at Cisco Systems, will present keynote addresses and be available for questions.

In addition, there will be a sponsor expo throughout the day, with cocktails and heavy hors d’oeuvres served from 4 p.m. to 6 p.m.

Registration for the full day is $75 for members of either organization and $100 for non-members. For morning workshops only, registration is $35 for members, $50 for non-members; for main conference, $50 and $75.

—Alexandra Lyon

BIDSOURCE, IN COLLABORATION with the Greater Phoenix Chamber of Commerce, will host this interactive seminar to benefit experienced and inexperienced companies interested in expanding their business by winning federal contracts. The event will be held at the Greater Phoenix Chamber of Commerce’s local offices.

Attendees will be able to speak one-on-one with keynote speaker Tom Sheets, founder and president of The Stonewall Group, LLC, who specializes in helping companies do business with the federal government.

“The procurement process can be quite daunting, even at the local level,” says Ashley Ferguson, economic development and BidSource coordinator, “but this workshop will provide the knowledge from someone who has worked in the industry for many years.”

Small-business owners, even those who may have believed they did not have the resources to become involved in the process of procuring contracts on the federal level, will learn about assistance available to them. Sheets will offer an interactive presentation on Organizational Performance Improvement and Federal Business Development, helping inform attendees of how to do business with the federal government, learn industry trends, stimulate economic growth in Arizona, find out about available assistance resources and share individual successes in doing business with the federal government.

“We have had success stories from our smaller companies that have doubled their annual gross from winning just one contract,” Ferguson says.

Tickets are $10 for members and non-members.

Lunch is included.

—Alexandra Lyon Greater Phoenix Chamber of Commerce phoenixchamber.com

Thurs., Aug. 21 — 10:30a – 6:00p

Arizona Technology Council aztechcouncil.org Business Marketing Association – Phoenix bmaphoenix.org

No Notable Dates This Month Agenda events are submitted by the organizations and are subject to change. Please check with the organization to ensure accuracy. See more events online at www.inbusinessmag.com.

WANT TO CUT ENERGY COSTS? THINK SRP REBATES. savewithsrpbiz.com INBUSINE SSMAG.COM

A U G U S T 2014

27

ON THE AGENDA AHWATUKEE FOOTHILLS CHAMBER OF COMMERCE SCORE

Thurs., Aug. 7 & 21 9:00a – 4:00p

One-on-one business counseling.

Free Ahwatukee Foothills Chamber of Commerce 4435 E. Chandler Blvd., Phoenix ahwatukeechamber.com

AUGUST 2014

Consul General Roberto Rodriguez Hernandez plus three more speakers discuss new business trade and investment opportunities for Arizona businesses in and with Mexico. This is the last AZIGG event before the conversion to Global Chamber Phoenix! $29.95 Macayo’s Restaurant 4001 N. Central Ave., Phoenix growthnation.com/azigg

Sloan Awards

Thurs., Aug. 28 11:30a – 12:45p

Effective and Flexible Workplace Awards (Sloan Awards) honors the best employers focused on innovation, flexibility and effective work.

Free Wild Horse Pass Resort and Conference Center 5594 W. Wild Horse Pass Rd., Chandler chandlerchamber.com

Business Expo

ARIZONA SMALL BUSINESS ASSOCIATION

Hosted by the Ahwatukee Foothills Chamber of Commerce Women in Business committee, the morning will begin with networking, breakfast and keynote speaker Tim Hovik, general manager and owner of San Tan Ford. A trade show will follow featuring area businesses.

Members: $25; non-members: $35 Four Points by Sheraton Phoenix South 10831 S. 51st St., Phoenix ahwatukeechamber.com

Marketing for Small Business Get tips from Pro Sales Coach Mike Leeds and learn the craft of fast, relevant, effective networking.

Free Paradise Valley Mall 4568 E. Cactus Rd., Phoenix asba.com

Thurs., Aug. 21 5:00p – 7:00p

After 5 Evening Mixer

ARIZONA TECHNOLOGY COUNCIL

GREATER PHOENIX CHAMBER OF COMMERCE

Tues., Aug. 19 9:00a – 1:00p

Wed., Aug. 20 5:30p – 7:00p

Members: $5; non-members: $15 Spooner Physical Therapy 16611 S. 40th St., Phoenix ahwatukeechamber.com

ARIZONA CHAMBER OF COMMERCE AND INDUSTRY 2014 Environmental and Sustainability Summit

Thurs. – Fri., Aug. 14 – 15 9:00a Thursday – 4:00p Friday

Golf tournament (optional) and networking reception on Thursday.

Full-day summit on Friday. Hear cuttingedge information, participate in lively discussions, and network with colleagues and regulators from around the state.

Members $170; non-members $200 Prescott Resort and Conference Center 1500 E. State Rte. 69, Prescott azchamber.com

ARIZONA ASSOCIATION FOR ECONOMIC DEVELOPMENT Luncheon

Tues., Aug. 12 11:30a – 1:15p

“Managing Transition: Real Estate 2015” Members and their guests: $40; nonmembers:$50 Phoenix Country Club 2901 N. 7th St., Phoenix aaed.com

ARIZONA INTERNATIONAL GROWTH GROUP South of the Border: Global Business Lunch Tues., Aug. 5 11:00a – 1:00p

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A U G U S T 2014

Tues., Aug. 12 7:30a – 9:00a

2014 CEO Retreat

Mon. – Tues., Aug. 11 – 12 11:00a Monday – 3:30p Tuesday

“Leveraging Arizona - Collaboration, Conversation and Community of Arizona-Based Businesses.” Two-day event gathers business owners, presidents and CEOs for speakers, workshops, keynote presentations, golf and networking. Presented by Polsinelli.

Members: $450; non-members: $550; golf: add $150; special room rates available L’Auberge de Sedona 301 L’Auberge Lane, Sedona aztechcouncil.org

Marketing Technology Summit: Content Marketing Thurs., Aug. 21 10:30a – 6:00p

This year’s conference will focus on tools and tactics for leveraging Big Data to create top notch marketing and sales content and strategies.

Members $50; non-members $75; individual event pricing also available Hilton Scottsdale Resort & Villas – Grand Ballroom 6333 N. Scottsdale Rd., Scottsdale aztechcouncil.org (See article on page 27.)

CHANDLER CHAMBER OF COMMERCE Business Golf Wed., Aug. 6 7:00a – 9:30a

Business golf for networking, building business relationships, meeting new friends! Each outing is held at a Chamber member golf course on a rotating basis. $30 Lone Tree Golf Club 6262 S. Mountain Blvd., Chandler chandlerchamber.com

GLENDALE CHAMBER OF COMMERCE August Business After Hours Members: free; non-members: $25; please RSVP Cabela’s 9380 W. Glendale Ave., Glendale glendaleazchamber.org

Lunch Program Tues., Aug. 5 11:00a – 1:00p

“12 Months of Your Money: Practical Tips to Improve Your Financial.” Laura Ann Bartlett, CEBS, AIFA, vice president of Institutional Wealth with Bank of Arizona, will break down the large task of improving overall financial wellness into a short project each month, rather than an overwhelming and confusing todo list that never even gets started.

Members $20; non-members $40 Phoenix Country Club 2901 N. 7th St., Phoenix phoenixchamber.com

BidSource Presents…You CAN do business with the Federal Government! Learn How! Wed., Aug. 13 11:30a – 1:30p

Highly-interactive presentation by Tom Sheets, founder and president of The Stonewall Group, LLC, a consulting company specializing in organizational performance improvement and federal business development. $10 Greater Phoenix Chamber of Commerce 201 N. Central Ave., Phoenix phoenixchamber.com (See article on page 27.)

Speed Networking Wed., Aug. 20 7:30a – 9:00a

Semi-annual event.

Free; non-members asked to attend only one event before joining Hard Rock Cafe Three S. 2nd St., Phoenix phoenixchamber.com

Valley Young Professionals Go Behind-the-Scenes at the MIM Thurs., Aug. 21 7:30a – 9:30a

Go behind the scenes of this unique museum with a specially trained museum guide on a one-hour tour through space and places not accessible to the general public.

VYP & Chamber members: free; nonmembers: $20 Musical Instrument Museum (MIM) 4725 E. Mayo Blvd., Phoenix phoenixchamber.com

LOCAL FIRST ARIZONA Multicultural Networking and Recruitment Forum Mon., Aug. 4 4:30p – 7:00p

With more than $830 billion in buying power, the LGBT community is the most culturally diverse of all of our emerging communities. Join ONE Community as we celebrate diversity and network with companies from around the Valley who know that diversity is the key to a successful work force. $5 Pointe Hilton Squaw Peak Resort 7677 N. 16th St., Phoenix onecommunity.co

Arizona Rural Policy Forum Thurs. – Fri., Aug. 7 – 8 8:00a – 5:00p

The 2014 Rural Policy Forum will connect rural economic development professionals, nonprofits, community leaders, business owners, and other rural stakeholders who are interested in sustaining rural communities to hear strategies from national experts as well as learn about success stories around Arizona. $119 Bullion Plaza Cultural Center 150 N. Plaza Cir., Globe/Miami azrdc.org/2014-rural-policy-forum

MESA CHAMBER OF COMMERCE Grow Your Business Tues., Aug. 12 11:30a – 1:00p

Guest Speaker: Senator Bob Worsley.

Members $15; non-members $25 Superstition Springs Golf Club 6542 E. Baseline Rd., Mesa mesachamber.org

NATIONAL ASSOCIATION OF WOMEN BUSINESS OWNERS NAWBO University Wed., Aug. 13 9:30a – 11:00a

Tara Hustedde presents “Sharing Your Corporate Story Through the Power of the Press.” Learn some of the best tips, tricks and strategies for public and media relations success.

INBUSINE SSMAG.COM

Please confirm, as dates & times are subject to change.

Members free; non-members $30 Phoenix Country Club 2901 N. 7th St., Phoenix nawbophx.org

Luncheon

Wed., Aug. 13 10:45a – 1:00p

Media Panel presents, “Let’s Get Down to Business – Working with the Media.”

Members: $38; non-members; $48; RSVP

by Aug. 10 Phoenix Country Club 2901 N. 7th St., Phoenix nawbophx.org

PEORIA CHAMBER OF COMMERCE Connecting the Community and Chamber Tues., Aug. 12 5:30p – 6:30p

Networking mixer.

Free Haymakers 24762 N Lake Pleasant Pkwy., Peoria peoriachamber.com

B-SMART – NxLevel for Entrepreneurs – Business Plan Course Thursdays, Aug. 21 – Nov. 6 4:00p – 8:00p

This 12-week intensive training program is designed to encourage business expansion

INBUSINE SSMAG.COM

in a community. The course focuses on teaching the art of better business practices while producing a comprehensive business plan to guide business expansion decisions and activities. $299 Peoria Chamber of Commerce 16165 N. 83rd Ave., Peoria peoriachamber.com

SCOTTSDALE AREA CHAMBER OF COMMERCE PM Connect

Thurs., Aug. 7 5:00p – 7:00p

Samples of pizza will be served along with a cash bar.

Members: free; guests: $20 The Venue of Scottsdale 7117 E. 3rd Ave., Scottsdale scottsdalechamber.com

Breakfast with a Side of the F.B.I. – Protecting Your Businesss Thurs., Aug. 14 7:30a – 9:00a

Join the Scottsdale Area Chamber of Commerce and FBI Assistant Special Agent in Charge, John Iannarelli, to learn more about Information Governance.

This informational breakfast will provide insight on how to protect your business’s sensitive data.

Members: $20; guests: $30; at the door: add $5 Doubletree Resort by Hilton Paradise Valley 5401 N. Scottsdale Rd., Scottsdale scottsdalechamber.com

AM Connect

Thurs., Aug, 21 7:30a – 9:00a

Format: Roundtable Networking.

Members: free; guests: $20 Pueblo Norte 7090 E. Mescal St., Scottsdale scottsdalechamber.com

“Voice of the Sun Devils” Tim Healey emcees this exciting afternoon as head coach Todd Graham welcomes his players, coaches and other special guests in kicking off the new season. A live chat with players onstage and Q&A with Coach Graham provide a glimpse into the upcoming season. $60 Tempe Mission Palms Hotel 60 E. 5th St., Tempe tempechamber.org

WEST VALLEY WOMEN

SURPRISE REGIONAL CHAMBER OF COMMERCE

Luncheon

Business Education Seminar

“Fabulous Footwear Contest.”

Members: $30; non-members: $35 Arizona Broadway Theatre 7701 W. Paradise Ln., Peoria westvalleywomen.org

Tues., Aug. 19 8:15a – 10:00a

In addition to great training, there will be prizes given away and great networking before and after the presentation.

Members: $10; guests: $15 The Hampton Inn & Suites 14783 Grand Ave., Surprise surpriseregionalchamber.com

TEMPE CHAMBER OF COMMERCE Sun Devil Football Kickoff Luncheon Fri., Aug. 22 12:30p – 2:30p

Tues., Aug. 5 11:30a – 1:00p

WOMEN OF SCOTTSDALE Luncheon

Fri., Aug. 15 11:30a – 1:00p

$35 The Westin Kierland Resort & Spa 6902 E. Greenway Pkwy., Scottsdale womenofscottsdale.org

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29

NONPROFIT

THE BUSINESS OF MAKING A DIFFERENCE

‘Giving USA 2014’: Dispelling Myths about Philanthropy

The Giving Institute’s annual report of philanthropic trends encourages business and nonprofit leaders to discuss the real issues and truths surrounding fundraising in the United States

by Marc Kellenberger GIVING USA 2014 isn’t a magical handbook with superpowers, but the figures and historical insight contained within the report do dispel long-held myths about fundraising.

Those executives sitting on nonprofit boards who understand the implications of the report’s facts and figures — and how to use them to their advantage — can optimize their organizations’ philanthropic efforts.

Myth 1: Corporations are the most significant contributors to philanthropy.

A common misconception bandied about nonprofit boardrooms is that the easiest way to raise funds is through gifts from big, highprofile corporations. Focusing efforts on that six- or seven-figure gift from a single source will save the nonprofit time and resources, right? Not so fast. Over the past several decades, Giving USA has consistently revealed the opposite is true. Last year, only 5 percent of the $335.17 billion in charitable gifts raised in the United States came from corporations; another 8 percent came from bequests, and 15

An overview of giving in 2013 2013 contributions by source Bequests Foundations

Corporations

8%

5%

15%

Total charitable giving

by American individuals, foundations, estates, and corporations rose for the fourth consecutive year in 2013. The single largest influence on this increase was the additional $9.69 billion in gifts made by individuals over 2012.

72% Individuals

the greatest amount of philanthropic dollars, right? Yes, but unless someone within the nonprofit organization personally knows Bill Gates, Warren Buffett or Oprah Winfrey, it’s not necessarily an advisable strategy. Nor is it advisable to expect to raise the majority of funds through golf tournaments and gala events.

Events require a great deal of staff and volunteer time to produce and net surprisingly little revenue when compared to outright giving.

Instead, nonprofits should consider targeting individual donors and cultivating those relationships for optimal return. The figures in the Giving USA report don’t lie.

Individuals account for the vast majority of charitable contributions, giving more than $240 million in outright gifts during 2013.

When it comes to all types of giving — individuals, corporations, foundations — it’s not just wealth or giving capacity that counts.

