05 SBDC Report by l09kkko

VIEWS: 280 PAGES: 36

									  NYS S                                      As a network of regional service centers,
       mal
      Businl
           e                                 the New York State Small Business
     Develoss
THE  Center pment
      STAT                                   Development Center delivers quality
         E   UNIV
                ERSIT
                     Y of
                            NEW
                                  YOR

                                             business counseling/advisement,
                                    K




                                             research and training to New Yorkers
                                             who want to start or improve the
                                             performance of a business.




                                    Enhancing Productivity
                                    for New York Small Businesses


                      Small Business Development Center



      2007     annual
              program
                report
      www.nyssbdc.org
Written by D. Michael Ross             The NYS SBDC extends its services to
                                       the public on a non-discriminatory basis.
Design by David Schillinger            Reasonable accommodations for persons
The State University of New York       with disabilities will be made if requested
Office of Design & Printing            at least two weeks in advance.

A Partnership Program with the SBA,    Funded in part through a cooperative
administered by The State University   agreement with the U.S. Small Business
of New York                            Administration. All opinions, conclusions
                                       or recommendations expressed are those
                                       of the author(s) and do not necessarily
                                       reflect the views of the SBA.
     Message from
     the Governor
I am proud that during 2007 we made significant progress in addressing many of the com-
plex social, political, and economic challenges in New York’s Innovation Economy. Central
to these efforts is our “City by City” Economic Development Plan, which takes a uniquely
focused approach to solving the diverse issues facing each area of our large and dynamic state.
Abandoning a “one-size-fits-all” approach to economic development means we can respond
to specific regional state priorities in appropriate ways, while reducing the cost of doing
business in New York and strengthening infrastructure throughout the State.
The New York State Small Business Development Center (SBDC) – a partnership among
the State of New York, the U.S. Small Business Administration, the private sector, and
led by higher education – is central to New York’s efforts in helping citizens realize their
dreams of economic independence through small business ownership. The State
University of New York (SUNY), along with educational partners the City University of
New York (CUNY) and independent universities, hosts the SBDC’s distributed network of
regional centers and service outreach locations. This network enables the SBDC to foster
entrepreneurship and innovation in a manner sensitive to the needs and traditional
strengths of each region.
Since 1984, the SBDC has helped more than 272,000 New Yorkers expand their local
economies by investing over $3.4 billion in their businesses – both new and already in
existence – creating and preserving 127,000 jobs in our state. These entrepreneurial
citizens have built stronger futures for themselves, their families, and their communities.
I commend the SBDC for its efforts that focus on the future of small businesses and the
health of the statewide business community by designating Productivity and Technology
Centers in key areas of our State. SBDC Advisors within these centers receive extra
training in technology, efficiency, and sustainability issues which enables them to further
assist New York’s small businesses. Hiring business advisors with skills in these areas will
help expand the knowledge base of the SBDC network. A strong business community,
with stable small businesses, is necessary for our new innovation economy.
New York faces serious competition, not only from within the U.S., but from expanding
economies around the world. By finding more effective ways to increase our productivity
and competitiveness, we will help guarantee a bright future. The SBDC is certain to
continue to have a key role in achieving this goal as we look forward to an era of
unprecedented growth and leadership in the 21st century.




                                                Eliot Spitzer
                                                Governor of New York State

                                                                                                  1
                                                   Enhancing the Productivity
                                                   of New York’s Small Businesses
                                                      For almost a quarter-century, the    delivery centers, which are located
                                                   New York State Small Business           on SUNY campuses as well as the
                                                   Development Center (NYS SBDC)           campuses of SUNY’s educational
                                                   has provided New York entrepre-         partners, including the City
                  Celines Toribio                  neurs and small businesses with the     University of New York (CUNY)
                                                   highest-quality, pro-bono, confiden-    and a few private universities.
                                                   tial business counseling, training,

              Bronx                                and industry-specific business
                                                   research.
                                                                                              Any New York resident who
                                                                                           wants to start a small business –
                                                                                           or improve the performance of an
    Celines Toribio, born in the Dominican            Funded by a public-private part-     existing business – can make an
    Republic, for the last 15 years has resided    nership consisting of the U.S. Small    appointment at any SBDC regional
    in New York City. In 1996, she graduated       Business Administration, New York       office. Clients receive personalized,
    from Lehman College with a bachelor’s
                                                   State, local communities, and pri-      confidential business counseling and
    degree in mass communications and the-
    ater. A year before completing her degree,     vate industry, as well as host educa-   training, and focused, industry-spe-
    she served as host of several Univision        tional institutions, the SBDC works     cific research related to the success
    Television Network shows, such as Primer       to foster New York’s economy by         of his or her business.
    Impacto and El Gordo y La Flaca. But she
                                                   promoting the formation and con-
    is best known as co-host of the most                                                      Approximately 50 percent of the
    popular Spanish language morning radio
                                                   tinued stability of small businesses.
                                                   The SBDC fosters sound business         businesses the SBDC assists are
    program in New York, “Coco y Celines de
    6 AM-10 AM.” Her passion for entertain-        practices among small business          enterprises in existence for more
    ment and dedication to the Hispanic com-       entrepreneurs by focusing on            than five years that need help
    munity inspired her to open a beauty and                                               resolving productivity, marketing,
                                                   innovation, productivity, quality,
    education facility that provides modeling,
                                                   efficiency, finance, marketing,         financial, inventory, personnel,
    art, and etiquette classes. Toribio worked
    with Jenny Tejada, SBDC Business Advisor       exporting, cost-benefit analysis,       management, succession or other
    at Lehman College, in developing industry      and technology applications.            issues that are impacting profitabili-
    research, a winning business plan, and                                                 ty. The SBDC also helps stabilize
    business certification applications, as well                                           existing local economies by assisting
                                                     Since the program was established
    as a loan package and bank referral.
                                                   in 1984, the SBDC has worked            entrepreneurs with new business
    The result was $400,000 in funding – a
    $250,000 SBA-guaranteed loan from a            with more than 275,000 New              start-ups, a key contribution to
    commercial bank, plus $150,000 in owner        Yorkers, helping them locate over       New York’s dynamic business
    equity. Toribio opened Celines Toribio         $3.4 billion to start or grow their     environment.
    Academia de Arte y Belleza, in the Bronx.
                                                   businesses, and creating or saving
    With classes taught by professionals, it is
                                                   more than 127,000 jobs.                   The SBDC mission is to counsel
    the only bilingual art and modeling center
    in the metropolitan area that offers
                                                                                           and assist small business owners,
    reasonably priced classes to low-income           The State University of New York     and those planning to go into busi-
    students. According to Celines Toribio,        (SUNY) administers the SBDC and         ness, with the help they need to be
    “Jenny Tejada and the Bronx SBDC had the                                               successful. SBDC business advisors
                                                   its network of 23 integrated service
    professional business expertise I needed.
                                                                                           do not supply the business decisions
    They were wonderful.”



2
or judgments; rather, they provide       • Research and
education and tools so that owners         Development Funding
can make their own informed busi-        • Intellectual Property Issues
ness decisions. SBDC business
                                         • Technology Networking/
advisors make recommendations
                                           Resource Identification
and suggestions as appropriate,
                                         • Alternative Financing (Equity)
based on their extensive business
training, experiences, and resources     • SBIR Assistance and Promotion
to assist you in your business           • Industrial Effectiveness
decisions.                               • Energy Efficiency                           Bob Courson and Bill Everts
                                         • Sustainability


                                                                                Jamestown
                                         • Critical Efficiency Analysis.
An Emphasis on
Productivity Improvement                  A system of measures of produc-
   During this program year, the       tivity improvement, training, ser-
SBDC established Productivity/         vices, networking and marketing          Bob Courson is a Gulf War veteran
                                                                                with a number of serious disabilities. In
Technology Centers at strategic        activities has been committed to
                                                                                November 2006 he began working with
SBDC locations within New York         for increased competitiveness for        Senior Business Advisor Bill Everts at the
State. Advisors designated at each     assisted businesses. Client evalua-      Jamestown SBDC on realizing his dream
of the selected centers are charged    tions and changes in business            of opening a gun shop were he could sell,
with raising the awareness of                                                   repair, and recondition guns and related
                                       condition are the key milestones
                                                                                equipment. After evaluating a number of
issues that impact small business      used to gauge progress and results.      locations, Courson found a building in
productivity. SBDC Advisors                                                     Greenhurst that he could purchase on a
identify key partners to further         Historically, larger businesses        land contract. Everts helped him develop
assist small business owners in        that thrive place a high importance      a plan to finance and use this building.
                                       on productivity improvement; but         Courson himself performed the extensive
addressing productivity issues,
                                                                                building renovations, including the installa-
including: university resources,       for smaller enterprises other issues
                                                                                tion of a small machine shop to work on
associations, federal/state labs,      – e.g., staff, sales, and just meeting   guns. The cost of renovation and initial
NYS Centers of Excellence, and         payroll – have more urgency for          inventory amounted to $125,000, which
                                       an overworked entrepreneur. This         Courson obtained through the sale of some
others. These specialists also
                                                                                property. After being in business for a
share expertise across the system,     new SBDC small business focus on
                                                                                month, he saw the opportunity to bid on
advocating and educating to            productivity improvement helps           providing “night vision “equipment for a
make small business productivity       push productivity to the forefront       local law-enforcement unit, but to do this,
improvement a priority statewide.      in small business planning and           he would need additional funding. Everts
                                                                                helped him apply for a small micro-enter-
                                       should have a significant impact
                                                                                prise loan from Chautauqua Opportunities
  The Productivity Advisors have       on small business client profit-         for Development, Inc. With this $14,000
knowledge in areas of productivity     ability and survivability in New         loan, Courson successfully bid on the
and technology enhancement,            York State.                              night-vision contract. Open for just five
including:                                                                      months, Courson’s Calibers is averaging
                                                                                over $3,000 in weekly sales and growing
  • Technology Transfer and                                                     into the area’s primary sales outlet for guns
    Commercialization                                                           and related equipment. Says Courson, “The
                                                                                services Bill Everts and the SBDC offered
                                                                                were phenomenal. I could never have
                                                                                started my business without the SBDC.”



                                                                                                                            3
                                                       The SBDC retains its priority          • 94 percent said their inquiries
                                                     of assistance for manufacturers,           received prompt attention
                                                     exporters, companies in economically     • 81 percent said they could
                                                     distressed areas of New York, and          not have afforded private
                                                     projects that advance the job devel-       counseling services;
                                                     opment, investment, and economic
                                                                                              • 94 percent said they would
                                                     growth priorities of New York State.
                                                                                                recommend SBDC services to
                                                     In addition to the aforementioned,
                                                                                                other small businesses; and
                                                     the SBDC emphasizes business
                                                                                              • 93 percent said they received
                   Elaine Wilshire
                                                     assistance programs for women,
                                                                                                specific recommendations that
                                                     minorities, and people with special
                                                                                                improved the bottom line of
                                                     needs.

