“Everyone has a plan ‘til they get punched in the mouth.” -Mike Tyson

I admit, I’m not a big fan of Mike Tyson, but when a statement rings true it’s time to listen.
In the past we’ve had lots of “feather weight” economic upheaval. There have been “light weight” and “middle weight” financial bouts; but in 2010 we are in the “heavy weight” division. In the heavy weight world you feel every punch.
When the business world entered the ring for this fight we had no idea it would last this many rounds. The initial hits we took could be expected and we made changes as needed. Now, as the rounds pile up and months turn into years everyone is digging deep just to stay alive.
These days clients and customers are reevaluating necessities, contracts, business relationships and employees— but that means opportunity, not dead ends. This is not a Pollyanna point of view, it is real. All those potential clients who have been sitting on status quo year after year now have a reason to open up to change.
Making changes when sales are flat can be scary. “If the change doesn’t work how big of a financial hit can we take?” Flat sales mean you are taking hits left and right. The cancelled order is a right jab. A top customer who went out of business is a left upper cut. Your top sales rep that goes to work for your competitor equals a straight right followed by a left hook.
After three years in a tough economy you’re bruised and bleeding. Here are some coaching tips:

1.  Move your feet. Are your employee’s running fast but getting nowhere? You may want to take a look at their feet. They could be shackled to an archaic system. “We re-did our ops manual last year.” Who re-did it? If it was constructed by management and signed off by operations, you might need to give it another shot.
Employee Training: Gather information from everyone. Where is the shortfall in operational procedures? Change people around and open up your cross-training to help employees feel both wanted and needed. Cross-training also allows you to hire from within and reduces ramp-up time with the bonus of employee satisfaction. Also, putting a supervisor on the front line can be a great inspiration generator.
Sales and Sales Training: Throw out the statistics. The idea that x number of calls equals so many appointments which equals so many sales will not work today like it did in 2007. Don’t blame your sales teams for not making sales; you’re the one that is holding them to the defunct sales standard. Deconstruct the sales process and ask your sales reps to put it back together. Give a prize for the most outlandish workable idea.

2.  Cut your eye. Blow after blow your face has taken a beating; we need to cut some flesh so you can see. It is time you looked at your company from the outside in. This is not as easy as it sounds. Some of the things you invested time and money into may need reworking or elimination. Areas to consider include:
Marketing: Down markets are a great time to take over market share. Have you cut back to conserve resources? When you stand on the outside can you even see a path looking into your company? Make your marketing dollars prove they are working for you. Wherever you spend money ask for a detailed report and electronic surveillance if possible. If there is no data available, even if you think it is working for you, if you are spending money, you should delete it. Times are tight, don‘t spend money on hope.
Website: “In our line of work no one really looks at our website.” What does your website look like? The majority of websites out there have a business that spent money on it but did not invest in it. When a website holds no value for today’s buyer, they won’t go to it, but it has nothing to do with “your line of work.”

3. Learn. “I’m scared every time I go into the ring, but it’s how you handle it. What you have to do is plant your feet, bite down on your mouthpiece and say, ‘Let’s go.’“ – Mike Tyson.
It is easy for business owners and management to get frustrated when you can’t seem to land a single punch. Your company is bobbing and weaving their hearts out but you just don’t seem to be gaining any edge.
Listen and learn from the guys with the championship belts. Call your clients who are holding their own or even prospering and ask for input. When you are in the fight you don’t see the whole picture. Get a new, different perspective from your usual sources. It’s easy to commiserate with a buddy and play the victim card but if that is your desire then throw in the towel now so you don’t have to take another hit. If you want to win; if you really, really want to win, now is the time to dig deep.

“A champion shows who he is by what he does when he’s tested. When a person gets up and says ‘I can still do it’, he’s a champion.” -Evander Holyfield
By: Shari Allison

In March, the city of Chico revealed its new Economic Development Web site which is not only helpful but easy on the eyes.

Entering the site beautiful pictures of Chico’s most beloved places, such as Sierra Nevada Brewery, the downtown City Plaza and CSU, Chico flash on the screen with the phrase “a haven for innovation & entrepreneurship.” The Web site covers why Chico is a great place to live, work and visit.

