MiBiz March 1, 2021 print edition

In their words: CEOs reflect on year of COVID-19

Southwest Michigan First regroups after CEO controversy

PAGES 14-16

PAGE 18

MARCH 1, 2021 • VOL. 33/NO. 10 • $3.00

SERVING WESTERN MICHIGAN BUSINESS SINCE 1988 www.mibiz.com

Pilot program to address growing biz challenge: child care

By MARK SANCHEZ | MiBiz msanchez@mibiz.com

A

pilot program offers a potential solution to a growing issue for both employers and their workers: access to quality, affordable child care.

The MI Tri-Share Child Care Program launching in the coming weeks will offer assistance for child care to lower-wage earners.

The effort — spun out of a coalition of interests brought together by the Grand Rapids Area Chamber of Commerce — wants to bring more people into or back to the labor pool and ease a worker shortage that persists across several industries.

Grand Rapids-based Edmond-Verley Vibrant Futures — the former Kent County Regional 4C (Community Coordinated Child Care) that merged with Camp Fire West Michigan in 2015 — hopes to become one of three “hub facilitators” that would coordinate the MI Tri-Share Child Care Program pilot.

Vibrant Futures CEO Chana EdmondVerley considers MI Tri-Share “a significant movement in the right direction” to help lowerwage earners with child care so they can work.

“It’s an excellent approach for getting at what is one of the biggest issues, and that is child care,” Edmond-Verley said. “The future of work and the future of our economy is inextricably tied to the future of child care. Employers need workers, workers need child care, and children need quality learning experiences.

So we get a three-fer if we can get this right.”

Worker shortage The Michigan Women’s Commission this month will select three organizations to coordinate the year-long MI Tri-Share pilot in their local market.

See CHILD CARE on page 19

Top energy regulator on Michigan grid reliability PAGE 22

General Motors announced this year that it plans to phase out gasoline-powered vehicles by 2035 in a move that shook the auto industry.

PHOTO COURTESY OF GENERAL MOTORS

THE ‘GRAY PERIOD’ A

By ANDY BALASKOVITZ | MiBiz abalaskovitz@mibiz.com

s major automakers and government officials pledge ambitious electric vehicle targets over the coming decade, Michigan’s automotive suppliers are adapting to a business environment that’s swiftly changing yet still firmly rooted in internal combustion engines.

EV transition shakes up Michigan’s automotive supply chain, as traditional engines remain widespread

See ELECTRIC VEHICLE OUTLOOK on page 4

Downtown GR riverfront vision includes zip line, amphitheater, aquarium along Market Avenue

By KATE CARLSON | MiBiz kcarlson@mibiz.com GRAND RAPIDS — A new conceptual plan from Grand Action 2.0 outlines a host of downtown development possibilities along the Grand River and Market Avenue corridors.

The group lists amenities such as a zip line, downtown aquarium, soccer stadium and 12,000-seat amphitheater that could be incorporated into a vision for mixed-use, equitable riverfront developments.

The study, which Grand Action 2.0 outlined in a webinar last week hosted by The Economic

Club of Grand Rapids, looks at 31 acres along the east bank of the Grand River between Fulton and Wealthy streets. This area includes the city-owned property at 201 Market Ave. SW where the Grand Rapids-Kent County Convention/Arena Authority recently approved an option agreement to purchase to develop into an outdoor amphitheater.

Planning and design firm Populous developed the riverfront plan in partnership with Grand Rapids-based architecture firm Progressive AE Inc. The plan also considers recommendations from the 2020 Convention, Sports and Leisure International “Grand Rapids Venues &

P

INSIDE:

Education/ Talent Development SEE PAGE 8

E

R

I

O

D

I

C

A

L

S

Attractions” study, which was also commissioned

by Grand Action 2.0.

The trunk sewer relocation at the 201 Market site that the city of Grand Rapids, Kent County and the CAA are jointly funding “unlocks a lot of potential” for the site and the surrounding area on the waterfront, said John Shreve, principal at Populous.

For example, the CAA’s planned outdoor amphitheater could become an all-seasons attraction and be turned into an ice rink in the winter, Shreve said.

Relocating the trunk sewer is likely the biggest impediment to major redevelopment happening See DOWNTOWN GR RIVERFRONT on page 3

AWARD WINNER SPOTLIGHT

NOW ACCEPTING 2021 EXCELLENCE IN CONSTRUCTION AWARDS PROJECT & SAFETY ENTRIES ENTRIES DUE MARCH 4, 2021 ENTER AT WWW.ABCWMC.ORG/EIC ABC WESTERN MICHIGAN MEMBERSHIP REQUIRED FOR ENTRY SUBMISSION

RE NOVATION / AD D ITION : $ 1 -5 MIL L ION

PIONEER CONSTRUCTION: AMWAY HOTEL IDC

2515 ALPINE AVE NW, SUITE C GRAND RAPIDS, MI 49544 ABCWMC.ORG

PROJECT LOCATION BUDGET ARCHITECT COMPLETION TEAM

Amway Hotel IDC Grand Rapids $1,200,000 Ghafari Associates September 2019 Project Manager: Dan Zaagman Superintendents: Nick Vandepanne

IDC, a retro-themed speakeasy-inspired bar on the second floor of the Amway Grand Hotel’s historic Pantlind Wing, was a remodel of existing meeting rooms and an exterior roof area converting the space to indoor dining and an exterior patio area with a glass canopy roof.

Outfit your team with the essential business-development tool:

Timely, relevant business news.

Professionals with sales and business-development responsibilities rely on timely business news and intelligence to drive revenue, create new relevant opportunities and expand brand presence.

With MiBiz subscription packages, you can arm your team with 24/7 digital access to real-time news, exclusive stories, market insights and business intelligence about the companies, policies and strategies that are driving Michigan business.

Contact MiBiz today for more information: 616-608-6170 • subscribe@mibiz.com

2

MARCH 1, 2021 / MiBiz

GROUP & CORPORATE SUBSCRIPTION PACKAGES Visit www.mibiz.com

DOWNTOWN GR RIVERFRONT Continued from page 1

in the Market Avenue corridor, but work on that project is set to begin this spring, said Grand Rapids City Commissioner Jon O’Connor. He noted “a lot of merit” to adding an outdoor entertainment venue, especially in light of the pandemic.

“This follows other cities around the globe and what they are doing, which is reactivating waterfronts,” said Jeff Tucker, senior managing director of brokerage and principal at Bradley Co. The proposed developments would serve as a catalyst for other projects in the area, Tucker said.

Bradley Co. is working on hospitality projects, and Tucker predicts a need for some brands that are not currently downtown to be on the water.

“I think (the conceptual plan) is great, and having a public space along the riverfront is beneficial,” Bradley Co. Adviser Drew Nelson said. “What they’re talking about building around it just makes sense. It will offer new housing, workplaces and available retail.”

Long-term policy goals Conceptual plans presented last week focus on public green space including making the river more accessible to the public, mixed-use development and infrastructure improvements. The planning process took into account a public engagement process that began in October 2020 with 26 one-on-one interviews with community groups, foundations, elected officials and downtown stakeholders, as well as four community virtual focus groups that attracted 15-20 participants each.

The plans also include pedestrian bridges to connect the 201 Market site to the other side of the Grand River, as well as a pedestrian bridge under US-131.

Another concept discussed in the plan is a zip line from the eastern bank of the Grand River to Jackson Island, which is located between the S-Curve and Wealthy Street bridges. Shreve said the feature could lead to STEM outreach opportunities, and partnering with local schools and Grand Valley State University, which has a campus on the western bank of the river.

The vision also proposes a “green ribbon” along the river that would allow pedestrians to walk near

Published since 1988 MiBiz® is a registered trademark of MiBiz, Inc.

Publisher Brian Edwards / bedwards@mibiz.com Associate Publisher Denise Montambo / denise@mibiz.com

A new conceptual plan by Grand Action 2.0 envisions a variety of new amenities and mixed-use buildings along the Grand Rapids downtown riverfront. COURTESY RENDERING the water, which officials compared to The High Line public park and attraction in New York City.

“From a placemaking standpoint, ensuring we are creating great public access to the Grand River has been such a long-term policy goal of Grand Rapids,” O’Connor said. “That will be a huge win for people not just in Grand Rapids but across the region.”

The mixed-use developments along Market Avenue call for building 1,500-1,750 mixed-income housing units. Adding the housing component would help move the needle on the projected demand for 4,500 additional units in downtown Grand Rapids in the next five years, said Amber Luther, planner and senior associate at Populous.

Executives at Populous think the area can support higher density housing, which would in turn help to activate the greenspace proposed along the riverfront, Luther said.

Additionally, while the proposals specifically focus on the Market corridor, Luther noted the projects need to be considered as part of a district within the larger city that could support developments in other areas, particularly around housing.

Luther added that the city could potentially use the proceeds from developing its Market Avenue parcels to help create a community investment fund to support affordable housing projects in other neighborhoods around the city.

The city has discussed setting some money aside from the anticipated sale of its 201 Market parcel for

BIZ BRIEFS A recap of recent stories from MiBiz.com.

Survey shows growing economic optimism among execs

A growing number of business executives anticipate higher employment and capital investments over the next six to 12 months as post-pandemic economic outlooks are increasingly optimistic, according to a recent survey by Business Leaders for Michigan.

The January 2021 survey of 56 executives shows growing confidence in both statewide and national economic outlooks from the third to fourth quarter of 2020. Meanwhile, 84 percent of executives surveyed expect employees to return to in-person work by the third quarter of this year.

The main factors influencing the economic rebound are vaccine distribution and acceptance, federal stimulus funding, and employers’ capital and employment spending, according to the statewide business roundtable.

Visit www.mibiz.com

PPP loan changes to benefit small, minorityowned businesses

The Biden administration announced a series of changes to the Paycheck Protection Program that are aimed at improving access to federal COVID19 relief loans for small and minorityowned businesses.

The first change took effect last week when a 14-day exclusive application period opened for businesses and nonprofits with fewer than 20 employees. PPP applications already submitted by lenders will still be processed by the U.S. Small Business Administration.

A second revision aims to open more lending for sole proprietors, independent contractors and self-employed workers by revising the loan calculation formula and setting aside $1 billion for small businesses that don’t have employees and are located in low- and moderate-income areas.

additional affordable housing projects in the city, O’Connor said.

“We need housing at all price points, so this is just another chunk of that pie that is going to hopefully get built,” O’Connor said.

The next steps Populous suggested are to identify sites for future housing developments downtown, a soccer venue and possibly a downtown aquarium, which was brought up many times in stakeholder meetings. The plan in its entirety could take 15-20 years to be realized, Luther said.

“We’ve had conversations with the United Soccer League, and they think this would be a prime location for a championship league,” said Grand Action co-chair Carol Van Andel.

The next big step for the soccer stadium piece will be putting together an ownership group and working with the city to secure financing and a site, Van Andel said.

When asked during the Economic Club webinar if the aquarium idea is under serious consideration, Grand Action 2.0 co-chair Tom Welch said it was a little unexpected that the idea kept being brought up in the public input process. The concept for some kind of downtown aquarium ended up receiving strong support from many community members, he said, adding that John Ball Zoo would need to take the lead with the city and study it more closely.

Grand Action could potentially be involved if more due diligence and research happens, Welch said.

Additional reforms eliminate restrictions on small business owners with prior non-fraud felony convictions and business owners who are delinquent on federal student loans.

COVID-19 leads Grand Rapids restaurateur to cannabis industry

When indoor dining was prohibited across the state last year and earlier this year because of COVID-19, Davide Uccello turned to the cannabis industry as a sector that managed to be successful despite lockdown orders.

Uccello is the co-owner of Flo’s Collection restaurant group — which operates four restaurants in Kent and Montcalm counties — and he is now also a partner at the new Exclusive Brands dispensary that opened last Friday in Grand Rapids. Davide Uccello is related to the owners of Uccello’s Hospitality Group, but Flo’s Collection is separate from the Uccello’s restaurant chain.

“The restaurant industry took a very large hit due to COVID-19,” Uccello told MiBiz. “We were looking into the cannabis industry prior to the pandemic, but COVID-19 and the huge accomplishment

of cannabis being deemed an essential business sped that process up.”

Report: Grand Rapids Drive to launch affiliation with Denver Nuggets

Reports of a new NBA affiliation for the Grand Rapids Drive emerged recently, weeks after the minor league franchise announced that a new partnership might be imminent.

The Denver Post reported on Feb. 18 that the Denver Nuggets are expected to partner with the Drive, serving as its new NBA G League affiliate beginning next year.

An affiliation means that the Nuggets can send players directly to the Drive for development and rehabilitation purposes, in addition to designing its own player development system.

The Drive, which has opted out of this year’s G League season based on COVID19 concerns, will no longer be affiliated with the Detroit Pistons after this season.

The announcement is expected to be made official after the conclusion of this season, which wraps up in early March, the Post reported, citing anonymous “league sources.”

Editor Joe Boomgaard / jboomgaard@mibiz.com Managing Editor Andy Balaskovitz / abalaskovitz@mibiz.com (energy, policy) Senior Editor Jayson Bussa / jbussa@mibiz.com (manufacturing, tech, sports) Senior Writer Mark Sanchez / msanchez@mibiz.com (finance, health care, life sciences) Staff Writer Kate Carlson / kcarlson@mibiz.com (real estate & development, small biz) Contributing Reporter Josh Spanninga VP of Production & Audience Development Kristi Kortman / kkortman@mibiz.com Digital Specialist Danielle Affholter / daffholter@mibiz.com Graphic Designer Kaylee VanTuinen / kvantuinen@mibiz.com Senior Advertising Consultant Shelly Keel / skeel@mibiz.com Sales & Marketing Associate Lauren Frailey / lfrailey@mibiz.com Circulation For address corrections or subscriptions, contact MiBiz at 1-877-443-1977 or subscribe@mibiz.com

MiBiz ISSN 1085-4916 • USPS 017-099 Established 1988 MiBiz is published every other week by MiBiz, Inc., P.O. Box 1629, Grand Rapids, MI 49501. Telephone (616) 608-6170. Fax (616) 608-6182. E-mail: info@mibiz.com.

Subscription changes: subscribe@mibiz. com. Periodicals Postage is paid at Grand Rapids, MI. POSTMASTER: Send address changes to MiBiz, P.O. Box 1629, Grand Rapids, MI 49501. Subscriptions are available without cost to qualified readers. Paid subscriptions are available to those not meeting qualified circulation requirements. Paid subscriptions are $99/year. Single copy and back issues (when available) are $3 each, plus first class postage. Call 1-877-443-1977 to order.

MIBIZ INC. 1059 Wealthy St. SE, #202 Grand Rapids, MI 49506 616-608-6170 phone • 616-608-6182 fax COPYRIGHT ©2021. All Rights Reserved.

Reproduction or use of any portion without permission of the publisher is prohibited.

MiBiz / MARCH 1, 2021

3

MANUFACTURING ELECTRIC VEHICLE OUTLOOK

“If any suppliers out there are not actively courting electrification, they’ve definitely got to get on it,” Wall said. “The horse is out of the gate. It’s coming.”

Continued from page 1

Supplier food chain “It is our longer-term future, but I must also say that I don’t expect the internal combustion engine on a pickup truck is going away anytime soon,” said Pat Greene, president of Grand Rapids-based Tier 2 supplier Cascade Die Casting Group Inc. “It’s an exciting time. From what we understand, it’ll go pretty slow then accelerate pretty quickly.”

In late January, GM announced that it would phase out gasoline-powered vehicles by 2035 in a move that shook the auto industry. A few weeks later, Ford announced an all-electric target for passenger vehicles in Europe by 2030.

Those are just two companies in a global OEM ecosystem that has pledged tens of billions of dollars in investments and dozens of new electrified models in the coming decade.

“There’s no question this is one of the most dynamic and fluid times in our auto and mobility history,” said Glenn Stevens, executive director of MICHauto, a statewide auto industry association. “This electric vehicle inflection point is very real.”

