17 minute read
2020 results
2020 Economic Impact
ADVISORY BOARD
Advertisement
Rachelle Jamerson-Holmes, Board Chair, Owner, Thee Matriarch Bed and Breakfast Jim Rohrer, Vice-Chair, Senior Credit Team Lead, TD Bank
April Simpkins, President, HRS&S Consulting LLC Ashely Teasdel, Director of Business Services Division, SC Department of Commerce Courtney T. R. Furman, President, Furman Architects Cynthia Blair, Blair Cato Pickren Casterline, LLC Douglas Lineberry, Burr & Forman Frank Knapp, President & CEO, SC Small Business Chamber Gary Breit, Principal, Breit Ideas, LLC Jason Premo, President & CEO, Premo Ventures JoLee Gudmundson, President & Owner, Gudmundson Consulting Neil Rashley, Senior Vice President and Counsel, SC Bankers Association Ray Reich, Downtown Development Manager, City of Florence R. Cal Bruner Jr., Realtor, Century 21 The Moore Group Steve Bailey, CEO & Chairman, Menus Refreshment Service Honorary Member, Gregg White, District Director, Small Business Administration
Paul Featheringill joins sc sbdc network
UofSC Region Director In October, Paul Featheringill joined the SC SBDC as Director of the UofSC Region—which covers 13 counties and comprises eight area centers and one satellite location. Featheringill is located in the North Charleston office.
Like all SC SBDC network professionals, Featheringill will draw upon his breadth and depth of experience to strengthen the SBDC network and enrich the quality of its services. Featheringill began his career in economic development and then applied his expertise as a business loan officer for the City of Columbia and later Charleston Local Development Corporation, where he was responsible for approving over $3 million in loans in a single year.
Featheringill says that he is excited to join the SC SBDC team. “The UofSC Region covers some of the most dynamic areas of the state and I look forward to continuing to build upon the great work this group has been doing for many years.”
Paul Featheringill
UofSC Region Director
Millicent Bolden, CEO Yvette’s Kitchen, LLC
Millicent Bolden increased her sales by 50% while attending the class
pathways to entrepreneurship
Building Strong Foundations for Growth
Since 2013, The Minority Business Accelerator (MBA) Program of the Greenville Chamber has been working to increase the overall capacity of locally-based, high-potential Minority Business Enterprises (MBEs). As an advocate of the MBA program for several years, the SC SBDC has provided coaching and mentoring to cohort members.
In 2018, SC SBDC State Director Michele Abraham and SC SBDC Greenville Area Manager Earl Gregorich met with MBA Program Administrator Dr. Nika White to design a separate, customized curriculum enabling socially and economically disadvantaged small businesses to qualify for the MBA Program.
Now known as Entrepreneurial Pathways (EP), this educational series covers topics such as marketing, financial management, funding preparation, business planning and regulatory requirements. SC SBDC advisors enrich the cohort-style learning experience by providing participants one-on-one consultations between sessions.
The first EP cohort graduated in 2019, and since then several have gone on to join the MBA program. In addition, the SC SBDC provides graduates with ongoing assistance to support their continued, long-term growth.
Orangeburg Area SBDC named center of the year
The Orangeburg Area Small Business Development Center was named the SBA’s 2020 SBDC Center of Excellence and Innovation by SBA SC District Director Gregg White at the annual awards ceremony. The center won the award for both SC and the Southeast region, which comprises eight states.
“Our goal is to honor and recognize our winners for the jobs and opportunities they continue to create for the South Carolina economy,” said White.
According to SC State University Region Director Jim Johnson, “The award reflects the significance of the SBDC program in the rural regions of South Carolina, including the Orangeburg community.”
In 2019, this five-person team helped 303 clients start 33 new businesses, obtain $1.2 million in financing and create/retain 135 jobs. The center also conducted 23 training sessions attended by more than 343 people.
Additional SC SBDC Annual Award Winners:
SC SBDC Annual Awards Ceremony
At the annual awards ceremony, Greenwood Area Manager and Business Consultant Ben Calhoun was named the 2020 SC SBDC State Star. Calhoun joined the network in 2018, bringing with him over 22 years of professional experience in consumer finance, management and consulting. As a former small business owner he understands the many challenges entrepreneurs face each day and enjoys serving as their advocate.
“Calhoun was personally committed to helping small businesses in his service area recover from the devastation of the pandemic,” said SC SBDC State Director Michele Abraham. “As a result, he single-handedly helped business owners obtain almost $18 million in grants and loans and create/save over 1,800 jobs.”