“The new Web site is designed to take advantage of the city of Chico’s top position on the Google Search Engine to help market Chico for investment in order to strengthen the economy,” said Martha Wescoat-Andes, Economic Development/Redevelopment Manager, city of Chico.

The information on the site answers all the questions that people interested in Chico would normally ask, such as where is Chico and why should I move to Chico? It has an interactive map, gives resources for companies considering a new operation in town and talks about the affordable, small town charm Chico has to offer.

The Web site has lots of tools, such as a property database where commercial brokers can upload their vacant properties within Chico and have them seen on the site, as well as on the Team California site, which functions as the marketing arm for the state in terms of relocations. There is also a Higher Education page where CSU, Chico identifies its Colleges that are interested in applied research partnerships with businesses.

Whether you want to know what schools are in Chico, real estate and labor cost of doing business in Chico, sustainability efforts in Chico or where to head for outdoor fun, this site has it.

Wescoat-Andes is maintaining the site and working to make sure the information is always current.

“The site is very easy for the city itself to update and change as we go,” Wescoat-Andes said. “It will continue to evolve as we develop it as a tool.”

The hope for this site is that it will eventually bring more businesses to the area. Check out the Web site at www.chicoeconomicdevelopment.com.

Going down Main St. in downtown Chico, locals may have noticed that the once brightly colored teal storefront of LuLu’s Fashion Lounge has been replaced with pink and black decor and a sign spelling out “The Fashion Lounge.”

After 13 years of selling juniors clothing to Chico residents, LuLu’s owners Debra Cannon and her daughter Colleen Winter decided it was time to close the store and focus on their strongest asset, LuLu’s Web site.

“We loved being downtown and having our store, but on the other hand our Web site was growing,” Cannon said. “We felt like we weren’t giving the store our best attention because we were spending so much more energy on the Web site.”

The Web site has a wide variety of products with everything from shoes to jewelry to hair accessories to clothing. They already had a warehouse on Humboldt Ave, so the transition wasn’t too difficult once they found someone to turn the store over to. On July 1, 2009 they handed their trendy fashion boutique over to the new owner, Anita Jacobson.

The decision to sell the store came down to numbers. Selling online gave them an unlimited amount of people to reach with their product. Currently they have almost 200,000 registered customers and the majority of them aren’t from Northern California.

“In Chico you have your audience of so many people that are here and the people that come out of town and it’s a finite number,” she said. “Online, the more you market, the more people that find you.”

LuLu’s has gained a huge cliental throughout the country. They ship out between 400 to 1000 packages daily with 74 percent of their packages being sent to the East Coast. They even ship to international customers.

Their huge cliental base was gained through many avenues of marketing. LuLu’s has been featured in several popular magazines, such as Self, Country Living, Lucky, Glamour, Teen Vogue, Seventeen and Cosmopolitan. They have also made a huge presence in social marketing sites like Twitter and Facebook.

“Due to marketing and wonderful magazine editorial coverage we now have a population of customers that previously had no knowledge of us and it grows daily,” Cannon said.

Currently LuLu’s is redesigning its Web site to be even more socially interactive, she said. Customers will soon be able to review products, post a photo to their customer profile, see star ratings of all products and share their favorite items more easily with friends and family. They are also working on creating more contests and videos on their blog, Twitter and Facebook.

The main reasons people are attracted to LuLu’s products are the current styles at great price points. Most of the products they sell range between $30 to $60.
“The designers that we deal with knock off the latest fashions really quickly. So you might see something on the runway from Marc Jacobs and then we have something similar the next week for $35,” she said.

Keeping styles in the moment has been the key to LuLu’s success, Cannon said. They update their Web site daily with new products and send out e-mails to their customers twice a week. They also just launched a lookbook, which will feature outfits for current trends.

Many locals are already missing the signature LuLu’s T-shirts and cute clothing the store brought to Chico, but luckily their products aren’t out of reach.

Many of their clothes can be found in Trucker, another family owned business in downtown Chico, or of course on the Web site, www.lulus.com. The owners have no plans of opening another store in the future.

“We have opened our store to the world,” Cannon said. “The potential there is unlimited.”

To find out more about LuLu’s, visit lulus.com.

