NNY Business February 2014 by NNY Business

Y usIness // SMALL BUSINESS: WOODWORKER

TURNS SKILL INTO BUSINESS P. 20

FEBRUARY 2014 Volume 4 No. 3

nnybizmag.com

PLUS

Business Scene, Biz Tech, Small Business, NNY Snapshot .

// THE INTERVIEW

Entrepreneur & radio jock Johnny Spezzano p. 26

The

wealth of winter $2.95

/nnybusiness @NNYBusinessMag

hit OR miss in snow business // Northern New Yorkâ&#x20AC;&#x2122;s Premier Business Monthly //

NNY Business | February 2014

February 2014 | NNY Business

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NNY Business | February 2014

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>> Inside FEBRUARY 2014

14 22

20 |

COVER |

SMALL BIZ STARTUP |

14 SNOW BUSINESS When Mother Nature delivers many NNY businesses see a healthy bottom line boost. |

13 THE RIGHT MEDICINE Pharmacist opens Bonaparte Pharmacy after years spent working for a regional chain. |

ENTREPRENEURS |

19 HAVE FENCE, WILL TRAVEL Four Lewis County partners have patented an outfield fence that’s gaining traction.

SMALL BUSINESS |

REAL ESTATE |

TOP TRANSACTIONS |

20 A SKILL BECOMES A BIZ A passion for woodworking is becoming a business for one Jefferson County resident. 24 THE YEAR THAT WAS Home sales, prices see drop in Jefferson, Lewis counties despite statewide growth. |

25 JEFFERSON, SL COUNTY The top 10 property sales in Jefferson & St. Lawrence totalled $12.1m in December.

BUSINESS SCENE |

38 NETWORKING, NNY STYLE From Lewis to Jefferson counties, businessmen and women connect for success. BUSINESS HISTORY |

44 FONDLY FRINK Clayton was once home to the largest manufacturer of snow plows in North America. WHAT’S HAPPENING HERE? |

46 EXPANDING TREATMENT A $4.2m project is under way to expand Claxton-Hepburn Medical Center’s cancer center.

February 2014 | NNY Business

Contributors

BusIness www.nnybizmag.com

Chairman of the Board John B. Johnson Jr.

Michelle L. Capone is regional development director for DANC. She details a low-interest loan program aimed at growing local agribusiness in the region. (p. 30)

Paul Luck is a Certified Exit Consultant with The Succession Partners in Clayton. He writes about the importance of buy-sell agreements for small businesses. (p. 31)

Lynn Pietroski is president and CEO of the Greater WatertownNorth Country Chamber of Commerce. She writes steps to consider when starting a new business. (p. 32)

Publishers

John B. Johnson Harold B. Johnson II

VP News Operations Timothy J. Farkas

Magazine Editor

Kenneth J. Eysaman

Staff Writer / Editorial Assistant Grace E. Johnston

Photography

Jay Matteson is the agricultural coordinator for the Jefferson County Agricultural Development Corp. He writes about agricultural efforts to grow food production capacity. (p. 33)

Jill Van Hoesen is chief information officer for Johnson Newspapers and a 25-year IT veteran. She explains Google’s recent redesign of its popular Gmail email service. (p. 34)

Michelle Collins is an advisor for the state Small Business Development Center at SUNY Canton. She writes about the value and imporatnce of networking. (p. 35)

Norm Johnston, Justin Sorensen, Jason Hunter, Melanie Kimbler-Lago, Amanda Morrison

Director of Advertising Michael Hanson

Magazine Advertising Manager Matthew Costantino

Advertising Graphics

Brian Mitchell, Rick Gaskin, Heather O’Driscoll, Scott Smith, Todd Soules

Circulation Director Mary Sawyer

Lance M. Evans is executive officer for the Jefferson-Lewis and St. Lawrence County Board of Realtors. He writes about leadership changes and milestones at the local board of Realtors. (p. 24)

Grace Johnston is staff writer and editorial assistant for NNY Magazines. In this month’s cover story, she examines the impact that a healthy winter has on many north country businesses. (p. 14)

Christina Scanlon is a Johnson Newspapers staff writer. She writes about a group of Lewis County entrepreneurs who are finding success with a soft, removeable athletic outfield fence they patented. (p. 19)

MARKETPLACE Americu Credit Union ................ 2 Bach & Company ...................... 8 Bay Brokerage ......................... 12 Bayview Shores Realty ............ 23 Body Pros .................................... 4 Cantwell and Associates ........ 25 Cheney Tire .............................. 39 Clayton Dental Office ............. 38 Coleman’s Corner ................... 42 Cortel Improvement, LLC ........ 45 Creg Systems Corp. ................... 8 D&D Power Sports .................... 37 D. Laux Properties .................... 23 Development Authority of the North Country ................ 32 Fairground’s Inn ....................... 42 First Class Auto Glass ................ 8 Foy Agency Inc. ...................... 25 Fred’s Quick Lube ...................... 4 Fuccillo Auto Group................... 4 Fuller Insurance........................ 25 Gerald A. Nortz ........................ 29

GWNC Chamber of Commerce Business of the Year .................. 3 High Tower Advisors ................ 28 Hometown Pizzeria .................. 42 Howard Orthotics ..................... 30 Immaculate Heart Central Schools .......................... 7 Innovative Physical Therapy Solutions .................... 31 Jefferson County IDA .............. 45 Ken Piarulli/Ameriprise ............ 24 Krafft Cleaning ......................... 41 Lofink Ford/Mercury ................ 36 LTI Trucking ............................... 18 M R Gaebel Inc. ......................... 9 Moe’s Southwest Grill .............. 42 NNY Community Foundation ......................... 21, 48 North Country Custom Embroidery ............................... 29 Nortz & Virkler ............................ 4 Papa Tinos Pizzeria .................. 42

NNY Business | February 2014

Pete Parker/AIB Inc. ................ 25 Phinney’s Automotive ............... 4 Ridge View Inn Restaurant ...... 42 RKR Auto Sales ........................... 4 Robert’s Automotive .................. 4 SeaComm Federal Credit Union ............................. 35 Shred Con ................................ 34 Shuler’s Restaurant .................. 42 Slack Chemical ....................... 33 Snow Ridge Ski Resort ............... 7 Thousand Islands Realty ......... 23 Vantassel’s Snow & Ice ........... 16 Waite Motor Sports .................. 17 Waite Toyota ............................ 40 Watertown LDC ........................ 22 Watertown Savings Bank ........ 43 Watertown Spring and Alignment ........................... 4 Wells Communications ........... 46 Wills Wrecker .............................. 4 WWTI-50 .................................... 47

NNY Business (ISSN 2159-6115), is published monthly by Northern New York Newspaper Corp., 260 Washington St., Watertown, NY 13601, a Johnson Newspaper Corp. company. © 2010-2014. All material submitted to NNY Business becomes property of Northern New York Newspaper Corp., publishers of the Watertown Daily Times, and will not be returned.

Subscription Rates 12 issues are $15 a year and 24 issues are $25 for two years. Call 315-782-1000 to subscribe. Submissions Send all editorial correspondence to keysaman@wdt.net Advertising For advertising rates and information in Jefferson and Lewis counties, email mcostantino@wdt.net, or call 315-661-2305 In St. Lawrence County, e-mail knelson@ogd.com, or call 315-769-2451 Printed with pride in U.S.A. at Vanguard Printing LLC, Ithaca, N.Y., a Forest Stewardship Certified facility. Please recycle this magazine.

INTERVIEW | 26 BUILDING A BRAND Longtime north country radio jock Johnny Spezzano is on a mission to bring a new taste — and brand all its own — to Northern New York with his YoJohnny! franchise. |

COLUMNS

DEPARTMENTS

8 9 10 12 13

ON THE COVER

30 ECONOMICALLY SPEAKING 31 STRATEGIC PLANNING 32 COMMERCE CORNER |

33 AGRI-BUSINESS 34 BUSINESS TECH BYTES 35 SMALL BUSINESS SUCCESS

EDITOR’S NOTE PEOPLE ON THE MOVE ECONOMIC SNAPSHOT BUSINESS BRIEFCASE SMALL BUSINESS STARTUP

24 36 38 44 46

REAL ESTATE ROUNDUP CALENDAR BUSINESS SCENE BUSINESS HISTORY WHAT’S HAPPENING HERE?

Johnson Newspapers Photographer Justin Sorensen captured Body Pros owner Junior J. Stefanini on the lot of his Watertown collision center surrounded by cars awaiting repair. This winter has been especially busy for many north country seasonal businesses. From auto body repair to winter tourism and snow removal businesses, flip to page 14 to read this month’s cover story about snow business.

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February 2014 | NNY Business

E D ITOR ’ S NOT E

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s winter continues to dump snow by the foot this year, Northern New York residents are reminded almost daily of what it means to weather the storm of life in the great north country. But while most people would likely say they’d sooner trade January for June or February for August, a healthy winter can mean a good turn of business for hundreds of small businesses and thousands of Ken Eysaman employees who rely on all that Mother Nature has to give during the year’s coldest months. From auto body repair shops to towing companies to the more traditional businesses that rely on snow to help meet their bottom line, a north country winter can make or break many a small business. In this month’s cover story, magazine staffer Grace Johnston visits a handful of business operators who are seeing mixed results — mostly positive — from what many are calling a record-setting season. Turn to page 14 to read more about snow business in the north country. n

down with longtime FM radio jock Johnny Spezzano whose Yo-Johnny! brand of frozen yogurt and, most recently fresh-chopped salads, is making a mark on the region. With three stores open on opposite ends of Watertown, Mr. Spezzano has eyes on expanding his brand to other parts of Northern New York. Turn to page 26 to learn more about him and his latest venture. n

BUSINESS SCENE — This month’s Scene section, which begins on page 38, features 42 faces from nearly three-dozen businesses across the north country. On Dec. 12, we joined the Clayton Chamber of Commerce at the Thousand Island Museum for Business With A Twist. A few weeks later, on Jan. 15, we headed back to Clayton for the chamber’s January Business With A Twist at Clayton Food Co-Op. That same night, our Lewis County staff joined the Lewis County Chamber of Commerce for Business After Hours at Myers Towpath Restaurant & Lodge in Turin. Finally, also on Jan. 15, we joined nearly 200 people at Guilfoyle Ambulance Service Bruce M. Wright Memorial Conference Center off Faichney Drive for the Greater WatertownNorth Country Chamber of Commerce Business After Hours.

Yours in business,

20 questions — This month we sit

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NNY Business | February 2014

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P E O P L E ON T H E M O V E Leasing manager hired

Allison Carlos has joined Washington Street Properties, Watertown, as its leasing manager. Ms. Carlos is will maintain and initiate commercial leases for the company and develop its brand and marketing strategies. Ms. Carlos is also a licensed real estate sales associate Carlos for Elliott Realty, Watertown, owns Dance Alley, Watertown, and Allie-Kat Photo Booth, Black River and is a dance instructor for In Motion School of Dance, Hounsfield.

Research director earns ‘40 Under 40’ award

George Kuhn, director of research services for Baldwinsville-based research and marketing strategies firm, RMS, was recently named to the Central New York Business Journal’s “40 Under 40” class of 2013. Nominated by the community and selected by local business leaders, the Kuhn award recognizes business leaders who have achieved professional success and made significant civic contributions to Central New York. Mr. Kuhn, a Cape Vincent native, has been helped several local and regional businesses, schools and nonprofit organizations improve their business processes through market research.

RMS provides an array of research methodologies that result in actionable analytics and recommendations for clients to enhance decision making.

Named facilities director

Christopher Dillon has joined Washington Street Properties, Watertown, as its facilities director. Mr. Dillon oversees the company’s real estate portfolio by managing its maintenance team, serving as the liaison with contractors for current and future buildout projects, and Dillon budgeting facility operations. Mr. Dillon brings a combination of entrepreneurial experience, community involvement and trade knowledge to the company. Mr. Dillon also owns Beyond Nerd, Watertown, and Red Car Contracting, Watertown.

Hancock Estabrook names new partner

Robert C. Whitaker Jr. has been named a partner in the law firm of Hancock Estabrook, LLP, Syracuse, labor and employment practice. Mr. Whitaker is also a member of the firm’s construction and intellectual property practices, and a member of its hiring committee. He focuses on Whitaker representing private employers in all aspects of state and federal

Got business milestones? n Share your business milestones with NNY Business. Email news releases and photos (.jpg/300 dpi) to editor Ken Eysaman at keysaman@wdt.net. The deadline for submissions is the 10th of the month for the following month’s issue. Photos that don’t appear in print may be posted on our Facebook page. labor and employment law. Previously, Mr. Whitaker served as a defense attorney for the Navy JAG Corps. Mr. Whitaker is involved with many community organizations, such as being an advisory board member for Clear Path for Veterans and serves as a member of the Onondaga County Volunteer Lawyers Project. In 2013, he was selected as an Upstate New York Super Lawyer — Rising Star and also received the Syracuse Vet Center Award.

Berry joins Bowers & Company CPAs

Bowers & Company CPAs, PLLC, has hired Stephanie L. Berry as a new full-time staff accountant at its Clinton Street office, Watertown. Bowers & Company provides traditional tax and audit services, business valuation, forensic accounting and financial planning services. It has two offices in Watertown and one in Syracuse.

New manager at Golden Arrow Lakeside Resort

Sara Tagliarino has been named manager at Generations Restaurant, Lake Placid. Ms. Tagliarino brings a background in marketing, social media and the restaurant industry her new post. She will oversee daily operations of Generations, as well as the promotion of new specials and events in coordination with the marketing team.

Cheryl Howard

PT, Cert. MDT, Owner

February 2014 | NNY Business

ECON SNAPSHOT

NNY

10 |

Economic indicators Average per-gallon milk price paid to N.Y. dairy farmers Dec. 2013 $2.05 Nov. 2013 $1.94 Dec. 2012 $2.04

0.49%

(Percent gains and losses are over 12 months)

Vehicles crossing the Thousand Islands, OgdensburgPrescott and Seaway International (Massena) bridges

Source: NYS Department of Agriculture

363,131 in Dec. 2013 402,876 in Nov. 2013 375,380 in Dec. 2012

Average NNY price for gallon of regular unleaded gas

Source: T.I. Bridge Authority, Ogdensburg Bridge & Port Authority, Seaway International Bridge Corp.

Dec. 2013 $3.65 Nov. 2013 $3.55 Dec. 2012 $3.72

U.S.-Canadian dollar exchange rate (Canadian dollars per U.S. dollar)

1.9%

Average NNY price for gallon of home heating oil Dec. 2013 $3.89 Nov. 2013 $3.78 Dec. 2012 $3.96

1.8%

3.3%

$1.06 on Dec. 31, 2013 $1.06 on Nov. 29, 2013 $0.99 on Dec. 31, 2012

7.0%

Source: Federal Reserve Bank of N.Y.