Nonprofits must know the person or institution they are engaging. The nonprofit should be able to answer the question, “What type of proposal serves both our visions and missions?” Those nonprofits whose priorities closely align with their Total 2013 contributions: $335.17 billion donors’ always have a competitive advantage.

2013 contributions by Myth 2: Nonprofits must focus fundraising recipient organization efforts in a single area. It is common to assume Gifts to Environment/animals individuals 1% that human services organizations should International affairs seek funds from individuals, foundations and 3% Arts, culture, 4% corporations with an interest in basic health and humanities 5% and human service functions. Or that arts Religion Public-society organizations should target like-minded benefit 31% 7% Five charitable subsectors creatives to support the nonprofit’s artistic have now surpassed inflationpursuits. But what if nonprofits studied adjusted giving levels realized past and current trends in philanthropic prior to the heart of the recession: Health 10% Education, human services, giving, using that insight to adjust the foundations, health, and way they think about themselves and environment/animals. their donors?

11% Consider this statistic from Giving USA: Gifts to Contributions to educational endeavors grew Foundations 16% 12% the most last year, accounting for 16 percent of all charitable giving. Institutions that may Human services Education percent came from foundations. That means, overwhelmingly, the majority of philanthropy — 72 percent — comes from individuals. That figure grows to 87 percent when combining individual giving, bequests, family foundations and individual or family-donor advised funds.

What that means to the nonprofit is a shift in traditional thinking — especially when taking a closer look at that corporate 5 percent of contributions. When a nonprofit places its bets on securing the “big corporate gift,” it must understand that nearly 65 percent of those corporate gifts are in-kind donations of goods and services. Furthermore, a majority of those inkind gifts are earmarked for causes outside of the United States, often in the form of pharmaceutical aid to other countries. This reality leaves little room for contributions at home, let alone a six- or seven-figure corporate dream gift.

A similar misconception is it’s better to narrow the target, focusing on the wealthiest, most successful businesspeople in the country.

They’re individuals, and individuals contribute

In Business Magazine has partnered with The Phoenix Philanthropy Group to bring readers and online users a column in each issue dedicated to informing and inspiring nonprofit leaders and local businesspeople on leadership and best practices for the nonprofit sector.

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have a primary emphasis in health or human services may also have an education mission or offer education-related programs to train constituencies. Shifting focus to this popular area of growth might result in new opportunities; for instance, the nonprofit might identify a new contributor whose educational priorities align with the secondary educational work of the nonprofit. This could be the first building block to a meaningful donor relationship.

Understanding why shifts in giving have taken place historically can also aid the nonprofit in its long-term planning strategies.

Take, for instance, the increased support of human services contributions in 2008 when the Great Recession crippled the U.S. economy.

Individuals, corporations and foundations moved their philanthropic support away from arts and culture, as well as animals and the environment, to focus on meeting social needs in the human services sector. With the recent stabilization and strengthening of the economy, the pendulum is swinging back, again, to arts and culture and the environment.

Understanding these giving trends and personal giving habits can help the more agile nonprofits

adjust their strategies in anticipation of historic giving behaviors and future giving trends.

Indeed, today’s board members must think creatively about all the pieces of the giving pie: education, human services, health, publicsociety benefit, arts/culture/humanities, international affairs and environment/animals.

Very rarely does an organization fit squarely into only one of those sectors. Successful nonprofits align their various priorities with funders and their specific interests, all while considering their own strengths outside the traditional areas of service. This kind of creativity must be carried into grant writing, relationship building, and the identification and cultivation of new groups of contributors.

Myth 3: The number of nonprofits is decreasing, making more resources and funds available to existing nonprofits. While it is true that nonprofits have decreased slightly over the past year, more than 1.52 million nonprofits still exist in the United States. That translates to continued competition for finite resources. Philanthropy alone cannot close the financial gap in the nonprofit sector caused by the rapid decline in government funding. Those

nonprofits effectively positioned to optimize philanthropy, along with for-profit revenue ventures as part of their business plans, will be the most successful. (See our July In Business Magazine article about revenue diversification.)

Giving USA is the definitive longitudinal research study on U.S. trends and issues in philanthropy, compiled now for nearly 60 years. The annual study provided by The Giving Institute, and based on research from the Lilly Family School of Philanthropy at Indiana University, is a valuable planning tool for corporate executives who want to bring strategic business skills to the nonprofits they serve. The Phoenix Philanthropy Group is the only member of the Giving Institute in the Southwest approved to conduct Giving USA preview events, which have taken place in Arizona, Nevada and California.

Giving USA givingusareports.org The Phoenix Philanthropy Group phoenixphilanthropy.com

Marc Kellenberger is founding partner of The Phoenix Philanthropy Group, an Arizona-based international consulting firm serving nonprofit organizations as well as institutional and individual philanthropists.

Assessment & Valuation Service

for Small & Medium Size Businesses

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• What is my business worth today?

• How many different types of value are there and which are most important to me?

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• How does my company compare to others in the same industry in terms of key performance indicators involving liquidity, solvency, activity and profitability?

At Beyer Management we’re passionate about Value Based Management. We find that when a business owner focuses on increasing the value of their company, they will naturally design the right strategies, implement the proper business model, and execute the best tactics to beat the competition and build a long term sustainable enterprise.

If you’ d like an expert valuation, or you’d like to learn more about Value Based Management, call us at (602)-633-5353 or visit our website at www.beyermanagement.com

4455 E. Camelback Road, Suite C135 Phoenix, AZ 85018 INBUSINE SSMAG.COM

A U G U S T 2014

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WE VALUE WHAT WE OWN

by Mike Hunter

New 2015 Porsche Macan Turbo ENTERING THE COMPACT luxury SUV market is Porsche with the Macan Turbo. Built by Porsche to be a Porsche, this sports car (as it must be called) is an impressive champ on the road and an even more impressive sight to look at. With a 3.6-litre twin turbo V6 engine, this 400-horsepower vessel boasts 0-60 mph in just 4.6 seconds and entertains top speeds above 160 — setting a new performance standard in its class.

Improving the aerodynamics of this vehicle is the available air suspension with Porsche Active Suspension Management (PASM), which sets the car 15 mm lower than the steel spring suspension.

The self-leveling function keeps the car “height consistent” at all performance levels. There are three levels of ground clearance: Terrain Level, Normal Level and Low Level, which differentiates from 40 mm above to 10 mm below normal height. Shifting gears is a cinch and all about maintaining performance with the 7-speed PDK transmission. When a gear is engaged, the system is prepped with the next gear and ready at a fraction of a second to kick in, ensuring contiguous shifting and reliability and guaranteeing a sporty drive.

The interior design is all Porsche and seemingly designed in threes: a three-spoke sports steering wheel patterned after the 918 Spider, with paddle shifters; and a three-tube-design instrument panel inspired by classic sports cars, with the rev counter in the center, a 4.8-inch color screen to the right displaying information from the onboard computer, and other gauges to the left. A high-resolution color touchscreen enables all the luxury options, including navigation, audio and Bluetooth communications. Interior palettes range from classic luxury to very sporty with carbon or brushed aluminum. The surround sound system is designed by Burmester®, an available upgrade to enhance the cabin experience.

The exterior is inspired by decades of Porsche model-influence, including the acclaimed Porsche 917 known best for its victories in the 1970s. A bold stance and powerful compact appearance give the illusion that this vehicle is much larger than it is and makes it appear to have “every muscle flexed — like a predator ready to pounce,” according to Porsche. The side blades give a sporty appeal and can be painted in a Lava “matte” Black. The red calipers on the Turbo enhance the appeal, with the available 21-inch wheels to truly bring 2015 Porsche Macan Turbo together this compact SUV and allow its claim to be a sports car after all.

City MPG . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Hwy MPG. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 0-60 MPH. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.6 sec Transmission. . . . . . . . . . . . . . . 7-speed automatic MSRP. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $72,300

Porsche porsche.com

A Time to Retreat MANY COMPANIES BELIEVE that an off-site meeting or retreat will help executives and employees stay focused on the topics at hand. In Business Magazine has chosen some top locations in the Valley for that perfect planned getaway from the day-to-day.

Black Canyon Conference Center

This newly renovated property in the northern part of Phoenix boasts the latest in audio visual technologies and can accommodate groups of 100 or more. The facilities are equipped well for training and smaller classroom settings. Full-service food and on-site management and concierge ensure the perfect event.

9440 N. 25th Ave., Phoenix (602) 944-0569 blackcanyonconferencecenter.com

Carefree Resort & Conference Center

This Arizona traditional conference setting will certainly take executives and employees away for a day or several days. Fully equipped with onproperty services and meeting specialists, the Carefree Resort will ensure any event meets a company’s expectations. On-site accommodations are also available.

37220 Mule Train Rd., Carefree (888) 692-4343 carefree-resort.com

Desert Willows Conference Center

With day meeting packages, food, equipment and spaces that can manage most companies’ needs, from multiple breakout sessions to large “ballroom” gatherings. This corporate center has it all in a hotel-like setting, located at the Cotton Center business park.

4340 E. Cotton Center Blvd., Phoenix (602) 431-0001 desertwillowconferencecenter.com

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Photos courtesy of Porsche (left) Desert Willows Conference Center, Carefree Resort & Conference Center, Black Canyon Conference Center (right, top to bottom)

ASSETS

MEALS THAT MATTER

by Mike Hunter

POWER LUNCH

Quick Catering MULTIPLE PEOPLE FOR lunch or an impromptu meeting may result in needing to find that perfect and quick catered lunch. Here are our picks for an easy, tasty, last-minute meal for many.

Café Zupas

New to this market, Café Zupas is a sandwich, soup and salad hot spot that is all about quality food made right. Catering consists of a quick call to the nearest location and speaking with its catering coordinator, who will make suggestions based on the business’s need or, if everyone involved wants specific items, take a specific order.

5 locations Valley-wide cafezupas.com

Rubio’s

Easy to serve and equally satisfying to guests are Rubio’s lunch platters. Order the Taco Bar, Burrito Platters, Enchilada Platters or any one of the pre-set menus by just letting them know how many the business will be serving. Order online or make the call. It is easy and comes with all the fixin’s, hot and ready to eat.

Many locations Valley-wide rubios.com

Photos courtesy of Café Zupas (left), Cibo Urban Pizzeria (right)

Wildflower Bread Company

Offering food made fresh daily, Wildflower is a full-service caterer but specializes in the quick lunch or meeting. It offers everything from sandwiches, soups and salads to cookies and desserts, so the only think guests will miss is the great aroma at the actual store location. Call the nearest location for easy delivery as well.

13 locations Valley-wide wildflowerbread.com

Cibo Pizzeria: An Urban Classic

CHIC AND URBAN may be the best way to describe Cibo (pronounced CHEE-boh), a Downtown Phoenix pizzeria, but it hardly embodies the appeal. That must be done by describing the food, which is truly authentic and creatively delicious.

The old early-20th-century bungalow-style home has been transformed into a comfortable, urban hot spot with many rooms and a unique Old World charm that is so rare in the Valley.

Walk into a small entry area with a quaint bar that is the hub for the many rooms that make up the dining area throughout. Tables deliberately planned in each room allow for plenty of space for parties of any number and are perfect for two to four coming in for lunch. Views of the outdoor patios set in front of the city backdrop give a feeling that something important is going on here.

Which it is — incredible Italian sandwiches that will please any palate.

The pizzas are the true draw, but there’s only a limited menu during lunch. The homemade dough is topped with the finest ingredients and wood fired to perfection. The “Margherita” is made with the signature light tomato sauce and mozzarella topped with basil and is likely the lightest of the three or so pizzas served at lunch. The sandwiches are made on saltimbocca bread that is baked fresh with every order in the wood-burning oven. Each is served with a choice of the house salad, fruit salad or chips. Hot favorites include the “PLT” with toasted prosciutto, mixed greens, tomato and spicy roasted bell pepper aioli, and the “Salsiccia” made with Sicilian sausage, roasted bell peppers, sautéed onions and mozzarella. On the cold side, the “Caprese” with sliced tomatoes, fresh mozzarella and pesto dressing is a delicious way to experience the freshness and home-baked breads. The salads are full of flavor and many of Italy’s famed ingredients, like tomatoes, shaved parmigiano, mozzarella and even pine nuts. Not to be missed is the “Sardegna” made with baby spinach topped with goat cheese, caramelized walnuts and sliced strawberries, with Cibo’s prosecco dressing.

This quaint urban spot is a great destination for clients and those who are inspired by Phoenix history. The food and service will impress and the experience will be one to repeat many times.

Cibo Urban Pizzeria 603 N. 5th Ave., Phoenix (602) 441-2697 cibophoenix.com

Café Zupas

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SCOTTSDALECHAMBER.COM

MEMBER COMMUNIQUÉ AUGUST 2014 - NOVEMBER 2014

Rick Kidder

Message from the CEO While the chamber is a not-for-profit corporation, it is not a charitable entity as defined through the IRS. All nonprofits share one thing in common — a need and a dependence on volunteers.

At our monthly Know Your Chamber events, I stress to new members coming on board that without our volunteers, the chamber would have closed its doors many years ago, rather than thrive for more than 67 years. In fact, the chamber depends so heavily on our volunteers that we have more than 250 individuals who choose to give their work and wisdom to our orgwanization on an annual basis.

I have the finest staff in the chamber business, a fact I tout at every possible opportunity. Seven individuals work with me toward the common goal of fulfilling our mission: Building a vibrant and prosperous community through business leadership. They are team motivated, proactive, hard-working and smart, all attributes that make any organization stronger. But they are also over-stretched and under-compensated,

KIDDER — CONTINUED ON PAGE 2

Scottsdale Area Chamber Year In Review 2013-2014 saw the welcoming of North Scottsdale Chamber members into the fold of the Scottsdale Area Chamber. The chamber has taken great pains to help make that transition seamless and positive, and, once again, the area will be served by one chamber, supporting and representing the business community.

As the chamber begins the new fiscal year, it is with a level of confidence not felt for many years. The sales team has brought many new members into the organization, and the chamber’s membership is the largest it has been in many years. The team works to ensure member value, and retention numbers reflect that fact. The Partner Council has rebounded to the levels of before the Great Recession, and in

every sense the chamber has upped its game.

The Scottsdale Area Chamber concluded this fiscal year in the black and substantially ahead of budget on June 30. Our cash position is strong, and the organization will continue this year and next to rebuild reserves tapped during our challenging years.

The year ahead will bring more enhancements and positive change to improve the member experience. For years, the chamber has staged the Scottsdale Business Showcase in the fall, where member firms secure booth space and the public is invited to attend. While always a profitable event, the most important factor for anything we do is member value. The chamber has seen diminishing member value

YEAR IN REVIEW — CONTINUED ON PAGE 2

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KIDDER — CONTINUED FROM PAGE 1 making the need for volunteers all the more crucial.

When I speak of volunteerism at the chamber, I speak of personal and professional passion. As wonderful as our work may be, we are not curing cancer. We are not saving children from illness or abuse. At least not directly.

Our volunteerism is about enlightened self-interest. It is based on the desire to participate, with participation being one of the keys to building a business.

It is also based on the concept that, as technological as we have become, we want to do business with people we know and people we respect.

