Upstate Business Journal

Three Sixty Ecotique: Doing the Right Thing, and Doing it with Style

jess — Fri, 13 Aug 2010 22:30:51 +0000

Three Sixty Ecotique is full of surprises. Good ones too. The first time I ever visited the store, I didn’t know much about it. I had heard that it was a used clothing store with a sort of eco-friendly bent. That’s about all I knew. But when I walked in for the first time, I was blown away by how beautiful the place was. It looks like a boutique you’d find in downtown San Francisco or LA, not in downtown Chico.
My first impression was that I wouldn’t be able to afford anything in the store, but as I started browsing around, I was pleasantly surprised by the price tags on the items on the racks too. I mean, we’re talking really great, handpicked used and vintage clothes and accessories, as well as some one-of-a-kind, hand-made, locally designed stuff. You won’t find any Target, Old Navy or Forever 21 brands here, and there is new stuff out every week. Three Sixty carries about 10 different local designers who make everything from durable messenger bags out of recycled bike tires and fire hose, to gorgeous, one-of-a-kind tops and dresses hand-made out of vintage lingerie and costume jewelry. This is really unique, awesome stuff that you just won’t find anywhere else. And great stuff for guys too. I didn’t go there to shop my first time, and I’m sort of glad, because it would have been one of those dressing room marathons with arm-loads of cute stuff to try on. Of course, I couldn’t get away without buying something – an adorable little black dress, for $18. Yes, that’s right, $18, and it looks like new.
I had a chance to catch up with the ladies behind Three Sixty, Lorna Hillman and Crystena Hemingway. The two of them serendipitously found each other when their sons became friends. They had an instant bond. Apparently Lorna had an idea for a store with all recycled items and local designers, and she had been collecting clothes for quite some time. She had a feeling Crystena would be into the idea, and as it turned out, Crystena had created a business plan for exactly this kind of store about seven years prior.
“When she first presented the idea to me, I thought she was just talking, you know, the way people do,” Crystena said. But one thing led to another, and they got started by doing a trunk sale at Crystena’s house to raise some money to lease a store front. “We started from the ground, from nothing,” Lorna told me. But after a lot of hard work, the store opened in March of 2009.
There’s an obvious commitment to environmental stewardship at Three Sixty Ecotique, as the name implies. But it goes farther than you might notice on the surface. When asked what motivated them or inspired them to care so much about the environment, Lorna said, “It just makes sense. I can’t imagine being any other way.” Crystena told me, “And having kids, you just want the best for them. You want them to be educated and empathetic to the world around them, so it helps you make decisions that way.” Lorna added, “And you want the world to be clean for them.”
The fact that they only sell recycled or used items is just one piece of the eco-puzzle at Three Sixty. It’s not your typical used clothing store. In fact, it’s really a new way of thinking about fashion. You can walk out of the store feeling just as up-to-date and in-style as if you walked out of any other boutique in Chico, or anywhere else for that matter. But the difference is, here you are giving new life to old items, reducing waste and using your power as a consumer wisely and consciously. Let’s just say it’s a way to do the right thing, without having to compromise your sense of style.
Some of the less obvious eco-friendly things at Three Sixty include the store’s interior, which was redone with all recycled construction materials. Also, you won’t be offered a bag to carry off your loot. Instead, your new-to-you goodies will be folded lovingly and tied up with yarn, ribbon, or lace. And if you ride your bike to the store, you will be given a Bike Buck with your purchase, which is good for $1 off your next purchase, and you can save them up.
Three Sixty is making a name for itself here in Chico as much more than just another store; they are an active part of our local community. They hold fashion shows a few times a year to showcase local designers and artists, and they support numerous local nonprofits. They even host the occasional clothing exchange or clothing swap, in which anyone from the community can bring in their clothes over a 4 day period, and in exchange they get a ticket for each item that is accepted for the exchange. The following week, Three Sixty puts the exchange items out on racks in the middle of the store, and people can come in and “shop” with their tickets. Any of the leftover items get donated to a local nonprofit.
Three Sixty Ecotique is the real deal. I was very impressed with the commitment Lorna and Crystena have to both top quality fashion as well as to the health of our local community and our planet. If you haven’t been in there yet, I strongly encourage you to check it out and satisfy your sense of style without compromising your conscience.
Three Sixty Ecotique is open Tuesday through Saturday from 10a.m.–6p.m., and Sunday from 12p.m.–5p.m. Parking is available in the Senator Theatre parking lot. You can find Three Sixty Ecotique on Facebook or on MySpace.

