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September 2015 BizNewOrleans.com
Editor’s Note
Time To Vote! R
egardless of what the temperature says, fall is here, and with it this year will come a new governor.
While a recent study by LSU’s public policy research lab shows that most Louisianans aren’t paying much attention to the election, business groups and leaders seem to be united in the idea that things have to change, and each has its own wish list for Jindal’s replacement. In this issue we’re excited to present you with a thoughtful piece by well-known political reporter Tyler Bridges, who takes a look at the candidates and business issues shaping the state leading up to the October 24 election and beyond. Of course one issue never seems to be far away from the minds of New Orleanians, and that is crime. This month’s Q&A is with Darlene Cusanza, who for 20 years now has been leading Crimestoppers Greater New Orleans’ efforts to engage citizens in helping to solve crime. In the spirit of back to school, this month we’ve also added an extra feature on Delgado Community College. Whenever I ask business leaders about the biggest issue affecting their industry I inevitably get the same answer: workforce development. In this arena, Delgado is the name to know. It’s exciting to see the strides they are making in virtually every industry. Finally, whether you’re a student yourself, or have your own at home, back to school time is also an excellent time to remember that you also have a newly widened array of alcohol delivery services available day and night. This month’s “Why Didn’t I Think of That” examines them all. On that note, happy fall and happy reading,
Happy reading.
Kimberley@BizNewOrleans.com
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SEPTEMBER 2015 | volume 1 | issue 12
Publisher Todd Matherne Editorial Editor-in-chief Errol Laborde Managing Editor Kimberley Singletary Art Director Antoine Passelac Photographer Cheryl Gerber Web Editor Kelly Massicot Assoc. Multimedia News Editor Leslie T. Snadowsky Contributors Tyler Bridges, Suzanne Ferrara, Carolyn Heneghan, Pamela Marquis, Lucie Monk, Jason Perry, Charlotte Piotrowski, Darrin Piotrowski, Chris Price, Peter Reichard, Judi Russell, Jennifer Gibson Schecter, Melanie Spencer, Keith Twitchell, Bonnie Warren advertising Vice President of Sales Colleen Monaghan Sales Manager Maegan O’Brien Maegan@BizNewOrleans.com (504) 830-7219 Account Executive Caitlin Sistrunk Caitlin@BizNewOrleans.com (504) 830-7252 Account Executive Courtney Andrée Courtney@bizneworleans.com (504) 830-7225 PRODUCTION Production/Web Manager Staci McCarty Production Designers Ali Sullivan, Monique DiPietro, Claire Geary Traffic Coordinator Jessica DeBold administration Chief Executive Officer Todd Matherne President Alan Campell Executive Vice President Errol Laborde Vice President of Sales Colleen Monaghan Director of Marketing & Events Cheryl Lemoine Administrative Assistant Denise Dean Distribution Manager John Holzer Subscriptions Manager Sara Kelemencky
110 Veterans Blvd., Suite 123, Metairie, LA 70005 (504) 828-1380 Biz New Orleans is published monthly by Renaissance Publishing, LLC, 110 Veterans Blvd., Suite 123, Metairie, LA 70005; (504) 828-1380. Subscription rate: one year $24.95, two year $39.95, three year $49.95 — foreign rates vary call for pricing. Postage paid at Metairie, LA, and additional mailing entry offices. POSTMASTER: Send address changes to Biz New Orleans, 110 Veterans Blvd., Suite 123, Metairie, LA 70005. Copyright 2015 Biz New Orleans. No part of this publication may be reproduced without the consent of the publisher. The trademark Biz New Orleans is registered. Biz New Orleans is not responsible for unsolicited manuscripts, photos and artwork, even if accompanied by a self-addressed stamped envelope. The opinions expressed in Biz New Orleans are those of the authors and do not necessarily reflect the views of the magazine or owner. 6
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Contents
52
44
38
Features
From the Lens
On the Cover
38 The Next Governor
76 Great Offices
Local business groups share their hopes
Who will fill Jindal’s seat and what’s at stake for business?
for a new leader.
86 Why Didn’t I Think of That?
44 Gaming Powers Up
Boosted by tax credits, the gaming industry
is taking hold.
52 Delgado Delivers
Delgado Community College tackles
workforce development in a variety of industries.
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Terry Epton, president of Hosts New Orleans.
Alcohol delivery options continue to expand.
88 Behind the Scenes
Laitram’s shrimp peeler
Contents
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24
80
Columns
Perspectives
News
20 Dining Biz
58 Accounting
18 Calendar
The post-Katrina culinary landscape
22 Tourism Biz
In celebration of seafood
24 Sports Biz
With the stadium paid off, Tulane looks at improving performance.
26 Film Biz
Local actress returns home to work on latest Nicholas Cage movie.
28 Entrepreneur Biz
Japanese entrepreneurism: part one
of a two-part series.
30 Biz Etiquette
Don’t be a kitchen pig.
32 Tech Biz
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Could you benefit from a MOOC?
September 2015 BizNewOrleans.com
A look at the ways accounting firms are standing out.
62 Insurance & Investments
Advice for life insurance payouts.
66 Banking & Finance
The pros and cons of angel investors.
72 Guest Viewpoint
With a computer network it’s all about the ounce of prevention.
Upcoming events not to miss
34 Biz Bits
Industry news
80 Biz Person of the Month
Q&A with Darlene Cusanza, president of Crimestoppers Greater New Orleans.
94 Around Town – Events
Industry gatherings
BizNewOrleans.com September 2015
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Publisher’s Note
Go Saints
I
t has been a long summer. With a late Labor Day occurring on September 7th this year, that just makes the home stretch to fall seem even further away. But wait — it is football season; that started three weeks ago and makes the long summer tolerable. My favorite time of year is seeing the Boys in Black and Gold hit the field for another optimistic season. The beauty of sports is that every year, every season, all of the teams start off with the same record and have the same quest to be the best. I am one of those eternal optimists that goes into September feeling and hoping for a playoff run come January. Like sports seasons, our business also has a run of our own and this year we have been on a Super Bowl pace. In 2015, our team of over 30 talented staff members, along with dozens of freelancers and custom publishing partners, will produce over 125 magazines and events. All of which would not happen without the great support of our readers and advertisers. So, as we hit our playoff run in the fourth quarter of 2015, look out for more winning magazines and events from our team and I hope to see you at some of these great affairs and maybe we will all be celebrating come January with our Boys in Black and Gold. Go Team RenPub. Todd Matherne
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Meet the Sales Staff Colleen Monaghan Vice President of Sales With over 30 years in the publishing and non-profit sectors, Colleen Monaghan is an accomplished sales strategist and solution-oriented Vice President of Sales at Renaissance Publishing. She thrives in challenging, fast-paced environments where her performance directly impacts the bottom line. As a seventh generation New Orleanean, Colleen loves her hometown of New Orleans with a passion, enjoys volunteering in the non-profit sector allows Colleen to strategize about new events that bring people together in a fun environment while also raising money. Colleen loves art collecting, traveling the world and living life to its fullest, while wearing fabulous hats and elaborate costumes while partaking in the elixir of life, Vino Dahling! You can reach Colleen at (504) 830-7215 or Colleen@BizNewOrleans.com.
Maegan O’Brien Sales Manager, Biz New Orleans Maegan O’Brien was born in New Orleans and raised on the Northshore in Mandeville, La. She graduated from Louisiana State University in 2010 with a bachelor’s degree in finance, but marketing and advertising are her true callings. She currently lives in Old Metairie and loves traveling, wining and dining, and spending time with family and great friends. You can reach Maegan at (504) 830-7219 or Maegan@BizNewOrleans.com.
Caitlin Sistrunk Account Executive, Biz New Orleans Caitlin Sistrunk was born in New Orleans and raised in Covington, La. She graduated from Louisiana State University with a bachelor’s degree in marketing. While attending LSU, Caitlin fell in love with both marketing and advertising. She is ecstatic to begin her career as a sales associate with our new magazine. Caitlin loves painting, hanging with friends and cooking. You can reach Caitlin at (504) 830-7252 or Caitlin@BizNewOrleans.com.
Courtney Andrée Account Executive, Biz New Orleans Courtney is a native New Orleanian who enjoys all our city has to offer. Her favorites include outdoor music festivals, shopping on Magazine Street and sipping on cocktails with her mom at the trendiest new places around town. She’s an animal lover and couldn’t imagine her life without her two rescues, Billy & Lilly. She loves being on the water, especially fishing and trips to the beach. You can reach Courtney at (504) 830-7225 or Courtney@BizNewOrleans.com. 14
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Calendar Thursday, September 3
Friday, September 18
New Orleans Regional Black Chamber of Commerce 2015 Biz to Biz Breakfast & Trade Fair
Entrepreneurs’ Organization Louisiana Chapter Luncheon with James Kane
9 a.m. – 2 p.m. Hyatt Regency 601 Loyola Avenue, New Orleans
12 – 1 p.m.
NORBChamber.org
September 9-11 Jefferson Chamber of Commerce 2015 Washington Fly-In
Washington, D.C. JeffersonChamber.org
EOLouisiana.org
Wednesday, September 23 Jefferson Chamber of Commerce Prosper Jefferson Seminar Series: Business Financing
9 – 10 a.m. Jefferson Parish East Bank Regional Library Jefferson Room 4747 West Napoleon Ave., Metairie JeffersonChamber.org
Thursday, September 10 ABWA Crescent City Connections Monthly luncheon featuring Melissa Willis “3 Colossal Mistakes Business Owners Make When Networking”
11 a.m. – 1 p.m. Heritage Grill by Ralph Brennan 111 Veterans Memorial Blvd., Metairie ABWANewOrleans.org
Friday, September 11 Downtown NOLA Awards Keynote Speaker State Treasurer John Kennedy
Thursday, September 24 St. Tammany West Chamber of Commerce Business After Hours
4:30 – 6:30 p.m. Heritage Bank of St. Tammany 205 North Columbia St., Covington StTammanyChamber.org
Thursday, September 24 Entrepreneurs’ Organization Louisiana Chapter EO Learning Day: Accelerate Your Execution
8:30 a.m. – 4:30 p.m. Kean Miller Law Offices 909 Poydras St., #3600, New Orleans EOLouisiana.org
Thursday, October 8 ABWA New Orleans 2015 Leadership Conference D.R.I.V.E. Communication Workshop
1 – 4 p.m. NOLA Motor Sports Park 11075 Nicolle Blvd, Avondale ABWANewOrleans.org
11 a.m. – 1:30 p.m. Astor Crowne Plaza New Orleans 739 Canal St. DowntownNOLA.com/awards
Saturday, September 12 Hospice Foundation of the South Inaugural Beer Tasting and Poker Run
October 12-13 5th Annual Economic & Real Estate Forecast Symposium Greater New Orleans Real Estate, 10 Years After
Loyola University, Roussel Hall 6363 St. Charles Ave., New Orleans NOMAR.org
9 a.m. Lakeshore Marina & Yacht Harbor 62602 West End Blvd., Slidell HospiceFoundationOfTheSouth.org
We’d love to include your business-related event in next month’s calendar. Please email details to Editorial@BizNewOrleans.com.
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Columns | Dining Biz The Ruby Slipper in the Marigny is just one of the many places to now grab breakfast in New Orleans.
Out of the Ashes and Into the Frying Pan Post-Katrina, Crescent City dining has undergone an exciting renaissance.
L Peter Reichard is a native New Orleanian who has written about the life and times of the city for more than 20 years, including as a former newspaper editor and business journalist.
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ast month, I discussed the demise of various dining institutions as a result of the Katrina disaster. The losses included places like Bruning’s, Christian’s and Restaurant Mandich. But in the months immediately after the disaster, us locals took a break from cleaning up the ruins of our lives and the bleak rows of abandoned refrigerators to find an open restaurant. We ate and drank – drank a lot. The restaurants and their customers had a particularly symbiotic relationship in those days. And out of the ashes, a lot of new life has emerged in the local restaurant field.
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New empires were born. Adolfo Garcia opened Ancora, High Hat Café and Primitivo. John Besh started an internationally flavored empire, opening places like Borgne, Domenica, Johnny Sanchez, Luke and Shaya. Hotel restaurants got better. On a Besh-related note, the old hotel restaurant stigma of mediocrity is all but dead. Drago’s, Domenica, Borgne, Luke and Restaurant R’evolution are all popular, and all located in hotels. We started eating a lot of breakfast. If the proliferation of Ruby Slipper locations alone is any indication, New Orleans is eating a lot more breakfast nowadays. Another Broken Egg
has been expanding its reach as well. Then there are the little guys, with evocative names like Wakin’ Bakin’. We started eating a bunch of hamburgers and hot dogs. New supercharged hamburger places started popping up, including Atomic Burger, Company Burger and the Backyard. Dat Dog supplied the hot dogs. The fine-dining footprint expanded. Neighborhoods not previously known for fine dining options suddenly got them. They include Bywater, Central City and parts of Freret Street. Food trucks rolled in. This new form of fast food takes the drive up to you, rather than the other way around. The trucks frequent various underserved office buildings and construction. On the downside, I’ve seen them parked in passenger zones, on neutral grounds and even in the right-hand traffic lane/bike lane during rush hour. But food trucks are suddenly a big deal in New Orleans, and some of them are serving sophisticated chow. Pho made a splash. There were great pho shops before Katrina – Pho Tau Bay comes to mind — but there weren’t that many of them, and those that existed were on the margin. Nowadays, Vietnamese is well into the mainstream with venues like Magasin Uptown and in the CBD and a passel of places in Mid-City, including the newer MoPho on City Park Avenue and Namese on Carrollton at Tulane. There was a Mexican revolution. For a while there, it seemed like a new Mexican place was opening every month. Given its proximity to Mexico, New Orleans had always been surprisingly underserved in this department. A friend from Texas used to always complain about this. But with the expansion of the El Gato Negro, Felipe’s and Juan’s Flying Burrito, and the opening of more haute places like La Casita and Johnny Sanchez, New Orleans is moving adelante. Brennan’s died and went to Ralph Brennan. Brennan’s had felt for years like it was coasting. This old Crescent City institution needed a makeover, and got one. n Photo Cheryl Gerber
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Columns | Tourism Biz
Seafood and Eat It Louisiana Seafood Festival highlights an economic engine.
E Jennifer Gibson Schecter was
once a tourist in New Orleans herself and is now proud to call NOLA home. Prior to New Orleans, she wrote for publications in the Midwest and New York City. She advises travelers to ask their cab/pedicab/ gondola driver for their favorite restaurant and taking a chance.