Volunteerism at the chamber gets people known in a context that has little or nothing to do with selling a good or a service, but I believe that people choose to do business with those for whom they have respect. An Ambassador at the chamber represents the organization in the community, but also represents themselves. A member of a hardworking public policy committee allows individuals to share their perspectives on important issues locally or statewide and, in so doing, creates a new context for others in the room.

Being a volunteer at the chamber has also served to create leaders outside the chamber. Once individuals volunteer in support of their own business growth, they get hooked on helping. Countless people, many of whom began volunteer work with the chamber, now populate boards and committees of other nonprofits that exist to change people’s lives. Busy people like to stay busy, and, in my experience, busy people give back more.

We honor our volunteers annually, but in truth in our hearts we honor them daily. As we continue to fulfill our mission to build a vibrant and prosperous community, we will also continue to provide opportunities for business people to lead and grow as a result.

Sincerely,

Rick Kidder, President/CEO

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YEAR IN REVIEW — CONTINUED FROM PAGE 1 in the annual trade show, and the time had come to place that event on hiatus in favor of something new, different and exciting.

Many chambers throughout the nation put on community events, and the Scottsdale Area Chamber will join their ranks with an event that screams “Scottsdale”: Scottsdale Spice.

Taking place in this very space on September 27, Scottsdale Spice will be one of the first great culinary events of the season.

As the name implies, Scottsdale Spice will feature restaurants who love spice — from mild to wild. We will allow 20 of them — primarily locally owned and operated — to wow the lucky 1,200 ticket buyers, each of whom will be able to vote on their favorite. There will be live music and tastings of food and adult beverages for a

four-hour event that will rival the finest, most established culinary events in the Valley, and at a most affordable ticket price. Comerica Bank has stepped up as our presenting sponsor of this inaugural event.

The chamber will continue to streamline our processes through technology. Soon, staff will no longer be checking in attendees for events at the door with paper and pen but rather with tablets. In a secure manner, staff will be able to swipe cards at the door and immediately email receipts.

Each member has a role to play in the chamber’s continuous improvement.

The chamber appreciates its members individually and collectively; we thank each for incredible support.

New Partner Council Members The chamber has seen more growth in its Partner Council level of membership than any other.

The Partner Council supports the chamber at significant investment levels in order to support the mission of the organization and to engage in programs and services dedicated to that smaller group.

Since April, the following fine companies have elected to join the Partner Council of the Scottsdale Area Chamber of Commerce: Cigna InEight

Dircks Moving and Logistics Fennemore Craig Jennings Strouss Spring Creek Development

29th Annual Sterling Awards Applications are now being accepted for the 29th Annual Sterling Awards, the Scottsdale Area Chamber’s marquee event. There are four award categories: Big Business, Small Business, Micro Business and Non-profit. Applications are due August 22nd. The always exciting, themed awards luncheon will take place on Friday, November 14th at Chaparral Suites Resort. Individual tickets and corporate tables are available for purchase. This event sells out every year, so act fast!

Changes at the Chamber The Scottsdale Area Chamber of Commerce Board of Directors elected a new Chair and Chair-Elect of the organization. Bryce Lloyd, President of FirstBank will assume the role of Chair and Steve Helm will become the new Chair-Elect. Each will serve up to two years in those important roles.

Photos: Sergio Dabdoub Photography

The Board also elected several new members to the board: Michelle Greenberg, Comerica Bank Todd Hardy, Arizona State University Foundation Cherie Martin, Banner Behavioral Health Mike Miller, Scottsdale Insurance Company Jerry Schwallier, Arizona Bank and Trust Fred Unger, Spring Creek Development Rick Kidder, President/CEO of the Scottsdale Area Chamber of Commerce, announced key personnel changes in June.

Anna Mineer, who has worked at the chamber for two years guaranteeing the success of Chamber Signature Events, has been named Vice President of Business Development. In addition to her crucial responsibilities in sponsorship opportunities and signature event execution, Anna will work with the

Anna Mineer

general member sales team, guiding them to attract and retain record numbers of new members.

Brittany Allen, who came on board part-time last November and oversaw the chamber’s conversion to a new database, has joined the team on a full-time basis, assuming new duties that will include accounts receivable and working with planning and executing all board meetings and activities.

At the end of July, the chamber bid farewell to Leslie Nyquist, a woman who redefined loyalty and dedication over her 43 years at the chamber. Leslie will continue to be involved with the chamber in her retirement as she works with past board members to stage the annual history hall of fame event next April. Leslie can never be replaced.

Brittany Allen

Leslie Nyquist

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8852 pinnacle peak road, scottsdale 480.585.9500

mastro’s city hall steakhouse 6991 east camelback road, scottsdale 480.941.4700

mastro’s ocean club

15045 north kierland blvd., scottsdale 480.443.8555

www.mastrosrestaurants.com

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SCOTTSDALE@WORK - 3

In June, the Scottsdale Area Chamber of Commerce hosted the Second Annual Meeting and Business Volunteer Awards.

Since 1947, four years before the incorporation of the City of Scottsdale, the chamber’s business leaders have led the way toward the goal of a livable, vibrant community with a strong love of its past and an unshakable eye toward its future. Despite the inevitability of conflicting views about what that future may look like, one thing is for certain — there is a passion about this place and about its economic success. At the center of that passion has always been the Scottsdale Chamber of Commerce, one of Scottsdale’s oldest nonprofits, passionate about contributing to the betterment of our great city.

The heart and soul of any nonprofit corporation is its board. The Scottsdale Chamber Board of Directors is comprised of volunteer leaders, every one of whom could spend time elsewhere rather than working

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with us to build a sustainable future. Our board compensation generally consists of a few lunches per year and the opportunity to support the chamber more deeply.

In return, they take on the policy direction and fiduciary responsibility for the organization.

They have felt our challenges through the Great Recession and can take pride in our return to a stronger future. The chamber’s deep thanks goes to Eric Larson, who, as chair of the board, helped steer the organization back to prosperity and a certain future.

More than 250 of our members choose to volunteer on our committees, task forces and advisory councils, for which we are most grateful. Without these incredible engines of the organization, the chamber could never execute a robust program of services and events for our members.

Each of these groups has a chair, someone who chooses to be a leader among leaders.

The chamber remains most grateful for their leadership and dedication.

Board of Directors & Executive Committee Eric Larson, AVB Development Partners AM Connect Committee Brad Beller, Signs by Tomorrow Airpark Committee Jim Walker, Walker Business Consulting Ambassador Committee Bryan Bertucci, Raymond James Business Attraction Committee Pete Klute, Klute Communications Economic Development Advisory Council Don Couvillon, ASU-SkySong Membership Value Advisory Council Pam Kelly, Pro One Media Public Policy Advisory Council Steve Helm, Scottsdale Fashion Square

Business Volunteer Awards Each year, the Scottsdale Area Chamber of Commerce presents Business Volunteer Awards to recognize a few among many who do so much for the organization and the community.

Named for the chamber’s “serial volunteer,”

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Photos: Sergio Dabdoub Photography

Chamber Annual Meeting and Business Volunteer Awards

The chamber and the community have a wonderful and exciting year ahead. By November of this year, we will have at least one new face on the city council. The state will have a new Governor, a new Secretary of State and State Treasurer. Three seats are available on the Scottsdale City Council. Come February, the world will see Scottsdale celebrating another Super Bowl in the Valley, with our city once again receiving much of the economic impact, exposure and outside revenue.

Scottsdale voters will also need to make decisions about the future of education in our largest district and perhaps another attempt

to put forth an override request and a general plan for our city. Both efforts are worthwhile.

Supporting the SUSD Override will lead to better educational opportunities for our children — our work force of the future. The General Plan, read by few but governing us all, is an essential component to guiding our next ten years. Petty politics killed it once and we cannot let that happen again.

Most importantly, the chamber looks at the fiscal year ahead as one of continued recovery, continued economic growth and renewed prosperity — and our organization will be at the epicenter of it all.

Photos: Sergio Dabdoub Photography

the Dale B. Fingersh Volunteer of the Year Award recognizes an individual member who has served as a servant-leader within the membership. The recipient is recognized for outstanding volunteerism through dedication, commitment and service to the chamber. The chamber would like to offer gratitude to Bryan Bertucci from Raymond James Financial.

The Mark F. Eberle Rising Star Award recognizes an individual who, over a relatively short tenure of involvement, has made a substantial impact through his or her volunteerism. The individual named demonstrates the true volunteer spirit and leadership promise. The 2013-2014 deserving recipient is Chris Cole of The Cole Team of Realty One Group.

The Segner Award is named in honor of the chamber’s first chair of the board in 1947. Wesley Segner was an artist and businessman whose watercolors still adorn the chamber office. This award honors a member who has followed Segner’s legacy of leadership, community stewardship and active contributions to the success of the chamber.

The 2013-2014 Segner Award winner is Jane Blacker of Ventana Fine Properties.

The Legacy Award honors a Scottsdale Area Chamber member of long standing who has risen above the call of duty over a significant number of years, contributing significantly not only the chamber but to the business community and the community at large. The winner of the 2013-2014 Legacy Award is the remarkable Camille Hill of Merestone.

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INFOCUS: GRAND OPENINGS!

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Scottsdale Spice – A New Signature Event The Scottsdale Area Chamber of Commerce is pleased to announce a new community signature event, Scottsdale Spice. Scottsdale was recently named the nation’s 2nd-Best Foodie City, a well-deserved honor, and the chamber is looking to help push the city over the top with a signature event that celebrates spice — from mild to wild.

Scottsdale Spice, presented by Comerica Bank, will take place on Saturday, September 27, from 6:00 to 10:00 p.m. at the remarkable Venue of Scottsdale. Limited to 1,200 lucky ticketholders, attendees will sample the

finest spicy offerings from more than 20 of Scottsdale’s finest restaurants and have their choice of some of the Valley’s best craft beers and spirits — all for a general admission price of $50 — less than a dinner out!

Attendees will also have the amazing power to change the destiny of one of the participating restaurants. Their votes will provide one lucky winner a “Golden Ticket” to the World Chef Championship in Las Vegas!

For more information and to purchase tickets, please go to scottsdalespice.org.

The Political Season - SACPAC 2014 Endorsements The Scottsdale Area Chamber Political Committee 2014 (SACPAC 2014) announced in late spring its endorsement decisions in Scottsdale’s vigorously contested City Council races. After engaging in a process that included

a candidate forum and lengthy questionnaires, SACPAC 2014 chose to offer endorsement to Linda Milhaven (incumbent), Dennis Robbins (incumbent) and former school board member Jennifer Petersen.

Look for the Scottsdale Area Chamber Open next spring when you will next have your chance to tee it up in the Valley’s best Chamber tournament!

BOARD OF DIRECTORS EXECUTIVE COMMITTEE

Scottsdale has made significant investment in WestWorld to build on its reputation as one of the premier equestrian and event sites in the Southwest. It has for many years been the home of the world-famous Barrett-Jackson Collector Auto Auction and the spectacular Scottsdale Arabian Show. Last year, the city honored the late City Councilman Tony Nelssen by enclosing and renaming the equidome “Tony Nelssen Equidome” and built a spectacular air-conditioned indoor venue designed to attract events, conferences and to house Barrett-Jackson’s amazing annual auction.

Owned by the City of Scottsdale on federal land, the incredible facility is managed privately. For more information, go to westworldaz.com or contact Bob Brown at 480-492-3955.

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7501 E. McCormick Pkwy, Suite 202-N Scottsdale, AZ 85258 Phone 480.355.2700 Fax 480.355.2710 www.scottsdalechamber.com

BOARD CHAIR Eric Larson, AVB Development Partners CHAIR-ELECT Bryce Lloyd, FirstBank of AZ IMMEDIATE PAST CHAIR Kurt Zitzer, Meagher & Geer, PLLP TREASURER Geoff Beer, Crescent Bay Holdings

ECONOMIC DEVELOPMENT ADVISORY COUNCIL Don Couvillion, ASU SkySong MEMBER VALUE ADVISORY COUNCIL Pam Kelly, Pro One Media AT LARGE MEMBERS Jennifer Bongiovanni Karas, The Karas Group Kurt Brueckner, Titus, Brueckner & Levine, PLC

PARTNER COUNCIL Kevin Sellers, First Fidelity Bank

Angela Creedon, Arizona State University

EMERGING ISSUES Bill Heckman, Heckman Marketing, Inc. PUBLIC POLICY ADVISORY COUNCIL Steve Helm, Scottsdale Fashion Square

Dale Fingersh, The Right Direction Rick Kidder, Scottsdale Area Chamber of Commerce

© 2014 Scottsdale Area Chamber of Commerce. A publication of the Scottsdale Area Chamber of Commerce. For more information or to join the Scottsdale Chamber, please contact us at www.scottsdalechamber.com. Section designed by InMedia Company, LLC.

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Photos: City of Scottsdale

A Brand-New WestWorld

RICK KIDDER PRESIDENT & CEO Scottsdale Area Chamber of Commerce rkidder@scottsdalechamber.com

Celebrating 29 years of serving the women business owners of Phoenix

SUMMER 2014 • nawbophx.org

Reflections on a Powerful Year for NAWBO

By Jackie Wszalek, President 2013 – 2014

About NAWBO

NAWBO® prides itself on being a global beacon for influence, ingenuity and action and is uniquely positioned to provide incisive commentary on issues of importance to women business owners.

NAWBO Phoenix propels women entrepreneurs into economic, social and political spheres of power.

Visit one of our FREE welcome meetings, held the second Wednesday of each month – for all new and prospective members. This casual, informational opportunity highlights both local and national benefits of NAWBO membership. This is a great place to determine if NAWBO is a fit for you and your business.

Take advantage of this great networking opportunity by bringing business cards and making connections.

For more information, please visit NAWBOphx.org.

Phoenix Metropolitan Chapter of the National Association of Women Business Owners 7949 E Acoma Dr., #207 Scottsdale, Arizona 85260 480-289-5768 info@NAWBOphx.org

NAWBO Phoenix has been the voice of women business owners in the Valley for more than 29 years. NAWBO has a long history of providing professional development for its members, influencing public policy and business trends, building leaders in the community and fostering relationships that grow businesses and build economic impact.

Our membership is recognized with awards and honors across the nation. This year we are proud to have one of our Past Presidents named Regional Administrator for the U.S. Small Business Administration (SBA) Region IX. Donna Davis is a leader, motivator and tireless advocate for small business in California, Arizona, Hawaii, Nebraska and Guam and continues to support our chapter.

The “Power of NAWBO” was evident this year in the strong line-up of luncheon speakers, as powerful as Connie Mariano, M.D., White House doctor, along with our members who shared their expertise on social media and promotion. We heard about the Power of Storytelling, the Power of Imagination and the Power of Funding your Business along with many hands-on, practical topics shared at our NAWBO University.

The Power of Mentoring was evident in the statistics that were gathered at the end of the program. Sixteen new jobs were created, $100,000 in funding was secured, and our mentors and mentees increased their revenue by more than $500,000 during the program. (For more information on the Mentoring Program and to apply for the 2014-2015 program, which starts in September, see page 8.)

The YEA (Young Entrepreneurs’ Academy) Program fostered the launch of nine businesses led by high school students. YEA participants pitched their ideas to an investor panel and competed in a regional competition in Texas. They experienced a program that will give them tools for a lifetime.