Average NNY price for gallon of residential propane

Nonagriculture jobs in the Jefferson-Lewis-St. Lawrence counties area, not including military positions

Dec. 2013 $3.50 Nov. 2013 $3.15 Dec. 2012 $2.97

90,300 in Dec. 2013 90,800 in Nov. 2013 90,200 in Dec. 2012

17.8%

0.11%

Source: NYS Energy Research and Development Authority

Source: NYS Department of Labor

Jefferson-Lewis Board of Realtors single-family home sales

St. Lawrence Board of Realtors single-family home sales

84, median price $129,950 in Dec. 2013 94, median price $126,250 in Nov. 2013 97, median price $140,000 in Dec. 2012

49, median price $80,500 in Dec. 2013 46, median price $74,500 in Nov. 2013 47, median price $77,000 in Dec. 2012

13.4% Sales

7.2% Price

Source: Jefferson-Lewis Board of Realtors Inc.

4.3%

4.5%

Sales

Price

Source: St. Lawrence Board of Realtors Inc.

NNY unemployment rates Jefferson County

Dec. ’13

9.1%

Nov. ’13

Dec. ’12

9.0% 10.8%

St. Lawrence County Dec. ’13

8.1%

Nov. ’13

8.3%

Dec. ’12

11.1%

Lewis County Dec. ’13

8.1% 8.3%

Nov. ’13 Dec. ’12

10.1%

Source: New York State Department of Labor (Not seasonally adjusted. Latest available data reported.) Note: Due to updates in some “Econ. Snapshot” categories, numbers may differ from previously published prior month and year figures.

NNY Business | February 2014

NNY

Economic indicators New automobiles (cars and trucks) registered in Jefferson County Cars 357 in Dec. 2013 345 in Nov. 2013 316 in Dec. 2012

13.0%

Trucks 76 in Dec. 2013 84 in Nov. 2013 87 in Dec. 2012

12.6%

Source: Jefferson County Clerk’s Office

Passengers at Watertown International Airport

Open welfare cases in Jefferson, Lewis and St. Lawrence counties

2,983 inbound and outbound in Dec. 2013 3,117 inbound and outbound in Nov. 2013 3,017 inbound and outbound in Dec. 2012

2,053 in Dec. 2013 2,035 in Nov. 2013 1,973 in Dec. 2012

4.0%

1.1% Source: Jefferson County Board of Legislators

DBA (doing business under an assumed name) certificates filed at the Jefferson County Clerk’s office Jan. 2 to 27, 2014. For a complete list of DBAs filed in past months, visit us at www.nnybizmag.com.

Jan. 27: Fox Look Out Vineyard, 33534 Irish Ave., Philadelphia, Kevin J. Culbertson, 33534 Irish Ave., Philadelphia.

Adams Center, Bonnie Damon, 18776 Owens Road, Adams Center.

Jan. 24: Wayne’s Mobile DJ Service, 627 Olive St., Watertown, Wayne Delong Jr., 627 Olive St., Watertown.

Jan. 14: Maid to Shine, 114 Washington Place, Sackets Harbor, Shannon B. Dumas, 114 Washington Place, Sackets Harbor.

Snapshot’s Photo Booth, 41277 County Route 15, Plessis, Heather L. Gill, 41277 County Route 15, Plessis.

River Renovations, 16175 County Route 3, Clayton, Sam M. Scudera, 16175 County Route 3, Clayton.

Jan. 23: MS Studio, 1641 Columbia St., Watertown, Muranda Johnson, 1641 Columbia St., Watertown.

Carson Commercial & Homes, 32152 Hell St., Cape Vincent, Karen M. Carson, 32152 Hell St., PO Box 874, Cape Vincent.

Ray Ray’s Lawn Care and Maintance, 22767 State Route 180, Dexter, Raymond J. Bombardier, 22767 State Route 180, PO Box 692, Dexter. Yardhelpers, 521 Franklin St., Watertown, Myron C. Kehoe III, 521 Franklin St., Watertown. North Country YDIY, 24208 State Route 26, Redwood, Scott R. Smith, 24208 State Route 26, Redwood.

Jan. 13: Powers Pawn Empire, 173 E. Main, Apt. 5, Watertown, Allen Powers, 173 E. Main, Apt. 5, Watertown Jan. 10: Enchanted Bride, 17120 County Route 53, Dexter, Clarissa Collins, 17120 County Route 53, PO Box 24, Dexter.

JLC Contracting, 30728 Burnup Road, Black River, Joseph Clark, 30728 Burnup Road, Black River.

Cam’s Property Services, 28012 County Route 6, Cape Vincent, Cameron Hasner, 28012 County Route 6, PO Box 23, Cape Vincent.

Jan. 22: Smoke on the Water BBQ, 516 Riverside Drive, Apt. 1, Clayton, Dustin Orvis, 516 Riverside Drive, Apt. 1, Clayton.

My Sister’s Keeper, 1620 Huntington St., Apt. 2, Watertown, Lisa M. Logan-Gadson, 1620 Huntington St., Apt. 2, Watertown.

Englands Kash Kreations, 23551 US Rte. 11, Calcium, Heidi L. England, 23551 US Rte. 11, Calcium.

Smilez All Around, 21724 Farney Pit Road, Carthage, Chloe T. Reddick-Jackson, 21724 Farney Pit Road, Carthage.

Jan. 17: Wilson’s Family Consignment, 10 Madison St., Carthage, Yamilette Wilson, 10 Madison St., Carthage. Valley Performance, 162 S. Main St., Black River, David B. Farrell, 162 S. Main St., PO Box 554, Black River. Jan. 16: Logmills Firewood, 37956 Middle Road, La Fargeville, Margaret J. Gill, 37956 Middle Road, La Fargeville. South Jefferson Appraisal Service, 18776 Owens Road,

Jan. 6: A M Fasteners, 21111 Miser Road, Black River, Allan W. Mace, 21111 Miser Road, Black River. Jan. 2: Nelson Farm, 35869 County Route 22, Theresa, April L. Nelson, 35869 County Route 22, Theresa. Freefall Lanyards, 430 S. Pleasant St., Watertown, Cory Burgess, 430 S. Pleasant St., Watertown, Julie Burgess, 430 S. Pleasant St., Watertown.

transactions

DBAs

Source: Social Service Depts. of Jefferson, Lewis and St. Lawrence counties

February 2014 | NNY Business

| 11

B u s i n e s s b RI E F C A S E Samaritan, River hospitals net $7.4m

Two Jefferson County hospitals will receive millions of dollars in new state funding announced last month. The $6 million for Samaritan Medical Center and $1,444,695 for River Hospital, Alexandria Bay, were allocated by Gov. Andrew M. Cuomo as a part of the Vital Access/Safety Net Provider Program, which supports health care services in areas with aging and lower-income populations. Samaritan spokeswoman

Krista A. Kittle said the funding will help the hospital cover the costs of its receivership of Mercy Care Center of Northern New York, and “ensure that we are able to continue the transformation of long-term care in our community.” A total of $56 million was allocated in January, including $10.5 million for Nassau University Medical Center on Long Island and $14.8 million for the Northeast Center for Special Care, a residential facility in the Hudson Valley. Other awards were $11.3 million for Richmond University Medical Center on Staten Island

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Got business news?

n Share your business news with NNY Business. Email news releases and photos (.jpg/300 dpi) to nnybusiness@wdt.net. The deadline for submissions is the 15th of the month for the following month’s issue. Photos that don’t appear in print may be posted on our Facebook page.

and $3.4 million for Woodhull Medical & Mental Health Center in Brooklyn. Gov. Cuomo and New York City Mayor Bill de Blasio have said that New York needs federal approval of its proposed Medicaid waiver, which would provide $2 billion annually for five years to help struggling hospitals cut capacity and admissions amid a shift toward more primary medical care.

Proforma Products acquires J&S Promotions

Tom Peck, owner of Proforma Products, Watertown, has acquired J&S Promotions, 145 East Bridge St., Oswego, from Jerry & Debbie Primeau. The purchase, effective Jan. 30, provides J&S customers with a full range of services offered by Proforma, an international marketer of promotional items and printed business products with 650 locations throughout North America. Proforma Products offers customers a chance to build purchasing clout and combine resources by providing better service and pricing. Mr. Peck has owned Proforma Products since 1986 with offices at 215 Washington St. in historic downtown Watertown. Call (315) 788-1911 or e-mail tom.peck@ proforma.com to learn more.

Snowstorms, I-81 closure cut T.I. Bridge revenue

textile - food products - electronics - gover nment automotive forestry - toy manufacturers - chemical & petro chemical consumer products machinery - telecommunications corporate headquarters

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NNY Business | February 2014

In addition to frustrating motorists, the recent snowstorms and the temporary closure of Interstate 81 cost the Thousand Islands Bridge tens of thousands of dollars to start the new year. According to numbers for the first 20 days of January, the bridge saw 70,316 passenger and commercial vehicles, a 7.7 percent decline from the 76,212 vehicles that traveled through during the same period last year. During that time, the bridge generated $319,088.75 in revenue — down $30,537.25, or 8.7 percent, from the $349,626 generated during the same 20-day period last year.

S M A L L b i z STA RTU P BUSINESS

Bonaparte Pharmacy THE INITIAL IDEA

After years of working for a chain pharmacy, Justin M. Besaw was looking for an opportunity to start his own business. Meanwhile, the Harrisville community had been without a pharmacy since the closure of Dooley’s Drug Store in fall 2006. Both voids were filled in late December with the opening of Bonaparte Pharmacy at 8210 Main St. “I love what I do,” Mr. Besaw said. “I love being a pharmacist.” The Gouverneur resident said opening his own store offers him more face-to-face time with customers and flexibility in the way he serves them. “It’s the opportunity to practice pharmacy the way I think it should be done,” he said. The venture also offers more regular hours and more time to spend with his wife, Charity, an occupational therapist at the Edwards-Knox Central School District, and their two children, ages 5 and 9, Mr. Besaw said. While initially considering other area communities for his new business, he settled on Harrisville because of the available space and the community’s previous support of an independent drug store. “I know it can work,” the Bonaparte Pharmacy owner said.

TARGET CLIENTELE Mr. Besaw, a 1997 graduate of Gouverneur Central School and 2002 graduate of Albany College of Pharmacy, had worked at the same Kinney Drug store in Gouverneur since 1995, when he was a sophomore in high school. The long-time pharmacist said he expects some of his past customers to support his new venture. He also hopes to attract residents of Harrisville and the surrounding area, including the influx of summer residents at Lake Bonaparte, by providing a more convenient alternative to filling prescriptions in Gouverneur, Carthage or other large communities in the area. The business is open weekdays from 9 a.m. to 5 p.m. However, Mr. Besaw said he is more than willing to stay late if customers are unable to come in during regular business hours; all they need to do is call the store

STEVE VIRKLER | NNY BUSINESS

“I love what I do. It’s the opportunity to practice pharmacy the way I think it should be done.” — Justin M. Besaw, owner, Bonaparte Pharmacy in advance at 537-5032. Home delivery is also available throughout the greater Harrisville area, located.

THE JOURNEY

“This is something I always wanted to do,” Mr. Besaw said. However, he did not feel in a position to start his own pharmacy until his children got a little older and he was able to save up more money to help cover the substantial start-up costs. Meanwhile, village Mayor Gary L. Williams and his wife, Nancy L., had purchased and refurbished the former Dooley’s building, which also houses Northern Regional Center for Independent Living’s Harrisville satellite office, with hopes of it eventually housing another drug store. While deciding to move forward with the venture nearly a year ago, Mr. Besaw said it took a lot of time — including many hours of interior construction and set-up over the past several months — to bring the project to fruition. “It was a long, tedious process,” he said.

IN FIVE YEARS Mr. Besaw hopes to bring his customers all the products and services they would expect from a chain store while maintaining the flexibility and

personal touch of an independent. That includes flu vaccinations, which he is tentatively planning to offer to walk-in customers at special Saturday clinics, starting this fall. Any vaccinations will also be available by appointment. The new business owner said he is able to offer competitive pricing, accepts all insurances and electronic prescriptions and can offer the same services, like automatic refill, as larger drugs stores. “I have the technology that all the box stores have,” he said. However, the challenge will be to convince local residents of that and entice them to transfer their prescriptions, debunking any notion that it is a difficult process, Mr. Besaw said. “Refill transfers are easy,” he said. “We do it all right here.” Mr. Besaw also plans to continue spreading the message that his store is a full-service pharmacy, with canes, walkers, vitamin supplements, health and beauty aides and a variety of other pharmaceutical items. “There is a full store here,” he said. “This isn’t just prescriptions.” — Steve Virkler

WHERE Harrisville | FOUNDED 2013 | WEB www.bonapartepharmacy.com

February 2014 | NNY Business

| 13

COVER STORY

When white turns to

greenbacks northern new york’s winter economy depends on big dumps of fluffy powder, fueling a multimillion-dollar boom

BY GRACE E. JOHNSTON | NNY BUSINESS

mash. Bang. Thwack.” Her head jerks forward. She looks up in a daze, heart racing. With pupils fully dilated, she stares at a mangled, rumpled hood. A rear-end collision. It was a normal day and a normal commute for Natasha L. Diaz-Pelfrey. Only this day, as she neared the Iraqi Freedom gate on Fort Drum, her car didn’t stop. She knew it was coming. The brakes just weren’t stopping. Her panic level rose. “I just kept thinking — please

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NNY Business | February 2014

pull forward, please pull forward — crunch,” Mrs. Diaz-Pelfrey said. Thankfully, a massive Ford 550 Pro Towing tow truck with blue flames shooting round the doors drove through the gate mere moments after the accident — a welcome sight. “My car’s probably totaled,” she said. Unfortunately — or perhaps fortunately — the accident damage will likely outweigh the value of Mrs. Diaz-Pelfrey’s Sebring, according to estimates by Body Pros, USAA Insurance, and Kelly Blue Book. But Mrs. Diaz-Pelfrey seemed pleased with the swap from her 2007 Chrysler Sebring with more than 80,000 miles on its ticker, to a pristine

2013 plum-colored Ford Fusion rental. “It’s alright,” she said. I like this car. It has heated seats.” It’s a bitterly cold afternoon as Mrs. Diaz-Pelfrey goes through her Chrysler Sebring to pick up leftbehind effects. And without gloves, she moves very quickly. Wrecked vehicles line the lot of Body Pros collision center. Some with a Humpty Dumpty future, and others slated for the scrap yard. Mrs. Diaz-Pelfrey’s vehicle is likely a candidate for the later. “Accidents happen,” she said. “But my husband told me, ‘Honey, this isn’t a good way to meet people.’”