Greene, who’s also chairman of the North American Die Casting Association, points Greene Stevens Wall out that rural pickup drivers aren’t likely to Amid the high-level proclamations from automakmake a swift transition to electric vehicles. ers, elected officials, utilities and other corporate play“At the same time, as a business, we need to ers, Michigan auto suppliers are contending with a secmake sure we’re embracing the strategy of our custor that’s rapidly shifting in concept but moving much tomers,” he said. slower in practice. However, experts say the market Cascade Die Casting makes parts that would also be has enough momentum that it requires suppliers to used in electric vehicles — such as mirrors and electric prepare for the new industry or risk being left behind. sound system components — but is increasingly interMike Wall, director of automotive analysis with ested in powertrain components found in EVs. IHS Markit in Grand Rapids, said West Michigan Suppliers like Cascade are “following the lead” of auto suppliers he works with are already “well down Tier 1 suppliers that are in turn following the OEMs, the road” to making EV-specific components like which have set varying degrees of EV production battery trays and separators. and investment targets.

WEST MICHIGAN’S LEADING COMMERCIAL ROOFING CONTRACTOR

EASTMUSKEGON.COM

4

MARCH 1, 2021 / MiBiz

Charging infrastructure availability, government incentives and consumer preference will be key drivers that determine levels of electric vehicle adoption in the U.S. PHOTO COURTESY OF GENERAL MOTORS “We’re going to work with them on anything electric as it comes along,” Greene said. “We’ve looked at a lot of drawings our customers have sent with quite a bit of interest.”

Stevens called this the automotive “food chain,” in which OEMs take cues from market demand to guide their investment philosophy, while major Tier 1 suppliers are guided by the automakers, and so on down the line.

“It’s a bigger challenge as you go down the food chain, but they all have to figure out what’s the demand curve going to look like,” Stevens said.

“We’ve got new technology, changing consumer preferences and regulation and policy changes from the new administration. Add those things up, and there’s no question these things are happening. From a supplier’s perspective, companies that are nimble, financially strong and have strategic relationships with customers are going to be the winners.”

Volume, market shifts A key change coming for suppliers involves order volumes, which at this point are relatively low for EV models but are expected to increase.

“When (an order) has electric components, we’re pursuing it,” Greene said. “We think the low could turn into high volumes.”

In time, this will have the opposite effect with potentially lower volume orders for internal combustion-powered vehicles, experts say. That’s coupled with the fact that EV propulsion systems have a fraction of the components as internal combustion engines.

“We’ve got to be ready for the fact that there’s going to be some fallout,” Greene said. “That’s going to be a loss of business, and we’ve got to make sure we’re on the front end of looking at other applications for electric vehicles.”

While Wall said suppliers’ new products will depend on the type of vehicle components they make, the volume shift will likely be widespread.

“One thing that all suppliers are going to have to do is prepare themselves for the fact that because we have all of these new electric vehicles coming down the pike and because we have existing vehicles on the market that are internal combustion, there’s going to be potential to have lower volume runs, lower throughput and lower sales per nameplate,” he said. “That’s what could complicate things for suppliers. It’s a big consideration.”

In mid February, Eaton Corp.’s Vehicle Group announced it’s developing gearing solutions for commercial electric vehicles that aim to improve a vehicle’s range and performance. The company previously formed an eMobility portfolio that is “dedicated to advancing EV components for power distribution and protection, power electronics, and power systems,” Anthony Cronin, director of EV gearing for Eaton’s Auto Group, said in an email.

The company has West Michigan manufacturing operations in Galesburg, east of Kalamazoo.

“There’s been a lot of hype the last couple of years, but not a lot of conversion to electric. But we’ve got to stay close to it and know that a tipping point is going to come.”

— PAT GREENE President of Cascade Die Casting Group Inc.

Cronin said the auto supply chain market “continues to see a significant wave of new entrants to the space that have experience in higher-power applications but would not be considered traditional automotive players.”

He also noted the likely continuing trend of M&A activity in the sector, “especially with recent announcements from both GM and Ford around their plans for zero emission vehicles in the not-toodistant future.”

Varying forecasts The underlying unknown surrounding the EV sector is just how much adoption will take place and when, particularly in the passenger vehicle market. Adoption levels are dependent on a variety of factors — charging infrastructure availability, government incentives, battery prices, models that suit consumer preferences and, to a growing extent, how much fleet vehicles will push the market as a whole.

But that landscape is shifting quickly, Wall said.

“We’re only on the cusp of a deluge of new EV (models) hitting the market,” he said. “Suppliers we know in the West Michigan market are being asked to quote on this new business.”

Although adoption rates for electric vehicles in the U.S. remain relatively low, that flood of new models should keep companies from being “lulled into complacency” or getting “too bearish” on EVs, Wall said.

“The challenge is in this gray period,” he said.

“Adoption rates are still at the lower end, and it’s not going to derail internal combustion. This will be a progression. That’s why it’s important that suppliers have to be mindful of their traditional book of business.”

Cascade Die Casting’s Greene is fully immersed in the gray period.

“There’s been a lot of hype the last couple of years, but not a lot of conversion to electric,” Greene said. “But we’ve got to stay close to it and know that a tipping point is going to come.”

Visit www.mibiz.com

Survey: West Michigan manufacturers emerging from pandemic with strong 2021 outlook

By JAYSON BUSSA | MiBiz jbussa@mibiz.com

W

hile the COVID-19 pandemic made life difficult for a majority of local manufacturing companies, industry officials are still overwhelmingly optimistic when looking at the year ahead.

Those are two key takeaways from a recent survey conducted by MiBiz, which polled 332 manufacturers throughout West and Southwest Michigan. Respondents were primarily owners, executives and managers at small and middle-market manufacturing companies with fewer than 250 employees.

Perhaps unsurprisingly, 82 percent of respondents said that COVID-19 had a negative effect on their business in 2020 as supply chain and talentrelated issues emerged as two of the biggest challenges.

When nailing down the specific ways in which the pandemic negatively affected their businesses, 72.8 percent of respondents said that sales and orders were down and 59 percent said they faced disruptions in the supply chain.

Despite the struggles, survey respondents were largely confident that business would return to some semblance of normalcy in 2021.

When asked how they thought their business would perform in 2021, 78 percent of respondents gave a positive answer. Of those, 30 percent forecasted their companies would continue on the same course and at the same speed as 2020, while 26 percent said they would return to prepandemic levels. Another 22 percent said their businesses would reach new heights in the upcoming year.

New opportunities “Pivoting” was a recurring theme with manufacturers during the pandemic as companies refocused their capital equipment and proficiencies to capture new opportunities, like the production of personal protective equipment.

New opportunities also proved to be a reason for optimism for survey respondents.

In the survey, MiBiz asked respondents about those new opportunities and found that 53 percent increased remote work for some personnel, 37 percent said the pandemic inspired

them to innovate, 29 percent said COVID-19 motivated them to accelerate strategic initiatives they were already working on, and another 22 percent said COVID pushed them to make their supply chain more resilient.

Local manufacturers also appear poised to make new investments in the coming years. Data from the survey revealed that automation and sales and marketing would be two points of emphasis for these businesses.

Of respondents, 23 percent said they plan to make major investments in sales and marketing and another 42 percent said they plan to make a minor investment in that area of their businesses. Additionally, 20 percent said they planned to make major investments in automation and 28 percent said they would make minor investments.

In conducting the survey, MiBiz collaborated with manufacturing executives associated with Inforum, a statewide networking and professional development group for women.

Some of the results were shared at a Feb. 24 event on “The Impact of COVID and Successfully Navigating Through the New Normal,” hosted by Inforum’s ManufacturingNEXT industry group.

Over the past year, how did COVID-19 negatively impact your business?

Sales/orders down Supply chain disruptions Material cost increases Forced to lay-off Longer production/lead times Unable to hire needed employees 0%

20%

40%

60%

80%

100%

How has the COVID-19 pandemic helped your company change or pursue new business opportunities?

Increased remote work opportunities Inspiration to innovate Accelerated strategic initiatives Reconfigured office/production space Made supply chain more reliable/resilient COVID did not help us pursue new opportunities 0%

20%

40%

60%

80%

100%

ILLUSTRATION BY KAYLEE VAN TUINEN

ADVERTISEMENT

SUPPORT YOUR CUSTOMERS WHILE WORKING FROM HOME

A

HMS provides innovative solutions for the modern work-from-home engineer

s we kick off 2021, it appears that we have a positive outlook when it comes to customer sentiment and business.

At the same time, most of us are under travel restrictions yet we need to keep our customers up and running. Machines still break or need servicing from OEMs/Machine Builders – often under required warranty commitments and Service Level Agreements (SLAs).

an ‘adviser’ may only be able to monitor the machine’s data.

While remote access certainly provides a safe way to access factory assets, there are big cost savings as well. The ability to remotely access a machine can solve an estimated 60 to 70 percent of operating problems, avoiding the need for local support personnel to travel across town - or around the world. The average cost in North America to send a Field Technician onsite to troubleshoot a customer machine is $2,200 USD per trip. Over half of those visits could have been done remotely.

What can companies do who are restricted from sending service personnel to service remote equipment? How can we implement a stable “work from home” strategy that can outlive this pandemic?

Any company facing the difficult decision of sending service technicians to the field should consider whether an industrial remote access solution might solve the problem for them instead. HMS Networks’ Ewon brand provides a secure, IT friendly solution for easily accessing remote industrial machines – as if the tech were directly connected. Rather than sending service technicians into a potentially unsafe region to troubleshoot a problem, HMS Ewon solutions provide a simple device which can be plugged into industrial equipment and can be quickly accessed via a secure connection directly to the asset. ‘Direct access’ means that almost any function that can be done Visit www.mibiz.com

locally, can be done from virtually anywhere – without ever needing a boarding pass.

For example, valuable functions such as diagnostics, programming, and equipment monitoring are possible from a remote workstation (or even mobile device). The ingenuity of the HMS solution is that the technology does not reside on the automation network and is naturally fire-walled from the existing control systems - so end users can feel confident that the service work will not disrupt their process.

Ewon solutions leverage industry standard OpenVPN technologies using a firewall friendly transport with little or no IT changes required.

The Talk2M infrastructure is ISO 27001 certified and the entire solution goes through regular security audits on a yearly basis to ensure industrial strength security. Concerned about User Level Access? The on-demand instant VPN connection is managed through the global Talk2M infrastructure (24/7/365) which provides varying levels of access to different device functions. For example, an admin might be able to update programming, while

Known as the industry standard for Industrial Remote Access, HMS Ewon solutions have been in the market for over 15 years, claiming over 300,000 registered users with connections in 156 countries. When you look at your 2021 planning, ask yourselves how you can grow your revenue, customer satisfaction, and employee satisfaction during restricted travel. HMS has the solutions to exceed your expectations.

MiBiz / MARCH 1, 2021

5

TECHNOLOGY

High schools, tech companies launch virtual options during atypical sports seasons

By JAYSON BUSSA | MiBiz jbussa@mibiz.com

E

ven as a small northern Kent County school with an enrollment shy of 400 students, Kent City High School has viewers from all over the country tune in and waatch its sports teams in action.

The Sparta-area school, like an overwhelming number of others, has dabbled in the live streaming of games during the COVID-19 pandemic when inperson attendance has been severely limited.

With a variety of streaming services available, Athletic Director Jason Vogel and his team at Kent City have taken a DIY approach, streaming choice games via YouTube with cameras installed at its football field and gymnasium.

It’s a feature that he thinks will stick around even after COVID-19 concerns dissipate.

“I think (live streaming) will be a big thing for our community and fans,” Vogel said. “We get a lot of grandparents that fly south in the winter and they can watch their grandkids play sports. Or if you can’t make it to a game you can watch it this way — especially now with COVID, where only so many people can get in.”

The drastic uptick in schools embracing various forms of live streaming is just one example of how sports departments and organizations are tackling the challenges and limitations of the COVID-19

pandemic while promoting their teams and athletes in the process.

Effective communication between high school athletic departments and athlete parents or the community at large has become crucial in light of the pandemic’s disruptions. These include schedule changes and health protocols fans must follow if they want to attend a game in person.

Vogel and his sports department have long placed an emphasis on promoting its teams and effectively communicating with parents and the community. However, the pandemic led the Eagles to try out new tools that would promote a more socially distanced way of life.

This included an online ticketing solution made available through the Michigan High School Athletic Association during the fall, when the school hosted a volleyball regional tournament.

Shifting demand Kent City uses a website and other digital tools provided

by Grand Rapids-based VNN Inc., a tech company on the front lines of changing trends that have seen high school athletic departments embracing technology to promote sports in a socially distant world.

VNN provides schools nationwide with the software and digital tools to maintain schedules, disseminate information, report game scores, raise funds and sell sponsorships — all completely online.

an award-winning West Michigan caterer has acquired a new website above-beyond.com The undersigned served as exclusive web development adviser for Above & Beyond Catering

Affordable, common-sense websites.

6

MARCH 1, 2021 / MiBiz

An app developed by Grand Rapids-based MaxOne LLC is used to create customized videos for athlete training and conditioning. COURTESY PHOTO The company works with more than 2,000 partner schools.

VNN’s flagship product is a user-friendly athletic website, which many partnering schools now use as an information hub for scheduling changes and information on COVID policies.

However, VNN Chief Marketing Officer Romy Glazer said that interest has spiked for other tools, as well.

“Even beyond our flagship product, some of the areas we’ve seen really hot lately are digital tickets, live streaming and video and game highlights,” Glazer said.

VNN has formed a variety of strategic partnerships with other companies to make it easy for partner schools to source vendors. With digital ticketing, for instance, VNN has a partnership with Hometown Ticketing Inc., based in Columbus, Ohio.

VNN can integrate online ticketing into its websites, allowing users to click a single button to order tickets online. Meanwhile, Hometown Ticketing handles processing and fulfillment.

“What we want to do is make sure we’re connected with everyone so that schools don’t have to do a whole lot of work to find somebody,” Glazer said. “We just make sure we work with the people that they like already.”

As is the case in many other industries, the COVID-19 pandemic has accelerated the evolution of technology in sports, and VNN was forced to react.

“We always look ahead to where the trends are going in the market,” Glazer said. “When it comes to video and live streaming, those things have been on our radar. But when it comes to a pandemic, it made the process … happen a lot faster.”

Still, VNN has seen some hardships throughout the pandemic. Selling sponsorships and advertisements for member schools is VNN’s largest source of revenue. Because of the major blow to small businesses, advertising revenue has sagged.

“That side of our business has dropped a little bit,” Glazer said. “The new necessities of software products have gone up. We’ve been pretty diversified, which has helped us. But the advertising side has definitely been hit hard.”

Glazer predicts some of these shifts in demand will be permanent on the other side of COVID. “Digital tickets, for instance, are here to stay,” Glazer said. “That’s one of those things that now that

the train has left the station, no one will ever need to buy paper tickets at a box office at a high school and use cash. It’s pretty old fashioned.”

MaxOne pushes virtual coaching Jason Mejeur, CEO and co-founder of Grand Rapidsbased software company MaxOne LLC, also saw the pandemic accelerate long-term trends that he and his team had been monitoring.

MaxOne has developed an app for coaches, trainers and organizations that is used to create and deliver customized videos for athlete training and conditioning purposes. The app comes with a library of pre-loaded content, but users can also produce their own videos.

“The magic moment for MaxOne is when you, as the coach, can walk into the gym and shoot a video on how you want to teach a drill,” said Mejeur, who is a former varsity basketball coach. “You can upload that to the platform. The athlete sees you — they know you and recognize you. It creates this atmosphere that is personalized for the athletes.”

MaxOne created a second app called SmartCoach that, in its original form, used artificial intelligence to analyze a player’s basketball shot.

Mejeur said the direct-to-consumer app, which was essentially a proof of concept, has since been pulled back into development for further enhancements after the market responded to it positively.

MaxOne made the app free to try for several months early on in the pandemic and overall has seen an increase in engagement and product usage.

“From now on, there is going to be in-person training — coach-to-coach, which I love — but virtual will be a supplement to every athlete because that’s the world they live in every day,” Mejeur said.

“The whole idea is: How do we use this device (athletes) are on six hours a day to get them to pick up a ball more often?”

MaxOne has thrived during the pandemic, recording its first six-figure year of revenue in 2020 and conducting its Series A funding round led by St. Louis-based sports tech fund Stadia Ventures with Grand Rapids-based Wakestream Ventures also participating.

