We’d like to extend a thank-you to all of our community partners who have referred our programs to their clients.  The continued support of area legislators, banks, business development organizations and other community leaders is essential to the overall success of MetroAction. 

MetroAction recently awarded Kevin Messet of New Seasons Financial, with a trip to Woodloch Pines for referring a client to MetroAction during our  Spring Referral Incentive Program. Other prizes were awarded to Jeff Reimer, Pennstar Bank and Eileen Sokol, Pennstar Bank.  MetroAction appreciates the assistance and support of our referral partners and will continue to award their efforts in our fall Referral Incentive Award Program.  For more information, contact Christina Hitchcock at (570) 342-7711.

Today’s tumultuous economy poses a threat for business owners who are seeking to obtain capital. Banks have become rigid in their money lending habits. Because of this, the traditional bank loan process has become extremely tedious and very unforgiving.

The recent crack-down on the number of loans that banks approve has driven business owners to other sources, such as community development financial institutions (CDFI) for the money that they need. MetroAction is one of these institutions and they are committed to stimulating economic growth by providing small business loans and helping small businesses succeed.

But no matter what kind of institution you look to for a loan, your chances of loan approval will increase greatly if you meet a few important criteria. They are known as the 5 C’s of Credit.

1. Capacity – Any financial institution will be reluctant to approve you for a loan if they do not think that you have sufficient capacity to repay the debt. Financial institutions will consider your business cash flow, past payment records on other loans and commercial debt, and the likelihood of your repayment of the loan.
2. Capital – Capital is what you have personally invested in your business. You will be more likely to receive a loan if you have significant personal investments in your company. Having a large interest in your business shows lenders that you are committed to making your business succeed, which, in turn, increases their chances of receiving full loan repayment.
3. Collateral – Collateral is another kind of guarantee that will make loan approval easier. It is something of value, besides cash, that can be used to repay a loan should your original form of repayment not be substantial enough.
4. Conditions – Conditions are what you plan on using the loan for. It is important that you specify exactly how a loan will be used. A lender may also factor in how the local economy is doing and the economic state of your type of business when considering a loan request.
5. Character – Character is the vibe or impression that you radiate. This helps a lender decide whether or not they think you are a person of honor and morals. Such a person is more likely to repay a loan and thus is more likely to receive a loan. A background check and the quality of the references that you provide will also weigh into the decision.

To learn about what lenders look for when reviewing a loan request, attend one of MetroAction’s Small Business Resource Clinics.  These free seminars are held regularly throughout our 8-county service area.

Nationally, October is recognized as Women’s Small Business Month.  This is a time to pay tribute to the many business owners, especially women, who have contributed to the success of our thriving region. Small businesses are critical to the economic success of cities and towns. MetroAction is proud to recognize and honor women who own small businesses and their contribution to our communities.

In recognition of Women’s Small Business Month this October, MetroAction is hosting a series of Small Business Resource Clinics throughout its eight-county service area.  These free seminars are designed to help start-up and expanding entrepreneurs understand the steps needed to develop a successful business and provide valuable resources to help male and female owned small businesses grow and thrive.  Seminars have been scheduled in Milford, Stroudsburg, Tunkhannock, Montrose, Lehighton, Wilkes-Barre, Honesdale and Carbondale.  A complete list of events can be found on www.metroaction.org.

MetroAction (www.metroaction.org) helps women-owned businesses gain a competitive edge by offering the business tools needed to empower women to start and/or expand their business. MetroAction offers free workshops, such as these Small Business Resource Clincis, an online library of tools, guides and templates and flexible small business financing to businesses in northeastern Pennsylvania.  Be sure to check out the helpful links, tools, templates and guides we have posted on this blog.  Click the link in the green box to the right. 

Nationwide, women-owned businesses have grown steadily in each of the last ten years. Women-owned firms in the United States provide jobs for 18.5 million people and generate sales of nearly $2.38 trillion annually. Women now make up 41 percent of the individuals with a net worth of $500,000 or more.