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ating locally is a growing trend in the United States, and for Louisiana residents and visitors, delicious seafood from area waters has long been part of the culinary economy. To celebrate this important economic engine and gastronomic delight, the Louisiana Hospitality Foundation hosts the annual Louisiana Seafood Festival Sept. 4-6 at the City Park Festival Grounds. According to the Louisiana Seafood Promotion and Marketing Board, “One out of every 70 jobs in Louisiana is related to the seafood industry, which as a whole has an economic impact of over $2.4 billion annually for Louisiana. Many of these jobs are in family-owned and -operated companies that have worked
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for generations to bring the finest seafood to the tables of the world.” The finest seafood will indeed be served at the festival. The 2015 food vendor list is impressive, featuring restaurants locals adore and tourists travel to New Orleans to experience. Highlights include Acme Oyster House, Drago’s, Galatoire’s, Luke and Seither’s Seafood. More than 25 vendors will be in attendance, and because admission is free, attendees are free to csome back over the course of three days to make sure they don’t miss a thing. “The festival continues to put the spotlight on the six species of seafood that come from our waters — finfish, shrimp, oyster, crab, crawfish and alligator, says Jennifer Kelley, executive director of the Louisiana
Hospitality Foundation. “Between the food vendors offering around 80 seafood dishes and the 15 cooking demonstrations showing how to prepare Louisiana seafood products, guests have no choice but to be engrossed in all things Louisiana seafood!” The Louisiana Seafood Festival reported over 55,000 guests in 2014, a 22 percent increase over the previous year. This year they expect another increase and have invested in the event to see it grow year over year. A recent addition that has proven to be a guest favorite is the VIP Beer Garden. “This year guests aged 21 and older can donate a $10 admission fee (per day) to access the beer garden, which gets them a 16-ounce souvenir beer stein and their first beer free,” Kelley says. “Craft draft that is served in the Beer Garden will be $6 each, and we plan to have 20 different beers on tap. This is a beer VIP area, a place to be seen and catch up with your friends. It is located with perfect positioning to view the music stage, and has lots of shade.” The music lineup is still being finalized at the time of publication, but previous artists included national recording artists Gin Blossoms, Pat Green, Drivin N Cryin and Marc Broussard, as well as local favorites such as Flow Tribe, Eric Lindell, Deadeye Dick and many others. The Louisiana Seafood Festival continues to highlight both the importance of buying seafood and supporting the hospitality industry. “The Festival is a major fundraiser and signature event for the Louisiana Hospitality Foundation, whose mission is to facilitate the resources of the hospitality industry to provide support for the education, health and social welfare of children in the community,” Kelley says, adding that the organization utilizes an event fundraising model to raise funds to give back to programs across the state. “We want everyone to eat Louisiana seafood products,” she says. “They are delicious, nutritious and plentiful. Buying Louisiana seafood also helps keep a historic part of our economy rolling — from fishermen to processors to wholesalers to retailers — we need the cycle to continue so Louisiana can continue to thrive.” For more details, visit LouisianaSeaFoodFestival.com. n Photo Cheryl Gerber
Columns | Sports Biz I want my Wave TV From 2004-2014, 24 Tulane games were nationally televised, roughly 2.5 broadcasts a year. After joining the American Athletic Conference last September, Green Wave teams had 69 national broadcasts in the following seven months. Celebrity Culture
One for the Money, Two for the Show With the on-campus football stadium paid off in its first year, Tulane focuses its second year on improving the program.
T chris price is an award-winning journalist and public relations principal. When he’s not writing, he’s avid about music, the outdoors, and Saints, Ole Miss and Chelsea football.
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ulane Athletic Director Rick Dickson is still getting used to the compliments about his team’s football program. Excuse him for being bashful; he’s just not accustomed to receiving such accolades. Last year Green Wave football returned to campus after 40 years of play in the MercedesBenz Superdome. Alumni, students and friends of the program immediately took to the on-campus experience, complete with the pageantry of a traditional college-football environment lacking at the Dome. It’s an amazing story, considering that a decade ago the devastation following Hurricane Katrina brought dark days for Green Wave athletics, including the possibility of Tulane’s sports dropping from Division I to Division III or even disappearing altogether. But instead of shutting down, Dickson believed the school should invest in athletics. His vision included the rise of an on-campus football stadium, which would transform Tulane’s
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entire athletic program. He has been proved right from the outset. The idea invigorated alumni and friends of the program. Tulane was able to raise nearly half the funding for the $50 million stadium project within a year after it was announced in 2011. When construction ran $20 million over budget — stadium namesake Richard Yulman, former Serta owner and Tulane Board member who gave $15 million toward the 30,000-seat stadium’s construction — issued the “Yulman Challenge” to raise the additional money. This month Dickon will announce it has already received pledges to pay the stadium in full. “We’re very pleased to say the stadium campaign is complete,” he says. That doesn’t mean Tulane’s athletic administration is resting on its laurels. This offseason Tulane made $1 million in stadium improvements, including moving the broadcast booth from the west side of the stadium
As Hollywood South, New Orleans is no stranger to the famous, but Tulane Football is developing a reputation as a home for celebrity progeny. Nick Montana, son of four-time Super Bowl-winning quarterback Joe Montana, played for the Green Wave from 2013-14. Junior linebacker Nico Marley is reggae legend Bob Marley’s grandson. Now, Willow Street whispers say actor Liam Neeson’s son, Daniel, intends to walk on as a kicker this spring.
to the east side behind Tulane’s bench, and adding new game clocks and ribbon video boards to the west side seats. In addition, AT&T added a $2 million system to improve Wi-Fi access inside the stadium. The school is also looking at additional revenue from naming rights options for the plaza at the stadium’s main gate, the scoreboard and the stadium’s multipurpose room. Dickson’s vision of the impact an oncampus stadium could have on the athletic program is coming to fruition. Now recruits and their families are taking note. “We’ve got one commitment who said he was overwhelmed by Yulman Stadium,” Dickson says. “Think about that! To see that as a headline during recruiting, to see a kid come out, on his own, and say that – that’s exactly what we wanted. We had another recruit visit here who had seen Baylor, Oklahoma State and Arkansas, and he and his family remarked about our facilities. That’s not something that was said to me much in my first 12, 13 years here.” Dickon says he’s witnessed firsthand the buzz and excitement created by the stadium. “It’s not Texas, LSU or Nebraska, but there’s an energy that we weren’t able to provide before,” he says. “It’s helping not just football, but in recruiting for other sports as well. There’s an atmosphere and environment that provides more of a traditional college experience. We’ve been playing offBroadway, and now we’re not necessarily at the heart and center of Broadway, but we’re on the boulevard,” he says. “We’re in the mix; that’s all you can ask for.” n Photo Rusty Costanza
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Columns | Film Biz
Running Home Recently released NOLA-shot film “The Runner” has a special meaning to Baton Rouge native Brooke Hoover.
A
Kimberley Singletary is the
managing editor of Biz New Orleans magazine. A 20-year Southern California veteran, she has been surrounded by the film industry for most of her life and is thrilled to be covering its emersion in her newly adopted home.
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s New Orleans as a film can get, the new Nicolas Cage film, “The Runner,” (opened in limited release Aug. 7 in select theaters, on iTunes and On Demand) was not only filmed in the city last year, it tells the story of a fictional NOLA politician whose career is in a tailspin following a sex scandal during the same time as the city is battling the BP oil spill. Packed with familiar city views, food and accents, it tells a story all too familiar to locals, but one Baton Rouge native says it will always hold a special significance to her. ‘The Runner’ is my first work in a film with a nationwide theatrical release,” says professional actress and comedian Brooke Hoover. “To have it also be my first role in a movie filmed back home makes it extra special.” An actress since she caught “the bug” at Episcopal High School thanks to her teacher, Danny Tiberghein, Hoover moved to New York City for
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college and graduated from the Long Island University at CW Post. From there she says she moved on to sketch comedy and “a ton of off-, offBroadway.” Hoover’s résumé includes roles on “Law and Order SVU” and “What Would You Do?” along with the lead role in a graduate thesis film called “Bunny” that was shown at the Tribeca Film Festival. She says her role as Maryellen Briggs in “The Runner,” which she describes as “a reporter that discovers some dirt,” is a welcome departure from her previous work. “It’s my first role when I’m not in my PJs hitting somebody or playing a hooker,” she laughs. Hoover quickly becomes teary, however, when she talks about her experience filming in New Orleans. “Typically when I’m waiting for my cue in New York I’ll be in some room looking at a cement wall,” she says, “but
with this film there was a point where I was looking out at Lake Pontchartrain, and I thought to myself, this is what it’s all about.” She says she’s also proud of the subject matter of the movie. “The opening segment is really powerful — I was in tears from the getgo,” she says. “I think it’s so good that this story is being told, that it’s going to remind people of what happened.” She says she remembers her father, a local lawyer, donating his time to help relocate animals owned by area fishermen. “Suddenly these people couldn’t afford food for themselves, let alone any pets,” she says. In terms of recent changes within her own industry, Hoover says that even from New York she made sure to let her voice be heard on the film tax incentives. “I was emailing and calling my congressman all the time,” she says. “Living in New Jersey, I saw firsthand how when Christie pulled the incentives from the state, everyone just packed up and moved, including ‘Law and Order’ and ‘Boardwalk Empire.’” She says she still has “high hopes” that the same fate will not someday fall on Louisiana, and that “The Runner” will be only the first of many more local gigs. “Ideally, I’d love to be able to work half time in New York and half time back home,” she says. “Maybe produce a short film of my own here someday.” n
You’re invited!
Nora Vaden Holmes, CPCU, LUTCF 117 Metairie Lawn Drive Metairie, LA 70001 504-831-0002 Geauxholmes.com
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Columns | Entrepreneur Biz Japanese entrepreneur Hisao Hashimoto talks about launching his radio station in Miyako four years ago, following the city’s devastation from a tsunami.
Common Ground Part one in a two-part series on post-disaster Japanese entrepreneurism.
I Keith Twitchell
spent 16 years running his own business before becoming president of the Committee for a Better New Orleans. He has observed, supported and participated in entrepreneurial ventures at the street, neighborhood, nonprofit, micro- and macrobusiness levels.
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recently traveled to Japan to research disaster recovery in that nation. On my itinerary were Kobe, now just about completely recovered from the massive earthquake 20 years ago, and Miyako, a city centrally located in the northeast region that was devastated by a tsunami four years ago. In New Orleans, we experienced a surge in entrepreneurism as part of our recovery. I wondered if something similar had occurred in Japan. “Japanese culture is not really conducive to entrepreneurism,” Dr. Makiko Ueno, director of the Urban Community Research Center for Asia, told me over breakfast one morning. “Individuality is not really encouraged.” In my observation this is true in the sense that you seldom see new business concepts launched by smaller entrepreneurs. Individuals may open
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traditional businesses like restaurants and shops, but dynamic, innovative thinking comes more often from the safety of the corporate environment. Teams coming up with new ideas can develop them more fully before launch – also sharing and diffusing failures when they occur. In Miyako, there is a thriving seafood market, and many people make their living as independent fishermen or small store and restaurant owners. But nothing leaps out and screams “Innovation!” Which is what made one particular exception I encountered all the more fascinating. As was the case in New Orleans, in Miyako after the tsunami, information of all sorts was at a premium. Into that void stepped Hisao Hashimoto. Hashimoto launched a small radio station in a vacant room in a farm
cooperative, with an initial broadcast range of just 9 miles. The station provided everything from information about relief supplies to messages from family members trying to reconnect with each other. Initially Hashimoto relied on volunteers to go out into the community to seek news. However, as awareness grew, government officials began coming by on their own to share information. Though operating without a permit from the Japanese equivalent of the FCC, the station was able to increase its signal strength, and in the months after the tsunami, to expand the types of community information it provided. It also began broadcasting in other languages, such as Korean, which is spoken by a significant portion of the population in the area. About three years later, Hashimoto was able to transform the station into a business enterprise, obtaining a commercial radio license and moving into a real studio. The station now reaches most of northeast Japan, and Hashimoto was recently elected to the Miyako City Council. Still, his enterprise remains a rare posttsunami new business. “Miyako is not seeing new businesses yet,” Hashimoto told me. Like all entrepreneurs, however, he is an optimist: “As the infrastructure is rebuilt and people are resettled, I see opportunity.” Next month: the Kobe experience. n
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Columns | Biz Etiquette
Kitchen Courtesy We must all give the communal dining space the respect it deserves.
S Melanie Warner Spencer is editor of
New Orleans Bride Magazine. Her writing has appeared in the Austin American-Statesman, the Houston Chronicle, the Chicago Tribune and Reuters. Spencer’s ever-expanding library of etiquette books is rivaled only by her everready stash of blank thank-you notes. Submit business etiquette questions to Melanie@ MyNewOrleans.com. 30
how me a communal scullery and I’ll show you a scary refrigerator — it’s a fundamental truth of human existence. But, like all discussions concerning the human condition, we must eventually ask the question: How can we as a society keep the office kitchen clean and civil? Memos about keeping the workplace kitchen clean have been part of my life since landing my first job at age 16 for a hardware chain in Kentucky. Through decades and assorted jobs, the notes and warnings, which now come in the form of email, have changed very little. No matter the industry, the vastness or sophistication of the company or the size of the kitchen, the missives vary only ever so slightly and can include: “Please remove old food from
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the refrigerator” and “Clean up after yourselves.” When things get really out of control you might receive this reminder: “Get your things out of the disgusting refrigerator now because at the end of the day, everything is going into the garbage.” As it is with so many behavioral matters, it pays to begin training early in one’s life or — in this case — when employees are new hires. During the office tour, for example, make it a point to mention while standing in the kitchen that it is imperative for everyone to clean up after him or herself and to regularly purge the refrigerator of all food and personal items. Stress that this is a non-negotiable part of everyone’s job at the company and all employees are expected to comply.
Next, create regular reminders and a weekly schedule designed to form a habit. Firm but friendly signage, the ubiquitous email memos and a designated day of the week for clearingout sessions will keep the issue at the forefront of employees’ minds. It’s a good idea to form a kitchen committee and elect a spokesperson. Hold yearly elections to mix up the members. Because everyone in the company is at some point or another called to serve, it will foster a sense of community, compassion and duty. For the spokesperson, choose an organized and friendly yet assertive individual who is persistent and long on patience. Praise him or her often for their service, as this is often a thankless job. (On that note, I’d like to send a personal shout-out of gratitude to Renaissance Publishing’s Kitchen Commander in Chief, Denise Dean. Thank you, Denise!) In the end, it’s all about personal responsibility, is it not? In order to keep the kitchen sparkling and imbued with a courteous atmosphere, we must gaze not into the cold depths of the refrigerator, but within ourselves. As the Roman emperor and foremost stoic philosopher Marcus Aurelius once said, “Waste no more time arguing about what a good man should be. Be one.” n Photo Thinkstock
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Columns | Technology
Too Cool for School The future of education may be pants optional.
F Jason MICHAEL Perry is the director
of the Drupal Practice at Fig Leaf Software. Maybe we might enroll in the same MOOC, but until then tweet me at @ jasonmperry or email me@jasonmichaelperry. com.