While Mejeur couldn’t yet disclose specifics of the raise, the company raised more than $3.5 million from 42 investors toward a goal of $4.6 million, per federal securities filings.

Visit www.mibiz.com

ADVERTISEMENT

LEVERAGING DESIGN-BUILD CONSTRUCTION TO SAVE TIME, MONEY

I

n today’s fast-paced world, speed to market can drive the success or failure of companies.

That is certainly true for housing, retail, healthcare and, of course, industrial and manufacturing. Construction projects that support these industries represent a major investment in time and money, so delivering projects quickly and cost-effectively is paramount.

While Rockford Construction possesses experience in a variety of construction delivery methods, we have developed strong expertise in Design-Build construction, the fastest growing and most cost- and time-efficient method used to deliver projects in the U.S. In fact, of the $125 million average annual revenue generated serving industrial and manufacturing clients at Rockford, nearly 85% of our projects are completed using Design-Build.

What is the Design-Build approach and how does it differ from traditional methods?

In the traditional project delivery system (Design-Bid-Build), owners manage two separate contracts – one with the design team and the other with the construction company. Decisions are also made in a linear fashion, with less collaboration between the design and construction teams. This is not always the most advantageous method in maximizing opportunities for safety, communication, collaboration, schedule, quality and cost savings.

With Design-Build, the owner manages only one contract with Rockford as the single point of responsibility. The owner, along with the construction and design teams, collaborate from the start

at conceptual design and through bidding and construction. The result is improved understanding of project goals and higher levels of communication and collaboration, creating more opportunities to provide value through cost-effective construction or alternative solutions that do not negatively impact design or schedule. Design-Build is a change in mindset from the typical linear project approach to a more fluid approach with the entire team acting as a single entity working towards common goals.

“We have leveraged this approach with numerous advanced manufacturing and industrial-focused clients throughout the Midwest region,” said Dan Bailey, vice president.

One of Rockford’s key differentiators is its team. Jeff

Taggart, DBIA, project executive, brings a certification from the Design-Build Institute of America (DBIA).

This credential demonstrates and validates Rockford’s commitment to Design-Build best practices.

“Through a robust combination of education and project experience verification, this certification sets a recognized standard for Design-Build knowledge and expertise,” Bailey added.

What are the benefits of Design-Build?

According to DBIA, Design-Build is 102% faster than the traditional Design-Bid-Build approach, and results in an average savings of nearly 4% on projects – for a $5 million project, this is a savings of $200,000. For example, using the Design-Build

approach on a recent project for a medical device manufacturer, our team was able to collaborate even before design started. In-depth discussions with the owner uncovered that an alternative to their specified floor coating would save hundreds of thousands of dollars without adversely affecting design or functionality. By leveraging the Design-Build approach, this client was also able to begin manufacturing sooner by utilizing a phased execution plan, placing priorities on areas of production – one of the many benefits to using a Design-Build approach.

Additionally, on a recent project for an aerospace manufacturer, our early involvement in the design development phase allowed for clear communication surrounding redundancy of the mechanical and plumbing systems. This avoided redesign, aligned the necessary scope and project goals, and significantly impacted the project by reducing the overall budget and schedule.

Speed of delivery, reliable and real-time cost estimating and management, a single point of responsibility and a collaborative approach are the driving factors in selecting Design-Build. Rockford is adept at working closely with owners to quickly understand project goals. We maximize the talents and capabilities of all team members – including the design team, trade partners and vendors – to deliver a project that can save time and money.

Coming Soon!

REAL ESTATE: OFFICE MARCH 15, 2021 2021 is bringing with it new challenges in the commercial office sector in West Michigan. We’ll provide a comprehensive report on the local market for office space including stories that analyze data, track trends and highlight innovative approaches that landlords and tenants are taking to keep pushing forward.

Don’t wait to be in this issue! Contact us by Monday, March 8 to advertise.

Contact Us Today! sales@mibiz.com | editor@mibiz.com 616-608-6170

Visit www.mibiz.com

MiBiz / MARCH 1, 2021

7

FOCUS: EDUCATION/TALENT DEVELOPMENT

Futures for Frontliners draws thousands of returning, new students to West Michigan community colleges

By KATE CARLSON | MiBiz kcarlson@mibiz.com

W

est Michigan community colleges saw thousands of applications through the Futures for Frontliners program unveiled by Gov. Gretchen Whitmer last year to cover tuition for workers deemed essential during COVID-19 shutdown orders.

More than 60,000 people applied in the first two weeks after the program opened in September, while 120,000 people reportedly applied by the Dec. 31, 2020 deadline.

Muskegon Community College had 3,334 applications come in through the program before the Dec. 31 deadline. Grand Rapids Community College had 3,050, and Kalamazoo Valley Community College had 1,609 applicants.

Many students returning to Muskegon Community College for the winter 2021 semester through the program haven’t taken a class in years, said John Selmon, the school’s provost and executive vice president.

The program likely brought many back who wouldn’t have otherwise returned without the tuition assistance, he said.

“We know community colleges are the economic engines that will fuel economies going forward and will play an important role in economic recovery from COVID-19,” Selmon said.

Grand Rapids Community College is also seeing these types of returning students. Of the 3,050 who the state accepted for the program through GRCC, 1,109 students had attended the community college as recently as fall 2020, said GRCC Communications Director David Murray. The majority of GRCC’s applicants were returning students, but almost onethird of the applicants are enrolling in the school for the first time, Murray said.

Students accepted into the program could choose to enroll in the winter, summer or fall semesters of 2021. With limited face-to-face classes currently offered because of COVID-19, Selmon expects many students are waiting for the summer semester for potentially more in-person learning.

Grand Rapids Community College nursing students. COURTESY PHOTO “We’re working with these individuals, making sure they complete their paperwork and are getting them ready to start,” Selmon said. “It’s a good program and a great idea.”

‘Extraordinary opportunity’ About 625,000 employees in Michigan fall into the “essential worker” category and qualify for Futures for Frontliners. The $24 million program is funded from an emergency education relief fund within the federal CARES Act from last year.

To qualify for free tuition at a community college, Michigan residents had to meet certain requirements, including working in an essential industry at least part-time for 11 of the 13 weekends between April 1 and June 30, 2020. Applicants also could not

Helping to close the talent gap With degrees, certificates and professional development programs to build your talent for the future

“We know community colleges are the economic engines that will fuel economies going forward and will play an important role in economic recovery from COVID-19.”

— JOHN SELMON Provost and Executive Vice President, Muskegon Community College

be in default of a federal student loan, and could not have previously earned an associate or bachelor’s degree.

“Futures for Frontliners is an extraordinary opportunity for students of all ages to start or resume an education that will change their lives,” Murray said. “This program removes cost as a barrier to education, and can connect residents with the skills they need to advance in their careers or seek new job opportunities.”

Eligible frontline industries included food and agriculture, health care, critical manufacturing, communications and information technology, law enforcement, public safety, first responders, public works, and transportation.

davenport.edu/talentgap

Higher wages Business | Technology | Health | Urban Education

8

MARCH 1, 2021 / MiBiz

The program has increased awareness about the benefits of a certificate or degree completion in helping workers earn a higher wage, said Linda

Depta, director of communication and marketing for Kalamazoo Valley Community College.

A 2020 analysis by the American Association of Community Colleges reports the median earnings of full-time employees with a high school degree is $40,510 annually, while those with an associate degree make $50,079 per year.

“Our students are telling us that having this tuition assistance really helps to make their dreams of a college education come true, and we are looking at a similar response to the Michigan Reconnect program,” Depta said.

Eligible Michigan residents 25 and older can qualify for Michigan Reconnect, a similar state program that launched this year and offers free community college or job certification programs. Applications for the $30 million program proposed in Whitmer’s budget last year opened on Feb. 2.

Michigan Reconnect is for people pursuing an associate degree at a community college or skills certificate, and it also includes skills scholarships to help cover the cost at more than 70 private training schools. These programs offer certificates for industries including manufacturing, construction, information technology, health care or business management.

Selmon and Depta are each seeing growing interest in the Reconnect program.

“We support nearly any effort that provides real incentive for students to complete a college credential,” Depta said. “The Future for Frontliners program underscored how important the training that is available at Kalamazoo Valley Community College is for our students, their families and the communities we serve. We’re also delighted to welcome students of all ages. The diversity contributes to rich learning environments that a community college provides.”

Visit www.mibiz.com

Higher ed supporters look to reverse downward state funding trends

By MARK SANCHEZ | MiBiz msanchez@mibiz.com

A

s state employment forecasts show more than three-quarters of the top 50 high-demand, high-paying jobs in Michigan through 2028 require at least a four-year degree, public financial support for Michigan universities lags many other states.

That’s just one of the points Michigan Association of State Universities CEO Dan Hurley cites in advocating for higher state financial support for the 15 public universities in Michigan that enroll 280,000 students.

Among the others: Michigan ranks 33rd nationally for both the number of residents with college degrees and in household income. Michigan also ranks 35th in state financial aid per college student, and 44th in Hurley per capita spending on higher education, which compares to 20th a decade ago.

That last point reflects how budget cuts made when Michigan was mired in the depths of the Great Recession were never fully restored, Hurley said.

When adjusted for inflation, Michigan in the 2018-19 fiscal year appropriated 1.9 percent less for higher education than it did a decade earlier.

That compares with an increase of 25.6 percent in total state spending over the same period and leaves higher education as the only major area of the state budget that, when adjusted for inflation, was below 2008-09 funding levels.

“When the economy goes south, higher ed gets cut. That’s not unique here in Michigan. It’s a national phenomenon. But, what has historically happened is that when good times return there is reinvestment in higher ed,” Hurley said during recent testimony to state lawmakers who are reviewing Gov. Gretchen Whitmer’s budget proposal for the next fiscal year that starts Oct. 1.

That re-investment occurred following an economic downturn in the 1980s and a “little bit” in the 1990s, Hurley said. “But when that recession hit in the early 2000s, it was cut, cut, cut and it never rebounded. Then the Great Recession hit and we have essentially been on life support (and) flat-lined for the last several years.”

As well, state operating support for universities declined to $5,768 per full-time student in 2021 from $9,760 per student in 2012, according to Hurley.

That equates to $16,000 in costs for a four-year college education that’s been shifted to students.

The result of the prolonged state funding trend for higher education has been a funding ratio that has “completely flipped” over four decades, he said.

In 1979, state appropriations covered 70 percent of the operating costs at Michigan’s public universities while tuition and fees covered the remaining 30

percent. Today, tuition and fees pay for 78 percent of the costs and state appropriations pay 22 percent.

Nationally, the ratio averages 51 percent state support and 49 percent by students, Hurley said.

“It’s the longer view that is a much more dire portrait,” he said. “We would really like to see a period of re-investment.”

Whitmer’s budget proposal for the 2022 fiscal year includes a 2 percent one-time, acrossthe-board increase in operating support for public universities to $1.7 billion. The $30.5 million increase hinges on universities holding annual tuition increases at 4.2 percent or less, or $590 per student.

The budget proposal notes that public universities are “critically important” to reaching the governor’s goal of having at least 60 percent of residents ages of 25 to 64 earn a college degree or professional certificate by 2030.

‘Fiscally conservative’ investment In making an argument for higher state support for universities, Hurley cited data showing states with the most college graduates are the most prosperous, and that college graduates have greater job security and are less likely to draw on social services or public assistance.

“State investment in public higher education is the most fiscally conservative investment the state can make,” he said.

As lawmakers review Whitmer’s budget proposal, at least one legislator questioned the need for spending more on higher education after the state’s public universities this year recorded a 3.5-percent decline in enrollment, and a 6-percent decrease in freshman enrollment.

“Shouldn’t the money go down if student enrollment goes down?” asked Rep. Steve Johnson, R-Allegan.

Hurley responded that it should not since the enrollment decline is a temporary issue that resulted from the COVID-19 pandemic and that especially affected international students. Universities are working to reverse the enrollment declines, he said.

“I do think this is a near-term phenomenon and enrollment will turn around,” Hurley said.

Universities as well have incurred high costs in responding to the pandemic through testing, screening, compliance, personal protection equipment, and intensive cleaning and retrofitting facilities. That cost from the pandemic has been “minimally” $1 billion for the state’s public universities, Hurley said.

Revenue declines from operations such as book stores, dining, housing, and athletic and event venues also virtually dried up during the pandemic.

“The primary short-term, pandemic-related aspect is the fact that the bottom has absolutely fallen out on the auxiliary side of these university enterprises, which has helped subsidize a lot of the operating revenues that these universities rely on,” Hurley said.

616.202.3902 pgs@cornerstone.edu adult.cornerstone.edu/MPA-MIBIZ

Visit www.mibiz.com

MiBiz / MARCH 1, 2021

9

FOCUS: EDUCATION/TALENT DEVELOPMENT

Whitmer budget plans seek continued investment in training, certifications

By ANDY BALASKOVITZ | MiBiz abalaskovitz@mibiz.com

G

ov. Gretchen Whitmer has sent two proposed budget plans to state lawmakers this year that maintain or expand funding for skilled trades training as well as introduce new talent development programs.

The most significant item in Whitmer’s proposed fiscal year 2022 budget proposes $120 million for the Michigan Reconnect program that covers tuition for certification or associate degrees in indemand industries for people age 25 or older.

Smaller proposals seek $3 million for a construction apprenticeship program and $1 million for the Focus: HOPE program aimed at youth and Barksdale workforce development.

Since launching on Feb. 2, the Reconnect program received more than 40,000 applications from Michigan residents looking for an associate degree or skills certificate from their local community college, the state reported last month.

Officials say the program targets both the growing talent gap and the state’s aging workforce, which employers recently reported as a top concern in a fall

2019 Michigan Future Business Index Report commissioned semi-annually by the Accident Fund Insurance Co. of America and the Michigan Business Network.

Of 480 employers surveyed, more than half reported having “difficulty finding qualified candidates with the right skills and talent to fill full time positions.”

Going Pro Another key workforce development component of Whitmer’s proposed budget includes a $15 million increase for the Going Pro Talent Fund, bringing the planned investment for the next fiscal year to more than $43 million.

Going Pro awards grants to businesses in a variety of sectors, helping to bring on new employees as well as helping existing employees gain certifications and apprenticeships. In late January, state officials announced $39 million in grants for 850 businesses that will eventually help train 30,000 workers.

Although the program that’s been in place since 2013 has traditionally been heavily concentrated in manufacturing, officials are seeing growing interest from the medical and construction fields, said Angie Barksdale, chief operating officer of West Michigan Works!, which helps distribute state funds to local employers.

Going Pro also is coming off a gap year as funding was redirected at the outset of the COVID-19 pandemic.

Priority Application Deadline March 31

“This was our most successful year in terms of awards and applications submitted even in the midst of COVID,” Barksdale said. “In our area, we’ve seen a significant increase in health care employers applying, as well as construction. It’s really diversifying.”

Byron Center-based Buist Electric Inc. is among the construction industry companies that have received Going Pro funding in recent years. Human Resources Manager Kim Kohlhoff said Buist Electric has received more than $400,000 in grants in the four years it was selected, training roughly 175 new and existing employees in that time. It was awarded $99,745 for 2021.

The funding covers the cost of books and tuition for apprenticeship school, Kohlhoff said.

“We have noticed additional training in automation and testing specifically,” she said. “We’ve also recently diversified our audio and visual services.”

“As older trades people age out and retire, there’s going to be an ongoing need to replace them,” Kohlhoff added. “That’s a growing reality at Buist and across the industry.”

Kentwood-based contract manufacturer Autocam Medical Devices LLC has used Going Pro training funding as part of broader efforts to build a pipeline for high school students, said Human Resources Manager Kristy White. Autocam received $99,000 in this year’s funding round as it plans to add 50 machinists within the company this year.

“Skilled trades are obviously lacking workers,” White said. “Trying to get students to choose machining out of high school has probably been my biggest bottleneck. The biggest challenge is parents who think students should go to college.”

Supplemental Separate from the upcoming fiscal year budget proposal, Whitmer in January sent lawmakers a $5.6 billion COVID-19 relief spending plan — mostly an influx of federal pandemic relief funding — that includes $5 million for clean energy job training and $6 million for “wraparound” services associated with participants in Reconnect and Futures for Frontliners, another tuition assistance program for people seeking four-year degrees.