Featured Designers at Three Sixty Ecotique:
- Social Form
- Parasol Project
- Abigail’s Clothing
- Zeeko Bags
- Claire Fong
- Corderoy Horse
- Elaina Michelle Designs
- Mindful
- Rekindled
- Sara Rose
- Muir Hughes

By: Crystal Durham

Bag Monster Strikes SF

jess — Fri, 13 Aug 2010 22:17:09 +0000

He’s been lurking around Chico since 2005, and now he’s being unleashed upon all the major cities of the United States. Make way for the ChicoBag “Bag Monster,” a creature that will strike horror in the hearts of reusable and plastic bag users alike.
You may still be wondering what this Bag Monster is exactly. The Bag Monster, is a creation by Andy Keller, owner and operator of the ChicoBag company, to draw attention to the gross amounts of plastic waste that comes from using plastic grocery bags rather than the reusable alternatives that are becoming more and more popular these days.On average, individual shoppers across the nation use somewhere between 500-700 bags per year. Keller originally used to bring out a huge ball of plastic bags to protest against this obscene amount of plastic bag use; then one day he decided to create a few jumpsuits and attach the bags using Velcro. And so came about the birth of the Bag Monster.
Since then, Keller has expanded his line of Bag Monsters into over 100 suits for people to use; whether it be for educational school programs, or for non-profit events to raise awareness for a cause that has been steadily gaining recognition throughout the state of California. Some of you may have heard about the AB 1998 bill. This is a bill that would prohibit certain types of stores from providing single-use bags to customers; and California hopes to be the first state to pass a bill of this nature.
In order to draw more awareness for this cause, Keller and over 100 volunteers will be heading to Ghirardelli Square in San Francisco, and marching their way through the city, complete in Bag Monster wear for their “Don’t Feed the Bag Monster” event. AB 1998 will be voted on by August 31st, and ChicoBag will be getting together with other organizations such as Heal the Bay, Clean Water Action, California Coastal Coalition, and the Plastic Pollution Coalition to hold a press conference so the public can be more involved with the movement.
The event will be held on Thursday, August 12 from 11a.m. to 2 p.m.. And after the press conference, Keller plans on taking his act on the road to spread awareness to cities across the country. Interested in volunteering for the San Francisco event? Head to their website, bagmonster.blogspot.com for more information.
By: Jess Krager

“Business TKO”

jess — Fri, 13 Aug 2010 22:05:46 +0000

“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

Current State of Economy in the North Valley

jess — Fri, 13 Aug 2010 21:56:51 +0000

I see no great changes on the economic horizon coming our way. What we have been experiencing the past six months will continue, at least for the near future.
The federal government has been very successful at keeping mortgage costs at record low rates. I believe it would be in everyone’s best interest if the low rates were to continue into the next year or two. The cost of maintaining the low rates will be considerable to taxpayers, as the government has been purchasing the mortgages as they are created to avoid a potential increase in rates, due to a shortage of mortgage buyers in the private sector. For the near future, I expect that interest rates will continue to be at all-time lows with minimal changes.
Foreclosures are expected to continue at a steady rate for the next two years. The peak in the number of new mortgages created was in 2007, and many of those mortgages were written with three to five year terms, with contracts calling for a rollover to adjustable rates at the end of the term. It will be difficult for residential real estate values to reach a consistent and predictable level until the foreclosures have left the market place.
I expect the volatility in the stock market to continue with no end in sight. There are so many entities using computer programs to buy and sell securities that volatility is pre-programed into the current system. If you are someone who likes to follow the value of stocks on a regular basis, you will feel like you are riding a roller coaster.
If you are considering the purchase of gold as a hedge against inflation and a safe place to put your money I recommend using caution. I have seen information that suggests that gold certificates are being sold to the public and the gold is not being purchased to support the certificate.
An interesting observation I have made during this difficult economic time is the number of people with significant amounts of cash to spend. Real estate is changing hands without the benefit of financing, and property is selling in a matter of days or weeks if it is priced at today’s market values. I have been involved in the real estate and financial services business since the early 1970s, and I have never seen such diversity in the market place. Though there are many people losing their property to foreclosure, there are also many people willing to pay cash for real estate.
These are stirring times for those of us making our living operating a small business. Going back to the basic principles of successful business operation, and then holding fast to those business principles on a daily basis, seems to be the only logical avenue to follow in order to both survive the difficult times we are faced with, and to be in a position to prosper when the economy begins to move forward again.
By: Jack Van Rossum