By Kayla Cook

On Jan. 28, Tri Counties Bank celebrated the grand opening of its new location. This branch is the first to open with the new architecture and design package that the bank is rolling out throughout its network.

“As our brand continues to evolve and respond to the needs of today’s consumer and business owner, our investment in updating our branch technology makes us more relevant to how people do their banking and live their life,” said Dan Bailey, executive vice president of Retail Banking for Tri Counties Bank. “We welcome the Chico community to come by and see our new branch.”

Visible from the street is outside signage with the updated Tri Counties Bank logo and colors. Inside is a four screen digital display that shows 1,300 unique images illustrating A Day in the Life of Tri Counties Bank. The wall features California landscapes, community involvement activities, quotes from California notables and personal profiles of bankers. The new branch architecture and design is centered on the concept of the digital wall.

In honor of the branch opening and the 2010 Winter Olympic Games, Tri Counties Bank celebrated its grand opening by making a $5 donation to Disabled Sports USA for every Perfect Choice Checking account opened in the month of February.

“Disabled Sports USA is fortunate to be able to partner with Tri Counties Bank to make the world a better place for people with disabilities. Together, we will have a powerful and positive impact on the lives of children and adults with disabilities and soldiers disabled in Iraq and Afghanistan,” said Doug Pringle, president of Disabled Sports USA, Far West chapter.

Chico-based Tri Counties Bank is a wholly-owned subsidiary of TriCo Bancshares (NASDAQ: TCBK) and has been serving customers in Chico since it opened its first branch on Pillsbury Rd. in 1975. The FDIC ranks Tri Counties Bank as the largest bank in Butte County.

The branch is located at 2483 Notre Dame Blvd., Ste. 100 in the Skypark Plaza shopping center and will be open Monday through Thursday from 9 a.m. to 5 p.m., Friday from 9 a.m. to 6 p.m. and Saturday from 9 a.m. to 1 p.m.

After finally getting the ok to move forward with their plans, Crystal Geyser is building a sparkling water bottling plant in Orland.

When searching for a place to start their sparkling mineral water operation, Orland had all the characteristics the company was looking for. From the aquifer, to the heavy industrial property to the small town atmosphere it was perfect.

“Crystal Geyser basically grew up in small towns,” said Alec Van Ryan, public information officer for the Crystal Geyser Project. “They like working in small towns and being part of that culture.”

Plans for the project have been in place since last summer. The project was approved by the Technical Advisory Committee in December, but was faced with two appeals, delaying the projects completion. A unanimous decision was made by City Council on Feb. 1 to approve the Orland Crystal Geyser Project.

With the plant will come 20 to 25 full-time jobs, and Crystal Geyser made a commitment to give Orland residents the upper hand when hiring.

“It’s an easy thing to do because of the quality of people who have come to us,” Van Ryan said. “We’ve already received more than 100 resumes and the people tend to be a good match for the type of jobs we offer. The funding and opportunities brought from this project will open doors for positive growth in Orland.”

The annual positive economic impact through salaries, taxes and local supplier/vendor contracts is expected to range from $1 to $2 million a year when the facility is fully operational.

The next step for Crystal Geyser is to create a Community Advisory Panel, which they hope to do in the next couple of months. This group of volunteers will help the company integrate into the community and truly become part of Orland.

Currently, Crystal Geyser is putting building plans together for submittal to the city. Following this will be a job fair, bidding on construction and by this time next year the operation should be up and running.

The only thing that can stop the project is if an opposing group files a lawsuit within the next four weeks. Save Our Water Resources and Friends of Orland have expressed a dislike for the project from the beginning, but so far neither have decided whether or not they will file an environmental lawsuit.

“There will always be a group of people that will maintain their position and it’s important that all sides be heard,” Van Ryan said. “What you have to do is find all the information available and make it public.”

Crystal Geyser has done just this by opening an information office where community members can come in and get their questions answered, he said. They also have a Web site that is updated regularly with news about the project.

When completed the plant will be an environmentally friendly 112,500-square-foot bottling plant and warehouse. The company will pump 160 acre-feet of water annually and will only produce flavored and unflavored sparkling mineral water beverages.

“We’re very excited about working with the city of Orland and working with the residents,” Van Ryan said. “It will be great.”