Clean energy groups praised the $5 million preapprenticeship program to train unemployed or under-employed residents in the energy sector. The program comes as the clean energy sector has lost hundreds of thousands of jobs across the U.S. during the pandemic, including 31,000 in Michigan by June 2020, according to clean energy groups’ analysis of federal labor statistics.

Michigan Environmental Council President and CEO Conan Smith said in January that the energy training program is “just what we need during a pandemic that has left many people unemployed, many other underemployed and an economy struggling.”

SEIDMAN GRADUATE PROGRAMS • Access hybrid and remote learning options • Engage in personalized leadership development • Tap into valuable community and business connections

THE TRANSFORMATION BEGINS HERE

• Executive MBA • Professional MBA • Master of Science in Accounting (MSA) • Master of Science in Taxation (MST) www.gvsu.edu/seidmangrad

COLLEGE OF BUSINESS

10

MARCH 1, 2021 / MiBiz

Visit www.mibiz.com

Leading By Design partner discusses talent development tools for executives

616.784.5833 616.784.5833

A Q&A with Elizabeth Rolinski, partner at Leading By Design

W

hen coaching business leaders about concepts like talent development and growing an operation from the ground up, Elizabeth Rolinski has the professional experience that commands credibility. Rolinski spent more than a decade working in lithium-ion battery operations at Johnson Controls International PLC and later for Clarios, a former subsidiary that spun out of the international conglomerate and is now a subsidiary of Brookfield Business Partners.

She trotted the globe to establish new plants and help grow an industry in the United States that was met with significant skepticism on whether it could be sustainable. After retiring from that professional role in August 2020, Rolinski joined Leading By Design Founder Rodger Price as a partner at the Zeelandbased leadership training firm. She spoke with MiBiz about her new professional pursuits to create strong leaders within West Michigan-based businesses.

The lithium-ion battery industry was one in which you and your teams were blazing new trails and building something from the ground up. Does that perspective seem to resonate with the leaders?

I think part of that maybe is on the side of risk taking — leaders need to be able to take some level of risk.

There are a lot of factors to how much may or may not be acceptable, but for leaders, it is applicable to so many. Uncertainty is part of great innovation and we do spend quite a bit of time talking about innovation in Leading by Design. That’s where a lot of those stories about cutting-edge technology like lithium ion (come up). Later, I headed up our Industry 4.0 journey — that’s another example. It’s very applicable to that chapter when we talk about innovation. People may have different levels of risk that they’re taking but they’re still taking risks.

Leading by Design is striving to make West Michigan a hub of sorts for leadership. Is there anything inherently unique about the area and its culture that helps achieve this dynamic?

We all agree that West Michigan is poised to become this portal of the best leaders in the country because we already have tremendous leaders and tremendous companies and organizations. Just a lot of good momentum already. It’s not people coming into this course because they don’t know how to lead at all or because they’re broken. They come to this course because they are good leaders and they want to take it as far as they can go and leverage those strengths.

COMMERCIAL COMMERCIAL••INSTITUTIONAL INSTITUTIONAL INDUSTRIAL INDUSTRIAL••FOOD/AGRICULTURAL FOOD/AGRICULTURAL FAITH/WORSHIP FAITH/WORSHIP

“The KCAD Certificate in Design and Innovation Management helped me build the tools, strategies, and confidence to reframe challenges as opportunities for positive change and growth.”

Leading by Design sees leaders from all different industries. Do they share any general characteristics? Is leadership industry agnostic?

They have a lot in common. The leadership principles do apply anywhere. These are things like being able to build a team on strong trust and each team member being authentic and feeling included and strong communication. Being able to lean into conflict and being able to give feedback to each other but in a positive, loving way that is selfless. It doesn’t matter if it’s a church organization, school administrator or CEOs at a large Fortune 500 company — those same concepts apply.

Looking to expand your perspective and differentiate yourself in the marketplace? KCAD’s Certificate in Design and Innovation Management offers an immersive and highly flexible learning experience tailored to meet the needs of busy working professionals.

Do you think the COVID-19 pandemic was the ultimate test of the caliber of leadership for area businesses?

When things are going smoothly, it is easier to be a leader. And I have to say that I’m so impressed with the companies that I have seen in how adaptable they have been and how supportive of each other and how innovative (they have been). Whether it’s (finding) different ways of working from home or going after different products and using their capital equipment and resources differently.

I have just been amazed at the strength that has come out at this time. I’m sure there are companies where maybe they weren’t situated well even before COVID and it was a heck of a lot harder. But I’m certainly seeing a lot of impressive things when leaders were faced with adversity. There will be some great leadership stories that I think will be shared throughout years to come.

What sort of specific challenges are leaders across the industry spectrum facing during the pandemic?

Keeping teams collaborating has been a big one. Most companies have faced a good part of their group working from home. And it’s gone really better than I anticipated.

The one area I think leaders had to really be creative is attendance — it has been a struggle because of people who were potentially exposed and told to stay home. Everybody is critical in manufacturing and you can’t call that one in — the people who are putting the parts together and running the shop floor. (Manufacturing leaders) are the ones who have had to really get creative. I feel for them because I know that has definitely been a challenge.

DESIGN YOUR FUTURE

Harness the power of design thinking to help you break the mold, embrace change, and move boldly forward into the future.

Learn more at kcad.edu/di

Andrea Jordan Senior Graphic Designer Perrigo Company plc

Interview conducted and condensed by Jayson Bussa. Courtesy photo.

Visit www.mibiz.com

MiBiz / MARCH 1, 2021

11

SMALL BIZ: COPING WITH COVID-19

Break Room Therapy offers an outlet during COVID-19, expands in new location

By KATE CARLSON | MiBiz kcarlson@mibiz.com

Virtual shift rescues industrial training company from pandemic shutdowns

By JAYSON BUSSA | MiBiz jbussa@mibiz.com GRAND RAPIDS— Safety training company TrainMOR saw business come to a screeching halt last spring when the COVID-19 pandemic caused major disruptions to the general industrial clients that it serves.

As a company that specializes in providing onsite training for forklift operators and on mobile elevating work platforms (MEWPs), the new socially distanced way of life was a killer for business.

“We had to go into almost a pause situation, which we obviously weren’t ready for just like everyone else,” said Russ Niedzwiecki, a corporate safety trainer for Grand Rapids-based TrainMOR. “Our following month in April was close to complete silence.”

The company had to postpone 12 scheduled dates as its live training, which he Niedzwiecki called the company’s “meat and potatoes” at the time, “just went away at least for the time being.”

However, TrainMOR, which is owned by Grand Rapids-based lift truck sales and service company Morrison Industrial Equipment Co., was the beneficiary of fortunate timing. Once the pandemic descended on West Michigan, the company had developed a training format that was exclusively online.

This is an area of business that has not only kept TrainMOR afloat during the silence of the most restrictive phases of the pandemic, but has opened up a variety of new opportunities for the company.

“If we didn’t do (online training), I don’t know where we would be right now,” Niedzwiecki said.

“We really had a safety net built around because we had these online resources available.”

TrainMOR now provides online forklift and MEWP training courses for current or future operators. TrainMOR also offers “Train-The-Trainer” versions of these courses, which is designed to empower a company’s in-house safety trainer to administer the course to streamline the on-boarding process. While the company continues to provide live classroom courses, the online courses have propelled TrainMOR to new heights.

12

MARCH 1, 2021 / MiBiz

A shift to virtual training helped Grand Rapids-based TrainMOR weather the pandemic shutdowns last year. COURTESY PHOTOS “We created our own combo meal, because we live in a combo meal world,” Niedzwiecki said.

Armed with the online courses, TrainMOR is poised to expand into states beyond its home base of Michigan and Northern Indiana. The company is also now placing an equal emphasis on servicing construction clients as its general industry clients.

Another bout of fortunate timing for TrainMOR came in June 2020 when the American National Standards Institute finally released its new manufacturing and training standards that had long been in the works. The new standards change how aerial lifts specifically are made, operated and maintained.

Operaters of scissor and boom lifts — which were reclassified as MEWPs — must now be trained in the new standards. TrainMOR worked to get out in front of this new need in the market, providing training courses to satisfy the criteria.

Through working with various state chapters of the American Rental Association, a trade group for equipment owners, TrainMOR will make training available in Massachusetts, Maryland, New Jersey and Minnesota, while engaging in discussions with ARA chapters from other states.

TrainMOR also recently added a part-time employee and looks to add an additional full-time staff member to accommodate the influx of clients and resulting administrative work.

Niedzwiecki, who is a former magician, said TrainMOR places an emphasis on creating engaging videos. He even finds an opportunity to slip in a sleight of hand trick for added flair.

BYRON CENTER — It’s hard for Break Room Therapy owner Dawn Levian to tell whether she is getting more customers by word of mouth since opening two years ago or because people are looking for an outlet for pandemic-induced stress.

Brea k Room Therapy is designed to be a cathartic and safe outlet for people to relieve stress by breaking glass and electronic items without having to destroy their own possessions and deal with the cleanup, Levian said.

Customers write words on objects before destroying them, as well as on a whiteboard on which people can write their emotions before and after their breaking session.

“You see the words ‘COVID,’ ‘stress’ or ‘uneasy’ a lot because everything is so up in the air right now,” Levian said. “The majority of the feelings people say they have are anxiety and stress.”

Break Room Therapy opened in May 2019. Levian was still building up the business when COVID-19 hit, making it challenging to acquire pandemic relief aid. The business didn’t qualif y for initial Paycheck P rotec t ion P rog ra m loa ns because of losses on its 2019 taxes, Levian said.

“We already started 2020 with a little bit of a loss because we were just getting started,” Levian said. “We were just starting to build momentum and were getting some customers when the lockdown order happened. The months we were closed down were definitely a little scary.”

When Break Room was able to reopen at limited capacity in its original 1,000-square-foot space on 76th Street SW, it could only allow one session at a time.

This led Levian to look for a bigger space to grow the business.

“It’s a scary and dumb thing to do a move during a pandemic, but we didn’t feel like we could do anything more in that space and our lease was coming due,” Levian said.

The business reopened in January after moving to 7988 Clyde Park Ave. SW in Byron Center, expanding from two to five session rooms and creating

Participants at Break Room Therapy in Byron Center.

COURTESY PHOTO

“The majority of the feelings people say they have are anxiety and stress.”

— DAWN LEVIAN Owner, Break Room Therapy

more space for shelving and inventory, Levian said.

The buildout was expected to be a $24,000 project but grew to $32,000 because of a lumber shortage caused by the pandemic, but the new space meets Break Room’s needs, Levian said.

“It was one of those things we knew we had to do,” Levian said. “We knew in order for the business to properly get off the

ground we had to move to a new location. It’s a huge leap of faith, and we hope it pays off.”

Levian said customers have traveled from Battle Creek and Traverse City as well as from Illinois.

“The way people look when t hey walk in to when t hey walk out of a session is very transforming to me,” she said.

“Holding something in does cause stress, and people don’t really want to go and destroy their own stuff. It’s not as cathartic to break something you have to clean up. Here they can just walk away afterward and they’re in a safe, contained area.”

Levian said Break Room Therapy serves an important mental health need for many people, but it can also just be a fun activity for people looking to try something new.

“Though the majority of our customers are dealing with something, you don’t have to be going through anything to get something out of it,” Levian said.

Visit www.mibiz.com

WORK FROM HOME WELLNESS Free 50-minute webinar | Tuesday, March 16 - 11 a.m. | Register: mibiz.com/wellness Many companies adopted work-from-home strategies in 2020 as a way to cope with COVID-19. Now, a growing number of those firms are considering WFH their “new normal” for 2021 and beyond. They’re also helping employees prioritize their physical, mental and emotional health by creating productive workspaces and healthy habits at their new home offices.

Join MiBiz and wellness consultants GIG Design, LLC for this free 50-minute webinar on Tuesday, March 16 at 11 a.m.

We’ll explore the impact of working from home on employee health, wellness and productivity. Plus, we’ll share actionable strategies that companies can utilize to help their employees thrive while working from home.

To register visit mibiz.com/wellness.

Visit www.mibiz.com

MiBiz / MARCH 1, 2021

13

CEOS ON PANDEMIC

In their words

West Michigan executives reflect on a year of leading through a pandemic

A

fter a year of reporting on the COVID-19 pandemic, it becomes increasingly difficult to capture all of the nuanced and at times discordant effects it has had on businesses. While some have thrived or pivoted, many others have struggled to hold on or closed up shop.

We’re all familiar with the stories by now as we approach the one-year mark of a pandemic that’s claimed the lives of more than a half million Americans.

Instead, MiBiz is looking back on the past year with help from executives who have been in the driver’s seat through it all. Nearly a dozen leaders across a variety of sectors responded, sharing experiences of frustration

but, above all, hope and wisdom.

The pandemic has exposed deep flaws in our system, but also opportunities to improve.

For these executives, the COVID-19 pandemic has been an indelible learning experience.

As one manufacturing executive says: “When a crisis occurs, bad companies are destroyed, good companies survive, and great companies improve.”

Thank you for reading.

Dan Bitzer

Tasha Blackmon

President and CEO // First National Bank of Michigan

President and CEO // Cherry Health

— Andy Balaskovitz, Managing Editor

What’s the biggest lesson you learned in the last year?

The biggest lesson learned last year in the banking industry was the importance of our Business Continuity Plan. We were forced into reality March 13, 2020, and continue today. Every aspect of banking changed on a dime and the community banking industry excelled in the downturn taking great care of our customer base.

Compiled by Mark Sanchez, Kate Carlson and Jayson Bussa

Every aspect of banking changed on a dime and the community banking industry excelled in the downturn taking great care of our customer base.

Bjorn Green

Mike Stevens

President and CEO // TowerPinkster

Co-founder and CEO // Founders Brewing Co.

M

ore than anything, we have relearned the importance of relationships and ‘connection’ — with each other, with our clients, and with our communities. It seems so simple, but we all have experienced a good reminder about the importance of taking life back to the basics with our relationships. We had begun to take those quick chats around the coffee pot or grabbing lunch with our colleagues and friends in the community for granted. This year, we have had to create ways to reinvigorate and reconnect in meaningful and simple ways. As we approach the year mark of the most isolating 365 days in our lifetimes, it’s easy to look at all the times we felt really isolated or alone, but the bright spots from the journey of this year that stand out are all the moments we were able to share. From virtual happy hours and piein-the-face bets being fulfilled to sharing memories and celebrating weddings, babies, and career milestones, we found ways to be truly together even though we were apart. Looking forward to the day when we can be back in communion with one another in the coffee bar or conference room table, yet until then we are dedicated to connecting however possible.

14

MARCH 1, 2021 / MiBiz

L

ast year presented some interesting challenges for Founders, but it also revealed exciting changes that could be made in the way we work. I’ve been in this industry for almost 25 years and have found that every five to seven years things change enough that we are presented with the opportunity to reinvent ourselves.

Prior to COVID, I could feel that the time for change was coming, and the events of 2020 really pushed that to the forefront. COVID is a tragic situation to be faced with. While accommodating the regulations that were put in place, we were able to challenge our norms and standards, which led us to formulate a new business model, a holistic approach to conducting business that measures success on more than just the bottom line.

Through this new program we prioritize performance, employee well-being and the societal impact we impart on the communities where we live and work. This has been a great change for the company and has allowed us to stay optimistic about our future during some pretty grim times. I like to think this is proof we can still find something good even in the middle of our worst days.

How has the pandemic permanently changed your industry?

The banking industry, like all industries, has gone through many changes. Time will tell whether they are permanent, (including) working from home, electronic signatures, Teams video meetings, office space needs and ongoing safety and health concerns.

How has it changed you as a business leader?

Closing in on over 40 years in banking, change has been our industry’s only constant. As a business leader, I never would have expected that I would have our industry voice heard as (we) had constant communication with our legislature as we helped pass the PPP program in Washington, D.C. I was getting up-to-the-minute texts from the House floor before votes. Our industry made a huge difference in our business community.

What’s the biggest lesson you learned in the last year?

