accessory store about us

8/4/2019 Accessory Store About Us

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Preparing for

Tomorrow.Today.

Annual Report 2009


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Tomorrow belongs to the

people who prepare

for it today.

African Proverb


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A Letter rom the CTCIC President

This year a signifcant portion o our Annual Report1 is dedicated to our other loan program the SBA MicroLoan Program. We chose to highlight the

program in part because o its increased relevance in these tough economic times and in part to dispel the notion that a MicroLoans impact is limited to the

individual owner receiving the loan.

The SBA MicroLoan Program is unique, combining lending with technical assistance within one program to create a holistic approach to small business

lending. Unlike the SBA 504 Program, which is sel-unding with no budgetary impact, the MicroLoan Program has a small annual appropriation to und

technical assistance grants and to provide lending capital to program participants like CTCIC. As recently as 2008, however, program unding was in

jeopardy. I believe part o the reason SBA MicroLoan unding came under fre was lack o inormation on the true impact o the Program. The SBA MicroLoan

industry lacks a trade association and thereore struggles at times to deliver the message that this tiny loan program produces signifcant results.

That said, this years Report includes a piece that illustrates how the SBAs investment in the MicroLoan Program returns fnancial benefts to all levels o

government through increased property, sales and income taxes. Launched with a MicroLoan, The Antique & Artisan Center has spearheaded a dramaticrevitalization o a section o the city o Stamord located on the wrong side o the tracks rom the Stamord we all envision.

Needless to say, not every MicroLoan has the same impact; but every MicroLoan has some impact. Thats why we keep doing what we do.

Sincerely,

Mark S. CousineauPresident

1Our Annual Reports typically highlight trends and accomplishments over time. In an attempt to meet the expectations o Annual Report purists, ollowing are the results o our CTCIC 504 LoanProgram and MicroLoan Loan Program or Fiscal Year 09 compared to Fiscal Year 08:

Number Dollars09 08 09 08

CTCIC 504 Loans 27 36 $13.8Million $18.2MillionMicroloans 20 15 $554,500 $384,000


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The Antique & Artisan Center

Stamford, CT


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The Power o Micro Lending: The Antique & Artisan Center, Stamord CT

The Power of Micro Lending


A business launched through the CTCIC MicroLoan Program back in 1996 has proven to be the catalyst that

sparked a dramatic economic revival in a once neglected section o Stamord, CT. The Antique & Artisan Center

was established with a $25,000 MicroLoan and partners Mark Candido (no relation to the Chairman) and Ron

Scintos entrepreneurial venture has become an epicenter o sustainable economic growth that has lasted

ourteen years and whose infuence will continue to expand well into the uture. Indeed, the traditional attitude

toward Micro Lending, that it begins and ends with helping entrepreneurs achieve their personal dream o small business ownership, has been redened.

A closer look at the dramatic eect this small loan, in the hands o two determined entrepreneurs, has had on economic development, tax revenues,

employment, and the gentrication o a neighborhood, provides a blueprint or a new understanding o the power o Micro Lending. It is an enzyme oreconomic recovery and growth by unlocking the potential inherent in the creative spirit o the entrepreneur.

History of the Center

The original business concept conceived by Ron and Mark, was to have a coee shop that would be enhanced by a retail area that sold antiques. Both

partners had ood service experience and they were looking or a model that would create an additional draw or their clientele. Ater doing considerable

research they decided to open a small Antique Center with a coee bar or customers. They began to look or retail space in various strip malls in the

Stamord area, but they could nd no one who would rent to them at a price that would make their venture viable.

When they stumbled upon the warehouse at 69 Jeerson Street, their vision or what could be came alive. The space was much larger than they had

envisioned but the rent was very aordable. They worked out a deal with the current landlord, O & G Industries, whereby they could reurbish the building

without having to pay rent. They made a huge sweat equity commitment over seven months only to learn, when the work was almost completed and with

no signed agreement in hand, that the deal was going to all through. Happily, O & G let the partners stay and The Antique & Ar tisan Center was ocially

in business. It did not take long or them to attract the rst ew willing dealers to set up shop and, once the concept took hold, the 22,000 square oot space

was lled with 75 antique dealers.


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Embracing Competition

The partners have always welcomedcompetitive centers to the area,creating partnerships with theirnew neighbors. Within a year and a

hal, two other large Centerspiggybacked on the success o TheAntique & Artisan Center. Rather thanalienate the new neighbors, Markand Ron beriended them andsupported their success. There arenow six expansive antique centers inthe neighborhood, making it one othe largest concentrations o antique

dealers and products in the U.S.


Positive Culture

Finally, they have nurtured a culturewithin their two stores that makesboth employees and clients eelcomortable. They are very ocused

on service that is knowledgeablewithout being overbearing and theyunderstand that allowing people tobrowse or as long as they pleasewithout being hassled is the mostefective way to manage thecustomers shopping experience.