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or many years I worked as an IT trainer, flying around the world teaching IT classes. I still remember delivering my first online class — just me and a room filled with vacant computers. I talked while pacing as if people were sitting in those seats, as my class was beamed to offices, bedrooms, and who knows where else. As the Internet intertwines more into our lives, this experience is something to which university and college professors are becoming much more accustomed. Leading this charge is a concept called MOOCs, or “massively online open courses.” The early idea of a MOOC was to record one or more college seminars or lectures and introduce them to the public free or for a fee. Stanford University, an early adopter of the concept,
September 2015 BizNewOrleans.com
introduced three lectures from noted professors. Since then, several companies have formed as portals to the growing MOOC world such as Udacity, Coursera, and EdX. These companies have worked to refine the concept and package video learning with extensive educational tools like forums, chats or assignments and quizzes to determine how well you understand the topic. They also have worked to broaden the type of content available by partnering with universities and professors to create more original content. In 2012, University of Wisconsin system introduced a new competency-based degree program. On the surface, the idea was nothing new — qualify for college credits by showcasing the many skills you’ve learned working a trade or through other
training programs. What makes the program unique is that the degree is backed by the 26 universities that make up the Wisconsin university system. It also opens the door for full college credits from MOOCs. For the education sector, the idea of MOOCs is both compelling and frightening. Using the Internet as a distribution mechanism allows students to complete coursework on their own time and access a broader library of educational content. However, it also brings into question the need for so many brick-and-mortar institutions. Why take business classes at LSU when I can stream them online from Harvard? Around the world, responses to this approach have been mixed. Some universities have jumped in head first, with schools like San Jose University offering the first MOOC-only master’s program. However, many academics feel the approach shifts the balance of effort from instructors to students. These lectures require students to do more legwork, more research and figure out a way to manage their own schedules. As you can imagine, completion rates have been fairly low, typically less than 10 percent. Many “drop out” after the first week of educational content. Andrew Sluyter, an LSU professor, blogged about his first experience taking a MOOC. The points that stood out in his post are the same as many critics — it takes a lot of motivation to continue through the courses, something that is magnified when you consider that many of these courses do not currently come with college credit. Personally, I do not believe in an all-or-nothing approach. I think the future of education is, without question, a blend of online and institutional experience. Many colleges and universities excel at specific programs but come up lacking on many others. As a student, I think the ability to seek out personal relationships for those things core to my education is important, but also I should have the ability to look for the best-of-breed content from other institutions where available. n Photo Thinkstock
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Biz Bits - Industry News Around town I have been a believer in the capacity of New Orleans to be a hub of innovation and technology through very dark days when people looked at me like there was something wrong with me when I said I moved my tech company from New York to New Orleans. Now we have the makings of something great and a lot of people can see it — it’s time to deliver. If we’re going to get a big win, that big win is going to need first class development work and all of the support that goes with it in terms of marketing, financial modeling and scalability. - Chris Reade, CEO/President of LookFar
PowerMoves.NOLA participates in first-ever White House Demo Day Designed to highlight the success of minority-owned startups and showcase best practices that can help other current and aspiring entrepreneurs start and grow businesses, the White House held it’s first Demo Day on August 4. During the event, the U.S. Small Business Administration (SBA) announced PowerMoves.NOLA as the winner of the second annual Growth Accelerator Fund Competition in the afternoon. “Demo Day underscored that an investment in start-ups founded by entrepreneurs of color is an investment in the American economy. And the resources we received will help us continue to scale a national ecosystem of support for entrepreneurs of color,” said Leslie Jacobs, founder of PowerMoves.NOLA. Pictured here are President Barack Obama and Atlanta-based startup Partipic co-founder and CEO Jewel Burks. Partipic won a PowerMoves. NOLA pitch contest at its annual national conference this July.
Local Allstate agents and Hands On New Orleans volunteers help hundreds build disaster preparedness kits Research shows 85 percent of Americans are unprepared for disaster and nearly half lack emergency supplies for use in the event of a disaster. Which is why the Allstate Foundation and Points of Light brought their 14-city disaster preparation tour and education campaign to New Orleans on Saturday, Aug. 8 during Dirty Linen Night. Community volunteers with HandsOn New Orleans and local Allstate agents worked side-by-side to help hundreds of New Orleans residents build free disaster preparedness kits to keep safe in the event of a natural disaster or unforeseen emergency. The free kits included a hand-crank, flashlight, first aid kit, emergency blanket and other items proven to keep people safe and prepared.
Photo Courtesy of Getty Images
FULTON ALLEY LAUNCHES NEW GAME PARLOR In an effort to solidify its place as one of New Orleans’ “Best Places to Play Bar Games” Fulton Alley added a new game parlor to the downtown boutique bowling alley (600 Fulton St.) on July 30. The new game parlor hosts classic interactive games including indoor bocce ball, Snap-Back table shuffleboard, darts, foosball and board games on the tables of the new lounge area. Fulton Alley has also added an over-sized chessboard on its patio. “We have had a great time since our opening in November 2013, but our guests were looking for more options to have fun while in Fulton Alley – and the game parlor is just that option,” says Kyle Brechtel, owner of Fulton Alley. The new game parlor also houses a new Beer Bar that compliments Fulton Alley’s current craft cocktail selections.
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Poole Lumber sold to Doug Ashy Building Materials of Lafayette
Recent Openings
Owned for four generations by the same Covington family, Poole Lumber Company — celebrating 70 years in business — was sold in late August to Doug Ashy Building Materials, which has six stores across southwest Louisiana Parishes serving builders, contractors and DIYers, and is one of the largest businesses in Acadiana. Plans are to keep the name — Poole Lumber Company — along with the current workforce, with plans to expand staff and product lines in the near future. Pictured here are members of the family of Doug Ashy Building Materials.
KINDRED Studios Representing a modern approach to parenting, KINDRED Studios, a lifestyle studio that focuses on fitness and wellness for both parent and baby, opened August 10 at 5228 Magazine St. The site features a Romp Room and various classes like parent and baby or toddler yoga, barre, ballet and indoor cycling, along with a juice and coffee bar and pop-up shops from Baby Bump Maternity & Children’s and Zuka Baby.
Huntington Ingalls Selects Colliers International to Market Avondale Facility Colliers International has been selected by Huntington Ingalls Industries (HII) to market their Avondale facility, located just outside New Orleans. The Avondale facility consists of 206 acres that include more than 7,900 feet of prime riverfront access along the West bank of the Mississippi River. It also provides deep water access with minimal dredging ideally suited for light and heavy manufacturing, which most recently included the construction of U.S. Navy ships. Though manufacturing operations ceased in late 2014, a maintenance crew has remained onsite to maintain the integrity of the facility and its assets.
Zoës Kitchen Zoës Kitchen, a high growth, fast casual restaurant concept serving a distinct menu of Mediterranean-inspired dishes, continued its expansion in Louisiana with the opening of its Veterans Boulevard location on July 31st. The new Zoës Kitchen restaurant in Louisiana marks the company’s 154th location and 7th location in Louisiana. It is located at 4243 Veterans Memorial Blvd., Metairie.
We’d love to include your business-related news in next month’s Biz Bits. Please email details to Editorial@BizNewOrleans.com.
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BizNewOrleans.com September 2015
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U.S. Sen. David Vitter
Lt. Gov. Jay Dardenne
Public Service Commr. Scott Angelle
State Rep. John Bel Edwards
The Next Governor Industry heavyweights share their hopes for Louisiana’s next leader. by Tyler Bridges
F
or at least the past two decades, Louisiana’s governors have consistently earned their stripes from the business community — winning legislative approval to lower business taxes and discourage lawsuits against business. They have also torpedoed similar proposals adopted in less conservative states that would make manufacturing businesses revamp their operations to give Louisiana cleaner air and water. With the strong support of business leaders, governors and legislators have also made schools more accountable to the public and given parents more choice in where they send their children,
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particularly in New Orleans. Higher test scores and high school graduation rates indicate that the changes are working. But business’ winning ways in Baton Rouge ended this year, and that will likely have profound implications for the next governor and state Legislature when they take office on Jan. 11. The four gubernatorial candidates are currently: U.S. Sen. David Vitter, Lt. Gov. Jay Dardenne, Public Service Commissioner Scott Angelle and state Rep. John Bel Edwards, the only Democrat. Vitter is leading in the polls and easily has the biggest amount of campaign cash. The primary election is Oct. 24.
Advice for a New Governor Adversity, though, also can create opportunity, the state’s business leaders said in interviews with Biz. Instead of taking the piecemeal approach favored by Jindal and legislative leaders, they said, the next governor should seek far-reaching changes in determining who pays taxes and how much and how the state spends its $24 billion budget.
“You can’t tax your way out of the problem, and you can’t spend your way out of it, either,” said Chris John, a for-
Tough year for business In 2015, the Legislature and Gov. Bobby Jindal saw no other alternative to making business pay more to help close a $1.6 billion budget deficit, in what analysts said was the state’s biggest budget crisis in 25 years. After the final accounting, businesses will pay about $550 million more in taxes during fiscal year 2016, which began on July 1. Business leaders and their lobbyists in Baton Rouge weren’t happy, of course, but they knew it could have been worse. The biggest tax hikes will be on the books only for 2016 or for three years. In short, Jindal and legislators didn’t solve the state’s budget problem. Economists estimate that the next governor will inherit a deficit of at least $1 billion. Just as problematic, Jindal and legislative leaders repeatedly resorted to a series of gimmicks and short-term fixes that mean the next governor and Legislature will have less room to maneuver. Meanwhile, oil prices have dropped to about $45 per barrel, far below the forecasted figure of $61.70 per barrel for the 2016 budget. That’s good news for consumers but not for the state Treasury. The general rule of thumb is that the state collects about $12 million less than expected for every $1 drop in the average annual price of oil. Each of the four gubernatorial candidates has won notice for promising to hold a special session soon after taking office. But that session – which cannot be held until at least a week after the Jan. 11 inauguration – may only be an exercise in stopping the bleeding.
Photo Thinkstock
mer state representative and member of Congress from Lafayette, who is now president of Louisiana Mid-Continent Oil and Gas Association, which represents the majors. “We need to map out a long-term fiscal strategy. You need all stakeholders at the table. It has to be a cross-section of people. And it will take a governor who is committed to deep, long-term reform.” “We have to look at all the sources of revenue we have and where does the money f low to,” agreed Todd Murphy, who is president of the Jefferson Chamber of Commerce. Dan Borné, who is president of the Louisiana Chemical Association, said making deep changes in the state’s budget and taxing rules can’t take place in a January special session. “It can’t be done quickly,” he said. “It has to be done with thought, vision and leadership. In the end, everything will have to be on the table.” “Everything” includes potentially repealing the state’s inventory tax, lowering the generous homestead exemption, eliminating business tax breaks in exchange for lowing statutory tax rates and eliminating the automatic transfer of hundreds of millions of dollars of state money each year to local entities or governments, in what are known in budget-speak as statutory dedications. “There are so many unique dedications that benefit parochial interests in the state,” said Stephen Waguespack, who is president of the Louisiana Association of Business and Industry, the state’s most powerful business lobby. In all, he estimates that “unlocking” the hundreds of statutory dedications could give the Legislature and governor another $2 billion for the state’s priorities. Each of the recipients of the money would obviously fight to block any change. Michael Hecht, president and chief executive officer of Greater New Orleans, Inc., is proposing a possible change to the homestead exemption that would require homeowners to pay property taxes on the first $10,000 of value before the $75,000 exemption kicks in. “At least everybody would be paying something,” said Hecht, who added that he doesn’t know the full impact of the concept, known as First Dollar. It does seem likely that the plan would hit the working poor hardest in a state where, according to the left-leaning Institute on Taxation and Economic Policy, the lowest 20 percent of families in 2015 paid 10 percent of their income in state and local taxes while the top 1 percent paid only 4.2 percent.
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The Candidates Respond
Infrastructure Issues
The Angelle, Dardenne and Edwards campaigns all told Biz that their candidates don’t support ending the inventory tax unless policy-makers find a way to offset the revenue loss – perhaps $400 million in 2016 – that local governments would suffer since the tax money goes to them. “It will require legislators, the new administration and local governments sitting down to find a solution,” said Waguespack. “Any time you’re making big change, it’s difficult.” Those three gubernatorial campaigns expressed support for a version of tax reform that ends tax breaks and lowers tax rates.
Besides the big budget deficit, Jindal is also bequeathing a huge backlog of infrastructure needs to the next governor -- $12 billion worth, according to the state Department of Transportation and Development. The backlog matters to anyone regularly stuck in traffic in Louisiana as well as to businesses that need to get goods to market. Tackling it is the issue for the Association of General Contractors, which has 650 companies statewide. “Texas will be spending $1 billion a month on infrastructure,” said Ken Naquin, the chief executive officer of the contractors’ association. “We might not reach $600 million for the whole year. Louisiana is sitting on $100 billion in industrial expansion, and we don’t have the infrastructure to handle that. Texas will.” Naquin wants the next governor to support a proposal that would raise the state sales tax by 1 cent for the next 10 years, with the $700 million collected each year dedicated to upgrading bridges, roads and highways. That proposal fell short of getting the necessary twothirds vote in the Legislature in 2015, given Jindal’s opposition. An alternative proposal to raise the state’s 20-cent per gallon gas tax also died. None of the three candidates committed to supporting higher taxes for improving infrastructure. Speaking of infrastructure, the top priority for the Port of New Orleans is building a f lyover from the Pontchartrain Expressway near the Tchoupitoulas Street exit to the Felicity Street port entrance, said Gary LaGrange, the port’s president and chief executive officer. He said the $700 million f lyover is desperately needed to separate trucks from regular traffic, but he hasn’t yet identified the source of funding.
“Tax giveaways that cost too much and produce too little return on investment should be eliminated or reduced,”
the Edwards campaign said in an email. “Individual and corporate tax rates should be reduced with related exemptions being eliminated to cover the cost.” Angelle, meanwhile, would establish an Exemption Review Conference to study the efficacy of the current tax breaks and rebates.
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Photos Thinkstock
Film Industry Footing
The Working Poor
On another issue particularly important to New Orleans, officials with the film industry said they have yet to see a loss in productions planned for Louisiana, a fear they had expressed immediately after Jindal and the Legislature in 2015 saved the state about $70 million in 2016 by limiting the amount of tax credits that can be issued for films and TV shows to $180 million per year for the next three years.
Besides tax and spending issues, the Louisiana chapter of the National Federation of Independent Business wants the next governor to play defense on a number of issues sought by progressives to lift up the working poor. These measures would mandate a higher minimum wage, paid sick leave for employees and that companies could not ask job applicants if they had ever been convicted of a crime.
“We clearly think that the $180 million cap should be increased,” said David Tatman, a lobbyist for the Louisiana Film and
Entertainment Association, adding that the group wants to be sure to have a seat at the table when policy-makers make additional changes.
“We should trust small-business owners to make the right decisions for their businesses, their families and their communities,” said Dawn Starns, the group’s state
director. Angelle, Dardenne and Edwards all oppose having the state raise the minimum wage. Angelle and Dardenne also reject mandating paid sick leave and prohibiting companies from asking job applicants about a possible conviction while Edwards did not rule out either.
Photos Thinkstock
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Jindal’s Legacy
Limiting Lawsuits
Michael Hecht gives the outgoing governor high marks for making the state more attractive for investment. “Economic development has been Gov. Jindal’s greatest legacy,” Hecht said. “Louisiana is now routinely competing against Texas and winning.” Since Jindal took office in January 2008, the state has continued its recovery from Hurricanes Katrina and Rita. Per-capita income in Louisiana has grown by $6,417 – or 18 percent – over the past seven years and is at its higher rate ever, according to the governor’s office. Louisiana’s private sector has grown by 99,000 since January 2008, giving the state the seventh-highest private-sector job-growth rate in the country, the governor’s office added. The three credit rating agencies have raised Louisiana’s rating a total of eight times during his tenure. These are all among Jindal’s key talking points now that he is campaigning for president full-time. But here’s what he doesn’t tell his out-of-state audiences: Louisiana’s unemployment rate has risen from 3.8 percent when he took office, a point below the national rate then, to 6.4 percent in June, about a point above the national rate now. The state is facing deficits as far as the eye can see after Jindal and the state Legislature cut income taxes for higher-end earners by a total of about $700 million per year, and a drop in business activity from the national recession hit tax collections. The $1 billion surplus that Jindal inherited from Gov. Kathleen Blanco is now the projected $1 billion deficit he is passing on to the next governor. What’s more: LSU, UNO, Delgado and the state’s other public colleges and universities are on shaky footing. On a perstudent basis, the cuts by Jindal and the Legislature to the colleges and universities have been the deepest of any state over the past eight years, according to the Center on Budget & Policy Priorities. As governor, Jindal maintained a strict no-tax pledge given to Americans for Tax Reform, a Washington, D.C.-based lobby group headed by anti-tax zealot Grover Norquist. His group, however, gave Jindal a pass on the $729 million in new taxes and fees raised in 2015 thanks to SAVE, a convoluted tax scheme that lowers taxes only on paper.
One final issue tops the agenda of LABI and a new group called the Louisiana Lawsuit Fairness Committee: making further changes in state law to limit lawsuits filed against business. The effort comes two years after lawsuits filed by Southeast Louisiana Flood Protection Authority – East – as well as Jefferson and Plaquemines parishes – against dozens of oil companies, accusing them of contributing to coastal land loss. The Legislature and Jindal passed a law to kill the f lood authority’s lawsuit. The new group’s board members include Boysie Bollinger, a heav yweight political player mostly in Republican circles, and Loulan Pitre, a former state representative who is an attorney in New Orleans.
