Business Lexington December 2020

IN THIS ISSUE

BusinessLexington DECEMBER 2020 | VOL. 16 ISSUE 12

A LEGACY OF LEADERSHIP

BusinessBriefs: AppHarvest breaks ground on second high-tech greenhouse PAGE 4

The Leadership Lexington program, which graduated its first class 40 years ago, has a history of positively impacting careers and the community PAGE 12

Seeking Creative Solutions: Local artists and makers have become crafty in marketing their wares and connecting with customers PAGE 14

Foster Ockerman Jr., who was a member of the first Leadership Lexington class in 197980, speaks to current participants about Lexington’s history.

PHOTO BY MARK MAHAN

BizLists Advertising & Creative Agencies | PAGE 18 Staffing Agencies | PAGE 19

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Q&A with Mike Halligan: The CEO of God’s Pantry Food Bank on meeting growing needs throughout the community PAGE 20

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BusinessLexington Chuck Creacy PUBLISHER

chuck@bizlex.com Chris Eddie PUBLISHER

chris@bizlex.com Tom Wilmes EDITOR

tomw@bizlex.com Drew Purcell ART DIRECTOR

drew@bizlex.com Rena Baer COPY EDITOR

Sharon Metz BIZLISTS EDITOR

CONTENTS PVAStatistics

The latest statistics on local commercial and residential properties PAGE 5

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IndependentBusiness Churchill McGee named Small Business of the Year: For the local design-build firm, the recognition further validates its community-focused approach PAGE 10

EconomicAnalysis

A monthly look at economic indicators compiled by the Center for Business and Economic Research (CBER) at the University of Kentucky PAGE 6

GrammarGourmet

The long and short of sentences PAGE 6

sharon.metz66@gmail.com Donna Hodsdon ASSOCIATE PUBLISHER

donna@bizlex.com Theresa Stanley DIRECTOR OF EVENTS AND PROMOTIONS

theresa@smileypete.com ACCOUNT EXECUTIVES

Amy Eddie

amy@bizlex.com Ann Staton

BizIQ

Business coach Luca Setti promotes strategic planning for challenging times PAGE 7

CraveWorthy

Get on board: Locally made charcuterie boards provide artistic, delectable displays for the holidays PAGE 8

PHOTO FURNISHED

ann@bizlex.com

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QuickBites

P.O. Box 22731 Lexington, KY 40522 P: (859) 266-6537 F: (859) 255-0672 www.smileypete.com

Bella Café opens in Chevy Chase, a new co-op restaurant delivery service and more restaurant news PAGE 9

BizList

Advertising and creative agencies PAGE 18

Staffing agencies PAGE 19

Who’sWho

Employment updates from around the Bluegrass PAGE 22

A Legacy of Leadership: The Leadership Lexington program, which graduated its first class 40 years ago, has a history of positively impacting careers and the community PAGE 12

Seeking Creative Solutions: With holiday markets and other in-person events canceled, local artists and makers have become crafty in marketing their wares and connecting with customers PAGE 14

Companies Adjust HR Practices for Changing Times: From virtual interviews and remote work to flexible schedules and online skill assessments, the pandemic is reshaping the way we work PAGE 16

Q&A with Mike Halligan: The CEO of God’s Pantry Food Bank on meeting growing needs throughout the community PAGE 20

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BusinessBriefs

PHOTO FURNISHED

Jonathan Webb, AppHarvest founder and CEO, in front of the company’s newly opened greenhouse in Morehead, Kentucky. AppHarvest recently broke ground on a new growing facility in Madison County.

AppHarvest breaks ground on second high-tech greenhouse

ize on our combination of hard-working people, central location and agricultural history. Today is the result of that hard work and we couldn’t be happier.”

AppHarvest, the start-up company that recently opened a large indoor growing facility in Morehead, Kentucky, announced it has started construction on a second high-tech controlled environment agriculture facility in Madison County.

In just over two years, AppHarvest has attracted more than $150 million in investment into central Appalachia, the company said. On September 29, AppHarvest announced an agreement to combine with Novus Capital Corporation, a publicly traded, special purpose acquisition company, through a reverse merger.

The indoor facility will exceed 60 acres, and grow non-GMO, chemical pesticidefree fruits and vegetables to be distributed to grocers and restaurants across the United States. Because of its centralized location, AppHarvest can reach nearly 70 percent of Americans in just a day’s drive, reducing transportation costs by up to 80 percent compared with existing growers in Mexico and the Southwestern U.S. “This purchase brings us one step closer to our goal of establishing America’s next ag-tech hub from right here in Appalachia,” said AppHarvest founder and CEO Jonathan Webb.

“It is an exciting day for Madison County,” said Madison County Judge Executive Reagan Taylor. “Over the past two years, the Madison County and AppHarvest teams have been focused on finding economic development opportunities that capital-

The combination, which is expected to close late in the fourth quarter of 2020 or early in the first quarter of 2021, will provide $475 million of gross proceeds to the company, including $375 million fully committed common stock PIPE at $10 per share, anchored by existing and new investors — including Fidelity Management & Research Company, LLC, Inclusive Capital, and Novus Capital Corporation.

AppHarvest’s investors include Revolution’s Rise of the Rest Seed Fund, Inclusive Capital Partners, Equilibrium, Narya Capital, Lupa Systems, Breyer Capital and Endeavor Catalyst.

Board members include Martha Stewart, Narya Capital Co-Founder and Partner JD Vance, Impossible Foods Chief Financial Officer David Lee and investor Jeff Ubben. BL

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PVAStatistics These statistics on local residential and commercial property are compiled by the office of the Fayette County Property Valuation Administrator. The data reflect the most up-todate information available at the time of printing for this publication, but monthly figures may be revised as additional public records of property transactions are submitted and become available.

Top Commercial Transactions for October 2020 SALE DATE ADDRESS 10/21/20 10/21/20 10/21/20 10/20/20 10/19/20 10/19/20 10/21/20 10/21/20 10/21/20 10/21/20 10/02/20 10/21/20 10/14/20 10/06/20 10/28/20 10/28/20 10/28/20 10/02/20 10/09/20 10/09/20 10/09/20 10/16/20 10/16/20 10/15/20 10/09/20

PRICE

STRUCTURE

3310 Richmond Road $7,811,960* 3320 Richmond Road 3340 Richmond Road 100 Midland Ave. $7,500,000 1301 W. Main St. $5,850,000* 1303 W. Main St. 3350 Richmond Road $4,782,020* 3360 Richmond Road 3370 Richmond Road 3390 Richmond Road $3,639,910 6400 Polo Club Lane $1,979,600 3380 Richmond Road $1,866,110* 4269 Saron Drive $1,450,000 1403 Mercer Road $1,075,000 220 University Ave. $930,000 218 University Ave. $930,000 222 University Ave. $930,000 746 Westland Drive $900,000* 266/270 Rose St. $320,000 278 Rose St. $320,000 1624 Alexandria Drive $220,000 734 N. Broadway $165,000 80 Codell Dr Unit 150 $130,000 121/129 Prosperous Place, Unit 3b $115,000 349 American Ave. $113,000

DF Lexington Properties II LLC DF Lexington Properties II LLC DF Lexington Properties II LLC Fayette County Board of Education Turner Property 4 LLC Turner Property 4 LLC DF Lexington Properties II LLC DF Lexington Properties II LLC DF Lexington Properties II LLC DF Lexington Properties II LLC Zenith Petroleum LLC DF Lexington Properties II LLC Saron Properties LLC EMT C. LLC Wayne Michael Properties LLC Wayne Michael Properties LLC Wayne Michael Properties LLC Just In Time LLC Bam Homes LLC Star Homes LLC Adams, Charles Douglas & Jill Marie Bluegrass Living Properties LLC Shannon Family Trust LLC T & M Jewelry Inc. COO Properties LLC

*Sale price based on a multiple-parcel transaction

Residential Sales Data for October 2020 The chart below shows the monthly residential sales activity in Fayette County for the previous 24 months. The data for the most recent month reflect a projected estimate from the office of the Fayette County Property Valuation Administrator and are subject to change.

2018 RESIDENTIAL SALES

2019 RESIDENTIAL SALES

2020 RESIDENTIAL SALES

800

700

600

500

400

300

200

100

JAN

FEB

MAR

APR

MAY

JUN

JUL

AUG

SEP

OCT

NOV

DEC

8%

4%

2%

-20%

-23%

-8%

12%

-1%

4%

-6%

6%

19%

MONTHLY PERCENTAGE CHANGE OVER PREVIOUS YEAR For more local residential and commercial real estate information, visit the website of the Fayette County Property Valuation Administrator at www.fayettepva.com.

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EconomicAnalysis A monthly look at economic indicators compiled by the Center for Business and Economic Research (CBER) at the University of Kentucky. For more on CBER, visit www.cber.uky.edu.

MARK YATES Market President NMLS# 755016

LEAH TAYLOR-WRIGHT Market Manager

Recent Data Nov. 2020

1-Month 1-Year Change Change

Payroll emp. MSA**** Manufacturing Employment Durable Goods (KY) **** Manufacturing: Lexington-Fayette MSA Total Employees**** Unemployment Rate MSA****

262,100 Sept.

154,400 Sept.