This last year, we learned the importance of removing every barrier to ‘yes.’ The transformative power of the pandemic forced the Cherry Health team into go mode. We stood up our telehealth platform practically overnight, and we began COVID-19 testing within days of the onset of the pandemic. We pushed through every barrier that would have caused us to retreat in the past. The audacity to believe that every problem has a solution, and that the solution lies within us, is the gift that the pandemic gave to the Cherry Health team.

How has the pandemic permanently changed your industry?

It cemented telehealth as a viable means of providing quality health care, and it forced payers (such as Medicaid and commercial insurance) to move away from antiquated reimbursement models in favor of full reimbursement for virtual visits. The pandemic also taught health care institutions the art of meeting our patients where they are. It illuminated the importance of addressing the social determinants of health — where we work, learn, live and play — as part of the patient’s care plan. Health equity as a business imperative has also been a welcome change that we are seeing in the field, although community health centers like Cherry Health were created to address access to care for vulnerable populations.

The audacity to believe that every problem has a solution, and that the solution lies within us, is the gift that the pandemic gave to the Cherry Health team.

How has it changed you as a business leader?

With strong faith and a revised perspective, I now embrace change differently than I have in the past.

I’ve never been resistant to change, but I now see the value of leaning into it. During the pandemic, I had to adjust my leadership style to accelerate change. The challenges we faced over the last year forced a level of growth and resilience in me that might have taken many years to achieve.

Witnessing the courage and tenacity of the entire Cherry Health team, coupled with their undying commitment to serving the underserved, has given me profound joy and a great sense of pride.

Visit www.mibiz.com

Tom Benson

Eric Erwin

Tina Freese Decker

Mike Novakoski

CEO // Fluresh LLC

President and CEO // FloraCraft Corp.

President and CEO // Spectrum Health

President and CEO // EV Construction Co.

L

ike many cannabis businesses challenged

by COVID-19, the Fluresh cannabis store pivoted to 100 percent curbside and delivery, forcing our teams to lean on our operational efficiencies and solidify our understanding that innovative technologies are key. We revamped how we manage pickup and increased our use of technology to allow mobile payments, streamlined ordering and clear communication.

We also improved our inventory process to better align with the faster pace. Inside the store and at our grow facilities, our teams were given (personal protective) equipment, daily health checks, and navigated rearranged, socially distanced workspaces. When work from home was not possible, our teams were trained to do multiple jobs, thereby increasing their skills and creating a more flexible, agile workforce.

Without the in-store service customers were

When work from home was not possible, our teams were trained to do multiple jobs, thereby increasing their skills and creating a more flexible, agile workforce. used to, our team quickly amplified the digital experience. We increased our consumer communication efforts through digital advertising, social media and online customer support/engagement to find innovative ways of communicating with consumers. Additionally, we’ve lowered prices and increased deals and promotions to make our products more affordable to those hard hit by the economic impact of the pandemic.

Finally, I believe COVID-19 reinforced the importance of Fluresh’s community involvement. It is clear that local businesses have been dramatically impacted by COVID. We’ve undertaken a number of different programs to support these businesses through free meals for the community, discounts to customers, and partnerships with local restaurants. While this hadn’t been an initial pillar in our community impact plan, we now believe we are well positioned to partner with and support these local operators.

Visit www.mibiz.com

L

ike many other companies, we were ner vous af ter being shut dow n in March 2020. Our leadership team worried about lost revenue and customers finding alternate suppliers, and our team naturally worried about losing their jobs. I learned communicating regularly and honestly with our customers and employees was critical during this time.

Our team did more regular check-ins with customers, which strengthened our relationships and led to new opportunities. We also made a focused effort to provide frequent updates to employees on the steps we took to keep everyone on the payroll with full health care coverage and benefits intact.

I’m a firm believer that when a crisis occurs, bad companies are destroyed, good companies survive and great companies improve.

During a time when we couldn’t control much, our response to this crisis was one thing we could control. As a family-owned business, we pride ourselves on being a close-knit team.

How we communicated was key to us getting back to work safely. People knew what to expect from us and what was expected of them. When we returned to work in June, we had record production runs, which continue.

I’m a f irm believer that when a crisis occurs, bad companies are destroyed, good companies sur v ive and great companies improve. Through this pandemic, FloraCraft has been growing and improving.

What’s the biggest lesson you learned in the last year?

As a system, we’ve learned a lot of lessons in this pandemic, but if I could choose only one, it is this: to both over-communicate and over-listen. COVID19 made it vitally important that we communicate effectively and transparently with our teams and with our communities. But, at the same time, we had to listen intently to people’s thoughts, ideas, hopes and fears. And, it was especially essential that we be attuned to the emotional well-being of our team members. If we did not hear them and care for them, they would not be able to care for others.

But all of this communicating and listening was dependent on one thing: being real. COVID19 was a raw, humbling experience. We were all in it together. And if we were going to get through it, we needed to be real with each other. And to be real with others, we need to first be real with ourselves — to be willing to ask, ‘Who am I and what do I stand for?’ Once we look in the mirror and give ourselves an honest answer, anything and everything is possible.

How has the pandemic permanently changed your industry?

Overall, this pandemic has caused us to say, ‘We must do better and we must be better now.’ We have not only been slow as an industry to change, as a society we have been slow to acknowledge how health impacts so many facets of our lives.

Most of us are now more aware and engaged in our health and the benefits of being healthy.

We are also more focused on addressing barriers to health and realizing health equity. This will require strong community partnerships, innovation and commitment to personalized health.

How has it changed you as a business leader?

I think the various crises we have faced over the past year — not just the pandemic, but issues related to systemic racism and health inequities, economic distress, social unrest — have helped us achieve greater focus and respond with greater agility, courage and compassion. There was no playbook. It crystallized the value and importance of our mission, of our vision, of our integrated health system and of developing trust through two-way communication.

As to how the pandemic has changed me personally, it has focused me on the importance of joy. COVID-19 brought a great deal of pain, suffering and loss. And this has given me a greater appreciation of the joyful moments of life. I valued my time with my family before, but this year added quantity time that was also quality time that I relished. We must make sure we are embracing the things that matter and living every minute. We need to experience joy … and give joy.

W

e have an elevated appreciation for the incredible culture we’ve watched blossom over the decades. ‘Together’ means everything to us. Early in the pandemic, a great concern of mine was the negative impact a remote workplace structure would have on our team’s mental health. Isolation may be welcomed in short bursts but prolonged, physical isolation from others is unnatural. As hard as we’ve tried to use technology to recreate or replace that invisible ‘energy exchange’ that occurs between people who are physically together, we simply have not come close enough.

We have all likely used the statement ‘it’s

We are ready and anxious to celebrate the day when we can resume living in the cultural norms we find so appealing at our company. virtually impossible’ before. In our case, this statement takes on a whole new meaning. EV Construction has learned that although we are making the best of the situation from one day to the next, it’s impossible to virtually replace many of the elements that define our great culture using technology. We are ready and anxious to celebrate the day when we can resume living in the cultural norms we find so appealing at our company. Norms which involve physical proximity and meaningful connections. I for one will never take a hug or a handshake for granted again.

Continued on page 16 MiBiz / MARCH 1, 2021

15

CEOS ON PANDEMIC

Randy Rua Managing Partner // NuVescor Group LLC What’s the biggest lesson you learned in the last year?

I learned that you can sell a business in any economic environment if you have a buyer who believes they can grow the business after they acquire it, and that buyer has access to the capital they need to make the acquisition. Given the level of stimulus in response to the pandemic and indications of returning demand, most buyers and sellers agree that the business revenue will return to prior levels and beyond.

Currently interest rates are very low, and buyers have record levels of cash that they are trying to get a return on. Other factors that increase the motivation to complete transactions even in difficult times are taxes. Sellers and their tax advisers believe that we currently have the lowest tax rate sellers will see in potentially a very long time. This is motivating business owners to be flexible with their terms to get a deal done now before taxes increase.

How has t he pa ndemic perma nent ly changed your industry?

Our industry has transitioned to completing transactions virtually. We have always worked with buyers from all over the world, but our

selling clients like to be within a few hours drive so we could meet them face to face. Buyers would travel to the seller’s location and we would meet them there to visit the manufacturing facility.

Now buyers want to limit travel and sellers do not want the exposure, so we are doing all meetings virtually. We film a 3-D walkthrough of the manufacturing operation and can have the seller give an online tour allowing us to stop and answer questions just like an in-person tour. The time savings to all parties involved is significant, so I do not see this part of the process going back to the way it was. This allows us to successfully serve selling clients all over the United States, not just the Midwest.

Changing to a virtual versus a face-to-face industry drastically changes the competitive landscape for M&A firms. Sellers are no longer using geographic location as a major decision factor for deciding who to hire to help them sell their business. Now sellers are much more focused on finding an M&A adviser who has a proven track record of selling similar-size businesses in their industry. That is why we have decided to focus on our manufacturing core competency as we provide our M&A services at a national level instead of just regional or local.

How has it changed you as a business leader?

I used to have a strong belief that I needed to lead our team of 10 employees by going over what they were doing every morning and then give them direction and guidance on how to move things forward. This required that I check in with them throughout the day by visiting their office. Our team has been working virtually and we have a morning online team meeting, but it is not as easy to just stop in their office and check up on their work. Instead, I focus my attention on making sure the team is trained and equipped to follow the processes we have developed and ensure we can measure and track their activities using a customized CRM software package.

The software allows us to track all the activities needed to ensure a successful outcome for our clients.

Rob Payne

Stuart Ray

CEO // R.A. Miller Industries Inc.

Executive Director // Guiding Light Mission

I

think everyone would agree that 2020 was a very challenging year. We quickly had to learn the art of flexibility and adaptability. Policies and regulations seemed to be changing on a regular basis, there was confusion, employees were nervous and we still had to meet customer delivery demands. We recognized the value of open and honest communication with our employees and worked hard to keep them informed on the actions we were taking to keep them safe.

Our goal was to be proactive and we worked quickly to implement new safety policies.

Throughout all of this, we wanted to make sure that our employees felt safe coming to work.

Responding to COVID also meant that we had to adapt to remote work for many areas of our business.

Working remotely was something that had been countercultural at RAMI in the past.

Our teams quickly learned the value of technology and realized work can still be accomplished even if you are not in the same room.

Even though we are mostly back to in-person, our employees now feel comfortable exercising flexibility when needed.

D

uring the pandemic, I learned several key things that guided our actions.

If you have the courage to set a high bar and provide the resources, people will generally follow. When Michigan went into lockdown in March 2020, I saw my primary responsibility was to keep everyone safe — our clients and our team. We educated ourselves and put into place very stringent safety protocols. I’m relieved to say none of our clients nor our team contracted COVID — and many of those safety protocols are still being practiced without any prompting from me.

In the face of the pandemic, people needed and wanted a fairly high level of communication that is credible. It was harder than I thought to find good information and resources that people would believe.

You can’t assume everyone is in a safe mental place — and you can’t ask just once. While our clients had resources they could turn to for spiritual and mental health care, these were not readily available to our team initially. We began providing no-cost, no-questions-asked counseling sessions for everyone. I made a concerted effort to check in with our team regularly throughout the past year.

GET THE LATEST E-NEWS SENT TO YOUR INBOX MiBiz publishes free e-newsletters highlighting local news and data, as well as best practices, events and resources: n MiBiz Morning Edition – A daily weekday roundup of business news and intelligence.

n NEW! MiBiz Real Estate/Development Report – A weekly digest of the West Michigan region’s commercial real estate, development and economic development activity. n Small Biz – A bi-weekly compendium of news, best practices and events. n Manufacturing Report – A bi-weekly digest of local manufacturing news. n West Michigan Nonprofits Report – A monthly roundup of news and information affecting the nonprofit sector.

Sign up today at mibiz.com/subscribe/e-newsletters

West Michigan Business News & Intelligence

16

MARCH 1, 2021 / MiBiz

Visit www.mibiz.com

FINANCE

Huntington, TCF merger could mean opportunities for competitors

By MARK SANCHEZ | MiBiz msanchez@mibiz.com

W

hile Huntington Bancshares Inc. and TCF Financial Corp. executives say a planned merger between the two companies will create a Midwest banking powerhouse, some experts view it as an opportunity for competitors to gain both business and talent.

Major bank mergers such as Columbus, Ohiobased Huntington’s proposed $22 billion acquisition of Detroit-based TCF Financial typically result in market disruptions that may lead to moves by both clients and talent, said John Rodis, an analyst at St. Louis, Mo.-based Janney Montgomery Scott LLC who covers TCF Financial.

The deal that Huntington (Nasdaq: HBAN) and TCF (Nasdaq: TCF) aim to close in the second quarter — and which will result in the closing of 198 branch offices mostly in Michigan, including all of Huntington’s branches at Meijer Inc. stores — is sure to follow that tendency, Rodis said.

“From all indications it looks like an attractive deal for the most part. But just like in any deal there’s naturally going to be some fallout, and that fallout should benefit the smaller banks,” he said. “For smaller community banks this typically tends to be the sort of gift that keeps on giving. It’s just natural that when you have two banks that have significant market share in Michigan and Grand Rapids, there’s just going to be some fallout.”

The extent of the fallout is uncertain but may become clearer in a few quarters, Rodis said. A smooth conversion between the two banks after the deal closes will determine whether clients opt to move to another bank, he said.

If the conversion goes well, “and the signage just changes, then it’s not that big of a deal,” he said.

“These sort of events take some time to play out.”

Shift in focus?

Announced in December, the TCF acquisition would elevate Huntington to one of the 10 largest banks in the U.S. After the deal closes, Huntington would have about $168 billion in assets, $117 billion in loans, and $140 billion in deposits with dual headquarters in Detroit and Columbus. Huntington would base commercial banking operations at the Detroit headquarters while consumer banking would be headquartered in Columbus, according to a merger application filed with the U.S. Office of the Comptroller of the Currency.

Michael Bell, an M&A attorney at Honigman LLP who co-chairs the law firm’s Financial Institutions Practice Group, agrees that the deal could offer “substantial opportunity” for smaller competitors, although he doesn’t see a “mass migration” of key Huntington customers post-acquisition.

Particular opportunities exist for competitors to gain small business borrowers and commercial lending talent if Huntington — which is a national leader in U.S. Small Business Administration lending — puts more focus on the higher end of the commercial lending market and less on the lower end, Bell said.

Whenever a large bank merger occurs, there’s a tendency for the resulting larger institution to shift focus more upmarket, he said.

“Will folks try to react to that and make some moves because of that? Sure,” Bell said.

Visit www.mibiz.com

Huntington’s 502-page merger application notes that the acquisition “offers additional loan opportunities for its small business customers” at TCF, and that the bank plans to build out across the TCF footprint its business banking operation that serves companies with up to $20 million in annual revenues. As well, Huntington in 2019 launched a dedicated business relationship manager team “to provide ongoing support to its growing small business customer base,” according to the merger application.

Both TCF and Huntington have sizable market positions in Michigan, ranking sixth and seventh, respectively, in the Federal Deposit Insurance Corp.’s 2020 summary of deposits. In the Grand Rapids-area market, Huntington ranked second in last year’s summary of deposits while TCF was fourth.

Huntington Bank has 277 offices in Michigan with $17.1 billion in deposits, according to the merger application to the Office of the Comptroller of the Currency, which is one of three federal regulatory bodies that needs to approve the deal, along with the FDIC and Federal Reserve Board. The FDIC lists TCF as having 243 offices in Michigan as of June 30, 2020, with $20.7 billion in deposits.

Opportunities for competitors Chief executives at two of TCF’s and Huntington’s smaller competitors in West Michigan also see potential opportunities coming out of the deal.

Independent Bank Corp. CEO Brad Kessel called the proposed merger a “material event, obviously, within our markets,” especially given the office closings or consolidations that will occur after the transaction closes.

“Between the two financial institutions, we compete with them in almost every one of our markets,” Kessel said when asked about the deal in a recent conference call on quarterly results. “So that just will be opportunities for talent acquisition and will be opportunities for customer acquisition. I would point to our track record. We’ve had this disruption going on in our marketplace as the industry continues to consolidate for a number of years. And …. we have, I think, been very successful in adding talent and customers to our company.”

Kessel wrote in an email to MiBiz that banking “is still about relationships,” and “these relationships will be up for grabs as the merger moves forward.”

