The Business Blender

2008-01-10T14:24:00.000-06:00

The Blackhawk Hills Entrepreneur & Inventors Club website is LIVE!
Click the link...
http://www.bheic.com/.

Coming up in 2008 for the E & I Club

2007-12-19T07:20:00.000-06:00

Looking back as 2007 comes to a close, we've had another great year. Many of our members have started new, or grew their existing businesses, and some have received challenge grants. We celebrated our 2 year anniversary in November.

We will be kicking off 2008 with an eBay information session.
Thursday, January 17, 6:00pm at the Heritage Center in Lanark.
Gain some tips and tricks to buying and selling on eBay.
This session is free to Club members. Donations are welcome to cover printed handouts, refreshments, etc.“But who are considered club members?” Anyone who has attended a club meeting in the last two years is considered a member.

The first regular club of the year will be
Thursday, January 24, 6:00pm at the Heritage Center in Lanark.
Our presenter scheduled for the evening is Don Henry, Director of the Northwest Region Entrepreneurship Center.
Only 2 more chances to get entered in the “bring a friend” drawing, so we hope to see more new faces.

Have a safe and joyful Holiday Season!

John Huggins
Coordinator: Blackhawk Hills Entrepreneur & Inventors Club
(815)541-0557
Fax: (877)693-9653
jhuggins@errantwolf.com

November E & I Club Meeting

2007-11-25T16:12:00.000-06:00

The next
Blackhawk Hills Entrepreneur and Inventors Club
meeting will be
Thursday November 29, 2007 @ 6:00 PM
At the
Heritage Center
106 S. Broad St.
Lanark, IL

Come and celebrate our 2 Year Anniversary!!!

The featured speaker this month is our own Floyd Roberts. Floyd is the owner and operator of Grain & Feed Manager Magazine for over 25 years. See his website at http://www.grainandfeedmanager.com/.

Don’t forget, raffle tickets will be given to any club member that brings along a friend that is new to the club. You get one ticket per person that you bring. The “Bring a Friend” drawing will be at the February meeting. So, bring a friend, bring a student, bring your grandparents.

Again this month, a door prize will be given away to one lucky participant. Congratulations to the October winner, Duane Sies of DnT CAD Solutions.

Refreshments will be served.
Take advantage of the networking.
Find resources to help you start your business, grow your business, take that invention from the cocktail napkin to reality, and much much more.
Have fun!

See you there!

John Huggins
Coordinator
Blackhawk Hills Entrepreneur & Inventors Club
(815)541-0557
Fax: (877)693-9653
jhuggins@errantwolf.com

August E & I Club Meeting

2007-08-21T07:06:00.000-05:00

The next Blackhawk Hills Entrepreneur and Inventors Club meeting will be
Thursday August 30, 2007 @ 6:00 PM
At the Heritage Center
106 S. Broad St.
Lanark, IL

(Please note this is not the usual 4th Thurs. this month, but the 5th.)
We had a great brainstorming session last month. Thank you to all that attended. Your input was a tremendous help in gaining insight in making this club even more successful than it already is. We will have some exciting announcements to make, including our own website! Be sure to attend to get full details at the meeting.

We need your help in choosing a domain name for the website. click the link to make your choice. http://www.surveymonkey.com/s.aspx?sm=CWTLPGWDM9lGHryjXbqvkA_3d_3d.

Our speaker this month is our very own Greg Longbons of Coffee Bean Design Company. Among other topics, Greg will be discussing marketing ideas. See the attached image for more info.

New this meeting…. A door prize will be given away to one lucky participant.
Refreshments will be served.
Take advantage of the networking.
Find resources to help you start your business, grow your business, take that invention from the cocktail napkin to reality, and much much more.
Bring a friend, bring a student, bring your grandparents.
Have fun!

See you there!

Worm vs. Big Chemical Machine

2007-05-23T09:59:00.000-05:00

Trenton, NJ - Our good friend Tom Szaky from TerraCycle has awaken the colossal garden giant Scotts Miracle-Gro and now the big giant is mad and wants to squash the worms out of Tom. Check out the article below in the Wall Street Journal and also Tom's counter blog to Scotts at www.suedbyscotts.com.

Dave

A Growing Dispute: Fertilizer Start-Up Uses Web as Defense
By GWENDOLYN BOUNDS

May 22, 2007 - On March 7, TerraCycle Inc., a small Trenton, N.J., company that makes all-natural fertilizers from worm droppings, learned it was being sued by industry giant Scotts Miracle-Gro Co.