                 Pace
                                                                                                their businesses.
                                                       The SBDC places a special
                                                     emphasis on helping New York
                                                                                            Award-Winning
    In 1997, when Elaine Wilshire was laid off       veterans and members of National
                                                                                            Professional Business Advisors
    from her administrative position at a large      Guard and Reserve units. These
    New York hospital, she saw it as an oppor-       patriotic men and women sacrifice         At the heart of every SBDC
    tunity to pursue her true passion for acces-                                            project and initiative are talented,
                                                     years of their lives to defend our
    sory design. She took courses in handbag                                                dedicated business advisors who
    and shoe design. Although hampered
                                                     country. Some are called on to
                                                     make the ultimate sacrifice. We can    have just one goal in mind: assisting
    most of her life by a chronic optical disabil-
    ity, she found it wasn’t a problem as she        help repay our debt to the small       small business owners and those
    worked on original designs as part of her        business owners in their ranks, in a   who want to become small business
    class assignments. When her work                                                        owners. SBDC business advisors
                                                     small way, by working to see that
    inspired appreciation and admiration from
                                                     they enjoy the benefits of the free    undergo a rigorous professional
    colleagues and friends, Wilshire decided to
    go into business for herself. Her company,       enterprise system they have helped     development and certification
    Elan-Sa International, has been designing,       to preserve. For more information      process to continually improve their
    manufacturing, and distributing designer                                                expertise and sharpen their skills.
                                                     about the New York SBDC Veterans
    handbags–“Unique Bags for Unique
                                                     Business Outreach Center program,      The ambitious SBDC basic business
    Women”–since 2003. With her merchan-
    dise selling briskly at street fairs and local   see page 11.                           certification program has been aug-
    stores, Wilshire needed additional capital                                              mented by an advanced certification
    and marketing advice to take advantage of                                               program, which requires at least
    growth opportunities. At the suggestion          What do SBDC Clients Think             five years of additional training and
    of the Thypin Oltchick Institute for
    Women’s Entrepreneurship – an arm of the
                                                     About SBDC Services?                   experience, active participation in
    Federation of Jewish Philanthropies of New          The SBDC asks all clients to        statewide program initiatives, and
    York–Wilshire contacted Pace University          evaluate the services provided by      participation in the local business
    SBDC Business Advisor Catalina Castano                                                  community.
                                                     conducting a post-counseling evalu-
    for assistance with her business plan and
    marketing strategies. Working together,          ation survey to find out how we
                                                                                              SBDC business professionals are
    they charted a course for Elan-Sa                can improve services. Results from
    International. With her completed busi-
                                                                                            well versed in the latest financial
                                                     surveys conducted in 2007 indicate
    ness plan, Wilshire received a grant from                                               and management tools available to
                                                     that almost all clients are very
    the New Start Fund. According to Wilshire,                                              small businesses. SBDC business
    “Catalina Castano and the SBDC were a
                                                     satisfied:
                                                                                            advisors identify business technolo-
    great help to me and my business.”
                                                                                            gy options that best suit the client’s



4
needs, and help analyze the factors         Walter Reid, certified business
in software or hardware decisions to      advisor at the at Farmingdale State
ensure the client arrives at the best     University SBDC, was honored
decision. SBDC advisors advocate          with the 2007 “Star Performer
for the adoption of appropriate           Award” by the Association of Small
money-saving technology for their         Business Development Centers at
clients’ businesses.                      their annual national convention in
                                          Denver. In just the past two years,
   It is up to the client to choose       Reid has counseled over 684 small
the best product and price. SBDC          business owners and entrepreneurs.                     William Ketcham
advisors do not make recommenda-          These businesses have invested over
tions to purchase goods or services       $23.5 million in capital in their
from any one individual or firm.
Likewise, if the client needs to
retain legal, business accounting,
                                          local communities, and have created
                                          and saved over 540 jobs. Reid is         Binghamton
                                          symbolic of the dedication and
or business insurance help – and          expertise of the SBDC’s extraordi-       Aviation is in William Ketcham’s blood. A
almost every business requires these      nary cadre of business advisors.         retired US Navy Gulf War veteran, for over
resources at some time – the SBDC                                                  20 years Ketcham served as an aircraft
                                                                                   mechanic and flight engineer at Naval air
can provide a list of professionals in
                                                                                   stations around the world. After leaving
the client’s area along with criteria     A Diverse Clientele                      the service, he returned home to the
to consider. It is up to the client to       Despite the perception that the       Southern Tier and became an aircraft
decide which service providers best       NYS SBDC focuses primarily on            mechanic at FirstAIR, the sole-provider
suit his or her needs and budget.                                                  aircraft repair facility at the Greater
                                          “mom-and-pop” enterprises just
                                                                                   Binghamton Airport. Over several years,
                                          getting started, the program actually    Ketcham’s unique expertise and reputation
                                          works with an equal number of            for quality, federally certified repair on both
Recognizing SBDC’s                                                                 commercial and private aircraft made
                                          existing and start-up businesses.
Outstanding Advisors                                                               FirstAIR one of the most respected compa-
                                          SBDC-assisted businesses are excep-
                                                                                   nies in the field. Ketcham was also
   At the annual Staff Training event     tionally diverse, including high-tech    responsible for the repair and certification
this year, the SBDC recognized            manufacturers, pizza parlors and         of ground support equipment at the air-
seven outstanding business advisors       delis, software developers, artists      port. When the owner of the business
from across the state with “Advisor                                                decided to explore opportunities else-
                                          and crafters, physicians, clothing
of the Year” Awards, signifying con-                                               where, Ketcham saw an opportunity.
                                          designers, inventors of state-of-the-    Working with the Binghamton SBDC’s
sistent excellence in professional ser-   art processes and devices, and others    Doug Boyce (himself a former Navy avia-
vices, outcomes, and client satisfac-     representing innumerable industry        tor), Ketcham developed a business plan
tion. A key determinant in making         niches.                                  and set of financial forecasts for his own
these awards is the degree of satis-                                               company, North Country Aviation Services,
                                                                                   that allowed him to arrive at a fair purchase
faction expressed by the advisor’s          The diversity of these businesses is
                                                                                   price with the owner as well as to convince
clients throughout the past year.         testimony to the range of expertise      commercial lenders to help finance the
John Narciso (Farmingdale) received       among SBDC center directors and          purchase. The $135,000 package consisted
the top honor in 2007, followed by        business advisors. Did you know,         of a conventional bank loan, an SBA-
                                                                                   guaranteed loan, a revolving line of credit,
Myriam Bouchard (Mid-Hudson),             for example, that among the busi-
                                                                                   and the client’s equity investment. Says
Sam Kandel (Mid-Hudson), Ulas             nesses assisted by the SBDC are a        Ketcham, “Doug Boyce and the SBDC
Neftci (Midtown Manhattan), and           landmark hotel restored to 1912          worked with me to develop a once-in-a-
Bill Grieshober (Buffalo).                                                         lifetime opportunity. I couldn’t have
                                                                                   done it without them.”

                                                                                                                                     5
                                                   elegance; several gourmet food cre-      as important, these companies had
                                                   ators; a mine that sells tons of rock    made significant economic and
                                                   salt to New York and neighboring         public service contributions to their
                                                   states; several restaurants and eclec-   communities. In 2005 and 2006,
                                                   tic cafes; a manufacturer of armor       SBDC welcomed six additional
                                                   plating for Humvees; a farm that         small businesses to the Hall of
                                                   converts cow manure into electrici-      Fame.
                                                   ty; a research firm developing a
                                                   human blood replacement; a world-          Each member of the Hall of Fame
                                                   famous designer of women’s cloth-        symbolizes the long-term impact of
From left, Robert Tian (UAlbany MBA student
intern), Bill Brigham, Jim Riccardi (owner of      ing; a New York harbor tugboat           a healthy and vibrant small business
Materials Recovery Company), Jinshui Zhang                                                  environment: success and prosperity
                                                   operator; and a company that moni-

            Albany                                 tors driver licenses for corporations
                                                   and government agencies.
                                                                                            for the entrepreneur/owner and
                                                                                            employees, for the communities in
                                                                                            which they do business, and for
    China today has the fastest growing               The NYS SBDC recognizes out-          the state as a whole. The SBDC
    economy in the world. If you are a small       standing small businesses as success     measures its success one entrepre-
    New York business, how do you turn this        stories in this report and presents      neur at a time, and each Hall of
    growth to your advantage? Jim Riccardi,
                                                   Entrepreneur of the Year awards at       Fame member represents thousands
    president of Materials Recovery Company
    (MRC), in Albany, found the key to export
                                                   its annual conference. In addition,      of New Yorkers who contribute to
    at the SBDC. MRC operates a metals             a committee of regional center           the economic health of the state
    recovery and recycling system that trans-      directors and advisors selects “the      by starting or expanding a small
    forms incinerated municipal waste into         best of the best” for induction into     business.
    low-cost, high-quality non-ferrous metals
                                                   the NYS SBDC Small Business Hall
    for secondary smelters. In 2002, Riccardi
                                                   of Fame. As of 2007, 38 exception-         In 2007, three outstanding com-
    met with Jinshui Zhang, the New York
    State SBDC’s International Trade Specialist,   al businesses have been named to         panies were named to the SBDC
    and later accompanied Zhang on one of the      the Hall of Fame. You can read           Hall of Fame:
    SBDC’s frequent trade delegations to China
                                                   about these diverse and successful
    on behalf of New York’s small businesses.                                                 Gerald J. Hace is the president
    Riccardi wanted to meet directly with          small businesses at the NYS SBDC
                                                                                            and CEO of Gooding Company, Inc.,
    Chinese officials and develop partnerships.    Web site, www.nyssbdc.org.
                                                                                            one of the nation's oldest and most
    At about the same time, the SBDC Regional
    Center at the University at Albany received                                             experienced printing firms. Gooding,
    a grant from UA alumnus Guy Alonge to          The SBDC Small Business                  the oldest business in Lockport,
    place MBA students at local businesses.                                                 manufactured snap-set and business
    One of these students, Jia Xu, prepared
                                                   Hall of Fame
                                                                                            forms for several decades. Hace is
    MRC executives for follow-up trips to            In 2004, the SBDC inaugurated
    China. Under the supervision of Zhang                                                   the first non-family member to own
                                                   the NYS SBDC Hall of Fame and
    and SBDC Albany Regional Director Bill                                                  and run Gooding Co. Inc. in its
                                                   inducted 32 outstanding New York
    Brigham, Xu translated the company’s                                                    114 year history. Under Hace’s
    brochures into Chinese, designed a new         small businesses. All inductees were
                                                                                            leadership, with help from the
    company website in Chinese, traveled to        long-term clients of the SBDC,
    China with MRC, and responded to sales
                                                                                            Niagara SBDC, Gooding has
                                                   and had made a success of their
    inquiries from China. China now accounts                                                evolved into a 21st century supplier
                                                   businesses over the course of years,
    for approximately 60 percent of MRC’s                                                   of packaging (inserts and outserts)
    sales. Says Riccardi, “The combination of a
                                                   overcoming obstacles and adjusting
                                                                                            for the pharmaceutical and con-
    public agency – the SBDC – and academia        in response to changing market
                                                                                            sumer industries. With assistance
    has helped make this a successful company.”    conditions. In addition, and just


6
from the SBDC, the company’s               Shining Stars Daycare, and its
recent economic impact is well over      principals Stella and John Penizotto,
$2 million. Employment has grown         have been working with the
from 15 full-time employees in           Onondaga SBDC for more than a
1990 to 32 employees today. The          decade. The clients built a very
Niagara SBDC has worked with             good business in a tough industry:
Hace since he began making plans         childcare. They have expanded
to purchase the company                  their center six times, starting with a
in 1990.                                 capacity of 32 children and expand-
                                         ing to facilities that accommodate            Myriam Bouchard, Valerie Carelli,
   Chris Collins, Joseph McMahon,        244 children. Partnering with other             Andy Taylor and Jim Treloar
and Robert Schlehr, clients of the       Syracuse agencies, the Penizottos
Niagara SBDC, formed Audubon
Machinery Corporation in 2004 and
acquired the assets of Oxygen
                                         run a number of specialized pro-
                                         grams, including one for autistic         Mid-Hudson
                                         children three to five years old.
Generating Systems, Inc. (OGSI).         With SBDC assistance, Shining             As experienced educators, Valerie Carelli,
OGSI manufactures oxygen systems         Stars has won multiple health and         Jim Treloar, and Andy Taylor knew that an
for medical, agricultural, water                                                   online tutoring service could help large
                                         safety grants from the NYS Office
                                                                                   numbers of youngsters supplement their
treatment, and industrial purposes.      of Children & Family Services.            learning in an economical way. In 2006,
Another acquisition by the partners,     They are currently planning a new         they formed LEARNER FIRST, an online
Schlyer Machine Corporation, man-        daycare center near a Lockheed            tutoring service with a focus on students
ufactures equipment for medical                                                    from K through 12. Their goal was to be
                                         Martin facility, based on corporate
and other types of research. With                                                  approved as a New York State Supplemental
                                         plans to hire more engineers and an       Education Service (SES) provider, part of
SBDC assistance, the partners con-       employee survey demonstrating the         the “No Child Left Behind Act” of 2001, and
solidated operations into Wurlitzer      need for childcare. Shining Stars         locate funding sources. Also interested in
Capital Group LLC in 2005 and            currently employs 63 people.              finding incubator space for the company,
moved to a new 40,000 square foot                                                  the team contacted the Mid-Hudson Small
                                                                                   Business Development Center in January
manufacturing facility in North
                                                                                   and Business Advisor Myriam Bouchard
Tonawanda. Audubon recently              A Web-Based Management                    worked with them, refining their business
received Green Building                  Tracking System                           plan and reviewing marketing and pricing
Certification from the US Green                                                    strategies. The SBDC Research Network in
                                           One of the keys to success for the
                                                                                   Albany provided an applications template
Building Council for building its        SBDC over the past 22 years has           for acquiring government support. By
new facility on a remediated brown-      been an electronic management             April, LEARNER FIRST was approved for
field and implementing measures          tracking system, called WebMQS            space in the SUNY Ulster Small Business
such as using recycled materials and     (Web-based Management Quality             Incubator. They soon received all state-
installing highly energy efficient                                                 mandated certificates and began an
                                         System). WebMQS enables SBDC
                                                                                   aggressive public relations campaign.
systems. Currently, the SBDC is          staff in 23 regional offices to man-      They also closed on a $60,000 business
working with Joe McMahon, from           age client relationships and capture      loan from a local savings bank, invested
another division of Wurlitzer –          information about every aspect of         $12,000 of their own equity and created
Wurlitzer Water Works, to develop a                                                14 full-time jobs. By April 2007, LEARNER
                                         those relationships, including the
                                                                                   FIRST had become an official SES provider,
business plan for manufacturing and      services provided to them and the         serving more than 60 students and several
distributing self-contained sterile      outcomes of the assistance. This          key school districts and administrators.
water bottles for animal testing labs.   statewide tracking allows the SBDC        According to the partners, “Myriam Bouchard
                                                                                   was wonderful. We want students to feel
                                                                                   as confident in LEARNER FIRST as
                                                                                   we are in the SBDC.”
                                                                                                                             7
                                                 to anticipate changes and trends in        Following these changes, atten-
                                                 the New York State small business       tion shifted to less visible aspects of
                                                 community, issue accurate and           the website, including search-engine
                                                 detailed periodic reports on progress   optimization and web-marketing
                                                 and services rendered, and ensure       concerns. This effort included the
                                                 that individual clients receive the     addition of metadata (descriptive
                                                 highest-quality business counseling,    words) to describe online content
                                                 training, and research. WebMQS          and an increased use of web analytic
                                                 maintains the records of over           tools to accurately track site visitor
                  Jill Frechtman
                                                 272,500 New York businesses and         statistics. The goals are twofold: to
                                                 entrepreneurs that have been served.    increase traffic to the NYS SBDC
                                                                                         website and to serve as an example