Our Public Policy event gave us a toolbox full of ideas to affect policy and keep business owners informed while in their

This issue Page 2 Member Spotlight – Tracie Rollins, The Rollins Advantage, LLC. Page 3 Member Spotlight – Kristin Slice, Empowered Lab Communications Page 4 Member Spotlight – T isha Marie Pelletier, Details Event Management, LLC

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Continued on page 7

Jackie Wszalek President, NAWBO Phoenix

Jackie Wszalek President NAWBO-Phoenix 2013-2014 Despins Printing and Graphics 15770 N. Greenway Hayden Loop Suite 101 Scottsdale, AZ 85260 480-483-0166 phone www.despinsprinting.com Years in Business: 6 Years in NAWBO: 6

Page 5 Corporate Partner Spotlight – Orchard Medical Consulting Page 6 2014-2015 Executive Committee and Board of Directors Page 7 Lets Get Down to Business with President Dorothy Wolden Page 8 NAWBO Mentoring Program Accepting Applicants.

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NAWBO NEWS

MEMBER SPOTLIGHT

Tracie Rollins, The Rollins Advantage, LLC. The Rollins Advantage, LLC is a Phoenix-based content marketing firm that’s focused on helping small businesses connect with their prospects and customers in a meaningful way. We help you define and execute content and social media marketing strategies that attract interest, educate customers and deliver an amazing experience throughout the buying process.

Our content marketing framework positions you as the expert in your field. The content that we develop is useful, authentic, memorable and optimized for social sharing. We are certified content marketers who help you become the authority in your niche.

Create. Share. Amplify.

Why is The Rollins Advantage unique?

Every content asset that we produce, from a 140-character tweet to a lengthy e-book, is created with the care, precision and quality that our clients have come to expect. Our customized and targeted approach ensures our clients maximize the return of every dollar they allocate to their marketing efforts.

Why should customers choose your product or service?

You started your business because you love what you do, but you didn’t anticipate that you’d have to do everything yourself. Marketing strategies change every day and it’s hard to keep up with tactics that drive results without being an expert in the field. Our clients choose us because they want to focus on their passions and sleep better at night knowing that their message is being carefully crafted, distributed and amplified.

What has worked better than you anticipated?

The support of our clients and associates means so much to us. The referrals and recommendations that we’ve received since we started our business have been a humbling experience.

What is your biggest daily challenge?

Our challenge is finding the right people to outsource some of our office support tasks to. Recently, we found a great local small business to help us answer the phones. This ensures that our potential clients get the answers they need immediately. Outsourcing a small task like this helps us focus on what matters most … our clients.

Why did you decide to become a NAWBO member?

I was introduced to NAWBO through a friend and instantly connected with the organization’s mission to strengthen women-owned businesses. Through Infusionsoft’s corporate sponsorship, I continue to support the growth of women-owned businesses and work closely with Infusionsoft to identify areas of contribution. Corporate sponsorship wasn’t enough to satisfy my passion and desire to further the success of women, so I became a member in 2014 in order to contribute in a more meaningful way.

How long have you been a NAWBO Member?

Five months.

What is your role with NAWBO? I am the social media manager serving on the communications committee. I also manage the corporate partnership between NAWBO Phoenix and Infusionsoft.

What else would you like people to know about you?

I help small businesses succeed by educating and sharing innovative approaches to solve small-business challenges. I apply nearly two decades of experience to marketing strategy, research and development of content that educates, influences and improves the lives of others. I believe that education provides knowledge, knowledge drives actions and actions change the world.

A resident of Phoenix since 1997, I live in Ahwatukee with my husband, Lonny, and my two boys, Dakota and Ashton. When I’m not writing, you can find me racing go-karts, jumping on trampolines, crafting and watching movies with my family.

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Contact Information 480-351-8253 www.TheRollinsAdvantage.com Connect with Tracie: linkedin.com/in/tracierollins/ facebook.com/tracierollins @onebadasslife, @TracieRollins plus.google.com/u/0/+TracieRollins pinterest.com/tracierollins/ instagram.com/onebadasslife/

MEMBER SPOTLIGHT

Kristin Slice, Empowered Lab Communications Empowered Lab Communications L.L.C. is an organization committed to changing the smallbusiness world by unleashing the power of the voices of real business owners through podcasts, online communities, speaking engagements and consulting. Empowered Lab Communications offers unique business communication tools, training and podcasts.

Tales to make your business stronger.

Why should customers choose your product or service?

Every small business needs help. Small-business owners need tools that are effective, innovative and relevant to today’s business. Running a business is hard; why not have a little fun in the process?!

What has worked better than you anticipated?

NAWBO has provided me access to women business owners across the NATION! What is your biggest daily challenge?

Training people on how to embrace technology to improve their communication skills, make their business more efficient and improve their professional skills.

Why did you decide to become a NAWBO member?

Surrounding yourself with the highest caliber business owners makes you play a bigger game.

How long have you been a NAWBO member?

Four years.

What is your role with NAWBO? I am a member of the Board of Directors (Director of Communications) and I represent the Phoenix Chapter on the NAWBO National Presidents Steering Committee.

Contact Information www.empowered-lab.com kristin@empowered-lab.com Connect with Kristin: facebook.com/EmpoweredLab @kristinslice Subscribe to the Tales of Small Business Podcast through iTunes or visit Empowered-lab.com

What else would you like people to know about you?

I am a new mom, so if you listen to my podcasts there is a chance you will hear her screaming in the background.

AZ Tech Finders Moves into Larger Office Space The past month has been a great one for Tech Finders! Not only did the team beat their all-time production record, but the company moved into a larger suite to accommodate the growing 14-person team.

Recently, founder Sharon Bondurant surprised Account Managers with their very own Tech Finders Talk Nerdy wrapped Cube! The idea of the Talk Nerdy Cube has been eight years in the making, but worth the wait!!! Make sure you honk when you see them on the road! Chances are, they will be wearing nerdy glasses!

Smarter Divorce Solutions Expands Nancy Hetrick shares her recent move into larger space. “Smarter Divorce Solutions began in August of 2012, and by the end of the first year I had more business than I could handle on my own, mostly from word of mouth. I continued to struggle with the growth, and by August of 2013 knew that I had to develop a plan for expansion.

Thanks to the NAWBO mentoring program and the expert guidance I received, this is now the culmination of a carefully planned business expansion that will allow me to serve three times as many clients to help provide them with a kinder, gentler, more affordable divorce. As Certified Divorce Financial Analysts, we’re providing couples with a totally new option for a ‘Smarter Divorce.’ I’m so excited to be able to offer this unique service to more and more people. It’s long overdue.”

Visit Smarter Divorce Solutions at 1645 East Missouri Avenue, Suite 110, Phoenix or online: www.smarterdivorcesolutions.com

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NAWBO NEWS

MEMBER SPOTLIGHT

Tisha Marie Pelletier, Details Event Management, LLC Your vision. Our eye for detail.

What does your business offer?

Details is a full-service event and marketing firm specializing in local and national nonprofit fundraisers and corporate events. We handle all of our clients’ events needs from concept to completion to marketing, PR and day-of management no matter how small or large the event is. Our clients actually get to “enjoy” their events, not stress about every detail. That’s where we come in.

What makes your business unique?

While many event planners you meet only handle the logistics and day-of activities for the event, we take it a step further, providing a definite advantage. We market and promote the event by providing the necessary tools our clients need to engage face to face with their target audience and potential sponsors.

In addition, we plan our own signature events across the country, so we understand the emotion, challenges, monetary and time investment that goes into planning an event. We relate to our clients’ situations first-hand and produce their events as if they were our own.

Why should customers choose your product or service?

I’m very much a people person and aim to create a long-lasting relationship with each and every client I work with no matter what business. I put all of my attention on ensuring the project or event is a success and our clients are extremely happy with the end result. When a client retains our services year after year to plan their annual event(s), we know we did an exceptional job and will continue to grow together with them.

Contact Information 3591 S. Tatum Lane Gilbert, AZ 85297 480-219-1356 detailseventmanagement.com Connect with Tracie: facebook.com/detailseventmgmt

What is your biggest daily challenge?

Knowing when to put my work down. As an entrepreneur, my mind is always creating, so it can be challenging to get to a stopping point, especially with technology everywhere. I’m an insomniac by nature so I tend to do most of my work from 2 a.m. to 5 a.m., like writing my book and coming up with yet another business idea.

Why did you decide to become a NAWBO member?

To connect and develop meaningful relationships with other like-minded women business owners across the country, and share our business strategies and success stories.

What has worked better than you anticipated?

I really enjoy the smaller Neighborhood NAWBO groups where I get to interact with other entrepreneurial women in a smaller setting aside from the large monthly luncheons. I have also made some great connections through the NAWBO happy hour mixers.

What else would you like people to know about you?

I’m a serial entrepreneur as I own two other businesses, Simply Put Marketing and The Mom-e Club, a national mastermind group for mom and women entrepreneurs. I’m a mother of two children (2 and 5 years old) and am an author getting ready to publish two more books by January 2016. I’m also celebrating 10 years of being an entrepreneur this September.

How long have you been a NAWBO member?

Just over one month. I joined in April 2014 during the membership drive.

What is your role with NAWBO (active member, board, committee, corporate partner)?

Active member, but also interested in serving on the corporate partners committee.

Desert Diamond Awards Recipients Business Owner of the Year Jackie Wszalek Member of the Year Dorothy Wolden Bridge Builder Nancy Sanders

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NAWBO NEWS

Unsung Hero Lynda Bishop Spirit of NAWBO Sisterhood Carmella Dodge Corporate Partner of the Year Southwest Gas

President’s Choice Winners Christie Cothrun Phaedra Earhart Richard Mart Paula Wittekind

CORPORATE PARTNER SPOTLIGHT

Orchard Medical Consulting Orchard Medical Consulting provides Workers’ Compensation case management and is owned by Robin Orchard, RN. Why is Orchard Medical Consulting unique?

As a nurse-owned and -operated company, we understand the importance of staff retention. We have a generous recruitment and retention bonus program, and we routinely offer small perks. Spring Honey Baked hams or turkey breasts annually in the spring, monthly potlucks, an annual awards dinner, generous healthcare benefits, and quarterly bonuses for tenured employees help us keep the very best nurses and team members.

Why should customers choose your product or service?

Because we treat every injured worker as if he/she was our only one. Our case loads are kept at the lowest in the industry, so we can really make a difference getting people back to work quickly.

What has worked better than you anticipated?

The connections I have made within NAWBO have been extremely beneficial to my professional and business growth. Many people underestimate the level of education and resources you have access to within NAWBO’s membership.

What is Orchard Medical Consulting’s biggest daily challenge?

Showing enough appreciation to our incredible professionals as well as our countless loyal clients!

Contact Information Robin Orchard, RN, CCM President & Owner 602-942-4700 www.orchardmed.com facebook.com/orchardmed

Why did you decide to become a NAWBO Corporate Partner?

I wanted to give back to an organization that has done so much for me. I also feel compelled to pay it forward to emerging woman business owners.

Orchard Medical Consulting has been a corporate partner since 2006.

NAWBO Member Christie WEF Scholarship Cothrun Earns Prestigious Recipients Honor in Floral Industry NAWBO’s own Christie Cothrun will be inducted into the prestigious American Academy of Floriculture (AAF) this August during the Society of American Florists’ (SAF) 130th Annual Convention in Marco Island, Fla. “The Academy’s stringent requirements make AAF an achievement recognized throughout the floral industry,” said Rod Saline of the AAF, SAF Awards Committee.

Christie is currently the president of the Arizona State Florists Association and an active NAWBO member with a long history of volunteer work and industry involvement.

nawbophx.org

Congratulations to the 2014-2015 Women’s Enterprise Foundation Scholarship Winners Jules Sarnoff Paris Painting Studio 480-603-5853 www.parispaintingstudio.com parispainting@icloud.com

Colleen Tilp Equine Herbs and Energy www.equineherbsandenergy.com colleen@equineherbsandenergy.com 623-414-1098

Deborah Lavinsky Bella Body Pilates 602-318-5068 www.bellabodypilates.com deb@bellabodypilates.com

Almira Yoel Wagley MY IN-HOUSE CHEF “Everybody deserves My In-House Chef” 480-822-0112 www.myinhousechef.com

Introduce yourself to these new NAWBO Members at the next luncheon!

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NAWBO NEWS

Thank you to the 2013-2014 Executive Committee and Board of Directors for your support of NAWBO.

2014-2014 Executive Committee 2014-2015 Board of Directors President

Dorothy Wolden Gravity Webworks 130 N. Central Avenue, Suite 301 Phoenix, AZ 85004 Phone: 602-258-1300 Cell: 480-220-7293 dwolden@gravityphx.com

President-Elect

Nancy Sanders Galaxy Consulting Services 4433 E. Acoma Drive, Phoenix, AZ 85032 Phone: 602-476-4509 Cell: 602-476-4509 nancy@galaxyconsultingservices.com

Secretary

Melanie Dunlap Peaceful Spirit Enrichment Center 49014 N. 24th Avenue, New River, AZ 85087 Phone: 623-465-5875 Cell: 623-261-1723 melanie@peacefulspiritcenter.com

Finance Director

Nancy Hetrick Smarter Divorce Solutions, LLC 1645 E. Missouri Avenue, Suite 110 Phoenix, AZ 85016 Phone: 877-552-4017 Fax: 623-251-6418 nancy@smarterdivorcesolutions.com

Immediate Past President (Past President Chair)

Jackie Wszalek Despins Printing & Graphics 15770 N. Greenway Hayden Loop, Suite 101 Scottsdale, AZ 85260 Phone: 480-483-0166 Cell: 602-810-4005 Fax: 480-483-9109 jackie@despinsprinting.com

Executive Director NAWBO Office

Suzanne Lanctot SOS-Association Management Solutions 7949 E. Acoma Drive, Suite 207 Scottsdale, AZ 85260 Phone: 480-289-5768 Cell: 480-332-5898 Fax: 480-289-5765 suzanne@nawbophx.org

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NAWBO NEWS

Director of Corporate Partners

Jackie Wszalek Despins Printing & Graphics 15770 N. Greenway Hayden Loop, Suite 101, Scottsdale, AZ 85260 Phone: 480-483-0166 Fax: 480-483-9109 Cell: 602-810-4005 jackie@despinsprinting.com

Director of Membership Services Christie Cothran The Party’s Over, LLC 602.318.0311 www.thepartyisoverphx.com

Director of Marketing Communications Kristin Slice Empowered Lab Communications 308 West Wood Avenue, Phoenix, AZ 85029 Phone: 602-499-5607 kristin@empowered-lab.com

Director of Programs

Phaedra Earhart Farmers Insurance 2651 E. Guadalupe Road, Suite 202, Mesa, AZ 85202 Phone: 602-616-7096 Fax: (480) 835-5031 phaedra.earhart@gmail.com

Director of Mentoring Program

Paula Wittekind CDQ Learning for Results, LLC 13214 S. 39th Street, Phoenix, AZ 85044 Phone: 480-759-2989 Fax: 480-759-2249 paula@cdqlearning.com

Director of Public Policy

Wendy Anderton Affinity Web & Graphic Design 8390 E. Via De Ventura, Suite F110, Scottsdale, AZ 85258 Phone: 480-941-0781 wendy@kylemoyer.com

Women’s Enterprise Foundation (ex-officio)

Julie Heiland J. Heiland Interiors 428 E. Thunderbird Road #338, Phoenix, AZ 85022-5229 Phone: 602-320-6430 jheiland.interiors@gmail.com

National Board Liaison (ex-officio)

Lynda Bishop Relationship Insurance 3719 W. Fallen Leaf Lane, Glendale, AZ 85310 Phone: 623-215-6587 Cell: 480-751-9509 lynda@relationshipinsurance.guru

Let’s Get Down to Business

By Dorothy Wolden, President 2014 – 2015

Five years ago, when I became a member of NABWO Phoenix, I never thought I would have the privilege and opportunity to serve as its president. I’m thrilled to have the good fortune to give back to the organization that has helped my business grow. One thing I did learn very quickly is that NAWBO Phoenix is the premier organization for women in business who are not just looking for a place to network but who are looking for resources, connections and the ability to collaborate with others to grow their businesses.