COVER STORY

JUSTIN SORENSEN | NNY BUSINESS

Natasha L. Diaz-Pelfrey, Fort Drum, is one of many north country residents to experience the perils of winter driving this season. “Accidents happen,” she said.” So far this winter has delivered several feet of reasons to be happy for those who make their money around snow business in Northern New York.

he snow and the cold, so dreaded by those who prefer balmier climes, can be a boon for north country businesses, though it presents its challenges as well. Winter weather fuels the seasonal economy. But the making of a “good” winter season for one may mean operating at a loss for another. Snowmobiling, skiing and snowshoeing are some of the first things that come to mind when north country residents think of winter business and winter recreation — but what about the less seen, less flashy side of winter business? What about the business of towing, collision and snow removal? For when vehicles become casualties of winter

weather, there’s money to be made. Snowmobiling and the Tug Hill are synonymous. It’s the lifeblood of the region from the day the trails open in mid-December to late March. There are 10,300 miles of snowmobile trails across New York — more than Massachusetts and Michigan combined, and more than Vermont, New Hampshire and Pennsylvania, respectively, according to Gov. Andrew M. Cuomo’s office. Approximately 90,000 New York households snowmobile. Since 2011, the state has spent more than $11 million for trail maintenance and development, an investment that has helped generate $868 million in economic impact, according to the governor’s office. According to the state Office of Parks,

Recreation & Historic Preservation, attendance for state parks in the Thousand Islands Region, which includes Lewis, St. Lawrence, Jefferson, Franklin and Clinton counties, from Dec. 1, 2013, to Jan. 20, 2014, was more than 72,000. In those two months alone, Whetstone Gulf State Park, Lowville, attracted more than 9,000 visitors due to its excellent cross country skiing and snowmobiling trails. A close second, attracting nearly 9,000 visitors was Whele State Park, Henderson, for its ideal snowshoeing. Wellesley Island State Park reeled in more than 2,000 anglers for ice fishing. n

“Nothing beats winter,” said Dennis Beausejour, a transplant from MontreFebruary 2014 | NNY Business

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COVER STORY al, Quebec, who owns Tug Hill Hideaway. Located on the southern tip of the Tug Hill Plateau, his restaurant caters to the winter snowmobile crowd, and “business has been good,” he said. “I’d say we’re 30 percent ahead of where we were at the same time last year,” he said. Whenever at least six inches of snow covers the trails, snowmobilers are on them. And the general consensus among riders has been that trails are fair to excellent this year, Mr. Beausejour said. The season started strong with five feet of snow falling before Christmas. But rain, thaws, cold spells then snow again was a jolt to business. But a base of at least six inches has kept snowmobilers out in force, and business is steady. In his third year of operating The Hideaway, Mr. Beausejour spoke soberly but with optimism about the future of the business and the region. “We’re gradually beating the odds of making it or not,” he said. Late 2013 and January 2014 have been fraught with winter extremes. According to the National Weather Service, an estimated inch of ice coated Jefferson, Lewis and St. Lawrence counties late in December, the most substantial ice accumulation the area has seen in 15 years. During the 24-hour period that brought a heavy lake-effect snowstorm on Jan. 7 and 8, more than three feet of snow fell in Watertown alone, with other areas registering as much as four and five feet, harkening back to the blizzard of 1977. Temperatures dipped to below minus 30 degrees Fahrenheit in late January. According to Mark W. Wysocki, state

NORM JOHNSTON | NNY BUSINESS

Derrigo’s Towing and Service Center’s crew of tow truck operators, fromleft, Domenic A. Derrigo III, Ed Lafontain, Kevin Gates, Keith Waterman Jr, Jeremy Moore and owner Domenic A. Derrigo II.

climatologist and meteorology lecturer at Cornell University, Ithaca, the unpredictable weather is thanks to the neutrality of the El Nino/Nina Southern Oscillation factor, a temperature balance in the Pacific Ocean between Peru and Australia. The ocean temperatures are causing widespread variations in weather around the United States and Canada and even parts of Europe. Mr. Wysocki said this weather pattern hasn’t been seen in 10 years. “This year there is no controlling factor,” he said. “Over a short period of time we’ve seen record highs and lows set. All bets are off and we can expect any kind of weather from wet to dry to cold and then

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warm again,” Mr. Wysocki said. And boy, have we seen it. “At the height of the snowstorm, not one tow truck was idle,” Jefferson County Undersheriff Paul W. Trudeau said. Emergency tow calls tripled and quadrupled due to snow and ice storms earlier this month, according to Samantha Derrigo, secretary of Derrigo’s Towing and Service Center. “On a typical winter day, we might respond to 10 to 15 calls,” she explained. “But during the snow storm, we were responding to 40 to 150 calls a day. Super cold temperatures also tripled our numbers in battery calls,” she said. Derrigo’s provides 24/7 emergency

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COVER STORY roadside assistance service, and maintains a fleet of three trucks for light and medium towing, and two “heavy wreckers” for heavy duty towing and winching. Towing can be dangerous and physically exhausting, not to mention wearing on the nerves. “It’s pretty bad when you have to drive on the rumble strip of 81 to know where you are,” Dominic A. Derrigo II, president of Derrigo’s Towing and Service Center said. “Our guys are glad when a storm’s over and they can get back to simple tows,” Mrs. Derrigo said. Derrigo’s Towing and Service Center has grown considerably during its 20 years of operation. Some 50 to 70 percent of its increase has come from towing alone. “We started to grow incredibly once we focused on towing and began contracting with AAA and the county,” Mrs. Derrigo said. But increased call numbers don’t necessarily translate into increased profit. Expenses are also higher. “We spent over $1,500 in extra fuel and oil and oil filters for our trucks because of all the additional storm calls,” Mr. Derrigo said. “It’s a little more profitable for us, but added expense definitely takes a chunk.” Mrs. Derrigo estimated about a 5 percent overall increase from additional storm business. “Towing took right off for us. We’ve grown considerably in the past seven years, and we feel very blessed to have the increase we do to put back into the business,” Mrs. Derrigo said. For tow truck drivers, ski goggles are

accessories for the road, not the slopes. “This is our winter sport,” Body Pros appraiser Timothy P. Karg said. Body Pros owner Junior J. Stefanini agreed. “It can get so cold some days — I’ll be out on a tow, and my facial hair will feel like icicles,” Mr. Stefanini said. Snow business is big business for Body Pros Collision Experts. But when the snow hits the fan, so does the workload. “During the four days of the storm, I was lucky to get six hours of sleep,” Mr. Stefanini, said. Sleep is a rarity for those who spend countless hours ensuring the safety of drivers during a storm — winching out, digging out, and plain taking distressed calls from stranded motorists. “911 dispatchers — they work the hardest,” Mr. Stefanini said. Between Jan. 7 and 8, dispatchers fielded nearly 350 calls, with more than 200 relating specifically to distressed motorists and vehicles, according to a report from the Jefferson County Office of Fire & Emergency Management. “When 81 closed, we had easily over 50 calls within a seven hour time span,” Mr. Stefanini said. “We towed in, and have over 75 wrecks on the ground waiting to go into our shop for repairs. And we have more coming in.” The multi-faceted business model of Body Pros corners all aspects of the collision market, providing service in collision, towing and repair. From January’s storms alone, Mr. Stefanini’s shop will work on collision repairs for more than 100 vehicles. “The towing side of our business feeds

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into our body shop,” he said. “We’re making a lot of jobs here.” He runs a crew of 29 full-time employees between collision and towing, and has a fleet of three, light- and medium-duty tow trucks. When asked if storms profit his business Mr. Stefanini said, “Oh absolutely. 100 percent they do.” “The worse the conditions, the more money you make,” he said. “But you can’t cherry pick the work, either. Even when it’s bad out, you never say no.” Justin S. Chesbrough, owner of A Cut Above Landscaping and Snow removal, Watertown, likens the business of snow removal to the risk inherent in gambling. “If a customer is contractual, they’re 100 percent winning this year,” he said. “After January, we’ll be working for free on contract jobs.” For such contracts, Mr. Chesbrough’s company agrees to plow and clear customer properties for between zero and three inches of snowfall, regardless of how many plow runs it takes to do so. And with snowfall already at record levels this year, his trucks have needed to double back on their runs to keep abreast of snow clearing. So if it’s one or three runs in a day, the customer pays the contractual rate, even though the cost of doing business increases with each additional run. This has meant significant loses for Mr. Chesbrough’s business, as about half his customers are contractual and half on a “per-time” basis. His customer base comprises of between 50 and 60 residential properties and 30 and 35 businesses. “When it’s a winter like this, you

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COVER STORY

Justin S. Chesbrough with one of his plow trucks for A Cut Above Landscaping and Snow Removal, Watertown.

AMANDA MORRISON | NNY BUSINESS

just have to eat the loss,” he said. Gains made in the summer landscaping months must be budgeted and saved, in expectation of uncertain snowfall amounts. “It’s a gamble,” he said. Since starting A Cut Above in 2008, Mr. Chesbrough said this is the snowiest winter he’s seen since being in business. During the recent snowstorm, Mr. Chesbrough worked 36 hours straight to keep client properties clear. “During the winter months, you just never know when you’re going to work,” he said. “You’re married to it.”

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NNY Business | February 2014

Snow removal runs typically begin around 2 a.m. and finish around 7 or 8 a.m., with an emphasis on ‘typically.’ “If it snows the night before, you don’t go to bed,” he said. For the winter season, Mr. Chesbrough employs seven, and runs five trucks, two tractors, and one bobcat for snow removal. His services include scraping, plowing, salting, chipping — every winter clearing duty we’ve dealt with already this season. “We will lose on contract jobs this year — but last year we made money on

them,” he said. “It’s the law of averages.” Winter is the season of dormancy – the season when nothing grows. Yet, it still provides the opportunity for good business. Whether that provision is a boon or a bane depends entirely on a company’s business model and level of flexibility and adaptability. North country winters provide — both white flakes and greenbacks. n Grace E. Johnston is staff writer and editorial assistant for NNY Magazines. Contact her at gjohnston@wdt.net or 315-661-2381.

FEATURES

Inventors hit a home run

Lewis group’s outfield fence drawing interest By Christina Scanlon

NNY Business

t took four men in Lewis County four years to get a patent on their removable outfield fences, but with the patent now in hand and a recent endorsement by Little League International, the door is just opening up to unlimited possibilities for growth. “It’s a pretty exciting time,” said Mickey Lehman, co-owner of Grand Slam Safety. “We’ve had quotes as far away as Korea. In Florida, there’s a possible 30-some projects.”The company, which also includes President Robert K. Lyndaker, Robert M. Chamberlain and Dave Moore, custom makes the flexible fencing, which is designed to drastically reduce the incidents of injury for softball and baseball players. As the company pitches its fencing to potential customers nationally, a purchase offer on the Interface Sealing Solutions Inc. plant in Croghan, which closed at the end of 2012, recently was accepted, which will allow for growth of the business. The invention came after Mr. Lehman’s wife, Jan, asked Mr. Lyndaker about the possibility of installing fencing at Beaver River Central School, Beaver Falls. “It’s a great idea,” he told Mrs. Lehman, “but it’s got to be safe.” He began searching for fencing and, to his surprise, could find nothing matching the idea he had. Two months later, his search was still fruitless, so he began searching patent records to see if someone else already had thought of the design. Again, he found nothing. He said he found the lack of such a product interesting and began working on a model. He showed his finished 4-by-4-foot panel to his friends, who later would become his partners. They then approached officials at Beaver River Central School, offering to install the fencing for free. “It was a prototype,” Mr. Lyndaker said. “We’d get to see it work in action.” The patent was applied for in 2009, and in 2010, Beaver River baseball players were enjoying a newly installed fence. South Lewis Central installed one shortly

COURTESY GRAND SLAM SAFETY

Four Lewis County men have partnered to create removable outfield fences. With a patent now in hand, Demand for the product is growing with quotes as far away as Korea and potential projects in Florida.

after. Ogdensburg schools plan to install their own next year. Little League District Administrator Danny L. Salmon, an umpire, said the fences are invaluable. “I’ve seen some bad injuries. They wouldn’t have happened if the players were running into this rather than chainlink,” he said. As far as price is concerned, the Gram Slam Safety fence is comparable to chain link and takes only 1 1/2 hours to install. Another advantage the local company has over chain-link is that it’s removable in an hour. At Beaver River, the fence is put up for baseball season and removed during fall for soccer and football. It is recommended the fencing be stored during the winter in northern states. The company’s new facility will enable the company “to work faster, better, more streamlined and with more efficiency,” Mr. Chamberlain said. The space will allow for the storage and purchase of bulk materials. The first phase of an environmental study is complete and financing is being secured. A manager for the facility will be needed

immediately, while hiring of new staff will depend upon the orders received. Normally, fencing for school or municipal projects requires bids and capital project funding, so orders can take some time to be approved. Once ordered, a fence will take approximately six to eight weeks to complete. With potential projects in the works from all over the country, it’s hard to guess how fast the company could grow. The men will be at the Little League International Congress in Minnesota in April, with several stops planned following the event to pitch their idea to potential customers. “It’s really got so much potential,” Lewis County Economic Development Director Eric J. Virkler said. “What we have here is a home-grown idea. Today it could produce a small amount of jobs, but 20 years from now, who knows what we could be looking at,” he said. Visit www.grandslamsafety.com to learn more. n CHRISTINA SCANLON is a Johnson Newspapers staff writer based in Lewis County. Contact her at cscanlon@wdt.net or 315-376-6851. February 2014 | NNY Business

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F E ATUR E S

Joseph J. Eberle II in front of kitchen cabinets and a cutting board that he created and uses in his own kitchen. AMANDA MORRISON | NNY BUSINESS

Making all the right cuts

Young woodworker turns skill into business By GRACE E. JOHNSTON

NNY Business

ike many small business startups, what begins with passion and a love for what one does culminates in full-on business enterprise at some point. Such is the case for woodworker and full-time business hopeful Joseph J. Eberle II. Since 2008, Mr. Eberle has worked in Watertown as a full-time paramedic with Guilfoyle Ambulance. “There’s a lot of work in a short amount of time, but there’s also a lot of time off,” he said, referring to his two, 24-hour shift schedule. The pace is hectic and time-off gets gobbled-up quickly, so Mr. Eberle manages his balance of time with care. Family, friends and work — a myriad of other commitments and woodworking in the shop vie for his time. “I’m about as small an operation as you