-0.53% 1.25%

-6.23% -6.03%

28,601 Sept.

5.00% Sept.

-1.07% -1.70%

-4.07% 1.60%

Payroll Employment, US Manufacturing Payroll Employment US Unemployment Rate, US

142,373,000 Oct. 12,231,000 Oct. 6.90% Oct.

0.45% 0.31% -1.00%

-6.06% -4.52% 3.60%

Consumer Price Index, Southern Region Consumer Price Index, US Producer Price Index, US

250.19 Sept.

260.28 Sept.

203.0 Sept.

0.20% 0.10% 0.20%

1.30% 1.40% -0.68%

Index of Leading Indicators** Fed’s Index of Industrial Production**

107.2 Sept.

101.5 Sept.

1.40% -0.68%

N/A -7.71%

3-Month Treasury Yield*** 10-Year Treasury Yield***

0.10% Nov. 5 0.79% Nov. 5

-0.01% 0.05%

-1.46% -1.07%

Real GDP (millions $)

1-Month 1-Year 3rd Qtr. Change Change 2020 $21,157,635,00 Sept. 30 8.39% -1.78%

NMLS# 1040160

HOMEGROWN BANKING DECISIONS MADE NEXT DOOR 4097 Nichols Park Drive • Lexington (859) 721-0100

HANDMADE BY SURVIVORS Local employee and company gifts that make a difference in our community.

MSA: Lexington-Fayette Metropolitan Statistical Area; (p)=preliminary; NA=not available * Source: http://www.conference-board.org ** Source: Federal Reserve Statistical Release — http://www.federalreserve.gov/releases/G17/ *** Source: Federal Reserve Statistical Release — http://www.federalreserve.gov/Releases/H15/data.htm **** Source: St. Louis Federal Reserve — https://research.stlouisfed.org/fred2/ Note: In some cases 1 mo. and 1 yr. changes are based on revised data from previous mo./yr. GDP is reported in Current Dollars.

GrammarGourmet

By Neil Chethik

It was the best of times, it was the worst of times, it was the age of wisdom, it was the age of foolishness, it was the epoch of belief, it was the epoch of incredulity, it was the season of Light, it was the season of Darkness, it was the spring of hope, it was the winter of despair, we had everything before us, we had nothing before us, we were all going direct to Heaven, we were all going direct the other way – in short, the period was so far like the present period, that some of its noisiest authorities insisted on its being received, for good or for evil, in the superlative degree of comparison only.

PHOTO FURNISHED

The long and short of sentences One of the most common writing problems I encounter is not grammatical but rather the problem of sentences that should be short but instead go on and on and on to the point where the reader can no longer remember how the sentence started and what the writer was trying to say.

Like the one above. At 52 words, it’s at least twice as long as necessary to get the point across.

Reading comprehension studies show that readers begin to lose focus when a sentence reaches about 20 words. That doesn’t mean you should never write a sentence longer than 20 words. But if you do, you should be especially crisp and clear with your language and punctuation.

Visit GreenHouse17.org or call (859) 519-1911 to place your order.

Local pickup or shipping available.

Readers tend to respond best to a mixture

of sentence lengths. Try writing a five-word sentence. Then follow that with a longer sentence that gives the reader some insight or description. Then pop out another five worder.

This mixture of long and short sentences tends to keep the reader focused and alert. As a result, you’ll accomplish your ostensible mission: to get people to read your words, understand them and act on them. BL Neil Chethik, aka the Grammar Gourmet, is executive director at the Carnegie Center for Literacy and Learning (www.carnegieliteracy.org) and author of “FatherLoss” and “VoiceMale.” The Carnegie Center offers writing classes and seminars for businesses and individuals. Contact Neil at neil@carnegieliteracy.org or (859)254-4175.

DECEMBER 2020

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BizIQ

7

A MONTHLY COLUMN OF BUSINESS INSIGHTS FROM CENTRAL KENTUCKY PROFESSIONALS

Strategic planning for challenging times

BY LUCA SETTI CONTRIBUTING WRITER

S

ince the beginning of the COVID-19 pandemic, you may have felt like your business has been in a tailspin. You’ve tried to move your workforce to a remote footing, stay engaged with your customers and find new ways to market products and services to a population that’s staying at home more and spending less.

But you must keep looking to the future and have your plans ready for a strong launch into 2021. Next year, you need to be off and running before the competition even realizes the bell has rung.

Once you know where you are and where you want to be, your strategic plan will drive the specific steps you’ll take to get there. This must include crystal clear and important objectives (goals) and clearly defined actions that your team will take to accomplish those objectives.

This plan looks at all the assets and tools you have at your disposal now, as well as the challenges you’re facing. It also focuses on where you want your business to be at the end of a certain period. And when you run into unexpected challenges – a global pandemic, for instance – your strategic plan can serve as a framework to effectively respond to the crisis.

Set your company vision.

You start with “why.” Why are you doing all this work, taking all this risk? What do you want the end result to be when it’s time to hang up your spurs? What is your vision for your company five, 10, 15 years out?

Take time to decide what you want your business to be. Start with more abstract, broader concepts. Maybe you want your

business to become an industry leader, find cures that help people get over diseases like COVID-19 or be able to support initiatives in your community.

Once you’ve got a broad ideal pinned down, start getting more specific. What kind of company culture do you want, and how do you want to interact with your customers?

What sort of atmosphere do you want your business to have, and what legacy do you want to leave?

Complete a SWOT analysis.

How the pandemic has changed your business is an example of just one threat (and opportunity) that you must take into account. Do this by conducting a SWOT analysis. A SWOT analysis examines the strengths, weaknesses, opportunities and threats your business faces.

Take a look at what strengths have helped your business through the course of the pandemic, as well as the areas where it has faltered and been weaker. Explore what sort of opportunities the new market offers your business. Be sure to work out what sort of threats — pandemic aside — your business will face short and longer term.

It’s not all doom and gloom. Every threat is also an opportunity. Consider how you can turn a problem to your advantage.

Can you invest in building employee skills or improve your sales team by training or replacing low performers with highly skilled salespeople who may have been let go by another company?

Create a plan that everyone lives by — and can use.

This is a process of deconstructing the year’s key objectives into successively smaller objectives for divisions, groups, departments, teams, and sometimes even individuals. Part of making this successful is that it is an incredibly open process so everyone understands how they fit in.

That means you absolutely must involve all your key staff and top managers in developing and implementing “our” plan. You’ll find better solutions than you ever could have alone when you take advantage of the knowledge of those closest to your customers. Amazingly, you’ll come up with great ways to cut costs, be more effective and have happier, more engaged employees in the process.

Track your progress.

When your strategic plan is complete, it may feel like the work is done. But in fact, it’s only just beginning. Now you will need to implement it in your day-to-day operations and keep track of your progress.

Build in procedures to check your progress during your daily operations. Set up reporting, establish helpful metrics and make plans to check on your goals on a regular basis. BL Business coach Luca Setti offers complimentary consultations about your business situation, goals and challenges.

Visit lucasetti.focalpointcoaching.com.

He can be reached at (863) 398-2477 or Lsetti@focalpointcoaching.com.

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CraveWorthy Get on Board Locally made charcuterie boards provide artistic, delectable displays for the holidays

BY SHANNON CLINTON CONTRIBUTING WRITER

I

nstagram is brimming with photos of charcuterie boards laden with stunning, edible displays of meat, crackers and bread, fruit, cheese, nuts, jams and more.

But buying full-sized packages of so many specialty ingredients to put together your own board can get pricey fast, not to mention the time and talent it takes to perfectly arrange it all. Coming to the rescue, several Lexington businesses are offering up their own attention-grabbing charcuterie boards to jazz up your holiday table or to give as a gift.

While the origins of the French word charcuterie refer to meat, today’s charcuterie boards can include a multitude of cheeses, nuts and other accompaniments.

Wine + Market Owner Renée Saunier Brewer not only offers charcuterie boards as carryout items, but also hosts weekly virtual wine tastings that can be paired with a cheese plate. The shop is also bringing back its Advent calendar wine selection this year, with an optional add-on charcuterie kit, she said.

Brewer said people enjoy charcuterie boards “because they are really attractive to come look at, and it’s an approachable way to make something that is beautiful but is also culinary at the same time and is really easy to eat.”

Brewer said she likes using different types of cheeses made from cow’s, sheep’s or goat’s milk, and also varies the textures of cheeses included on a board, from soft and creamy to firm, crumbly or hard. A variety of colors is also important to the overall effect, she said, such as a pale goat cheese arranged next to a bright yellow cheddar.

A variety of meats can also be used, like salami and serrano ham and prosciutto di parma. Usually, unless otherwise instructed, Brewer uses two-thirds cheese and onethird meat for each presentation. While staying mindful of allergies or food sensitivities, she often adds an assortment of nuts, as well as dried fruit and pickled options like cornichons, caper berries and olives.

She said she prefers a day’s notice for smaller platters and about three days’ notice for larger orders.

University of Kentucky student Taylor Haynes launched her solo venture, Le Fromage Boards, in July, after her income from babysitting gigs dried up during the pandemic.

She’d been making charcuterie boards for years for events and get-togethers, and

with her newfound extra time, Haynes began making them for herself and her roommates. With positive feedback across the board, she decided to go into business for herself. She found a commercial kitchen she could use and launched Facebook and Instagram pages to promote her offerings.