The National Association of Women Business Owners (NAWBO) propels women entrepreneurs into economic, social and political spheres of power worldwide by providing a platform to: STRENGTHEN the wealth-creating capacity of our members and promote economic development; CREATE innovative and effective changes in the business culture; BUILD strategic alliances, coalitions and affiliations; and TRANSFORM public policy and influence opinion makers.

I started thinking about a theme for the 2014/2015 program year and began by reflecting on what we had already accomplished. The list is very long. A few things we’ve focused on included honoring our past, deepening our connections, collaborating with other organizations and strengthening the power of NAWBO. Now it’s time to leverage what we know and who we are and “get down to business.” So the theme I have chosen for the year is Let’s Get Down to Business.

The members of NAWBO Phoenix are ultimately here to grow their businesses, companies and corporations. NAWBO Phoenix has some of the best programs in the country to support women in achieving their business goals. I know I have benefitted greatly from my NAWBO membership, and as an organization we want to make sure that all our members and partners receive a return on their investment that is over and above what they expect. I’ve experienced it so I know it’s possible.

We have put together a rock star group of women to lead this program year as the Board of Directors (see page 6). These fantastic women have raised their hands to support this organization, its members and me as President, and I could not be more thrilled and excited to work with them. They are ready to roll up their sleeves and get down to business.

We are looking forward to growing our membership and to continuing to provide the world-class events and educational opportunities our organization has become known for. I invite business owners throughout the Valley, men and women alike, to come to a NAWBO Phoenix event. We have a variety of workshops, speakers and networking opportunities for just about anyone. Visit our website www.nawbophx.org to register for an event, and Let’s Get Down To Business.

Dorothy Wolden President, NAWBO Phoenix

Dorothy Wolden President NAWBO-Phoenix 2014-2015 Gravity Web + Design 130 N. Central Avenue, Ste. 301 Phoenix, AZ 85004 602-258-1300 phone 480-220-7293 cell dwolden@gravityphx.com www.gravityphx.com Years in Business: 12 Years in NAWBO: 5

Continued from page 1

pajamas (through Internet access)! We heard from Lattie Coor, Ph.D., Chairman and CEO of the Center for the Future of Arizona, and Sarah Suggs, President and CEO of the O’Connor House to find ways to have “the Arizona we want.”

We strengthened our alliances with several local organizations. The Arizona Hispanic Chamber of Commerce supported the YEA Program and the Maricopa Small Business Center (SBDC) provided business counseling to both mentees and mentors. NAWBO also worked to build strong ties with other community organizations through collaboration, outreach and community service projects.

Happy hours, neighborhood luncheons and special events were great ways to keep the Power of NAWBO flowing. And the Power of Fitness, which balanced out the schedule with a hiking event each month, has turned into a regular hiking group.

Our success this year is evident in the number of active members, a strong working board of directors and the continued support of our corporate partners. We are always moving forward to increase our membership, to enhance our corporate partnerships and to affect the community in a positive way. All of the programs, events, and community service projects are the result of commitment, passion and the engagement of our members.

With gratitude for the NAWBO team of volunteers, the community support and strong women leaders, I look forward to many more years of success for all of members.

Wishing you continued success, Jackie Wszalek

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NAWBO NEWS

NAWBO Mentoring Program Accepting Applicants NAWBO PHOENIX Corporate Partners Presidential Partner Salt River Project Western International University Strategic Partner Infusionsoft Executive Partner Allstate Insurance Border States Electric Kolbe Corp National Bank of Arizona Newtek Orchard Medical Consulting Snell and Wilmer Southwest Gas AZ Tech Finders Wal-Mart Presidential Media Partner Galaxy Consulting Services Gravity Webworks Media 88 Strategic Media Partner Despins Printing & Graphics Independent Talk 1100KFNX NetworkingPhoenix.com Executive Media Partner CITYSun Times Easel Photography In Business Magazine Money Radio 1510 Business Partner AmTrust Bank Bank of Arizona Benjamin Franklin Plumbing Commerce Bank of Arizona Phoenix Country Club Schmeiser Olsen & Watts LLP State Farm Insurance UPS

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NAWBO NEWS

Plans for the 2014-2015 NAWBO Phoenix Chapter Mentoring Program are well underway. This year’s theme will be Listen, Learn, Seek and Share to Develop Your Business. The goal is for participants to set and achieve measurable goals that lead to economic impact.

The program kicks off in September 2014. Each month, a different speaker will present topics focused on how to develop and grow a business. Mentees and mentors are also encouraged to meet in monthly one-on-one meetings to work on their individual business development goals. A celebration in May concludes the year and provides participants an opportunity to share their success story and pitch their business.

Up to 15 mentees and 15 mentors will be selected to participate in the program. Qualified mentees will 1) have been in business for a minimum of one year; 2) join or have an active NAWBO membership for the duration of the program; 3) own at least 51% of the business; and 4) commit to four hours each month to attend program and mentee-mentor sessions.

Qualified mentors will 1) have owned a business for a minimum of two years; 2) have a desire to help other women business owners to move their business to the next level; and 3) commit approximately 2-4 hours each month to attend sessions and/or provide guidance to the mentee.

Important Dates

To Apply

Information Session: Wednesday, August 6, 2014 9:30 a.m. – 11:00 a.m.

If you are interested in learning more about the NAWBO Mentoring Program or applying for either a mentee or mentor position, contact Paula Wittekind at paula@CDQLearning.com or 480-759-2989. Application forms can be found on the NAWBO Phoenix chapter website www.nawbophx.org.

Application Deadline: Friday, August 15, 2014 Participants Announced: Friday, August 22, 2014

SAVE THE DATE! WEF – Womens Enterprise Foundation

Be sure to book WEF on your calendar for Friday, November 7, 2014!

You will want to be at our “Creating Fearless Leaders” breakfast 7 a.m. – 9 a.m.

Details will be available soon! Visit www.wefphx.org or facebook.com/WomensEnterpriseFoundation

Upcoming Programs: NAWBO University

August Luncheon

NAWBO University

September Luncheon

Sharing Your Corporate Story Through The Power of The Press Wednesday, August 13, 2014 9:30a – 10:45a Presenter: Tara Michelle Hustedde, Pure PR and Marketing Location: Phoenix Country Club 2901 N. 7th Street, Phoenix, AZ 85012 RSVP by: August 12 at www.nawbophx.com

Wednesday, September 10, 2014 9:30a - 10:45a Presenter:TBD Location: Phoenix Country Club 2901 N. 7th Street, Phoenix, AZ 85012 RSVP by September 9 at www.nawbophx.com

Let’s Get Down to Business – Working with the Media Wednesday, August 13, 2014 10:45a - 01:00p Presenter: Media Panel Location: Phoenix Country Club 2901 N. 7th Street, Phoenix, AZ 85012 RSVP by August 10, 2014 at www.nawbophx.com

Wednesday, September 10, 2014 10:45a – 01:00p Presenter: Leadership Panel Location: Phoenix Country Club 2901 N. 7th Street, Phoenix, AZ 85012 RSVP by September 7, 2014 at www.nawbophx.com

2014

LEGAL GUIDE A BUSINESS OWNER’S RESOURCE TO LEGAL SERVICES

A comprehensive guide to local firms & their areas of specialty for business Plus

LAW FIRMS PROFILED

Buchalter Nemer Engelman Berger Fennemore Craig Gallagher & Kennedy Gordon Silver Lewis Roca Rothgerber Nussbaum Gillis & Dinner Polsinelli Ryley Carlock & Applewhite Snell & Wilmer

See more online at INBUSINE SSMAG.COM inbusinessmag.com/legalguide

Wilenchik & Bartness

A U G U S T 2014

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Legal Services Guide

Advocating for Business Specialized legal expertise serves our business community Doing things right at the outset can save time and money down the road.

This truism is especially relevant in business. Working with an attorney to ensure a business is on the right track, in compliance and negotiating with protection in mind is why working with an attorney is so beneficial.

It is also why In Business Magazine has compiled this Legal Guide to showcase local firms who strongly support the business community and offer their specialized practice areas, to help business owners make decisions on what firm to use locally.

There are many ways a business could get off on the wrong foot without proper advice. A common problem, observes Ronda Beckerleg Thraen, chairperson of the executive council of the State Bar of Arizona’s Business Law section and a partner with Phoenix law firm Osborn Maledon, is “businesses — particularly in the early stages — want to save money and so do things themselves. By the time lawyers do get involved, they are not able to deal as effectively on the business owner’s behalf.”

It’s not just a matter of knowing how to deal with certain matters; there may be requirements or implications of which the business owner is unaware. Laura A. LoBianco, a former chair of the Business Law section executive council and a partner at Fennemore Craig, puts it succinctly: “Especially when starting a business, most business owners don’t know what they don’t know.”

In the case of protecting a company’s intellectual property, if the ongoing business owner has created something — from a name to a piece of machinery — but not appropriately protected it, establishing ownership rights over someone else at a later date is much harder and may require costly litigation.

LEGAL GUIDE

2014

A BUSINESS

OWNER’S

RESOURCE

TO LEGAL

SERVICES

A comprehensivel guide to loca firms & their ty areas of special for business Plus

LAW FIRMS

PROFILED

Nemer Buchalter Berger Engelman Craig Fennemore & Kennedy Gallagher Gordon Silver Rothgerber Lewis Roca Gillis & Dinner Nussbaum Polsinelli hite & Applew Ryley Carlock Snell & Wilmer s & Bartnes Wilenchik

Or perhaps the business has been approached by another regarding a transaction. The owner may try to reach agreement on the business terms before getting an attorney involved, and then just ask the attorney to write it up. Thraen points out that not only might there be missed opportunity — terms the business owner didn’t think about — but “more importantly, he may have agreed to terms without realizing some of the implications and ramifications they might give rise to.” An example is the “most favored nation” clause in a distribution agreement, which promises a company will not give a better price to anyone else.

While the vendor may see that as just a promise to treat the buyer fairly, if the buyer later finds a different company was given a better price it could demand all its purchases be re-priced and it be paid the difference.

Says Thraen, “Contract provisions that seem on the surface to be reasonable or make sense can potentially lead to huge liabilities down the road.”

When exiting a business, as well, there are many factors to be considered that an owner may not have dealt with. These include tax ramifications, transfer of intellectual property rights, and how to structure proceeds to be most beneficial for future income. And there may be regulatory requirements such as getting permission from the Federal Trade Commission if the sale exceeds a certain threshold. “If the company is in breach or violation of that law, the transaction could be revoked or fines and penalties assessed,” LoBianco says.

What an attorney brings to businesses, then, is a view to avoid both pitfalls and missed opportunity. This In Business Magazine 2014 Legal Guide has been created to help businesses connect with the appropriate resources for their needs and to be a reference should a specific expertise be needed. —RaeAnne Marsh State Bar of Arizona azbar.org

About This Section In Business Magazine is proud to connect the legal community with businesses throughout the Valley with this annual Legal Guide. The law firms included in this guide are firms that are familiar to In Business Magazine, have reputable practice areas specific to business and support the business community in several ways. We have included profiles of our supporting firms, providing even more information of their services and top attorneys. Please visit inbusinessmag.com/legalguide) to get a more detailed list of attorneys with these firms and to search by practice areas.

online at See more guide ag.com/legal inbusinessm

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INBUSINE SSMAG.COM

Legal Services Guide

Buchalter Nemer At the top ARIZONA PARTNERS

Steve Fox Will Gelm Donna Ong Buzzi Shindler Paul Weiser

Buchalter Nemer is a full-service business law firm that has been teaming with clients for six decades, providing legal counsel at all stages of their growth and evolution, and helping them meet the many legal challenges and decisions they face. Buchalter Nemer clients are engaged in the diverse global economy governed by complex laws and regulations, and they trust us as advisers and business partners because we are involved in their world. They rely on

At-a-Glance

our forward-thinking to help them resolve problems before they arise.

Our founding principle — providing our clients with the best business solutions — continues to lead us. We value each client relationship, recognizing that their success is our success. Our overarching goal — getting the best results for the client in a timely manner with sensitivity to cost — has engendered client loyalty, and the firm has grown from that loyalty.

Our lawyers are accessible, resourceful, skillful and adept at responding to change. We strongly believe that technology is a tool that furthers the practice of law, and we have used that belief to develop a cutting-edge platform for our firm. Unlike many firms, we have the capacity to process e-Discovery in-house, reducing client costs. Our technological capabilities keep case law and rule changes

at our fingertips and client communications current, enabling us to create efficient, superior outcomes.

Buchalter Nemer lawyers are also active members of the communities in which they live and work. Leadership is a value the founding partners practiced and passed on to the current generation of attorneys. Our lawyers sit on the boards of prominent organizations, teach and lecture frequently. We actively participate in many associations and groups in each of our office locations, including the Public Law Center, San Francisco Legal Aid Society, Practicing Law Institute, California State Bar Association, the Los Angeles County Bar Association and the LACBA Domestic Violence Project, the Sojourner Center, the Boys and Girls Club of Greater Phoenix and many others.

Buchalter Nemer’s commitment to reflecting and enhancing the rich diversity of the clients and communities in which we practice is more than six decades strong. The firm’s diversity of attorneys and staff provides clients with a greater array of creative talent and alternative thinking, benefiting all.

MAIN LOCAL OFFICE ADDRESS:

NATIONALLY HEADQUARTERED:

SPECIALTIES:

16435 N. Scottsdale Rd., Suite 440 Scottsdale, AZ 85254

Los Angeles

Real Estate, Litigation, Corporate, Tax & Estate Planning, Labor & Employment

PHONE:

(480) 383-1800

MANAGING PARTNER:

Paul Weiser

WEBSITE: www.buchalter.com

NO. OF YEARS WITH FIRM: 9

OFFICES IN METRO PHOENIX: 1

YEAR ESTABLISHED LOCALLY: 2005

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Legal Services Guide Ballard Spahr L.L.P. 1 E. Washington Street, Suite 2300 Phoenix, AZ 85004 (602) 798-5400 ballardspahr.com Bankruptcy, Business & Finance, Employment, IP, Real Estate

Bowman and Brooke L.L.P. 2901 N. Central Avenue, Suite 1600 Phoenix, AZ 85012 (602) 643-2300 bowmanandbrooke.com Product Liability, Commercial Litigation, Healthcare & Nursing Home Negligence, ADR, Class Actions

Brownstein Hyatt Farber Schreck L.L.P. One E. Washington Street, Suite 2400 Phoenix, AZ 85004 (602) 382-4040 bhfs.com Health Care, Government Relations, Natural Recourses

Bryan Cave L.L.P. One Renaissance Square Two N. Central Avenue, Suite 2200 Phoenix, AZ 85004

(602) 364-7000 bryancave.com Bankruptcy, Business & Commercial Litigation, IP, International Trade, Real Estate, Labor

Buchalter Nemer See profile on page 53.