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NNY Business | February 2014

can get,” he said. Nights and weekends he works away in his “shop” — otherwise known as an attached garage. “It works for now,” he said. Mr. Eberle moved back to the north country from Syracuse in 2008 after he graduated from Le Moyne College in 2007 with a bachelor’s degree in biology. His skills in woodworking are mainly self-taught. “It’s one thing to know how to do something, and another thing to actually do it,” he explained. His method and approach to woodworking are scientific — making steps “repeatable” — working with only one or two different variables until each step is perfected and replicable. “That’s probably my science background coming through,” he said. Making cutting boards wasn’t what Mr. Eberle set out to do, but with the nature of

construction work what it is, down time between larger projects affords opportunity to experiment and make of “a lot of firewood,” he said. Taking the “rat box” experience from Bruce Williams’ book “In Business for Yourself,” Eberle practically picked up the idea of keeping busy, even when you’re not busy. In the book, Williams writes about his uncle who owned a lumber yard: “Right behind the lumber yard stood a pharmaceutical company that used a lot of experimental animals. George [Williams’ uncle] had a contract with the company to provide them with animal boxes, which he made out of wood scraps and pieces, at a price no one could match. Every time an employee ran out of work, he was sent to the shed to make rat boxes. I have always had my own equivalent of the rat boxes in all my enterprises — a project that may not even make any money but at least

F E ATUR E S pays for my worker’s time.” For Mr. Eberle, “Cutting boards are my rat boxes.” “I use materials that might not have any other use,” he said. These “rat box” projects sell, and sell well. Thirty of Mr. Eberle’s handmade cutting boards were sold last Christmas. “They’ve become very popular and have kind of taken off,” he said. Last year, Mr. Eberle completed nearly two dozen projects of varying sizes and scope. He hopes this year to expand his referral network and bring in larger-scale projects. “Right now I spend about 10 hours per week in the shop. I’d like to see that double,” he said. If you can describe it to him, he can build it. Mr. Eberle builds anything from kitchen and bath cabinets, to custom closet storage systems, to Adirondackstyle chairs and outdoor hardscapes. He also builds bedroom furniture like dressers, armories and beds, living room furniture like coffee and end tables, desks, window and door trim and crown moldings, tables, radiator cabinets, blanket chests and even jewelry boxes. There is a sense of accomplishment in being able to stand back and see the progression and completion of a project, Mr. Eberle explained. “Woodworking is a trade that affords you that tangible ‘something.’” Asked why he chose woodworking over general contracting, he joked, “you can mess up a cutting board, not an addition to a house.” And whereas general contracting tends to be full time, woodworking allows Mr. Eberle the freedom and flexibility to produce at his leisure, while still working a full-time job. “The model I’ve developed for the business would allow me to work for myself, which I would love to do. But with a young family, the benefits of a company keep me with the model I have,” he said. “Before being a paramedic or a woodworker, I’m a father and a husband.” Mr. Eberle said. “I still use some of the same hand tools my grandfather used.” His grandfather, Jerome Eberle, was a machinist for Westinghouse in Buffalo from 1937 to 1979. He was a fix-it man, specializing in electrical motors and turbines for generators. His son was the last of six children and the only boy, whom he named, “Joseph.” Being a forward-thinking man, he knew he wanted to pass his skills, tools and of

course, the Eberle name on to his son. So he engraved each of his tools with “J. Eberle.” “We’re absolutely continuing the family tradition,” Mr. Eberle said. “I’m Joseph J. II, and I hope to one day pass that heritage on to my son with a “J” name as well,” he said. The same “J. Eberle” brand marks all of Mr. Eberle’s woodworking pieces, as the tools with which he sometimes works, bear the “J. Eberle” name of two generations past.

For his projects, Mr. Eberle prefers local hardwoods like maple and cherry, but on occasion will work with Purpleheart, harvested from South America. “It’s beautiful,” he said. “When you contrast it with maple, it really pops.” Mr. Eberle uses it sparingly though. Compared to cherry at about $5 per board foot, Purpleheart costs between $8 and $9 for the same. He also personally harvests some lum-

Please see Woodworker, page 43

February 2014 | NNY Business

| 21

R E A L E STAT E ROUN D U P

Realtors elect new leadership

ach day, Realtors give back to their communities in a variety of ways. They serve as volunteer firefighters, EMTs, youth sport coaches and sponsors, and volunteer with community groups like chambers of commerce, Elks and Rotary clubs. Similarly, the Jefferson-Lewis and St. Lawrence County boards of Realtors give back as organizations. They hold events throughout the year to raise money for local charities. These efforts culminate in December and include money raised at each association’s holiday party. The Jefferson-Lewis Board of Realtors distributed more than $2,400 to three groups in 2013 — Salvation Army, Watertown Urban Mission, and the Victim’s Assistance Center of Jefferson County. The St. Lawrence County Board of Realtors raised $1,350 for the county’s Neighborhood Centers. Additionally, each supported housing and education foundations operated by the New York State Association of Realtors. n n n

During its December holiday dinner, Jefferson-Lewis Board of Realtors membership honored Thomas Humes — Humes Realty and Appraisal Service, Black River — as the 2013 Realtor of the Year. This is the association’s highest honor with nominations solicited from membership. Tom is a licensed real estate appraiser and real estate broker. He has served, and continues to serve, on various association committees and is a resource to the other members, often serving as an informal mentor for new agents and brokers. One person said Tom understands that by guiding a licensee at the beginning of a career, it helps every real estate professional and consumer.

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He is active in his community of Black River and is a booster for the area. Tom volunteers his time and talents and consistently lends a hand. This includes plowing, mowing, taking hot meals to neighbors, menLance Evans toring students in the community, loaning tools and assisting others who need advice on repairs. He is a longtime volunteer firefighter, founding member of the Black River EMS squad, and is active in his church. The community has honored him as Firefighter of the Year and Citizen of the Year. Congratulations to Thomas Humes. n n n

Also during the December dinner, the Jefferson-Lewis Board of Realtors named an Affiliate of the Year. This is given to a company that is in a real estate-related business. The 2013 honoree is Homestead Funding, represented locally by Patrick Wolfe, Michael Santulli, and Rhonda Brady. The company was cited for its support of the Association and its various activities. It has sponsored and participated in Agent Day, the Women’s Council of Realtors chapter, and attends many board functions. Additionally, its employees are willing to speak to classes and at member meetings, volunteer at events, and help individual members and the membership as a whole. n n n Holiday events also served as the elec-

tion and installation of 2014 officers and directors for both associations. This year, the Jefferson-Lewis Board of Realtors will be led by Elizabeth Miller (Century 21 Gentry Realty) who was elected president. The rest of the officers are: Gwyn Monnat, president-elect (Hunt Real Estate ERA), Randy Raso, vice president (Raso Real Estate), Mary Adair, treasurer (Exit More Real Estate), Nancy Rome, recording secretary (Rome RSA Realty), and Lisa Watson, corresponding secretary (Coldwell Banker Rimada Realty). Also elected to the board are directors Vicki Bulger (Christensen RealtyUSA), Jennifer Dindl-Neff (Humes Realty and Appraisal Service), Patrick Henry (Exit More Real Estate), Vickie Staie (Staie on the Seaway), and Nancy Storino-Farney (Nancy D Storino Real Estate). This year, the St. Lawrence County Board of Realtors president is Michael Kassian (Kassian Real Estate). The other officers are: Korleen Spilman, vice president (Century 21 Millennium Realty), Gail Abplanalp, treasurer (Pat Collins Real Estate), and Doug Hawkins, secretary (Sandstone Realty). Rounding out the board are immediate past president Jennifer Stevenson (Blue Heron Real Estate) and directors Sharon Cook (America 1 Realty), Linda Fields (Linda J Fields, broker), and Cheryl Yelle (Yelle Real Estate). n LANCE M. EVANS is the executive officer of the Jefferson-Lewis Board of Realtors and the St. Lawrence County Board of Realtors. He has lived in the north country since 1985. Contact him at levans@nnymls.com. His column appears monthly in NNY Business.

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Steve Kubinski (Associate Broker) 486-0059 Arnold Loucks (Sales Associate) 377-3113 Timothy Nortz (Sales Associate) 681-0768 Pam Hoskins (Associate Broker) 783-2740

February 2014 | NNY Business

| 23

Real e s tat e

North country home sales slide Jefferson, Lewis counties see drop despite statewide growth

By Ted Booker

H NNY Business

ome sales in Jefferson and Lewis counties dropped by more than 10 percent in 2013, even though New York state sales rose to the greatest number since 2009. Compared with 2012, statistics from the Jefferson-Lewis Board of Realtors show home sales in Jefferson County were down 98 units, or 10.1 percent, from 971 to 873; in Lewis County they were down by 20 units, or 11.2 percent, from 178 to 158. In contrast to that regional trend, statewide home sales jumped from 2012 by 11,947 homes, or 12.6 percent, from 95,195 to 107,142, according to the New York State Association of Realtors. The median sale price increased to a new five-year high by rising 5.6 percent, or $12,000, from $215,000 to $227,000. Median home prices fluctuated slightly from 2012 in the north country. The median price increased in Jefferson County from $149,900 to $150,500, and in Lewis County from $110,000 to $111,000. In St. Lawrence County, the median home price fell slightly in 2013, from $79,959 to $79,780, according to the county Board of Realtors. Annual home sales increased by one unit, from 554 to 555. The drop in Jefferson and Lewis counties’ home sales in 2013 comes after the north country had a banner year for sales in 2012, said Lance M. Evans, executive officer of the board. Numbers in 2013 for both counties are closer to figures from 2011, when 862 units were sold in Jefferson County and 136 in Lewis County. In 2012, the shortage of available rental housing for the military

2013 tri-county residential real estate sales 2013 2012 2011 Jefferson County Sales 873 971 878 Median price $150,500 $149,900 $146,900 Lewis County Sales 158 178 135 Median price $111,000 $110,000 $108,000 ST. LAWRENCE County Sales 555 554 644 Median price $79,780 $79, $78,500 Source: Jefferson-Lewis Board of Realtors, St. Lawrence County Board of Realtors

population at Fort Drum created demand for home purchases, he said. “There wasn’t a lot of product on the market in terms of rental housing in 2012, whereas we had a lot that come online in late 2012 and 2013,” Mr. Evans said. “A lot of it is new housing stock, and people have decided to go that way” instead of buying existing homes. Large rental housing complexes with units that opened last summer include Beaver Meadows complex on Towne Center Drive, Watertown, where 296 units are planned, and the Preserve at Autumn Ridge on County Route 202, which calls for 394 units. Home sales will continue to be affected by the growing rental market this year in the greater Watertown area, Mr. Evans said. A handful of projects planned downtown with market-rate rental projects will be under construction, including a complex to be built at the former Mercy Hospital site that calls for 168 units. At the Lincoln Building, 18 renovated apartments are planned on

the upper floors. Even so, buying homes still will be a competitive option for families because of low interest rates and attractive financing for mortgages, Mr. Evans said. “At the moment, it’s still cheaper to buy than rent and can make sense if you’re looking to be here for more than a few years,” he said. Though the north country didn’t reflect the statewide trend of growth in home sales, that is likely because it fared better than most regions during recession years after the housing bubble burst in 2006, said Savatore I. Prividera Jr., director of communications for the New York State Association of Realtors. “After the housing boom and the recession, New York as a whole didn’t fall as much as other states like Nevada, Florida and parts of Michigan, and we’re certainly now at an upward trend statewide,” he said. “But there has been great variation, because some regions did well and others didn’t. And if you look at Jefferson and Lewis counties, they had some solid years previously and softened” in 2013. The association is optimistic that home sales will continue to grow in 2014 based on the state’s market conditions, Mr. Prividera said. As home prices climb, potential home sellers who were waiting for the market to improve are more likely to make transactions as their confidence grows. “Homeowners that were looking to sell feel that they can now get their home for what it’s worth,” Mr. Prividera said. Statistics show “sellers received 91.5 percent of their asking prices” in 2013. n Email Ted Booker at tbooker@wdt.net.

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NNY Business | February 2014

TO P TR A NS A C TIONS Top 10 property sales by price recorded in the Jefferson County clerk’s office in December 2013: $851,000: Dec. 17, Town of LeRay: Four-lot commercial subdivision prepared for Drum Route 11 LLC, Drum Route 11 LLC, Pittsford, sold to Zircon Development LLC, Watertown $585,000: Dec. 27, Village of Clayton: Two parcels, 0.6 acre, 0.61 acre, Emery Avenue, T. Charles Chambers, executor, estate of Hannah H. Chambers, late of Clayton, Oneida, sold to Scott R. Overholt and Julieann M. Overholt, Spencerport $550,000: Dec. 17, Town of Hounsfield: 17.1 acres, Route 12F, Joseph C. Weber and Lisa A. Weber, Wellesley Island, sold to Nicholas L. Washburn, Watertown $454,000: Dec. 31, Town of Pamelia: Two parcels, 9.450 acres, 28.628 acres, 24278 Route 12, New Cingular Wireless PCS LLC, no address given, sold to NCWPCS MPL 22-Year Sites Tower Holdings LLC, Atlanta, Ga. $450,000: Dec. 4, City of Watertown: Public Square and Arsenal Street, Woolworth Apartments LLC, Woodbury, sold to Woolworth Watertown LLC, Jericho $450,000: Dec. 16, Village of Alexandria Bay: 2.4 acres, Holland Street, Bonnie Castle Yacht Basin Inc., Syracuse, sold to Bonnie Castle Holdings LLC, Alexandria Bay

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$395,000: Dec. 31, Village of Clayton: Merrick Street, Allen S. Benas, Clayton, sold to Thousand Islands Inn Holdings LLC, Clayton

$320,000: Dec. 31 Town of Cape Vincent: 0.6 acre, near waterline of St. Lawrence River, John C. LaChance Jr. and Robin Renee Swift, both of Lunenburg, Mass., sold to Dominick J. Mollica and Laura M. Mollica, Liverpool

$479,000: Dec. 3, Town of Oswegatchie: 6.828 acres more or less, bounded by State Highway 37, Jeffrey D. and Lisa J. Crysler, Marietta, sold to Stephen B. and Lisa L. Pinkerton, Baldwinsville

$315,000: Dec. 10, Town of Brownville: 6.302 acres, Contessa Lane, Donald J. Wilder and Joyce M. Wilder, Watertown, sold to Karen Lynn Tichenor, Export, Pa.

$276,000: Dec. 12, Town of DeKalb: 88.56 acres more or less, in Lots 342 and 343, bounded by Jeffers Road, Thomas F. Burns Jr., DeKalb Junction, sold to Eun S. Chung, Stamford, Conn.