Long Term Planning

Mark and Ron designed a businessmodel that would be air to theirdealers and it is one that has beenadopted by most o the centers inthe area. They abandoned thetypical model o receiving acommission rom the sales at the

center and requiring the dealers tocommit oor oversight or a certainnumber o hours every month.Instead they chose a straightor-ward method o a at ee or thevignettes and hired their ownpeople to oversee the building - achoice that has proven to be a sourceo dependable revenues or their

business and their dealers.

Success Factors

The Right Source or FinancingCTCIC provided up ront support with the business planning and positioning o the business model. According to Mark, he had never written a business planbut had to do so as part o the CTCIC underwriting requirements. While it was a rigorous process, he claims it helped him to really think through the details

o the business model.

Seizing Opportunities

Seeing an opportunity to capitalizeon the presence o over 300 antiquedealers, all with special needs orouttting their respective vignettes,Mark began bringing in items thatthey needed or that their customersneeded. It wasnt long beore the

partners were negotiating or morespace. The Accessory Store, whichhas an amazing array o lighting,lighting accessories, and suppliesthat cater to the antique dealersthemselves, was opened in 2000and is also thriving today.


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Economic Impact

The economic impact o this business venture is nothing short o proound. Additional tax revenues have been

generated in every category including sales tax, personal property tax, real estate tax, ederal and state income tax,

and all o the taxes associated with employment. Job creation has risen steadily in the neighborhood over the

ourteen years The Antique & Ar tisan Center has been open, and has remained stable despite rising unemployment

in recent years. Based on inormation gathered rom various sources, including The Antique & Ar tisan Center, the

City o Stamords Ofce o the Assessor, and The State o Connecticuts website, we have been able to measure some

o the economic eects o this MicroLoan.

Close to 200,000

square feet of

retail space has

been created.

Over $10,000,000in sales taxes has

been collected

since 1996.

Over $180,000,000

in sales has been

generated in just

over 14 years.

Over $700,000 in

Actual Property

Taxes was collected

in 2009.

785 dealers occupyspace, earn prot-

able revenues, and

pay property taxes.


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$42,637,520Growth 1993 2007

To tal An ti que Cent ers $9 ,97 6, 63 0S ta mfo rd C om me rc ia l Pr op er ty $ 2, 32 7, 77 3, 00 8 $ 7, 23 5, 09 6, 00 1

S ta mfo rd A ll P ro pe rt y $ 7, 64 1, 38 6, 13 0 $ 22 ,2 02 ,4 41 ,3 56


Measures of Success

Real Property Tax RevenuesThe City o Stamord experienced tremendous growth in theassessed property values o each o the six antique centers

that have opened in the neighborhood. Based on the Grand

List inormation obtained rom the City o Stamord, Ofce

o the Assessor, we compared property values rom 1993

and 2007 Grand Lists. We ound that the assessed value o

these six properties has risen 55% higher than the change in

total commercial property in Stamord and 72% higher than

the change in value o all property in Stamord.

GentricationGentrication o the Antique Center area began with The

Antique & Artisan Center ourteen years ago and it has notstopped. An aerial photo rom the 1980s is nearly identical

to the current blueprint o the neighborhood; however,

most o the buildings in the area have been completely

upgraded. Five o the six antique centers are in remodeled

buildings, the only exception being the building at 850

Canal St which was built in 2001 and houses the CT Antique

Center among other tenants.

Job CreationThe Antique & Artisan Center in combination with The Accessory Store, currently has 23 ull and part time employees. Considering square ootage and time

in business, we estimate that the six centers employ over 75 people, all residing in Connecticut.

$0$5,000,000

$10,000,000$15,000,000$20,000,000$25,000,000$30,000,000$35,000,000$40,000,000$45,000,000

1993

2007

Growth in Accessed Value from 1993 to 2007 (Six AAC Centers)

211%

191%

0%

50%

100%

150%

200%

250%

300%

350%

Total Antque Centers Stamford Commercial Stamford All Property

Growth Comparison: AAC vs. Stamford

327%

e

tl

r,

y

d

0

e

5 people, all residing in Connecticut.

then...

...now


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Stamford, CT


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Ahead o the Curve

Its important that we stay ahead o the trends in business so that prospective borrowers know...

they can come to us for quality service and up-to-date information.

Customer Service Made a Comeback (For Some)

Over the last ten years, customer service has made a comeback. In the late 1990s, commentators across industries and around the world urged businesses

to re-ocus on customer service. They predicted that businesses that ocus on enhancing the customers experience will take the lead heading into the new

millennium. 1

In the frst decade o the new millennium, CTCIC realizedtremendous growth. Our SBA 504 loan portolio grew over 924%;

and our SBA MicroLoan portolio grew 142%. Much o that growth

can be attributed to our emphasis on customer service. Our loan ofcers

and business counselors have developed relationships with clients as well

as banks around the state, which have provided many reerrals and

repeat customers.