16435 N. Scottsdale Road, Suite 440 Scottsdale, AZ 85254 (480) 383-1800 buchalter.com Real Estate, Litigation, Corporate, Tax & Estate Planning, Labor & Employment

Burch & Cracchiolo, P.A. 702 E. Osborn Road, Suite 200 Phoenix, AZ 85014 (602) 274-7611 bcattorneys.com Business, Commercial Litigation, Insurance Defense, Real Estate, Zoning & Land Use

Carpenter, Hazlewood, Delgado & Bolen P.L.C. 1400 E. Southern Avenue, Suite 400 Tempe, AZ 85282 (480) 427-2800 carpenterhazelwood.com

Community Association Representation, Construction Defect Litigation, Insurance Defense, Churches & Nonprofits, Business

The Cavanagh Law Firm 1850 N. Central Avenue, Suite 2400 Phoenix, AZ 85004 (602) 322-4000 cavanaghlaw.com Litigation, Family, Real Estate, Insurance Defense, Bankruptcy

Clark Hill 14850 N. Scottsdale Road, Suite 500 Scottsdale, AZ 85254 (480) 684-1100 clarkhill.com Litigation, Corporate, Healthcare, Real Estate, Creditors’ Rights

Coppersmith Schermer & Brockelman P.L.C. 2800 N. Central Avenue, Suite 1200 Phoenix, AZ 85004 (602) 224-0999 csblaw.com Healthcare, Employment, Litigation, Corporate & Real Estate, Governmental Investigations

Engelman Berger Engelman Berger is comprised of experienced lawyers who are well recognized for their expertise and committed to resolve commercial disputes and assist clients in preventing legal problems through proper planning. Our clients are national and local lenders, borrowers, lessors, tenants, familyowned businesses, developers, franchise

At the top FOUNDING PARTNERS

David Wm. Engelman

owners, municipalities and investors. We provide creative and focused representation in all federal and state courts, bankruptcy court, arbitrations, mediations and settlement negotiations. We facilitate business and real estate transactions through counsel and negotiations. We are problem solvers and focused on client goals.

Industries served include lending, credit unions, construction, restaurant, hospitality, medical, retail, wholesale, agricultural and real estate, among others.

We regard the clients’ goals as the foremost motivation in providing our services, and listen to ensure success. Our lawyers are recognized in Martindale Hubbell AV ratings, “Super Lawyers,” and U.S. News & World Report’s “Best Lawyers in America,” among other ratings. We are locally owned and our lawyers take an active role in community activities.

Steven N. Berger

54

David Wm. Engelman and Steven N. Berger

At-a-Glance MAIN LOCAL OFFICE ADDRESS:

3636 N. Central Ave., Suite 700 Phoenix, AZ 85012 PHONE: (602) 271-9090 WEBSITE: www.eblawyers.com OFFICES IN METRO PHOENIX: 1 NATIONALLY HEADQUARTERED:

Phoenix David Wm. Engelman & Steven N. Berger NO. OF YEARS WITH FIRM: 15 YEAR ESTABLISHED LOCALLY: 1999 MANAGING PARTNERS:

SPECIALTIES:

Business Disputes, Real Estate Disputes, Bankruptcy, Reorganization, Creditors’ Rights, Business Transactions, Real Estate Transactions, Water Law, Appeals, Loan Workouts, Mediation

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Legal Services Guide DLA Piper 2525 E. Camelback Road, Suite 1000 Phoenix, AZ 85016 (480) 606-5100 dlapiper.com Corporate, Securities, Litigation, International Arbitration

Davis Miles McGuire Gardner P.L.L.C. 80 E. Rio Salado Pkwy, Suite 401 Tempe, AZ 85281 (480) 733-6800 davismiles.com Commercial Litigation, Real Estate, Tax, Corporate, Mergers & Acquisitions

Dickinson Wright Mariscal Weeks 1850 N. Central Avenue, Suite 1400 Phoenix, AZ 85004 (602) 285-5000 dickinsonwright.com Alternative Dispute Resolution, Bankruptcy, Commercial Litigation, Employment, Tax

Engleman Berger P.C. See profile on page 54.

3636 N. Central Avenue, Suite 700 Phoenix, AZ 85012 (602) 271-9090 eblawyers.com

Debtor & Creditor Rights, Bankruptcy, Commercial, Licensing, Real Estate

Fennemore Craig P.C. See profile on page 55.

2394 East Camelback Road, Suite 600 Phoenix, AZ 85016 (602) 916-5000 fclaw.com Real Estate, Mergers & Acquisitions, Business Litigation, Natural Resources, Healthcare

Gallagher & Kennedy P.A. See profile on page 56.

2575 E. Camelback Road, Suite 1100 Phoenix, AZ 85016 (602) 530-8000 gknet.com Business Law & Transactions, Litigation, Real Estate, Tax Law, Environmental

Gammage & Burnham P.L.C. Two N. Central Avenue, 15th Floor Phoenix, AZ 85004 (602) 256-0566 gblaw.com Business Organizations & Commercial Transactions, Litigation, Healthcare, Collections & Bankruptcy, Commercial Finance

Gordon & Rees L.L.P. 111 W. Monroe Street, Suite 1600 Phoenix, AZ 85003 (602) 794-2460 gordonrees.com Aviation, Civil Appeals, Construction, Public Contract, Health Care

Gordon Silver See profile on page 57.

One E. Washington Street, Suite 400 Phoenix, AZ 85004 (602) 256-0400 gordonsilver.com Business Restructuring & Bankruptcy, Bankruptcy Litigation, Commercial Litigation

Greenberg Traurig L.L.P. 2375 E. Camelback Road, Suite 700 Phoenix, AZ 85016 (602) 445-8000 gtlaw.com Bankruptcy, Tax, Labor, Construction, Corporate, Securities, Energy & Environmental

Gust Rosenfeld P.L.C. One E. Washington Street, Suite 1600 Phoenix, AZ 85004 (602) 257-7422 • gustlaw.com Franchise, IP, Bankruptcy, Construction, Corporate, Creditors’ Rights, Employment

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Fennemore Craig Fennemore Craig is a full-service business law firm with nearly 200 attorneys with offices in Phoenix, Tucson, Nogales, Denver, Las Vegas and Reno. Fennemore Craig has helped the West’s entrepreneurs as well as its largest businesses for more than 125 years.

Fennemore Craig’s legal talent and experience combined with fresh thinking and the latest technology help clients pursue solutions and, when necessary, aggressively defend clients’ interests with extensive trial experience

At the top REPRESENTATIVE PARTNERS

Tim Berg

Susan Wissink

Aaron Cain

Heidi Short

Lori Higuera

Andrew Federhar

in federal and state courts, administrative agencies and arbitration proceedings. The firm’s litigation skills extend to virtually every area important to business, including product liability, business torts, insurance coverage and bad faith, environment and natural resources, employment, medical negligence defense, personal injury and wrongful death, professional liability, real estate, securities, intellectual property, white collar criminal defense, and tax controversies. The firm’s substantial business practice covers finance, public offerings, private placements, corporate reorganizations, mergers and acquisitions, dispositions, entity formation, estate planning, government relations and numerous other practice areas.

Fennemore Craig’s commitment to quality is confirmed in its ratings from third parties, including ranking in U.S.News – Best Lawyers “Best Law Firms” and Ranking Arizona, which lists Fennemore Craig in national practice areas as well as in numerous first-tier rankings for the Phoenix metropolitan area.

At-a-Glance MAIN LOCAL OFFICE ADDRESS:

2394 E. Camelback Rd., Suite 600 Phoenix, AZ 85016 PHONE: (602) 916-5000 WEBSITE: www.fclaw.com OFFICES IN METRO PHOENIX: 1 NATIONALLY HEADQUARTERED:

Phoenix MANAGING PARTNER:

Timothy J. Berg

NO. OF YEARS WITH FIRM:

More than 25 YEAR ESTABLISHED LOCALLY: 1884 SPECIALTIES:

Real Estate, Mergers & Acquisitions, Business Litigation, Natural Resources, Healthcare

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Legal Services Guide

Gallagher & Kennedy At the top PRACTICE GROUP LEADERS

Dana Stagg Belknap Alexander L. Broadfoot Timothy D. Brown John R. Clemency Robert D. Dalager

Board Members (l to r): Tim Brown, Tax; Kevin O’Malley, Litigation; Mike Kennedy, Co-founder, Litigation; Dean Short, Managing Partner, Sports Law; Shannon Clark, Personal Injury & Wrongful Death

As an Arizona-based firm built on long-term relationships, we are dedicated to ensuring clients experience consistent service excellence for any legal matter, whether complex or routine. By understanding the unique challenges and opportunities before each client, we approach all projects with a keen sensitivity to time and expense management and maintain a results-oriented focus throughout all projects.

Widely known for its full-service business law practice, Gallagher & Kennedy encompasses practices with expertise to launch emerging businesses with entity formation and intellectual property; to guide expanding businesses through mergers and acquisitions, corporate finance and real estate matters; to support established businesses in contracts, insurance, public bidding and procurement, employment law, litigation; to work with business professionals in partnerships, professional liability, succession planning and exit strategies; and to assist waning businesses through reorganization and dissolution in or out of bankruptcy. Our experienced litigators

At-a-Glance

Tom Henze Robert J. Itri

assist businesses in strategy development, settlement negotiation or trial proceedings.

Gallagher & Kennedy also serves clients through its highly accomplished and talented attorneys practicing in Appellate Litigation, Environmental and Natural Resources, Personal Injury & Wrongful Death, Criminal Law, Government Affairs & Lobbying, Native American Law, Public Utilities and Sports Law. Through the pursuits of our clients and the many accomplishments of our attorneys, the firm’s reach extends to national and international points of operation for our clients. With an office in Santa Fe, Gallagher & Kennedy is a recognized leader in environmental, natural resources and government affairs and lobbying across New Mexico and more broadly throughout the southwest.

The firm and our attorneys are consistently recognized by Best Lawyers in America, Southwest Super Lawyers, Chambers USA, Martindale-Hubbell and Arizona’s Finest Lawyers, among many other recognition awards, and we are very proud of our staff who

Donald Peder Johnsen Robert E. Jones, Jr. Michael K. Kennedy David P. Kimball, III Thomas A. Maraz Patrick J. McGroder, III Kevin E. O’Malley Kevin D. Neal Jeffrey T. Pyburn Dean C. Short, II Terrence W. Thompson

support them. Whether partnering to support client interests or pursuing the personal or professional interests of its employees, virtually every Gallagher & Kennedy employee participates as a community volunteer, board member, speaker or advocate.

All of Gallagher & Kennedy’s many facets combine to magnify one motive … client success.

MAIN LOCAL OFFICE ADDRESS:

NATIONALLY HEADQUARTERED:

SPECIALTIES:

2575 E. Camelback Rd., Suite 1100 Phoenix, AZ 85016

Phoenix

Business Law & Transactions, Litigation, Real Estate, Tax Law and Environmental and Natural Resources

PHONE:

(602) 530-8000

WEBSITE:

www.gknet.com

OFFICES IN METRO PHOENIX: 1

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Michael M. Grant

MANAGING PARTNER:

Dean C. Short, II NO. OF YEARS WITH FIRM:

26

YEAR ESTABLISHED LOCALLY:

1978

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Legal Services Guide Hymson Goldstein & Pantilinat P.L.L.C. 16427 N. Scottsdale Road, Suite 300 Scottsdale, AZ 85254 (480) 991-9077 scottsdale-lawyer.com General Practice, Litigation, Family Law, Personal Injury, Real Estate

Jaburg Wilk 3200 N. Central Avenue, Suite 2000 Phoenix, AZ 85012 (602) 248-1000 jaburgwilk.com Business Law, Commercial Litigation, Employment Law, IP, Bankruptcy

Jackson White P.C. 40 N. Center Street, Suite 200 Mesa, AZ 85201 (480) 464-1111 jacksonwhitelaw.com Real Estate, Commercial Litigation, Elder Law, Criminal, Personal Injury

Jennings Strouss One E. Washington Street, Suite 1900 Phoenix, AZ 85004 (602) 262-5911 jsslaw.com

Bankruptcy & Reorganization, Construction, Corporate, Securities, Finance

Jones, Skelton & Hochuli P.L.C. 2901 N. Central Avenue, Suite 800 Phoenix, AZ 85012 (602) 263-1700 jshfirm.com Insurance Defense, General Civil Litigation, Appeals, ADR, Transportation

Lewis Brisbois Bisgaard & Smith L.L.P. 2929 N. Central Avenue, Suite 1700 Phoenix, AZ 85012 (602) 385-1040 lbbslaw.com Medical Malpractice, Construction Defect Litigation, Products Liability, General Liability, Professional Liability

Lewis Roca Rothgerber, L.L.P. See profile on page 58.

201 E. Washington Street, Suite 1200 Phoenix, AZ 85004 (602) 262-5311 lrrlaw.com IP, Bankruptcy, Corporate & Securities, Commercial litigation, Labor & Employment

Littler 2425 E. Camelback Road, Suite 900 Phoenix, AZ 85016 (602) 474-3600 littler.com Management-side Employment Advice & Counsel, Labor & Management Relations, Employment Litigation, Immigrations & Global Migration, International Employment & Labor

May Potenza Baran & Gillespie 201 N. Central Avenue, 22nd Floor Phoenix, AZ 85004 (602) 252-1900 maypotenza.com Administrative Adjudications, ADR, Appeals, Bankruptcy Reorganization, Commercial Creditors & Debtor’s Rights

Nussbaum Gillis & Dinner See profile on page 59.

14850 N. Scottsdale Rd., Suite 450 Scottsdale, AZ 85254 (480) 609-0011 www.ngdlaw.com Financial Restructuring, Bankruptcy, Construction Law & Litigation, Entity Formation, Business Transactions, Real Estate, Eminent Domain Law

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Gordon Silver Gordon Silver is a full-service law firm, with offices in Phoenix, Las Vegas, Los Angeles, Reno and Washington, D.C. The firm provides clients with the sophistication to solve the toughest problems, from complex lease disputes to bridge and exit financings, and high-stakes litigation to intellectual property.

Thomas J. Salerno is the managing partner of the Arizona office. He has been involved in

At the top PRINCIPAL PARTNER

Thomas J. Salerno ARIZONA ASSOCIATES

Anthony P. Cali Loren A. Morris Teresa M. Pilatowicz

restructurings throughout the United States and internationally, represented parties in insolvency proceedings in 30 states and five countries. Salerno has extensive experience representing distressed companies, acquirers and creditors in financial restructurings and bankruptcy proceedings, pre- and post-bankruptcy workouts, and corporate recapitalizations. He has represented clients in diverse industries such as casinos, resort hotels, real estate, high-tech manufacturing, electricity generation, agribusiness, construction, healthcare, airlines and franchised fast-food operations.

Salerno served as a director of the American Bankruptcy Institute, and formerly was a director of the American Bankruptcy Board of Certification, Inc. He is a past chair of the Bankruptcy Section of the State Bar of Arizona and a Fellow of the American College of Bankruptcy. Salerno was also named 2014 Best Lawyers® Lawyer of the Year in LitigationBankruptcy in the Phoenix area.