Farmingdale                                         WebMQS enables SBDC staff
                                                 at regional centers and the central
                                                 office to enter data and see counsel-
                                                                                         for SBDC clients interested in
                                                                                         promoting their own websites.

    On weekends as a youngster, Jill             ing and training activity in a real-       After analyzing page content, key-
    Frechtman worked alongside her mother        time environment via a secure web       words were selected, based on words
    to create delicious chocolate-and-pretzel    site. The system gives an up-to-        and phrases typically used by those
    confections. Years later, while working
                                                 the-minute view of the entire NYS       searching the web for small business
    as an assistant art director for a large
    Madison Avenue advertising agency,           SBDC network, expediting assess-        assistance. These words were then
    Frechtman recreated some of these tasty      ment of services, and permitting a      incorporated into page metadata:
    treats for a holiday party and bowled over
                                                 highly accurate analysis of demo-       page descriptions, keyword tags, and
    her colleagues; they encouraged her to
    turn her hobby into a business. Thus,        graphics and economic trends            title tags. This data provides visitors
    “Fretzels by Jill” were born in 2001.        across the State.                       with better information (title tags
    Fretzels by Jill are hand-dipped, gourmet,                                           appear at the top of a browser
    chocolate-covered pretzels, embellished
                                                                                         window, offering visitors a quick
    with an array of distinctive toppings.
                                                 Visit the SBDC                          overview of page content). The data
    With her strong background in marketing,
    Frechtman launched her business success-     at www.nyssbdc.org                      also provides search-engines with
    fully. The public can purchase Fretzels         This year began with a major         additional key topics to discover,
    online at www.fretzels.com. In 2006,
                                                 overhaul of the NYS SBDC web-           including specific names, geogra-
    Frechtman contacted SBDC Business
    Advisor Ritu Wackett, at the Farmingdale     site’s appearance and organization.     phies and services. In aligning
    SBDC. As a result of their interaction,      Features like “What’s New” and          popular search terms with webpage
    Frechtman received media coverage that
                                                 “NYS SBDC in the News” were             content, the percentage of web
    would make a publicist envious. She has
    been featured on the Today show, The         added to the homepage, highlight-       visitors referred by search engines
    Rachael Ray Show, and Channel 7              ing SBDC events and keeping             has increased, and the NYS SBDC
    Eyewitness News. She has also appeared       homepage content fresh and timely.      appears in higher positions in web
    in OK Magazine, Long Island Pulse, and
                                                 The homepage also gained an             searches.
    Long Island Business News. Frechtman is
    looking into acquiring her own commercial    “Expert Advice” column, promoting
    kitchen, rather than renting space. She      the small business expertise of           Attracting visitors to the NYS
    projects a one-hundred-percent sales         SBDC advisors. Additional photos        SBDC website is useful to the orga-
    increase in the next year. Says Frechtman,
                                                 were included throughout the site,      nization in several ways. Visitors
    “Ritu Wackett is amazing! She and the
    SBDC have been a tremendous source of        presenting SBDC success stories         can find information on upcoming
    information and assistance, making a         through the faces of the clients.       training events, read about services
    major difference in my business.”                                                    offered, and learn of the expertise of


8
SBDC advisors. More important,          tacts, resources, and an unparalleled
visitors can use the site to request    network within government and
online or in-person counseling.         business circles in China on local,
Analytic tools, then, that calculate    regional, and national levels. With
the number of visits, page views,       rapidly changing economic condi-
and time spent on the site can also     tions in China, the SBDC/IBP is
be used to measure the rate at which    working with existing partnerships
visitors to the request-for-counsel-    and developing new cooperative
ing tool are converted to actual        arrangements, so that optimal busi-
clients. By monitoring this process,    ness and trade opportunities will be          From left, Cathy & Michael Mitchell,
we can strive to improve this           provided to SBDC clients who are                     Laurie & Scott Paris
conversion rate.                        interested or active in international

  The inclusion of appropriate
metadata helps visitors find the
                                        business and trade.

                                           Each year, the IBP provides
                                                                                  Watertown
SBDC website. The use of analyti-       business counseling to hundreds of        Seven years ago, friends Michael Mitchell
cal tools helps fine-tune the content   clients for international trade, mar-     and Scott Paris, of Watertown, started P &
of the site, making it easier to        ket identification and penetration,       M Construction. It was a family business
                                                                                  from the start, with wives Cathy Mitchell
understand and more helpful in          feasibility analysis, project outsourc-
                                                                                  and Laurie Paris and other family members
educating new visitors.                 ing, financial issues, regulations,       involved in day-to-day operations. P & M
                                        customs, taxes, tariffs, and trade        first used the services of the SBDC in 2002
                                        shows. Agreements were signed by          for assistance in obtaining procurement
Expanding Opportunities                 NYS SBDC and the Ministry of
                                                                                  certifications. They returned to the SBDC
                                                                                  for QuickBooks courses to make their busi-
for Small Businesses in the             Science and Technology, Productivity      ness more productive. In May 2004, Fort
Global Market                           Promotion Center, industrial parks,       Drum, home of the Army’s 10th Mountain
                                        and local governmental agencies in        Division, announced a major expansion
   Developing business in the global                                              requiring 2,000 additional housing units,
                                        China. By entering into cooperative
marketplace, and exporting goods                                                  increasing the demand for P & M’s ser-
                                        agreements, the NYS SBDC has              vices. P&M incorporated in 2006 as Paris
and services to markets overseas,
                                        helped create and maximize trade          & Mitchell Construction, Inc. specializing in
represent major growth opportuni-                                                 residential construction, and also panelized
                                        and business opportunities for more
ties for small businesses in New                                                  garages, decks, and outdoor furniture. In
                                        small businesses in a cost-effective
York’s 21st-century innovation                                                    2007 they exercised their lease agreement
                                        way.                                      on a building in an Empire Zone. To fund
economy.
                                                                                  the building purchase and improve the
                                          For example, with the assistance        building, as well as generate additional
   The NYS SBDC’s International
                                        of the IBP, Materials Recovery            capital, Paris & Mitchell had to refinance
Business Program (IBP) has strategi-                                              their debt. SBDC Business Advisor Ann
                                        Company (MRC), headquartered in
cally positioned small- and medi-                                                 Durant helped prepare financial forecasts
                                        Troy, New York, is successfully           that allowed the company to leverage a
um-sized businesses in New York
                                        exporting recycled metals recovered       commercial bank mortgage for $212,000
State to take advantage of trade and
                                        from municipalities and other gov-        and a $50,000 line of credit. As a result of
business development opportunities                                                the new funding, they were able to add
                                        ernmental organizations to Chinese
in the global marketplace. Through                                                three new positions and retain 12 jobs.
                                        consumers, and has been certified         Says the P & M Construction group, “We
a special focus on business opportu-
                                        by AQSIQ (Administration of               commend Ann Durant for her professional
nities for New York companies in
                                        Quality Supervision, Inspection,          advice and personal interest in our compa-
China, the SBDC has nurtured con-                                                 ny. She is a knowledgeable professional
                                        and Quarantine) of China, which
                                                                                  and her great expertise has helped
                                                                                  us prosper and grow.”

                                                                                                                                  9
                                               allows sellers to export materials      New York State companies initiate
                                               directly to customers based upon        and expand trade and business in
                                               the trust that the exported products    Chinese markets as well as develop
                                               meet standards. Founded in 1995,        new global business strategies. The
                                               MRC has established itself firmly in    missions also promoted the SBDC
                                               the competitive market of the U.S.      and its services and enhanced the
                                               as one of the major suppliers of        relationship with Chinese govern-
                                               high-quality non-ferrous metals,        ment agencies and officials in
                                               and has been vigorously expanding       foreign trade and economic
      Heidi Grosser and Greg Tiemann
                                               to international markets, including     development.
                                               China, India, and Belgium. MRC
                                               has been recognized by and admit-          In accordance with the U.S.

     Onondaga                                  ted to several organizations that set
                                               standards in the metals market. The
                                                                                       government’s efforts for expanding
                                                                                       overseas markets and a free-trade
                                                                                       agreement with other countries, the
                                               owner, James Riccardi, is on the
 Heidi Grosser and her fiancé, Greg            board of the Empire State Chapter       IBP is currently exploring opportu-
 Tiemann, are retired from the armed forces    of ISRI, the Institute of Scrap         nities in Mexico, South and Central
 and both have service-related disabilities.                                           America, Europe, and Asian coun-
                                               Recycling Industries. ISRI sets the
 Upon leaving military service, they trained
                                               guidelines and standards for quality    tries other than China. Several
 to become certified dog groomers, and
 decided to use their savings to develop a     products.                               meetings with representatives from
 business. Grosser had begun to put                                                    these regions have been held and
 together a business plan for a dog-groom-       In the past year, the IBP, together   contacts established. This is an
 ing business, using a software program,
 but she found the program confusing.
                                               with SBDC regional centers, has         important step in efforts to expand
 Furthermore, to qualify for veterans’         organized training sessions, semi-      trade and create jobs for New York’s
 benefits, the business plan had to be         nars, and business meetings that        small businesses.
 reviewed by an experienced business
                                               focus on business information,
 advisor. The VA recommended the couple                                                  For more information on the
 to the SBDC. Working closely with SBDC        opportunities, challenges, and
 Business Advisor Nancy Ansteth, at the        practices involved in international     International Business Program,
 Onondaga Community College SBDC, they         business and trade development.         consult the NYS SBDC website, at
 soon had a business plan that passed the                                              www.nyssbdc.org. Please click on
                                               The IBP specialist has translated
 scrutiny of the VA. They persisted again
                                               two SBDC brochures into Chinese,        the “International” button at the
 when they encountered zoning issues in
 connection with their contemplated build-     both now posted at the NYS SBDC         bottom of the front page for infor-
 ing site. Cameo Grooming and Day Care         website.                                mation.
 opened in July 2007. The total funding
 consisted of $345,000: $150,000 in owner
                                                 This year, the IBP successfully
 equity for building upgrades; a $165,000
                                               organized two business and trade        Fine-Tuning a Service:
 mortgage held by the building owner, and
 $30,000 for equipment. They offer pet         missions to China that provided         The SBDC Research Network
 products for sale in their retail store,      New York State companies with
 Cameo’s Curios. In October 2007, Cameo                                                   The Research Network has pro-
 Grooming and Day Care was honored by
                                               opportunities for business develop-
                                                                                       vided value-added research services
 the Syracuse Chamber of Commerce as           ment and trade, promoted an
                                                                                       for SBDC clients since 1991. It
 Economic Champions of Central New York.       exchange and cooperation between
 Says Heidi Grosser, “Many thanks to Nancy                                             also serves SBDC partners within
                                               businesses of both sides, maximized
 Ansteth and the SBDC for all of your help                                             SBA regional offices, the State
 with our business plan. You made a            trade opportunities through match-
                                                                                       University of New York, state gov-
 confusing process much easier.”               making meetings, and helped
                                                                                       ernment, and other affiliates. Its

10
highly trained library staff contin-      Upcoming projects for the
uously seeks out, evaluates, and       Research Network include the addi-
utilizes cost-efficient print and      tion of a GIS mapping service for
electronic resources to respond to     SBDC clients. In addition, library
thousands of questions from New        staff are currently developing a one-




                                                                               Photo by Maxwell Tielman
York State's small business owners     stop website where SBDC advisors
and entrepreneurs.                     can view the Research Network blog
                                       (currently accessible at http://
   Last year, the Research Network     sbdcrn.blogspot.com/), access the
undertook a drastic overhaul of the    catalog, answer user surveys, view                                          Buffalo business advisor
methods by which it responds to        the progress of client requests,                                       Cindi Thomason and Ahmed Saleh
client inquiries. Since November       download helpful documents, and
2006, SBDC advisors have received
information strictly in electronic
format. This replaced the outdated
                                       take advantage of other services.