Haynes arranges the food on acrylic boards customers can keep. She also enjoys setting up “grazing tables” for larger gatherings by laying a swath of butcher paper across a table and artfully arranging a variety of meat, cheeses, crackers and accoutrements on top.

Her boards range from individual portions to a large board for $95, or a grazing table for a couple hundred dollars. Along with word of mouth, she promotes her business on social media, posting photos and fast-motion videos of Haynes assembling her creations.

When she graduates, Haynes will continue her side business, saying, “it’s something that brings a lot of joy to me.”

At J. Render’s Southern Table & Bar, owner Gwyn Everly offers occasional yet increasingly popular $18.99 charcuterie board specials, which she plans to continue throughout the holidays.

“I always like to have at least three meats and three types of cheese,” she said, including the restaurant’s house-made smoked cheddar, often served alongside a soft cheese and a sharp cheddar. Around these, she arranges assorted nuts, fresh and dried fruits, olives, and assorted crackers, bread or pita, along with condiments like spicy mustard, hot bacon jam and red pepper jam.

One of her favorite additions lately are red chili pistachios.

“Our regulars really went crazy for that,” she said.

Everly also uses social media to pique customers’ interest.

“It’s something that maybe through the winter we may look at adding [to the menu] because it’s the perfect shareable appetizer,” she said.

Sara Gooden and Lauren Hardesty have paired friendship with entrepreneurship with their Lexington business, Fete Boards, which launched on a limited basis about a year ago and is now in full swing.

Gooden said she would often bring charcuterie boards as appetizers to parties, when Hardesty suggested making them for others as a business venture. Now, the duo work out of shared commercial kitchen space in Favor on North Limestone.

Gooden said orders are placed via a webbased system for delivery at an appointed time, and come in small (serving two to four people), large and extra-large sizes, though custom installations can be arranged.

Orders for special events boards are common, and they’re also sent to congratulate new parents, homeowners or as a gesture of sympathy, they noted.

The boards come with disposable and biodegradable palm leaf platters, or customers may provide their own platters.

Though they each still hold full-time jobs, Gooden and Hardesty have been pleasantly surprised how in demand their services are. They hoped to do about 10 boards during the holidays last year and did 24 on Christmas Eve alone, Gooden said.

“I think [they’re popular] because aesthetically, they’re really pretty, they’re delicious, and there’s a little bit of something for everyone,” Hardesty said. BL

PHOTOS FURNISHED

Charcuterie boards, such as these eye-catching displays created by University of Kentucky student Taylor Haynes and her new business, Le Fromage Boards, help make home entertaining easy.

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QuickBites

RESTAURANT NEWS TO USE

Bella Café opens in Chevy Chase, a new co-op restaurant delivery service and more

BY SHANNON CLINTON CONTRIBUTING WRITER

A

9

fter the pandemic thwarted a spring debut, Bella Café’ and Grille settled for a mid-November opening at 890 E. High St. as the newest addition to the Bella Notte Restaurant Group.

“We are very excited about Bella Cafe and Grille opening,” said Jillian Richards, director of training and marketing for the group. “It has been a long time coming. We were originally set to open in May, but once the virus hit we had to hit the pause button.”

Richards said the café is small and intimate, so with currently capped capacity levels, it will initially be open only for carryout and delivery.

“This concept is very different from anything we have done before,” she said. “It will have some Italian influence, but the biggest similarities between [Bella Café and Grille] and the rest of our restaurant group is everything is made from scratch, and we will source locally as much as we can.”

The location was formerly home to Le Matin and Zuni’s Café.

The chance for Kuni Toyoda to develop a new café in the High Street location arose during a phone call last year. Toyoda had previously developed both Fazoli’s and Smashing

Tomato restaurant chains, as well as Bella Notte and the now-closed Bella Forno. “[Kuni] has been friends with the former bakery owner, Abbas [Larian], for some time,” Richards said. “They have always spoken about whenever Abbas was ready to retire, Kuni would love to open in his spot.”

In other Lexington-area food and beverage happenings, Central Kentucky is getting its first cat café. Jennifer Hoskins is opening Central Purrk Cat Café at 401 Outlet Center Drive, Suite 260, in Georgetown in December.

The concept of cat cafés originated in Japan, and they’re spreading throughout the United States. Hoskins said she researched domestic locations extensively in planning her own venue, where adoptable cats from Lexington and Scott County shelters will interact with patrons.

Hoskins said there will be about 10 cats roaming freely in an onsite play/lounge area at any given time.

“We knew somebody would end up doing it in this area, and we thought it should be us,” she said.

Due to health regulations, only pre-packaged food can be served onsite, and that will include cookies, scones, cupcakes, brownies and macarons. The café will also serve coffee, wine and beer.

The fee is $12 per hour, per person; or $6 for 30 minutes.

“It truly is relaxing [having] a cat sit on your lap,” Hoskins said.

Ouita Michel’s restaurant group has launched a new delivery app, in cooperation with the nonprofit Delivery Co-op.

“What makes this service different is that it’s owned by the local restaurants and fulltime delivery drivers who are extensions of our teams,” Michel said in the online announcement, touting the app as a “simple, elegant and innovative solution.”

Members pay a $25 monthly subscription fee, for which they receive on-demand delivery service from participating restaurants with no added fees or charges. Zim’s Café is the test site for Lexington, with more restaurants to follow, both from Michel’s restaurants and other independent eateries. Menus of participating restaurants will be included in the app. More information is available at www.delivery.coop.

Old Kentucky Chocolates has opened in Palomar Center, its fourth location. The location also includes drive-through service for picking up a sweet treat on the go.

The Futile Bakery has opened on Waller Avenue, specializing in cinnamon rolls, customized cookies, cakes, and macarons, according to its Facebook page.

Distilled on Jefferson is open, serving contemporary Southern cuisine from its new location at 157 Jefferson St. Menu highlights include poutine, fried chicken, country hamwrapped scallops and organic Scottish salmon.

A new BurgerFi location was poised to launch in November at 1816 Alysheba Way. Critchfield Meats announced a November

opening for its new, larger location in the former Save-A-Lot on Southland Drive. “Our meat department will be fully operational with the grocery and the deli fried chicken coming soon!” a social media post promised.

Thrive Kombucha on North Limestone, owned by Elijah and Annie Webster, has launched a crowdfunding campaign to expand its taproom.

Moody Mike’s vegan food truck opened recently, with menu items including tater tot nachos, wings and po’ boys.

Texas Roadhouse has reopened at its new location at 3116 Richmond Road.

Grounded Coffee Transit mobile coffee truck, the second in the state, is on the move in Lexington thanks to local franchisee Scott Lamb.

The coffee trucks are a new segment of Florence, Kentucky-based Kona Ice company, Lamb said.

“Since 75 percent of Americans drink [coffee], we’d like to dip into a little piece of that market,” he said.

Just as Kona Ice is all about customizing frozen treats’ flavors, each of Grounded Coffee’s aviation-themed trucks is outfitted with high-end coffee-making equipment, as well as a station where customers can customize their drinks with flavored syrups, creamers and other additions.

The truck is touted as a way to bring coffee to parties, the workplace, churches and events, including farmers’ markets and sports fields.

“We [are] focused on quality of product and also speed of service,” Lamb said. BL

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IndependentBusiness Some of design-build firm Churchill McGee’s local projects include Sedona Taphouse in Palomar Centre, left, as well as a façade at Blue Grass Airport, below.

PHOTOS FURNISHED

Churchill McGee Named Small Business of the Year For the local design-build firm, the recognition further validates its community-focused approach

BY KATHIE STAMPS CONTRIBUTING WRITER

C

hurchill McGee was named the 2020 Small Business of the Year during Commerce Lexington’s annual Salute to Small Business awards ceremony, which was held virtually in late September.

The construction company also won in the business success category. The other category winners were Elaine Allen, LLC, for minority business, AU Associates for entrepreneur and CASA of Lexington for the nonprofit community impact category.

“Our people and our culture are the top priorities of our company, and without those things we can’t serve our clients and the community,” said cofounder and MCGEE managing partner Patrick McGee. “We have weathered many ups and downs throughout the years, but we have never sacrificed our top priorities.”

Nathan Churchill and Patrick McGee were classmates and friends in elementary school in Lexington. They founded their eponymous company in 2003. The partners’ first business purchase was an insurance policy, and their first project was a house they bought to renovate and flip.

Churchill McGee has grown from two employees to 45, with offices in Lexington and Louisville. The firm offers general contracting, construction management and design/ build services for new commercial build projects and commercial fit-up projects. The company’s clients are in a variety of industries, including offices, retail, health care, restaurants and hospitality, throughout Kentucky, Indiana, Ohio and Tennessee. Some of the local projects completed by Churchill McGee include the Blue Grass Airport façade, Ballard Apartments, the Salvation Army Thrift Store on New Circle Road, Sedona Taphouse and several renovations to buildings owned by the University of Kentucky.

“2020 has not been without its challenges and fears, though we consider ourselves incredibly fortunate to have been operating at or near normal capacity,” McGee said. “Our backlog of projects allowed us to maintain profitability and focus on sales, and the pandemic created space for us to be innovative in our business.”