“Louisiana, despite all the progress we’ve made to build a pro-business, pro-jobs image, still struggles as one of the worst states when it comes to lawsuit fairness,” Pitre said in an email. “Our end goal is to fight for and pass
judicial fairness legislation that will level the playing field with the states we compete with for new business and jobs.” Donald Price, a Baton Rouge trial lawyer who is past president of the Louisiana Association for Justice, said he doesn’t understand the logic behind the effort. “What we hear over and over again from LABI and the governor’s office is how good and friendly the state’s business climate is,” Price said. “It’s only when they talk about the civil justice system that they cry we’re not that friendly. We have a conservative population and conservative judges. They don’t just give away money.” n
“Everyone would agree that Jindal’s national agenda got in the way of what we were trying to do locally,” said
Murphy, from the Jefferson Chamber of Commerce. None of the four gubernatorial candidates has signed Norquist’s pledge. 42
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Photo Thinkstock
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Mario and Lui-siana Strong incentives and a creative community boost Louisiana's video game industry. by Lucie Monk
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STATE OF PLAY
ejoice gamers of Louisiana! Not only is playing video games an actual career option, it’s also a competitive one, thanks to the incentives and support offered to digital media companies by the state government. The gaming industry has come a long way since arcade halls clanged with “Space Invaders” and “Pac-Man.” According to the Entertainment Software Association (ESA), in a 2015 report entitled “Essential Facts About the Computer and Video Game Industry,” 155 million Americans claim to play video games, with four out of five households containing a device used to play video games. Until 2010, personal computers and gaming consoles such as Microsoft’s Xbox and Sony’s PlayStation were the primary delivery formats for this mode of entertainment. Today games have grown beyond the disk and the cartridge; now consumer dollars are increasingly spent on “subscriptions, digital full games, digital addon content, mobile apps, social network gaming and other physical delivery” according to the 2015 “Essential Facts,” with physical video games accounting for only $5.3 billion of last year’s $15.4 billion sales total, computer games netting just $.17 billion, and the “other delivery formats” termed above taking home $9.9 billion. Consider the target population of today’s entertainment software industry: far beyond the bored teenager sliding another token into the machine, the gaming population now includes every owner of the ubiquitous smartphone and increasingly popular tablet. (Throw in their tech-friendly kids, too.) And the market has caught on quickly.
In its 2008 annual report, the ESA outlined the efforts by its government affairs program and advocacy network to promote the development and sale of video games on federal and state levels. No such activity was documented in Louisiana, with the alphabetical list of state-level highlights sliding from Indiana (where the ESA helped in blocking a bill to regulate the sale of games with mature themes) to Massachusetts (where a bill subjecting the sale of violent video games to the broad “Harmful to Minors” law was rerouted to a study committee). It’s a different story today. Gov. Bobby Jindal signed the Louisiana Digital Media Act into law in July 2009, building on existing digital media incentives by offering a 25 percent refundable tax credit on qualified production expenses and a 10 percent credit on payroll for in-state labor. Louisiana made the highlights of ESA’s 2009 annual report with news of the enacted tax incentives (along with successfully blocked legislation that would have allowed private action by consumers claiming the sale of inappropriate material to minors). Said ESA President Michael D. Gallagher in a 2009 statement responding to the new law, “Developers and publishers live and work for years in states where games are created, providing a higher return on investment than any other form of entertainment.” Still alive in 2015, and currently extending until summer 2018 with no declared sunset date, the Louisiana tax incentives now offer an 18 percent credit for production expenses and 7.2 percent for in-state payroll. The incentives are offered not just to game development companies but to other interactive software development companies as well. In 2007, Louisiana employed 4,381 people in the digital media industry; last year alone, more than 5,000 new jobs were directly associated with successful project wins by the state of Louisiana in the software development, IT and digital media sector. “[It’s] the fastest-growing sector of Louisiana’s economy,” wrote Jeff Lynn, executive director of Workforce Development Programs at Louisiana Economic Development (LED), in a recent email exchange. Even before the Louisiana Digital Media Act, gaming companies looked toward Louisiana. The tax credits, still the strongest of their kind in the nation, have joined LED’s FastStart program, which offers customized workforce development to companies operating in the state, and the Baton Rouge Area Digital Industries Consortium as well-touted attractions for businesses considering a Louisiana hub. So who’s taken the bait?
The Louisiana Technology Park opened in 2001 in Baton Rouge’s former Bon Marché Mall at 7117 Florida Blvd. The park serves as an incubator for high tech startups.
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BIG FISH Electronic Arts (EA), a global interactive entertainment company based in California, established its North American Testing Center on the Louisiana State University campus in the heart of Baton Rouge in 2008. Founded in 1982, EA has ably endured the past three decades of industry evolution, with top-selling game franchises including The Sims, Madden NFL, and Mass Effect, combined with a willingness to develop across multiple platforms as well as form strategic partnerships with major organizations like the NFL and the NBA. The company reaped $3.1 billion in 2005, up 6 percent from 2004. “Every five to six years,” reads its 2005 annual report to investors, “the game industry undergoes an evolution marked by a leap to vastly improved technology with better graphics and game play—and, historically—a larger consumer base.” At the time of that publication, the coming leap included new consoles from Microsoft and Sony (the Xbox 360 and the Playstation 3, respectively). In 2006, with continued growth in mind, EA reconfigured its game-testing strategy: Rather than a slew of testing facilities scattered across the country, the company planned for one centralized North American testing center. But the location had yet to be determined. The Baton Rouge Digital Industries Consortium (BRADIC), made up of the Baton Rouge Area Chamber, Baton Rouge Area Foundation, LSU and Mayor-President Kip Holden’s office, was founded in 2006 in an effort to bring the operations of more established software companies to Louisiana soil. The city already boasted digital media incentives, along with a pipeline to a blossoming pool of programmers and designers at Louisiana State University and a lower cost 46
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Through the summer of 2018, with no declared sunset date, Louisiana now offers an 18 percent credit for production expenses and 7.2 percent for in-state payroll for gaming and interactive software development companies.
of living and labor than the larger markets of New York and San Francisco. In 2007, BRADIC caught wind of EA’s restructuring and made contact, along with a potent suggestion: Why not Baton Rouge?
OFF TO A FASTSTART Louisiana Economic Development’s FastStart initiative was founded in 2008 as a customizable workforce development tool that aims to speedily staff companies at no cost to those eligible. To fit the bill, companies must create at least 15 new manufacturing jobs or 50 new service jobs in one of LED’s target industries, which include advanced and traditional manufacturing, digital media, headquarters and business operations, research and development, and warehouse and distribution. Upon launching in Louisiana, participating companies can expect a full, thoroughly trained staff prepared for the operations of a particular business. While the FastStart initiative developed months after EA came to town, the company still turned to FastStart for an innovative training protocol for the facility’s staff. FastStart designed a series of Interactive Training Modules (ITMs) for EA that allowed new hires to train through a gaming platform. EA later implemented these protocols at company studios throughout the world. “We don’t just bring value to their immediate location—which is
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the primary goal, of course—but we’re able to add value to a company’s global operations in many cases. We make them better at what they do,” wrote Lynn. Paris-based Gameloft was intrigued by Louisiana’s strong incentives but doubted enough local talent could be found to outfit the 150 jobs the studio needed to fill. FastStart took the challenge, sweeping chat rooms and forums to land 1,700 résumés in a matter of weeks. From those resumes, Gameloft narrowed the pool down to 700 qualified candidates. Skeptics no more, Gameloft opened a New Orleans studio in 2011. Earlier this year, High Voltage Studio also relocated from Illinois to the Central Business District, bringing 80 new direct jobs and an initial estimate of 116 indirect jobs to the region.
THE NEW CLASS In January 2015, LSU welcomed the first four students to its new Digital Media Arts & Engineering masters degree program. “It’s the first of its kind in the state,” says Executive Director Marc Aubanel, who relocated from the Art Institute of Vancouver, where he led a similar digital media master’s program of 500 students studying a range of disciplines from claymation and visual effects to programming and modifying games. “For major companies to take the leap into Louisiana, the state should have a wealth of existing skilled labor,” says Aubanel. In attracting bigger city recruits—primarily from the Bay Area, where Aubanel thinks Silicon Valley has “priced itself out of the market,” he says New Orleans has an edge as “a trendier location.”
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LSU’s Digital Media Center welcomed its first four students to its Digital Media Arts & Engineering masters degree program in January.
LEVELING UP Out on Baton Rouge’s Florida Boulevard, the former Bon Marché Mall sprawls across 850,000 square feet of capital city soil. Erected in 1960 and shuttered by 1974, the expanse is neighbored by dollar stores and car dealerships. It hasn’t seen shoppers in decades. But it has recently become a focal point for the future of the city since the Louisiana Technology Park opened in 2001 in the side arm of the old shopping center, now dubbed the Bon Carré Business Center. “It came out of then-Gov. Foster’s Vision 2020 Plan,” says Stephen Loy, executive director of the Louisiana Technology Park. “That was an effort to diversify our economy here in the state, from oil and gas into technology.” First, though, Louisiana needed tech companies. “We needed a place where young technologies could start and grow,” says Loy. “We needed an incubator.” The Tech Park got its own entrée into the growing gaming industry through BRADIC, whose yearly trips to the San Francisco Game Developers Conference piqued the Tech Park’s interest. “We started to see how most tech companies were different than gaming companies,” says Loy. The Tech Park then aimed to identify the particular resources a gaming company would need to thrive in Baton Rouge. “They need specific hardware like technique tablets, specific software for modeling. And the big thing was that they needed resources and mentors.”
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A custom incubator was planned within the Tech Park; the Level Up Lab opened in 2013, with two long tables of computer stations and portable hard drives, a motion capture studio, and a recording room all tucked into one office suite. In the corner, a f lat-screen TV is ringed by wizened relics of the 1990s: the Super Nintendo, the N64, and matte gray cartridges stacked high-to-teetering. Appropriately, the Level Up Lab program is structured into levels, eight tiers that follow the phases of developing a game. “We asked ourselves, ‘How can we game-ify the process so these video game guys can really connect with it?’” says Loy. The initial stages (“Level 1: Commoner” and “Level 2: Explorer”) take the company through the application process, followed by a faceto-face meeting and a tour of the facility. The real work begins with “Level 3: Gambler,” as the program’s business and marketing team, led by the Tech Park’s Director of Finance Genevieve Silverman, walk a new client through establishing a strong business foundation and strategy. “We make sure that company’s books are up to date, that they’re an LLC, paying taxes, and have all their governance,” says Loy. The ensuing phases focus on development, marketing, refinement, projections and analytics, and, finally, graduation (playfully termed “Level 8: Deserter.”) “But there’s no set curriculum,” says Loy. “We can take a company from wherever they are and move them forward.” For a company’s more specific needs, the Level Up Lab supplies referrals. With networks such as the Baton Rouge chapter of the International Game Developers Association offering regular meetups, it’s become simpler to find like minds. “I think we’re starting to realize that there are a lot more of us than we thought,” says Loy. “These guys come to us and it’s like, ‘Where have you been?’ ‘I don’t know, where have you been?’ We’ve been like ships in the night.” One of the program’s first teams, BitFinity, is set to a release a game later this year. “Tadpole Treble” comes from brothers Matthew and Michael Taranto, who came to the Level Up Lab with a musical background and a strong idea. “They taught themselves with the resources of Level Up Lab,” says Loy. “Tadpole Treble” is designed to teach a child how to read music, as the main character, a tadpole named Baton, swims upstream and hits notes as she goes. “[The Tarantos] did the original score and all the vocals for the games, too,” says Loy. “They took their passion and love of music and put it in the game.” Another Level Up Lab client, Cody Louviere, tapped into the Tech Park’s close-knit community to develop the first game for his company, Crow King Studios. “I’ve got Jason Tate [cofounder of Pixel Dash Studios] as my lead programmer,” says Louviere, citing a couple of team members. “And Matthew Taranto [of BitFinity] is going to do the music.” The high fantasy game, its name to be crowd-sourced, takes style inspiration from the Super Nintendo games of Louviere’s youth. “My goal has always been to make video games, or to write stories for games — just to be a part of it,” says Louviere, who is developing initially for release on computers with releases for WiiU and other consoles to follow. Louviere isn’t deterred by the market saturation either. “A normal consumer can tell the difference in quality,” says Louviere. “I feel like the market is still perfect for anyone with passion.”
READY PLAYER ONE Like Louviere and “the BitFinity Brothers,” as Loy calls them, independent developer Ethan Caraway turned to video games with a dream in mind. 50
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STAY TUNED Ranging from music education to motorcycle combat racing, the following are four local games on the horizon. Tadpole Treble (BitFinity) – Educational Help Baton the tadpole dodge music notes on her upstream swim. BitfinityGames.com Evasion (Ethan Caraway, Jesse Clifton, Elijah Cohen, James Krause, and Ryan Travis) – Strategy
An asymmetric take on Chinese checkers calls for fast-paced thinking. Strategy. Look up “Evasion the Game” on Facebook. Road Redemption (Pixel Dash Studios) – Combat/Racing The latest from the Road Rash series, featuring combat, crashes and destruction. PixelDashStudios.com TBA (Crow King Studios) – High Fantasy A ragtag adventure game with a Super Nintendo aesthetic. KingCrowStudios.com
“Games were always a hobby,” says Caraway, until a high school friend lent him the stealth action-adventure game series “Metal Gear Solid” designed by Hideo Kajima, whom Caraway refers to as “one of the few auteurs in the industry that everyone can agree on.” (Debuting in 1998 for PlayStation, “Metal Gear Solid” has gained an aggregate score of 94/100 on Metacritic and was praised by PlayStation Magazine as “the best game ever made.”) Mesmerized by Kajima’s work, Caraway saw “that games could be so much more.” At LSU, Caraway majored in computer science with a minor in digital media. “I didn’t think there was any way to stay in Louisiana,” says Caraway, a Lake Charles native. “I was constantly looking for other places I could go to get a job.” After a stint at a small startup, Caraway has applied his programming skills to a research position at Pennington Biomedical Research Center. In the evenings, he works on his latest game, Evasion, a multiplayer asymmetric take on Chinese checkers adapted from his friends’ original board game. He shows his games at the annual Red Stick FutureFest and attends the city’s International Game Developers Association pub meet-up; the attendance increases by the week. Caraway remains enthusiastic about the local interactions. “If you can build a community of developers who stay in touch and are actively discussing game development, that will only make the industry grow,” he says. n
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A Good Deal All Around Recent growth is helping Delgado Community College offer more locals an affordable — and useful — education, while helping industries tackle workforce development. By Pamela Marquis
“E
ducation that works.” That’s the motto of Delgado Community College, and it is one that the college’s multiple campuses in and around New Orleans have worked hard to live up to. Founded in 1921, Delgado is the state’s second largest-college and now educates more than 17,000 students each semester. It has the highest enrollment among all colleges and universities in New Orleans, and the second-highest in Louisiana. Along with offering associate’s degrees and transferable college credits, Delgado provides diplomas and certificates in dozens of professional and technical areas such as nursing, business and management, accounting, radiologic technology, criminal justice, computer information technology, culinary arts, elementary education through fifth grade and motor vehicle technology. All of which help build the city’s workforce. Individual workforce non-credit programs at Delgado are accredited by industry-specific accrediting agencies. Delgado has about 15,000 additional students who are enrolled in these workforce development programs. “I wanted to try a community college because it often has more diversity and wider age ranges,” says Kate Lickert, a 27-year old student. “I am taking a variety of courses this fall from business to music 52
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classes to an education course. Last semester I tried real estate, but it wasn’t for me. Delgado offers personal enrichment and definitely is helping me decide my career path, and it is so affordable.”