                                          The Research Network continues
                                                                                                                 Buffalo
method of mailing documents in         to work as the liaison between the                                 Ahmed Saleh arrived in the US from his
paper form. Digital files are stored   signage industry and New York’s                                    native Eritrea (in East Africa) in 1993
on a secure internal SBDC server,      small business community. The                                      without family, friends, or resources. After
                                                                                                          finding shelter in Buffalo’s Viva La Casa,
and are made accessible to SBDC        primary task has been the continual
                                                                                                          a refugee transition center, he secured
advisors via a website created espe-   promotion of the What’s Your                                       employment, completed studies at a
cially for this purpose.               Signage? website – http://whats                                    community college, transferred to Buffalo
                                       yoursignage.com. The site gives                                    State, and graduated with a degree in
   This method has proven very                                                                            computer science. Working two jobs, he
                                       small business owners across the
                                                                                                          served as an immigration interpreter in
popular with SBDC advisors, as it      country the means to learn more                                    Buffalo and New York City, while saving as
eliminates time previously spent       about this complex subject.                                        much money as possible. At a seven-week
waiting for postal delivery.                                                                              entrepreneurship course, Saleh met Buffalo
Turnaround time has dropped, and          The Research Network director                                   State SBDC Business Advisor Cindi
                                                                                                          Thomason, and shared his dream of open-
the SBDC has seen a noticeable         has participated in several seminars
                                                                                                          ing an inner-city convenience store. For
decrease in spending on paper,         conducted by trade associations in                                 the next 18 months, Thomason worked
mailing supplies, and postage.         the signage industry. The audiences                                with him to develop his business plan.
                                       are those who have the power to                                    But Saleh had yet another obstacle to
   In August 2007, the Research        write regulatory codes for signage                                 overcome: A corner lot he had purchased
Network uploaded descriptions of                                                                          earlier was found to be contaminated and
                                       in towns and municipalities. The                                   a full remediation was required before the
the 200+ books in its circulating      library promoted signage as a tool                                 SBA could guarantee a business loan.
collection onto the free website       beneficial to the small business                                   Fortunately, a regional commercial lender
known as LibraryThing. For the         community, and warned against                                      that had provided initial funding to get his
first time in SBDC history, advisors                                                                      business afloat provided additional
                                       ill-informed regulations that would                                resources for the remediation. Saleh
in the field now have a web-based      serve to stifle entrepreneurial                                    employed minority contractors, and his
means of virtually “seeing” (and       activity.                                                          store, named Mandela’s Market, in honor
then borrowing) the books on the                                                                          of the South African patriot, serves a
library’s shelves. Accessing these       Technology and imagination,                                      predominantly African-American clientele
                                                                                                          with the freshest fruit and vegetables. It
items speeds up the research           when used properly, help fuel                                      employs 12. At its recent grand opening,
process, and it also allows SBDC       productivity. A recent report from                                 Saleh stated, “I would not have a business
advisors to have a say in future       an Association of Small Business                                   without the help and guidance of Cindi
library acquisitions.                                                                                     Thomason and the Buffalo SBDC.
                                                                                                          My success is their success.”

                                                                                                                                                    11
                                                 Development Centers accreditation         An ancillary VBOP program is
                                                 team states that the Research          the Veterans Behind Bars (VBB)
                                                 Network is unique among the            initiative. VBB is an SBDC partner-
                                                 national SBDC community in using       ship program with the New York
                                                 these tools to help the New York       State Department of Correctional
                                                 State program.                         Services, directed at veterans who
                                                                                        are incarcerated and within three
                                                                                        years of release or parole. At
                                                 Saluting Veterans                      Groveland Correctional Facility, a
                                                   In 1999, the NYS SBDC was one        medium-security facility near
      Business advisor Refaat Sawires
             and Kim Genduso                     of four organizations in the country   Rochester, SBDC business advisors
                                                 selected by the U.S. Small Business    provide free business planning semi-

Staten Island                                    Administration to participate in the
                                                 Veterans Business Outreach Center
                                                                                        nars and business plan preparation
                                                                                        workshops to veterans who sign up
                                                 Program (VBOP) – a pilot entrepre-     for the voluntary program. Business
 Kim Genduso graduated from Staten Island        neurial assistance program directed    advisors in other regions –
 College in 2002 with a degree in psycholo-      at veterans – especially service-      Binghamton, the Capital District,
 gy, but her career path took her far afield.
                                                 disabled veterans. VBOP provides       the Hudson Valley, and Staten
 When she had a chance to take over a rela-
 tive’s struggling iron fabrication company
                                                 outreach in the form of targeted       Island – also provide workshops and
 in California, she seized it and, working       business training, counseling, and     counseling for incarcerated veterans.
 18-hour days, transformed it into a success     mentoring for veterans, and service-   The Department of Correctional
 story. ARC TEC Welding and Fabrication          disabled veterans in particular. The   Services has noted the positive influ-
 Company won major contracts from the
                                                 focus on veterans who want to start    ence entrepreneurial preparation has
 biggest builders and operated out of a
 10,000-square-foot state-of-the-art facility.   their own businesses or who own        had upon the veteran inmate popu-
 By 2007, Genduso wanted to return east to       businesses and want to improve         lation and is in discussions with the
 friends and family and contribute to Staten     profitability is particularly timely   SBDC about expanding the VBB
 Island’s economy by establishing a new
                                                 during this period of widespread       program to other facilities.
 branch of ARC TEC Welding and
 Fabrication Company. She took her dreams        military deployment and large num-
 to the Staten Island SBDC. Senior SBDC          bers of troops being rotated home.       In seven years, New York’s VBOP
 Business Advisor Refaat Sawires helped                                                 has provided counseling to over
 her register as a Minority and Woman-             As part of New York’s VBOP           11,000 veterans, trained 12,000
 Owner Business Program, and as a NYC            program, special Veterans’ Business    veterans, and located more than
 Pre-qualified Contractor and Vendor. He
                                                 Outreach Centers were established      $157 million in funding for veter-
 introduced her to representatives of the
 Empire State Zone Program, which offers         at the Farmingdale, Buffalo, and       ans’ businesses. According to the
 tax credits and other incentives for locating   Albany SBDCs, each with a dedicat-     US Small Business Administration,
 manufacturing businesses in economically        ed Veterans’ Business Advisor. By      the New York SBDC program is a
 challenged areas. Once again, hard work
                                                 going to the SBDC website veter-       national model for providing
 paid off. ARC TEC recently invested
 $375,000 in a headquarters building in          ans’ page – www.nyssbdc.org/vboc –     business assistance and targeted
 Port Richmond, and Genduso plans to             you will find information about the    outreach to veterans.
 invest up to $1 million in a new state-of-      VBOC program and an easy-to-fill-
 the-art shop. “Refaat Sawires and the                                                    One of the most innovative
                                                 out electronic request for business
 Staten Island SBDC understand manufac-
                                                 counseling.                            developments within the New York
 turing and what it takes to succeed as a
 New York business,” says Genduso.
                                                                                        VBOP is the creation of a web-
 “They have been a great help to me.”



12
based and CD-ROM-based interac-           major tool for assisting manufactur-
tive educational program that teach-      ers and other businesses in New
es veterans how to be successful          York. DETA was authorized by the
entrepreneurs and small business          U.S. Small Business Administration
owners. “EntreSkills for VeteransTM”      in 1995 to enable SBDCs to assist
is based on the successful                small businesses impacted by reduc-
EntreSkillsTM program developed           tions in defense spending and the
by the NYS SBDC’s Office of               closing of military bases. DETA
Entrepreneurial Education. That           not only assists manufacturers nega-
program has been implemented in           tively impacted by shifts in military                Thomas Powers
over 150 high schools across New          materiel priorities; it also provides
York. VBOC business advisors              funds to assist businesses adversely
developed an upgraded and targeted
version of the material for veterans
                                          affected by troop deployments.

                                            The New York State DETA pro-
                                                                                       Oswego
and active military personnel.
EntreSkills for VeteransTM takes veter-   gram provides an array of no-cost       Obesity is a growing problem among
ans through cumulative stages as it       business services to help reposition    American children. Poor diet and a lack of
                                          these defense-impacted businesses to    exercise have resulted in an alarming
helps them refine and develop a
                                                                                  increase in serious diseases, including
small business concept, address legal     commercial markets. Initially, five
                                                                                  Type II Diabetes. Thomas Powers who for
and marketing issues, prepare finan-      SBDC DETA centers were strategi-        the last 12 years has owned and operated
cial statements, and, ultimately,         cally positioned throughout New         a fitness center in the city of Oswego
                                          York State – in Albany, Utica,          catering to the health and fitness needs of
prepare a complete business plan.
                                          Farmingdale, Plattsburgh, and           approximately 1,000 adult members,
The SBDC is working with the New                                                  recognized the problem and decided to
York State Office of Veterans Affairs     Stony Brook – to provide assistance
                                                                                  do something. He wanted to provide a
to qualify EntreSkills for VeteransTM     to heavily impacted areas. In FY        healthy, safe, and nonthreatening environ-
for veterans’ educational credit.         2003, the SBA awarded the NYS           ment that encouraged young people and
                                          SBDC a new contract to continue         early teens—from 12 months to 14 years--
                                                                                  to learn the benefits of exercise. The com-
  In 2005, the New York SBDC’s            the program and expand services to
                                                                                  munity and the banking establishment
VBOC proposal was one of five             Watertown. At that time, services       were strongly in favor of the idea. But
chosen in a national competition          were shifted from Utica and             first, Powers had to refinance, reconfigure,
for renewed funding from the Small        Plattsburgh to other regions. In        and re-equip his club for a young clientele.
                                                                                  Powers had prepared a business plan to
Business Administration. This             FY 2005, Binghamton and Buffalo
                                                                                  seek funding, but lacked detailed financial
proven partnership is prepared to         were added to the roster of DETA        projections. A local lender referred him to
assist veterans through the end of        centers under the latest DETA           the SBDC Satellite Office at Oswego State
the decade, a task we look forward        award.                                  University. Business Advisor John
to delivering upon.                                                               Halleron worked with Powers on the
                                             DETA centers have created strate-    detailed financial projections the lender
                                                                                  required. With pro formas completed, the
                                          gic partnerships with organizations
                                                                                  financing proceeded smoothly. The total
Helping Small Businesses                  statewide – including aerospace         project cost: $170,000, consisting of a
and Communities Impacted                  industry associations and technology    $34,000 loan from the bank, and an
by the Defense Industry                   research and development programs       $136,000 SBA guarantee under the 7(a)
                                                                                  Program. Fit Kids America opened in July
                                          – to address issues impacting busi-
  The Defense Economic Transition                                                 2007 and is now having an impact. Says
                                          nesses adversely affected by fluctua-   Powers, “John Halleron and the SBDC
Assistance (DETA) program is a            tions in defense spending. DETA         were exactly what I needed to turn my
                                                                                  business idea into reality.”