MetroAction recently received $100,000 in funding from Scranton Industrial Development Company (SIDCo) to support its small business financing program, which serves residents in Carbon, Lackawanna, Luzerne, Monroe, Pike, Susquehanna, Wayne and Wyoming Counties.

This funding will allow MetroAction to continue to provide lending services to under-served small businesses.  “MetroAction is dedicated to supporting small businesses in our region. These businesses are creating jobs, enhancing family incomes and revitalizing our community. The support of organizations, like SIDCo, is invaluable,” states MetroAction’s president, Natalie O’Hara.
 
“Partnering with MetroAction is a welcomed opportunity for SIDCo.” noted Joe Tomko, president of SIDCo.  “Combining the resources of business organizations like SIDCo and MetroAction will provide greater support to our small business community”

MetroAction provides financing, training and counseling to start-up and expanding small businesses in throughout eight counties in northeastern Pennsylvania, including Carbon, Lackawanna, Luzerne, Monroe, Pike, Susquehanna, Wayne and Wyoming counties. These programs were created to meet the needs of businesses that are typically underserved – businesses owned by low-income individuals, women, ethnic minorities and the un-employed.  Many of the entrepreneurs that utilize the loan programs lack start-up capital and cannot save money fast enough to acquire the funding they need to finance their small business.

Since 1997, MetroAction has helped nearly 200 entrepreneurs obtain over $2.7 million in capital and continues to provide ongoing counseling and training to hundreds of individuals.  The continued support of area economic development agencies, such as SIDCo, is essential to the overall success of MetroAction.

SIDCo was established in 1914 to promote the interests of small business.  Today, the organization still works to encourage both the development of small business and the creation of jobs in the community.  SIDCo continues to serve the Lackawanna County region by providing short-term working capital loans to local businesses.

For nearly a century, SIDCo has been contributing to a healthier economy by providing area businesses with approximately $5.4 million in financial assistance.  Loans of up to $75,000 with terms of up to 5 years can be obtained.  Also, special façade improvement loans are available to qualified candidates that wish to improve the exterior of their facility.
 
For more information on MetroAction’s programs and services, please contact MetroAction staff at (570) 342-7711 or visit www.metroaction.org.   For more information on the SIDCo working capital loan program, please contact Jim Coleman at (570) 342-7711 ext. 122.
 
Pictured: Joe Tomko (far left), president of SIDCo and Jim Coleman (far right), secretary/treasurer of SIDCo present a check to Natalie O’Hara (center), president of MetroAction.

Nibbles and Bits, a gourmet gift basket and specialty food store located in Dunmore, was awarded the September Small Business Spotlight Award, sponsored by First Liberty Bank and Trust, for their consistent involvement in the local community. 

Nibbles and Bits proudly supports local groups and regularly donates baskets and products to organizations such as the Alzheimer’s Association, Kiwanis Club of Scranton, Dress for Success, Share-a-Chair, Minooka Lions Club, American Red Cross, Muscular Dystrophy Association, Ballet Theatre of Scranton, Dunmore Elementary PTA, Scranton Hebrew Day School and St. Mary of Mount Carmel Church to name a few.

Each month, MetroAction presents the Small Business Spotlight award to a local business dedicated to giving back to their local community.  If you know of a deserving business, nominate them today!

Pictured at the award presentation are from left: Theresa Collins, district manager, First Liberty Bank and Trust; Mechele Corry, owner, Nibbles and Bits; and Desiree Ranella, business development specialist, MetroAction.

So, you’ve done it. You’ve finally made the commitment and decided to go into business for yourself. But have you stopped to think about how you’re going to let people know about your new company or the products and services that it offers?

If this is you, then now is probably the time to begin thinking seriously about a marketing strategy. To some this may be an intimidating thought. After all, there are many different types of marketing and finding a mix that fits your business may seem like a daunting task. Fortunately, marketing is not as hard as it sometimes appears and there are many different avenues that can be taken in order to achieve marketing success.