Small companies live in dread of such lawsuits, which even if they win, can often be their undoing because of legal costs and distraction for management. So instead of just relying on legal counsel, TerraCycle is also trying to harness the power of the Internet to elicit public support, boost sales and raise legal funds. Its core weapon: a blog called www.suedbyscotts.com.

"The Internet is the one place that if we can possibly win this, it will be there," says Tom Szaky, TerraCycle's 25-year-old co-founder and chief executive. He hopes to get enough public opinion on his side that Scotts will drop the suit. But if that doesn't happen and TerraCycle loses everything in the lawsuit, Mr. Szaky says, "We are out of business."

Among other things, Scotts claims that TerraCycle's packaging -- with its yellow-and-green color scheme, brand name in the center and photos of flowers and vegetables at the bottom -- infringes on the trade dress of Scotts's Miracle-Gro brand. Scotts also accuses TerraCycle of falsely advertising that its products are superior to others, including Scotts's. In addition to requesting that TerraCycle destroy existing labels and signage at issue in the suit, Scotts asks that all gains, profits and benefits generated from the alleged infractions be awarded to Scotts -- a move that might wipe out TerraCycle. Last year, the four-year-old TerraCycle had revenue of $1.5 million (it's not yet profitable), while 139-year-old Scotts had $2.7 billion.

The battle comes at a time when TerraCycle is making significant inroads into mainstream stores -- landing space in Wal-Mart, Home Depot, ShopRite, Target and CVS among others -- as interest in natural gardening products surges. Despite overall slowing sales in the U.S. lawn-and-garden market, the organic niche has risen at rates in the range of 12% to 14% over the last five years, hitting an estimated $360 million last year, according to MarketResearch.com

In many cases, TerraCycle's fertilizers made from worm feces -- known as vermiculture compost -- sit right next to Scotts Miracle-Gro brands. Miracle-Gro's Organic Choice line is booming too; consumer purchases were up 211% in Scotts's first two fiscal quarters of 2007 versus the same year-earlier period.

On its blog, TerraCycle disputes Scotts's claims and paints itself as an underdog. A comparison chart titled "David vs. Goliath" includes pictures of each firm's headquarters (TerraCycle's modest low-slung building in Trenton vs. Scotts's pillared entrance and manicured grounds in Marysville, Ohio) and notes on executive perks (for Mr. Szaky, "unlimited free worm poop"; for Scotts Chairman and CEO Jim Hagedorn, "personal use of company-owned aircraft.") The site shows pictures of both companies' products, with TerraCycle noting its own are packed in recycled soda bottles.
[TerraCycle CEO Tom Szaky and the plant food at issue in the Scotts suit]
TerraCycle CEO Tom Szaky and the plant food at issue in the Scotts suit

Also posted is TerraCycle's legal response to the lawsuit, accusing Scotts of falsely advertising the quality of its own goods and seeking cancellation of Miracle-Gro's green-and-yellow trademark. To bolster its claims, TerraCycle posts photos of other gardening products that use green-and-yellow packaging. TerraCycle asks for online donations to defray its legal costs and has links to where visitors can buy products.

While TerraCycle's bid for Internet donations hasn't yielded much fruit -- about $515 so far -- overall company sales for the four weeks since the online campaign launched surged 122% from the immediately previous four weeks. Last year, the company's sales increased 31% in the same period. Meantime, TerraCycle's main Web site, which averages about 1,000 visitors a day, has spiked to as high as 13,000, according to the company -- and 2% to 4% of the visitors to suedbyscotts.com click the "purchase online" or "store locator" links.

For its part, Scotts says these efforts are part of TerraCycle's "tactics" and maintains that none of the counterclaims have merit. "We've spent a lot of time building up brands that consumers trust, and we are going to protect those brands," says Su Lok, a Scotts spokeswoman.

She notes that Scotts, founded in 1868, and Miracle-Gro, founded in 1951, were once start-ups, too. They merged in 1995. "When people are referring to the David-and-Goliath aspect of this lawsuit, people lose sight of that fact," she says.

Scotts primarily wants TerraCycle to stop making certain product claims in its marketing, which Scotts says are false and misleading, Ms. Lok adds. Those include: "Unlike synthetic chemical fertilizers that can lead to problems such as plant burn, TerraCycle Plant Food will not burn your plants" and statements that TerraCycle "outperformed the leading synthetic plant food in many aspects of plant growth" during tests.