Decades of Growth Since the early 1970s, thanks to state funding for students and facilities, not only has the original City Park campus developed substantially, but other new campuses and learning sites have brought Delgado Community College to all areas of metropolitan New Orleans. The college currently offers instruction online and at nine locations around the New Orleans region (see sidebar). Delgado has also been successful in finding funding to grow its programs and campuses. Last year the college was awarded $2.5 million as part of a $7 million workforce development grant called the Trade Adjustment Assistance Community College and Career Training Grant. The grant aims to educate veterans, displaced workers, unemployed and underemployed adults for good-paying, high-skilled jobs. This iniative is helping prepare local workers with the skills needed for in-demand careers and will spur economic growth preparing students for high-paying jobs with manufacturing and energy companies in southeast Louisiana such as Laitram and Lockheed Martin.
Teaming Up with Business Delgado collaborates with many businesses to customize programs to fit specific business needs. Last year, the college teamed with Praxair, Inc., a Fortune 250 company with 2013 sales of $12 billion, to create a new workforce development initiative that supports educational opportunities and career possibilities for welders in Louisiana. New Orleans needs an estimated 35,000 skilled craft workers to grow the industrial construction workforce and 51,300 to replace construction workers expected to leave the industry through 2016. The Praxair Skills Pipeline program provides more than $300,000 to train 100 new welders in an accelerated one-year curriculum in Louisiana as well as support for instructorships, continuing education and professional development. “Our teachers are committed to what they teach,” says Tony S. Cook, Delgado’s public relations and marketing director. “They are the best in their fields. They are experts and they know what they’re teaching because they have been there and done that.” In another partnership, Delgado, with funding from The GE Foundation, began to solve the problem of a shortage of experience skilled laborers in water infrastructure. According to the Sewerage and Water Board of New Orleans, nearly 40 percent of the Sewerage and Water Board workforce is nearing retirement eligibility. The GE Foundation awarded a $1.5 million grant to support Delgado’s ongoing efforts to train hundreds of certified water infrastructure personnel to work at the Sewerage and Water Board of New Orleans. Building on these successes, Delgado is also creating opportunities to connect with industry sectors identified in a report by Prosperity NOLA, including growing opportunities in bioinnovation, health services, transportation and trade logistics, advanced manufacturing, digital media, and sustainable industries.
Funding Equals Expansion During the 2013 legislative session, Gov. Bobby Jindal signed ACT 360 into law. This allowed for the sale of $251.6 million dollars in bonds to provide for 29 community and technical college facility projects throughout the state. A private match requirement of 12 percent will bring that total to $286 million.
LEFT PAGE: The Praxair Skills Pipeline program provides more than $300,000 to train 100 new welders in an accelerated one-year curriculum. ABOVE: Delgado provides diplomas and certificates in dozens of professional and technical fields.
Delgado has used and is using this funding to fund the following: an extension to its Blair Campus in Metairie, a Hospitality and Culinary Center in New Orleans, a Nursing and Allied Health Campus in New Orleans, and an Advanced Manufacturing Center in Avondale at its River City campus. In late May, Delgado Community College and the Jefferson Parish Economic Development Commission celebrated the groundbreaking of Delgado’s new River City site and the Advanced Manufacturing Center of Excellence in the Churchill Technology and Business Park. This state-of-the-art $27.3 million educational facility will serve more than 3,000 students via 85,000 square feet designed to accommodate training programs to support commerce along the Mississippi River including engineering, transportation and automotive technology. The Advanced Manufacturing Center will also teach courses such as welding, electronic service technology and industrial maintenance. The new campus is expected to open in spring 2017. Early in August, the new Delgado Sidney Collier site was completed at a cost of $21 million — $12 million provided through the state of Louisiana and $9 million through FEMA. Located in the DesireFlorida area of New Orleans, between Gentilly and the Ninth Ward, it replaces the former Louisiana Technical College Sidney Collier campus, which was demolished after Hurricane Katrina. The site features two brick, two-story structures linked by a colonnaded main entrance facing the corner of Louisa Street and Higgins Boulevard. The state-funded part of the site includes 36,000 square feet of space for classrooms, laboratories, workshops, offices and support functions such as information technology. The federally funded part offers an additional 25,000 square feet dedicated to student services, including a library and student government offices, as well as an Answer Center, testing and tutoring center, student lounge and game room. The site’s design includes a courtyard and has approximately 100,000 square feet of landscaped grounds and parking. BizNewOrleans.com September 2015
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Another addition resulting from Hurricane Katrina improvements is the 60,000-square-foot, one-story Marvin E. Thames Sr. Learning Resource Center located on the City Park campus. Set to open this fall, the estimated $14 million center will include reference and periodical collections, as well as a Louisiana Collection of College Archives, administrative offices, computer classrooms and computer labs. Recently breaking ground is the new Delgado Maritime and Industrial Training Center. Like the Thames Learning Resource Center, this 18,750-square-foot building was designed by Sizeler/ Thompson/Brown Architects of New Orleans. The builder is The Lemoine Co. of New Orleans. State bonds authorized through Act 391 also funded this $7 million project. Completion is expected by February 2016. The maritime center is located on the site of the existing facility at 13200 Old Gentilly Road. This division of Delgado has earned a national and international reputation for providing high-quality maritime and industrial firefighting, radar, safety and U.S. Coast Guard-approved training, including full-mission bridge-simulator courses. “We work with between 8,000 to 10,000 people per year,” says Rick Schwab, director of Delgado’s Maritime, Fire, Radar and Industrial Training Facility. For example, the school provides training to licensed mariners and industry personnel in the maritime, oil and gas, and safety and homeland security fields. It has more than 30 instructors and offer more than 100 courses. It also provides numerous opportunities for industry workers to earn recertification and help them retain and renew their licenses. “We work to improve programs for the offshore and inland maritime industry. We offer continuing education and help people define clear career paths,” says Schwab. “We are very proud of our staff — with all the state’s budget cuts to education, we remain the preferred choice of vendors.” Now as part of this effort, Delgado is expanding the Maritime, Fire, Radar and Industrial Training program and building a new modern state-of-the-art facility. On April 24, Delgado broke ground for a $5.8 million, 20,000-square-foot building. Once again it’s designed by Sizeler/Thompson/Brown Architects and will be constructed by Lemoine Co.
Affordable Education “Delgado is accessible both in price and because its many locations,” says Cook. “We give students an opportunity to test the waters. We give them an opportunity to take the first big step to a better life, and we are affordable.” Delgado Community College tuition is $2,992 per year for in-state 54
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Delgado currently serves 17,000 through its for-credit programs and 15,000 through its non-credit, industry specific workforce development programs. Shown here are students of HVAC (left) and industrial maintenance (right).
residents — 8 percent cheaper than the national average public twoyear tuition of $3,263. The average for two-year colleges in Louisiana tuition is $7,246. Two-thirds of students graduating from American colleges and universities are graduating with some level of debt. According to the Institute for College Access and Success, the average borrower will graduate $26,600 in the red. It’s a negative sum for both students and the economy. “As a New Orleanian who’s lived here all my life, I can’t imagine New Orleans being successful without Delgado,” says Stanton F. McNeely III, vice chancellor for Institutional Advancement at Delgado. “We are the best return on investment for both the student and the community. Success in New Orleans happens because of Delgado.” n
Delgado’s Footprint
Orleans Parish Campuses n Delgado City Park Campus n Delgado West Bank Campus n Delgado Charity School of Nursing n Delgado Sidney Collier, Delgado at UNO n Delgado Maritime, Fire and Industrial Training Facility Other Campuses Delgado Northshore (Slidell) n Delgado Jefferson (Metairie) n Jefferson Business and Career Solutions Center (Gretna) n
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Perspectives A closer look at hot topics in three southeast Louisiana industries
58 Accounting
62 Insurance
& Investments
66 Banking
& Finance BizNewOrleans.com September 2015
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Perspectives | Accounting
Held Accountable Local accounting firms battle to stand out from the crowd. By Judi Russell
A
s they seek to carve out market share, local accounting firms are taking steps to differentiate themselves by offering a unique blend of products or services they hope will give them the edge they need to stand out in the crowd.
Managing the money Ericksen Krentel LaPorte LLP got into the wealth management business about 15 years ago. “Prior to that, CPAs were not allowed
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to accept commissions and contingent fees,” Managing Partner Kevin Neyrey says. Several years ago, the company increased its commitment to wealth management, using what Neyrey calls a tax-optimized approach. “Instead of just managing (clients’) money, we wanted to get more involved with their entire financial situation,” he says. Ericksen Krentel partnered with 1st Global Research & Consulting, which acts as its broker-dealer. 1st Global also
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“The thing that differentiates us is how we treat our people. “We’ve rolled out what we call LaPorte University.” – Ted Mason, chief executive and president of LaPorte CPAs and Business Advisors helped Ericksen Krentel recruit Bill Hodapp as director of wealth management. Hodapp is both a CPA and a certified financial planner. To ref lect this change in focus, the firm is rebranding itself as Ericksen Krentel Financial Group. The firm uses a program it calls Method 10 to help its clients accumulate, protect and then transfer wealth. The emphasis is on coordinating a client’s efforts in such key areas as estate planning, taxes, retirement, debt management and “special situations” like divorce. This makes sense, Neyrey says, because accountants are often their clients’ most trusted advisors. Another boon for its clients is Ericksen’s use of cloud-based software under a program Neyrey calls CAS – client accounting services. Instead of tying up many hours on data entry, document transfer and the other time-consuming bookkeeping tasks, both clients and accountants can work from a shared database. “Their books, if you will, are in the cloud,” Neyrey says. “We have real-time access to them, as do they.” CAS frees up Ericksen Krentel’s professionals to use their expertise to help clients with strategic planning, market analysis and other higher-level services. Costs are also lower; small companies can outsource their accounting needs rather than maintain a full-time accounting department. As Neyrey explains it, companies spend less time recording “history” (transactions), and more time planning for the future.
Supporting staff Ted Mason, chief executive and president of LaPorte CPAs and Business Advisors, says one of his firm’s strengths is the support and education it gives its staff. The company’s efforts go well beyond professional training. Photo courtesy of LaPorte CPAs and Business Advisors
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“The thing that differentiates us is how we treat our people,” Mason says. “We’ve rolled out what we call LaPorte University.” The company trained about 25 of its directors as certified coaches so they can advise staff members with such challenges as balancing work and family. Emphasis is on helping people meet their career aspirations so they can become well-rounded, trusted business advisors. LaPorte also ensures that its staff interacts with the communities they serve. The firm requires each employee to become active in two community organizations. “We allow them to choose where their passion is,” Mason says. Being active means spending time helping out with the organizations’ activities, such as serving on a board, rather than just joining. As a result, the firm’s 160 employees give back to literally dozens of causes. Mason also cites LaPorte’s membership in the McGladrey Alliance, which gives the company access to the resources of McGladrey LLP, one of the country’s premier accounting and consulting firms. LaPorte is the 140th-largest firm of its kind in the country, out of about 6,000 firms, Mason says. About four years ago, LaPorte added a Houston office to its locations in Metairie, Covington and Baton Rouge. Mason says the company saw tremendous overlap on the part of its clients. “Many clients in Southeast Louisiana work and operate in Houston, and vice versa,” he says. The firm has hired some Texans who moved to Louisiana to attend LSU but wanted to return to Houston to work. It has also attracted Louisiana residents who went to college in Texas but always wanted to come home to work.
clients a heads-up, Brenan says. As soon as the laws were passed in early June, staff members were meeting with their clients to make sure they were ready. HTB has 125 employees in three offices — New Orleans, Baton Rouge and Denham Springs. The firm has 20 partners, 15 of whom have more than 25 years of experience. The company knows its clients have made a real investment in hiring the services of an accounting firm, Brenan says, and it makes sure the investment pays off. For each client, HTB asks, “Where do you want to be in the next five years, and how can we help you get there?” Brenan says. The firm’s professionals look at how decisions affect
Drilling deep For Gregory Brenan II, CPA and partner at Hannis T. Bourgeois LLP (HTB), it’s all about relationships. “We become trusted business advisors for our clients,” he says. “We’re vested in our clients and what they do and their success.” HTB, which celebrated its 90th anniversary in 2014, has served many of its clients for 25 years or more. The firm specializes in a variety of industry sectors, such as automotive, construction, notfor-profits and government. Within each sector, the company has staff members who follow the industry’s associations and attend conventions. “Our involvement helps us keep on the up and up of what’s going on with the industry,” Brenan says. “We look for how changes will affect our clients.” For example, Louisiana had numerous tax-law changes that took effect July 1. While the new laws were in the pipeline, HTB gave its 60
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“The decisions you make today impact the next five to 10 years, based on where you want to go.” – Gregory Brenan II, CPA and partner at Hannis T. Bourgeois LLP Photo Thinkstock and Courtesy of Hannis T. Bourgeois LLP
their clients’ financial situation, both company-related and personal. “The decisions you make today impact the next five to 10 years, based on where you want to go,” he says.
Giving back The founders of Postlethwaite & Netterville APAC set great stock in the principle of giving back to the communities they served, says Lynne Burkart, a director at the accounting firm. More than 65 years later, the company’s employees keep that spirit alive, volunteering hundreds of hours to a wide variety of causes. The company also sponsors community events, especially those held by groups with P&N directors on their boards. The company has grown since its founding and now is the largest of its type in Louisiana and in the top 100 nationally. P&N has nine offices, eight of which are in Louisiana, and employs more than 700 people. “That gives us the depth to cover all the major industries out there,” Burkart says, including health care, construction, oil and gas, public companies and nonprofits. The company did business with clients in Texas for many years, she says, and more recently opened an office in Houston. The firm’s staff members also support the professional organizations associated with the industries they specialize in, which helps them keep up with industry trends and regulations. P&N prides itself on its emphasis on integrity and confidentiality, Burkart says; in 2003, it received the Douglas Manship Sr. Torch Award for Ethics in Business from the Better Business Bureau of South Central Louisiana. In addition to professional training, P&N offers its employees training in the “soft skills” that help people become well-rounded. It’s part of the company’s focus on lifelong learning, says Rachael Higginbothem, marketing manager. P&N is also a founder of LEA Global, the second-largest international association in the world, which gives the company access to a global network of 220 accounting, financial and business advisory firms. n
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Perspectives | Insurance & Investments
Sudden Windfall What to do with a life insurance payout and how to create one that will best serve your survivors. By Suzanne Ferrara
“T
oo many times, people don’t plan for the ‘what ifs.’ What if I don’t come home tonight? What if I have 6 feet of water in my house?” says Emmett Dupas III, a wealth manager for Northwestern Mutual. Financial advisors, insurance agents and estate attorneys see it all too often: people going through life without a solid plan for the inevitable, including the loss of a loved one, and making mistakes that will cost them and their families in the long run. In the case of a life insurance payout, advisors say most people are not used to a sudden windfall of money and don’t have the foresight to anticipate their real needs or those of family members left behind. “People, unfortunately, spend more time planning their
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vacations than on their own financial situation,” says Dupas. And when a grieving heir is handed a lump-sum payout, he/ she may make irrational decisions like buying a new car, a second home or other impulse purchases in the absence of a well-thoughtout plan. “Then, after the unwise spending, they discover that they cannot meet their daily financial obligations,” adds Walt Johnson, a certified senior analyst. But it doesn’t have to be that way when it comes to investing and spending these “legacy dollars.” After all, a life insurance policy is intended to help protect or buffer those left behind from financial hardships, and to help them maintain the lifestyles they had before the death of their loved ones.