So what is marketing? Even if you don’t know the dictionary’s definition you probably have an idea of what it is and if you have been in business for any amount of time you’re probably already engaged in some form of marketing, whether you realize it or not.

Many business owners (novice and veteran alike) think that marketing is an extravagant and expensive campaign that is comprised of billboards, television spots, mass emails, and countless phone calls (to name a few). It is true that marketing involves these things, but it is so much more than that. Simply put, marketing is everything that goes into selling a product or service. Everything in between the transfer of a good or service from the seller to the buyer is marketing.

What makes a marketing project work is how a business arranges all of the different types of marketing to form a unique message that captures the attention of the consumer.
In order to do this, there are a few things to keep in mind.

Simplicity is the key to a good marketing strategy – Everything, from a slogan to a logo, should be kept simple. The simpler it is the more likely people are to remember it.

Don’t think that one form of marketing is enough – Do everything you are capable of doing to get the word out about your business. This means go beyond stuffing mail boxes with brochures and start incorporating some different things. Build relationships with people, set up a website, advertise etc.

Don’t think that marketing is a quick fix – Creating and implementing a good marketing strategy is one of the best things you can do for your business. But it will not solve all of your problems. Just keep in mind that marketing is not an end, but a means to an end.

Don’t wait – The sooner you begin marketing your business the sooner you will be established in the minds of your target market as someone who provides what they want.

There you have it: a few basic steps to better your business and improve your chances of success.

It is, to say the least, inspiring when a story of someone’s success is brought to our attention. It doesn’t even matter in what field the success was achieved. Regardless of the relevance to our own grind, we feel excited and motivated when we hear a story of “risk and reward”. 

Six years ago the writing of one such success story began. In 2002, Danielle Fleming, of Danielle and Company, located in Scranton, Pennsylvania, began an entrepreneurial journey that has allowed her to become an incredibly successful business woman.

Ms. Fleming’s education in the fields of psychology and behavioral therapy was the starting point for her business success. Danielle and Company is a business that specializes in the creation of luxury bath and beauty products. The products are the result of a research project that Ms. Fleming had undertaken, which involved the use of handmade soaps and the study of the human psychological response to different scents. When the research project was over, the demand for Danielle’s handmade scented soaps lingered.

Because of the demand for her products, Ms. Fleming began selling her handmade organic soaps at local farmer’s markets. Since then her business has seen tremendous growth. “It is amazing to me to look back at our growth.  We started in my kitchen at home and then went to a 400 square foot retail store and moved our way up to a 6,500 square foot facility with more space to expand to 30,000 square feet”, said Ms. Fleming. The business will now have even more exposure because of the move from its long time location in Clarks Summit to a beautiful venue on Adams Avenue in Scranton.

Ms. Fleming’s business and her line of products are unlike any other bath and beauty offerings. “We are focused on the whole person, the mind, the body and their impact on the environment when people use our products”, said Ms. Fleming. This philosophy has given Danielle and Company products national exposure, including features in national magazines and their use by such celebrities as Janet Jackson and Howie Mandel. The products are also sold in spas and hotels worldwide.

In addition to unparalleled products, Danielle and Company believes in the importance of preserving the environment. All of the products are made with 100 percent natural ingredients. The company’s new location is also eco-friendly, complete with energy efficient machines and appliances, compact fluorescent light bulbs, and the use of non toxic paints.

Ms. Fleming holds the belief that success requires dedication, commitment, and perseverance. She also sites the help of local business organization as being conducive to the success of her business, especially the University of Scranton Small Business Development Center and MetroAction. “MetroAction has helped my business by providing great seminars for entrepreneurs like myself to expand their knowledge base”, said Ms. Fleming. “It has also helped my company’s growth by providing us with a low-interest loan”.