While many businesses were just rediscovering the importance o

customer service, CTCIC was increasing its loan capacity by bringing on

additional support sta to meet the servicing needs o its growing

portolio, as well as additional technical assistance sta to provide quality

consultative services to new and existing MicroLoan customers. Through-

out the decade, CTCIC has sought to exceed its customers expectations

and provide quality service both pre- and post-loan unding.

1 Customers First! -- Leading Edge Principles and Trends.Dorene Collins - Marketing and Customer Se rvice Program Lead/OMAFRA. www.omara.gov.on.ca. June 1999.

CTCIC Impact on the First Decade o the New Millenium(January 1, 2000 - December 31, 2009)

Micro JobsCreated

540

MicroLoansFunded

247

Average # oJobs Per Loan

2.2CTCIC/SBA 504Jobs Created

2466

CTCIC/SBA 504Loans Funded

246

Average # oJobs Per Loan

10.0


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Ahead o the Curve

Were building business or tomorrow

by preparing for it today.

At CTCIC, Were Pretty Sure

SIZEDoesnt Matter Much.

While our portolio has grown signifcantly and sta has expanded, overall growth has

always been calculated. Around the country, technology has enabled small companies

to look big and, with sotware and outsourced processes, small businesses can go

head-to-head with large companies. 2

CTCIC is no diferent; we have always endeavored to be as ecient as possible

when it comes to processing loans and managing our portolio.

At CTCIC, our systems are enhanced by our capital investment in computer hardware and

sotware and those systems have allowed us to match, i not exceed, the capacity o

larger organizations.

2 The Top 10 Small Business Trends o the Decade.Barry Moltz www.chicagonow.com. December 2009.


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The GREEN Movement

In January 2009, the US Small Business Administration (SBA) went green. Following the business and consumer movement toward sustainability, clean

technology and green energy, the SBA created a new category called Green 504 or loans which are eligible or increased SBA 504 loan amounts up to $4Million. Green 504 projects encompass a variety o energy efciency and energy producing activities undertaken by small business owners with green

intentions. The progression to sustainable business practices, products and services has impacted the way industries are doing business and created lots o

new small business opportunities. At CTCIC, weve seen this trend maniest in the increase o green

businesses seeking nancing. Green MicroLoans fnanced by CTCIC grew 13% rom 2008 to

2009, varying in industry rom a natural maternity store in Norwich, CT to an energy conser-

vation consulting and retail business in Ellington, CT.

Whether its installing solar panels on a new building, selling an all-natural product or creating

green-collar jobs, the SBA and CTCIC oer great opportunities or companies interested in going green. As we move closer to a green economy, entrepre-neurs will lead the way and CTCIC will help them get there.

From Lietime Employee to Entrepreneur

As a result o recent economic conditions, many employers are replacing ull-time employees withreelancers, outsourced services and part-time workers, orcing many displaced employees to createtheir own employment. As traditional employment options become more limited, Americans areventuring out into the world o entrepreneurship.

The Obama administration believes that the nation's economic recovery will be driven in large part byAmerica's small businesses and notes that small rms have generated about 70 percent o net new jobsannually over the past decade. 1

CTCIC has always been supportive o small business start-up and growth as evident by the number obusinesses weve unded over the last 37 years. But with the recent recession in ull bloom, we experienced a huge increase in the number o start-upbusinesses applying or nancing or both our 504 Loan Program and our MicroLoan Program. In 2008, start-up businesses made up 47% oMicroLoans unded and only 8% o 504 loans approved.2 By 2009, the number o MicroLoan loans to start-up businesses nearly doubledto 80% and the number o SBA 504 approvals or start-up businesses nearly tripled to 22%.

1

White House Oers Details o Plan to Foster Small Business Growth.Sharon McLoone -http://voices.washingtonpost.com/small-business/2009/03/white_house_oers_details_o.html. March 2009.2 MicroLoans are tracked by the number o businesses unded per scal year. Due to the oten varying lengths o time beore unding, SBA 504 loans are tracked by the number o approvals granted by the SBA within the scal year.

Planting the Seeds o Sustainability

7%

20%FY 2009FY 2008

CTCIC MicroLoans with Green Missions

Start-up Business MicroLoans (% o Total)

47%

80%FY 2009FY 2008

Start-up Business SBA 504 Loans (% o Total)

8%

22%FY 2009FY 2008


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High Quality Training without the High Price Tag

Advancements in technology continue to impact small businesses and contribute to their growth. Small businesses can now operate with the same

efciencies globally as their much larger counterparts, without the end-consumer knowing the dierence in company size. Small businesses can alsopursue training or their employees via online training courses and programs; allowing them to receive high

quality proessional training without leaving the ofce. Utilization o online training is growing rapidly

among small businesses because it provides easy access to cost eective training programs.