$315,000: Dec. 20 Town of Alexandria: 0.8 acre, Roger K. DeLong, Dryden and Linda K. DeLong, Dryden, sold to Patrick J. Curran and Lori K. Curran, Massena

$260,000: Dec. 19, Town of Rossie: 3.66 acres more or less, bounded by Somerville Road, Bridget-Ann Hart, Jamesville, sold to Clifton R. and Margaret Burns, Colorado Springs, Colo.

Top 10 property sales by price recorded in the St. Lawrence County clerk’s office in December 2013:

$255,000: Dec. 13, Town of Potsdam: 13.49 acres more or less, in Mile Square 56, bounded by Bagdad Road, Daniel W. Manor Jr. and Tasha M. Bernard, Potsdam, sold to Katelin L. Maki, Potsdam

$4,600,000: Dec. 31, Village of Gouverneur: 25.1 acres more or less, bounded by West Barney Street, Edward John Noble Hospital of Gouverneur, Gouverneur, sold to Gouverneur Hospital, Gouverneur $500,000: Dec. 10, Town of Hermon: 17 acres more or less, bounded by Allen Farms, Jeffrey J. Blodgett (trustee), Elizabeth L. Blodgett Irrevocable Trust, Perkasie, Pa., and David W. Lando, Fredericksburg, Va., sold to David B. Lando, Alexandria, Va. $485,713: Dec. 30. Village of Massena: 2.46 acres more or less, in Lot 11, bounded by Trade Road, St. Lawrence County Industrial Development Agency, Canton, sold to Marimac US Inc., Montreal, Quebec

$240,000: Dec. 13, Town of Pierrepont: Three parcels, 1) 0.55 of an acre more or less, 2) unknown acres, 3) unknown acres, all bounded by Route 56, James W. McInnis, Warrensburg, sold to Edward I. Simon, Potsdam $220,000: Dec. 6, Town of Canton: 5.145 acres more or less, in Lot 1 of Mile Square 6, bounded by Tully Road, Melanie E. Cruikshank and Christine R. Thrasher (trustees), Cruikshank Thrasher Family Trust, Canton, sold to Patrick L. and Kelly G. Smith, Canton $188,000: Dec. 19, Town of Potsdam: 189 acres more or less, in Mile Squares 31 and 41, Alexandru A. Stoian, Potsdam, sold to Adon Farms, Potsdam

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February 2014 | NNY Business

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20 questions

building a brand

NORM JOHNSTON | NNY BUSINESS

or roughly a quarter-century, Johnny Spezanno has entertained north country listeners on FM radio while creating a uniquely memorable on-air personality. In the past two years, Mr. Spezzano has dived head-on into the frozen yogurt business, recently opening his third YoJohnny! store, which also offers fresh-made salads. We recently talked with him about his latest venture.

NNYB: Everyone knows you as the radio guy. How did you get your start? SPEZZANO: When I was 16, I worked at WGSU in Geneseo. I also worked in Dansville. And I worked for a guy named Dave Mance. He bought the radio stations up here that are now run by Jim Leven. I’m the morning guy on WBDR, the Border, 106.7 — from 6 to 10 a.m.

NNYB: How did you decide on frozen yogurt? SPEZZANO: My daughter called me from softball summer vacation camp down near Rochester and said, “Dad! I’m at this really great place. It’s a frozen yogurt shop and you get to put all your own toppings on everything.” And it was that phone call that got this whole ball rolling. And so she told me about it, and we went down to take a look. Heather and I were seeing each other at the time, so we started talking about it. Next thing we knew, we were on our way down to the equipment seller in Syracuse. It looked like a good thing to do so we just moved forward with it from there. I’m kind of spontaneous like that.

NNYB: How did you decide on the Target Plaza for your first yogurt shop? SPEZZANO: We started up there because that’s

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NNY Business | February 2014

n For ‘radio guy’ Johnny Spezzano, frozen yogurt is a franchise future where the commerce is for Jefferson County right now. That’s kind of the focus for tourists — for Canadians, for Fort Drum. It’s the hub. We thought it was a great spot. And it’s right across from PETCO where Heather worked at the time. She found out through CORE, the owners of the property, that the space was available. They approached me because they knew we were looking. So we went in to take a look, and it fit perfectly with what we wanted. It was a corner lot and had a huge patio. It was formerly Teriyaki Experience. We were looking at other spots around town as well. At that time, we decided before we opened the first shop that we wanted to spread out around the city. We knew we wanted a location on State Street as well. So it was all sort of part of the master plan.

Being on the other side of Public Square and away from Arsenal Street is a great location. So we bought the building there. Lots of people live on that side of town. Families have a lot of residences all around that location and walk to the shop. There’s a children’s play land in it, too. There are lines of people waiting to get in there before we even open. And it gives people something to do in the wintertime. We’re an indoor/outdoor facility. For years people thought when you opened an ice cream stand you only opened for half the year. Most were mom-and-pop stands. But we’ve proven that people will eat frozen yogurt year round, even when it’s cold. We’ve been lucky like that.

NNYB: You opened the first Yo-Johnny frozen yogurt shop in the dead of winter. Was that an advantage or a disadvantage? SPEZZANO: It was an advantage because there’s not always much to do around here in the wintertime. It was something fun and exciting for people to do. And ice cream stands in town are closed in winter, so I think that fact alone brought a lot of customers in. I think it turned out to be a good idea to open then. NNYB: How did you decide on the State Street location? SPEZZANO: We wanted to be on each side of town. We wanted all the best locations, I call them.

NNYB: How is the launch of the salad shop going? SPEZZANO: So far so good. We’re very pleased. We’re right on track with where we want to be. We tried to open three distinct stores. Our Target shop is for tourists and for families who are out shopping. Our State Street shop is residential and for families with kids who want to play in the playground. We’ve been very successful with the salad shop right off the bat because people know we’ve done a good job with the yogurt shops. So I think that only helps us bring more customers in. They know our brand is a good one. So as much as we’re YoJohnny, we’re three unique shops in one. NNYB: Why salads? SPEZZANO: I’ve been speaking to a lot of students at JCC and in high schools. And

20 questions The Johnny Spezzano file AGE: 44 JOB: Owner, Yo-Johnny Brand LLC PROFESSIONAL: I’ve been on the radio in the north country since I was 18. I’ve dabbled in a few little things here and there, but I’ve always been an entrepreneur. FAMILY: Children, Alexandra and Sean, fiancée, Heather Roux HOMETOWN: Geneseo EDUCATION: Jefferson Community College LAST BOOK READ: “The Secret” by Rhonda Byrne what I tell them is that although there are a lot of things in the north country that we don’t have, they should look for those things that are working in other towns and maybe try to bring those things here themselves. And I’ve been trying to follow my own example. The whole idea behind salad is that we wanted to keep the freshness of our yogurt business. We have fresh toppings and it’s healthy. We’re not going to make chicken wings. We visited Manhattan and found a salad shop we loved, so we thought, hey, let’s do this at location number three. We’ll put them together. So we have the frozen yogurt and the salad together. At the State Street location we have a bar already built there. We have the counter, so eventually we’re going to do a mini chop shop there for the other side of town as well. I think people are always looking for something new, something fresh, something exciting. And that’s what we’re trying to do. I’m up every morning at 4:30. I do my radio show then I’m over at the shop chopping salads by 11.

Johnny Spezzano, right, and fiancée Heather Roux make salads at Yo-Johnny! Head of Lettuce on Washington Street, Watertown.

NNYB: How many employees do you have and do you have you have investors? SPEZZANO: We have between 20 and 22 employees. Heather is our only full-time person and the rest are part-time. Half are students and a lot are single Moms who just want a part time job. Heather’s grandmother works for us, too. We have quite a range from 16 to 76 years old. For me, I’m happy to employ all these people. We have a great crew here. I’m very lucky to have great employees. No investors; it’s just Heather and me. My only investor is Community Bank, which loaned me the money for the machines.

NNYB: What does the term entrepreneur mean to you? SPEZZANO: It means creating something. And creating positive things is what I’m all about now. When I see kids eating salads, it just makes me feel really good. But I want to create things. I’ve always been the creative type. That’s what we’re all about.

NNYB: How long does it take to move on when things don’t work out in business? SPEZZANO: 35 seconds. It’s that entrepreneurial spirit. You have to be prepared and be willing to fail. I tried opening up a night club, but what I didn’t realize was that I was opening it up around a lot of people who didn’t want it there. But by then I’d already sunk a lot of money into it. I learned a lot, though. I learned that business is tough no matter what you do. But as an entrepreneur, you try things. NNYB: Is Northern New York unique for business

NORM JOHNSTON | NNY BUSINESS

and why are you making investments here and now?

SPEZZANO: I’m the eternal optimist and will just work through it no matter what the political climate is or whatever new tax they throw at us. It is difficult sometimes, yes. Between all the taxes, it’s challenging. You put everything on the line and the government just takes half. You take the risk, you take out the loans, and when business isn’t good, you pull from your own checking account and still have to give them a chunk, regardless. Whether its regulation or taxes, I definitely wish they would simplify things a little bit. Now is the best time to get into business, because if you’re making it now, what’s going to happen when it does turn around. Hopefully it only gets better.

NNYB: What is your vision for the business? SPEZZANO: What I really want more than anything is to be a north country brand for the next hundred years. When I created my company, and before we even opened the shop, I named it Yo-Johnny LLC with the dream of creating good, quality, family brands that everyone would like

and would make this area a little better of a place. I don’t think we have enough fresh fruits and vegetables in the north country. In the summer we do. But as far as food choices go, they aren’t many places you can go to get something like this. Some people have said it wouldn’t work here, but one day a week, if people come for a salad, I’ll be happy. And it’s seemed to work well so far.

NNYB: Is your food locally sourced? SPEZZANO: It will be. We have been contacted by several local farms who would like to supply us. One in Sackets and one in Copenhagen. And we would like to help other north country brands as well. If anyone thinks they have something to sell to me that I can sell to the north country, I’d like to do that. We’d also like to do local meats along with vegetables. Every town has its own little charming thing. North country products are the things that make this place special. And when you move away, you remember those things. I’m happy to say that Yo-Johnny has already become that. We have soldiers from Fort Drum that move to other places and go to

February 2014 | NNY Business

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20 questions yogurt shops in other places and tell us they miss it.

NNYB: What gets you out of bed in the morning? SPEZZANO: I love what I do. I’m an optimistic person. I’ve always been. I have to put on a smile for the north country no matter what when I’m on the radio. I’ve had some tough times in my life. But when I get to work and get that first cup of coffee, I’m all right. I can look around today and say, look at what we did. And I hope other people will pick up the ball and start doing that to - doing things that will improve our area. I want to make money, yes, but at the end of the day, it’s about creating something cool. My name’s on this business, so it inspires me to work even harder at it. I want to make sure everything’s perfect.

NNYB: What’s the best business advice you’ve ever followed? SPEZZANO: We want to create something that looks good, tastes good, and again, looks good. We’re very concerned with our brand. We want it to evoke an emotion. And that’s what we do and work hard at. We really do our research. We design our cups. We want everything to feel good and look good. Our world is the world where people take pictures of their food. They call it food porn. Our brand is just as much visual as it is quality. We could have opened up and just bought off the shelf cups, but instead, we learned from our customers. The better our cups are designed, the more our customers want to be in pictures with them. It’s free advertising.

If you go online and Google #yojohnny all these pictures will pop up from all the customers who have taken pictures with our products. We credit a lot of this to our success. Social media is really big for us because people talk positively about us.

NNYB: How do you manage your brand in social media? SPEZZANO: I think every company has that same issue. It really doesn’t matter if you’re big or small. If someone has a bad experience, they’re going to talk about you, which is why we try to minimize bad experiences. You do have to manage your Facebook and Instagram pages. I can manage the two accounts right from my phone and at any time I can upload a photo or take a picture, or see what someone else is saying. So you do have to manage it.

NNYB: What do you think the north country is lacking in leadership and what should leaders do to help retain young people? SPEZZANO: I think we need a campaign to raise our self-esteem. There are a lot of similar regions that aren’t any better than us, but seem to rally more around their areas. I remember moving here when I was 18 and going to the APEX store and the cashier saying, “Oh you’re from Rochester? What are you doing here? It sucks here.” And I sometimes think that theme carries through amongst the residents. They have low self-esteem. And I think it’s come a long way over the years. But I’d like to see more of us coming together and creating positive things, realizing we live in a pretty damn great place. I believe that we have to look to the future and realize that these are changing times. And what worked once doesn’t necessarily still work. A lot of jobs and things that were once here are no longer here with the advances in technology. That’s why I took a little different route and got into this business. You can’t put this kind of thing online.

NNYB: What’s the biggest myth in business today? SPEZZANO: That once you’re in business, you’re wealthy. It’s far from that. It’s the exact opposite actually. You put your blood sweat and tears into business. Every entrepreneur does. It’s tough being in business.

NNYB: Where do you see the business in five years? SPEZZANO: We are looking for people to join us and maybe invest, and see if we can take this north country brand a little further. We think we have something kind of unique. I would like to see us grow this into something bigger. After one year of building three shops, we’re sort of an enigma. We created a lot. But even if it all ended tomorrow and I had to live in my car, at least I could say, look what we did. We created something pretty cool. And I’d still have my day job. Hopefully in 5 years it’ll all be paid for and we can relax a little bit.

NNYB: What would you say to someone thinking about starting a business?

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SPEZZANO: Don’t be afraid. Just do it. People need to get outside their comfort zones. I’m a dreamer. I dreamed this up, and now we’re living it. You have to be a little bit of a dreamer and shoot for those dreams. Take a chance and put it on the line. — Interview by Ken Eysaman. Edited for grammar and length to fit this space.

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NNY Business | February 2014

BUSIN E SS IN BRI E F Otis Technology founder, CEO Garrett steps down

Doreen A. Garrett has stepped down from her roles as president and CEO of Otis Technology, a Lyons Falls gun-cleaning-kit company she started at the age of 16. That was in 1985. Since then, the business has grown out of her parents’ home in the town of Leyden to a state-of-the-art facility off Laura Street and is southern Lewis County’s largest private employer, with more than 100 employees. Ms. Garrett will remain on Otis Technology’s advisory board. Leonard R. Puzzuoli, the company’s chief financial officer since 2009, took over as CEO Jan. 1. In a news release, Ms. Garrett said, “We are pleased and excited to have Len in this key leadership role. We welcome the strengths he brings in financial leadership, strategic planning and positioning the company for continued growth.” “I recognize the responsibilities and challenges ahead of us, and look forward to guiding Otis in our next phase of growth,” Mr. Puzzuoli said. “We are excited to continue to exceed our customers’ needs and expectations. I appreciate the confidence the advisory board has shown in me and the entire Otis team.” In a related move, Harold F. Philbrick was promoted to the position of vice president of operations. Mr. Philbrick will be responsible for leading the manufacturing, warehousing, quality assurance and materials teams. He previously held the position of director of operations and has been with Otis since July 2009. Additionally, James Brooker has assumed the role of vice president of engineering, research and development. He leads the research and development team in Otis’s Engineering Center of Excellence, based in Oswego County. Mr. Brooker has been with Otis Technol-

ogy since September 2009 and formerly held the position of director of engineering. Mr. Puzzuoli said, “I congratulate Jim and Harold on these well-deserved promotions. We have a great team and we are all looking forward to driving the next chapter in Otis’s remarkable history.”