The success of Danielle and Company is hinged upon Ms. Fleming’s commitment and drive to succeed. She encourages other entrepreneurs to take chances. She says, “Being an entrepreneur is hard work, but if you have the desire and commitment, it will bring you to places you never dreamt of!  Go ahead and leap…the net will appear”.

MetroAction announced today that it has appointed several new members and new officers to its Board of Directors.

Newly appointed board members include: Karen Thomas of Penn Security Bank and Trust, Robert Farrell, Esq. of The University of Scranton, Art Levandoski of The Mall at Steamtown, Jennifer Battista of Scranton Tomorrow, Gayle Scaramuzzo of Lackawanna College, Eric Davis of Ginader Jones, Elizabeth Zygmunt of Times Shamrock, Gene Schimelfenig of SCORE Scranton Chapter, Jack Reager of Blackout Design, Inc., Charles Hibble of Hibble and Associates  and Dan Joyce of Normandy Holdings.

Directors serving ex-officio terms include: Linda Aeblie of the City of Scranton, Office of Economic and Community Development and Robert Scopelliti of the Scranton Parking Authority.

Newly appointed officers include: President, Natalie O’Hara of Pace Construction Managers, Vice President, Attorney Michael Kenny, Vice President, Raymond Ceccotti of Honesdale National Bank, Secretary, Austin J. Burke of the Greater Scranton Chamber of Commerce, and Treasurer, Lee Walter of First Liberty Bank and Trust.

The newly elected directors are a diverse group of business men and women who are committed to the growth and development of small businesses throughout eight counties in northeastern Pennsylvania including Carbon, Lackawanna, Susquehanna, Luzerne, Monroe, Pike, Wayne and Wyoming counties.

As a small business owner, you probably feel financially strapped from time to time. Getting capital to keep your business afloat is, in many cases, a process that takes what seems like forever. Every penny matters and the faster you can get your hands on some cash, the better.

Well, here’s some good news from the IRS.

As part of the economic stimulus package that the government has recently provided, many businesses are eligible to receive a major tax break on purchased property for the year that the property is put into use. This means that there is a 50 percent depreciation allowance on qualified property.

Depreciation is the decrease in value of a given piece of property due to the natural effects of entropy. Normally, the cost of this wear and tear would be expressed on a company’s balance sheet over several years. With the new depreciation allowance provided by the government, a business can now write off half of qualified property as one lump sum, for property costing up to $250,000.

This allowance will keep some money in your pocket when April 15th rolls around. It has long been said that poor cash reserve is one of the main reasons for small business deterioration.  More money means that your business will have a much better chance for success.

For more details on the new depreciation allowance, visit www.irs.gov.

As always, MetroAction recommends that you consult with your accountant and/or attorney for all relevant business matters.

MetroAction, in partnership with The Greater Scranton Chamber of Commerce, will be hosting a 3-part seminar series to help area businesses incorporate emerging technology into their overall marketing plan.  The Marketing Mastery Seminar Series will be held on September 10, October 1 and November 5 from 9:00 AM to 12:00 PM at the Chamber, 222 Mulberry Street, Scranton.

The September 10 session titled, “Taking Your Business Online”, will cover the landscape of the web today, what to keep in mind if you are just starting out on the web or if your business has been on the web for years, and explore the available tools to ensure you are engaging your clients and putting your business’ best foot forward.

The October 1 session, titled, “Maximizing the Power of Electronic Marketing”, will show how the web has become one of the fastest growing mediums for advertising and how to ensure you are maximizing your online presence to build your business.

The November 5 session, titled, “Marketing with Emerging Technology and Social Media”, will help make sense of new technologies and how to use them to gain a competitive advantage. The session will review tools such as MySpace, Facebook and LinkedIn, among others.

The seminars are $35 each or you can bundle all three for $99 per person.  Jack Reager, President, BlackOut Design, Inc., will present each session.   The Marketing Mastery Seminar series is sponsored by Penn Security Bank and BlackOut Design, Inc.  Register for all three sesions today!