To find out more about the project, visit www.crystalgeyserorland.com or call the information office at 530-865-3347.

By Kayla Cook

Whether businesses need a helping hand, extra storage space or heavy equipment, the Work Training Center is there to make life easier.

The center, a nonprofit organization, is dedicated to supporting people with disabilities as they achieve increased independence in work and leisure. Businesses using the center’s services are not only keeping business local, they’re helping local adults with disabilities earn a living.

The support can be especially helpful for businesses just starting out or businesses that have reached a point where they need to give up space to continue running. Owning a company can be hard work and with the tough economy it may not be feasible to rent workspace or buy delivery trucks.

“Our new tag phrase is ‘The Smart Way to Grow Your Business,’” said Carl Ochsner, executive director, Work Training Center. “We can keep businesses’ costs down and risks at a minimum, yet still allow them to increase product volume.”

The work done by the training center has included putting bottle caps on Klean Kanteens, folding up ChicoBags and making wooden gift boxes for Vino 100. The center has thousands of square feet of warehouse space, delivery trucks, forklifts and a strong work force. It also offers a wide variety of services, everything from assembly to packaging to delivery. Many businesses in the area have utilized these services, including Enloe Medical Center, Sierra Nevada Brewery and S&S Produce and Natural Foods.

“The thing that ChicoBag and Klean Kanteen like about us is that we’re super flexible,” Ochsner said. “We can get things done fast and it’s ok if they have nothing for us to do the next week.”

Hiring new employees can be costly and is impractical when mixed with erratic order flow, he said. The center can be a real asset to businesses that want things done quickly and aren’t looking to hire.

Another beneficial service the Work Training Center can offer is experience. The nonprofit has been around since 1949 and since then has become a big part of Butte County.

The knowledge the company has gained from working with a variety of successful and not so successful businesses has provided insight on how to effectively run a business. This can be especially beneficial for businesses just starting out. If entrepreneurs need help clarifying their ideas, coming up with a packaging design or figuring out how to get into markets outside the county, the Work Training Center can help.

“If you want to be successful, it doesn’t cost you anything to come and talk to me,” Ochsner said. “I might have people, resources and ideas that can really help.”
Ochsner considers the Work Training Center to be a great ally to have that is always there to lend a hand.

“Businesses should see this as another place to call, another supplier and a way to solve problems they might have,” he said.

For more information on the Work Training Center or to take advantage of their services call 530-343-7994 or visit www.wtcinc.org.

By Kayla Cook

You hear the term thrown around almost everywhere—the radio, TV, online media—and to many small business owners, the concept of branding might sound a bit vague. But truly understanding what the term means—and further, its implications—allows one to see the possible positive impacts branding can bring to one’s business.
First, let’s set the record straight: A brand is much more than a logo and a color scheme. While logos and recognizable packaging surely contribute to a successful advertising campaign, the brand is the big idea—the foundation upon which your company stands. Locally there are trusted companies with teams of highly experienced professional consultants. Tyler Goold, branding and marketing strategist for Cornucopia Enterprises in Redding, took some time to share some information about branding.
“Think of branding as a unique promise to the consumer, and it is your ability to fulfill that promise that will ultimately differentiate you from the teeming competitors in your market,” Goold said. The logos and designs of the business all work to emphasize what your brand is; essentially, who you are. Defining your brand will, in turn, define your marketing strategy and how to best spend your marketing dollars.
Agencies like Cornucopia work to guide business owners in the process to define their brand. Savvy businesspeople also know that the thrill of short-term success is exciting, but long-term success is the only way to remain sustainable. By determining where one’s brand stands, and also where it needs to go, it is prudent to team up with one’s agency to help create the best strategy for achieving those goals. “Establishing your brand means creating the context in which your product or service is perceived, and it lays the foundation for all the marketing and advertising that follows,” Goold said.
Cornucopia has teamed up with new media veteran, Kurt Holmgren to help with the strategy and execution of its online media campaigns. Holmgren has been in the new media business since 1999 and began with a top-ranking e-commerce Web site. From there, Holmgren spent time on Capitol Hill as a technical advisor to the chairman of the House of Commerce’s Telecommunications & Internet subcommittee. While in Congress, Holmgren managed technical new media efforts for the three different members of Congress, including the sixth highest-ranking member of the House. Holmgren is currently the vice president of a Washington, D.C.-based new international media firm and also consults with Cornucopia on various projects.
So what does this all mean? Yes, your logo is the image that identifies who you are. Yes, your adverting is the message that tells who you are. But the brand is the perception your clients have of what you are. Your brand is not the latest product trend, package design or discount sale. Your brand can and should build relationships between you and your customers. Now is more important than ever to understand what your brand is and what it can do for you.
For more information, visit www.cornucopiaenterprises.com.