On its suedbyscotts.com site, TerraCycle lists some 20 other intellectual-property lawsuits filed by Scotts in the past decade. Says Scotts's Ms. Lok, "Scotts is a leading brand and like any other consumer brand, we have to protect our trade dress and brand and products. That is part of smart business."

Small businesses have long used guerilla tactics as an inexpensive way to wage battle against established, deep-pocketed rivals. In the 1980s, the founders of still-fledgling Ben & Jerry's ice cream launched a campaign against Pillsbury Co.'s Häagen-Dazs subsidiary (now owned by General Mills Inc.) when Häagen-Dazs allegedly told some distributors that they couldn't carry both brands. In addition to suing Pillsbury, Jerry Greenfield, one of the Ben & Jerry's founders, picketed Pillsbury's headquarters with a placard reading: "What's the Doughboy afraid of?"

Today the Internet has lowered the cost barrier and drastically sped up the means of such communications. Hundreds of bloggers have written about the TerraCycle lawsuit, as have some mainstream media outlets. Meantime, TerraCycle's Internet parry has helped morale on the packaging floor, where Mr. Szaky says workers were afraid they'd lose their jobs after reading about the litigation. "They've been very smart," says Mike McGrath, host of "You Bet Your Garden," a nationally-syndicated radio show. "Somebody threw eggs at their house, and they've got to respond."

TerraCycle's Web strategy isn't without risks, says Andrew Sherman, an attorney who contributes to eVenturing.com, an entrepreneurial Web site sponsored by the Ewing Marion Kauffman Foundation. "What if you are wrong about the court of public opinion and you open yourself up to other claims of defamation?" He says small businesses have other options, such as pooling resources with other entrepreneurs being sued by the same company or finding a venture capitalist to help foot the costs. Some insurance policies might cover certain legal costs too, he adds. Another strategy: asking the larger plaintiff if they'd be willing to help fund changes in packaging or if there's the possibility of a joint venture. "I've seen combatants end up being pretty good friends," Mr. Sherman says.

Changing packaging drastically now would hurt TerraCycle's sales momentum, says the company's general counsel, Richard Ober Jr. "There's the loss of customer recognition," he says, adding that the company still has a large number of the "All Purpose Plant Food" labels specifically mentioned in the Scotts lawsuit and "wants to use them."

Still, no amount of public appeal can help TerraCycle escape the realities of litigation. As part of the discovery process, Scotts has asked for extensive documentation from TerraCycle, including everything relating to any new products in development, contracts with retailers, strategic business plans, as well as details about "composition of the materials consumed by worms." To handle the requests, TerraCycle has hired outside counsel and Mr. Ober estimates legal costs, which so far have been less than $50,000, could run upward of $1 million.

"It's taking time from our scientists, and that will start taking its toll," Mr. Szaky says.

Write to Gwendolyn Bounds at wendy.bounds@wsj.com

Local Entrepreneur is Set to Present!

2007-05-04T10:32:00.000-05:00

Rosemont, IL -Ron Hagemann, founding member and local entrepreneur of the Blackhawk Hills Entrepreneurs & Inventors Club, will be demonstrating the capabilities of his Active Bio RFID Pallet (The first demonstration of it's kind) at The Packaging Summit Expo and Conference May 15-17 2007 at the Donald E. Stephens Convention Center in Rosemont, IL.

Ron first came to us with this exciting technology back in 2005 and has been all over the midwest marketing and speaking to other E&I clubs about the entrepreneurial spirit.

Ron created New Composite Partners is a technology consulting firm that enables plastic and plastic composite manufacturers to reduce the amount of plastic they use by replacing petroleum-based inputs with renewable grain products. New Composite Partners takes an inventory of our client’s molded plastic and composite plastic products, and then develops alternative formulas for those products. Our formulas reduce cost, weight and plastic consumption.

Keep up the great work Ron!

Dave

Create Jobs. Eliminate Waste. Preserve Value.

2007-04-30T15:41:00.000-05:00

Davenport, IA - May 2, 2007 @ 6:30 - 8:30PM - Those six words explain why Ken Hendricks was listed in Forbes magazine’s list of 400 richest Americans, with a personal wealth estimated at $2.6 billion, and how he came to be named Inc. magazine’s Entrepreneur of the Year.

Entrepreneurs, inventors, area business leaders and the public are invited to hear Ken’s “roofer to riches” story. From driving a truck for a power company at age 17, after dropping out of high school, to ABC Supply Co. Inc.’s approximately $3 billion in annual sales in just 25 years, Ken’s journey has landed his company on Forbes’ list of America’s Largest Private Companies.