Churchill McGee’s stated principles are “make money, give back and have fun.”

From the company’s earliest days, McGee and Churchill agreed that 5 percent of the company’s net profits should be given back to the community. In June, Churchill McGee opened a “Give Back” space for the community adjacent to its West Main Street office. The

4,000 square-foot gymnasium has basketball hoops and soccer goals, and can also operate as a meeting space with a kitchenette for nonprofit organizations to use at no charge.

To pay for ongoing operating costs of the Give Back building, Churchill McGee also built Main Street Self Storage on the same property, a commercial enterprise that incorporates green-building features such as stormwater mitigation via permeable surfaces.

In 2013, Churchill McGee added a division called D9 Interiors for drywall, insulation, metal framing and other installation services typically provided by subcontractors. Three years later, they added C3 Concrete, a division providing demolition, structural steel, precast and flat concrete, the installation of bridges and culverts, and other types of site work. Both divisions have since been consolidated under Churchill McGee’s scope of provided services.

“It is tough coming up as a small business, and that doesn’t mean just in Lexington; this is an issue for any small business,” McGee

said. “We could not have been as successful as we have been without the support of the community, Commerce Lexington, being a member of [Commerce Lexington’s Business Owners Advisory Board] and other leadership programs.”

Filling out the application for the annual Salute to Small Business awards is a worthwhile exercise in itself. The process “forced us to dig down deep and think about who we really are,” McGee said. “As far as winning the award, we were caught a bit off guard.”

Employees held their own watch party in the Give Back building behind the office.

While watching the live video feed, they realized the Commerce Lexington “surprise patrol” team was out front to present the award to a very surprised and appreciative crew.

McGee noted: “Like the words on the wall in our quiet room, we remembered we are gritty, we love what we do, we are supported by our local community and vice versa, we have a great company culture, we are fun, and we love to give back.” BL

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PHOTO BY MARK MAHAN

Members of Lexington Leadership’s 2019-20 class pose for a group photo in front of Lexington’s Louis Armstrong mural downtown. Classes learn more about the city and its operations during monthly, full-day experiences held throughout the duration of the program.

A Legacy of Leadership The Leadership Lexington program, which graduated its first class 40 years ago, has a history of positively impacting careers and the community

BY KATHIE STAMPS CONTRIBUTING WRITER

I

n the spring of 1979, the board of directors for Commerce Lexington, then called the Greater Lexington Chamber of Commerce, came up with the idea for Leadership Lexington, a program to cultivate the next generation of leaders. “They felt that the most effective way to do this was through education on key issues and interaction with established leaders,” said Amy Carrington Stout, director

of leadership development with Commerce Lexington. Stout was a member of the 2010-11 Leadership Lexington class and is now director of the program.

Many of Lexington’s current, former and rising community leaders have participated in the program, which this year is celebrating its 40th anniversary.

“For the most part, the vision has remained the same,” Stout said. “Through a competitive application process, class members are selected based on their leadership qualities and desire to contribute to the community.”

The Leadership Lexington class year reflects a school year, starting with an orientation in August (an overnight retreat) and ending with a graduation in June. “Leadership Lexington is a big commitment — one day a month away from your responsibilities for a year — but it’s well worth it,” said Cameron Hamilton, partner and director of financial planning with Ballast, and member of the 2019-20 class. “I made great friendships and connections that I expect to last a lifetime and make me a more engaged citizen and more capable and effective in work, in the community and amongst friends.”

Hamilton said no one could have anticipated the amount of adversity they would face, but the pandemic was not the worst of it. “We lost our most respected and cherished classmate, Anita Franklin, in February,” he said. “She was a shining light of service in Lexington who inspires us all to do more for our neighbors.”

As Leadership Lexington members learn more about their city, their more important education is in learning to appreciate one another. “When you have the groups of people together that much — traveling on a bus, in sessions, taking tours, debating one another and working on class projects — barriers and misconceptions are broken down, while cohesion and collaboration are strengthened,” Stout said.

The class size varies from 40 to 50 people, but the current 2020-21 class has 25 people for easier and safer social distancing.

Each month the program is centered around a Lexington program or topic.

September’s session focused on Lexington’s history. Foster Ockerman, Jr. and Yvonne Giles were presenters that morning, with an afternoon field trip scheduled to a historical venue like Ashland, the Henry Clay Estate.

PHOTO FURNISHED

“You will have met people you would not otherwise have met and formed friendships you can call upon later, and it’s not a cold call.”

FOSTER OCKERMAN JR. LEXINGTON ATTORNEY, HISTORIAN AND MEMBER OF LEADERSHIP LEXINGTON’S INAUGURAL CLASS

DECEMBER 2020

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13

PHOTO BY MARK MAHAN

PHOTO BY SHELLY PETTY

Ockerman was a young attorney when he was one of the 31 members of the inaugural 1979-80 Leadership Lexington class. He recalls immersive experiences at City Hall and the Salvation Army, among other sectors of the city. “We went to the jail, which I’m sure almost everybody in the class would not have done otherwise,” he said, noting that one of the strengths of Leadership Lexington was “identifying the rising class of leaders who, 10 to 15 years after they graduate, will be in positions to do things.”

These days, Ockerman is still a practicing attorney, as well as the president and chief historian of the Lexington History Museum, and a constant proponent of Leadership Lexington. “You will have met people you would not otherwise have met and formed friendships you can call upon later, and it’s not a cold call,” he said.

“It’s the relationships I made. You get around 50 people that love life, are trying to make a difference in the community and are excited about their careers; it’s just a breath of fresh air. ” MARK MAHAN OWNER OF MAHAN MULTIMEDIA AND LEADERSHIP LEXINGTON PROGRAM SPONSOR

The age of class participants has evolved over the past four decades, with many members now in their 40s and 50s. “Leadership Lexington is really becoming so competitive for the 25 to 30-year-olds that you’ve got to be outstanding if you’re going to get into Leadership Lexington at that age,” Stout said.

The scheduled daylong program for October was Public Safety Day, which typically features a trip to the Division of Emergency Management and the Fire Training Academy with a talk by Lexington Fire Chief Kristin Chilton. This year’s class will participate next year for ride-alongs with the police department. Education Day is in November, with site visits to Locust Trace AgriScience Center or the Academies of Bryan Station High School, Junior Achievement’s BizTown or the new STEAM Academy.

Other monthly programs of Leadership Lexington include topics of government, health and human services, diversity, the arts, economic development and the equine industry. In 2011, the steering committee changed the previously named overall agriculture session to Equine Day and put elements of ag into Economic Development Day. In the spring of 2015, Mark Mahan had been a photographer for five years. His dentist, Doyle Freano, hired Mahan to take headshots of his dental clients for the walls of his office. One of his patients was Amy Carrington Stout. The dentist and patient both told Mahan about Leadership Lexington, but he had no idea what they were talking about. “I trusted Doyle, and Amy seemed trustworthy, so I applied,” Mahan said. “It changed my life. That one encounter, I get

Mark Mahan, left, owner of Mahan Multimedia, says participating in Leadership Lexington “changed the arc of my life.” His business is now a program sponsor. Amy Carrington Stout, above, facilitates the program as director of leadership development with Commerce Lexington.

emotional talking about it, changed the arc of my life.”

So much so, Mahan Multimedia is now a program sponsor. “It’s the relationships I made,” Mahan said. “You get around 50 people that love life, are trying to make a difference in the community and are excited about their careers; it’s just a breath of fresh air.”

He recalls three or four projects from his Leadership Lexington class of 2015-16, the largest of which was the revitalization of Douglass Park, changing it from a softball to field to a soccer field.

In the spring of 2020, Mahan thought he was out of business. “Until we figured out live webcasting,” he said. On one night in October, Mahan Media partnered with the Lexington Public Library and with Central Kentucky Riding for Hope to broadcast both of their fundraisers. “They hit their numbers and netted more money than they would have,” he said. “We got to be of service and facilitate that. We get to make a difference. All that stems from Leadership Lexington. Both of those relationships are Leadership Lexington relationships.”

“Lexington has been blessed with many strong, talented leaders. One reason is Leadership Lexington, which has nurtured our emerging leaders for 40 years,” said Lexington Mayor Linda Gorton, a member of the 1999-00 class. “People learn a lot about their city through Leadership Lexington.

And they form relationships that ultimately serve our community. Congratulations to Leadership Lexington on 40 years of leadership development.” BL

Community Projects In the early 2000s, Leadership Lexington added a community project component. Here’s a sampling of class projects: 2003-04: Leadership Lexington Youth Program A program for high school students in their junior year to interact with community leaders. Junior Achievement took over the administration of this program in the fall of 2020.

2006-07: Isaac Murphy Memorial Art Garden A half-acre plot in Lexington’s East End was converted into a garden to honor Thoroughbred jockey Isaac Murphy, winner of three Kentucky Derbies.

2009-10: Lexington Public Art Catalog A public art project with nationwide applicants. The winning piece, called Concordia, is above the Pam Miller Downtown Arts Center on Main Street.

2010-11: Leadership Lexington Alumni Association This sustainable organization has committees for project mentoring, fundraising and scholarship assistance.