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“The question one has to ask themselves is: What was the purpose of the planning to begin with?” advises Dupas. Are the funds meant to replace a loss of income, to create an educational or trust account, or to pay estate taxes, debts, medical and funeral expenses, or for all of the above? To determine what is best for your family, take into consideration the ages of your children, spouse and for how long they will need those proceeds, maybe 10 to 20 years following the death of a loved one. Special-needs dependents may have a lifetime of dependency on life insurance proceeds. During the grieving process, people may not want to deal with life insurance payout options right away; doing so in a prompt fashion, however, can protect them from making quick and irrational decisions about funds that could help build their futures. Financial advisors agree this is a time to ref lect on the things that matter most in life and to contemplate the legacy of the people they’ve lost. “When people take a step back, take a breath, and think about the meaningful things that bring them happiness, they can make sound planning decisions on how to save, spend, invest and give to charity,” says Steven Dugal, a Northwestern Mutual managing partner.
Lay the Ground Work/Pre-plan Financial experts advise clients to consider their life insurance goals well before the death of a spouse. Doing so can reduce
Photo courtesy of University Medical Center New Orleans
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stress and the chance of making poor decisions in the wake of an unexpected death. “Make a list of what is most important to you, and then design a financial plan that best addresses that list,” adds Johnson. “Having a plan in place allows [you] to monitor the plan, and to determine if the current investment strategy is getting the job done.” “If you are not able to gain clarity on your own, strongly consider working with a financial expert who asks tough questions and helps you to build a comprehensive financial plan that puts you on a path towards personal fulfillment and financial security,” advises Dugal.
The general consensus: n
Seek help from those in-the-know.
n
Expect the inevitable ‘what-ifs’.
n
Consider the things that matter most to your future.
n
Have a plan in place.
Experts say don’t underestimate the value of life insurance proceeds because these funds are not only the living legacy of the deceased, but are also an investment for those left behind. n
*This is not investment advice offered by any advisors.
Meet Your Match In order to find an advisor who will (1) look after your best interests and (2) be the best fit for a long-term relationship, start by interviewing several consultants. Ask about their financialplanning philosophies, and then ask for credentials and referrals. Check with various licensing agencies to make sure he or she is registered and licensed as proposed. It’s also important that potential advisors make a practice of meeting with you annually to discuss your policy, goals and possible alterations. “Remember, what little amount of money you pay for financial advice may keep you out of trouble and pay for itself,” advises Johnson.
Investing and Spending Plans People who choose to receive a lump sum of insurance proceeds must exercise extra care in planning, particularly if the payment will replace the lost income of a loved one. However, there is a lot to consider when a large amount of money suddenly becomes available. Financial advice becomes even more imperative. 64
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“Decisions should be rooted in a comprehensive financial plan, addressing unique goals, dreams and debts,” says Dugal. If the beneficiary chooses not to receive the entire amount at once, he/she may consider several types of annuity payout options. Annuities are promises, normally by insurance companies, to pay a certain amount over a specified period or deferred to a future period. These yearly income options are easy to understand on the surface, but analysts advise their clients to research the implications of each payout method before making a decision. Considerations should include implied return on the investment, length of time the payments will last, the rating of the insurance company, penalties for early termination of the contract, and annual costs or fees. Heirs may also consider investment opportunities, like mutual funds or stocks to meet mid-or-long-term goals. “The right plan will help someone pursue a comprehensive list of goals without
sacrificing other goals in the process,” says Dugal. When it comes to investing insurance money, clients’ needs differ, so drawing up an investment plan is certainly not a “onesize fits all” approach. Meeting with a financial professional can help you decide whether investments are the right option for you. “Starting with a small amount of money to invest will generally force the individual to have to take greater risks to accomplish even the simplest goals,” adds Johnson. “The individual may have to reassess their budget, and begin a more stringent savings plan in order to free up funds to invest, or the individual will have to
reduce his financial want list.” “Diversification is key,” Dugal suggests. “Often we see executives with a large percentage of their investments in a particular industry or with a particular company. In a downturn, that strategy could be costly.” Dugal and his team encourage clients to create a longterm plan and stick with it. “In those moments of uncertainty, it’s important for all of us to review our client’s financial plans and not overreact. The key is to create plans that make sense in any market environment and stay the course.” n
What does your 401k advisor do for you? Protecting your business is our business. Solutions to help you reach your goal.
111 Veterans Memorial Blvd, 9th Floor Metairie, LA 70005 Office (504) 620-4801 emmett.dupas.iii@nm.com www.emmettdupasiii.com Emmett George Dupas III is a Representative of Northwestern Mutual Wealth Management Company, Milwaukee, WI, a subsidiary of The Northwestern Mutual Life Insurance Company, Milwaukee, WI (NM) and limited purpose federal savings bank. Representative is an insurance Agent of NM, and Northwestern Long Term Care Insurance Company, Milwaukee, WI, a subsidiary of NM, and a Registered Representative of Northwestern Mutual Investment Services, LLC (NMIS), a subsidiary of NM, registered investment advisor, broker-dealer and member of FINRA and SIPC. Representative may also be an Investment Advisor Representative of NMIS.
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Perspectives | Banking & Finance
Angel Investors: Be Careful What You Ask For The pros and cons of this last resort form of financing. By Keith Twitchell
“Y
ou wouldn’t come to an angel investor if you could get money somewhere else.” This was one of many blunt and provocative statements that emerged from a panel of “angel investors” that took place at Xavier University on March 3. Kevin Pollard, President of GlobalSolve Management Services, added to his comment by noting that “we are high-risk investors.” Finding financial backers that will consider supporting longshot enterprises that more traditional sources, such as banks and
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venture capitalists, won’t touch may sound like an entrepreneur’s dream. But this kind of investment comes with a price. “You will have a different company structure at the end of the investment process than you had at the b eginning of the process,” warned Mark Graffagnini of Graffagnini Law Corporation and a frequent advisor to angel investors. “You have to be willing to share your idea and your business with the investors.” Pollard and Graffagnini, along with fellow panelists Dann Schwartz and James Griffith, are members of the NO/LA Angel
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Network. Founded in February 2014, the network now includes close to 100 like-minded individuals who are interested in highrisk, early stage investing. According to Pollard, the Network consummates a deal every two to three days – yet less than 3% of applicants are funded. Deals do not involve the entire network, just a certain number of its members for whom a specific pitch is appealing enough to convince sinking some capital into. This distinguishes the Network from angel funds, where a collective of investors pools resources and makes group decisions; and from individual angel investors, who operate independently.
“I want to know where are you going to get your sales? What is your competitive advantage in the field? And the figures you present better be real.” -Dann Schwartz An Arduous Process The Angel Network has a formal application process, which begins with their website, www.nolaangelnetwork.org. Applicants are screened for certain criteria, like how their proposal is different from others in the marketplace and potential for growth. Those who pass the first hurdle may then be asked to present to the Network. All the panelists emphasized the rigor of the presentation. “I’m looking for a 10% to 20% annual rate of return over the term of the investment,” said Schwartz, who describes himself as a Photo Thinkstock
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recipients of angel investments – you must have an exit strategy. “We don’t realize our return until you sell your company,” explained Griffith. Thus entrepreneurs who want to maintain long-term control over their enterprise are almost automatically disqualified, as angel investors typically want out of their investments in three to five years.
“We bring contacts, expertise, experience. We’ve seen just about every scenario you’re going to see. We may not know the best solution, but we know what is not the best solution.” -James Griffith Your Risks and Your Rewards
“serial entrepreneur”. “I want to know, where are you going to get your sales? What is your competitive advantage in the field? And the figures you present better be real.” “What makes you unique, different or valuable?” asked Griffith, founder of CARE Inc. “I want to be sure you are committed to making money. I want to get back twenty times what I invested, because I figure you also have about a 50-50 chance of going out of business.” Documentation is essential: all the necessary legal documents. Market analysis. Financial analysis. Intellectual property protection, like a patent, or at least a clear indication that you can get one. Your business structure and your management team – this last point was strongly emphasized by several panelists. “Your first hires have to be your best hires,” observed Pollard, since your initial team is the one that must convert an idea into a successful business. In reviewing potential investments, he focuses very strongly on the ability of the management team to execute the concept. “If you have an A-Team of management and a B-level model, I will make money,” was his summary. Applicants must also be willing to relinquish some level of control over the business. “We are looking to help mitigate your risks, not micro-manage your business,” said Schwartz, but he also added a willingness to adapt, to consider advice and respond to contingencies, was essential in order to attract his investment. Angel investors will usually try to get a sense of who the individual is as well as looking at the idea. Background checks will be conducted, probing questions will be asked. A personal comfort level must be established for the investors. As Griffith put it, “We want to know that in a jam, you will default to your values, not what is expedient.” Finally – and this is a frequent deal-breaker for many potential 68
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Partnering with angel investors is a high-stakes game for both sides. While the investors are funding business ventures that are inherently high risk, entrepreneurs are accepting parameters (such as the mandate to sell) that may not align with their larger objectives. That said, there are obvious rewards for a budding business person, and they start with the application itself. Several panelists pointed out that simply going through the process of preparing and delivering the presentation to the Angel Network will improve the applicant’s overall business plan, strengthen the business model and improve its chances of success. Further, angel investors don’t simply write checks. “We bring more than just money to the table,” said Griffith. “We bring contacts, expertise, experience. We’ve seen just about every scenario you’re going to see. We may not know the best solution, but we know what is not the best solution.” Angel investors are not looking for financial control of the companies they support; usually no more than 20% of the business is owned by the investors. “If you go beyond that, the entrepreneur becomes an employee,” was Pollard’s perspective. Thus the potential rate of financial return for the business owner is also very high. As the NO/LA Angel Network enters its second year, it is moving into community outreach, with the Xavier panel being one example. One-on-one mentoring and advice sessions are available, initially through Propeller, and Network members are even willing to sign non-disclosure agreements prior to providing such sessions. Partnering with angel investors is not for the faint of heart or narrow of vision. This is the big leagues – investments typically range from $100,000 to $2 million – and all involved are expected to bring their “A game” every day. Yet for those who are accepted into the game (and accept the rules of the game), long-shot ideas quickly get high levels of resources to support them. While angel investors are demanding, they are very focused on results, for themselves and for their partners. Said Pollard near the end of the Xavier panel, “We want to see everyone succeed.” n
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Guest Viewpoint
Don’t Wait Until It Breaks A properly managed network saves businesses time and money.
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Charlotte and Darrin Piotrowski own Rent-A-Nerd, Inc., the IT company that he founded in 1997, which focuses on providing local businesses with top caliber service. He is the firm’s president and she is the director of marketing and community outreach. Charlotte previously practiced law and is an award-winning author.
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e all know that, with respect to our physical health, maintaining a healthful lifestyle—from exercise to diet—is more preferable than fixing problems that could have been prevented or greatly reduced. The same is true for your company’s computer network (which likely includes a server and a number of individual work stations, plus peripheral equipment like printers). It’s nearly impossible to think of a single business that does not rely on technology on a daily basis. Therefore, it is crucial that business owners carefully consider how their IT budget is put to use. A properly maintained network will result in less downtime and higher productivity from employees. Consider the following facts. Employees spend, on average, 30
minutes per week trying to fix computer-related problems or helping a coworker with computer problems. When all IT expenses are factored, businesses spend roughly $700 per user per month. The average small business spends 6.4 percent of its total revenue on technology; for businesses with revenues up to $50 million, that amount slightly increases to an average of 6.9 percent. These statistics may not surprise you, but did you know that 80 percent of the cost comes after the initial purchase? So, for example, if your business’s annual revenue is $1 million, you’re likely spending $64,000 annually on your technology, and most of that is on fixing problems. Clearly, acquiring new technology isn’t nearly as expensive as keeping it performing well. Your Photo Thinkstock
computer network should be an investment for business growth, rather than a drag on profitability. Traditionally, business owners (or office managers or the like) would call a computer repair company only when there were problems; in other words, a computer — or the entire network of computers — breaks, an IT technician eventually arrives to fix the problem, and this cycle is repeated over and over again. It’s obvious that this causes significant downtime, which costs you money! It is a known fact that it is much less expensive and less time-consuming, for many reasons, to simply maintain computer networks on an ongoing basis rather than reacting to each isolated problem. Business owners have a choice: You can either respond reactively to your IT needs, or you can partner with an IT firm that offers computer network management. We at Rent-A-Nerd, Inc. do not recommend reactive IT solutions. This method is often coined the “break-fix” method. When something is broken, tech support arrives on-site to fix it, making this approach reactive. Therefore, this generally results in misguided support and even more billable time to resolve the issue(s). The business suffers a loss in productivity, as employees affected by the outage experience downtime and cannot perform their jobs as effectively without their working equipment (or possibly, they can’t do anything at all). If you rely on a computer to process orders or payment, you may quite literally be unable to finalize sales, thereby truly losing money for every minute that your system is down. This leads to missed opportunities and lower productivity—all of which cost your company money. A seemingly simple IT outage can add up to a large, unexpected expense very quickly! We believe that network management — just like preventive medicine — is the best choice for business owners. Regular maintenance prolongs the usability and performance of computer systems. Automated security patches and software updates protect the network from many threats and issues. Maintenance and updates are performed after hours, meaning you’ll experience fewer business interruptions, less downtime and better employee productivity. And, when there is an issue, your IT service provider knows right away, which should foster peace of mind for the business owner. Further, remote technical support can reduce costs by eliminating transportation for most issues. Frequently, your network specialist will be able to “remote in” to your business’ system and fix the problem—sometimes you won’t even know there was a problem in the first place! Proactive monitoring and early detection can pinpoint issues for resolution before they cause downtime. Thorough documentation and network maps give technicians a precise overview of your business’ IT needs. This assists your IT partner in providing you with the optimal level of service and also provides a roadmap for expansion, as the need arises. In addition, reporting and tracking can segregate troublesome devices for replacement. This allows a business owner to plan when and which server, computer, or other device should be replaced, as opposed to believing that the entire system isn’t working correctly. Isolating problems leads to lower replacement costs. Progressive IT firms provide modern IT methods—managed services, generally via a monthly contract that can be customized for each business, based on needs and budget. This relationship is much more of a partnership, as both parties strive to keep the system working harmoniously. n Photo Thinkstock
Top 10 benefits of network/computer management and maintenance: can truly think of your IT service provider as your outsourced 1 You IT department, but without the overhead. You are now fully supported in the manner in which much larger companies—with their own designated IT departments—are, except that you do not have to find office space for this department or even pay their salaries and benefits. But you still get the benefit of round-theclock maintenance! issue detection leads to fewer problems that actually affect 2 Early the end-user. technical support reduces overall IT expenses with 3 Remote shorter response times. a trusted IT consultant means your business won’t need 4 Having to rely on vendor support (such as software support calls that last for hours and leave you more frustrated than before). “break-fix” practice forces you to pay when you are down 5 The and already losing money. IT management is easy to budget, reduces hidden costs, 6 Flat-rate and promotes IT expense planning. get a powerful alignment of your IT and business goals. Your 7 You technology works for you! that manage and outsource their IT properly greatly 8 Businesses reduce overall IT expenses. business can take advantage of enterprise-level solutions for 9 Your small-business costs. maintenance and management allow your business 10 Remote to free up resources and focus on core business objectives. You should be focusing your time on your business, not your computer network!
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PUBLISHER’S NOTICE: All real estate advertised herein is subject to the Federal Fair Housing Ace and the Louisiana Open Housing Act, which make it illegal to advertise any preference, limitation, or discrimination because of race, color, religion, sex, handicap, familial status, or national origin, or intention to make any such preference, limitation, or discrimination. We will not knowingly accept any advertising for real estate which is in violation of the law. For more information, call the Louisiana Attorney General’s Office at 1-800-273-5718.