Likewise, Mercantile Bank Corp. President and CEO Robert Kaminski told analysts in a Jan. 19 conference call on fourth quarter results that the market disruption typically seen after bank mergers “does provide some potential opportunities.”

In seeking to capitalize on any opportunity that may arise, the Grand Rapids-based Mercantile will continue to stress its hometown roots and ability to “compete at any level,” Kaminski told MiBiz. “Certainly, when you have mergers and acquisitions at the corporate level, it doesn’t matter whether it’s in banking or any other industry, there’s bound to be a certain degree of disruption of some kind, especially when you have one that’s of the scope and size of this merger,” Kaminski said.

“If there’s any disruption as the merger takes place, people are going to be there ready to take advantage of the opportunity. (Mercantile) is going to play off of our strengths and we’re going to contrast us and the kind of products and services that we can deliver as a community bank. We believe our ability to be nimble is a strong attribute, and we’re going to continue to play toward those strengths.”

Branch closings The proposed acquisition of TCF “will bring together two banking organizations with highly compatible cultures, business models, risk management systems and dedication to customer service, resulting in a stronger bank holding company that is better able to serve the needs and interests of Huntington’s and TCF’s customers, communities and other constituents,” Huntington says in its merger application.

Given the overlap in branch networks of the two banks, the deal will result in the “necessary consolidation or closing of some branches,” although “customers of the respective banks will not be materially impacted,” according to the merger application that lists all of the 198 TCF and Huntington branches that will either close or consolidate into a nearby offices.

A large majority of the branches are in Michigan.

Among them are two dozen West Michigan locations for either bank, including five TCF and one Huntington office in Ottawa County.

In Kent County, TCF offices on 28th Street in Grand Rapids and 84th Street in Byron Center will consolidate into nearby Huntington offices, and

Huntington’s main office on Pearl Street in downtown Grand Rapids will consolidate into a TCF office in The Warner Building at 150 Ottawa Ave., according to the merger application.

Four TCF offices and one Huntington branch in Berrien County will close or consolidate into nearby locations, as will one office each for either bank in Kalamazoo County.

Huntington also plans to divest TCF offices in four Michigan markets — Cadillac, Gaylord, Gladwin-Midland and Roscommon County — that have combined deposits of about $375 million.

Citing a need to “mitigate any potentially adverse effects on competition” that’s required under federal regulation, Huntington will divest TCF offices to “one or more depository institutions” that the Federal Reserve and U.S. Department of Justice find to be “competitively suitable,” according to the merger application.

A Huntington spokesperson said in an email to MiBiz that the bank would “maintain our numberone branch position” in Michigan even after the planned branch office closures with the TCF acquisition.

TOP MICHIGAN BANKS TCF financial Corp. and Huntington Bancshares Inc. each have sizeable market positions in Michigan, ranking sixth and seventh, respectively, statewide in the FDIC’s 2020 summary of deposits. Here’s a look at the top 15 banks by deposits in Michigan, as of June 30, 2020.

Bank

Deposits

Michigan offices

JPMorgan Chase & Co.

$63.5 billion

209

Comerica Inc.

$35.4 billion

190

Bank of America Corp.

$29.2 billion

192

Fifth Third Bancorp

$21.6 billion

192

PNC Financial Services Group Inc.

$21.2 billion

170

$20 billion

243

Huntington Bancshares Inc.

$19.6 billion

289

Flagstar Bancorp Inc.

$17.2 billion

114

Citizens Financial Group Inc.

$6.3 billion

82

Independent Bank Corp.

$3.5 billion

68

Mercantile Bank Corp.

$3.2 billion

43

Macatawa Bank Corp.

$2.1 billion

29

$2 billion

21

Level One Bank

$1.8 billion

17

First National Bank of America

$1.7 billion

3

TCF Financial Corp.

KeyBank

SOURCE: FDIC 2020 SUMMARY OF DEPOSITS

MiBiz / MARCH 1, 2021

17

ECONOMIC DEVELOPMENT

Moving on Chatfield resignation leads to ‘pivotal time’ for Southwest Michigan First and more questions over key downtown Kalamazoo property

By KATE CARLSON | MiBiz kcarlson@mibiz.com KALAMAZOO — Former GOP House Speaker Lee Chatfield’s weeklong run as CEO of Southwest Michigan First spurred a wave of backlash from the community that has damaged the economic development organization’s reputation, officials say.

“I am really hopeful that this is an opportunity for us to listen, really learn and grow, and hopefully provide more opportunities for Kalamazoo as well as the whole seven-county region, and have more robust conversations about what this region needs,” Southwest Michigan First Interim CEO Carla Sones told MiBiz. “We’re at a pivotal time.”

Moreover, Chatfield’s departure raises new questions about the future of a downtown convention center that former Southwest Michigan First officials and some local business owners have pushed for years — and which Chatfield had said was his main priority when taking Hall over the organization.

For now, though, Southwest Michigan First is regrouping after accepting Chatfield’s resignation on Feb. 22. It will restart the search for a new CEO, which began earlier this year when former CEO Ron Kitchens took a new position in Alabama. The organiSones zation has said publicly that the process going forward will be “open, transparent and inclusive of those who depend upon us to improve economic development opportunities for all we serve.”

“We’ve heard disappointment about the search process from board members that were not on the search committee,” Sones said. “It’s very clear to them that the search process fell below what was

expected and although they did follow the governance bylaws in the search, it’s time to look at those bylaws and make sure those are analyzed.”

Downtown event center Chatfield has said he was approached by Southwest Michigan First officials about the CEO position when the legislative session ended in December 2020. Before leaving Lansing after serving three terms, Chatfield helped usher in enabling legislation to potentially finance an event center in Kalamazoo and four other counties.

Kalamazoo County Board of Commissioners Chairperson Tracy Hall and other sources have suggested that the event center legislation was the main reason Southwest Michigan First chose Chatfield.

“He doesn’t have much past job experience in economic development. Not to take away what he did in the state Legislature, but when I put these pieces together in my mind, it seems like that’s why he was brought to Southwest Michigan First — to build the arena — and he will have to build a lot of partners to do that,” Hall said recently.

With the legislation, Kalamazoo can use the new funding tool to build an event center under certain requirements, including approval from the Kalamazoo County Board of Commissioners. House Bill 4816 was sponsored by former state Rep. Brandt Iden, R-Oshtemo Township, who spearheaded the effort specifically to help build an event center in downtown Kalamazoo.

Sones confirmed that some Southwest Michigan First board members likely had conversations with Chatfield about the proposed event center and financing act legislation, and it could have been how they initially connected.

She declined to comment further on plans moving forward for the event center, saying that the organization is focused on learning, rebuilding and finding a new CEO. Southwest Michigan First Board Chair Aaron Zeigler did not return multiple emails and voicemails from MiBiz inquiring about the board’s hiring

process that led to its appointing Chatfield as CEO. Southwest Michigan First has conceptually proposed a plan twice to the Kalamazoo County Board over the years, ranging in cost from $80 million to $110 million with the capacity to hold 6,800-9,000 people. No formal plans have ever been presented to the county or city of Kalamazoo. That’s partly because funding tools haven’t been available, but it’s also unclear whether there is interest in the community for the venue downtown.

“The concept has been on and off the table for the past 20 years,” said Kalamazoo Deputy City Manager Jeff Chamberlain. “There has also been plans for additional housing and retail spaces being built nearby, too.”

Chamberlain attributes the event center concept sputtering to a variety of reasons, including struggles with financing and how the real estate is divided across several owners.

The area is essentially four vacant blocks surrounding the intersection of Eleanor and Cooley streets, which comprise several parcels. One is owned

by Kalamazoo County and is currently used as surface parking. Part of the site is owned by Western Michigan University and is mostly vacant. Two other parcels in the area are owned by companies tied to PlazaCorp, a Kalamazoo real estate development company.

“Having four vacant blocks in your downtown is not the ideal use for that land, so something eventually needs to happen in those four city blocks,” Chamberlain said. “Over the years there has been different ideas for those properties and I think it’s just a combination of having the right partners and developers and financing that works and is feasible and beneficial to everyone involved.”

What’s next The fallout from Chatfield’s appointment was swift and centered on his positions toward LGBTQ equality while he was a lawmaker. Chatfield opposed expanding the state’s civil rights law for the LGBTQ community unless it included religious exemptions. He first ran for office in 2014 by criticizing his Republican primary opponent for supporting LGBTQ civil rights.

Within days of his start at Southwest Michigan First, the city of Kalamazoo, the Kalamazoo Community Foundation and the Kalamazoo Promise ended their memberships with the organization. An agenda item is on the Kalamazoo County Board of Commissioners March 2 meeting to end the county’s annual $75,000 contributions to the organization. Several other institutions and prominent business owners publicly denounced the organization for the hire, including OutFront Kalamazoo and Larry Bell, founder and chairman

“I am really hopeful that this is an opportunity for us to listen, really learn and grow, and hopefully provide more opportunities for Kalamazoo as well as the whole sevencounty region, and have more robust conversations about what this region needs.”

— CARLA SONES Interim CEO, Southwest Michigan First

of Bell’s Brewery Inc. Chatfield’s hiring brought other issues to light at Southwest Michigan First, including the lack of racial diversity on its board, which Sones said has also been a topic of conversation within the organization.

“It’s been difficult to find board members at the C-level of an organization that represents a minority population,” Sones said. “That’s not just something our board struggles with, but it’s also time to reflect on why that problem is happening and how we support a pipeline for talent and opportunities for not just people of color but people of all kinds of diverse backgrounds.”

Sones said she will recommend that the board form a CEO search committee that is representative of the community, and to make sure the process involves the full board, staff and community.

Southwest Michigan First also announced it will create an executive-level position focusing on diversity, equity and inclusion as well as a board committee.

Sones said several of the organization’s staff have undergone diversity, equity and inclusion training sessions before, but they are not required.

K a l a m a z o o C o m m u n i t y Fo u n d a t i o n Communications Officer Jordan Duckens told MiBiz via email that the transition in leadership should not end the discussion around equity and inclusion.

“The Kalamazoo Community Foundation extended ourself to Southwest Michigan First to share resources and learning around the benefit of prioritizing diversity, equity and inclusion for the benefit of prioritizing diversity, equity and inclusion for the benefit of all people in our region,” Duckens said.

Promote your company with reprints

OCTOBER 15, 2018 VOL. 30 • NO. 26

SERVING WESTERN MICHIGAN BUSINESS SINCE 1988

Stephen Waterbury, Warner Norcross + Judd LLP.

If your company has been featured in MiBiz, the exposure you received reached more than 35,000 business executives in West Michigan. Now you can share the news about your company by ordering MiBiz reprints.

VOL. 26 • NO. 25

F

Preparing for Transition Small business owners need to plan ahead to ensure smooth leadership transition

By NICK MANES | MiBiz nmanes@mibiz.com

F

or small family-owned businesses, getting the right succession plan in place can be a long, drawn-out undertaking.

Just ask Marcia Elgersma.

She and her husband, Al Elgersma, realized more than a decade ago that they needed to figure out a succession plan for Al’s Excavating Inc., the nearly fourdecade-old small business they co-own in Hamilton, Mich., about 10 miles southeast of Holland. At the time, they wanted to outline the roles their children would take on in the excavating company going forward.

But that was in the year 2000 and despite their best intentions, the planning process ultimately ended unsuccessfully.

“It just didn’t work at all,” said Elgersma, the company’s secretary and treasurer. “We didn’t understand the processes and we didn’t know how to determine who was Percentage of West capable of leading.”

Michigan familyIn the meanowned businessses time, the Elgersmas with no succession plan, according to found it was easier the Family Owned to grow their comBusiness Institute. pany to $6 million in annual sales than it was to figure out the transition plan, she said. After their failed try at succession planning, the business went back to its old model and the owners “just hunkered in.”

It wasn’t until more than a decade later and based on a referral from a friend that the owners of Al’s Excavating met with

81%

ground, make people calm and Waterbury’s career accomplishfind ways to help them out. ments as an M&A adviser, menThat’s a rare commodity, espetor and community builder cially with an intelligent attorearned him recognition as the riends and family saw Stephen Waterbury heading toward a ney who does a lot of deals.” first-ever winner of the Western career in law before he ever did.

Barnes & Thornburg LLP Michigan Dealmaker Hall of A desire to serve others and help them succeed was the drivattorney Michael Campbell, Fame Award. ing factor that led him to law school and to go on to a lengthy, who served with Waterbury Waterbury is “the last of accomplished legal career. on the board of ACG Western a dying breed,” said Richard After graduating with an undergraduate degree from Michigan State Michigan during the Noreen, CPA, a tax University, he applied and earned acceptance to Harvard Law School. early 2000s, agrees. partner at BDO USA A Lansing native, he later joined Warner Norcross + Judd LLP in M&A AWARDS He’s also been on the LLP who has known Grand Rapids, where he’s practiced business law for nearly 39 years.

INDUCTEE: other side of some Waterbury for a During his career, he has handled the legal work for hundreds of mergWESTERN MICHIGAN deals involving cliquarter-century and ers and acquisitions domestically and globally, and served as a mentor DEALMAKER ents Waterbury repworked with him on to the firm’s young associate attorneys at the dawn of their careers.

HALL OF FAME resented, and praises several client trans“Others assumed I would go into law earlier than I assumed I would him for his approach. actions. He praises go into law,” Waterbury said discussing his career during an interview “Steve is a true gentleman.

Waterbury’s “calming influat the law offices of Warner Norcross + Judd overlooking downtown He’s sharp. He’s respectful of ence” and consensus-building Grand Rapids.

SERVING WESTERN MICHIGAN SINCE 1988 everybody — the clients, the approach on getting dealsBUSINESS done.

“I ended up viewing it as a way of serving people — I wanted whatother attorneys. He’s a pleasure “No matter how contentious ever I did to have that be a central component,” he said. “At its highest to work with, even if he’s on the something was, Steve always and best, the legal profession is a service profession focused on helpother side,” Campbell said. found a way to find common ing people succeed.”

By MARK SANCHEZ | MiBiz msanchez@mibiz.com

COPYRIGHT 2018 © MIBIZ.

Marcia and Al Elgersma, the owners of Hamilton-based Al’s Excavating, were typical of many small family-owned business owners in that they lacked a formal succession plan to transition to the next generation of leadership. After a failed attempt to develop a plan, the company tapped a team of local advisers to develop a leadership strategy and succession plan that it plans to launch Dec. 1. PHOTO: KATY BATDORFF business consultants and did a deep dive into the makeup of the family and analyzed which members were qualified to hold the various leadership positions.

Such delays in putting together a formal plan of succession are not uncommon among small and middle-market companies, experts say. In West Michigan, 81 percent of family-owned businesses lack a formal succession plan, according to the results of a study conducted by the Family Owned Business Institute (FOBI), a joint project of the Grand Valley State University Seidman College of Business and Western Michigan University’s Haworth College of Business.

Simply having a succession plan in place is not really enough for most companies, sources said. Rather, families and other shareholders in the business should do a thorough analysis of the company itself and the different people who could take on leadership roles, said Kirk Koeman,

a partner at DWH LLC, a Grand Rapidsbased business consulting firm.

Koeman was one of a handful of people to advise the Elgersmas as they put their plan together.

“In the case of Al’s Excavating, it took two years to make changes in the company,” Koeman told MiBiz. “Typically, there is a mindset that the owners’ sons will just take over. In many middle-market companies, that’s not always feasible, and you don’t really know that until someone from the outside talks with people in the company. … These people can still be owners, but they don’t have to be managers.”

During the two-year analysis of Al’s Excavating — during which time DWH served as general manager of the company so it could continue operating during a busy construction period — the research showed that members of the Elgersma family from both the second and third Continued on next page

COPYRIGHT 2014 © MIBIZ. Print subscriptions are free to qualified individuals who are employed in West and Southwest Michigan. For further information about MiBiz, visit www.mibiz.com.

Your trusted partner and true training resource for over 80 years!

RELEVANT THEN - ESSENTIAL NOW!

For more info, call MiBiz today: 616-608-6170

PHOTO: KATY BATDORFF

A focus on serving others serves Waterbury well during four-decade legal career

SEPTEMBER 29, 2014 SERVING WESTERN MICHIGAN BUSINESS SINCE 1988

HELMINSKI PILOTS AUXO TO GROW COMPANIES WHILE MAINTAINING WHAT’S ‘SACRED’

By JESSICA YOUNG | MiBiz jyoung@mibiz.com

J

eff Helminski, co-founder and managing partner of Auxo Investment Partners in Grand Rapids, successfully leveraged his atypical experience and path into the world of private equity in multiple deals last year.