At-a-Glance MAIN LOCAL OFFICE ADDRESS:

One E. Washington St., Suite 400 Phoenix, AZ 85004 PHONE: (602) 256-0400 WEBSITE: www.gordonsilver.com OFFICES IN METRO PHOENIX: 1 NATIONALLY HEADQUARTERED:

Las Vegas MANAGING PARTNER:

Thomas J. Salerno

NO. OF YEARS WITH FIRM: 1 YEAR ESTABLISHED LOCALLY: 2010 SPECIALTIES:

Business Restructuring & Bankruptcy, Bankruptcy Litigation, Commercial Litigation

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Legal Services Guide

Lewis Roca Rothgerber

At the top PRINCIPAL PARTNERS

Ken Van Winkle, Jr. Emily A. Bayton Rob Charles Carla A. Consoli

Ken Van Winkle, Jr.

Stephen M. Hart

There’s a World of Opportunity Out There As a business leader, you want to be represented by a nationally recognized law firm with a local presence. Lewis Roca Rothgerber is one of the largest law firms based in the Western U.S. and our attorneys are well positioned to help our clients realize their dreams — in our hometown or around the globe. Whether providing advice on major development projects or high-stakes litigation, our goal is to

At-a-Glance

MAIN LOCAL OFFICE ADDRESS:

NATIONALLY HEADQUARTERED:

201 E. Washington St., Suite 1200 Phoenix, AZ 85004

Phoenix

PHONE:

58

help our clients be successful.

Our legacy as one of the top business leaders in Phoenix began in 1950, with the law firm of Lewis & Roca playing a lead role helping what was then an agricultural community of just over 100,000 people to grow into the nation’s fifth-largest metropolitan area.

Last year, the firm successfully completed a combination of legacy firms Rothgerber Johnson & Lyons and Lewis & Roca to create Lewis Roca Rothgerber, a stronger firm with deeper experience and a more expansive geographical reach.

Lewis Roca Rothgerber maintains thriving practices in litigation, real estate, banking, corporate and securities, bankruptcy, intellectual property, gaming, international trade, energy and utilities, religious institutions, and labor and employment.

With additional regional offices in Denver, Las Vegas and Silicon Valley, as well as offices in Albuquerque, Casper, Colorado Springs, Reno and Tucson, our more than 250 attorneys know and understand the particular challenges

(602) 262-5311

Randy Papetti Lewis D. Schorr

facing businesses of all sizes with major operations in the West.

While we are proud to call the Western U.S. our home, our attorneys provide counsel here and around the world to a broad range of clientele encompassing businesses that range from start-ups to Fortune 100 companies in industries including commercial, technology, industrial, banking, real estate, energy and manufacturing, among others.

Lewis Roca Rothgerber and our attorneys have consistently been recognized among the finest in the profession by leading industry trade and ranking organizations. Most recently, the firm and 25 of its attorneys received high honors from Chambers & Partners in the 2014 Chambers USA: America’s Leading Lawyers for Business guide, in which eight of the firm’s practice areas, by market, were recognized, including Environment (including water rights), Litigation: General Commercial, and Real Estate in Arizona.

MANAGING PARTNER:

Kenneth Van Winkle, Jr. 27

WEBSITE: www.lrrlaw.com

NO. OF YEARS WITH FIRM:

OFFICES IN METRO PHOENIX: 1

YEAR ESTABLISHED LOCALLY: 1950

SPECIALTIES: Business

and Commercial Litigation, Real Estate, Banking, Corporate and Securities, Intellectual Property, Gaming, Energy and Utilities, Religious Institutions, Labor & Employment.

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Legal Services Guide Ogletree, Deakins, Nash, Smoak & Stewart P.C. 2415 E. Camelback Road, Suite 800 Phoenix, AZ 85016 (602) 778-3700 ogletreedeakins.com Employment, Traditional Labor Relations, Litigation, Unfair Competition & Trade Secrets

Osborn Maledon P.A. 2929 N. Central Avenue, 21st Floor Phoenix, AZ 85012-2793 (602) 640-9000 omlaw.com Commercial Litigation, Corporate & Securities, IP, Technology, Real Estate, Criminal

Perkins Coie L.L.P. 2901 N. Central Avenue, Suite 2000 Phoenix, AZ 85012 (602) 351-8000 perkinscoie.com Business Litigation, Patent & IP, Business & Licensing, Real Estate, Criminal Defense

Polsinelli See profile on page 60.

One E. Washington Street, Suite 1200 Phoenix, AZ 85004

(602) 650-2000 polsinelli.com Business Litigation, Corporate, Financial Services, Health Care, Real Estate

Quarles & Brady L.L.P. One Renaissance Square Two N. Central Avenue Phoenix, AZ 85004 (602) 229-5200 quarles.com Commercial Bankruptcy & Restructuring, Corporate, Environmental, Franchise, Health Care

Renaud Cook Drury Mesaros P.A. One N. Central Avenue, Suite 900 Phoenix, AZ 85004 (602) 307-9900 rcdmlaw.com Personal Injury, Wrongful Death, Medical Malpractice, Product Liability, Legal Malpractice, Insurance Coverage

Rose Law Group P.C. 7144 E. Stetson Drive, Suite 300 Scottsdale, AZ 85251 (480) 505-3936 roselawgroup.com Real Estate, Land Use & Zoning, Tax, Family, Estate Planning

Ryley Carlock & Applewhite See profile on page 61.

One N. Central Avenue, Suite 1200 Phoenix, AZ 85004 (602) 440-4800 rcalaw.com Energy & Environment, Real Estate & Development, Creditors’ Rights & Banking, Estate Planning & Probate, Labor & Employment, Litigation, Government Relations

Salmon, Lewis & Weldon P.L.C. 2850 E. Camelback Road, Suite 200 Phoenix, AZ 85016 (602) 801–9060 slwplc.com Business & Finance, Commercial Litigation, Commercial Law, Corporate Real Estate, Electric Power & Utilities

Sanders & Parks, P.C. 3030 N. Third Street, Suite 1300 Phoenix, AZ 85012 (602) 532-5600 sandersandparks.com Corporate, Injury, Wrongful Death Litigation, Professional Malpractice, Government Entity Defense, Insurance Defense

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Nussbaum Gillis & Dinner Nussbaum Gillis & Dinner, P.C. was founded

by Randy Nussbaum and Gregory Gillis with a focus on complex bankruptcies, commercial litigation, construction law and real estate law.

Dean Dinner became the third named partner in 2010, and the firm expanded its practice

At the top PRINCIPAL PARTNERS

Randy Nussbaum Gregory P. Gillis Dean M. Dinner Howard J. Weiss Scott J. Richardson David A. McCarville David W. Lunn

areas to include trusts and estate planning, probate, personal injury, insurance defense, eminent domain and administrative law with an emphasis on the pest control industry. NGD is well regarded for its innovative approach to resolve complex, high-value issues that require superior insight, experience and knowledge. The firm is committed to providing its clients with attentive, personalized service.

NGD is based in Scottsdale with offices in Casa Grande and Avondale. The firm enthusiastically supports the communities it serves through member participation and donations to charitable and civic organizations.

U.S. News & World Report and Best Lawyers® ranked Nussbaum Gillis & Dinner one of 2014 “Best Law Firms.” The firm ranked nationally in Bankruptcy and Creditor Debtor Rights / Insolvency and Reorganization Law and locally in four categories: Commercial Litigation and Construction Law, Bankruptcy and Creditor Debtor Rights/Insolvency and Reorganization Law, and Bankruptcy Litigation.

Randy Nussbaum, Gregory P. Gillis and Dean M. Dinner (l to r)

At-a-Glance MAIN LOCAL OFFICE ADDRESS:

14850 N. Scottsdale Rd., Suite 450 Scottsdale, AZ 85254 PHONE: (480) 609-0011 WEBSITE: www.ngdlaw.com OFFICES IN METRO PHOENIX: 3 NATIONALLY HEADQUARTERED:

Phoenix MANAGING PARTNER:

Randy Nussbaum

NO. OF YEARS WITH FIRM: 6 YEAR ESTABLISHED LOCALLY: 2008 SPECIALTIES:

Financial Restructuring and Bankruptcy, Construction Law and Litigation, Entity Formation and Business Transactions, Real Estate and Eminent Domain Law, Trust and Estate Planning

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Legal Services Guide Schneider & Onofry P.C.

Squire Patton Boggs

3101 N. Central Avenue, Suite 600 Phoenix, AZ 85012 (602) 230-8857 soarizonalaw.com Administrative, Business, Employment, ADR, Civil & Commercial, Construction Litigation, Civil Rights, Family

1 E. Washington Street, Suite 2700 Phoenix, AZ 85004 (602) 528-4000 squirepb.com Corporate, Corporate Finance, Mergers & Acquisitions, IP, Litigation, Real Estate

Sherman & Howard L.L.C.

Steptoe & Johnson L.L.P.

201 E. Washington Street, Suite 800 Phoenix, AZ 85004 602) 240-3000 shermanhoward.com Banking & Finance, Employment, Tax, Commercial, Commercial Real Estate, Construction

201 E. Washington Street, Suite 1600 Phoenix, AZ 85004 (602) 257-5200 steptoe.com Commercial Litigation, Insurance Coverage & Bad Faith, Labor & Employment, Media & Communications, IP Protection & Litigation

Snell & Wilmer, L.L.P.

Stinson Leonard Street L.L.P.

See profile on page 62.

One Arizona Center 400 E. Van Buren Street, Suite 1900 Phoenix, AZ 85004 (602) 382-6000 swlaw.com Commercial Litigation, Corporate & Securities, Environmental & Natural Resources, Healthcare, Intellectual Property, Real Estate and Commercial Finance

1850 N. Central Avenue, Suite 2100 Phoenix, AZ 85004 (602) 279-1600 stinsonleonard.com Commercial & Class Action Litigation, Bankruptcy & Creditors’ Rights, Corporate Counseling, Banking & Financial Services, Real Estate

Tiffany & Bosco P.A. 2525 E. Camelback Road, Suite 300 Phoenix, AZ 85016

(602) 255-6000 tblaw.com Banking, Employment, IP, Tax, Real Estate, Commercial Litigation, Construction

Warner Angle Hallam Jackson & Formanek P.L.C. 2555 E. Camelback Road, Suite 800 Phoenix AZ 85016 (602) 264-7101 warnerangle.com Commercial & Business Law, Construction, Real Estate, Commercial Loans, Divorce & Family

Wilenchik & Bartness P.C. See profile on page 63.

2810 N. Third Street, Phoenix, AZ 85004 (602) 606-2810 wb-law.com Civil Litigation, White Collar Criminal Defense, Mediation, Tax Litigation

For a more detailed listing of our recommended firms and a complete list of their attorneys and Areas of Practice, please visit inbusinessmag.com/legalguide.

Polsinelli Polsinelli is a first-generation Am Law 100 firm, serving corporations, institutions, entrepreneurs and individuals nationally in more than 100 service areas and 70 industries.

Our attorneys successfully build enduring client relationships by providing practical legal counsel infused with business insight, and with a passion for understanding how to assist clients in achieving their objectives. We provide legal advice grounded in strong business acumen.

At the top PRINCIPAL PARTNERS

More than 50 attorneys in the firm’s Phoenix office More than 740 attorneys in 19 offices, spanning the country from Los Angeles to New York

Many of our attorneys previously served as inhouse counsel for or as owners of companies.

Our Clients Say Direct and Practical “There is a definite distinction in style that you can identify from firm to firm. Some firms are shrouded with exceptions, caveats and legalspeak. I want direct statements, practical help, and I get that at Polsinelli.”

Understanding Clients’ Real-World Situations “Polsinelli is excellent at that. They do a great job at deeply understanding what we do and are trying to accomplish. When negotiating, they know what’s important to us and the right trade-offs, and they apply their legal knowledge based on that.”

Polsinelli was profiled in The American Lawyer and ranked as the fastest-growing law firm in America six years in a row (source: The American Lawyer 2013 and 2014 reports). real challenges. real answers. SM

60

At-a-Glance MAIN LOCAL OFFICE ADDRESS:

One E. Washington St., Suite 1200 Phoenix, AZ 85004 PHONE: (602) 650-2000 WEBSITE: www.polsinelli.com OFFICES IN METRO PHOENIX: 1 NATIONALLY HEADQUARTERED:

Kansas City, Mo. MANAGING PARTNER:

Edward F. Novak NO. OF YEARS WITH FIRM: 4 YEAR ESTABLISHED LOCALLY: 2009 SPECIALTIES:

Business Litigation, Corporate, Financial Services, Health Care, Real Estate

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Legal Services Guide

Ryley Carlock & Applewhite

At the top FIRM LEADERS

James E. Brophy W. Scott Jenkins Jr. John C. Lemaster Andrea G. Lovell William B. McManus Sheryl A. Sweeney

Welcome! I’m Rudy Parga Jr., managing shareholder of the law firm Ryley Carlock & Applewhite. I’m honored to serve as Guest Editor of In Business Magazine’s August issue not only because it focuses on multiculturalism (a topic I care deeply about), but also because it features the 2014 Legal Guide and gives me a chance to tout our firm’s amazing team of lawyers.

The Business of Solutions®. Our tagline and registered trademark is The Business of Solutions®. We chose it because we are in the business of providing solutions for our clients.

That’s what fuels our work ethic; it’s the

Rudy Parga Jr.

At-a-Glance

reason we’re so passionate about what we do.

The legal and business solutions we provide help our clients maximize opportunity and minimize or remove risks and impediments.

Our creative and diverse problem-solvers are eager to assist businesses in finding a solution to whatever legal opportunities and challenges they are facing.

Strategic Growth in the Southwest. In growing a law firm that addresses the issues most vital to the region, we’ve strategically assembled a team of people who bring both legal expertise and genuine concern for our clients and the community. We are proud of our nearly 70-year heritage in the Southwest and our growth to more than 120 lawyers. We have maintained an active and developing presence in Arizona since 1948. In 2005, the firm expanded into Colorado, where we provide services in water, environmental, mining, natural resources, real estate, corporate and business, tax, estate planning and intellectual property law.

Client Service & Loyalty. Because our focus is on delivering solutions, we care about understanding our clients’ business objectives.

We are passionate about helping our clients succeed. We think that’s why we have enjoyed client/attorney relationships with some of our clients for more than six decades.

Range of Service. Our lawyers represent all segments of the business community, ranging from public and private companies to large corporations and start-ups to governments and individual entrepreneurs. Our lawyers have the depth and breadth to handle nearly every type of transactional or litigation matter encountered by our clients.

Emphasis on Diversity. As a firm, we believe that understanding issues from different perspectives facilitates our ability to provide valuable counsel and formulate solutions for our clients.

Thank you! We look forward to providing practical and creative legal solutions to the Phoenix business community in 2014 and beyond!

—Rudy Parga Jr., Managing Shareholder of Ryley Carlock & Applewhite

MAIN LOCAL OFFICE ADDRESS:

NATIONALLY HEADQUARTERED:

SPECIALTIES:

One N. Central Ave., Suite 1200 Phoenix, AZ 85004

Phoenix

PHONE: (602)

Rudy Parga Jr.