Burgers and Brew Debuts

jess — Fri, 13 Aug 2010 21:50:39 +0000

Family owned and operated Burgers and Brew has burst onto the Chico dining scene with a fresh look at how to serve a great burger and a keen eye for running a local business. The upscale dining area and adjacent patio are warm and welcoming, filled with murals and soon to be showcasing local art. The best part about the dining room? No TV in sight. “I got sick of watching people with food hanging out of their mouths that weren’t having a conversation with their table,” says co-owner Philippe Zawaydeh. “Burgers and Brew caters to families and students who want to have a great meal,” adds Philippe’s brother Derar. “We try to have good atmosphere, quality food and prices that are as inexpensive as they can be for what you’re getting.”
Trust me—the quality of food at B&B is excellent. The brothers served me up a huge spicy guacamole Portobello burger on a sesame bun made especially for the restaurant. Though the burger usually comes with a delicious, all-natural Niman beef patty, Burgers and Brew is more than happy to switch that out with one of their multiple vegetarian options. Smoked tofu and garden burger patties abound, though I must recommend the Portobello—cooked in 100% Canola Oil and marinated in a blend of its own juices and even more mushrooms, this ‘bello is definitely one of the juiciest and most flavorful in town. The next logical step for any reasonable diner is to check out Top This, Burgers & Brew’s in house self-serve frozen yogurt shop. Sustainably farmed by Strauss, this yogurt is non-fat, organic and comes complete with as many toppings as you can imagine. Like granola, fresh fruit or even M&M’s on your fro-yo? Top This has you covered tenfold for under $4.
Buying locally whenever possible is a major concern for the Zawaydeh brothers, who strive to have as many organic and all-natural items on their menu as they can. The beer and wine selection isn’t too shabby, either. With a variety of beer and a weekend schedule that keeps the restaurant open for patrons until 3 a.m., Burgers and Brew just might become a local favorite for those who like their food tasty and unpretentious.
Derar and Philippe both stem from Jordan originally, and moved to the Bay Area in their teenage years. By 18, Derar had begun his restaurant career as a bus boy in San Francisco, and by 1991 had started Crepeville, the Zawaydeh brothers’ first family restaurant. As the public embraced the first crepe restaurant in the area in years, Derar soon realized the demand was high for quality food at reasonable prices and opened more and more eateries across California. Eight restaurants later, the quest for perfect food preparation is still the main focus for these restaurateurs. “There’s no excuse for bad food,” says Derar, adding, “If you wouldn’t eat it, what’s the point in serving it?”
Be sure to bring the family or a few friends out to Burgers and Brew, located at 201 Broadway in downtown Chico. You won’t be disappointed, and in this heat you can’t go wrong with a quick bite of fro-yo or a cold pint. Delish!
By: Carmen Bush