Helminski has a diverse professional background, including experience in manufacturing engineering, high-volume assembly operations management and real estate development. His firm, Auxo, now specializes in investing in and growing founder- and family-owned industrial, manufacturing and business services companies.

While he has managed dozens of transactions involving hundreds of millions of dollars during his career, Helminski believes last year’s transactions stand out as significant in establishing Auxo’s partnership-based model and the firm’s closely-aligned relationship between investors and fund managers.

With a fully subscribed fund, Helminski had the ability to invest in 10 to 15 companies in the first few years after building Auxo from scratch. Last year, Auxo

WINNER/INVESTOR: JEFF HELMINSKI

Co-Founder and Managing Partner, Auxo Investment Partners

Brief business description: Private equity firm that specializes in investing in and growing founder- and family-owned industrial, manufacturing and business services companies Personal information: Wife, Tammy Helminski, who’s a partner at Barnes & Thornburg LLP; two sons, Ryan, 7, and Dominic, 9 Academic degrees: MBA from the Stanford Graduate School of Business, master’s in Engineering from Purdue University, bachelor’s in mechanical engineering from Michigan Technological University Community involvement: Board membership in Spectrum Health Hospital Group, Broadway Grand Rapids, St. Thomas Educational Support Services

evaluated hundreds of opportunities and closed on several transactions, including deals for Prestige Stamping Inc. and Andrie LLC. “Both companies had a strong focus on people and culture with honest, hardworking, down-to-earth people throughout the organization from the shop floor to the C-suite,” said Helminski, the winner of the investor category in the 2019 MiBiz Dealmakers of the Year Awards. “The sellers of the businesses, both families, cared deeply about the legacy of the company, the employees and making sure they found a successor that was going to provide them with not only sustainable employment, but hopefully, greater opportunities going forward.”

The businesses found a perfect fit in values and approaches with Auxo, according to Helminski.

The October 2018 deal for Prestige Stamping was Auxo’s fifth acquisition in 13 months. The Michigan-based niche manufacturer of custom-engineered stampings for the fastener industry selected Auxo as the buyer even though the company was not the highest bidder, according to Helminski.

The reason: The seller was concerned about the future of the company’s employees and younger generations of the founding family that remained in the business, which aligned better with Auxo’s values and longer-term investment approach.

In February, Auxo acquired Andrie, a bulk marine transporter of specialty products including cement, liquid asphalt, light oil petroleum products, and calcium chloride throughout the Great Lakes. Andrie operates a fleet of 19 tugs and barges out of Muskegon, Helminski’s hometown.

The company, a mature industrial business and “market leader in the niche that they serve within their sector,” checked important boxes for Helminski.

The acquisition also followed the firm’s December 2017 deal to buy Metairie, La.based M/G Transport Services, an operator of inland barges. The two firms now operate as Auxo Marine, a newly formed platform company.

When Helminski launched Auxo with partners Jack Kolodny and Fred Tedori, the team made “a very conscious decision” to be based in Grand Rapids.

“Part of that was because the values of West Michigan align with our values, but also, to put us this close to a large number of the kinds of businesses that we’re interested in connecting with throughout the Great Lakes region,” Helminski said.

OCTOBER 14, 2019 VOL. 31 • NO. 26

Continued

Jeff Helminski, co-founder and managing partner, Auxo Investment Partners.

MIBIZ PHOTO: KATY BATDORFF

Being based in the same community as many family- or founder-owned businesses is important when the firm is communicating with a potential target, he added.

“My background is not the prototypical path to being in the private equity investing world,” Helminski said. “When I’m having a conversation with a family that is thinking about this transition that is often partly emotional and partly financial, I can talk to the family and say ‘here’s my story, here’s my background, this is the way I grew up in West Michigan.’ It makes a difference.”

Even so, specializing in the acquisition of family-owned businesses also comes with its own set of unique challenges and opportunities.

“What’s interesting is when (the businesses) have been so successful and there’s a big enough end market that they could try and grow into that they often just haven’t done yet,” he said. “In knowing that they need to do certain things differently or

professionalize certain aspects of the business that haven’t yet been professionalized, or haven’t been developed into a more scalable function within the company, that’s going to take change.”

Stabilizing long-standing, familyowned business cultures while at the same time growing profits is “one of the most difficult things” Auxo does.

“It’s a delicate balancing act between these two seemingly competing interests of stability and maintaining that which is great, with changing enough to accomplish the growth at a higher rate than what they’ve historically done,” Helminski said.

Pre-transaction, the firm researches not only a potential target’s financial viability but also its culture and talent.

“We have a roadmap to be able to see what things are sacred and we want to really protect within the business, and what things can be done better if the company is going to grow and scale up beyond the point that they’ve achieved today,” he said.

COPYRIGHT 2019 © MIBIZ

616.698.1167 | www.teagr.org 18

MARCH 1, 2021 / MiBiz

Visit www.mibiz.com

POLICY CHILD CARE

Continued from page 1

Tight labor markets and difficulty finding enough workers has been a persistent issue for many employers for years. The concerns have resurfaced of late — particularly in the manufacturing sector — as the economy recovered from the sharp downturn early in the pandemic.

The talent attraction and retention problem have elevated access to child care and early childhood development to a priority issue for the Grand Rapids Chamber, both in terms of the immediate labor force and in long-term workforce development through nurturing children who will become tomorrow’s workers.

MI Tri-Share Child Care came out of a coalition of business organizations, child care providers, advocacy groups and legislators that the Grand Rapids Chamber assembled in Kramer August 2019. After members increasingly raised the issue the last few years, the Grand Rapids Chamber considers the ability for people to access quality, affordable child care as tied to supporting and growing the region’s labor force.

If successful, the model could “be a really great tool that we have in our toolbox” Moore to elevate the labor pool, said Alexa Kramer, director of government affairs for the Grand Rapids Chamber.

“We’ve known for quite some time it’s a barrier to workforce development,” Kramer said. “We know that once parents have a safe, affordable, reliable facility for their kids that they can continue in the workforce, upskill themselves and better provide for their family.”

Budget priority The state backed the pilot with $1 million allocated in the current fiscal year. Gov. Gretchen Whitmer has proposed allocating another $2.2 million in the 2022 fiscal year for the MI Tri-Share program.

Whitmer has also proposed using $370 million to temporarily increase the income eligibility threshold to receive a state child care subsidy from 150 percent to 200 percent of the federal poverty level, temporarily waive out-of-pocket copays through the 2022 fiscal year, and pay for a 10 percent hourly pay increase for child care providers.

The appropriation would come from $78 million in one-time state money and $292 million in federal stimulus funding.

The Grand Rapids Chamber was “thrilled to see a substantial increased investment in our child care industry,” Kramer said.

In a town hall last week hosted by the Grand Rapids Chamber, Whitmer said the additional support for child care is needed to continue the state’s economic recovery. Some people have left the workforce out of need as their children were learning at home, and others “by no choice of their own” were displaced for a job, she said.

“The ability to ramp back up and to get people back to work is contingent on the ability to give those working parents the resources and opportunities that they need to have their kids get some early learning experiences and child care,” Whitmer said.

“We’ve been hearing from employers all across the Visit www.mibiz.com

“The future of work and the future of our economy is inextricably tied to the future of child care.

Employers need workers, workers need child care, and children need quality learning experiences. So we get a three-fer if we can get this right.”

—CHANA EDMOND-VERLEY CEO, Vibrant Futures

state about how important this is, especially in rural parts of the state.

“We think it is a really wise use of resources and would like to make it a long-term commitment, ultimately.”

Splitting the cost Under the MI Tri-Share pilot, three “facilitator hubs” — one each in rural, suburban and urban markets — will each receive $300,000. The hubs will serve as an intermediary between employers, families and child care providers, and provide program management.

Hubs will recruit employers to participate in the program that will provide child care assistance to their employees. Each hub must recruit three employers and assist in identifying and recruiting eligible employees who must earn more than 150 percent of the federal poverty level but no more than 250 percent. The Michigan Women’s Commission may grant waivers for higher income eligibility.

Eligible employees at participating companies would have their child care costs split between state funding, their employer, and their own onethird share.

A request for proposals describes MI Tri-Share Child Care as an innovative approach to increasing access to “high quality, affordable child care for working families” that can help employers “retain talent and remove one barrier to employment.”

Through MI Tri-Share, the Grand Rapids Chamber and other partners in the coalition hope to address affordability issues as well.

The coalition has sought to elevate child care providers “as businesses and as a vital part of our economy, while also trying to figure out some innovative solutions that were always there but were kind of highlighted during the pandemic,” Kramer said.

In Kent County, child care averages $210 per week, per child, according to Vibrant Futures. Child care on average in Muskegon County costs $180 to $185 a week per child.

State support for people who meet income criteria, as well as the financial backing of their employers, can ease the cost issue for some parents who face a tough question of whether the cost — especially for families with multiple children — outweighs having a second income. That consideration is even harder for families who need two incomes to get by.

“If there is a way to make it a little more accessible, we hope that in turn makes the rest of the number-crunching at home make a little bit more sense and gets them into the workforce,” Kramer said.

Funding for MI Tri-Share — if the pilot effort

STOCK PHOTO

proves the model and it continues — will remain subject to annual legislative approval, though Kramer believes business organizations can make the case for ongoing support.

Employers will also need to engage and offer that benefit to employees who have trouble affording child care. Edmond-Verley at Vibrant Futures believes the model will prove itself to participating employers.

“It’s going to be pretty straightforward to prove value, if employers think it out,” she said. “We know we’re having talent attraction challenges, so this market is ripe for an uptick by employers to think out of the box.”

“The ability to ramp back up and to get people back to work is contingent on the ability to give those working parents the resources and opportunities that they need to have their kids get some early learning experiences and child care.”

—GOV. GRETCHEN WHITMER

Disproportionate access The COVID-19 pandemic not only drove unemployment higher but also led to less participation in the workforce. A recent report from the U.S. Bureau of Labor Statistics showed the nation’s labor participation rate declined from 63 percent to 61 percent between January 2020 and January 2021. The participation rate among women 20 years or older declined in a year from 59.1 percent to 56.9 percent, or 2.3 million women.

The participation rate of men 20 years and older declined in the same period from 71.4 percent to 69.4 percent, or 1.8 million workers.

Those numbers reflect how child care is “still really being seen as a women’s responsibility,”

and the access issues affect women more than men, said Carla Moore, chief operations officer at United Methodist Community House Inc. in Grand Rapids.

Better addressing child care access and affordability can bring more women into the workforce and help to drive higher economic growth, said Moore, who sees a need for employers to offer child care assistance in their employee benefits.

“I’ve long said: Employers really need to step back and take a creative look at benefits, and that child care certainly needs to be one of them in some form,” Moore said. “It’s the business world that benefits from the labor and they need to look at ways to support that labor.”

United Methodist Community House provides an array of support services to families, many of whom are at risk or are experiencing homelessness. The organization recently partnered with Family Promise of Grand Rapids to enhance its Child Development Center that’s licensed to provide care to 100 children and presently operates at 50 percent capacity because of the pandemic.

A staff member at Family Promise serves as a family engagement specialist at United Methodist Community House, working with and mentoring families and children at the child care center.

“We understand that in order to really impact the success of children that you have to take a holistic approach and ensure that the family unit itself is stable. That’s going to be the best situation for a child to thrive,” Moore said. “It enhances not only the quality that we are able to provide to our families, but it’s a resource to our families so that they can begin to build and achieve goals that they have for themselves personally.”

United Methodist Community House has been focusing more on child care and expanded its infant and toddler program, Moore said.

Moore cites a 2017 needs assessment of the Grand Rapids market that indicated there were 2,400 children two years old and younger, and just 189 licensed child care slots open within United Methodist Community House’s service area.

“Child care is a huge need,” Moore said, “especially when you start talking about barriers to advancing economically.”

MiBiz / MARCH 1, 2021

19

Karen Kania and Peg McClure support nonprofits addressing basic needs.

In particular, they’re focused on safe housing and alleviating hunger. They believe that if a person can’t nourish their body, they can’t nourish their spirit.

As Karen and Peg considered what would happen to their assets after their lifetime, their professional advisor connected them to Grand Rapids Community Foundation.

After their passing, the McKania Fund for the Economically Disadvantaged will be established at the Community Foundation to continue their legacy of providing for people facing housing and food insecurity.

L E T U S H E L P YO U G E T S TA R T E D We’re here to help you understand your options and explore creative ways to leave your mark on the community and causes you love. Give us a call at 616.454.1751.

L E AV E YO U R M A R K

grfoundation.org

20

MARCH 1, 2021 / MiBiz

Visit www.mibiz.com

NONPROFIT ORGANIZATIONS

Do More Good merges with Nebraska nonprofit to offer ‘toolkit’ for organizations

Muskegon nonprofits launch new affordable housing program

By JOSH SPANNINGA | MiBiz jspanninga@mibiz.com

multi-family homes and a single-family home in the second phase. The first three homes will MUSKEGON — Two Muskegon be at 180 Houston Ave., 1141 nonprofits are partnering on a Jefferson St. and 1259 Sanford St. new affordable housing pilot City officials approved a program calling for six new development agreement and homes in the city just east of $250,000 in federal Community downtown.

Development Block Grant fundThe program will target resing for the project. Community idents working in sectors that enCompass will cover the have proven crucial during the remaining $320,000 to build and pandemic, such as manufacmarket the homes and be reimturing, food processing, health bursed first by proceeds from the care and retail. home sales, followed by the city.

Program advocates say it will allow families to own assets and live in the community where they work.

The program specifically targets workers with families and who earn less than $51,000 a year. “ The affordable George Mair housing piece of it … is a “I think if COVID has shown tactic that helps specifically with us anything, it’s that we need affordable home ownership. It those folks,” said Kimi George, helps build assets and helps community development folks be able to become strong catalyst for Muskegon-based and stable neighbors that are Community enCompass, working towards a more proswhich runs the new Affordable perous future,” George said.

Community Housing (EACH) EnCompass has partprogram. “In order for a neighnered with the Community borhood or a community to Foundation for Muskegon really be stable and diverse we County to help fund the projneed all kinds of people with ect, which includes a $30,000 all income levels, and we need down payment investment a variety of different housing pool as one way to help resichoices.” dents purchase homes.

T h e Mu s k e g o n C i t y “This will hopefully make Commission in December the homes that much more unanimously approved the affordable and when they move EACH pilot program, which in they are not house poor,” said will provide financing for Janelle Mair, vice president of affordable new homes just east community investment for the of downtown for residents who Community Foundation. “They make up to 80 percent of the still have the flexibility to pay area median income. for the other expenses that they The $570,000 project calls need moving forward.” for three single-family homes In addition to the down in the first phase and two payment assistance, the Visit www.mibiz.com

Attendees at a prior Do More Good annual conference.

COURTESY PHOTO

By JOSH SPANNINGA | MiBiz jspanninga@mibiz.com

G

rand Haven-based nonprofit Do More Good has merged with a Nebraska organization that provides educational resources to nonprofits across the U.S., a move that officials say will expand their reach and mission.

Appold

Geisert

Do More Good Executive Director Katie Appold will lead both organizations after merging with Lincoln, Neb.-based Nonprofit Hub, which helps nonprofits with marketing and educational and training resources.

“We plan to keep both brands active, but with Nonprofit Hub really Renderings of new homes planned near downfilling that role of being the toolbox town Muskegon as part of Community enCompass’ for nonprofits. They’re resource rich, Affordable Community Housing (EACH) program. they’re education driven,” Appold COURTESY RENDERINGS told MiBiz. “We see Do More Good as being kind of the flagship brand.