                                                                                                                             13
                                                 staff developing new programs, sem-      about $1.5 million in their New
                                                 inars, and strategies to assist compa-   York State businesses. Since its
                                                 nies in increasing productivity, effi-   inception, the SBDC has assisted
                                                 ciency, and competitiveness in order     more than 7,400 disabled clients,
                                                 to compete in commercial markets.        and about 2,500 of those individu-
                                                 DETA Centers apply new technolo-         als were referred to the SBDC by
                                                 gies (for example, technology-based      the Office of Vocational and
                                                 inventory control), identify new         Educational Services for Individuals
                                                 domestic and foreign markets for         with Disabilities (VESID). Between
                  Jeffrey Peete
                                                 products, and assist in redesigns of     1984 and 2006, disabled clients
                                                 operations.                              working with the NYS SBDC
                                                                                          invested more than $32 million

North Country                                       Since its inception, the NYS
                                                 DETA Program has provided
                                                                                          in businesses owned by disabled
                                                                                          New Yorkers.
                                                 in-depth business counseling to
 Jeffrey Peete has been hunting and fishing      approximately 5,400 companies               VESID is a NYS Department of
 around Lake Champlain for more than 20          adversely affected by defense spend-     Education program designed to
 years. In 2006, when he wanted to open          ing cutbacks and shifting priorities.    return individuals with disabilities
 Champlain Valley Traditions, his own hunt-
                                                 DETA assistance is now focused on        to the work force through self-
 ing, fishing, and guide service, he came to
 the North Country SBDC at Plattsburgh
                                                 helping companies and individuals        employment opportunities. VESID
 State University. Though he owned a pon-        transition from defense industry-        does this by making funds available,
 toon boat and a van for transporting pas-       related sales to commercial markets      primarily for business-related equip-
 sengers and fishing gear, he needed to          and developing new products, par-        ment to qualified individuals with
 review business startup requirements,
                                                 ticularly technology applications.       disabilities. Once they qualify,
 website optimization, and market research.
 He also needed help evaluating a contem-        As a direct result of the NYS SBDC       VESID clients are assigned to an
 plated land purchase – 125 acres in             DETA Program, clients have               SBDC business advisor, who helps
 Mooers, NY – and turning it into a hunting      accessed and invested over $130          them write a business plan to apply
 preserve for duck, geese and deer. “It was
                                                 million in capital and over 4,600        for bank financing. Self-employ-
 overwhelming,” recalls Peete, “getting the
 business licenses and permits, and then         jobs have been saved or created.         ment opportunities range, on aver-
 outfitting my business. I knew what I                                                    age, from $6,000 to $12,000 per
 wanted to do, but not how to pay for it all.”     You can access additional              client for individuals referred by
 SBDC Business Advisor Tony Maglione             information about DETA at                VESID. Both the SBDC and
 helped Peete with business planning, mar-       www.nyssbdc.org .
 keting strategy, and accounting issues. By
                                                                                          VESID follow up after the client
 July, Peete had become a US Coast-Guard-                                                 has been in business for six to twelve
 Certified and NYS-Licensed Guide. He pur-                                                months. While these clients may
 chased the 125-acre parcel where he offers      Empowering New Yorkers
                                                                                          not have a major dollar impact on
 guided deer, pheasant, and turkey hunting       with Disabilities
                                                                                          the economy, they each represent a
 expeditions. Says Peete, “Tony Maglione
                                                   The SBDC assists approximately         life transformed by self-employment
 and the SBDC gave me great advice. My
 phone is ringing and the counter on the
                                                 500 self-identified disabled clients     and self sufficiency, and there is no
 website is clicking.” For more about            every year with business planning,       way to attach a dollar figure to that.
 Champlain Valley Traditions, visit              market strategies, and help in locat-
 www.champlainvalleytraditions.com.              ing capital for business financing. In
                                                 an average year, these clients invest




14
Educating Young New Yorkers              2007 with canned exams for each
about Entrepreneurship                   chapter and new content. The team
  The NYS SBDC’s Office of               worked with a business advisor from
Entrepreneurial Education (oe2)          the Buffalo SBDC to develop a
promotes interest in entrepreneur-       chapter on Risk Management for
ship through educational programs.       Small Business. A draft version of
The primary focus of activities in       the chapter was distributed at a few
2007 was high school students and        teacher meetings during the year.
their business and marketing educa-      The team will work next to finalize
tors, but the overall vision is entre-   a new chapter on Succession                       Don and Jessica Collopy
preneurial education for residents       Planning for Small Business, whose
of New York.                             narrative was drafted by an advisor

  Oe2 provides a variety of
                                         at the Westchester SBDC. The
                                         team anticipates a spring release        Westchester
educational products and services:       date for the Succession Planning
  • Online and Web-based curricu-        chapter.                                 Don and Jessica Collopy had a small-busi-
                                                                                  ness dream: to provide the New York City
    lum on basic entrepreneurial
                                           The oe2 team routinely receives        metropolitan area market with remote
    concepts - EntreSkillsTM                                                      news television broadcast feeds in high
                                         positive feedback from educators via
  • Teacher Resources such as                                                     definition. Don’s broad experience in
                                         email, during phone conversations,       broadcast television production made it
    vocabulary exercises, web
                                         and when talking to educators at         clear to him that the next generation of
    activities, educational articles,                                             remote news and video required a truck
                                         conferences and meetings.
    case studies, etc., at the                                                    that could provide a remote high-definition
    EntreSkillsTM website                  The educators are enthusiastic         satellite uplink. Because the Collopys
                                                                                  needed significant funding to cover the
  • Workshops for students               about the flexibility of the curricu-
                                                                                  cost of equipment and initial operating
    and teachers                         lum, supplementary resources, class      expenses, they began developing a busi-
  • In collaboration with local          and assignment manager screens,          ness plan and called the Westchester SBDC
                                         auto-correction of tests by the          for assistance. Westchester SBDC
    SBDCs, guest speakers for the
                                                                                  Assistant Director Jerry Kobre worked
    classroom                            system, and the excellent customer
                                                                                  closely with them to develop the necessary
                                         and technical assistance provided        financial statements and projections.
  • An electronic newsletter
                                         by the oe2 team.                         Marketing plans were developed to take full
    targeting educators
                                                                                  financial advantage of the most advanced
                                           Oe2 promotes its products              satellite uplink truck in the New York mar-
  Oe2’s marketing and customer
                                         and services in a variety of ways.       ket. Key Bank’s Bob Schweitzer and Dana
manager provides one-on-one                                                       Malley provided additional expertise in
                                         Presentations at teacher meetings
teacher training remotely, via the                                                packaging the proposal and in working
                                         and conferences have been most           with the SBA. All of these efforts paid off.
Web, using Voice over Internet
                                         effective for promoting use of the       The Collopy’s company, American Satellite
Protocol (VoIP), and upon request
                                         online curriculum, EntreSkillsTM.        Uplink, received $1 million in SBA-guaran-
conducts presentations for a group                                                teed financing and bank credit lines. The
                                         Each fall, the team participates in
of teachers at regional teacher                                                   satellite uplink truck is in service and in
                                         the Business Teachers Association        high demand. Say the Collopys, “Jerry
meetings.
                                         of New York State (BTANYS). In           Kobre and the SBDC had the technical
  The content and functionality of       2007, oe2 staff members presented a      and business expertise to give us the
                                         session, Teaching Entrepreneurship       assistance we needed. They are a
the online interactive educational
                                                                                  great resource.”
tool, EntreSkillsTM were updated in
                                                         (Continued on page 18)

                                                                                                                            15
                                                      Message from
                                                      the Interim Chancellor
     The State University of New York (SUNY) is the largest comprehensive public higher
     education system in the country, with more than 426,000 students enrolled in 7,669
     degree and certificate programs on 64 campuses across New York State. SUNY is also
     the educational choice of over 100,000 on-line students and 1.2 million continuing
     education students.
     With a diverse and talented student body and a dedicated faculty that have national and
     international reputations, SUNY is a major economic engine in the state and nationally.
     The university system produces highly-qualified graduates and encourages these
     graduates and faculty members to turn their innovative energies into products, services
     and businesses of their own.
     The New York State Small Business Development Center (SBDC), administered by
     SUNY, offers a critical link to the business community and generates employment and
     wealth for the State. At Small Business Development Centers on SUNY and partner
     campuses, any New Yorker with a dream and the drive to succeed can – at no cost –
     meet with skilled advisors to guide them over numerous business hurdles.
     Small business owners, confronting difficulties or opportunities in cash flow,
     competition, expansion, technology implementation, marketing, or other issues can
     find invaluable, pro bono and confidential advice.
     The Center’s focus on small business innovation and productivity is aligned with
     SUNY’s educational mission. Whatever our graduates’ chosen course of study or
     profession, a SUNY education prepares them for the global economy.
     A strong and productive business environment, bolstered by assistance from SBDC
     advisors, helps to create and enhance the careers that SUNY graduates demand.
     The State University of New York is gratified to join with our partners in presenting
     the SBDC’s accomplishments in this report. SUNY celebrates the entrepreneurs who
     are so deservedly highlighted.

                                                   Sincerely,




                                                   Dr. John B. Clark
                                                   Interim Chancellor
16
       Message from
the CUNY Chancellor
      For 160 years, the City University of New York, the nation’s largest public university,
      has functioned as a center of educational opportunity for students, faculty, and New
      York City. The University is currently developing its 2008-2012 Master Plan, a blue-
      print for academic initiatives and priorities which will be ready for implementation
      in Fall 2008. Several new University-wide programs are already underway to attain
      increased proficiency in science, technology, engineering, and mathematics – disciplines
      that are essential to the future of our city, state, and nation. For example, the Teacher
      Academy, established in 2006 and now operating on nine CUNY campuses, is
      preparing students to teach math and science in high-need middle and high schools
      in New York City.

      CUNY programs are designed to advance knowledge and help residents enhance
      their lives intellectually, socially, and economically. It is appropriate, then, that five
      strategically located CUNY campuses host regional offices of the New York State Small
      Business Development Center. Since 1985, the SBDC has been a force for dynamic
      and beneficial change in a city that symbolizes initiative, entrepreneurship, and innova-
      tion. At these centers, individuals can make an appointment and receive professional,
      confidential, pro-bono assistance in starting an enterprise or improving the productivity
      and profitability of an existing business. The SBDC also offers low-cost courses in
      business-related subjects, some in conjunction with CUNY faculty members.

      As CUNY plans for the future, the SBDC will continue to play a major role in the
      University’s outreach to citizens with entrepreneurial aspirations. CUNY is proud of
      its long-established partnership with the SBDC and looks forward to the continued
      creation of new business opportunities for New Yorkers.


                                                     Sincerely,




                                                     Matthew Goldstein
                                                     Chancellor


                                                                                                   17
                                               Online, and staffed a booth in the       business and economic development
                                               exhibit area. Oe2 participated in        agencies, contribute to the success
                                               Entrepreneurship Week 2007 by            of the SBDC program – and to
                                               introducing teachers in the greater      the productivity, efficiency, and
                                               Buffalo area to EntreSkillsTM at a       sustainability of SBDC clients.
                                               session held at the Emerson School
                                               of Hospitality in Buffalo. The              The SBDC’s key partners are the
                                               teachers at the session were attentive   US Small Business Administration,
                                               and enthusiastic about the online        the State of New York, the State
                                               curriculum, and nearly 30 of them        University of New York, the City
     Hillary Clinton and Roxana Hurlburt
                                               followed up by registering to use        University of New York, and several
                                               EntreSkillsTM during the week after      private universities. The SBDC

     Mohawk                                    the session.