Today, ABC Supply Co. Inc. is the largest wholesaler distributor of roofing products in the United States with 5,800 associates and more than 350 locations in 45 states and the District of Columbia.

The meeting will be held at The Mark of the Quad Cities located at 1201 River Drive Moline, IL. 61265 Tel. (563) 327-0160

Hope to see you there! Dave

Sterling Incubator Tour

2007-03-19T09:52:00.000-05:00

THURSDAY, March 22nd at 6:00p.m.

This special meeting will be held at the Small Business Technology Center in Sterling, IL.

The address is 1741 Industrial Drive. From IL-40 go West (right if coming from the North, left if coming from the South) onto W. Le Fevre Rd. Then turn right onto Industrial Dr.

We will be touring the business incubator.

Here is a link to more information:
http://www.sterlingdevelopment.org

SEE YOU THERE!

Best regards,
Blackhawk Hills E & I Club Steering Committee
www.businessblender.org

INNOVATE Illinois 2007 Regional Business Challenge

2007-03-06T09:02:00.000-06:00

Springfield, IL - Governor Blagojevich announced yesterday that INNOVATE Illinois, a six-month program administered by the Illinois Department of Commerce and Economic Opportunity, was created to recognize innovative, high-growth, small businesses throughout Illinois. The goal of INNOVATE Illinois is to provide revenue-generating businesses throughout Illinois with the assistance and resources to help them take their innovations further and grow their businesses.

For further information, including Governor's press release, visit the INNOVATE IL Web site, www.innovateillinois.org, which contains a complete description, application, time line, eligibility requirements along with supporting organizations regarding the program.

Last year Poopy's, whose business is just next door to mine, won several awards.

Free Online Presentations Available

2007-02-27T17:28:00.000-06:00

The Conversations Network

Every day scores of educational, inspirational, and entertaining conference sessions, lectures, and other spoken-word presentations are lost. The Conversations Network addresses this issue by publishing free online recordings of spoken-word events such as conferences, lectures, and meetings. The Network captures presentations, processes the recordings, and publishes more than 60 programs each week. Visit the website listed above to learn more about the types of programs available through the Network and how to participate.

Author's note - this is a new group, but yet I found some really good stuff on there. Dave

Entrepreneurial Solutions to Community Problems

2007-02-27T11:52:00.000-06:00

Do you want to know how your invention could shape the world?

Knight Foundation Funds Ashoka Fellows

To encourage innovative solutions to community problems, the John S. and James L. Knight Foundation is investing $3.2 million in Ashoka: Innovators for the Public, a global association of the world’s leading social entrepreneurs. Ashoka will select 15 promising social entrepreneurs in the U.S. communities where the Knight Foundation serves as a funder and elect them to the global Ashoka fellowship. Fellows will each receive a three-year stipend, allowing them to focus full-time on their effort to provide systemic change to a problem affecting each Knight community. Visit the website listed above for more information.

Entrepreneurship Week Feb 24 - March 3

2007-02-23T13:24:00.000-06:00

I have been swamped and missed the boat on planning an event for next week, but at the very least, I found out about some events going on in the area that maybe of interest for you. Please check them out at EntrepreneurshipweekUSA or look at the list below for a sample of the many activities happening in the area.

What Entrepreneurs Want: How to Get Start-Up Money
Tour of Schools
Financial and Credit Situation Training
7th Annual Self-Employment in the Arts (SEA) Conference
Speaker: Michael Coles (CEO of Caribou Coffee)
Women and Global Leadership: A Videoconference Connecting Girl Scouts with Global Leaders
YOUNG ENTREPRENEUR OF THE YEAR SEARCH
Wine & Cheese Intro to the Women's Business Develoopment Center
Teleseminar: Facilitated Brainstorming for Decision Making
The First Step
KCEDC Open House
BarCampMadison

There will also be a Youth Entrepreneurship Conference in Chicago this May. Check it out online.

Copyright your work

2007-02-23T13:11:00.000-06:00

Check out my right column on this blog. In the matter of a minute, I copyrighted this blog and you can do the same for realitively little money at Lisensa. It's very important that you do this if you publish creative or informative subject matter online. You don't want someone stealing your logo samples and making money off of them, nor do you want someone taking your advice and making it their own either, unless you are the sharing type. So give it a look or a try. I'm sure there are other sites out there that do the same thing.

Good luck,

Dave

Do you use email to market your product?