Individual Achievement Award
Ben Smith Clemson Area SBDC
Leadership Award
Jim Johnson Orangeburg Area SBDC
Team Spirit Award
Allen Brown Columbia Area SBDC
Rising Star Award
Jim Wetzel Charleston Area SBDC
Partner of Distinction Award
William Furman S.C. District SBA Office
MVP Award Winners: Clemson Region: Andrea Galehouse UofSC Region: Carolyn Strange Winthrop Region: Janet Graham SC State Region: Gary Robinson Lead Center: Sarah Hines
SC SBDC Launches Student Consultant Program 2020 sc sbdc client demographics
In collaboration with the Wilber O. and Ann Powers College of Business at Clemson University, the Clemson Region SBDC launched a student research center that employs business school interns who assist clients with their research needs. “This experiential learning opportunity enables us to provide no-fee, in-depth market research to small businesses that otherwise would have to pay a significant sum for comparable services,” said Ezgi (Izzy) Ferrand, student center coordinator and lead market research specialist for the Clemson Region.
According to Clemson Region Director Jill Kesler McCollum, these students not only are accelerating the pace at which her team can provide clients professional-caliber competitive intelligence reports, marketing strategies and SWOT analyses, but they also enable consultants to better invest the time they spend advising clients.
11,926 total clients counseled
Consulting by Business Type
Nascent
Established
30%
70%
Business Ownership Genders
Male
Female
Male/Female
17% Veteran-Owned 46% 12%
42%
Ethnic Background
Black or African American
White
.8% 2.5% .3%
Asian
American Indian or Alaskan Indian
Native Hawaiian or Pacific Islander
40.7%
55.7%
In 2016, Ferrante “Té” Johnson created his restaurant services holding company, The Topaz Group, and has received four consecutive years of guidance from business consultant Ben Smith with the Clemson Area SBDC. With Smith’s help, Johnson has generated over two million dollars in capital funding and used these funds to expand his restaurant management and consulting services as well as invest in the equity of existing restaurants.
Johnson’s most recent project was launching Amici Café Easley. The Madison, GA-based franchise boasts quality food and low prices, and Johnson identified overlap between these features and his previous experiences in managing pizza restaurant franchises. Seeing an opportunity to expand his business and take full ownership of the restaurant, Johnson once again turned to his SC SBDC consultant.
Industry: Restaurant Franchising, Consulting and Management Challenge: The client sought to expand his restaurant services business by launching a new franchise that he would own in full.
Approach: The SBDC helped the client develop a business plan with emphasis on financial projections, conducting a feasibility assessment and writing a loan proposal.
Results
• New Business Started Ben Smith’s extensive experience with assessing • Capital Formation: $1,041,630 the feasibility of expansion projects made him • Jobs Created: 2 full-time, 34 part-time the ideal consultant. In addition to conducting a • Jobs Retained: 3 full-time thorough feasibility assessment, Smith helped Johnson prepare a business plan with a detailed model of the franchise’s financial projections and a loan proposal. Smith’s associate Dr. “Izzy” Ferrand also assisted the client by conducting market research and analyzing industry trends.
“Té is a family-first man of character who approaches business with steady intention,” said Smith. “He has a bigger purpose, and it shows in his willingness to lean on others for guidance.”
By February of 2020, Johnson had received $1,041,630 in loans and local facility improvement grants. Despite the pandemic, Amici Café Easley has performed well and Johnson forecasts that his restaurant will exceed its business goals in 2021. His optimistic outlook parallels his gratitude for the SBDC.
Services Provided:
> Business Plan Preparation > Financial Projections > Feasibility Analysis > Loan Application > Business Expansion
“I find them a reliable source of guidance, worthy of my trust, and accessible,” said Johnson. “I have not made an expansion decision without their guidance, nor do I intend to.”
“I have used the SC SBDC as my go-to resource for guidance in growing my business over the past 4+ years. In addition, I have referred two close associates (one expanding his business and the other with a start-up project) to Ben for assistance with their business development projects and both were beyond appreciative.”