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$995,000
SHAUN TALBOT
5774sf Main House
sktalbot@talbot-realty.com 504.525.9763 OFFICE www.talbot-realty.com
with 5 bedrooms, 3 full baths, 2 half baths
504.975.9763
Covington estate on rolling landscaped grounds (3.66 acres) w/ frontage on the Bogue Falaya. Large main house w/ open living & dining areas w/ 2 sided brick fireplace, massive glass walled great room with vaulted ceiling, stone fireplace, huge ground flr. master w/ 500sf closet! Heart pine flrs, wraparound balconies afford wonderful views of the grounds & mature hardwood trees. 1718sf guest house w/ 2 beds/2.5 baths, pool & cabana, dock and boat launch
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R E A L
E S T A T E
251 Chapel Loop
Mandeville, LA 70471 $528,000
Single Family Home, 5 Beds, 4 Baths, 4,338 Sq. Ft.
Stunning Previews French Country shows with style & spirit! Only 13 years young and rivals new construction homes in presentation, amenities! Wood floors, butler’s pantry, granite, high ceilings, dramatic fireplace! Master suite and mother in law suite (currently a study) both on first floor. 3 bedrooms up plus loft! Large lot to enjoy the outdoors with wonderful covered patio. CINDI RAYMOND | 985-966-1844 | cindi@cbtec.com 103 Beau Chene Blvd. Mandeville, LA 985-845-2001 ext. 129 Each office is independently Owned and Operated
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Great Offices
The Host With the Most Terry Epton, president of Hosts New Orleans, welcomes Biz into his downtown office space. By Bonnie Warren | Photography by Cheryl Gerber 76
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LEFT: The reception area of Hosts’ 14th floor office at One Canal Place Office Tower. RIGHT: Terry Epton, president of Hosts New Orleans, pioneered the business model for modern global destination management companies around the world.
erry Epton has the zeal of a preacher when extolling the virtues of New Orleans’ tourism industry. “I can certainly feel the high energy generated as we grow our business on an upward curve each year,” he says, as he looks out a wall of windows from his 14th-floor office in One Canal Place Office Tower at the foot of Canal Street. And Epton should know; he held the title of president of Hosts Global Alliance, a destination-management consortium made up of 60 companies, some owned by Hosts and other independent partners, together serving 70 destinations around the world, until a few years ago when he decided to concentrate on New Orleans and assumed the title of president of Hosts New Orleans. It is the largest business of its kind in the area; as well, Epton himself pioneered the business model for modern global destinationmanagement companies. A New Orleans native, Epton grew up in the Ninth Ward near Elysian Fields and St. Claude avenues and attended Brother Martin High School and the University of New Orleans, where he helped to get the Hotel, Restaurant and Tourism Program started by visiting local high schools to explain the program’s importance and urge students to enroll. “I was among the first to sign up and the first to graduate from the program in 1978,” he says. “So you can imagine how pleased I was to be named the first Distinguished Alumni of the program in 2007.” While at UNO, Epton interned at the Royal Sonesta Hotel under the tutelage of Hans Wandfluh. “He was a great mentor to me,” he says. “I enjoyed learning from an intelligent leader in the hospitality industry.” Epton joined the Hosts brand in 1982, and his star quickly rose. His comfortable office attests to his success as a leading member of the destination management industry. “I began as the director of sales in the New Orleans office, and it has BizNewOrleans.com September 2015
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“I was proud to be the [New Orleans Convention and Visitors Bureau’s] chairman of the board when New Orleans was struggling to overcome Hurricane Katrina and rebuild its convention and visitor business.” been exciting to be a part of such a winning team for over three decades,” he says with pride. “I became president and CEO in early 2006, and it was quite a baptism by fire since in was only a few months after Hurricane Katrina. “I was proud to be the [New Orleans Convention and Visitors Bureau’s] chairman of the board when New Orleans was struggling to overcome Hurricane Katrina and rebuild its convention and visitor business,” he says. “Today, I often repeat the sage saying, ‘What doesn’t kill you makes you stronger,’ and that is certainly what has happened to New Orleans in general and the NOCVB in particular. The city has made a remarkable comeback, and the 78
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CVB is stronger today than ever.” Ten years after Katrina, Epton is pleased with what the NOCVB is doing. “It now has close alliance with the New Orleans Tourism Marketing Corp. (NOTMC) to work more effectively to promote both the convention and leisure visitor business in New Orleans,” he says. “We are looking forwarding to being
1: Epton’s view takes in the Mississippi River and Ernest N. Morial Convention Center. 2: The break room features a ping pong table and a wall of photographs of staff members. 3: The hallway showcases inspirational quotes from well known figures expressing their love for the city. 4: Glass shelves in the reception area display the company’s various awards.
Hosts New Orleans works with visiting groups to provide:
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a part of the big Las Vegas IMEX travel show in the fall, where people from all over the world will be vying for a part of our business. We will be a part of the NOCVB exhibit and have our own ‘dog-and-pony’ show to promote New Orleans.” Just back from a trip to Boston where Hosts Global Alliance held its annual forum, through which the company brings together industry leaders to plan for future, Epton says the future looks bright. “We definitely see steady growth right here for our business as experts who work with every facet of tourism business, whether it is with the major hotels, the major vendors and suppliers, and/or the attractions that make every large or small meeting and convention a positive experience for everyone involved.” A display shelf in Hosts New Orleans’ reception area shows off more than a dozen national and international personal and company awards, including the Hats Off
Award from the NOCVB, marking his status as a global leader. “We are unabashedly proud to be the leader of this important industry that is a force in New Orleans,” he says. “It allows me to have a broad scope of the entire tourism industry that is a major force in the economy of our area.” And he’s a huge football fan, too, cheering on the Louisiana State University Tigers and the New Orleans Saints. “I admit to being a ‘crazy’ fan for both teams,” he says — and one look around his office validates this statement. In fact, Epton has always been a dedicated fan of his entire hometown — when you walk into his office, you can’t miss the big sticker on the back of his computer that reads “Forever New Orleans.” He also is pleased to show off a gallery of family photos near his desk. Married to his wife, Sandra, for 28 years, the couple lives in a Warehouse District condo near the Mississippi River and has “five fine
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Hospitality Staff
grandchildren,” he says. Walking down the hallway of the Hosts offices, you might wonder why the company keeps a ping pong table underneath a wall of photos of staff members? “You need a place to relax and remember that you are part of a team of good people contributing to the success of the company,” Epton says. And what’s the purpose of the poster boards with quotes under them in the hallway? “We love the happy quotes about New Orleans,” Epton continues. “One of my favorite sayings is by actor John Goodman: ‘If I could put my finger on it, I’d bottle it and sell it. I came down here originally in 1972 with some fraternity guys and had never seen anything like it – the climate, the smells. It’s the cradle of music; it just flipped me.’” When Epton was interviewed for a cover article in Corporate & Incentive Travel, a trade publication for corporate and incentive travel planners, he proudly answered why he thinks New Orleans remains such a popular meeting and convention destination. “If there is one word that sets us apart, it’s that we are a truly ‘authentic’ destination that is unlike any other place. We were a European city for 100 years before we became an American city. So we have a different outlook on life here. People who were born here, like me, tend to stay here. And that is why I moved the corperate headquarters here when I became CEO of USA Hosts after Hurricane Katrina. I had been asked by our then-owner on a number of occasions, to move to Nevada or the West Coast, and I declined to do that because New Orleans has a lifestyle and way of existence that is contagious. Once you have experienced it, you just don’t want to be anywhere else. And over the years, that has also come to be true in the hearts and minds of an awful lot of meeting planners and attendees.” n
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Q&A - Biz Person of the Month
For 20 years, Darlene Cusanza has led Crimestoppers New Orleans, which is celebrating its annual fundraiser, “Blues Night,� on Sept. 9 at the House of Blues. The event will highlight the service of local law enforcement since Hurricane Katrina.
Paying for a Safer City With over $2 million in rewards for tips used to solve more than 15,000 felonies, Crimestoppers Greater New Orleans has fought against local crime for 34 years. President Darlene Cusanza discusses how NOLA crime has changed since Katrina, and what her organization is doing about it. By Chris Price - Photos by Cheryl gerber
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arly on in her tenure with Crimestoppers Greater New Orleans, Darlene Cusanza found herself on the business end of a weapon in an armed robbery. The experience exposed her to the danger crime posed and the myriad intense feelings crime victims experience. In her case, police caught the perpetrator, and, ultimately, the system worked. Today, Cusanza serves as the seemingly ubiquitous organization’s president and CEO. In addition to working with local law enforcement, media, and the general public to solve and prevent crimes, the 501 (c)(3) nonprofit organization is extensively involved in educating youth in crime fighting and prevention. Under her leadership, Crimestoppers has more than doubled its call volume and cases/crimes solved and expanded its operations to nine parishes – Orleans, Jefferson, St. Bernard, St. Charles, St. James, St. John the Baptist, St. Tammany, Plaquemines and Washington. The program, which utilizes a 24-hour-a-day anonymous-tip hotline, website and app, has assisted in solving more than 15,000 felony crimes and paid out more than $2 million in rewards for tips. In addition to fighting crime, the mother of two has served as Cub Scout leader, Girl Scout cookie mom, school PTA officer and room mother. As the region looks back on a decade of recovery following Hurricane Katrina, Biz New Orleans examines how the fight against crime has changed in the 10 years since the storm. BIZ: What is Crimestoppers GNO’s mission?
Darlene Cusanza: Our mission is twofold. One, it is to assist citizens to be able to provide information on crimes – that either happened or are planned to happen – in a way that they are completely anonymous and protected. With that information, we work with law enforcement to help solve or prevent the crime. We
“You’re seeing federal law enforcement, state and local working together, where we didn’t see or hear as much of that before Katrina,” says Cusanza, seen here speaking with crime intelligence officers.
also work with media to get information out to the public for the need for information and the reward process. The second part of the mission involves being proactive with crime-prevention education with neighborhoods, adults, and, particularly, with the youth. BIZ: How is Crimestoppers GNO affecting crime in New Orleans?
DC: Since our inception, we’ve helped solve more than 15,000 felonies. Last year, we helped solve just fewer than 500 cases. That’s more than a crime a day. So, it’s definitely making a difference on fighting crime in the region. BIZ: How did you get involved in Crimestoppers?
DC: I got involved through a friend at the Louisiana CPA society, where I worked before. He told me they were looking for a parttime director to run the program. I never thought I’d be working in something law-enforcement related. Twenty years later, here I am. It’s been a ride. Just as I came to Crimestoppers, I was a victim of an armed robbery. God teaches you things in mysterious ways. It gave me a great appreciation for what it felt like to be a victim, as far as what I see and work with every day. It also gave me an opportunity to see the system work. And it did work for me. I truly believe Crimestoppers is a very vital tool. It makes a difference every day. And that’s been rewarding.
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BIZ: What are your daily duties?
DC: Overseeing a small business like Crimestoppers, I work with a volunteer board and also serve as the media spokesperson and crime-prevention expert. I do on-air interviews both on television and radio weekly. I also speak at least once a week to a civic or community organization about crime issues. I also advocate for victims and their families with both law enforcement and the media. BIZ: What does crime look like in New Orleans?
DC: It looks like many metropolitan areas. There are simple personal crimes, like pickpocketing and crimes like that, because of the high number of people and tourists that congregate in certain neighborhoods. You also see anything that could be related to drugs, which fuels the violence. A lot of that is isolated to certain areas of the city, like it is in other large cities. A lot of it, too, is a lack of conf lict resolution. People now tend to react very violently when a conf lict arises. That’s the part I see escalating. BIZ: How has crime changed in the decade since Hurricane Katrina and the associated floods?
DC: We’ve changed how we fight crime in a very positive way. After Katrina, many 82
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different agencies joined in to help each other solve crime. You’re seeing federal law enforcement, state, and local working together, where we didn’t see or hear as much of that before Katrina. Because of that, we’ve been able to build criminal intelligence in networks. That’s critical. We know criminals don’t stop their activities at the boundaries of the parish line. Before Katrina we had to get multiple agencies to track information on that one suspect. Now it’s all regionalized. It’s all centralized information. That’s a huge difference from 10 years ago. Of course, technology has made strides with improved processing of DNA and ballistics to capabilities and proliferation of security cameras. BIZ: How does crime affect the local business community?
DC: If people don’t feel safe going to a business, they will hesitate to frequent it. Obviously, that affects the bottom line. The business community is concerned about how crime affects them economically, but they’re also concerned with quality of life. BIZ: How is the business community involved in fighting crime?
DC: So many businesses are getting involved proactively with security by adding lights and cameras, which are proving to be a big help in solving and prosecuting crime.
Darlene Cusanza with Liz Reyes on Fox 8. Cusanza is frequently interviewed on local radio and TV stations.
CUSANZA’S Recent Awards & Recognitions New Orleans Regional Leadership Institute Community Service Award, 2015
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Family Service of Greater New Orleans “Open Door” Top Ten Outstanding Person’s award, 2014
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National Crimestoppers USA Board of Directors, 2013
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Crimestoppers’ Outstanding Media Award for a PSA, 2013
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Young Leadership Council Role Model, 2009
US Department of Justice - United States Marshals Service Director’s Citizen of the Year, 2008
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Jefferson Chamber of Commerce Community Leader of the Year, 2008
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They’re listening to law enforcement and they’re becoming more proactive. They’re interested in introducing best practices and holding people accountable. I also think our business community has put up a lot of their own finances into helping improve different situations that affect crime.
Crimestoppers’ youth focused crime prevention initiatives Safe School Hotline – currently operates within five parishes and has solved hundreds of campus crimes.
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Teen Peace Summit – in partnership with iHeartMedia radio station Q93 and First NBC Bank, teen peace summit will be held in October at Champions Square. It is expected to attracte more than 6,000 youth.
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years, the murder rate has gone down. But right now, that’s the one area where we are focusing a lot of our energy because of the increase in frequency and the police manpower concern. BIZ: “Snitches get stitches” is a notorious local saying. Has there been a greater willingness to speak up more recently?
DC: That mentality is not unique to New Orleans. It’s nationwide. But, in recent years we’ve seen a double-digit increase in the number of calls to our tip hotline. People are concerned. They don’t want to be a statistic. They want to get involved in getting their neighborhoods back. They’re speaking up, meeting, talking and working together. BIZ: Can you tell our readers about Crimestoppers GNO’s youth programs?
BIZ: What are your thoughts on the security force Sidney Torres has assembled in the French Quarter?
DC: More eyes on the street and boots on the ground are important. Certainly it’s very generous of him to put up his own money to increase details and manpower in the French Quarter. It’s all about community involvement. That’s really the key. So anything that helps with that, I think, is a positive. BIZ: Do you have any statistics to illustrate how fighting crime is changing in New Orleans?
DC: Our call volume and tip volume over the last several years have increased. That’s directly tied to the crime rate. This year, overall violent crime is down in New Orleans and Jefferson Parish. What’s up in New Orleans is the murder rate. For us, that directly affects the number of calls we get and the rewards we pay out. For the last three
DC: The youth component of Crimestoppers is probably our best-kept proactive services secret. They include the Safe School Hotline, Crimestoppers’ Teen Ambassadors Against Crime leadership program, our Teen Peace Summit and outreach efforts at schools, which give kids an opportunity to see the resources that are available to them. The outreach program allows us to reach thousands of students and help groom them into crimeprevention advocates. We talk about crime trends, the latest drug issues, and resources available to be proactive so that they can be part of the solution and not part of the problem. It also teaches students about the many career opportunities available in the criminal justice arena. The Safe School Hotline has also allowed schools to utilize our presentations to supplement their existing safety programming, with the added benefit of offering the reporting of campus
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concerns via our anonymous hotline. We’re not necessarily looking at violent crime here as much as issues like bullying, vandalism and even self-harm issues. This allows us to bring pertinent information to the school to be investigated and go to law enforcement if that’s what’s needed. Crimestoppers’ Teen Ambassadors Against Crime is a yearlong leadership program for high school students in which they learn about all aspects of the criminal justice program, debate issues related to the community, and work on a project in which they select a crime-related issue and provide ideas to help solve some of the related problems. Several of our teens who have participated in our teen ambassador program won college scholarships. The teen peace summit will be held in October at Champions Square. It is expected to have more than 6,000 youth in attendance and will involve guest speakers, music and feature a competition with local high school drum lines. BIZ: How does the organization raise money for rewards?