Community Foundation is also homeowners, but also the local We encourage nonprofits to say helping fund Program Related community and economy. they’re a Do More Good organizaInvestment (PRI) loans that eli“For one entity to take that tion or a Do More Good company.” gible residents can use to help hit — of course affordable Since launching in 2019, Do cover the purchase. housing wouldn’t be sustainMore Good has partnered with “We use (that investment) able or attractive to anybody,” Nonprofit Hub on to support efforts in the comGeorge said. “But va r i ou s p ro j e c t s, munity that also further our when you spread including last year’s strategic plan but where bank that across the NONPROFITS Giving Tuesday camfinancing doesn’t make sense,” board and you NEWS paign, a global effort Mair said, referring to residents have partners — Sponsored by: to drive donations who might not qualify for a trawho really see the GRAND RAPIDS on the Tuesday after ditional bank loan or would face value of affordCOMMUNITY Thanksgiving. A sort prohibitively high interest rates. able housing and FOUNDATION of comraderie formed Once loan recipients pay it everybody’s willduring the collaboraback, the funds are recycled and ing to take a piece tion, and it quickly became appardirected toward more projects. of that and see it not as a charent that both brands were able to do George maintains that the ity, but an investment in the more together than they were able program’s financing options will community — that’s a powerto alone, Appold said. positively affect not just the new ful thing.”

“We’re doing so many similar things,” Appold said. “They needed leadership, we needed the infrastructure and audience reach that they had established. So it was kind of a perfect marriage.”

Do More Good also brings to the table its membership program, which over the past two years has built a base that includes Junior Achievement, Degagé and Laugh Fest. Various membership levels for businesses or individuals help with networking and curated content. Membership fees go into a shared pool that helps drive content and bring in guest speakers.

“We started that with the vision that every organization could put in a little tiny bit and together, cumulatively, we’d have a huge impact,” Appold said.

Nonprof it Hub has built a growing online nonprofit community since 2011, said Jordan Geisert, a former Nonprofit Hub graphic designer who w ill be assistant executive director under the merger.

“Our website has become a onestop shop for nonprofits to find resources, and most of the content that we offer is free,” Geisert said.

The content includes blog posts, a podcast, webinars and downloadable guides for improving nonprofit operations.

However, a key component of the merger will be combining the two organizations’ popular annual conferences, officials say. Do More Good holds its annual conference each fall in Grand Rapids while Nonprofit Hub’s Cause Camp is held each spring, which Forbes has called a “must-attend nonprofit conference.” The events will combine under the Cause Camp name going forward.

“I think it’s going to be so incredible because we have double the manpower now,” Geisert said. “And we can really get behind our mission and start to really make a difference.”

MiBiz / MARCH 1, 2021

21

Michigan’s top energy regulator discusses grid reliability after Texas power crisis A Q&A with Michigan Public Service Commission Chairman Dan Scripps

T

he polar vortex of 2019 sent sustained extreme cold weather throughout the Great Lakes states, and in Michigan led to a strained electric and gas system. At the time, newly elected Gov. Gretchen Whitmer declared a state of emergency and launched a formal inquiry. But the situation pales in comparison to what happened in Texas two weeks ago as cold weather caused outages for millions and rolling blackouts as energy demand far exceeded supply. Although Michigan’s grid is far more prepared for extreme weather conditions than Texas’ proved to be, there’s still room to improve the gas and electricity delivery system here, and several ongoing statewide efforts aim to do just that. Michigan Public Service Commission Chairman Dan Scripps recently discussed Michigan’s energy infrastructure with MiBiz, as well as a looming threat to solar energy jobs here.

How likely is it for a scenario that just played out in Texas and Great Plains states to happen in Michigan?

It’s significantly less likely for a couple of reasons. One, the market structure looks different in Texas. It’s designed to rely entirely on price signals to ensure there will always be enough capacity available. Two, Michigan’s 2016 energy reforms require all providers, utilities and alternative suppliers to demonstrate they have adequate capacity for four years into the future. Third is the integrated resource planning process that requires utilities to develop five-, 10- and 15-year plans to meet customer needs. The last piece is: We’re just much more experienced in winter weather. We’ve had challenges — the polar vortex in 2019 was an eye opener, but it highlighted some vulnerabilities.

What work is happening to improve grid reliability in Michigan?

On the electric side, we’re looking at supply and demand, such as demand response and making sure customers are willing to be interruptible, which is giving greater confidence about when those will be available when needed. For distribution outages in particular, we have approved a fair amount of spending on tree trimming for utilities. We’re also being strategic in grid hardening in an attempt to better align utility business interests with customers and greater reliability.

On the gas side, it’s about redundancy. When gas outages happen, they’re very difficult. If you have something like that, it can really strain the system and be hard to turn around quickly.

Can Michigan expect to see natural gas prices spike like other states have seen in the past week?

We saw some increases, certainly, but even in comparison to other parts of the Midwest, they weren’t as steep. We rely on gas from Texas and the Gulf Coast, but we also get a fair amount from Appalachia. Those were less impacted. We’re keeping a pretty close eye on how this plays out.

Choice customers on the gas and electric side may have greater exposure to those price increases.

Is what happened in Texas and other states over the past few weeks an argument against deregulated energy markets?

I think it shows there are tradeoffs in any system. Candidly, Texas customers have benefited from cheaper electricity prices for a long, long time. The question they’re asking themselves today is: Given the price spikes and the unavailability of resources in the worst possible time, was it worth it? There’s a strong argument for the regulated approach, but it also means we may have better insulation against what we saw in Texas but may end up paying more for it. It’s for policymakers in Michigan, Texas and everywhere else to think about the inherent tradeoffs in any market structure.

Former Chairwoman Sally Talberg left the MPSC at the end of 2020 to join the board of ERCOT, the grid operator in Texas. She chaired ERCOT’s board for about a week before resigning in the aftermath of the crisis there. Do you have any comments on her resignation?

I think this is a sad day for folks who believe in good regulation and who care about what happened in Texas and what the fallout is. Sally’s experience was in some ways uniquely well-suited in helping to address this on a going-forward basis. I’m disappointed she won’t have that chance.

She’s a person of absolute integrity and selflessness.

You testified recently on proposed state legislation that would eliminate caps on customer participation in utility rooftop solar programs. How real of a threat to solar companies are those caps?

I think it’s a real threat. Based on experience in other states where they’ve hit these similar caps and what happens, the market just goes away. It’s utility by utility here, but if all of a sudden there’s zero market here, it’s really tough to run a business.

Interview conducted and condensed by Andy Balaskovitz. Courtesy photo.

22

MARCH 1, 2021 / MiBiz

IN THE NEWS M&A

n Traverse City-based High Street Insurance Partners acquired Badge Agency Inc., a Woodbury, N.Y.-based full-service insurance agency that writes business, automobile, homeowners, life and health policies with an expertise in providing coverage for private schools, manufacturing, technology, and real estate clients. Terms of the deal were not disclosed. Formed in 2018 by Detroit-based private equity firm Huron Capital Partners LLC, High Street Insurance Partners has now completed 19 acquisitions and continues to pursue add-on deals in the insurance agency market. n C2Dx Inc., a Kalamazoo-based medical device company that invests in existing lines of products, has acquired the T/Pump product line from Kalamazoo-based Stryker Corp., according to a statement. The T/Pump product provides localized temperature therapy for pain relief and patient comfort. The line is C2Dx’s second acquisition from Stryker. Terms of the deal were not disclosed. n International food and beverage conglomerate Nestlé SA has reached an agreement to sell its regional spring water brands, purified water business and beverage delivery service in the United States and Canada for $4.3 billion to New Yorkbased private equity firm One Rock Capital Partners. The deal will affect Nestlé’s West Michigan operations. Its Ice Mountain Spring Water division that pumps water from a well near Evart, operates a bottling facility in Stanwood and employs 280 people will be included in the portfolio of brands in the deal. One Rock is partnering on the purchase with investment firm Metropoulos & Co., which is led by billionaire and former Pabst Brewing Co. owner Charles Metropoulous. n Lansing-based AF Group, the parent company of Accident Fund Insurance, acquired Fort Lauderdale, Fla.-based DecisionUR, a cloud-based service that automates and streamlines parts of the workers’ compensation claim review process.

AF Group’s CompWest Insurance brand previously implemented DecisionUR in California, according to a statement. Terms of the deal were not disclosed. n A wholly owned subsidiary of Grand Rapidsbased wood products manufacturer UFP Industries Inc. (Nasdaq: UFPI) signed an agreement to purchase the assets of a South Carolina-based wood treating operation. In the deal, UFP’s Barstow, Fla.-based Sunbelt Forest Products Corp. will acquire Greer, S.C.-based Spartanburg Forest Products for $17 million. The deal includes Spartanburg’s property, plants and equipment. The company has a workforce of 300 employees. Spartanburg and its affiliates operate four wood treating facilities and one manufacturing facility that are primarily concentrated in the Mid-Atlantic region, combining for $543 million in sales for 2020.

The companies expect the deal to close by the end of the first quarter.

EXPANSION

n Grand Rapids-based Gordon Food Service Inc. plans to open a grocery store in a former OfficeMax store in Memphis, Tenn., according to a report in the Memphis Commercial Appeal. The company will present its plans to a local body during a March 24 meeting. The store would be the first for GFS in the city and its fifth in Tennessee.

MANUFACTURING

n Holland-based office furniture maker Trendway Corp. has added Hamilton, Ontario-based Green River Furniture and Montreal-based Major Design Furniture to its sales team as inde-

pendent rep groups. Green River Furniture covers the greater Toronto region in addition to southwest and northern Ontario. The company has been around for more than two decades and primarily serves the corporate, education, health care and hospitality sectors. Major Design Furniture covers the Montreal and Ottawa markets. The two new partnerships come six months after Trendway added Alberta-based Flipside Corporate Furniture to its sales team. Trendway is a division of Illinoisbased office equipment supplier Fellowes Brands.

HEALTH CARE

n Spectrum Health President and CEO Tina Freese Decker was named one of the top 25 women in health care by Modern Healthcare.

Freese Decker, who became Spectrum Health’s chief executive in September 2018, was named to Modern Healthcare’s Top 25 Women Leaders in Healthcare list for the second straight year. Modern Healthcare noted that Freese Decker “mapped out innovative strategies to confront the COVID-19 pandemic, including working with local manufacturers to ramp up production of personal protective equipment,” and that she “led an effort to get targeted messages to different populations, such as interviews between physicians and Black and Latino community leaders about the health impact of COVID-19.” n Spectrum Health now provides cardiovascular care in South Haven. Spectrum Health cardiologist Dr. Michael Dickinson last month began office hours one day a week for cardiac care and treating advanced heart failure patients at Holland Hospital’s medical office in South Haven. Dickinson has been Spectrum Health’s medical director for heart failure programs since 2007. n Bronson Healthcare recently began construction on the Bronson Wound Center & Hyperbaric Medicine and Bronson Surgical Services facility on the system’s campus in South Haven.

Both medical services have outgrown their space at the hospital and will move to their own facility in the fall, next door to the new Bronson South Haven Hospital that is nearing completion and should open in April. Chicago-based Matthei & Colin Associates LLC designed the $2.4 million facility and Holland-based EV Construction is handling construction. Bronson also used both firms for the new hospital. n Three West Michigan family physicians — Dr. Susan Baker and Dr. Bruce Baker in Grand Rapids and Dr. Patricia Roy in Muskegon — joined the MDVIP primary care network. The addition of the three physicians in Okemos and Royal Oak grew the Boca Raton, Fla.-based MDVIP’s network footprint in Michigan to more than 30 primary care physicians.

HIGHER ED

n Albion College formed a partnership with Western Michigan University Homer Stryker M.D. School of Medicine to offer students an eight-year educational program. Students can receive a Bachelor of Arts from Albion College and a Doctor of Medicine from WMed with acceptance into both degree programs directly from high school. The Albion College and WMed Joint Admissions Program will admit “exceptionally qualified” high school seniors into both at the same time. The partnership also established a preferred relationship that allows all qualified Albion students to participate in the WMedStart early-decision program.

CORRECTION

A brief about Consumers Credit Union expanding to Standale that ran in the Feb. 15 print edition of MiBiz included the logo for a different financial institution by the same name.

Visit www.mibiz.com

Great businesses

...need great websites.

For more information about our web development, digital marketing and SEO services, give us a call at 616-457-0300 or e-mail jesper@runengine.com.

Affordable, common sense websites for businesses.

<engine/> | Grand Rapids, MI | runengine.com Visit www.mibiz.com

MiBiz / MARCH 1, 2021

23

Where today’s transactions meet tomorrow’s goals Proven advice and solutions for moving ahead.

Our 2020 Capital Markets clients can tell you: Successfully navigating change and challenges takes experience and know-how. Now, more than ever, experience matters. Let us put our deep industry expertise and sophisticated banking solutions to work for your company to help you reach your goals and build your future.

Discover more at 53.com/ExperienceMatters

Lead Arranger & Administrative Agent

Joint Book-Running Manager*

Joint Bookrunner*

Active Bookrunner*

Lead Arranger & Administrative Agent

$275,000,000

$500,000,000

$3,320,000,000

$450,000,000

$200,000,000

Senior Credit Facility

Senior Unsecured Notes Offering

Senior Secured Notes Offering

Senior Unsecured Notes Offering

Senior Credit Facilities

Entertainment, Lodging & Leisure

Energy, Power & Utilities

Entertainment, Lodging & Leisure

National Commercial Real Estate

Renewable Energy

Planet Fitness Midwest Joint Bookrunner*

Bookrunner*

Active Bookrunner*

Lead Arranger & Administrative Agent

$6,000,000,000

$982,100,000

$1,250,000,000

$128,000,000

$1,250,000,000

Senior Secured Notes Offering

Follow-On Offering

Floating Rate Notes Offering

Senior Credit Facilities

Senior Unsecured Notes Offering

Diversified Industries

Entertainment, Lodging & Leisure

Energy, Power & Utilities

Consumer & Retail

Energy, Power & Utilities

Joint Lead Arranger & Joint Bookrunner

Joint Lead Arranger & Joint Bookrunner

Administrative Agent, Joint Lead Arranger & Joint Bookrunner

Joint Book-Running Manager*

Joint Book-Running Manager*

$3,215,000,000 Senior Bridge Facility

Senior Secured Bridge Facility

Joint Book-Running Manager*

Joint Book-Running Manager*

Senior Unsecured Notes

Senior Secured Notes

$90,000,000

$450,000,000

$1,200,000,000

Senior Secured Credit Facility

Senior Unsecured Notes Offering

Senior Unsecured Notes Offering

Healthcare

Joint Book-Running Manager*

Healthcare

Technology, Media & Telecom

has been acquired by

sold a 294 MWDC utility-scale solar project to

$2,825,000,000

Diversified Industries

$625,000,000 $625,000,000 Consumer & Retail

a portfolio company of

has been recapitalized by

has completed a recapitalization

has been acquired by

M&A Advisory*

M&A Advisory*

M&A Advisory*

Renewable Energy

Tech-Enabled Business Services

Healthcare

a Leading Private Equity Buyer M&A Advisory*

Consumer & Retail

M&A Advisory*

Industrials: Transportation & Logistics

*Transaction completed by Fifth Third Securities.

Fifth Third Capital Markets is the marketing name under which Fifth Third Bank, National Association, and its subsidiary, Fifth Third Securities, Inc., provide certain securities and investment banking products and services. Fifth Third Capital Markets offers investment banking††, debt capital markets†, bond capital markets†, equity capital markets††, financial risk management†, and fixed income sales and trading††. Fifth Third Bank, National Association, provides access to investments and investment services through various subsidiaries, including Fifth Third Securities. Coker Capital Advisors is a division of Fifth Third Securities. Fifth Third Securities is the trade name used

by Fifth Third Securities, Inc., member FINRA / SIPC, a registered broker-dealer and registered investment advisor registered with the U.S. Securities and Exchange Commission (SEC). Registration does not imply a certain level of skill or training.

24

MARCH 1, 2021 / MiBiz

Securities and investments offered through Fifth Third Securities, Inc.: Are Not FDIC Insured | Offer No Bank Guarantee | May Lose Value | Are not Insured by any Federal Government Agency | Are Not a Deposit †Services and activities offered through Fifth Third Bank, National Association. ††Services and activities offered through Fifth Third Securities, Inc. Deposit and credit products offered by Fifth Third Bank, National Association. Member FDIC. Equal Housing Lender.

Credit products are subject to credit approval and mutually acceptable documentation.

Visit www.mibiz.com