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Seeking Creative Solutions With holiday markets and other in-person events canceled, local artists and makers have become crafty in marketing their wares and connecting with customers

BY LIZ CAREY CONTRIBUTING WRITER

F PHOTOS FURNISHED

Lexington-based fiber artist Laverne Zabielski models some of her wearable art, above. Below, hand-dyed pieces hang to dry. Zabielski has also shifted to teaching others how to create their own art during the pandemic.

or artists and creators who make their living creating one-of-a-kind pieces, the pandemic continues to bring challenges to their livelihood. But those who were able to change the way they market their products are finding success in new ways.

When the pandemic hit in March, the Kentucky Arts Council was one of the first organizations to cancel an event. The Kentucky Crafted Market, scheduled to be held March 14-15 at the Kentucky Horse Park, was canceled almost immediately as Gov. Andy Beshear put in place policies on social distancing and limited crowd sizes.

But for the more than 150 participating artists, performers, musicians, crafters, writers and food producers, that meant a major sales event for their year was gone.

Chris Cathers, executive director for the Kentucky Arts Council, said the council quickly shifted to a virtual showing.

“A number of artists were able to adapt to that model,” Cathers said. “But having never done a virtual show before, we were able to learn a lot and find ways to make events like that more successful in the future.”

Cathers estimates the virtual event resulted in about $10,000 in sales for the artists who participated.

“But that’s a drop in the bucket compared to what our vendors normally do,” he said.

“They have the capacity of doing more than $1 million in [total] sales over that weekend.”

Since then, festivals and events across the state have limited the ability of artists and creators to market their products.

Laverne Zabielski, a fiber artist and writer in Lexington, said the pandemic has allowed her to pivot to focusing more on how she markets her art and on what it is she produces.

“I’ve been a fan of relationship marketing for a long time, and so as a result of that it’s giving me a way to communicate with people now that I already have things set up to be able to do,” she said. “It [the pandemic] made me up my game more. I wasn’t doing [relationship marketing] as intensively as I’m doing it now. I’m more focused on my newsletters. I’m more focused on what I can put into my shop on the website. Before, I could be more cavalier about it because I had,

you know, other shows and galleries.”

Zabielski has also shifted to teaching others about how to create their own art.

Through individually taught classes and classes offered through the University of Kentucky Fine Arts Institute, she’s able to teach about silk dying, using old clothing to make new pieces and how to write.

“I believe there’s a big desire for people to be able to create their own art. Now more than ever,” she said. “I have developed a ‘Living a Layered Life’ curriculum and teach people how to make a statement, either in what they wear, what they write or what they make.

Classes not only create an opportunity for them to learn creative techniques, they also have deeper understanding of my process.

This enhances their appreciation for handmade art.”

And like other businesses, she said she’s changed the way she gets her products to customer by now offering curbside service.

Through Zoom calls, diary posts on her Facebook page and other forms of social media, she’s also been able to teach classes and build those relationships, she said.

According to Americans for the Arts, artists and creatives were among the workers most severely affected by the COVID-19 pandemic. An estimated 63 percent have become unemployed. In a survey to artists and creatives, the arts organization found that 94 percent reported a loss of income, and 61 percent reported a drastic decrease in creative work that generated their income. And 78 percent said they have no post-pandemic financial recovery plan.

“What many people don’t think about is that artists and creators are small businesses, too,” Cathers said. “They have had to make the same changes other businesses have had to make — from adopting social distancing measures or mask policies, and figuring out how they can sell their products in a responsible way.”

And they’ve had to change the way they market in order to keep in touch with clients.

“What we noticed from our virtual event was that everyone had a very different online presence,” Cathers said. “We’ve been able to connect our members to Artrepreneur, an ecommerce platform. They will help facilitate sales, but they will not take a commission, which is important for our artists right now.”

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When the Junior League of Lexington decided on Oct. 22 to cancel its annual Holly Day Market because of the pandemic, they also decided against a virtual event. The cost of investing in a platform, estimated to be more than $20,000, from which to hold the event was just too much for a non-profit organization, said Julie Booher, the Holly Day Market Chair.

“So, we are instead using the month of November and beyond to offer our platforms as a megaphone for any and all vendors [from all previous years], and we’ll be promoting their businesses and any specific discounts or products on their behalf,” she said. “We’re doing this free of charge in support of small businesses nationwide.

We care deeply for our vendors — many of them return to our event every year — and we want to do all we can to support them during this challenging time.”

The organization also hosted a silent auction through November to give vendors the opportunity to promote their products.

For some creators, the coming winter is a time to step back and plan.

Abbie Rogers, with Dandelion Ridge Farm in Versailles, sells homemade treats at the Franklin County Farmers Market.

From green tomato pickles to tomatillo salsa to chow chow, Rogers cans vegetables from her Woodford County garden.

This year’s farmers’ markets have changed, but remain a stable place to sell the items she creates, she said.

Where once the vendor tables now faced each other to form two rows of tables that customers could walk between, vendor tables now face outward so customers can walk around them giving

customers and vendors more space. Additionally, the Franklin County Farmers Market offers a business delivery, she said, where customers can order products from the Farmers Market online and have it compiled at the market and delivered to their business.

For Rogers, a pivot to selling plants helped her season be successful.

“We didn’t intend to do a lot of plants sales, but when we noticed that was what people wanted, we changed our model,” she said. “There were a lot of people who didn’t want to go to the grocery store and a lot who were cooking at home.”

Now, she said, as their season winds down, she’ll be doing a lot of reaching out to customers to see what they will be looking for in the coming year.

“Holiday sales are a boost for us, but it’s not our primary sales season,” she said. “In some ways, we’re kind of hunkered down for the winter. We’re going to have to do a lot of examining this winter, like we did last winter. And we’ll base our decisions on surveys that we’ll send to our customers.

But we need to figure out how can we be as flexible as we need to be as well.”

The Kentucky Arts Guilds’ Cather agreed that being flexible and connecting with clients is the best way for artists and other makers to sell into the holiday season.

“Artists are great marketers in their own right,” he said. “But through things like social media and live demonstrations online, artists are able to make a deeper connection with their clients, and demonstrate the process that art goes through. It’s a way for artists to build relationships.” BL

Abbie Rogers, of Dandelion Ridge Farm in Versailles, makes homemade preserves to sell at the Franklin County Farmers Market.

PHOTO FURNISHED

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Companies Adjust HR Practices for Changing Times From virtual interviews and remote work to flexible schedules and online skill assessments, the pandemic is reshaping the way we work

BY LISA GILLESPIE CONTRIBUTING WRITER

T

he global coronavirus pandemic is forcing employers across the world, including in Lexington, to shift routine human resource practices into the virtual world, from hiring employees based solely on video interviews, to moving an entire workforce to remote work indefinitely.

Companies like Valvoline, the 14th largest employer in the Lexington area, have moved the majority of hiring from in-person interviews to virtual. Valvoline’s Chief People Officer Jon Caldwell said video interviews represent a paradigm shift in hiring for both headquarter jobs in departments like finance, legal and information technology, in addition to the first round of auto service center worker interviews.

“A year ago, we probably would have never imagined hiring someone for a director-level position having not met them in person,” Caldwell said. “And yet, here we are.”

Hiring based on virtual-only interviews can have its downsides, according to Lexington-based HR consultant Karen Hawkins. She said some of the employers she works with are still conducting last-round interviews in person, which can be important for jobs that require specific soft skills.

“We had an interview … with two candidates who we really liked,” said Hawkins, founder of Hawkins HR Consulting. “One person did better than the other virtually, but

then in person it was the complete opposite.

The person who did well virtually, in person, was really awkward, but the other candidate who did well in person felt awkward talking to a computer — she was much more of a hands-on, people person, and that’s who we needed.”

Other large companies like Conduent, the sixth-largest employer in the Lexington area with about 2,500 local employees, are experimenting with creative ways to discern whether a candidate has the needed traits for a job. Since the start of the pandemic, the company has hired nearly 1,000 employees, and has recently launched a virtual assessment testing platform, according to senior manager Matthew Riggs. “[It] allows us to measure different traits and behaviors to better assess a candidate’s fit,” he said.

Conduent has also transitioned many employees to remote work, including the majority of its Lexington employees.

Before the pandemic, according to a Mercer survey of employers, company executives believed only about 45 percent of the workforce could adapt to a work-from-home model. Now, 82 percent of those employers say they plan to implement a more flexible remote work policy even after the pandemic ends.

“One trend that is here to stay in some form or fashion is the remote workforce,” Riggs said. “Companies will need to tailor their processes and programs to meet the needs of this new work model to enable flex-

ibility and provide appropriate support to employees.”

Caldwell, with Valvoline, said the company is also having similar discussions.

“For many roles, the flexibility to work from home can maintain, if not increase, productivity,” Caldwell said. “So, I think that there will be a greater openness to that on an ongoing basis.”

And for jobs that need to be in person, like in manufacturing, health care and retail work, some companies are shifting work schedules to accommodate employees’ personal lives, according to Lyle Hanna, president of Lexington-based Hanna Resource Group, including working longer shifts over fewer days.

That way employees have more flexibility to help with childcare and other responsibilities, he said.