Stream Global Services will be brought by rival

Stream Global Services will be bought by one of its competitors, but a local economic development official said the ownership change isn’t expected to affect jobs at the company’s Watertown call center. Cincinnati-based Convergys Corp., a large customer-management services provider like Stream, announced this week that it will buy Stream from its private equity owners for $820 million in cash, expanding Convergys’s client base and international presence.Stream, the largest private employer in Watertown with about 700 employees, caught local officials off guard with the decision, but the move isn’t expected to affect local jobs, said David J. Zembiec, deputy CEO of the Jefferson County Local Development Corp. The agency owns the Stream

building on Arsenal Street, which it leases to Stream; it is not known whether the agency will establish a similar lease agreement with Convergys Corp. Only a year ago, Stream announced a $4.2 million expansion plan to accommodate up to 300 more employees and the addition of a major customer contract. The company hasn’t yet announced any changes to that plan. Convergys reported that with the acquisition of Stream, it expects annual revenue to be about $3 billion. Convergys’s customers include AT&T, Comcast Corp. and DirecTV. Clients it will acquire from Stream include Hewlett-Packard, Microsoft Corp., Dell Inc., Salesforce.com Inc., Western Digital Corp. and Nike Inc. Stream, which has about 40,000 employees, provides customer-management services in 22 countries and 35 languages. Following the closure of the deal, Convergys will have about 125,000 employees and expects a cost savings of about $25 million a year as a result. Stream moved into the renovated former F.W. Woolworth department store in January 2003 after receiving a 10-year tax break from the Jefferson County Industrial Development Agency.

February 2014 | NNY Business

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E C ONO M I C A L LY S P E A K IN G

A tool to help grow agriculture

he North Country Regional Economic Development Council’s strategic plan recognizes that agriculture plays an important role in the north country’s economy. It provides economic stability during times of recession and is poised for future growth with investment in value-added processing and production of goods. Therefore, the Development Authority of the North Country has partnered with the region’s Soil and Water Conservation districts and Cornell Cooperative Extension to identify and implement low-interest loan programs dedicated to production and productivity increases. In December 2013, the authority was awarded $1 million from the North Country Regional Economic Development Council to create its Value-Added Agriculture Loan Program. Types of value-added agri-business considered for this program include crop producers, wineries, distilleries, honey and maple producers, and food processors, among others. Money may be used for real estate or for equipment to increase production or distribution of goods internal to the north country or to external markets. This is consistent with the strategic plan. Maximum loan amounts will be $250,000 for a term consistent with the type of assets being financed. The interest rate will be ½ prime, or 3 percent, whichever is higher at the time of the loan closing. The borrower will be required to contribute 20 percent of the total loan amount as cash equity. For example, if the loan amount is $100,000, then the borrower will need to contribute $20,000 in cash equity. It is anticipated that this program will become

available by summer. The authority started its first agriculture fund in 2000 with the Farmland Drainage Loan Program. It was started with help from the state to provide Michelle Capone low-interest loans to farmers to install surface or subsurface tile drainage to improve crop productivity. Soil and Water Conservation staffs conduct site visits to determine whether the fields to be drained are in protected wetlands, and provide final inspection of the projects. Since the program’s inception, the authority has lent $406,830 to 39 farms in Jefferson, Lewis and St. Lawrence counties tiling more than 1,650 acres. The program provides loans of up to $20,000 for five years. The interest rate is fixed at ½ prime, or 3 percent, whichever is higher at the time of the loan closing. The borrower must contribute 50 percent of the loan amount. For example, if the loan amount is $20,000, then the borrower must contribute an additional $10,000 for a total project of at least $30,000. Historically, completed projects have exceeded this requirement. In 2011, the authority created its Maple Producers Investment Program. This low-interest loan program recognizes that there were unrealized efficiencies in maple production with the purchase of the right equipment. Partnering with Cornell Cooperative Extension, the authority

uses a stream-lined application process relying on the technical expertise of extension agents and reviewing the applicant’s credit worthiness. Money has been widely used to buy reverse osmosis equipment, vacuums, tubing and taps. The program provides for loans of up to $40,000 for a term of five years. The rate is again ½ prime, or 3 percent, whichever is higher at the time of the loan closing. The borrower must contribute 20 percent of the total project cost. For example, if the total project is $50,000, then the borrower must contribute $10,000 and the loan would be for $40,000. The average loan amount is $17,000. The authority continues to work with partners to identify issues and fund programs to help expand agriculture and agri-business. It partners with Cornell Cooperative Extension of Lewis County to utilize dairy profit teams. The concept is to develop a team that includes an accountant, veterinarian, extension agents and others to identify issues on the farm, determine ways to overcome them and create efficiencies and productivity increases. The program has been successful and is available to farms in the tri-county region. Additional investments in value-added agriculture will enhance the economic well-being of the region and create jobs. The authority works with partners to continue to identify ways to improve and expand this ever-important industry. Contact Michelle Capone, mcapone@danc. org, or visit www.danc.org to learn more. n Michelle l. capone is regional development director for the Development Authority of the North Country. Contact her at mcapone@ danc.org. She is a member of the Greater Watertown Jaycees and Sunrise Rotary

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NNY Business | February 2014

s t r at eg i c pla n n i n g

Do I need a buy-sell agreement?

f you are reading this, it’s likely you have at least one business partner. And it’s also likely that you know your partner well. But what if something changed and you woke up one day to find that you had a new partner? What if you or they did not want to be partners? How could this happen, you ask? Consider “The 8 D’s”: The first three — death, disability, divorce — are reasons how. The next four — departure, deadlock, disagreement, default — can also impact a business relationship. The eighth D: determination of value. Life events are sadly uncontrollable but many of the consequences of those events are controllable. A buy-sell agreement is essential for a smooth transition of ownership. Example 1: A father, two sons, a son-inlaw, a daughter-in-law and a 30-plus-year “almost family” employee run a successful service and installation business. Nothing has ever been documented as far as ownership structure beyond the father. One of them dies. Who determines if the deceased’s family is compensated in some way? How will the value be determined? What happens if the father dies? Example 2: You and your partner, Barb, run a hotdog stand as 50-50 partners. You might have a written agreement or a mere handshake. Barb dies. Do you still have a business? Is Barb’s husband or child your new partner? Do you have the right or obligation to buy them out? If so, for how much and on what terms? Can you strike out on your own with your own stand? What if you die instead of Joe? Businesses typically use a purchase order to define, in advance of a transaction,

the terms, price and conditions that govern a sale of a product or service to a customer. Think of a buy-sell agreement as defining the terms and conditions — in advance — of a transfer Paul Luck of ownership necessitated by the occurrence of one of the 8 D’s. A buysell creates a pre-arranged market for the transfer. Sure, you may think it will never be needed. From the company’s or the individual’s perspective, a buy-sell protects your family and ensures they get what you want them to get. If something happened, would you want to keep or sell your interest in your business? How would that be done? By whom? Disputes can take place in any business type — partnerships, LLCs, corporations — at any time. The reciprocal nature of a buy-sell makes the process of negotiating and agreeing on issues easier than one might think. If a business has only one written document, then it should be a buy-sell. What are some of the key ingredients in a buy-sell agreement? Topping the list: a business valuation. This is an independent assessment of what the business is worth at a point in time. As an aside, once this baseline is established, a powerful outcome may be discussion and agreement on options and actions to increase that value. Think growth,

control of risk, increased profitability and cash flow. All things that create value for you and future owners. OK, now that there is a value established, triggering events must be defined. These may be voluntary, i.e., departure, or involuntary, i.e., death. Under each event, there may be mandatory or optional outcomes designated. Always better to create a plan to respond to an event than to react to one – especially if your spouse, under the burden of a loss, is the one reacting. The triggering events should be funded — by life insurance, for example — to provide the cash when the time comes to 1) buy out other party’s interests, 2) pay taxes, 3) identify, attract and retain new leadership to replace lost skillsets, 4) help the business recover from the loss of the owner. Each trigger needs to be tested and the buyout terms refined as necessary. Solicit input from trusted advisors like your lawyer or financial advisor for their opinions. Annually, partners should review the buy-sell agreement to ensure it still satisfies needs. The time to prevent disputes is before they occur. A buy-sell can ward off infighting among family, spouses and surviving owners and allow the business to continue to serve its customers and maintain employment – despite having taken a blow from one of the 8 D’s. Protect your business – get a buy-sell agreement. It’s one of the most important tasks you can do for yourself, your business, your family and community.

n Paul Luck is a Certified Business Exit Consultant with The Succession Partners in Clayton. Contact him at (315) 778-5257 or paulluck@ thesuccessionpartners.com.

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February 2014 | NNY Business

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C o mme r ce c o r n e r

Resources key to smooth start

ore and more people are retreating from the daily grind to try their hand at becoming their own boss or self-employed. But is it as easy as many people say or is entrepreneurial success the result of a lot of hard work and determination? People start their own businesses for a myriad of reasons – they might not like working for someone else, they might be fueled by a passion for something, they might even have a million-dollar idea they’ve been waiting to patent or they could be taking over a family business. Before you start a business, it’s important to complete a self-assessment, beginning with some basics such as defining the type of business and how it fits into the marketplace, why you are starting the business and what products or services you plan to provide. With answers to these basic questions, you can make a concrete plan to move forward to the next steps. Once you determine the type of business you want to start, you should assess the market to ensure there is not a saturation of the product or service in the area you plan to serve. It is also important to ensure there is healthy demand for the business and its products and services. These steps begin to lay the groundwork to develop a business plan. A business plan is a written outline of your business’s future. Essentially, it describes what you plan to do and how you will do it. This tool helps to define your next steps to open a business and what help a potential business owner may need. More planning

is needed before you can open your doors. You must understand a few core concepts of how to manage a business like how to maintain financial health. You also need to settle on Lynn Pietroski an affordable location that is conducive to your type of business, as well as the basic structure of your business. One of the biggest challenges people face is financing the business to include start-up costs and sustainable operating cash flow. How much does it cost to start a business and how much cash should be accessible to a business owner in order for them to succeed? However frustrating or concerning it is to individuals, there are several organizations in our community that help with this and provide clear direction and support that can ease the burden of this worry. Use available professional services to help reduce your risk financial instability and boost your odds of success. As you move to the next stages of planning another big decision presents itself as you consider the legal structure of your business, which falls into the category of sole proprietorship, partnership, Limited Liability Corporation, corporation, S corporation, nonprofit or cooperative. Once that has been determined, the business should be registered with the New York

State Secretary of State’s Office or your respective county government, which is commonly referred to as a “Doing Business As” or DBA certificate. Although well on your way to opening a business, a business must secure a tax identification number from the Internal Revenue Service and the New York State Department of Taxation and Finance. We all know what comes along with obtaining this tax ID number: ensuring worker’s compensation, unemployment and disability insurance is in place. Also depending on the nature of the business, the state or federal government may require different licenses or permits. When your business is ready to open, the fun part of marketing begins. Again, the north country is fortunate to have several means to market a business, from co-op advertising, to print and digital. Depending on your target market, media agencies in the north country can best assist a business owner as to which form of marketing would suit them. There are several resources locally that can help you start a business: the Small Business Development Center at Jefferson Community College, the Greater Watertown-North Country Chamber of Commerce, the North Country Alliance, New York State Business Development Corp., Jefferson Country Local Development Corporation, the Small Business Association and many more.

n Lynn Pietroski is president and CEO of the Greater Watertown North Country Chamber of Commerce. Contact her at ceo@watertownny. com. Her column appears monthly.

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NNY Business | February 2014

Agri-business

Third place and finally a farm bill

recently heard a panel of speakers discuss with their audience how the north country should focus its agricultural efforts on growing value-added food production capacity. A reference was made to the economic impact that value-added food production has in Vermont. After some research, I discovered that in 2011, Vermont Business Magazine indicated that the economic impact of specialty food products for Vermont exceeds $1.2 billion annually. Northern New York agriculture is producing great value-added food products and every effort should be made to grow this segment of agriculture. We are not near our full capacity and initiatives should help agricultural businesses overcome barriers to growth. Cornell Cooperative Extension of Jefferson, Lewis and St. Lawrence counties are doing tremendous work to help producers add value to their products. The Jefferson County Local Development Corporation is putting its resources behind efforts to grow local food production. An example is our new website, www.comefarmwithus.com, which features a local foods page with an interactive map highlighting local farms and their available products. More than 50 farms in Jefferson County are listed to help visitors access fresh local products. But it’s important to not lose sight of the big picture when it comes to agriculture. Dairy farming is huge in Northern New York. Our climate is perfect, despite

lots of snow this season, for our farms to produce highquality feed that allows dairy animals to provide large volumes of high-quality milk. If you look at the number Jay Matteson of dairy cows in Jefferson, Lewis, and St. Lawrence counties in 2010, as a comparison to the Vermont figure above, the 86,500 dairy cows in our region provided a total economic impact of $1.2 billion. This is arrived at by using the economic multiplier of $13,737 per dairy cow, which is widely used in Pennsylvania, Wisconsin and elsewhere. The dairy industry is huge, thriving despite the changes we see, and has a bright future. We estimate that last year in Jefferson County $20 million was invested by dairy farms in improvements and expansions to their operations. We hope that this growth in our north country dairy industry helped New York finally reclaim its position as the third-largest dairy-producing state in the nation. According to Gov. Andrew M. Cuomo, New York surpassed Idaho by 57 million pounds to reclaim our thirdplace position lost in 2009. New York is the largest producer of cream cheese, with the largest manufacturing plant — Kraft Foods — located in Lewis County; and

cottage cheese, with the largest manufacturing plant — HP Hood — located in Jefferson County. And, New York has become the largest producer of Greek Yogurt, manufacturing 695 million pounds in 2012. New York has a tremendous amount to be proud of with our dairy industry and our ag development efforts should give all of agriculture its just due. With the new excitement about agriculture, our dairy industry and our local foods sector, one important aspect of a vision for agriculture has been missing: a national farm bill. Finally, it appears that by the time this column is published, the Congress will have passed a farm bill. The farm bill sets a vision for agriculture in the United States for the next five years. The legislation included the food stamp program that had been separated off in earlier versions of the bill. Income caps on farm subsidies and a voluntary program to provide price supports for dairy farms were included. It is certain that from one farm to the next, you’ll find a different opinion on whether this legislation was good or bad. It’s taken two years for Congress to finally arrive at something. At least now the agriculture sector knows what we have to work with and hopefully it does not dampen the opportunities and excitement we have for the farming industry.

n Jay M. Matteson is agricultural coordinator for the Jefferson County Industrial Development Agency. He is a lifelong Northern New York resident who lives in Lorraine. Contact him at coordinator@comefarmwithus.com. His column appears monthly in NNY Business.