Té Johnson, Owner The Topaz Group, LLC: Amici Café Easley
Clemson Area SBDC Client - amici-cafe.com/easley/
the topaz group, llc: amici café easley
craft flight training
Charleston Area SBDC Client - flycraftchs.com
Business is soaring
Since purchasing Chucktown Flight Training (dba CRAFT Flight Training) in 2019, co-owners Jay and Amanda Aldea have seen their business soar. When they first purchased Chucktown, it was a failing flight school with two planes, three contractors and no employees. Today, Charleston Regional Accelerated Flight Training (CRAFT) Industry: Flight Training has 10 planes, nine contractors, eight employees and a second location in Summerville. Challenge: Client needed information about running a successful pilot training In less than a year, the Aldea’s and their partner, business, improving cash flow, hiring employees and raising capital. Barry Emerson, have transformed a business on the brink of bankruptcy into a thriving flight Approach: Constultant reviewed financial training school by hiring instructors as full-time statements, conducted a business employees rather than independent contractors valuation, gave recommendations for and offering a state-of-the-art flight simulator negotiating a partnership agreement and helped client prepare loan applications. where students can confidently hone their technical skills before entering an aircraft. Results • EIDL Loan: $77,000 Without previous experience as business • Annual Sales Increase: $592,300 owners, the Aldea’s attribute much of CRAFT’s • Jobs Created: 5 full-time, 3 part-time success to the assistance of Charleston Area business consultant Tom Lauria. Lauria offered the Aldea’s a basic understanding of how to run a successful, financially stable business, and he provided access to webinars, online courses and other helpful resources. When business began to stall due to restrictions related to the pandemic, Lauria helped the Aldea’s apply for and receive a $77,000 EIDL loan. After being closed for six consecutive weeks, CRAFT used this financial relief to sustain the business.
“Tom made himself available to answer any questions about what the money could be used for,” Amanda Aldea said. “He always has my back and makes a point to look out for us.”
Services Provided:
> Loan Application Preparation Despite the pandemic, Amanda and Jay Aldea are cautiously > Strategic Planning optimistic for 2021. With the largest fleet of Diamond Aircraft > Access to Resources in South Carolina, CRAFT is being contracted by Charleston Southern University to offer accredited classroom training > Fiscal Management and flight instruction at both of its locations. CRAFT is in the > Training Events process of securing its Part 141 certification, which will help assure a seamless training program with the university, and as a veteran himself, Jay also aspires to eventually enrolling new students through the GI Bill.
“The SBDC has been invaluable to the growth of our business. Tom Lauria’s insights helped us build a roadmap to achieve the success we’ve had so far, despite the pandemic. Our relationship with the SBDC will continue to be a strategic resource
as we move forward.” Jay Aldea, Co-Owner CRAFT Flight Training
M.G. Suber & Associates, LLC (MGS, LLC) is a Columbia, SC-based international defense procurement company that has served as a respected trading partner with icons of the global defense and law-enforcement industries for two decades.
At the company’s helm is CEO Robert Suber, an international business executive with over 30 years of progressive management, operations, business development, sales, banking and contracting experience. Fluent in multiple languages, Suber helped build a multimillion-dollar company that fulfills government contracts and exports to over 20 countries. With his headquarters team of six employees, Suber has consistently generated $2.3 million in annual revenues.
Suber felt that a line of credit to enhance cash flow in international operations would assist in company growth. In May, Suber contacted the SC SBDC and was introduced to senior business consultant Beth Smith. With her extensive knowledge of exporting regulations, a cultivated network of industry experts and experience in Central and South American distribution, Smith was wellpositioned to help Suber obtain the line of credit MGS, LLC needed.
“After learning about Robert’s business challenges and aspirations, I suggested he take advantage of the SBA’s Export Working Capital Program,” said Smith. “The program is suited for small exporting businesses like his that are often denied working capital advances from conventional U.S. banks.”
Smith’s first order of business was helping the Suber team prepare an export business plan. “Identifying countries for export, along with a list of the products sold in each market, helped us justify why the Export Working Capital Line of Credit was so necessary,” Smith said. “The company’s next challenge was completing the key document of the loan package—SBA Form 84-1.”
In October, Regions Bank approved a $5 million loan for MGS, LLC. “With this line of credit, Robert can cover the typical 45-day gap between when he purchases goods and when he receives payments from customers,” said Smith.
According to Smith, MGS, LLC has a very promising future. “Robert recently established MGS International Ltd in the United Kingdom,” she said. “The additional revenue will enable his company to continue growing its global capabilities.”
Industry: International Defense Procurement Challenge: Client needed to obtain a line of credit from the SBA’s Export Working Capital Program (EWCP) to enhance his company’s cash flow
Approach: The consultant explained the complexities of the EWCP to the client and helped him complete the application.