2007-02-23T12:36:00.000-06:00

I spoke briefly about a website last night that analyzes email campaigns. Email Datasource does just that. It does cost money, but if you are in a highly competitive industry, you need to know how your competitors are so successful and where, when, and how.

On another note, I can't stop raving about blogs and press releases. Constant communication is key to staying fresh on the internet. Email Datasource has a blog where the owner talks about current trends in the industry. Check it out online.

Here are some links to email campaign companies. I currently use Feedblitz for this blog, but there are others.

Feedblitz
Constant Contact
Lyris
Exact Target
Email Labs
Vertical Response
Strong Mail

Vendors - where are they?

2007-02-23T12:08:00.000-06:00

Last night, right before the E&I Club was to start, I ran my fingers through my current Entrepreneur magazine and found a great resource for our area vendors and our club members that may need a particular service. VendorSeek is an online database of thousands of vendors offering everything from business equipment to website design. I played around with it and found that it was very easy to navigate. If you are seeking a service/product, locate the specific topic from their list. For example, logo design, and then you fill out a simple form and get 5 instant quotes and a lot more. If you are a logo design company, you might want to get your service listed here because this will dramatically increase your market over night. VendorSeek has been highlighted in Entrepreneur, Philidelphia Business Journal, and Business Week to name a few. So check them out and let me know what you think.

Other sites that may interest you...

Click-n-Ship
Ladies who Launch

Dave

Passion + practice will get you over the hump

2007-02-23T11:29:00.000-06:00

Freeport, IL - Kelvin McIlwain from the Stephenson County Toastmasters came and spoke about how Toastmasters can help you prepare in a safe environment how to speak in public arenas, give sales pitches, and effectively persuade someone, maybe an investor to invest in your new product. One of the key factors was to practice and if you are speaking about something you are passionate about will only make it easier, and since most of us in the club created our own business and in some cases created an entirely new product/service, we are naturally going to be the best person to talk about it (just remember all the long nights working on your idea and the stress it created at home - just remember that and tell your story).

If you would like more information about the Stephenson County Toastmasters, please contact Kelvin at 815.266.5528.

Our next club meeting will be March 22 @ 6PM at the Sterling Incubator.

Mark Pichik and Christy Tvrdik of Retract-A-Gate show off their popular safety gate to the club. Business is booming for them. If you want to see what they are all about check out there website.

Toastmasters

2007-02-14T00:43:00.000-06:00

Freeport, IL - THURSDAY, February 22nd at 6:00p.m.

The meeting is at Highland Communities College, in Freeport, Building H (Student Conference Center) room 210.

This month we will have Toastmasters giving us some helpful insight into improving our communication skills.

Become the Speaker and Leader You Want to Be Toastmasters offers a proven way to improve your communication skills. By participating in a fun and supportive Toastmasters group, you'll become a better speaker and leader and gain confidence to succeed in whatever path you've chosen in life.

- Deliver great presentations
- Easily lead teams and conduct meetings
- Give and receive constructive evaluations
- Be a better listener

Here is a link to more information:
www.toastmasters.org

Come on out and bring your ideas, help others with theirs, gain new insight and perspective, partner up, and become one of our growing numbers of successes!
Bring along a friend or that son or daughter with an entrepreneurial spirit!

SEE YOU THERE!

Best regards,
Blackhawk Hills E & I Club Steering Committee
www.businessblender.org

Chad Stamper, Vice President at New Ventures, speaks about the businesses he started over the past 5 years to the club in January at Sauk Valley Community College.

Suite of Suites

2007-02-07T09:59:00.000-06:00

Limited Overhead. Flexible Leases. Quality Amenities.

A “Suite” Deal!

The offices within the new Suite of Suites are ideal for emerging entrepreneurs and high-growth companies. Located in the NewVentures Center business incubator in downtown Davenport, the Suite of Suites provides a unique entrepreneurial environment where new and existing business ventures can connect with resources to commercialize products and services.

“where innovation, entrepreneurs and capital meet”

Suite of Suite amenities:

• New, fully-furnished professional Class A office suites
• Computers supplied upon request
• High-speed internet and phone connections
• Administrative and video-conferencing services
• Conference rooms available
• Audiovisual equipment
• Copier and fax machine
• Suitable for one to five individuals per suite
• 2,300 Sq. feet of total office space

The NewVentures Initiative, a not-for-profit organization affiliated with DavenportOne, and the Eastern Iowa Small Business Development Center are both located in the Center and provide business assistance and resources to companies in the Quad-City regional area that are striving to achieve commercial success.