Energy & Environment, Real Estate & Development, Creditors’ Rights & Banking, Estate Planning & Probate, Labor & Employment, Litigation, Government Relations, Document Control & e-Discovery

440-4800

MANAGING PARTNER:

WEBSITE: www.RCAlaw.com

NO. OF YEARS WITH FIRM: 21

OFFICES IN METRO PHOENIX: 4

YEAR ESTABLISHED LOCALLY: 1948

ADVERTISING PROFILE

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Legal Services Guide

Snell & Wilmer At the top PRINCIPAL PARTNERS

All Snell & Wilmer attorneys are listed on the firm’s website at www.swlaw.com/ attorneys.

enable us to help clients solve problems, achieve opportunities and deal efficiently and effectively with an ever-changing economic, business and legal landscape.

Expansive Legal Experience; Flexible Approach: Snell & Wilmer is organized into more than five dozen specialty areas, so that clients have easy access to attorney skills and knowledge specific to a particular business and industry. Yet many businesses face legal issues that require cross-practice experience. We have the resources to build teams of attorneys from different specialty areas and locations who can work together seamlessly to solve the most complex legal challenges.

Phoenix office

Geographic Reach: More than 400 attorneys in nine locations across the western United States and in Mexico. Locations include Phoenix and Tucson, Arizona; Los Angeles and Orange County, California; Denver, Colorado;

Los Cabos, Mexico; Las Vegas and Reno, Nevada; and Salt Lake City, Utah.

Client Reach: Regional, national and international. Clients include major national and multinational corporations, educational and research institutions, municipalities and government agencies, nonprofits, charitable organizations, industry executives and highnet-worth individuals.

What Sets Us Apart

John J. Bouma

At-a-Glance

External Focus: At Snell & Wilmer, we recognize one straightforward fact — our clients care less about our internal workings and more about the degree to which we understand their business, their industry, and the trends and challenges that can affect their ability to minimize risk and maximize success. This strong external focus and the diverse experience of more than 400 attorneys

MAIN LOCAL OFFICE ADDRESS:

NATIONALLY HEADQUARTERED:

SPECIALTIES:

400 E. Van Buren St., Suite 1900 Phoenix, AZ 85004

Phoenix

Commercial Litigation, Corporate & Securities, Environmental & Natural Resources, Healthcare, Intellectual Property, Real Estate and Commercial Finance

PHONE:

(602) 382-6000

WEBSITE:

www.swlaw.com

OFFICES IN METRO PHOENIX: 1

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Earned Client Trust: Central to any business is the desire to decrease expense and drive revenue. When dealing with legal matters that involve proprietary business information, trust between the client and our firm is paramount.

Snell & Wilmer provides creative yet practical client-specific solutions. Professional integrity and fast response to client needs guide our interactions. In short, we work with clients in ways that are both personal and professional — ways that engender mutual trust and pave the way for successful outcomes.

MANAGING PARTNER:

John J. Bouma NO. OF YEARS WITH FIRM:

52

YEAR ESTABLISHED LOCALLY: 1938

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Legal Services Guide

Wilenchik & Bartness Founded in 1991 by Dennis Wilenchik and Becky Bartness, the law firm of Wilenchik and Bartness provides high-level litigation services to a select group of clients. The firm also provides commercial arbitration and mediation services and works closely with businesses to manage their legal needs.

Dennis Wilenchik is rated MartindaleHubbell AV®-Preeminent™, the highest rating available under the Martindale-Hubbell rating system, and he is listed in the national Bar Register of Preeminent Lawyers. Wilenchik has been a nationally certified civil trial advocate by the National Board of Trial Advocacy for more than 15 years. He is an Arizona Bar

At the top PRINCIPAL PARTNERS

Dennis I. Wilenchik Becky A. Bartness

Foundation Fellow and was elected a Fellow to the American Board of Professional Liability Attorneys. Wilenchik has served as a civil judge pro tem of the Superior Court, President of Maricopa County Bar Association Young Lawyers Division, board member of the Arizona Bar Journal, chairman of the Civil Trial Practice Committee and member of the Superior Court Civil Study Committee of the State Bar. Becky Bartness is rated Martindale-Hubbell AV®-Preeminent™ and is listed in the Bar Register of Preeminent Women Lawyers. She was a real estate specialist for over 15 years and also practices commercial arbitration and mediation. Ms. Bartness is licensed to practice law in all Arizona state and federal courts and the Ninth Circuit. She concentrates her practice in the areas of real estate, commercial, banking and environmental law, and commercial mediation and has represented lenders, developers and homebuilders in real estate and environmental matters, commercial and real estate loan transactions, loan restructures, bank regulatory and compliance matters, general corporate matters, and loan work-outs.

Dennis I. Wilenchik

At-a-Glance MAIN LOCAL OFFICE ADDRESS:

2810 N. Third St. Phoenix, AZ 85004 PHONE: (602) 606-2810 WEBSITE: www.wb-law.com OFFICES IN METRO PHOENIX: 2 NATIONALLY HEADQUARTERED:

Phoenix MANAGING PARTNER:

Dennis I. Wilenchik NO. OF YEARS WITH FIRM:

23

YEAR ESTABLISHED LOCALLY: 1991 SPECIALTIES:

Civil Litigation, White Collar Criminal Defense, Mediation

Wilenchik and Bartness provides complex civil and criminal litigation and mediation services to a select group of clients in the real estate, business, and construction sectors, with an emphasis on large and small business disputes.

Martindale-Hubbell Rated AV® Preeminent™.

Contact Dennis I. Wilenchik at diw@wb-law.com

602-606-2810

www.wb-law.com ADVERTISING PROFILE

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Internet. Data. Phone.

INDEX Index by Name

D’Alessandro, Kristina, 18

Martin, Steve J., 25

Salerno, Thomas J., 57

Barker, Richard, 14

Diaz, Mario, 18

Masters, Blake, 25

Sanchez, Jennifer, 18

Berg, Timothy J., 55

Dotlich, David, 66

McAnlis-Vasquez, Blessing, 18

Sheets, Tom, 27

Berger, Steven N., 54

Engelman, David Wm., 54

McCormick, Kari, 18

Short, Dean C., II, 56

Bertucci, Bryan, 39

Ferguson, Ashley, 27

Mills, Jerry, 16

Slice, Kristin, 45

Blacker, Jane, 39

Fisher, Orville, 16

Molina, Manny, 10

Thiel, Peter, 25

Bondurant, Sharon, 45

Gabel, Brad, 10

Novak, Edward F., 60

Trollope, Rowan, 27

Bouma, John J., 62

Garcia, James, 18

Nussbaum, Randy, 59

Urias, Lisa, 15

Bravo, Miguel, 18

Goldstein, Noah, 25

O’Loughlin, Craig, 26

Van Winkle, Ken, Jr., 58

Caballeros, Luis, 18

Guttilla, Phillip, 16

Orchard, Robin, 47

Weiser, Paul, 53

Cesario, Lou, 12

Hetrick, Nancy, 45

Parga, Rudy, Jr., 9, 61

Wells, Kate, 10

Cialdini, Robert, 25

Hill, Camille, 39

Pelletier, Tisha Marie, 46

Wilenchik, Dennis, 63

Cole, Chris, 39

Johansen, Bob, 25

Ramos, Laura, 27

Wolden, Dorothy, 49

Cothrun, Christie, 47

Kidder, Rick, 35

Rollins, Tracie, 44

Wszalek, Jackie, 43

Coulter, Lisa, 26

Mac Lennan, Michelle, 18

Ronn, Karl, 25

Conquest Training Systems, Inc., 4

National Association of

Index by Company Ahwatukee Foothills Chamber of

CopperPoint, 2

Scottsdale Area

Women Business Owners, 28, 43

Chamber of Commerce, 29, 35

Cox Business, 64

Nussbaum Gillis & Dinner, 59

American Academy of Floriculture, 47

Cox Communications, 18

OneNeck IT Solutions, 68

Snell & Wilmer, 7, 26, 62

American Express OPEN, 24

Desert Willows Conference Center, 32

Orchard Medical Consulting, 47

SRP, 17, 27

Arizona Association for Economic

Details Event Management, 46

Peoria Chamber of Commerce, 29

Stonewall Group, The, 27

Driver Provider, The, 13

Phoenix Philanthropy

Surprise Regional

Commerce, 28

Development, 28 Arizona Chamber of Commerce and Industry, 28 Arizona Diamondbacks, 11 Arizona Hispanic Chamber of Commerce, 18 Arizona International Growth Group, 28 Arizona Public Service, 18 Arizona Small Business Association, 28 Arizona Technology Council, 27, 28 B2B CFO, 16 Bare Necessities, 12 BeaconStream, 12 Beyer Management Consulting, Inc., 31 BidSource, 27 Black Canyon Conference Center, 32 Buchalter Nemer, 53 Business Marketing Association, 27 Café Zupas, 33 CareerConnectors, 12 Carefree Resort & Conference Center, 32 Chandler Center for the Arts, 18 Chandler Chamber of Commerce, 28 Children’s Museum of Phoenix, 10 Cibo Urban Pizzeria, 33 Cisco Systems, 27 ClearVoice, 12

INBUSINE SSMAG.COM

Employee Benefits International, 3 Empowered Lab Communications, 45 Engleman Berger, 54 Fennemore Craig, 55 Forrester Research, 27 Gallagher & Kennedy, 56 Giving Institute, The, 30 Glendale Chamber of Commerce, 28 Gordon Silver, 57 Gravity Web + Design, 49 Greater Phoenix Chamber of Commerce, 27, 28

Group, The, 13, 30

Chamber of Commerce, 29

Pivot Leadership, 66

Tech Finders, 45

Polsinelli, 16, 60

Tempe Chamber of Commerce, 29

Porsche, 32

UnitedHealthcare, 67

Quarles & Brady, 26

Urias Communications, 15, 18

Raymond James Financial, 39

Ventana Fine Properties, 39

Realty One Group, Chris Cole Team, 39

West Valley Women, 29

Rollins Advantage, The, 44

Wildflower Bread Company, 33

Rubio’s, 33

Wilenchik & Bartness, 63

Ryley Carlock & Applewhite, 9, 61

Women of Scottsdale, 29

Salt River Pima-Maricopa Indian Community, 18

Bold listings are advertisers supporting this issue of In Business Magazine.

Greene Holcomb & Fisher, 16 Kitchell, 10, 18 Kitmondo, 14

Smarter Divorce Solutions, 45

Check Out

KTAR News Talk 92.3, 34 Lewis Roca Rothgerber, 58 Local First Arizona, 8, 28 LocalWork.com, 29 M&M Media, 10

/inbusinessmagphx

@inbusinessmag

Mario E. Diaz & Associates, 18 Mastro’s City Hall Steakhouse, 37 Mastro’s Ocean Club, 37 Mastro’s Steakhouse, 37 Merestone, 39 Mesa Chamber of Commerce, 28 Microsoft, 12

A U G U S T 2014

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ROUNDTABLE

A CANDID FORUM

Navigate ‘Unsolvable’ Problems

Leaders are increasingly faced with complex problems that have no simple ‘right’ solution

by David Dotlich INNOVATION. IT’S A buzzword that’s so overused it’s tough to understand what it really means and how to capture its elusive spirit. We know we need more of it as businesses are increasingly challenged to produce an outcome that achieves seemingly irreconcilable goals, but we often receive conflicting advice on how to achieve it. When anyone tackles the topic of innovation, the name Steve Jobs inevitably comes up. He’s the prime example of an executive who staked his career on solving complex problems by answering them with “none of the above.”

(Interestingly, he violated almost all the usual principles of “good” leadership — he was said to be dictatorial, volatile and controlling.) He was most famous for taking the viewpoint that Apple should never ask customers what they want, because they don’t know what’s possible. Fifteen years ago, no one would have asked for an iPhone or an iPad, but Steve Jobs created completely new technology categories worth billions, leaving competitors far behind.

Executives in a small business or a Fortune 500 company, alike, in order to innovate must not deny problems that seemingly have no clear answer. These problems are not straightforward like mathematical equations or puzzles that have neat and clean answers.

The challenges that we most often tackle are, instead, paradoxical in nature, having two or more competing alternatives that can never be fully resolved. Paradoxes are seemingly everywhere — the conflicting goals of shortterm returns vs. long-term investments, or recognizing individual customer needs while maintaining equitable policies. Yet, if managed well, these polar opposites are often the source of real innovation.

Most executives make one of two mistakes when faced with these issues. Either they are so daunted by the problem they deny it or, worse, put off making a decision. Or they look for the most straightforward “right” answer.

Making that clear decision might feel good — providing a sense of closure — but that elation is short lived. Why? Because paradoxical issues are more like a road to be navigated than a problem to be solved.

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A U G U S T 2014

Instead of an either/or debate, leading executives open up the door of possibility and seek unorthodox approaches. “Do consumers want a better Walkman or a more capable FM radio?” is an example of a choice that drove creation of the iPod. Answering “both” or “neither” can be the start of the innovative process and is the true core of creating and nurturing a culture of innovation. Decisions can sometimes deceptively look like a fork in the road, but what if one could fly? Other questions can be asked, such as, “What’s a new way to accomplish our purpose and make it a win-win for everyone?”

Here are three ways a leader can embed an innovation mindset in his or her organization: Mark the playing field clearly. Dreaming big is an imperative, but then reality hits when the ideas suggested are simply impossible. It’s like trying to square a circle. Instead, clarify limitations at the outset regarding time, people, corporate values, money required, acceptable risks, and what related decisions are set in stone. Then, let the ideas fly.

Build the pressure by asking, “What Else?”

A problem stands in the way of a desired outcome. Push the team to go beyond the familiar to seek out relationships that have never been identified or solutions that have never been attempted.

Release the creative energy flow. Open up the discussion with collaborators by encouraging and rewarding outrageous ideas.

Recognize the most creative thinkers with the “Giraffe Award,” because they took the risk to stick their necks out. This not only rewards creative thinking but also helps remove people’s natural fear of failing, looking dumb or retribution. After all, some of the best ideas come from the most outlandish and unexpected places. But they will always remain hidden unless someone has the courage to speak up.

If you try to employ an innovation mindset, then it will feel much more like you’re driving bumper cars than running trains on the tracks. When you’re comfortable with taking a circuitous route by inventing more and divergent options, then you just might find that transformative idea to not only forward your career, but also transform your business.

Pivot Leadership pivotleadership.com

David Dotlich is chairman and CEO of Pivot Leadership, a strategic leadership consulting firm that works with companies such as Walmart, Johnson & Johnson, Nike, Microsoft, Ericsson, Aetna and Lloyds. The Unfinished Leader: Balancing Contradictory Answers to Unsolvable Problems is his 11th book on leadership.

INBUSINE SSMAG.COM

Stepping up

to recognize Arizona businesses

Your business succeeds when you take care of your people.

We succeed when we take care of you.

UnitedHealthcare provides a broad portfolio of health care plans developed with the needs of Arizona businesses in mind. And our plans include services and extras to help businesses and their employees make the most of their time and money. We are proud to be a sponsor of In Business Magazine’s The New Healthcare forum.

Š2014 United HealthCare Services, Inc. Insurance coverage provided by or through UnitedHealthcare Insurance Company or its affiliates. Administrative services provided by United HealthCare Services, Inc. or their affiliates. Health Plan coverage provided by or through a UnitedHealthcare company. UHCAZ690199-000

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