                                                 In 2007, the oe2 team continued
                                                                                        works hand in hand with its SBA
                                                                                        resource partners, SCORE and the
                                                                                        Women’s Business Centers, both of
 For over a half-century, Mercer’s Dairy in    development of EntreSkills for           which are dedicated to aiding in the
 Boonville, NY has produced the richest        VeteransTM, a version of EntreSkillsTM   formation, growth, and success of
 and, some say, best tasting ice cream in      developed for veterans and members       small businesses nationwide. Other
 the state. In 2002, Mercer’s was pur-
                                               of the active Reserve and National       strategic partnerships and alliances
 chased by QDF, Inc. – a cooperative con-
 sisting of six Mohawk Valley dairy farmers.
                                               Guard. The oe2 team collaborated         include, but are not limited to:
 The new owners knew they needed to            with SBDC’s veterans’ business             • State agencies and authorities
 make significant investments in plant and     advisors to modify the chapters              such as the Empire State
 equipment in order to grow. In June 2005,     and supplementary content of the             Development Corporation
 Roxana Hurlburt, part-owner and manag-
                                               original curriculum. The EntreSkills         (ESDC), the state economic
 ing partner of QDF, contacted Sam Russo,
 Mohawk Valley SBDC Business Advisor.          for VeteransTM brochure, along with          development agency;
 Working together, they prepared an exten-     demonstration CDs, was distributed           Department of Education;
 sive business plan that produced $440,000     at several SBDC events during the            Governor’s Office of Regulatory
 in funding through Farm Credit and owner
                                               year. The team projects a Web                Reform; Department of State,
 equity that allowed them to upgrade
 production capacity. Mercer’s Ice Cream       launch of the program during                 NYSERDA, Department of
 also found vocal advocates in New York        December 2007.                               Insurance; and the Interagency
 Senators Hillary Rodham Clinton and
                                                                                            Small Business Task Force, a
 Charles Schumer, and Congressman John
 McHugh, among others. As of September
                                                                                            collaborative forum composed
                                               Strategic Partners and Allies
 2007, Mercer’s Dairy doubled capacity and                                                  of representatives from several
 increased annual sales to $1.5 million –        The NYS SBDC’s collaborative               state agencies.
 more than twice the sales volume prior to     relationships with innumerable
                                                                                          • Federal agencies, including the
 working with the SBDC. Hurlburt expects       partners and allies enable its
 new wine-flavored ice cream products                                                       Department of Labor and the
                                               business professionals to offer
 alone will double sales again in 2008.                                                     Department of Commerce.
 For more information on Mercer’s prod-        comprehensive business and
                                                                                          • Regional organizations such as
 ucts, go to their www.mercersdairy.com        management assistance on a range
 website. “Sam Russo and the SBDC                                                           the Development Authority of
                                               of small business issues. Effective
 understand finance and agricultural                                                        the North Country (DANC),
                                               working relationships with these
 markets,” observes Hurlburt. “Their                                                        Catskill Watershed Corporation
 assistance was invaluable.”
                                               organizations, as well as affiliations
                                                                                            (CWC), Southern Tier
                                               with chambers and other local



18
   Economic Growth, Inc.                 • Professional, business and trade
   (STEG), and Long Island                 associations, including the
   Development Corporation                 Business Council of New York
   (LIDC) that create jobs and             State (BCNYS), the NYS chap-
   improve the economic climate            ter of the National Federation
   of the region.                          of Independent Business
 • City and municipal agencies             (NFIB), and numerous
   such as the New York City               Chambers of Commerce;
   Department of Small Business          • Private sector partners includ-
   Services (NYS SBS).                     ing American Express, Principal                   Gerald J. Hace
                                           Financial Group, Coca Cola,
  Community and neighborhood               Deutsche Bank, Intuit, and
based groups such as:
 • Traditional and non-traditional
                                           Microsoft that provide financial
                                           and other support for a wide
                                                                                      Niagara
   lenders and the New York                range of special projects and
   Business Development                    initiatives.                        In 1990, Gerald J. Hace purchased S.S.
                                                                               Gooding, Inc., which for 114 years had
   Corporation (NYBDC), a
                                                                               specialized in printing snap-set, or busi-
   private corporation that works         There is not enough space in this
                                                                               ness forms. Hace was the first owner from
   in conjunction with leading         publication to acknowledge all of       outside the family in the company’s history.
   New York banks and thrift           the organizations that collaborate      Since the purchase, the Gooding Company
   institutions to provide creative    with the NYS SBDC to help small         has embraced new technology and diversi-
                                       businesses in New York grow and         fied its product mix in order to become
   and innovative financing to
                                                                               more competitive and grow. In 2007,
   small businesses across New York;   thrive. The agencies and organiza-
                                                                               Gooding decided to focus on the packaging
                                       tions on this list are representative   insert business for the pharmaceutical
 • Small business technical assis-
                                       of the comprehensive list of SBDC’s     industry. By 1999, Gooding needed to
   tance providers such as Space
                                       partners and allies.                    construct a new facility, purchase specialty
   Alliance Technology Outreach                                                folding equipment, and put numerous
   Program (SATOP), Technology                                                 operating procedures in place to comply
   Development Organizations                                                   with the strict requirements of the pharma-
                                                                               ceutical industry. Hace got help from the
   (TDOs) and Regional
                                                                               SBDC at Niagara Community College. The
   Technology Development                                                      SBDC worked with Gooding representa-
   Centers (RTDCs) around the                                                  tives to prepare the business plan and
   State, Long Island Forum for                                                financial projections for $1.2 million for
   Technology (LIFT), and the                                                  the new building and equipment. In 2006,
                                                                               Gooding was ready to expand. They again
   Alliance for Manufacturing and
                                                                               worked with the SBDC to prepare a busi-
   Technology (in the Southern                                                 ness plan and financing package for
   Tier);                                                                      $625,000 to purchase new equipment.
                                                                               Gooding has plans for more equipment
                                                                               and a 10,000-square-foot addition to the
                                                                               building in 2008. Employment at the
                                                                               company has jumped from 15 to 32.
                                                                               Says Gerald Hace, “I consider the SBDC
                                                                               an extension of my business, a resource
                                                                               readily available to help with future
                                                                               plans, financing objectives, and guidance
                                                                               to keep Gooding moving forward.”



                                                                                                                         19
                Sean Monroe and Tony Serdula                 From left, Natalia Arguello, NY Designs Business Incubator;
                                                               Alex Barnes, Nolej Brand Strategist; Nevaris, Nolej Chief
                                                                   Creative Officer; Alejendro Crawford, Nolej CEO;
                                                                        Mike David, Nolej Marketing Manager


                Corning                                             Laguardia
     Sean Monroe and Tony Serdula, young Corning             In 2004, in a small Manhattan apartment, Alejandro
     entrepreneurs and talented rock musicians, opened       and Agustin Crawford, joined by creative partners
     Crunge Records in 2004 to sell CDs, DVDs, video         Nate Turner, and Shane O’Boyle, founded a com-
     games, vinyl records, and rock-‘n’-roll memorabilia.    munications and brand design company called
     At each stage of the business – from the beginning,     Nolej Studios (www.nolej.net). Over the next three
     through two expansions – the partners turned to         years, Nolej offered brand and logo development,
     Corning SBDC Business Advisor Carolyn Calkins for       product and package design, video production,
     assistance. The business grew rapidly and the part-     digital banner ads, and rich interactive media to a
     ners worked with the SBDC to obtain a loan of           growing list of clients. The company was mentioned
     $40,000 for expansion. In 2007, Calkins developed       prominently in The Washington Post and on AM
     cash-flow projections and reviewed the business plan    New York. But, like many design businesses, Nolej
     to submit to the City of Corning’s Revolving Loan       was short of working capital and needed a better
     Fund that would triple the square footage and pur-      work space. So in February 2007, they contacted
     chase additional inventory. This yielded a $30,000      the LaGuardia SBDC. Acting Director Brian Gurski
     loan for expansion into Corning’s historic Gaffer       helped the Nolej team assess their cash-flow needs
     District, a downtown shopping and restaurant area       and the company’s ability to borrow from a bank.
     with unique shops. Crunge Records is now located        Identifying appropriate lenders, Gurski helped Nolej
     next to the new Palace Theatre as an integral part of   access $75,000 in working capital from a bank and
     the revitalization of downtown Corning. The partners    SEEDCO,a non-profit lender. After the partners
     say, “Our business was treated with the utmost          learned of LaGuardia Community College’s NY
     importance by Carolyn Calkins. She was always           Designs business incubator, which provides
     willing to answer our questions and was great with      economical rental space as well as start-up assis-
     follow-up support. Her expertise and guidance over      tance for design businesses, they signed a lease on
     the years were essential to building our business.”     November 1, 2007. They have since added four
                                                             employees. Says CEO Alejandro Crawford, “We have
                                                             always seen the potential to expand our business,
                                                             but without the working capital and facilities the
                                                             SBDC helped us secure, none of this growth would
                                                             have been possible.”




20
     Boricua business advisor Miriam Colon                                  Michael Sanders
              and Jorge Rodriguez



         Brooklyn                                                 Brockport
Jorge Rodriguez, a naturalized American citizen born       Michael Sanders’ dream was to open an ethnic
in Mexico, is living the American Dream. He started        beauty supply store. Since he had spent some time
out 25 years ago as a short-order cook in a Brooklyn       incarcerated, conventional funding sources were
neighborhood restaurant. When an opportunity               closed to him, and the only option was a grant.
arose to go into business for himself, his employer        When the city of Batavia announced a Micro
helped him establish a small Mexican takeout restau-       Enterprise Program that offered a $10,000 loan and
rant. After he made a success of that establishment,       $10,000 grant, Sanders took his dreams to Business
Rodriguez wanted to develop a second Mexican               Advisor Florence Worden at the Brockport SBDC’s
restaurant. In 2006, he identified a commercial/resi-      Batavia Outreach Office. They worked together on a
dential building in the Bushwick section of Brooklyn       business plan with detailed financial projections.
that would make a good site. He planned to open a          The plan was successful, though it yielded only half
restaurant in the first-floor commercial space, and        of the amount requested. Sanders Beauty Supply
rent the second floor to generate a positive cash flow.    opened in June 2006 and Sanders had soon built up
But his application for a home mortgage was rejected       a loyal clientele. But cash flow problems developed.
because of tax liens on his business. In February          In November 2006, Sanders returned to the SBDC
2007, he reconnected with the SBDC at Boricua              for help. Worden recommended that Saunders apply
College for permit assistance and credit counseling.       for a VESID grant, since he has a disability, plus
SBDC Business Advisor Miriam Colon worked with             SSI workforce funding. (SSI is a Social Security
city, state and federal tax compliance agencies. She       Administration program funded through general tax
was able to rectify the tax issues and forwarded proof     revenues and designed to help disabled people.)
of the disposition of liens to credit reporting agencies   In August 2007, Sanders was awarded a VESID
and mortgage bankers. She helped Rodriguez satisfy         grant for $11,000 and was granted support under
the requirements for a NYS Liquor Authority license.       SSI. With the new funds, Sanders Beauty Supply has
The total project cost was over $766,000 and includ-       resumed growing. “Florence Worden and the SBDC
ed a home mortgage loan that enabled him to pur-           were extremely helpful,” says Sanders. “They went
chase the commercial property and develop the              the extra mile and made all the difference.”
space. Named for his wife, Zeferiana, Zefe’s Mexican
Restaurant opened in May 2007, creating five jobs.
Says Rodriguez, “I am grateful to the SBDC and
Miriam Colon for their prompt help and expertise in
resolving many business-related problems.”



                                                                                                                  21
                      Juan and Ivan Vargas                                Simon Binder and Chris Zawacki

                                                                                  Mid-town
                 Queens                                              Manhattan
     Juan Vargas, born into a dynamic, business-oriented        Simon Binder and Chris Zawacki met while working
     family in the Dominican Republic, brought with him         for the same information technology consulting firm
     to this country a dream of owning his own business.        in New York City. Zawacki previously worked in
     On a return trip to the land of his birth, he saw a        IT sales and marketing for a consulting firm in San
     feminine hygiene product called La Fresca – wipes          Francisco. Binder worked as an independent consul-
     with packaging in Spanish, which he knew would do          tant for 2+ years; he is also a former Baruch College
     well among the Dominican population in the U.S.            student. When they decided to form their own
     His father suggested that Juan and his brother, Ivan,      company, Greenhouse IT, Binder and Zawacki looked
     seek business assistance from the Small Business           for assistance from the Midtown Manhattan SBDC,
     Development Center at York College, in Queens. In          located in the Field Center, at Baruch College. SBDC
     a short time, SBDC Business Advisor Harry Wells            Business Advisor Ulas Neftci helped the partners
     helped them develop a business plan, and get their         develop a strong business plan with extensive finan-
     business up and running. The Vargas brothers               cial projections. Two Field Mentors, and a business
     started by importing the product from the Dominican        graduate student, helped them negotiate with private
     Republic, and when they decided to manufacture             investors for the $250,000 in equity they needed to
     locally, Wells worked with them to obtain a $400,000       get their business started. After eight months of
     SBA-guaranteed loan from a commercial lender,              operations, Neftci helped them obtain an additional
     combined with $100,000 of owner equity, with which         SBA-guaranteed $100,000 from a commercial lender.
     they established a production and distribution facility.   The hard work, careful planning, and determination
     Vargas International LLC products are now sold in          of the founders – combined with SBDC counseling –
     over 100 New York-area stores. The brothers are            has paid off: After 10 months of operation,
     building a network of sales agents and they are work-      Greenhouse IT is exceeding its sales projections.
     ing with Wells on a plan for expanding the business.       The partners have created seven new jobs in addition
     In 2007, they signed an exclusive distribution agree-      to their own. They will return to the SBDC in the next
     ment with a Chinese manufacturer and are distribut-        few months for assistance with additional staffing
     ing the wipes to hotels and offices. Says Juan             and recruiting in order to keep pace with their busi-
     Vargas, “My father has always given me good advice,        ness expansion. According to Simon Binder, “The
     but coming to the SBDC was the best. Harry Wells’s         SBDC at the Field Center has the technical expertise
     expertise, dedication, and assistance have proven          we need to make a success of our small business.”
     invaluable. He was always there when I called, and
     worked hard on our behalf. I look forward to a long
     relationship with him and the SBDC.”