For manufacturing employers, recruiting, training and retaining qualified employees while remaining focused on health and safety is critical, said Caroline Baesler, client and operations manager with Foundations Human Resources Consulting “That was a big issue before the pandemic hit, and now it’s become increasingly challenging,” Baesler said. “With all of the CARES Act changes, along with CDC and OSHA guidelines [on workplace safety], our manufacturing clients are focused on keeping their lines up and running while complying with all of these regulations and guidelines.”

Many employers are also adding or expanding mental health benefits.

Valvoline, for instance, promoted its employee assistance program more this year. Called “Life Navigator,” the program includes a hotline for employees to talk to a counselor about issues from financial stress to addiction.

Though Beverly Clemons, president of

CMI Consulting, said small employers in particular often can’t afford the price tag of these types of benefits, especially during a time of layoffs and economic struggle.

“These small businesses, the owners are just as stressed as their employees are; employers are worried about keeping their business open,” Clemons said. “So, while they care about their employees, there’s a lot of burdens on even small employers who are just trying to survive.”

There are some low- or no-cost initiatives that can assist employees, like more frequent manager check-ins and virtual face-to-face conversations, according to HR consultant Hawkins.

“Employers are having daily check-in morning meetings, which last maybe five to 10 minutes virtually; so that employees have to get up, get dressed as if they’re going into the office, and connect and see faces and even talk about personal things,” Hawkins said.

Other companies, like Valvoline, are trying to help workers as much as they can with new vacation and sick day policies. Caldwell said the company is combining the two so that employees can use time off for anything, like caring for a sick child. They’re also increasing the amount of time off workers with less tenure get.

“What we found was is our policy was very generous if you’ve been working here for a long time, and maybe under-market if you hadn’t,” Caldwell said. “The group that’s benefited the most are those service center employees who’ve been with the company less than a couple of years. Obviously now, more than ever, you don’t want people who are having symptoms coming into the workplace.”

Whether in person or remote, the priority remains keeping employees healthy and productive. BL

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Six Personal Considerations Before Selling a Business PRESENTED BY: MARY-ALICIA WELDON, City President, Lexington

B

usiness decisions are often intertwined with the impact they’ll have on the family, and business owners must understand the dynamics and value drivers of both—as well as how they overlap. It’s a strategic benefit to have a team of professionals who understand the valuation aspect of selling a business, in addition to having wealth expertise, during all stages of your business sale. This is especially true if you can find a team that can tailor its recommendations based on your goals and needs.

There are several personal and professional questions you may consider prior to selling your business, including:

1. What do you need from the sale?

Many business owners intend to fund retirement from the sale of their business, and they’re accustomed to cash flow from their day-to-day business activities. It may, therefore, be important to think about what aftertax proceeds are necessary to support your future needs.

A key variable for this analysis is understanding what your business is worth. An M&A advisor who understands the market and your industry may be best suited to help understand your valuation along with helping to evaluate strategic alternatives for the business. A thirdparty valuation specialist (many accounting firms have these groups) may also provide a market valuation, and these types of reports are often used for wealth planning purposes ahead of a formal sale process.

2. How does the sale fit into your estate plan?

Tax and estate planning can be important topics to think through, and wealth transfer strategies may provide opportunities to save on both income and estate taxes.

Transferring ownership interest to family members, trusts or other entities before the sale may help you take advantage of allowable valuation discounts and can reduce transfer taxes later. Transfers such as these are commonly weighed against future needs

and often considered nine to twelve months before any sale of the business, if not two to three years prior.

“In my experience, the most successful transitions occur when the planning starts, long before the owner has any serious intention of leaving the business,” says Troy Farmer, Regional Director, Wealth Planning at Fifth Third Bank. “Early strategic planning that coordinates both income tax planning as well as estate transfer tax planning can increase the eventual value of a business while minimizing tax impacts. It can help ensure that the owner can sell to their preferred buyers. And it can help them achieve their financial goals after the sale.”

3. What are your charitable intentions?

If you have charitable intent, strategic charitable giving can provide additional opportunities for tax savings. For instance, a charitable tax deduction in the same year that you sell your business may help offset the gains you incur.

Depending on the type of business entity and the individual’s tax and cash flow circumstances, business owners might consider donating shares of the business to a charity, donating cash from the sales of the business, establishing a charitable trust that provides a lifetime income stream, or creating a donor advised fund or a private foundation that can be used to distribute charitable contributions in the future.

4. What does the sale mean for you and your family?

As a business owner, you may have devoted your life to the business—growing it into a successful organization. Are you ready for what will be a major change? Have you determined what the sale will mean for children who may have been involved or planned to be involved in the business? Will an increase in wealth affect the family’s values and governance?

How does the business owner educate their descendants on handling wealth? You may consider how your dynamic may change and grow from the event.

5. Is your business handling any of your personal affairs?

Owners may have business expenses that were handled through the business, but that serve both business and personal purposes.

Consider, for instance, a vehicle purchase.

Once you sell the business, those expenses will fall to you again and the personal assistance will end—and these factors should be a part of the financial modeling for the sale.

“Evaluating desired cash flow post-sale will provide an estimate of the assets the business owner will need to achieve his or her goals and the amount of proceeds needed from the sale,” says Farmer. “That cash flow should account for personal expenses previously paid by the business as well as future expenses such as travel, a vacation home, to account for the owner’s desired lifestyle in retirement.”

Some business write-offs will become personal expenses. If your wealth is significant, you may want to consider a family office or other assistance with financial affairs.

6. Will you start another business?

What will your life look like after the dust has settled from this business sale? Are you headed into retirement, or will you put the proceeds into your next venture? What will you do with your time? Some options include devoting your time to travel, or becoming an angel investor to help the future generation of entrepreneurs start their own enterprises.

Creating an action plan can help you mentally make the transition from your current endeavor to the next stage.

As you’re considering these essential points, it’s important to have the right professionals in the early stages. That may include investment bankers, lawyers and accountants. To assemble your core team, consider looking for financial institutions that can serve as a strategic fit and bring to the table a variety of professionals who can help you determine what’s best for you, your family and your business from both a business operation and a wealth planning standpoint. Now is a great time to evaluate your options for your business and your wealth planning needs.

Fifth Third Bank can assist you with the future planning for your business and beyond by putting you in contact with team members qualified to support your specific needs.

Fifth Third Means Business™ 53.com/CommercialBank

This content is for informational purposes only and may have been derived, with permission, from a third party. While we believe it to be accurate as of the date of publication, it does not constitute the rendering of legal, accounting, tax, or investment advice or other professional services by Fifth Third Bank, National Association or any of its subsidiaries or affiliates, and it is being provided without any warranty whatsoever. Please consult with appropriate professionals related to your individual circumstances. Deposit and credit products provided by Fifth Third Bank, National Association. Member FDIC. Fifth Third Private Bank is a division of Fifth Third Bank, National Association, which is an indirect subsidiary of Fifth Third Bancorp. Banking, investment and insurance products and services are offered through or made available by one or more of Fifth Third Bancorp’s indirect subsidiaries. Investments, investment services, and insurance: Are Not a Deposit | Are Not FDIC Insured | Offer No Bank Guarantee | May Lose Value | Are Not Insured by Any Federal Government Agency CS4818109 Insurance Products made available through Fifth Third Insurance Agency, Inc.

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BizList

Please email questions regarding our BizLists to Sharon Metz at sharon.metz66@gmail.com.

Advertising & Creative Agencies Ranked by total number of local employees

Rank

Agency Name Address, Phone Website

Number of Local Employees

Active Clients

2020

Key Services

Creative Director

Top Local Official

Year Founded Locally

1

Cornett 249 E. Main St., Ste. 400 Lexington, KY 40507 (859) 281-5104 www.teamcornett.com

48

14

Full-service creative agency: creative direction, account management, consumer research, brand strategy, product launch strategy, campaign concepting, content strategy, digital strategy, ux design, social media strategy and execution, influencer partnerships, website and app development

Tim Jones (Executive Creative Director), Whit Hiler (Executive Creative Director)

Kip Cornett, (CEO & Founder) Christy Hiler (President)

1985

2

Right Place Media 437 Lewis Hargert Circle, Ste. 130 Lexington, KY 40503 (859) 685-3800 www.rightplacemedia.com

19

30

Traditional/digital media strategy, planning and buying

Joel Rapp

Joel Rapp (CEO/President)

2001

3

Bullhorn Creative 109 E. Loudon Ave. Lexington KY 40505 (859) 258-2244 www.bullhorncreative.com

13

40

Building impact brands with language and design

Adam Kuhn and Chris Jackson

Brad Flowers (Founding Partner)

2008

4

Trifecta!