In the early part o the decade, organizations moved toward the use o training CDs and it was predicted by

the American Society or Training and Development (ASTD) in 2004 that web-based training would soon be

an equally popular training method.3 The most important thing that small businesses and those oering

services to small businesses need to realize is traditional classroom training is no longer the preerredmethod o learning. Training CDs, blended learning, and online learning are training opportunities that are

here to stay.

While our recent expansion will provide space or a

traditional classroom environment, our updated website

is already providing a platorm or web based training

materials. There are links or building an eective business plan, sample nancial templates or a cross

section o MicroLoan businesses, sources and uses o unds template, as well as detailed instructions on

how to use these tools. There is also a new tutorial that utilizes actual screenshots and step-by-step

voice-over instructions to assist prospective borrowers with the MicroLoan application paperwork. The SBA

also provides a virtual campus oering online courses, publications and other orms o technical assistance

through its Small Business Training Network (SBTN). With a growing MicroLoan portolio and having

provided over 2,800 hours o Technical Assistance last year, these time saving additions to our

Technical Assistance programs will allow our business counselors to work more efectively with

prospective borrowers and ree up time to spend with the current loan portolio.

3 Training Trends.Susan M. Heatheld - http://humanresources.about.com/od/trainingtrends/a/training_trends.htm. November 200 4.

The wealth o trainingmaterials on your website isamazing. Everything I needin order to create a solid

business plan is right at thetips o my ngers.

Edgar S.Prospective Borrower

Planting the Seeds o Sustainability

s

n

ep

BA

nce

ing

our

with

Check Out CTCICs New Websiteat www.ctcic.org!


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New Faces at CTCIC

Buck HarrisVP o Business CounselingBuck brings more than 25 years o mixed

entrepreneurial and corporate managementexperience to CTCIC. Determined to jump start a

career as a teacher, he returned to school ull

time in 2007 and came to us as an intern while

working toward an MBA at Quinnipiac University. Now he satisfes his desire

to teach by putting his experience and education to work counseling

prospective entrepreneurs and helping them design successul business

models. He is also an adjunct proessor at Quinnipiac where he teaches

Business Communications.

Mariana CalderonAdministrative AssistantDedication defnes this hard working and newly

appointed individual. Mariana is our ull time

Administrative Assistant and she is also a dualmajor at Southern Connecticut State University

where she is earning a B.S. in Bilingual Elemen-

tary Education and a B.A. in Spanish. She brings a needed bilingual compo-

nent to our oce. She will eventually be working on her Masters in

Education, which is great news or us as she will be here to provide support

or our oce or a ew more years beore we lose her to her true passion;

teaching.

2009 BOARDOF DIRECTORSAND OFFICERSCONNECTICUT COMMUNITY INVESTMENT CORPORATION

Mark A. Candido, Chairman o the Board and DirectorQuinnipiac Bank & Trust Company

Mark S. Cousineau, PresidentConnecticut Community Investment Corporation

Paul Goodwin, Vice President and DirectorRetired Eastern Steel Corporation

New Haven Development Corp

Mary G. Murphy, Treasurer and DirectorLiberty Bank

John A. Matthews, Secretary and DirectorJohn A. Matthews, AIA Architecture & Planning

Frederick Farnsworth, Assistant Secretary and DirectorRetired Eastern Elevator Company

Faulkners Island Light Brigade

Jean Ferris, DirectorYankee Cents Financial Services

Anthony F. Santore, CPA, DirectorBeers, Hamerman & Company, P.C.

Jefrey L. Vose, DirectorVose Consulting

Stephen A. Miller, DirectorLevey Miller Maretz, LLC

Jef L. Hubbard, Director

TD Bank

MAdDed

app

Admaj

wh

tary Education and a B.A. in Sp

BuVPBuc

entexp

car

tim

working toward an MBA at Quin


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2315 Whitney Ave, Suite 2B (2nd Floor)Hamden, Connecticut 06518

Telephone: (203) 776-61 72Toll Free: (866) 776-6172

Fax: (203) 776-6837

Para informacin en Espaolpor favor llame y deje un mensaje

al (203) 776-6172 ext 120

2843 S. County Trail Suite C9East Greenwich, RI 02818

Telephone: (401) 398-85 80Toll Free: (866) 776-6172 ext 150

Fax: (401) 633-6251

www.ctcic.org

Business Counselors Servicing Department Credit Department [email protected] [email protected] [email protected] [email protected]

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