Furry Friends in Need

jess — Fri, 13 Aug 2010 21:32:58 +0000

They’ll stick by your side through thick and thin, smother you with kisses and generally be your best friend…if you’ll let them. They are the cats and dogs that often get overlooked for their younger or livelier cage-mates, but still got a lot of love to give. Well, the Butte Humane Society is on a mission to adopt out as many of these passed-over pets to as many loving homes as possible by participating in Adopt-A-Less-Adoptable Pet Day.
A program of national awareness that was originally created by petfinders.com, it’s a campaign normally held on August 12th for the amazing “less adoptable” animals in shelters across the country. The idea is to help “less adoptable” pets to find a new home by offering special adoption rates to stir up interest. What makes these animals “less adoptable” you ask? Well in my book, absolutely nothing. But animals that seem to have the hardest time finding a home are those that are considered seniors, animals with special needs, black animals, animals that suffer from breed stereotypes and animals that can be the only pet in the household. Breed stereotypes refer to dogs such as Pitbulls, German Shepherds, or Rottweilers who often get stereotyped as more violent breeds, however if raised by a loving family and treated right, these breeds often become some of the most loyal pets. For instance, in the UK the Pitbull is often called the “nanny dog” because of how loyal and protective of children they are.
The Butte Humane Society has participated in the Adopt-A-Less-Adoptable Pet program for the past two years, but this year they decided that one day was not nearly enough to devote to these adorable critters. So, instead of just one day, BHS has extended the event into Adopt-A-Less-Adoptable Pet Weekend. From Aug. 12-15, prospective pet owners can head down to the Butte Humane Society at any point during their regularly scheduled hours and find their very own “less adoptable” pet to take home. To help with the adoption process, BHS plans to take $25 off the adoption fees for less adoptable dogs and puppies, $20 off less adoptable kittens and are offering FREE less adoptable cats to good homes.
They also plan to bring some of these furry friends to their “Mall Cats” location in the Chico Mall. Those of you who have been to the mall recently may have seen BHS’s room full of cats and kittens; well on Aug. 14-15 they will be showcasing a plethora of friendly felines and canines as part of the “less adoptable” program. BHS Event Coordinator Lori Wells says that this presents the perfect opportunity for the whole family (including any current pets you may have) to choose a new addition to the family. The Chico Mall “has lots of great grassy areas…if there is a pet that they like they can do the meet and greet then and there,” says Wells.
Want to take a sneak peek at some of the animals up for adoption? Check out their webpage: www.buttehumane.org/page/adopt-a-less-adoptable-pet-day.php to see some pet profiles. There are plenty of animals to choose from, but some of the pets up for adoption that really need the love are Hannah, Bear, Mystique, and Chica.
Hannah is a 3-legged Border Collie/Greyhound mix who is both black and a special needs pet. Poor Hannah is four and a half years old and is the Butte Humane Society’s longest resident. She is a loving and loyal girl who’s just waiting for the right home. Bear has only been with the BHS for about a month now, but this 11-year-old Husky/Malamute is desperate to find an understanding family that can keep him comfortable in his senior years as “He’s really sad here and howls” says Wells.
Mystique is an older cat, at 8-years-old, but she is such a lover that you never even know it. She is a brown, medium-haired cat who would do very well in a quiet home with older children who could devote as much love and attention as she would to them. And little miss Chica would love to be adopted into a family as well. She is a 4-year-old black cat with a bit of a squishy face and an itty bitty stature…but you know what they say, great things come in small packages!
The Butte Humane Society is located at 2579 Fair St. Their hours of operation are 12-6 p.m. every Tues, Wed, Fri, Sat & Sun and 12-7p.m. on Mon & Thurs. So mark the dates on your calendar, because these lovable animals would make a great addition to any home. These poor pets have had some rough times lately, why not help them find their place in your family?
By: Jess Krager

Pharmacies Beat the Recession

andrew — Fri, 16 Apr 2010 01:25:50 +0000

Running a successful business isn’t easy these days, but one industry in particular seems to be flourishing. Pharmacies are popping up all over California with the most recent additions to Chico being CVS/pharmacy and Walgreens on The Esplanade.
“Our business is growing because America’s population is aging,” said Robert Elfinger, Walgreens spokesman. “The demand for prescription medication is increasing every year.”
People are taking more prescription medication which helps them to live longer, healthier lives, he said. This is fueling Walgreens growth across the country.
Walgreen’s opened its newest Chico store on Jan. 22 at the corner of East Ave and The Esplanade. They also recently remodeled another store on East Ave and Cohasset. While Walgreens has three stores in Chico, throughout California it owns 565.
The pharmacy’s locations are decided based on the demographics of the community. Before choosing a site they look into traffic patterns, both vehicular and pedestrian, and do a lot of research.
“Part of our growth strategy now will be to go into California and the North East,” Elfinger said. “We think we can gain more market there.”
CVS/pharmacy spokesman, Michael DeAngelis also claimed that California is a growing market for CVS. The company has 819 stores all over California.
The pharmacy’s newest Chico store is less than a mile away from Walgreens at The Esplanade and East Lassen Avenue. The 15,000-square-foot building opened on March 21 in the new Lassen View Promenade center.
CVS entered the Chico market through its purchase of Longs Drug Stores in 2008. They converted the two Chico Longs stores into CVS/pharmacies last year, but this is the first one that was built as a CVS, which means a different layout and a convenient drive-thru.
The pharmacy has made it a priority to focus on convenience. Along with drive-thru pharmacy windows, the company builds in easy to reach locations and has long hours, so that customers always have easy access to CVS/pharmacy’s products and services.
One economic bonus for CVS is that 97 percent of its pharmacy business is covered by third party insurance. CVS also attributes their success to the affordability and demand of their essential products. They sell small items, such as toothpaste, aspirin and shampoo that people find necessary for everyday life.
“We’re not recession proof but to some degree we were recession resistant during the latest economic downturn,” he said. “It’s a combination of the fact that we’re providing pharmacy services and prescriptions.”
This year the company will be adding 250 to 300 stores to its already 7,000 stores throughout the country. CVS already has plans to open another store in Chico next year on the corner of Forest Ave. and Route 32.
“Chico is one of the major markets we entered into as part of the Longs acquisition,” DeAngelis said. “Now that we’ve completed the conversion of the Long’s stores we’re excited to be opening new locations.”