22
                                                                                                               Melanie Kimbler-Lago / Watertown Daily Times
          Business advisor Bernie Ryba                   Amish farmer delivering milk from farm to factory
               and Stefan Gromoll



  Stony Brook                                                        Canton
Early in 2007, Stefan Gromoll, a PhD student at         When the Heritage Cheese House in Canton closed
SUNY Stony Brook, and Professor Kenneth Lanzetta,       after 12 years of operation, Michael Davis, a
of Stony Brook’s Department of Physics and              representative of the Heuvelton Community
Astronomy, founded a company called Scientific          Irrevocable Trust (HCI Trust) contacted the SUNY
Media. Their idea? To make content creation via         Canton SBDC, on the recommendation of the Saint
cell phone text messaging as easy as it is on the       Lawrence County IDA. HCI Trust is a local invest-
Internet. Protected by a provisional patent, the        ment entity that works with Canton’s sizeable Amish
Scientific Media System replicates the organizational   community. The Trust needed assistance in purchas-
structure of the Internet by using text-message         ing the cheese plant, which had used milk from
keywords that correspond to Internet domain names.      Amish dairy farms to produce an array of high-
The goal is to create an “SMS internet.” In February,   quality products. Canton SBDC Director Dale Rice
Gromoll began working with Stony Brook SBDC             met with members of the HCI Trust, as well as the
Business Advisor Bernie Ryba to put together a busi-    members of the Amish community and worked with
ness plan. Then things started to happen. In May,       all the stake holders to develop a winning business
Gromoll was a co-winner of the annual Stony Brook       plan. Then the SBDC worked closely with the county
student entrepreneurial competition, yielding a         IDA, agriculture leaders, and lenders to raise the
$15,000 prize. Then, when he presented his busi-        needed capital. These efforts were a success: The
ness idea to the Long Island Angel Investor Network,    Amish community invested $100,244 in cash; the
requesting $375,000, he received investment offers      county IDA provided a low-interest loan of $80,000;
from several angel investors. At the same time,         and a private investor contributed $427,500, for a
Scientific Media was awarded a $100,000 Phase I         total of $607,744. Today, the Heritage Cheese House,
SBIR grant from the National Science Foundation.        Ltd. is fully operational and beginning to show a
Says Gromoll, “Scientific Media is on the path to       profit. Twelve jobs were created and three jobs were
success, thanks in part to the business expertise       saved. The plant purchases all the milk the Amish
provided by Bernie Ryba and the SBDC.”                  can produce, and many tourists visit for the cheese
                                                        products as well as the Amish-made goods for sale.
                                                        According to Michael Davis, “Dale Rice and the SBDC
                                                        were instrumental in acquiring financing for this
                                                        project.”




                                                                                                                                                              23
                                  An Atmosphere of Excellence
     For more than two decades, the NYS SBDC has                        time and expertise to counseling and training entre-
     been an outstanding provider of small business man-                preneurs and small business owners in New York
     agement and technical assistance, and the program’s                State. The commitment to small business resonates
     excellence has been noted by a range of agencies and               throughout the program, extending to Advisory Board
     associations. Beginning in 1997, when the NYS                      members who are intensely interested in helping small
     SBDC received the Governors Award for Small                        businesses grow stronger. A number of our Business
     Business Not-for-Profit Organization of the Year the               Advisors and Advisory Board members have been
     program has received twenty-one awards for excellent               recognized by the U.S. Small Business Administration
     service, special programs, disaster recovery efforts,              with “Small Business Advocate” awards.
     business education, and advocacy for small business.
                                                                        This atmosphere also dramatically impacts the small
     The awards are due in large part to the atmosphere                 businesses assisted by the program, many of which
     of excellence created and sustained by high quality                have also been recognized for their contributions to
     SBDC business professionals that devote significant                the community.




           Advisors of the Year – l to r, Myriam Bouchard (Mid-Hudson), first runner-up; Sam Kandel (Mid-Hudson),
           second runner-up; John Narciso (Farmingdale), Business Advisor of the Year; Ulas Neftci (Midtown Manhattan),
           third runner-up; and Bill Grieshober (Buffalo), fourth runner-up.




24
                 NYS/SBDC National and Regional Awards
2007 EXPORT APPRECIATION AWARD to                              NEW YORK STATE 2002 SMALL BUSINESS
the LaGuardia Community College SBDC by the                    ADVOCATE OF THE YEAR AWARD
US Department of Commerce, recognizing their work              Loretta Kaminsky (SBDC Advisory Board)
to support export development and for creating oppor-
tunities for US businesses through export.                     2001 OUTSTANDING PROJECT OF THE YEAR
                                                               AWARD from the National Association of Management
2007 CHAMPLAIN VALLEY BUSINESS WOMAN                           and Technical Assistance Centers (NAMTAC)
OF THE YEAR AWARD to Dee Clark, Director of the                Square One Taxi Company (Albany SBDC)
North Country SBDC, for her contributions to the
economic development of the region.                            2001 SBA TIBBETTS AWARD
                                                               Integrated Sensors, Inc. (Onondaga SBDC)
2005 NEW YORK STATE NOTABLE DOCUMENT
AWARD for What’s Your Signage? How on-premise signs            2000 OUTSTANDING PROJECTS OF THE YEAR
help small businesses tap into a hidden profit center to The   AWARDS from the National Association of Management
Small Business Development Center Research Network             and Technical Assistance Centers (NAMTAC)
                                                               Aurora Project (Binghamton SBDC)
2005 MOHAWK VALLEY CHAMBER OF                                  APACE, Inc. (Stony Brook SBDC)
COMMERCE BUSINESS OF YEAR AWARD,                               Kosnal Floating Derrick Co.
non profit category, to the Mohawk Valley SBDC                 (Staten Island SBDC)

2003 SBA NATIONAL PHOENIX AWARD for                            1999 OUTSTANDING PROJECT OF THE YEAR
Outstanding Contributions to Disaster Recovery by              AWARD from the National Association of Management
a Public Official to Jim King and the NYS/SBDC                 and Technical Assistance Centers (NAMTAC)
                                                               American Rock Salt (SUNY Geneseo SBDC)
2003 GOVERNOR’S AWARD FOR SMALL
BUSINESS NOT-FOR-PROFIT ORGANIZATION                           1999 SBA VISION 2000 MODEL OF
OF THE YEAR for the World Trade Center Small                   EXCELLENCE AWARD
Business Recovery Loan Fund to NYBDC and the                   Women’s Business Roundtable (Corning Community
NYS/SBDC                                                       College SBDC)

2003 OUTSTANDING PROJECT OF THE YEAR                           1999 SBA VISION 2000 MODEL OF
AWARDS from the National Association of Management             EXCELLENCE AWARD
and Technical Assistance Centers (NAMTAC) for disaster         KidBiz (SUNY Buffalo State College SBDC)
assistance to Lichtenstein Creative Media (Midtown
Manhattan SBDC), and for the Veterans Business                 1998 SBA VISION 2000 MODEL OF
Outreach Program (SBDC Central)                                EXCELLENCE AWARD
                                                               Native American Initiative (Jamestown Community
2003 HOBART H. CONOVER FRIEND OF                               College SBDC)
BUSINESS EDUCATION AWARD from the Business
Teachers of New York State awarded to the SBDC’s Office        1998 SBA VISION 2000 MODEL OF
of Entrepreneurial Education                                   EXCELLENCE AWARD
                                                               Self-Employment Assistance Program
2002 OUTSTANDING PROJECT OF THE YEAR                           (In partnership with the NYS Dept. of Labor)
AWARD from the National Association of Management
and Technical Assistance Centers (NAMTAC) NYS SBDC             1998 CHAIRMAN’S AWARD
for Small Business Disaster Recovery Efforts in New York       National Association of Small Business Development
City                                                           Centers Outstanding Achievement and Excellence

2002 SBA TIBBETTS AWARD                                        1997 GOVERNOR’S AWARD as the Small Business
Mohawk Innovation Technologies, Inc.                           Not-for-Profit Organization of the Year
(MDDC - Albany SBDC)




                                                                                                                    25
     Canton SBDC’s Women in Entrepreneurship and Business event –                SBA Representatives at the 2007 Staff Training Awards Dinner –
     From l .to r. - Dale Rice, Canton SBDC Director; NYS Assemblywoman          From l .to r. - B.J. Paprocki, SBA Syracuse District Director; Jose
     Dede Scozzafava; Syracuse SBA Lead Business Development                     Sifontes, SBA NYC District Director; Gloria Glowacki, Stony Brook
     Specialist, Cathy Pokines; Canton Business Advisor Michelle Collins         SBDC Assistant Director; Bill Manger, SBA Regional Administrator;
                                                                                 and Dan O’Connell, SBA Project Officer




                           Successful Women in Business Forum at Mid-Hudson SBDC – From left, Dr. Arnaldo Sehwerert,
                           Director, Mid-Hudson Region SBDC; Silda Wall-Spitzer, First Lady of New York; Reginald C. Fuller
                           III, District President of KeyBank; April Volk, Vice-President/Sr. Relationship Manager, KeyBank




                       ASBDC Star Performer Awards in Denver – From l .to r. - Stephen Connors – Vice President Small Business Segment,
                       Fidelity Investments; Jim King, SBDC State Director; Walter Reid, Star Performer, Farmingdale SBDC; Mark Petrilli,
                       Illinois SBDC and Chair of ASBDC Board of Directors; Jean Holcombe, Deputy Associate Administrator, Office of Small
                       Business Development Centers, SBA
26
Lehman College Commencement – Congressman Rangel Shares a                  SBDC Advisory Board Members at Staff Training Awards Reception –
Few Minutes with SBDC staff – From l .to r. – Congressman Charles          From l .to r. - R. Wayne Diesel, Advisory Board Vice-Chair; Sterling
Rangel, 15th District, NYS ; Alzie Glickstein, Bronx SBDC business         Kozlowski, Advisory Board Chair; Bill Manger, SBA Regional
advisor; Clarence Stanley, Bronx SBDC Director                             Administrator




   The SBDC Business and Trade Mission to Shandong Province, China – included among other dignitaries, Cai Limin, Lieutenant Governor of
   Shandong Province (5th from left); Richard Bennett, Director of Workforce Development, Hudson Valley Community College (5th from right);
   Lu Zaimu, Commissioner of Foreign Trade & Economic Cooperation (3rd from right); Lan Jianmin, Director of Shandong Provincial
   Government Office in Beijing (first from left); SBDC State Director Jim King, (4th from left); and SBDC International Business Program
   Director Jinshui Zhang (4th from right).




A visiting delegation from Jining, China – met with NYS                   NYS Senate Majority’s Hispanic Small Business Forum - Hosted
Assemblyman Tim Gordon, from left, Assemblyman Tim Gordon,                by the Farmingdale SBDC – From l .to r. – Senator Dean Skelos,
NYS 108th District; Sun Shougang, Mayor of Jining City; Jinshui           9th District; Senator Caesar Trunzo, 3rd District; Lucille Wesnofske,
Zhang, Director of SBDC International Business Program. In the rear       Farmingdale SBDC Director; Senator Charles Fuschillo, 8th District;
is Mark Jordan, Chief-of-Staff, Office of Assemblyman Tim Gordon          Senator Carl Marcellino, 5th District

                                                                                                                                                  27
                                 2007 SBDC Entrepreneurs of the Year
                 Utica was the site of the 2007 SBDC Staff Training and Professional Development Conference hosted
                   by the Mohawk Valley SBDC. The highlight of the event was the Awards Banquet honoring ten
                 outstanding Entrepreneurs of the Year. The award winners are pictured below. For more information
                      about these entrepreneurs and their businesses, visit the SBDC Website at www.nyssbdc.org.