Joshua Corbelli is a freelance writer who lives with his Shih-Tzu, Pebles, in Redding. He can be reached at Pebles, in Redding. He can be reached at joshua.corbelli@gmail.com.

By Joshua Corbelli

Given the growth of employee-employer savings to meet retirement goals, it is not uncommon for employees to have a significant amount of employer stock in their qualified retirement plans. When it comes time for employees to leave the nest, most are willing to directly rollover all qualified plan assets into a traditional IRA. A traditional IRA rollover offers avoidance of an immediate income tax consequence, the retiree remains in control of his/her retirement assets and the benefits of tax deferral can continue.

However, there may be another option available that should be considered, a type of combination approach. This option involves distributing employer stock to the retiree and directly rolling over the remaining balance of the plan assets into a traditional IRA. This combination approach, though not for everyone, may have significant advantages.
By not including the employer stock in the traditional IRA rollover, the retiree is exposed to income taxes immediately. This is because he/she is receiving the shares as a taxable distribution. However, the taxes due will be only on the cost basis of the stock. Therefore, it’s important to know what the actual cost basis of your employer shares are in your retirement plan. The cost basis is essentially what the plan trustee paid for the stock. Exposing the stock to taxes now may be more advantageous in the long run because, in most cases, this cost basis of the employer stock will be much lower compared to the current market value.
The stock held outside the traditional IRA will continue to defer taxes on any appreciation. When the retiree ultimately decides to sell the shares, he/she will pay long-term capital gain rates—currently capped at 15 percent—rather than at ordinary income tax rates, which could run 35 percent or more. In addition, there are no minimum distribution requirements starting at age 70 1/2 or other nasty penalty taxes for this block of employer stock, allowing for more planning flexibility.
And lastly, the retiree’s heirs may miss out on another big tax break. If these same shares of employer stock were rolled into a traditional IRA, the heirs would ultimately owe ordinary income taxes on the employer stock, as they would on any asset held in a traditional IRA. This could result in a sizable income tax bill due at death, taxed at a potential 35 percent. By rolling into a traditional IRA, the heirs are unable to utilize the benefits of long-term capital gains treatment when they decide to sell the stock and may lose a tax saving opportunity.
There are many technical requirements that must be met in order for this type of distribution to qualify as what’s known as a lump sum distribution. Of course, diversification considerations and other investment fundamentals may show that rolling over stock to a traditional IRA may be the most prudent choice in many cases. Therefore, it is highly recommended that retirees considering such a maneuver obtain professional advice. Be sure to check with your financial planner or financial advisor whether you can reap the full benefits of holding on to your employer stock.

This material was prepared by Raymond James for use by Dan L. Bay of Raymond James Financial Services, Inc. Member FINRA/SIPC).
Dan L. Bay is a vice president with Tri Counties Bank and branch manager with Raymond James Financial Services located at 780 Mangrove Ave., Chico. Dan can be contacted at 530-898-0415 or toll free 1-866-822-4753. Tri Counties Bank Investment Services is a department of Tri Counties Bank. Securities and investment advisory services are offered exclusively through Raymond James Financial Services, Inc., Member FINRA/SIPC, an independent broker/dealer, and are: NOT FDIC insured NOT GUARANTEED by Tri Counties Bank or any other federal government agency. Subject to risk and may lose value. The information provided is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation.