149 Jefferson St. Lexington, KY 40508 (859) 303-4663 www.trifectaky.com

6

120

Web and print design, branding, digital marketing, hosting

Kevin O’Dea

Jonathan Moore (Partner), Kevin O’Dea (Partner)

2009

5

Big Echo Creative 401 W. Main St., Ste. 311 Lexington, KY 40507 (859) 309-5454 www.bigechocreative.com

4

30

Brand development, production/video editing, creative development, graphic design, social media, web design, copywriting, presentation development, media planning, art direction

Emily Conley

Emily Conley & Kevin Wathen

2014

6

Balance Creative 250 Walton Ave. Lexington, KY 40502 (859) 381-9510 www.balancecreative.net

3

20

Advertising, design, marketing, digital & social media

James Edmon

James Edmon & David Caldwell, (Principal Partners)

2012

6

Cre8ive Group 304 E. Main St. Wilmore, KY 40390 (859) 858-9054 x.22 www.cre8tivegroup.com

3

8

Business-to-business marketing, consumer marketing/ marketing to individuals, marketing and communications for associations, marketing and fund raising for non-profits

David Merrell

Chad Crouch (President)

1995

6

Hall Media, Inc. 710 E. Main St., Ste. 175 Lexington, KY 40507 (859) 629-6101 www.hallmediainc.com

3

16

Brand strategy, media planning, creative production and design, traditional and digital marketing services

Debbie Gilligan

Larry Hall (President)

1995

6

Stablemate Creative LLC 465 E. High St., Ste. 105 Lexington, KY 40507 (859) 277-0715 www.stablematecreative.com

3

27

Advertising strategy, media placement, creative services and graphic design, custom publishing, branding and corporate identity, website design and development

Kelly M. Johns (Partner)

W. Grady Walter II & Kelly M. Johns (Member/Partners)

2011

Group CJ * 341 Old Vine St. Lexington,KY 40507 (859) 338-1883 www.groupcj.com

NA

NA

Public awareness campaigns, full-service marketing firm

Connie Jo Miller

Connie Jo Miller

1987

Brand Advertising Group * 128 E. Reynolds Road, Ste. 250 Lexington, KY 40517 (859) 293-5760 www.baglex.com

NA

40+

Building impact brands with language and design

NA

Susie Merida (President)

2003

Williams McBride * P.O. Box 910433 Lexington, KY 40591 (859) 253-9319 www.williamsmcbride.com

NA

17

Branding strategy, graphic design, publication design and management, event and trade shows branding, content development, website design and development

Melissa Weber

Tim Smith (Principal)

1988

Media Merchant * 465 E. High St., Ste. 210 Lexington, KY 40507 (859) 389-6742 www.mediamerchantonline.com

NA

15

Full-service media creating, buying and placing ad agency.

In-house video production, graphic and all media design, media buying, and media placing on behalf of the client’s audience and demographic

Sarah Brown

Mark Tyree (President)

2005

TIE

TIE

TIE

TIE

Source: Information was obtained from Business Lexington questionnaire, company representations and websites. There may have been more companies eligible but they did not respond by given deadlines. Do to spacing, some information obtained may have been shorten.

Key: WND=Would Not Disclose, NA=Not Applicable, or Not Available Footnote: * Previous year’s figures, did not respond by deadlines.

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Please email questions regarding our BizLists to Sharon Metz at sharon.metz66@gmail.com.

Staffing Agencies Central Kentucky agencies ranked by number of placements 2020

Rank

Number of Placements (Full-time & Part-time) in 2016

Agency Name Address Phone Website

Disciplines, Skills Placed

Specific Services Provided

Locally Owned/ Franchised

Top Local Executive/ Headquarters/ Year Established

1

Alliance Medical & Home Care 3716 Willow Ridge Road Lexington, KY 40514 (859) 296-9525 www.alliancelexington.com

15,167

Specialty RNs; RNs; NPs; occupational nurses; LPNs; SRNAs; CMAs; KMAs; private duty caregivers; phlebotomists; sterile techs; surgery techs; occupational therapists; lab techs; and medical receptionists

Medical, industrial, seasonal; clinical/medical and home care (non-clinical)

Yes/WND

Jackie A. Howard (owner), Teresa Foster (manager)/ Lexington, KY/ 2007

2

Remedy Intelligent Staffing 1030 Monarch St., Ste. 300 Lexington, KY 40513 (859) 224-4455 www.remedystaff.com

5400

Sales, management; production; assembly; warehouse; forklift; customer service

Manufacturing, logistics, call center, agriculture, tourism

Yes/Yes

Lynn and Tom Braker/ Atlanta, GA/ 1994

3

Staffmark 1510 Newtown Pike, Ste. 134L Lexington, KY 40511 (859) 254-401 www.staffmark.com

1000+

Industrial; warehouse; factory (forklift, assemblers, pickers, packers, quality control, warehouse cleaners/sanitizers, MIG welders); clerical (project coordinators, administrative, data entry)

Industrial

No/No

Jaime Shutt, CSP (Regional Vice President)/ Cincinnati, OH/ 1995

4

People Plus, Inc. 2551 Richmond Road, Ste. 8 Lexington, KY 40509 (859) 246-1400 www.peopleplusinc.com

600

Administrative; financial; light industrial (manufacturing/ warehouse)

Temporary, temp-to-hire and direct hire needs, plus pre-screening and PEO services

Yes/No

Amanda Huddleston, EVP/ Madisonville, KY/ 2004

Kelly Services 2358 Nicholasville Road, Ste. 165 Lexington, KY 40503 (859) 373-0422 www.kellyservices.com

NA *

Disciplines, skills placed; direct hire, temp-to-hire: office clerical; marketing, customer contact center (call center inbound and outbound); light industrial, manufacturing; warehouse; assembly; production; shipping and receiving; forklift operators

Medical, industrial, seasonal

No/No

Grace Martin (Senior District Manager)/ Troy, MI/ 1959

Manpower of Central Kentucky 162 Old Todds Road, Ste. 280 Lexington, KY 40509 (859) 268-1331 www.manpowerlexington.com

NA

Manufacturing; picking/packing; call center; forklift; warehouse

Seasonal, industrial, office

No/Yes

Lynn Rothermund (Local Branch Manager), Tom Meher (Owner)/ Dayton, OH/ 1975

Metro Staffing Services 851 Corporate Drive, Ste. 122 Lexington, KY 40503 (859) 296-0180

NA *

Skilled; semi-skilled; management; engineers

Manufacturing services, temp to full time, direct placement

No/No

Gregory S. Pierson/ Galena, OH/ 2013 /

Precision Staffing, Inc. 2350 Sterlington Road Lexington, KY 40517 (859) 272-2030 www.precisionstaffing.net

NA *

Light industrial (e.g.; warehouse, assembly); clerical (e.g.; administrative assistants, call center); professional (e.g.; accounting, legal); skilled industrial (e.g.; maintenance, engineering, quality)

Direct hire/recruitment, temp-to-hire, staffing, temporary staffing, seasonal staffing, payroll, resume services, testing, training, strategic workforce analysis, pre-employment services

Yes/No

Kathy O’Daniel/ Lexington, KY/ 1981

Snelling Staffing Services 1025 Dove Run Road, Ste. 310 Lexington, KY 40502 (859) 233-0583 www.snelling.com

NA

Administrative; warehouse; production

Industrial, professional

Yes/Yes

Leela Von Behren, (President)/ Dallas, TX/ 1964

TEKsystems – Lexington 1792 Alysheba Way, Ste. 370 Lexington, KY 40509 (859) 519-2300 www.TEKsystems.com

NA *

Information technology jobs including: application architects and developers, business intelligence analysts, reporting analysts, data architects, ERP analysts and developers, project managers, business analysts, QA testers, etc.; network: cloud engineers, virtualization engineers, cabling technicians, network architects, network engineers and administrators, system/server engineers and administrators, network and security monitors, storage administrators, etc.; IT support: desktop and helpdesk support, IT technician, asset inventory specialists, IT trainers, technical writers, etc.

IT staffing, managed/co-managed services and complete outsourced solutions across all industries including state/local government, health care, financial services, higher education, retail, technology

Yes/WND

Morgan Newton, Lexington; Travis Rickards, Louisville/ Baltimore, MD/ 2013

Source: Business Lexington questionnaire, representatives and websites of named agencies. Other agencies were qualified but did not response by stated deadlines. Key: NA=Not Available, WND=Would Not Disclose. Footnote: *=Not updated information.

WHO’S WHO FOR YOU? Submit your company’s recent hirings, promotions, and awards for listing in the Who’s Who section of Business Lexington. Email a press release and photo to info@bizlex.com.

BusinessLexington

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BizLexQ&A

Mike Halligan The CEO of God’s Pantry Food Bank on meeting growing needs throughout the community

BY TOM WILMES BUSINESS LEXINGTON

W

hen Mim Hunt returned to Lexington in the 1950s after living in New York City, where she worked as a social worker, she turned her attention to those in need in her own hometown. Hunt began distributing groceries from the back of her station wagon, and stockpiled food donations at her home on Parkers Mill Road, which friends soon began calling “Mim’s pantry.” “I don’t fill these shelves,” she famously quipped.

“God does. This is God’s Pantry.”

From those humble beginnings in 1955, God’s Pantry Food Bank has grown to comprise four pantries in Fayette County, along with five distribution warehouses and a multitude of partner organizations across Central and Eastern Kentucky. While its scope has grown, the tradition of neighbor helping neighbor remains the same.

“This whole network has grown organically over the past 65 years because of the confidence, camaraderie and passion that everyone has for the mission,” said Food Bank CEO Mike Halligan, whose professional background includes working with Feeding America, as well as the Quaker Oats Company, PepsiCo and ConAgra Foods.

Mike and spouse Lori Halligan, executive director of the Living Arts and Science Center, moved to Lexington from Chicago in 2017. “One of the first things we noticed was how committed people are to making a difference in one another’s lives,” Mike said. “There are a lot of really compassionate people here, and the need is so great.”