Contact NewVentures for more information on leasing space in the Suite of Suites, or for information on services offered by the Initiative.

Bill Maurer
NewVentures Initiative

RFID Enters the Pigpen

2007-02-06T10:49:00.000-06:00

Great News! One of our very own E&I Club members just had a great write-up in RFID Journal last week. Ron Hagemann was one of the founders of our club and we are greatly indebted to him for his contributions. Go Ron! Article courtesy of Beth Bacheldor and can be viewed online at this Link and here

By Beth Bacheldor

Feb. 1, 2007 — AgVantage, a plastics manufacturer located in Rockford, Ill., is creating an RFID-enabled hog feeder designed to help farmers more efficiently care for pigs. The feeder, composed of a biocomposite material, will include an active RFID tag embedded in its side, as well as sensors designed to measure weight.

RFID readers installed in hog houses will collect the unique ID numbers stored on the feeders' tags, as well as sensor data indicating how much feed is left in a feeder, according to the feeder's weight. Hog houses keep animals in separate pens, each with its own feeder, says Ron Hagemann, a principal at AgVantage and also VP of technology at New Composite Partners, a newly created AgVantage spin-off that will market and sell the RFID feeders. The biocomposite used to make the hog feeders is being developed in conjunction with Richard LaRock, a chemistry professor at Iowa State University.

This biocomposite material is critical to the success of RFID in the hog houses, according to Hagemann. Typically, hog feeders are made of metal, which can interfere with RF signals, and swapping the metal for plastic is not a viable solution either since plastic is not strong enough by itself. "These are 500- to 1000-pound animals that really bang on the feeders," says Hagemann. "If we put a plastic feeder in the hog house, the hogs would destroy it."

Biocomposites are formed by embedding some type of natural fiber—usually derived from plants or cellulose—into a natural plastic resin, such as one made from corn oil. This is done, says Hagemann, to reinforce it. "This is the first biocomposite feeder on the market. Biocomposites are often used in the aerospace industry."

Another advantage to the biocomposite material is its cost. Derived from corn-based material, the biocomposite is significantly cheaper than petrochemicals used in other plastics. "Also," Hagemann points out, "the biocomposite material is a renewable source, so the bottom line is this can replace higher-cost plastic materials. And it is a green product."

Since the hog-feeder system is still in the design phase, the developers have not yet determined which specific radio frequencies and air-interface protocols the RFID feeders will use. However, the system, as envisioned, will include a database running on a computer situated in each hog house. The interrogators will communicate with the computer via Wi-Fi, uploading the data they collect from the feeders.

The computer will incorporate a Web-based portal, accessible either via a satellite or Internet connection. Thus, a farmer will be able to check the data from his office. Such information can help farmers determine how much feed is optimal, without actually having to manually check feed levels on a continual basis. "You don't want to put too much feed in a hog feeder, because it costs money if there is wasted feed," Hagemann explains, "but you also don't want to put too little feed in the feeder."

Another possibility would be to embed temperature sensors that can monitor how hot or cold the hog house is throughout the day. Farmers can then correlate temperatures with feed levels. "Maybe it's too hot in the hog house, and the hogs aren't eating enough because of that," Hagemann notes.

In addition, the interrogators may also collect the unique IDs of any passive RFID tags attached to the hogs, which Hagemann says more and more hog farmers are using. The computer's database can associate a hog's ID number with data collected from the feeder in that hog's pen, allowing the farmer to correlate feedings with a specific hog.

Starting in April, New Composite Partners expects to test the feeder at an Illinois farmer, though Hagemann declines to identify the farmer because details are still being worked out. The farmer is building a new hog house, and will install 200 RFID-enabled biocomposite feeders to test them.

If all goes well, a commercial version of the hog feeder will be available later this year, says Andy Axel, CEO of New Composite Partners. The company also plans to explore other products utilizing the biocomposite and RFID combination, including pallets.

CFED Releases 2007 Development Report Card for the States

2007-02-05T13:43:00.000-06:00

For 20 years, CFED has produced the Development Report Card for the States. According to CFED, "the Development Report Card for the States (DRC) uses 67 measures to provide a relative, state-by-state assessment of economic development, assigning grades in three main areas: Performance (economic climate for a wage-earner), Business Vitality (economic climate for a business), and Development Capacity (how a state is positioned for the future)." You can download a summary of the findings for 2007 by going to before mentioned links.