By Dan L. Bay

The owners of Northern California Recycling are already dedicated to keeping our streets clean and waste free, but this month they are devoting themselves to something even more amazing—providing children in Africa the funds to better their poverty stricken lives.
During September, Northern California Recycling will be donating two cents of every pound recycled to the Mustard Tree Ministry. The Ministry is committed to addressing the hard issues of poverty, premature death, hunger and disease that the Zambians are born and locked into. They help educate and feed the people of Southern Africa in hope that this will aid them in having brighter futures.
“I want to help these kids out,” said Paul West, owner of Northern California Recycling. “I hope to at least generate a couple thousand dollars.”
Paul and his wife, Vicki, bought Northern California Recycling in February of 2009. Since then they’ve expanded to a better facility where they make convenience the key to their company. People can drive up and have their trucks unloaded during business hours and after hours they are still welcome to drop off their recyclables.
The whole purpose of the business is to stop people from dumping their stuff along the highway, West said. Customers have shown great appreciation for this service. Going there saves them time and money.
“Nobody can believe it’s free,” West said “There just not used to hearing the word.”
West finds it rewarding to know that he is keeping the streets from being covered in unwanted appliances and electronics.
“When I pull up in the morning and see 10 TVs and 20 refrigerators I know that people are using our service,” West said. “Where would those be if they weren’t here?”
West’s caring nature is what led him to become involved with the Mustard Tree Ministry. He heard about the organization from his accountant, and after learning more about the organization from the founder, Barbara Lund, he knew he needed to help.
“We went to Barbara’s house and she showed us photos of the tribes’ people and her living in a hut,” he said. “There were holes in the side used as a bathroom; you just don’t realize that still goes on.”
Mustard Tree Ministry has already made a huge impact on the people of Zambia. They provide care for the children and give them the education and skills that will offer them a chance to rise above the poverty.
West attributes the success of the business and the hope for this project to his wife. “She is what keeps me going,” he said. “She is my world.”
Sometime after September, West and his wife hope to go to Southern Africa and see for themselves how they are helping the children of Zambia.

Visit Northern California Recycling in Redding (18405 Clear Creek) and drop off your recyclables during September to help raise money for the people of Zambia. For more information on the Mustard Tree Ministry, visit www.themustardtreeministry.org.

By Kayla Cook

Golden Capital Network and NoRTEC have launched a series of business development workshops to get companies on the road to growing their entrepreneurial venture into a thriving, successful business.
The Venture Island Entrepreneur Workshop series, which began in August, is currently focused on giving Venture Island-North State contestants the skills they will need to make it to the top of the competition. Venture Island-North State is in full force with the last competition on October 29. Previous workshop topics have included beginning a business, entrepreneurial strategies and PowerPoint fundamentals. All workshops will be held at the Uptime Coworking Studio (101 Salem Street, Suite 240), which opened last November. Golden Capital Network created this venue for knowledge sharing forums such as these.
“Our vision as an organization is to promote entrepreneurship and innovation as an economic development strategy,” said Alan Chamberlain, program director of Golden Capital Network. “Those are the people who are going to create companies that will grow and provide good, sustainable employment opportunities for workers.
Although these workshops will focus primarily on the contest up until September 28, the content is valuable to anyone pursuing commercial success, so everyone is welcome.
On September 9, entrepreneurs can practice PowerPoint presentations at a “pitch clinic” that will offer feedback and suggestions for improvement. Throughout the rest of September and end of October workshops will focus on financial analysis. Businesses will have a chance to learn about revenue and expense projection, capitalization and business strategies.
At the closing of the Venture Island competition on October 29, the workshops will move forward to topics on growing small businesses. Companies can become more familiar with human resources practices, business law, accounting management and more.
“Our local small businesses are struggling in this economy and learning some things will help make their businesses better and hopefully lead them to growing their business,” Chamberlain said.
The seminars will not only give businesses skills to succeed, they will provide participants an opportunity to meet others interested in what they do, he said.
Each workshop will be taught by an expert in the business field, said Jon Gregory, president/CEO of Golden Capital Network.
“Workshops provide access to leading business executives and service providers for both start-up and existing growth companies to amplify their business acumen, and accelerate success,” Gregory said.
The connections made at these workshops will provide entrepreneurs with the guidance and support that will aid them in growing their venture.
These workshops will be every Wednesday from 6 p.m. to 7:30 p.m. All sessions are free, but space is limited. To register visit uptimechico.ning.com, or for more information on the workshops go to www.ventureisland-northstate.com.