Can you tell us about the scope of God’s Pantry Food Bank and its reach?

When we meet with a donor, or a volunteer or someone who hasn’t actually been to the food bank itself, and they walk into our warehouse, we often see their jaw drop their eyes pop out of their head. Because their visualization of food banking is the local food pantry or a shelter, where people congregate to access food. And then they walk into an operating warehouse, where right now we have more than $5 million worth of inventory. They see mechanized pallet jacks and semi-tractor trailers backing into the docks and being loaded with entire truckloads of food.

And then we talk about the 50 counties and 16,000 square miles that we serve and our fleet of 15 trucks that travel 235,000 miles a year, just in Central and Eastern Kentucky. We talk about the 400-plus food pantry and meal programs that we work through every day, where folks go when they are in a circumstance of experiencing hunger and need access to food. It’s a parallel supply chain to the food and grocery industry, but in the nonprofit world.

Where does the food come from?

There are three primary sources. About half of our food comes through donations, and those donations primarily come from grocery stores, food manufacturers, wholesalers, restaurants and other sources. That’s about 50 percent of our business, and about half of that we actually pick up from grocery stores all over Central and Eastern Kentucky. So, think about products that grocery stores aren’t selling for whatever reason, or they’re ready to do a trade-off on a merchandising promotion, or produce that may not be perfect in its presentation. It’s all still absolutely wholesome and consumable. We pick up about 10 million pounds of food a year, just from those grocery stores.

About half of that product is picked up directly by agencies we partner with, who take it directly to their pantry or meal programs so that it can get to people who are food insecure faster and not sit in our warehouse. We turn our inventory about once every two, to three weeks. Produce we turn in a day or two, and maybe three or four days for other perishable foods.

Then about a third of our goods come through USDA government commodity programs, and the last 10 percent or so we actually purchase. We spend in the neighborhood of $2 million a year buying food that we don’t get in adequate quantities. We try to have a similar mix of categories as a typical grocery store.

Right now, we’re seeing a little bit less on the donation side and a bit more on the USDA government commodity side. We’re also purchasing more. Our mix is a little different in terms of source, and that’s because of COVID-19 and the challenges in the food and grocery industry, where supplies have tightened. Consumers, reasonably and rightfully so, are nervous and so they’re stocking up. We’re still getting phenomenal donations, just not quite as much on a percentage basis.

Has need on the client side also increased? Absolutely. We measure this a couple of different ways, one of which is how many pounds of food we move in a month. Over the past six months, two of those months we’ve moved 4 million pounds and two have been 3.9 million pounds. Prior to COVID, it was more like 3.6 million pounds, so we’re up around 20 percent from a demand standpoint since March.

How do people gain assistance through God’s Pantry? It depends on what county you’re talking about. Gener-

PHOTO BY MARK MAHAN

ally speaking, people seek food assistance through a referral process. In Fayette County, for example, we partner with more than 200 social service organizations, such as the Nest, Greenhouse17, the United Way and the Community Action Council.

They will identify individuals as being food insecure, and connect them with our organization.

One of the things we focus on is getting new resources into the communities where hunger exists. It’s not a one-size-fits all solution. Pikeville is different than Lexington, and both are different than Harlan, Pulaski or Scott counties, for example. Even neighborhoods within those counties. We work with community leaders, nonprofits and faith-based organizations to support the needs on the ground and meet people where they are, and to do so in a very respectful and unassuming kind of way.

I imagine clients also come from all different backgrounds. There are many households that are one paycheck away from falling into food insecurity.

Now, having said that, I would also tell you that statistically there are more people of color — particularly African American and Latino — on a per capita basis who find themselves food insecure, versus other ethnic backgrounds. That has more to do with socioeconomics and the larger issues of poverty and other factors that can lead to food insecurity.

I would also tell you that hunger doesn’t discriminate. Throughout the pandemic, we’ve met people from all ethnic backgrounds who never expected to be hungry and were very secure in their livelihoods.

And all of a sudden, they find themselves needing food assistance for the first time, or needing to figure out how to balance between medical, housing, transportation and food costs. We’re just grateful to be able to help.

What, as an organization, do you need the most? The first thing I would say is donors, whether it’s individuals or from the local business community and whether it’s in the form of cash donations, food donations or volunteering.

I will say we’ve continued to see an outpouring of generous support from the donor community, even during a time that’s unprecedented and daunting. You know, earlier this year, we got a lot of donations that were exactly $1,200 [the amount of stimulus checks]. It’s been really heartwarming, and it gives me great confidence in the compassion of people. We’ve absolutely seen that. And, even though things may look a little different, it’s allowed us to gather and distribute more food than we ever have. Yes, we’re feeding people, but we’re also serving another important part of our mission, which is delivering hope. BL

22

DECEMBER 2020

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Who’sWho New Hires & Promotions The Junior Achievement of the Bluegrass board of directors has named Laurel R. Martin as president. Martin succeeds Lynn Hudgins, who retires as president after 22 years.

Padgett Construction has announced the promotion of Martin Kripenstapel to the position of project manager. Martin began in 2015 as in intern while earning his master’s degree in construction management at Eastern Kentucky University.

McBrayer firm announced the addition of Sean E. Mumaw to its newly completed estate planning team consisting of Mumaw, Ivan Schell, Alan Pauw, Virginia Lawson, Kenton Ball, Maxine Bizer, Courtney Hampton and Fred Rodgers.

EMPLOYMENT NEWS AND AWARDS IN OUR COMMUNITY

Keeneland has announced four new additions to its advisory board of directors: Gatewood Bell of Cromwell Bloodstock, Coolmore’s Aisling Duignan, Juddmonte Farms’ Garrett O’Rourke and Sarah S. Reeves of Stoll Keenon Ogden. Nick Nicholson, Keeneland president and CEO from 2000-12, and J. David Smith Jr. of Stoll Keenon Ogden are retiring from the Keeneland board.

Community Trust Bank has announced the promotion of Nicholas T. King to vice president, staff attorney.

Lexington Mayor Linda Gorton today named Major Lisa Farmer as director of community corrections at Lexington’s Detention Center.

Susan Simmons, executive vice president and human resource

MARTIN

KING

FARMER

director for Central Bank, has been elected to serve as board chair of the Kentucky Chamber Workforce Center for the 2020-21 term. Susan Brewer, human resources director at Gray Construction, will serve as board chair-elect for 2021-22. Serving with Simmons and Brewer on the Workforce Center’s executive committee will be immediate past chair, Michael Rodenberg, Murakami Manufacturing USA; treasurer, Mark Guilfoyle, Dressman, Benzinger & LaVelle,

MORGAN

PSC; and secretary, Ray Daniels, Equity Solutions Group.

Kudos Recent appointee to the Eastern Kentucky University School of Business Advisory Council, Dale Morgan was named the 2020 recipient of EKU’s distinguished Professional Achievement Award. Morgan has also been appointed by Gov. Andy Beshear to the Commission on Small Business Advocacy.

SLAGER

MATHEWS

Frontier Nursing University Dean of Nursing Joan Slager, CNM, DNP, FACNM, was inducted as a Fellow in the American Academy of Nursing (AAN). Slager was selected for the AAN Fellowship in acknowledgment of her outstanding contributions and impact on nursing and health.

Marc Mathews, Transylvania University’s vice president for finance and business, has announced his plans to retire at the end of this academic year. BL

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YOUR FINANCIAL FUTURE! Here at Commonwealth Credit Union, we believe in the power of financial education and empowerment.

It’s no mystery that many high school graduates enter the next phase of their life without a foundation in personal finances. The good news? That’s all about to change. Thanks to the Financial Empowerment Commission, this year’s freshman class will be the first to graduate with a financial literacy requirement, and the Commission is helping make that happen without any additional tax burden on our communities. How? By partnering with proud participants of the Kentucky Credit Union League.

That’s where Commonwealth Credit Union comes in. Not only are we committed to providing financial resources through the Commission, but we believe in a boots-onthe-ground approach when it comes to impacting our communities with financial education.

We spent the 2019-2020 school year crafting an online financial education platform, and one area school served as the launching pad for this financial education endeavor like no other. Our goal was to make financial education more accessible, exciting, and personal. What we ended up with was our Financial Rockstar Program that won us an industry award from the Kentucky Credit Union League. With this program, we intend to help

equip high school students with the knowledge they need to become financially savvy adults.

Beyond simply providing access to this platform, though, we spent time in the 2019-2020 school year interacting with the students, answering their questions, and serving as a resource for financial guidance. Through being active, present, and involved, we were able to become a part of the tapestry of schools throughout Central Kentucky and the Louisville Metro Area.

We had plans for expanded involvement in the 20202021 school year, but as you know, school looks a bit different this year. Instead, we have taken this opportunity to launch a much more robust online program and virtual workshop offerings. This has allowed us to expand our financial empowerment efforts to other high schools, colleges and universities, and even businesses and community groups.

Inspiring individuals of all ages and circumstances to increase their financial health is what it’s all about. We are committed to continuing to provide resources for Financial Empowerment among our schools, businesses, and community.

LEARN MORE AT CCUKY.ORG/EMPOWER

INSURED BY NCUA