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February 2014 | NNY Business

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BUSIN E SS T E C H B Y T E S

Jury still out on Gmail tab redesign

here is still personal and professional debate on the redesign of the Gmail Tabs inbox introduced late last summer. Personally I am a long-time user of Microsoft’s Hotmail and am still sporting an @msn.com email address even after the sweep functionality introduction and the move from Hotmail Live to Outlook. Even those bold moves by Microsoft’s Redmond crew was not as dramatic as the new look and functionality of the Google Gmail Tabs inbox. Google insists that it had a plan when it organized Gmail into the five tabs — primary, social, promotions, updates and forums. Primary was designed to arrange your incoming mail into “person-toperson conversations” with Google doing the reasoning on what you want to primarily read and see in your inbox. Social contains emails from your social networks. In this tab will be the email from Facebook telling you were tagged or mentioned in a post, connections requests from LinkedIn and Twitter notifications. The promotions tab is where deals, offers and marketing emails land. Many of these emails you’ll find belong and should be going directly to your spam folder. Some Gmail Tab users are even beginning to refer to the promotions tab as “spam 2.” The updates tab is meant to include “auto-generated updates including confirmations,” according to Google. This tab does seem to fill with your newsletters, press releases, event invitations and

confirmation of purchases. The forums tab was developed to manage emails from discussion boards and mailing groups. It seems to me that the intelligence Google Jill Van Hoesen is employing with emails to sort it into the above folders is just not on the mark. If you agree, there is a way to filter your email streams into the tabs you want, sort of. You must “star” each messages one by one and select the configuration checkbox that says “include starred in primary.” This does give you a bit of control in getting all items into your primary tab, but it’s terribly cumbersome since you must first find the email stream in one of other the five tabs. The jury is still out on Google’s Gmail tabs. From an email marketing standpoint all is not lost. Chad White, a principal of marketing research with Exact Target, a Salesforce.com company, said that according to return path, “Subscribers are opening promotional emails and checking their promotions tab at least once every day and engaging heavily with these emails.” Mr. White further contends, “Having your emails in the promotions tab will be a net positive for most brands. When users go to the promotions tab, they’re in a buying mood or at least more of a buy-

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NNY Business | February 2014

ing mood than when they’re interacting with emails from their friends and family in their primary tab. When users go to the promotions tab, they expect to find promotional emails and that’s what they get, which allows them to focus and get in shopping mode. Just visiting the promotions tab is a signal of buying intent, in the same way that visiting the mall is.” As Gmail users still adjust to the tabs system the long-term effects on email marketing remain unknown. While some Gmail users are turning off tabs all together, others are still trying to fine tune where their email streams so they land in the tab most suited to them. “Marketers could very well reap additional benefits from users who keep tabs enabled, but that will not become evident for some time,” Mr. White said. “Since promotional emails won’t compete directly with emails from friends and family, tab users may become more likely to stay subscribed to promotional emails longer, producing a more accurate subscriber lifetime value. For the same reason, tab users may be more inclined to sign up for promotional emails in the first place, so list growth could benefit.” Google, Hotmail or Yahoo, they all need to remember it’s about the “experience.” All development changes need to improve the overall email experience and contribute to consistent engagement for their users. Is anyone listening?

n Jill Van Hoesen is chief information officer for Johnson Newspapers and a 25-year IT veteran. Contact her at jvanhoesen@wdt.net. Her column appears monthly in NNY Business.

S M A L L BUSIN E SS SU C C E SS

Network effectively, gain contacts

n business you always hear about the importance of networking. But how many of us do it regularly and successfully? People who work in sales are usually good at networking, but what about the rest of us who have had no formal training on how to schmooze and build contacts? The good news is that no formal training is required. But a few pointers and some determination will help. First, it’s important to look at why you are networking. You may be looking to generate new sales leads, but there are a myriad of other reasons to build a network of contacts that are not directly sales driven. You may wish to form strategic alliances with other businesses to swap or combine skills, services or products. You may be seeking the support of other business owners who may have similar experiences, and with whom you can share ideas and encouragement. Or, you may be hoping to develop financial relationships with bankers, venture capitalists or investors. Keep your goals in mind as you begin developing your network. If you’ve never actively networked, you may feel like it’s a daunting task. But chances are you’ve already got the beginnings of a network from which you can build. Look at the contacts you have in every walk of life. Think of people you know from school or college, people who attend your church, or the parents

of your children’s friends. Evaluate the networking possibilities that already exist for you and then, depending on what your goals are, find new conMichelle Collins tacts that will fill in the gaps. LinkedIn and other similar social media sites are great for this. You’ll be able to locate people based on common

ties such as a chamber of commerce, civic club or alumni association. Public speaking engagements are a great way to become known. Find local clubs or events where speakers are needed in a topic area you’re familiar with. Another great way to network is to volunteer time for community events or local charities. Choose causes where your particular skills will be of help. Once you’ve found some opportunities for networking, it’s time to take action. Make an effort to go solo at these events, and try not to spend all of your time with people you know. Seize the chance to meet new people and seek out those who are different from yourself. Always bring business cards with you so when you make a new contact you have information handy. When talking with new contacts, listen and become aware of who they are, where their interests lie and what needs they have in their network. Remember that this is a time to build relationships, so avoid doing a sales pitch on new contacts. Find common interests and needs, and then follow up with a new contact as soon as possible to identify ways that you may work together.

Remember that this is a time to build relationships, so avoid doing a sales pitch on new contacts. Find common interests and needs, and then follow up with a new contact as soon as possible to identify ways that you may work together. interests who work in the same field. An entire column could be dedicated to strategies for making the most of LinkedIn, but if you use it as a jumping-off point you can begin finding contacts and then continue to use it to build relationships over time. In the non-cyber world, opportunities for networking abound. The challenge is getting out there and taking advantage of those opportunities. Join an organization that offers networking opportuni-

n MICHELLE COLLINS is a certified business advisor with the New York State Small Business Development Center at SUNY Canton. Contact her at collinsm@canton.edu. Her column appears bi-monthly in NNY Business.

February 2014 | NNY Business

| 35

business / community CALENDAR 36 |

Alexandria Bay Saturday, Feb. 22

n River Hospital’s 24th Annual Polar Bear Dip, 1 p.m., Bonnie Castle Resort and Marina, Holland Street. Registration: 9 a.m. to noon; jumpers begin at 1 p.m. Benefits the River Hospital Endowment Fund. Information: 482-4976.

Canton Wednesday, Feb. 19

n 18th Annual North Country Crop Congress, 9 a.m. to 3 p.m., Best Western University Inn, 90 E. Main St. Sponsored by Cornell Cooperative Extension, Jefferson, Lewis, St. Lawrence, Franklin, Clinton and Essex counties and Miner Institute. Admission: $25 by Friday, Feb. 7; $30 at door, includes lunch and materials. Must attend entire program to receive DEC credits. Register: 379-9192, ext. 234.

Clayton Saturday, Feb. 22

n Clayton Rotary International Taste of the Town, 4 to 8 p.m., Clayton Opera House, Riverside Drive. Sponsored by Clayton Rotary Club. Samples of menu items from local vendors to taste. Silent auction sponsored by Thousand Island Emergency Rescue Service and Clayton Rotary. Tickets: $5. Information and advance tickets: Tom LaClair, tomlaclair624@yahoo.com or Polly Baril at ggjetski@yahoo.com.

Thursday, Feb. 27

n Clayton Chamber of Commerce Business With a Twist, 5 to 7 p.m., O’Briens Restaurant & Bar, Webb Street. Free networking event for Clayton Chamber members and guests. Sponsored by O’Brien’s Restaurant & Bar, Thousand Islands Young Leaders Org. and Watertown Savings Bank. Register: 686-3771.

Thursday, March 20

n Clayton Chamber of Commerce Business With a Twist, 5 to 7 p.m., St. Lawrence Pottery, 41468 NYS Route 12. Free networking

NNY Business | February 2014

event for Clayton Chamber members and guests. Sponsored by St. Lawrence Pottery and Bernie Sturr — Motivated Realty. Register: 686-3771.

Cape Vincent Saturday, Feb. 22

n Winter chicken barbecue, sponsored by United Church, United Church Memorial Hall, Broadway Street. Information: 654-2481.

Saturday, March 8

n Music, auction and dessert night, sponsored by United Church, United Church Memorial Hall, Broadway Street. Information: 654-2481.

Ft. Drum Thursday, Feb. 20

n Build Your Own Business, 9:30 to 11:30 a.m., Army Community Services Building. Sponsored by Watertown Small Business Development Center. Information and registration: 772-9611, sbdc@sunyjefferson.edu.

Monday, March 3 and Tuesday, March 4

n Boots 2 Business, 8 a.m. to 4 p.m. Sponsored by the Small Business Development Center at Jefferson Community College. Leaving the military and not sure what to do next? This two-day course is for soldiers transitioning from active duty who are interested in starting their own business. Topics include: local business opportunities from home-based to retail to service industry to online. Not staying in the area? Learn how to connect with the local Small Business Development Center in your future area. Participants learn how to research a potential market, licensing requirements, funding opportunities, operating tools and how to turn an idea into a plan. Participants must have completed a three-day Department of Labor Army Career and Alumni Program briefing before attending. Information: SBDC, 782-9262, or sbdc@sunyjefferson. edu. Register: ACAP, Clark Hall, Mount Belvedere, 772-3434.

Saturday, March 29

n Samaritan Auxiliary’s One Night, One Diamond, 6:30 to 11:30 p.m., the Commons on Fort Drum. Featuring fine dining and music from Atlas and the chance to win a half-karat diamond donated by Waterbury Fine Jewelers. Tickets: $150 per couple. Event proceeds to help buy an Arctic Sun Temperature Management System for Samaritan Medical Center’s emergency room and intensive care unit. Information: www. samaritanhealth.com/onod.

Lowville Wednesday, Feb. 26

n Local Resource Day, presented by the Greater Watertown-North Country Chamber of Commerce’s Small Business Assistance Program. 3 to 5 p.m., Ridge View Lodge, 7491 NYS Route 12. Free and open to the public. Individuals and business owners will educate the public about local programs followed by networking. Presentations: 3 to 4 p.m.; networking: 4 to 5 p.m. Participating programs: North Country Procurement and Technical Assistance Center, Small Business Development Center, Small Business Assistance Program, ACR Health, Lewis County Public Health Cancer Services Program, Primerica. R.S.V.P.: Katrina Kapustay, GWNC Chamber of Commerce Small Business Assistance Program specialist, 7884400 or sbap@watertownny.com.

Thursday, Feb. 27

n Lewis County Chamber of Commerce Business After Hours, 5:30 to 7 p.m., Jeb’s Restaurant, 5403 Shady Ave. Co-sponsored by Barkeater Craft Brewery. Enter for a chance to win a Kindle Fire HDX 7-inch tablet or a $50 gift certificate to Jeb’s, which will also unveil its new menu. Admission: $4. Register: Stacie Papineau, 376-2213. Information: www.lewiscountychamber.org.

Potsdam Monday, March 10

n “My Small Business 101” 6 to 8 p.m., Clarkson University’s Bernard H. Snell Hall, Room 212. Sponsored by Clarkson

consultants, learn how to get your team and yourself out of a comfort zone, learn how to discover the prospect’s buying motivation, and learn some Sandler strategies and tactics to get you and your team to the next level. $10 for members and $20 for nonmembers. Information: 470-1800.

Saranac Lake

n CEO Talks: A LunchTime Roundtable, Noon to 1:30 p.m., 115 W. Fayette St. Session leader will be Chris Fowler from SyracuseFirst. He will discuss the 10 percent shift and the value of procuring goods and services from local businesses. Lunch will be served. Space is limited to 30 people. Information: 470-1997.

Saturday, Feb. 22

n Ski to Hedgehog Pond, east of Cranberry Lake. Offered by Adirondack Mountain Club. Strenuous. Information: Tom Ortmeyer, 265-8219, tortmeye@gmail.com.

Syracuse Thursday, February 20

n Build a Strong Relationship for You & Your Company, 8:30 to 10 a.m., The Tech Garden 235 Harrison St. Presented By Strategic Communications, LLC. Learn strategies on how to create and maintain a strong reputation for yourself and your business through the effective use of public relations. Member ticket $10, Nonmember $20. Contact Karen DeJoseph at (315)470-1997 or kdejoseph@ centerstateceo.com.

Thursday, Feb. 27

n Business BEFORE Hours at Fleet Feet Sports, 8 to 9:30 a.m., 5800 Bridge St. Is your business interested in doing a corporate wellness program? Speak to the Fleet Feet’s corporate wellness coordinator about a plan that will work for your company. Breakfast and Coffee provided. Special Business Before Hour Deals on running clothing and accessories. $10 for members and $20 for non-members. Contact Lisa Metot for additional information at 315-470-1870 or lmetot@centerstateceo.com

Tuesday, March 11

n Jumpstart Your Career and Sales Team in 2014 … NOW! 8:30 to 10 a.m., 115 W. Fayette St. Presented by Rick Olszewski from SANDLER Training/Peoplesystems. Learn the 10 components for developing a formula for success, learn how traditional sales practices turn you and your team into “unpaid” sales

Tuesday, March 18

Friday, March 21

n Central New York Postal Customer Council “March Madness” seminar. Featured topics include: Every door direct mail, shipping products and services, Business Customer Gateway, meet the postmaster, nonprofit and standard mail, postal trivia and more. Stop at tables with topics that interest you and move on when the buzzer sounds. Admission: $5; included with $40 annual membership. Prizes and refreshments. Bella Domani, 5988 East Taft Road. Information: Natalie Dolan, 452-3408 or natalie.c.dolan@usps.gov.