2007 New Venture Business Plan Competition

2007-02-05T12:25:00.000-06:00

University of Texas at Tyler 2007 New Venture Business Plan Competition

Sponsored by Mr. Robert Peltier and the Tyler Economic Development Council, this competition is open to all faculty-sponsored full-time and part-time undergraduate and graduate students enrolled in any college or university. The $200,000 Grand Prize is designed to foster a drive for excellence in the competition. Students involved in the competition will gain access to networks of successful entrepreneurs, lenders and investors, and have the opportunity to learn greater team-building and business planning skills. The contest will also help student teams gain media exposure for their entrepreneurial goals. Workshops to help participants prepare for the competition begin January 25, 2007 and run through February 12, 2007. Intent to participate forms must be submitted by February 12, 2007 and business plans are due March 23, 2007. For more information on the competition, go to http://www.uttyler.edu/peltier/ or contact Isaura Flores at iflores@mail.uttyl.edu.

Serial Entrepreneurs Are Good People

2007-01-23T14:39:00.000-06:00

Dixon, IL

THURSDAY, January 25^th at 6:00p.m.

This month’s meeting will be held at Sauk Valley Community College, 173 IL Route 2, Dixon, IL.

Our guest speaker will be Chad Stamper from New Ventures Inc.

As Vice President of Business Development, Chad assists clients with business plan development and provides technical and strategic assistance that successfully leads clients in commercializing their business.

Chad has over 10 years experience in logistic and operations management as well as five plus years in business to business and business to consumer sales experience in a wide array of industry segments. Chad has co-founded three successful start-up businesses in Iowa during the past five years and has assisted businesses and community organizations in the development of their business models, marketing plans, sales programs, internet presence and strategic planning. Chad holds a BBA in Transportation and Logistics management from Iowa State University and serves as a committee member for the Iowa Entrepreneurial Formation Hot Team.

And as always, we will have our great NETWORKING TIME! So, bring your ideas, help others with theirs, gain new insight and perspective, partner up, and become a growing number of the club's successes!

PLEASE PLAN ON ATTENDING THIS MEETING!

See you there,

The E & I Club Steering Committee

Marketing is the Lifeblood of your Company

2007-01-18T10:16:00.000-06:00

From the SBDC Vault

By Michele Miller
NW IL SBDC Director

To Market or not to market. That is the question. There is no question about it. Marketing is the lifeblood of our business. How will people find out about you and your business if you don’t tell them?

At the Small Business Development Center of Northwest Illinois (SBDC) we believe the top five reasons for business failure are:

1.Poor planning or poor preparation. Lack of a well-written business plan.
2.No working capital (money)
3.Poor choice of locations
4.Not understanding your market (customer needs)
5.No marketing (let people know you are here)

When most people think of marketing they think of advertising and the different medias there are for that. While this is true and a portion of what marketing is, it isn’t everything. One mistake owners make is that they chose one advertising media and repeat the same materials over and over. The message is lost on there customers.

The Small Business Administration gives the following information about marketing to help your business:

To succeed, entrepreneurs must attract and retain a growing base of satisfied customers. Marketing programs, though widely varied, are all aimed at convincing people to try out or keep using particular products or services. Business owners should carefully plan their marketing strategies and performance to keep their market presence strong.

Marketing is based on the importance of customers to a business and has two important principles:

1. All company policies and activities should be directed toward satisfying customer needs.
2. Profitable sales volume is more important than maximum sales volume.

To best use these principles, a small business should:

•Determine the needs of their customers through market research
•Analyze their competitive advantages to develop a market strategy
•Select specific markets to serve by target marketing
•Determine how to satisfy customer needs by identifying a market mix.

Here is what marketing is really about: The 4 P’s-Product, Price, Placement, and Promotion. Product is your product or service. How is it packaged, how is it sold, how attractive is it, is it easy to obtain, are just a few of the questions you need to ask yourself about your product? The product, it’s design, the easy of it’s use, the value or perceived value of the product all help develop brand loyalty: The reason people keep buying your product or service.

Price=what’s it worth. A business can’t stay alive without profitability. Pricing a product or service to sell is a work of art. Price it too low and you loss money. Price it too high and no one buys, you loss money. Formulas, industry trends, buyer demands, supply available, are just a few of the ingredients that help you to find the right price to sell your product or service.