Results:
• Capital Formation (SBA Loan): $5 million • Total Annual Sales: $3.4 million • Jobs Retained: 7 full-time
Services Provided:
> EWCP Loan Application > Cash Flow Management > Exporting > Growth Strategies
“Our team is very grateful for the assistance that consultant
Beth Smith provided.” Robert Suber, CEO M. G. Suber & Associates, LLC
Columbia Area SBDC Client - mgsuber.com
M.G. suber & associates, llc
MICRO MACHINE AND FABRICATION
Greenwood Area SBDC Client - www.facebook.com/Micromachinegreenwood/
a gutsy move that paid off
For over 25 years Micro Machine in Greenwood has provided customized, small-batched machining services to larger manufacturers in a cost-effective, timely and skillful manner. In 2019, David Eisenreich had never started, owned or run a business; but when the former owner of Micro Machine announced that he was selling Industry: Machine Shop, Metal Fabrication the company, Eisenreich saw a chance to do all three at once. Challenge: The client needed help with assessing an opportunity to purchase a Well aware of the challenges facing him, machine shop and obtaining a loan. Eisenreich knew to proceed with caution. Approach: Consultant helped prepare a business plan, financial projections and a Initially, his two main objectives were assessing the feasibility of buying the shop and financing project summary; also advised on how to the purchase itself. When Eisenreich’s first transfer business ownership. attempt at obtaining a commercial loan failed, Results: • New Business Started the local lender—who was familiar with the SC SBDC—referred Eisenreich to Greenwood • Capital Formation: $215,000 Area SBDC Manager and Business Consultant • Annual Sales Increase: $65,300 Ben Calhoun. • Jobs Created: 3 full-time, 1 part-time
Over the course of six months, Calhoun helped his client complete a business plan, compile financial projections, prepare a convincing project summary and successfully navigate the loan application process. He also used his personal connections and familiarity with special lending programs to help Eisenreich secure loans from the Upper Savannah Council of Governments Revolving Loan Fund and the Appalachian Development Corporation, each worth $107,500. Eisenreich used the combined $215,000 to help purchase Micro Machine in May 2020—a gutsy move that proved well-founded. In the midst of a global pandemic that destabilized the economy and confounded industry titans, neophyte businessman Eisenreich took the helm of his first company, which he already plans to expand. Calhoun believes his client is destined to prosper. “Dave has the determination and persistence it takes to be a successful entrepreneur,” he said. Eisenreich credits Calhoun and the SBDC for keeping him positive during the most challenging times. “Ben is amazing,” he said. “He knows so much and worked hard on my behalf. He’s got great contacts that he uses to help you.”
Services Provided:
> Business Plan Development > Financial Projections > Access to Resources > Loan Application Preparation > Strategic Planning
“Dave is the perfect example of the determination and persistence it takes to be a successful entrepreneur. From the start, he was willing to work hard and learn the new skills necessary to better position his business for success.”
Ben Calhoun, Area Manager and Business Consultant Greenwood Area SBDC
a new definition for “giving back”
Before 2016, Kenneth Smith was the successful proprietor of DeVine Records Management. Then disaster struck when Hurricane Matthew ravaged the Dillon community, including the home of Smith’s mother. As locals struggled to rebuild, Smith realized that the impoverished areas were being overlooked, and outside aid was not forthcoming. So, Smith took it upon himself Industry: Disaster Relief and Recovery to bring relief and recovery to the region, Challenge: Client wanted to expand his channeling his entrepreneurial skills to create business, so he requested SC SBDC help the Dillon County Long Term Recovery Group with obtaining capital to buy a warehouse. (LTRG). Approach: Consultant assisted in developing a business plan, preparing a pro forma financial projection statement and assembling a loan package. With ‘$100 and an idea,’ Smith turned his passion for helping others into a business that now holds over $19 million in inventory. LTRG offers Results: • Capital Formation: $595,000 • Jobs Created: 3 full-time more than disaster relief; it is a convenient onestop-shop offering an array of support services to the homeless, elderly and disabled. Smith’s • Jobs Retained: 3 full-time most recent endeavor has been acquiring the capital needed to purchase a larger building. Facing the daunting process of preparing a loan application and then finding the most receptive lenders, Smith contacted the Florence Area SBDC, where consultant Eddie Watson eagerly offered his assistance. Services Provided: Watson not only helped Smith prepare financial projections, a business plan and loan package, but he also set up a meeting between Smith and the SC Community Loan Fund. > Business Plan Development > Financial Projections > Loan Application Preparation The fund believed in both Watson and his client’s vision > Business Expansion and offered Smith a $595,000 loan—more money than he requested. Smith said that while a lot of people were telling him ‘no,’ the SBDC told him ‘yes,’ and that Eddie went above and beyond to make a real difference. Smith has since obtained full ownership of his building and hopes to turn one of his warehouses into a multi-faceted facility containing an emergency management center. With numerous partnerships across the state, he continually seeks opportunities to grow his business. “My gift is advocating for those who cannot advocate for themselves,” he
“The SBDC went above and beyond. Eddie calls me on his own time to follow said. “I’m a new but effective CEO with passion for the people.”
up, he gives me pointers and advice, and he is patient. A lot of people in the community said ‘no’ when I asked for help, but the SBDC said ‘yes.’ They have made a real difference.”
Kenneth Smith, CEO Dillon County Long Term Recovery Group
Florence Area SBDC Client - dilloncountyltrg.org
dillon county long term recovery group