Tupper Lake Saturday, March 15

n Coney Mountain snowshoe, south of Tupper Lake. Beginner’s mountain, possible hike if weather is warm, fairly easy. Offered by Adirondack Mountain Club, Laurentian Chapter. Information: Marianne Hebert, 265-0756, hebertm@potsdam.edu.

Watertown Wednesday, Feb. 19

n Greater Watertown North Country Chamber of Commerce Business After Hours, 5 to 7 p.m., Raymour and Flanigan, 1125 Arsenal St. $10 members (registered), $12 members (not registered), $15 non-members. Register by noon, Tuesday, Feb. 18. Infor-

mation and registration: www.watertownny. com or 788-4400.

Friday, March 7 to Saturday, March 8

n Bus trip to Detroit Autorama, departs from Watertown. Detroit, Mich., through Canada. One-night stay at GM Reaissance Center. Two-day pass to car show. Passport or enhanced license required. Cost: $183 to $301, based on number of attendees. Reservations, information: Sean Ripp, 583-5246 or 788-9921.

Thursday, March 13

n 2013 Business of the Year Awards Presentation and Annual Meeting, 11:30 a.m., Black River Valley Club, 131 Washington St. $20 payable in advance. Meal choices: cranberry almond chicken salad, cheeseburger, chicken sandwich, broiled haddock or vegetarian lasagna. Sponsored by M&T Bank, Davidson Auto Group, Thousand Islands Winery, Westelcom, Fort Drum Mountain Community Homes, Timeless Frames, Décor and Expressions, Watertown Daily Times and NNY Business magazine. Register by noon, Wednesday, March 5, online at www.watertownny.com, by email to events@ watertownny.com or call 788-4400.

Wednesday, March 19

n Greater Watertown North Country Chamber of Commerce Business After Hours, 5 to 7 p.m., Davidson Nissan, 18439 U.S. Route 11. $10 members (registered), $12 members (not registered), $15 non-members. Information and registration: www. watertownny.com or 788-4400.

Wednesdays through April 30

n Watertown Winter Farm & Craft Market, 10 a.m. to 4 p.m. Bottom floor of the Stream Building, Top of the Square Mall, 146 Arsenal St.  GOT A BUSINESS EVENT or calendar item? Email nnybusiness@wdt.net. Deadline is the 10th of each month for the following month’s issue. Visit us on Facebook at www. facebook.com/NNYBusiness or www.nnybizmag.com for events calendar updates.

BUSINESS / community CALENDAR

University and the Reh Center for Entrepreneurship. A free four-week course for small business owners to learn critical elements of business operation, including managing productivity, thinking strategically, making effective decisions and executing sound financial management. Register: rehcenter@ clarkson.edu or 268-3995.

February 2014 | NNY Business

| 37

BUSIN E SS S C E N E Clayton Chamber of Commerce Business With A Twist at Thousand Islands Museum

From left, Angela Cippullo, Clipper Inn, Clayton, and Cindy Beattie, owner,

Channelside, Clayton.

MATT COSTANTINO PHOTOS | NNY BUSINESS

From left, Christine Brown, Margaret Hummel and Michael Folsom, Antique Boat Museum, Clayton. The Thousand Islands Museum hosted the Clayton Chamber of Commerce December Business With a Twist on Dec. 12.

From left, Dan Throop, owner, River Audio, Clayton, and Tom Humberstone, president, Thousand Islands Museum board of directors. River Audio donated the HD television in the background to the museum.

MATT COSTANTINO PHOTOS | NNY BUSINESS

From left, Mark Morgia, owner, Morgia Masonry, Clayton, Kylie Buker, Car-

thage Central Schools, Meredith Fiorentino, Watertown Savings Bank, and Kristen Youngs.

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NNY Business | February 2014

BUSIN E SS S C E N E Clayton Chamber of Commerce Business With A Twist at Clayton Food Co-Op

From left, Ashley Myers and Azure Arnot, Clayton Food Co-Op.

From left, Denise Robertson, Edenfield Farm, Theresa, and Dani Baker, Cross Island Farms, Wellesley Island.

MATT COSTANTINO PHOTOS | NNY BUSINESS

From left, Pamela S. Marshall, Cerow Agency, Clayton, Jeff Fox, W.D. Me-

chanical, Clayton, Christine A. Powers, Watertown Savings Bank, and Brice Cerow, Cerow Agency, Clayton. Clayton Food Co-Op and W.D. Mechanical sponsored January’s Clayton Chamber of Commerce Business With a Twist at Clayton Food Co-Op on Jan. 15.

From left, Andrew Costantino and cousin, Jeff Garnsey, Garnsey Classic

Island Cruises, Clayton, and Greg Calhoun, Absolute Construction, Clayton.

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www.simplicitymfg.com February 2014 | NNY Business

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BUSIN E SS S C E N E Lewis County Chamber of Commerce Business After Hours at Myers Towpath

From left, Rob Snyder and Patrick Currier, both of Aubertine & Currier Architects, Engineers, and Land Surveyors, Watertown.

Donna and Larry Dolhoff. Mr. Dolhoff is a newly elected Lewis County legislator.

KEN EYSAMAN PHOTOS | NNY BUSINESS

Josh Olmstead, left, Galen Moshier, far right, both of Sherwin Williams Lowville, and Brianne Bush, center, Lewis County office of the New York State Department of Motor Vehicles. The Lewis County Chamber of Commerce held its January Business After Hours at at Myers Towpath Restaurant & Lodge, Turin, on Jan. 15.

Jennifer and Greg Myers, owners, Myers Towpath Restaurant & Lodge.

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NNY Business | February 2014

SERVICE

BUSIN E SS S C E N E GWNC Chamber of Commerce Business After Hours at Guilfoyle Ambulance

From left, Shereen Daly, and Tricia Moore, In Motion School of Dance, Watertown,

Jessica Smith and husband, Terrence, Rust Check, Watertown.

KYLE R. HAYES PHOTOS | NNY BUSINESS

From left, Jamie Ganter, Bryon Perry, both of Knowlton Technologies, Watertown, Andrea Dumas, Suburban Propane, Watertown, and Martin Crossman and Brad Traynor, both of Knowlton Technologies.

KYLE R. HAYES PHOTOS | NNY BUSINESS

From left, Bruce Wright and Jeff Call, Guilfoyle Ambulance, Watertown. Guilfoyle Ambulance hosted January’s Greater Watertown-North Country Chamber of Commerce Business After Hours on Jan. 15, at the Bruce M. Wright Memorial Conference Center off Faichney Drive, Watertown.

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NNY Business | February 2014

F E ATUR E S woodworker, from page 21 ber from his family’s wood lot in Lewis County. But expect to wait two to three years for pieces built from “green” wood. For furniture building, moisture content should be between 6 and 10 percent. Otherwise, wood can shrink and deform if not sufficiently dried. “I air dry this wood, which is why it takes so long, and why I don’t use it for more projects,” he said. “It comes down to time considerations.” Much of his lumber comes locally from Lakeshore Hardwood in Pulaski.

“I like using local products and supporting local business,” he said. Not to mention, this lumber is dried in a kiln to ideal moisture content, and ready to go. “More than developing an art, woodworking for me is about functionality and design — how it’s engineered and how it functions,” Mr. Eberle said. His attention to detail and quality are without exception. He loves what he does. But what may appear as a seamless process is the result of much trial and error. Mr. Eberle knows how much “firewood”

he has made, and will likely continue to make while perfecting his craft. When all is said and done, Mr. Eberle said, “Keep trying, and keep making firewood.” For examples of Mr. Eberle’s work, visit his Facebook page at: www.facebook.com/ pages/J-Eberle-Woodworking. For information or questions, email Mr. Eberle at josephjeberle@gmail.com. n Grace E. Johnston is staff writer and editorial assistant for NNY Magazines. Contact her at gjohnston@wdt.net or 315-661-2381.

February 2014 | NNY Business

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BUSIN E SS H ISTOR Y

Firm began with simple challenge n Frink Sno-Plow

Co. once ‘largest snowplow maker on the continent’ By Grace E. Johnston

Y NNY Business

ou’re liable to kill somebody with that outfit,” Carl H. Frink told Frederick I. Dailey nearly a century ago. Mr. Dailey was desperate to keep the roads clear for his bus lines during the winter months of 1920. So much so, that he rigged up a wooden plow that dragged crudely behind his Cadillac roadster, determined to keep the roadways open for his busses to travel between Alex Bay, Clayton and Watertown. Most of his friends laughed at him. His wooden plow careened behind his car. It was reported that on one occasion the “plow” swerved suddenly, breaking the leg of a passing horse. “Why don’t you make a plow and attach it to the car,” Mr. Frink said. “Can you make it for me?” Mr. Dailey said. “Yes, I think so,” Mr. Frink said. “Alright. Get the stuff, go ahead, and make it for me,” Mr. Dailey said. That was it. Mr. Dailey’s straightforward request led to what became the world-renowned Carl H. Frink Sno-Plow Co. — a $1 million-a-year, Clayton-based business that breasted more than 60 years in operation. Mr. Dailey used the first of Mr. Frink’s plows during the winter of 1921. It won distinction by effectively clearing the roads and keeping them open even during the most severe storms. From that time on, the success of the Frink plow was assured. Mr. Frink gradually developed features in his products which garnered fame for his innovations in efficiency and durability, creating demand for Frink plows across the country and abroad. Countries such as Austria, Norway,

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NNY Business | February 2014

WATERTOWN DAILY TIMES ARCHIVES

A welder works on a snowplow blade at the former Frink Sno-Plow Co., Clayton, in January 1967.

Italy, Germany and Switzerland clamored for Frink snowplows. Born in West Carthage in 1886, Mr. Frink learned the metalworking craft as a plate and metalworker with the Franklin Motor Company in Syracuse during the World War I era. He moved to Clayton in 1918, where he worked in the plumbing business and later opened a small vulcanizing business and tin shop on Riverside Drive. His first plow was fashioned at the Hyde Brothers’ shop in Watertown and hand assembled in Clayton. It was an under-slung model with the plow mounted beneath and to the rear of Mr. Dailey’s Cadillac. It could also be mounted and used on a truck with little modification. Mr. Frink built this first plow and promptly forgot about it, until other bus lines began inquiring about it. The next year he built two more, and business grew rapidly. In 1922, Frink’s company built 14 plows in the Plumpton & Gonseth garages in Clayton. This began the first steps toward formation of a permanent

organization to manufacture plows. At that time, many passenger and freight transportation companies, townships and villages were hopelessly battling huge snow drifts with ineffective plows. Mr. Frink conceived the method to suspend a plow from three points at the front end of a truck chassis and the idea to balance the rear half of the plow to provide ballast for the front end of the truck, thus preventing the front wheels from slipping sideways. The first Frink patent was issued in June 1926, and was the forerunner of about 20 to be held by the firm in the United States and Canada. In 1923, Mr. Frink began to experiment with the V-shaped plow which was a radical change to the original straight plow design. It was met with almost immediate approval of purchasers, according to an article from the day. During World War II, the company filled a $1.35 million contract with the Army, and by 1952 was a leading supplier of snow removal equipment for the U.S. military and municipal govern-

ments across the country. The company saw expansion into the western United States through a contract with Davenport Locomotive and Manufacturing Co., Davenport, Iowa, and an expanded hold on the Canadian snowplow market through a manufacturing venture with Gordon Steel Works, Tweed, Ont. Mr. Frink’s company is credited with the design and development of the frontmounted “V” plow, side-mounted “leveling wing” systems and, ultimately, the front-mounted “one-way” plow, which is still very popular today. In 1954 the innovative “Roll-Over”

The first Frink patent was issued in June 1926, and was the forerunner of about 20 to be held by the firm in the United States and Canada. plow was introduced and used extensively by state transportation agencies, military bases and airports. And the introduction of the “Reverse-A-Cast” plow in the late 1980s completed a long list of Frink product innovations. Frink Sno-Plow became Frink America in 1983 as it tried to shed its image as solely a snowplow producer. The change in name coincided with a change in fortunes for the company in the 1980s as it struggled to compete in the face of a general economic downturn as well as stronger regional and national competitors. In 1991, the company halted production at its Clayton site. Frink America was acquired by Everest Equipment Co. in 2000. Described in an article dated Dec.24, 1936, “Frink’s is now the largest plowmaking firm on the continent, growing and spreading through years of depression, untouched by hard times because its product was wanted.” Today, after years of environmental remediation, the Riverside Drive property on which the Frink plow factory once stood is being transformed into a destination resort hotel — Clayton Harbor Hotel — and is slated to open this summer. n Business history is a monthly feature from the archives of the Watertown Daily Times. Visit www.watertowndailytimes. com to access digital archives since 1988, or stop by the Times, 260 Washington St., Watertown to research materials in our library that date back to the 1800s.

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February 2014 | NNY Business

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W H AT ’ S H A P P E NIN G H E R E ? richard e. winter cancer treatment center expansion Location: 214 King St.,

Ogdensburg. The finished cancer center will expand into the parking lot near the corner of Mansion Avenue and Ogden Street.

company: Claxton-Hepburn Medical Center

SIZE: 3,264 square feet COST: $4.2 million completion: May 2014 FEATURES: At the heart of the

expansion will be a Trilogy linear accelerator that will give the cancer treatment center the capability to target specific cancer cells and deliver high doses of radiation to them while not damaging nearby healthy cells.

Local jobs: About a dozen

construction jobs; several medical personnel jobs with completion of expanded facility. — Compiled by Grace E. Johnston

SEAN EWART | NNY BUSINESS

Construction crews pour the walls of the expansion to the Richard E. Winter Cancer Treatment Center at ClaxtonHepburn Medical Center on Jan. 26. The 3,264-sqaure-foot, $4.2 million project is slated for completion in May.

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NNY Business | February 2014

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n our March issue — our annual salute to women in business — we share the stories of north country women who are keeping women and family together in monther-daughter businesses. Also coming next month:

n WOMEN AT WORK We send our photographers off to work with several north country women to capture the story of the modern-day workplace. n women Entrepreneurs: A look at a few north country women who have seized new oppportunities in small business. n 20 QUESTIONS: With Karen Y. Richmond, executive director, North Country Children’s Home. n PLUS: Small Business Startup, NNY Snapshot, Economically Speaking, Commerce Corner, Nonprofits Today, Business Tech Bytes, Small Business Success, Real Estate, Agri-Business, Business History, Business Scene. n VISIT US ONLINE at www.nnybizmag.com. Follow us on Twitter for daily updates at @NNYBusinessMag, like us on Facebook at www.facebook.com/nnybusiness, and view eEditions at www.issuu.com/NNYBusiness.

February 2014 | NNY Business

| 47

BusIness

www.nnybizmag.com

260 Washington St. Watertown, NY 13601

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