              START-UP COMPANY                           AGRICULTURAL                               HIGH TECH COMPANY
                 OF THE YEAR                        ENTREPRENEUR OF THE YEAR                           OF THE YEAR
             Chuck & Michael Sadallah –                 Goold Orchard – Albany SBDC              Dominic Eisinger, Laurie Stephen –
               Mohawk Valley SBDC                                                                      North Country SBDC




                     WOMAN                                  MANUFACTURER                             EXPORTER
             ENTREPRENEUR OF THE YEAR                        OF THE YEAR                            OF THE YEAR
               Beverly Welch – Watertown SBDC            The Black and White Cookie          MAC’S Antique Auto Parts –
                                                        Company – Binghamton SBDC                 Niagara SBDC




     VETERAN ENTREPRENEUR                   MINORITY                        PHOENIX AWARD                        PHOENIX AWARD
          OF THE YEAR                     ENTREPRENEUR                         Mitchell Goss –                        Ed Singer –
           Dan Kerning –                   OF THE YEAR                          Pace SBDC                         Staten Island SBDC
         Farmingdale SBDC                 Penny T. Richardson –
                                               York SBDC

28
                 2007 NYS SBDC Hall of Fame - New Members
   The NYS SBDC Hall of Fame, which was established           ed operations into Wurlitzer Capital Group LLC in 2005
in 1984, is now 38 members strong. In 2007, three new         and moved to
members were elected to this distinguished group. All         a new 40,000-square-foot manufacturing facility in North
are established companies; all have made significant con-     Tonawanda. Audubon recently received Green Building
tributions to their communities. They will be formally        Certification from the US Green Building Council for
inducted in 2008.                                             building its new facility on a remediated brownfield, and
                                                              implementing measures such as using recycled materials
                               Gooding Company, Inc.          and installing highly energy- efficient systems. Currently,
                             One of the nation's oldest       the SBDC is working with Joe McMahon, from another
                             printing firms, Gooding          Wurlitzer division – Wurlitzer Water Works, – to develop
                             manufactured snap-set and
                             business forms in Lockport
                             for decades. Gerald J. Hace is
                             the first non-family member
                             to own and run the company
                             in its 114-year history. The
                             Niagara SBDC has worked
                             with Hace since he began
making plans to purchase the company in 1990. Under
Hace’s leadership, Gooding has evolved into a 21st-centu-
ry supplier of packaging for the pharmaceutical and con-
sumer industries. The company’s recent economic impact
is well over $2 million. Employment has grown from
15 employees in 1990 to 32 full-time employees today.



                                                              a business plan for manufacturing and distributing self-
                                                              contained sterile water bottles for animal-testing labs.

                                                                 Shining Stars Daycare, and its principals Stella and
                                                              John Penizotto, have been working with the Onondaga
                                                              SBDC for more than a decade. They have built a very
                                                              strong business in a demanding industry: childcare. Along
                                                              the way, they expanded six times, starting with a capacity
                                                              of 32 children and growing to accommodate 244 children.
                                                              Partnering with other Syracuse agencies, the Penizottos
   Wurlitzer Capital Group, LLC/Audubon Machinery             run a number of specialized programs, including one for
Corporation. Chris Collins, Joseph McMahon, and               autistic children three to five years old. With SBDC
Robert Schlehr formed Audubon Machinery Corporation           assistance, Shining Stars has won multiple health and
in 2004 and at the same time acquired the assets of           safety grants from the NYS Office of Children & Family
Oxygen Generating Systems, Inc. (OGSI). OGSI, a long-         Services. The Penizottos are currently planning a new
time Niagara SBDC client, manufactures oxygen systems         daycare center near a Lockheed Martin facility, based on
for the medical, agricultural, and water treatment indus-     corporate plans to hire more engineers and an employee
tries. Another acquisition, Schlyer Machine Corporation,      survey demonstrating the need for childcare. Shining
manufactures equipment for medical and other types of         Stars currently employs 63 people.
research. With SBDC assistance, the partners consolidat-




               The Hall of Fame Selection Committee is once again soliciting nominations
                        for new Hall of Fame members from the regional centers.

                                                                                                                            29
                         BUSINESS SECTORS                                                   BUSINESS SECTORS
                         ECONOMIC IMPACT                                                    ECONOMIC IMPACT
                                from Inception                                                              last year


              Millions of Dollars                                                   Millions                                             Hundreds
                                                                                    of Dollars                                             of Jobs
              0   100    200    300    400    500   600   700   800   900   1000

     Retail

                                                                                   180                                                           70
     Serv.

                                                                                                                                                 65
     Whol.                                                                         160
                                                                                                                                  Funding
                                                                                                                                                 60
     Manu.                                                                                                                        Jobs
                                                                                   140                                                           55
     Const.
                                                                                                                                                 50
     Ag.                                                                           120
                                                                                                                                                 45
     Other
                                                                                   100                                                           40
              0     5     10      15   20     25    30    35    40    50    55                                                                   35
                                                                                   80
              Thousands of Jobs                                                                                                                  30

                                                                                   60                                                            25
              Program Inception to September 30, 2007
                                                                                                                                                 20
              Total Investment Impact: $3,371,315,303
                                                                                   40                                                            15
              Total Number of Jobs: 127,532
                                                                                                                                                 10
                                                                                   20
                                                                                                                                                 5
              Investment in niche market and
                                                                                    0                                                            0
              specialized manufacturing continues                                         Retail   Service Whole. Manuf. Const.    Ag.   Other

              to grow in New York.

                                                                                         October 1, 2006-September 30, 2007

                                                                                         Total Investment Impact: $298,733,557

                                                                                         Total Number of Jobs: 6,729


                                                                                         In just the past twelve months,
                                                                                         SBDC clients invested almost
                                                                                         $300 million to impact over
                                                                                         6,700 jobs.




30
            COUNSELING STATISTICS                                          FUNDING/
                    from inception                                       INVESTMENT
                                                                             last year


        Thousands of Clients

        0          5           10    15     20    25                                           Other
                                                                                               $100,000
85/86
                                                              Public                           Equity Collateral
86/87                                                      $51,708,195                         $7,664,610

87/88                                                                                          Private Investor
                                                                                               $22,810,105
88/89

                                                                                               Equity Cash
89/90
                                                                                               $68,868,313
90/91
                                                           Other
                                                        $20,005,856                            Commercial Lender
                                                                                               $127,576,478
91/92
                                                                 Private
92/93                                                         $227,019,506

93/94


94/95


95/96                                                       October 1, 2006 - September 30, 2007

96/97                                                       Total Investment: $298,733,557
97/98


98/99                                                       Scarce owner equity is leveraged by
99/00                                                       public and private funding to bring
                                                            entrepreneurs’ dreams to life.
00/01


01/02


02/03


03/04


04/05


05/06


06/07



        0         25           50    75     100   125


        Thousands of Hours


        The number of clients and counseling
        hours increased significantly in 2001-
        2003 after the terrorist attacks.




                                                                                                                   31
                                             SBDC ADVISORY BOARD

                 The NYS SBDC Advisory Board serves the program by providing
               insight, guidance, and support to the State Director and the network
                 of regional centers. The Board members, a diverse group of small
                  business owners and others with small business interests meet a
               few times a year to discuss SBDC and small business issues. In 2007,
               Advisory Board members attended the annual Staff Training event in
               Utica and met with SBDC Business Advisors. The Business Advisors
              provided valuable feedback for the program’s leadership. We appreciate
                       the board’s tremendous contributions to the program.


     CHAIRPERSON                             Mr. Patrick Foye                              Mr. Brad Rosenstein
     Mr. Sterling Kozlowski                  Chairman                                      President
     President, Key Bank                     Downstate Empire State Development            Jack’s Oyster House
     50th Fountain Plaza, 17th Floor         633 3rd Avenue                                42 State Street
     Buffalo, NY 14202                       New York, NY 10017                            Albany, NY 12207

     EX-OFFICIO                              Ms. Shirley Felder, President                 Mr. Ronald C. Thomas
     Dr. John B. Clark                       Sullivan County First Refuse and              Dean of Administration
     Interim Chancellor                       Recycling, Inc.                              York College
     The State University of New York        482 Hasbrouck Drive                           The City University of New York
     State University Plaza                  Woodbourne, NY 12788                          Jamaica, NY 11451
     Albany, NY 12246
                                             Mr. James Hartman                             STATE DIRECTOR
     VICE CHAIRPERSON                        Grant Development Seminars                    Mr. James King
     Mr. R. Wayne Diesel                     P.O. Box 874                                  State Director
     Consultant                              Saratoga Springs, NY 12866                    New York State Small Business
     22 Yardley Court                                                                       Development Center
     Loudonville, NY 12211                   Mr. William Kahn                              The State University of New York
                                             CPA, Partner                                  22 Corporate Woods, 3rd Floor
     EX-OFFICIO                              UHY Advisors NY, Inc.                         Albany, NY 12246
     Mr. Lee Borland                         66 State Street, Suite 200
     Borland Product Development, Inc.       Albany, NY 12207                              SECRETARY
     P.O. Box 124                                                                          Ms. Mary Hoffman,
     Speculator, NY 12164                    Ms. Loretta Kaminsky                          Associate State Director
                                             42 Thamesford Lane                            New York State Small Business
     EX-OFFICIO                              Williamsville, NY 14221                        Development Center
     Mr. Daniel O’Connell, Project Officer                                                 The State University of New York
     Capital Business Resource Center        Mr. Patrick MacKrell                          22 Corporate Woods
     U.S. Small Business Administration      President                                     Albany, NY 12246
     1 Computer Drive                        New York Business Development
     Albany, NY 12205                         Corporation
                                             50 Beaver Street, 6th Floor
     MEMBERS                                 Albany, NY 12207
     Mr. Robert Andrews, President
     Morse Manufacturing                     Ms. Linda McQuinn
     727 W. Manlius Street                   President and CEO
     E. Syracuse, NY 13057                   tasmithassociates, inc. Consulting Services
                                             P.O. Box 544
     Mr. Jeffrey Boyce                       Ogdensburg, NY 13669-0544
     Assistant Vice President
     The Research Foundation of the          Mr. Raymond M. Nowicki
      State University of New York           Managing Member
     Office of Sponsored Programs            Nowicki and Company, CPAs LLP
     35 State Street                         3198 Union Road, Suite 100
     Albany, NY 12207                        Buffalo, NY 14227




32
                               SBDC REGIONAL CENTERS
    The statewide network of 23 SBDC regional centers – and numerous full-time outreach
locations – is a fully integrated and interactive small business consulting and training
delivery system. The New York State SBDC Central Library in Albany supports the system
with up-to-date business information and electronic search mechanisms. When you seek
business counseling at one of the SBDC’s regional centers, the resources of the entire system
are at your disposal. The centers and founding dates:

    7.1.84    Albany                                    8.15.88        York College (CUNY)/ Queens
    7.1.84    Binghamton                                8.15.88        Stony Brook
    7.1.84    Buffalo                                    9.1.93        College of Staten Island
    7.1.84    Niagara                                                  (CUNY) / Staten Island
   10.1.85    Farmingdale                                6.1.94        Manufacturing and Defense
                                                                       Development Office
   10.1.85    Mid-Hudson (Ulster County
              Community College)                         9.1.94        Baruch College (CUNY) /
                                                                       Manhattan
    4.1.86    Watertown
                                                        10.1.98        SUNY Canton
    7.1.86    Jamestown
                                                        12.1.98        SUNY Plattsburgh
    7.1.86    Utica / Rome
                                                         1.1.00        Lehman College (CUNY) Bronx
   9.20.86    Syracuse
                                                         1.1.00        Boricua College (Brooklyn)
   10.1.86    Pace University / Manhattan
                                                        10.1.01        LaGuardia Community College
    4.1.87    Corning                                                  (CUNY) / Queens
    4.1.87    Brockport / Rochester                     10.1.02        Westchester (Mercy College)




                                                                 SUNY Plattsburgh
                                                          SUNY Canton

                                                    Jefferson CC




               Niagara                                                  SUNYIT
                County CC                            Onondaga CC
                               SUC Brockport
                 SUC Buffalo                                                        SUNY Albany
                                                                                      SBDC (System Administration)
                                                                                         Manufacturing and Defense
                                      Corning CC                                          Development Office
        Jamestown CC                                 SUNY Binghamton

                                                                                   Ulster County CC


                                                                   Mercy College
                                                                                          Lehman College (CUNY) Bronx


                                                               Pace University                        SUNY Stony Brook
                                           Baruch College (Mid-Manhattan)
                                                   College of Staten Island                           SUC Technology
                                                                                                      at Farmingdale
                                                                  LaGuardia          York College
                                                            Community College      Boricua College (Brooklyn)
          www.nyssbdc.org


      NYS SMALL BUSINESS
     DEVELOPMENT CENTER
The State University of New York
 22 Corporate Woods, 3rd Floor
              Albany, NY 12246

								
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