City of Chico has New Economic Development Web site

andrew — Fri, 16 Apr 2010 01:20:07 +0000

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.

What Would You Be Willing to do for 40 Million Dollars?

andrew — Fri, 16 Apr 2010 01:14:40 +0000

In the past month I have seen two movies on DVD that I thought were exceptional, both in the information that was communicated and in the easy-to-understand and interesting manner in which it was presented.

The first is “FOOD, INC.” This is a look at our modern day corporate food chain and the impact it has on our personal freedom and our agricultural heritage. It also provides a logical reason for our government’s failure to stem the tide of illegal immigration. After seeing the movie I had a much greater appreciation and sense of gratitude for all of the people in the North Valley who provide the weekly farmers’ markets in our local communities.

The second movie on DVD is Michael Moore’s new film, “CAPITALISM: A LOVE STORY.”

I have made a point of investigating the current financial meltdown that has had such a devastating affect on all of us in the North Valley, and I thought Moore’s film was a very good summary of the power and impact a few people have had on the everyday lives of each and every one of us.

I think anyone concerned with what is happening to those of us who live in the North Valley should see both of these films.

There is new legislation being considered in our nation’s capital that would affect the way you purchase securities and insurance products like annuities. The Senate Banking Committee sent a massive Wall Street regulatory bill to the full senate after a vote of 13-10. This is the same committee that led the fight to repeal the Glass-Steagall Act. The Glass-Steagall Act prohibited the banking industry from conducting the very business that created the current financial disaster.

The group Consumer Watchdog reports that in the first nine months of 2009, 2,567 lobbyists for the financial sector spent $336 million to lobby congress. The same group reports that the Senate Banking Committee members have received $41.9 million dollars in campaign contributions from PACs and individuals in the financial sector since 2005. I believe that the contributions to the Senate Banking Committee beg for the question to be asked: What would you be willing to do for 40 million dollars?
Much to the benefit of us all, the economy is still improving. The U.S. equity market has increased by 70 percent during the past 12 months. Nationwide, home prices declined by only 1.2 percent in 2009. This is the lowest decline in the past two years.

Freddie Mac has decided to stop accepting interest-only loans beginning in September of 2010. Approximately 70 percent of Freddie Mac’s existing interest-only loans were made in 2006 and 2007. The estimated current loan-to-value ratio on the existing interest-only loans at Freddie Mac is 106 percent. That means the average interest-only loan at Freddie Mac is 6 percent higher in value than the value of property it encumbers. Having a loan value greater than the value of the property is not a great incentive to continue making one’s mortgage payments.

My hope for all of us is that the current improvement in the economy will continue long enough for those of us in business in the North Valley to begin to both feel and experience a sense of security and optimism about the future, rather than the fear and pessimism that seem so prevalent in our business community. I believe with all my heart that “attitude is everything,” and I further believe that everything in our world will begin to change for the better as the attitudes of the people in our community turn more positive.

Jack Van Rossum C.C.I.M. is an independent real estate broker in Chico. He can be reached at 530-342-6915 or at jrossum@sbcglobal.net.

By Jack Van Rossum

LuLu’s Thrives Online

andrew — Fri, 16 Apr 2010 00:48:49 +0000

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