DC: I can sing if you want. We also beg, borrow… no. We have fundraisers,
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“Our call volume and tip volume over the last several years have increased,” Cusanza says. “That’s directly tied to the crime rate.”
apply for grants, have a corporate-giving program, family members sometimes give money to help with their cases. We also have some legislative money available through the court system that helps. But, really, we accept all generosity to help run the program. We’re having our annual Blues Night fundraiser at The House of Blues on Wednesday, Sept. 9. In addition to our auction, we will take a look back at the contributions and service of law enforcement since Katrina, particularly to those who have lost their life in the line of duty. A song and video, “How Much I Love You,” has been produced for the event. It pays tribute to these officers by showing scenes of work done during and after Katrina. The song is available for purchase on iTunes, with the music video available after the premiere at the event. Proceeds from the sale will assist with operations of our community programs. n
Upcoming Crimestoppers Events September Wednesday, September 9 Blues Night The House of Blues Annual fundraiser featuring auction, food, drinks to benefit Crimestoppers GNO October Sunday, October 11 Night Out Against Crime preview party Kenner Event to prepare and package items for community Night Out parties Tuesday, October 13 Night Out Against Crime Neighborhoods citywide Neighbors come together in this annual event to meet and discuss local issues and crime prevention with neighborhood associations and local police. Saturday, October 24 Teen Peace Summit/Youth Congress/Drumline Competition Champions Square Crimestoppers, iHeartMedia Q93, and First NBC Bank to host 6,000 youth at event featuring guest speakers and more.
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Why Didn’t I Think of That? | Creative Businesses Taking Hold in Southeast Louisiana
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Photo by Cheryl Gerber
KNOCK, KNOCK, BOOZE THERE Popping the Cork on Alcohol Delivery in New Orleans By carolyn heneghan
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flustered hostess realizes she doesn’t have enough wine for the new couple added to her party’s guest list, but she’s too busy cooking the evening’s hors d’oeuvres to run to the store. A busy mom tries to run errands with her tired and hungry kids and considers skipping her last stop, the liquor store. A man takes a drag from his cigar as he realizes the beer supply for his weekly poker night is running low, and he’s been hot the last few hands. What do these three people have in common? They could use a visit from an alcohol delivery service.
Drizly Alcohol delivery may be nothing new to New Orleans, but Drizly was the first on-demand alcohol delivery app in the city. Launched in New Orleans at the beginning of July, Drizly currently partners with Pearl Wine Co. and Brady’s Wine Warehouse to deliver wine, beer and spirits to legal-age drinkers across the city.
Alcohol Delivery: A National Trend Alcohol delivery has been available in various cities across the United States, particularly larger cities like New York, Los Angeles, San Francisco, Chicago, Washington, D.C. and Boston for a while. It’s hard to pinpoint exactly where and when the trend took off nationally, but the reason for the boom in alcohol delivery in the U.S. is harder to argue: apps. “What’s really prompted all of this is the age of the app and the demand going along with food delivery,” says Leora Pearl Madden, owner of Pearl Wine Co. “The natural progression was for alcohol delivery, too.” Though alcohol delivery has been offered on a limited basis in New Orleans for decades, over the past few years, more players have entered the arena. New Orleans is now a target for alcohol delivery apps as well.
To connect New Orleanians with booze deliveries, Drizly uploads its retailer partners’ inventories to its free app and website. The company does not charge a markup, so consumers pay the same amount they would pay in the store, except for a $2 delivery fee per order. The retailer handles both the sale processing and delivery of the order, as laws in several states, including Louisiana, block third parties from doing so. The app acts as an intermediary that provides easier access to these companies’
alcohol selections via Internet-ready devices, particularly smartphones — an increasingly common avenue for online ordering. Once the order is ready, the delivery person activates Drizly’s proprietary software, which alerts the customer that his or her order is on the way. The customer can then track the delivery person between the store and destination. When the delivery person arrives, he or she uses Drizly’s ID software, which ensures the ID provided is valid, above the legal age limit and matches the name on the order and credit card. This software is one way Drizly stands out from the competition, according to Kerin Horgan, senior manager of communications. “That’s something consumers and retailers alike are really excited about, that we are able to offer that additional step in making sure we’re doing a safe and compliant alcohol delivery,” says Horgan. “Because at the end of the day, for the liquor retailer, it’s their liquor license, so they want to have all the options to make sure they’re making the right delivery.” For this service, retailers pay Drizly a monthly franchise fee that varies, based on an algorithm. That algorithm takes into account a number of factors, including a sliding scale for sales. Drizly has also received nearly $18 million in financial backing from investors, which has enabled the company to expand rapidly in only about a year and a half of operations. Drizly currently operates in 17 markets, with Boston as its first and New Orleans being one of the latest additions. Further expansion, however, is on the horizon. “The hope for us is that we’ll just keep adding new cities and developing stronger retail relationships, and then also other types of relationships with national brands,” says Horgan.
Left: Established in 2013, Pearl Wine Company accepts orders for delivery via phone, on their website, and through the first on-demand alcohol delivery app in New Orleans, Drizly (shown above). Photo Courtesy of Drizly
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“We’re just working to continue making the experience for consumers the best possible on the market.”
Pearl Wine Co. Owner Leora Pearl Madden knew from the start of her business that delivery would be an integral component of Pearl Wine Co., which she opened in March 2013 at 3700 Orleans Ave. “It was something that I often thought of myself when I’m sitting at home and maybe I can’t leave because I’m waiting for someone to come over, or I have a party and run out of wine,” Madden says. “I always thought, ‘Man, it would be really nice to have a wine delivery service.’ So it was always something that I was going to do.” Pearl Wine Co. accepts delivery orders over the phone, through its website, and via Drizly. This range of delivery options enables Pearl to capture more customers, particularly those looking for a smaller production item that may not appear on the Drizly app. All of Pearl’s alcohol selection is available for delivery at no markup from the retail price, which includes all of the small production and craft items that the company specializes in, in addition to more mainstream products, such as Jim Beam or Absolut. Madden says her biggest sellers are champagne, vodka, and sauvignon blanc. The majority of Pearl Wine Co.’s deliveries are for bachelor and bachelorette parties, including groups coming to New Orleans that might receive a delivered party pack from Pearl purchased by the bride or groom. While Madden loves working with consumers, she also takes pride in serving local businesses and offering free delivery on orders for their events and catering requests. “We really try to foster the feeling that other businesses can capitalize on the fact that we are making this available to the city,” Madden says. “That was my whole vision when I opened Pearl, to make something available to New Orleans that hadn’t been available before, but also to bring a little joy to people. I love seeing the faces light up when you show up with a gift or their catering order or whatever it is. It’s just a lot of fun. It helps our fellow New Orleanians out.” Customers must place a minimum $20 order for deliveries, which come with a $2 delivery fee that is waived if they order a case (12 bottles) or more. Customers then enjoy a visit from Wine on Wheels, Pearl Wine Co.’s customized black delivery van.
Brady’s Wine Warehouse Brady’s Wine Warehouse is the newest addition to New Orleans’ alcohol delivery landscape, having just opened in February and having started delivering in early July. Like Pearl Wine Co., Brady’s Wine Warehouse also operates its delivery services through Drizly, though unlike Pearl, Brady’s does not use Drizly to supplement other direct delivery orders placed through the store. When customers order through Drizly, they browse Brady’s carefully curated selection of wine, spirits, and craft beer housed at its storefront on Oretha Castle Haley Boulevard in the Central Business District. One unique aspect of ordering from Brady’s is the receipt from the store, which offers critical tasting notes printed along with the bill. 88
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Opened this February at 1029 Oretha Castle Haley Blvd., Brady’s Wine Warehouse began its delivery service in July.
For example, if a customer orders a six-pack of craft beer, a writeup about that beer from a critic will be included on the receipt. “It’s pretty neat that we do that,” says Brady’s general manager Richard Ellis. “We let people taste if they just want to taste and enjoy it, and we let people get a little bit more involved if they want to.” Brady’s coordinates its delivery orders exclusively through Drizly, at least for now. Ellis says, “There’s no reason for us to turn down business. If another app came to New Orleans and wanted to do stuff with us, unless it was somehow against our contract [with Drizly], then we would be happy to partner with them.”
Martin Wine Cellar Founded in 1946, Martin Wine Cellar is one of the longest-standing purveyors of alcohol delivery in the New Orleans metro area. While general manager Will Fauquier believes delivery probably started informally sometime in the beginning of the store’s history, it since has likely stemmed from food-related deliveries, which are also common for the company. While lunchtime delivery orders are often dominated by catered luncheons for businesses, weekends often mean larger liquor orders for parties and events. Martin also sees many gifts ordered by locals and out-of-towners alike, particularly wine baskets or wine-and-food baskets. Fauquier says that one day, he took an order from a man in Virginia for two bottles of champagne to be delivered to his daughter, who lives in the area, for her birthday. In addition to a large selection of wines, spirits, and beer, Martin Wine Cellar offers a full catering menu to go along with its alcohol deliveries, so a party planner can order all of his or her food and alcohol from the same company. That, Fauquier said, sets Martin’s services apart from other alcohol delivery companies. While most of the other alcohol delivery services in New Orleans are much younger, Martin Wine Cellar prides itself in keeping up with consumer trends in the alcohol space. “For years, we were one of the few liquor businesses that delivered—that’s not the case anymore,” says Fauquier. “Our challenge now is just trying to keep people realizing, ‘Oh, Martin’s Photo by Cheryl Gerber
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Martin Wine Cellar LEFT: One of the city’s earliest wine deliverers, Martin Wine Cellar offers a full catering menu in addition to a large selection of wines, spirits and beer. Below: “Customers usually have something in mind, or if they don’t, we’ll have suggestions,” says Keife & Co. owner John Keife.
does deliver these things. I need a case of wine but don’t feel like going out. Martin’s will get that for us.’ That’s really the plan right now, just trying to stay fresh in people’s minds and to stay relevant.” Fauquier said that Martin Wine Cellar does not see an app or app partnership on the horizon, though the company would research and consider any opportunity that would grow its business. However, because Martin’s has such a comprehensive delivery service as it is, the company is not in a huge rush to adapt to the delivery app culture. In the meantime, deliveries have a $50 minimum and carry a $10 delivery fee in the metro area or $15 for locations just outside. The delivery fee is waived for orders over $250.
Keife & Co. Keife & Co. has offered delivery services along with its storefront since the one-stop alcohol shop opened Downtown on Howard Avenue in July 2012. According to owner John Keife, the company’s delivery services have grown along with the natural growth of the business. As more people learn about Keife’s delivery services, the number of orders increases accordingly. Many of these customers live in the New Orleans area, but others are from out of town and are either visiting the city or ordering products for someone else who lives in New Orleans. “Customers usually have something in mind, or if they don’t, we’ll have suggestions,” Keife says. “If we don’t have a particular product, we suggest something that would be similar in style. Oftentimes if it’s a gift, they’re pretty open to suggestions. They trust us, they can see the reviews and reputation we have online, and they know we’re going to pick a great product for them.” He continues, “Then, of course, we have regular clients who call in who completely trust us. So they say, ‘Put together a case or two, and bring it out to me. I liked this wine,’ or ‘I didn’t really care for this one as much, so swap that one out.’” Keife & Co.’s bestsellers for delivery orders are gift baskets rather than any particular product. This could be a gin and tonic setup, for example, or a martini basket that comes 90
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with not only booze but accoutrements that can be found in the store, such as a mixing glass, spoon, and jigger. In addition to alcohol accoutrements, cheese and charcuterie plates are common for delivery orders and help set Keife & Co. apart from some of the other alcohol delivery services in the area. Customers tend to order these plates along with their alcohol, which can include anything from the storefront’s selection of wine, spirits, and craft beer. Keife & Co. doesn’t host their inventory online and takes their delivery orders over the phone, “kind of old school,” as Keife put it. The company doesn’t intend to pursue partnerships with alcohol delivery apps for now, preferring instead to see how they pan out in New Orleans and whether they are cost-effective. In the meantime, deliveries are free in Orleans Parish, including the Westbank but require a $50 minimum, though a $10 to $15 delivery fee may be applied to orders outside of Orleans Parish.
Elio’s Wine Warehouse Elio’s Wine Warehouse offers delivery as well, though on a smaller scale than other companies in the area. Elio’s tends to focus more on neighborhood deliveries and weddings and is well-known for its wide selection of keg beer, though the company sells wine and spirits as well. The liquor warehouse usually requires a $100 minimum on deliveries. Whether locals are looking for Tito’s Handmade Vodka, Triennes Rose, or Great Raft Southern Drawl—the top three delivery sellers in New Orleans, according to Drizly’s orders—they can now enjoy the convenience of alcohol delivery services, which bring those libations straight to the customer’s doorstep. And that, to many New Orleanians, is something to raise a glass to. n
Photos by Cheryl Gerber
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Events The NOLA Know How July 16
Kenner Business Association Monthly Luncheon: The State of the City
Eiffel Society
July 21, 2015 Chateau Golf & Country Club, Kenner
Hosted by StayLocal, this event featured short talks from five local business owners who all answered the question, “What I made with lemons.”Local businesses also hosted tables with small displays.
July’s luncheon featured a special address by Michael S. Yenni, mayor of the City of Kenner.
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1. Lynn McLean and Leslie Almeida 2. Blake Haney of Dirty Coast and Locally.com 3. Wendy Dolan and Darrin Piotrowski 94
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1. Carl Hebert, Lisa Philippi and Chuck Mutz 2. Mike Yenni 3. Usha Besilva, Darlene Santana, Mariana Montero and Sean Randall Photos by Cheryl Gerber
Slidell Memorial Hospital Lunch & Learn
ABWA Crescent City Connections
July 24, 2015
August 13, 2015
SMH Founders Building
Ralph Brennan’s Heritage Grill
This monthly educational series offers tips and information on current health care issues and treatments. For July, occupational therapist Kathryn Strong spoke about the importance of keeping the brain active.
The August monthly meeting of the local chapter of the American Business Women’s Association the speaker was Dr. Laura Badeaux, a founding member of the Lousiana Center for Women in Government and Business. Her speech was entitled, “Leadership: Power, Privilege and Politics.”
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1. Event attendees enjoy a meal. 2. Kathryn Strong 3. Free blood pressure screenings were offered. Photos by Cheryl Gerber
1. Amy Landry, Elise Thomas, Jessica Rareshide and Brittany Whitsell 2. Dr Laura Badeaux 3. Barbara Bossier, Kim Hasney and Faith Peperone BizNewOrleans.com September 2015
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Behind the Scenes
Peel it easy! James Martial Lapeyre (“JM”) grew up in Houma where his parents owned a shrimp processing company. As a young man, JM’s father told him that if he ever wanted to get rich someday he should invent a machine that peels shrimp. Using his mother’s old roller washing machine as a prototype, that’s exactly what he did. In 1947, JM patented his automated shrimp peeling machine that would go on to revolutionize the shrimping industry and launch the Laitram empire (Laitram is Lapeyre’s middle name spelled backward). Headquartered in Harahan, Laitram now includes four operating divisions, Intralox, Lapeyre Stair, Laitram Machinery and Laitram Machine Shop, and owns over 900 patents with 1,900 employees around the world. 96
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Photo by Jeff Johnston