Placement-where do customers find your product or services? If your customers have to go on a hunt to find your products, it won’t be long before they loss interest and look to your competition. Where you sell your products and services makes a big difference. Here’s a good example: Your six year old sees a breakfast cereal they want. The shopping begins! But where do you look for that cereal at your favorite store? If your six your are looking at a level that matches you height, about 3 ½ feet high. That is you will find the kids cereal at the kids level. Watch out! Once that is discovered they will want it.

Promotion-how will you promote your product or service? Yes, advertising medias are one avenue, but there are many more. Other promotional avenues are: Trade shows, business expos, newspaper articles, brochures, flyers, posters, giveaways, wearable advertising, entertainment venues, and many more.

Marketing is everything to your business. It is not cheap or easy. It takes a plan, time, and money to market your company. But it can be done well for a lot less then you think. To start, look at what you currently have as marketing materials. Take a good hard look at it. Does it give the whole message and image about your business or the products/services that you sell? If not it’s time for changes.

Next look at other businesses that are your competition and those that you visit as a consumer. What is attractive to you about their marketing efforts? What don’t you like? Why is it working?

The Small Business Development Center of Northwest Illinois (SBDC) has many helpful tools, ideas, and suggestions on how to market your business. For more details and how you can get your business marketing to the fullest give us a call at 815-599-3654.

A Grapevine of Current Info

2007-01-04T14:15:00.000-06:00

The Small Business Economy: 2006

A new report issued by the Office of Advocacy of the U.S. Small Business Administration, "The Small Business Economy for Data Year 2005" examines the economic contributions of small business using data from a variety of sources. The report released before the National Economists Club in Washington, D.C, highlights some of the following:

• Business borrowing in 2005 was at an all-time high, and commercial banks expanded lending and eased lending standards in response to competition from non-bank lenders.
• Women’s contribution to business, using multiple data sources, the most recent show that women owned 6.5 million, or 28.2 percent, of non-farm firms. These firms employed 7.1 million workers with $173.7 billion in annual payroll.
• Three economic indicators key to an analysis of the economy’s performance—output, productivity, and unemployment—were up. To obtain a copy of the report visit: http://www.sba.gov/advo/research/sb_econ2006.pdf, and the research summary at http://www.sba.gov/advo/research/rs286.pdf. Should you need further information, please feel free to contact Chad Moutray at (202) 205-6533 or advocacy@sba.gov .

Regional Asset Indicators

The Federal Reserve Bank of Kansas City has recently unveiled an excellent resource to assess regional innovation and entrepreneurship assets. The web site hosts a variety of interesting tools for judging how your region is performing on key economic and demographic factors. It includes spreadsheets and maps that track important categories such as innovation, creative workforce, human amenities, wealth, infrastructure, and entrepreneurship. It also includes useful articles providing further information on each of the indicator categories. To access the Federal Reserve Bank of Kansas City’s Regional Asset Indicators web page, visit http://www.kansascityfed.org/ RuralCenter/Indicators/Indicators_main.htm.

New IRS Fact Sheet on Depreciation of Business Property

The IRS has recently issued a new fact sheet relating to the depreciation of business property. You may find this information useful in working with your clients. This fact sheet can be found at http://www.irs.gov/newsroom/ article/0,,id=164589,00.html

Small Business Advocate Newsletter

The latest issue of the SBA Small Business Advocate Newsletter for November 2006 can be found by clicking on http://www.sba.gov/advo/nov06newsletter.pdf The November issue of the Small Business Advocate highlights efforts to simplify regulatory compliance at the state and federal levels.

Grant Opportunities

National Trust Grants Encourage Preservation

The National Trust for Historic Preservation is currently accepting grant applications from nonprofit organizations and public agencies for four grant programs: the Johanna Favrot Fund for Historic Preservation, the Cynthia Woods Mitchell Fund for Historic Interiors, the Jeffris Family Foundation Preservation Fund for Wisconsin, and the Hart Family Fund for Small Towns (less than 5,000 in population). All four grant programs have a February 1, 2007, postmark deadline.

National Trust grants are designed to encourage preservation at the local level by providing seed money for preservation projects focused on preservation planning or education efforts. Support is offered for obtaining professional expertise in areas such as architecture, archeology, engineering, preservation planning and fundraising. Grant funds may also be used to support preservation education activities. Grants range from $500 to $10,000. In addition to nonprofit organizations and public agencies, individuals and for-profit businesses may receive grants from the Favrot and Mitchell funds if the project for which funding is requested involves a National Historic Landmark. For further information, please call the Midwest Office at 312-939-5547 or email to mwro@nthp.org.

Donnelley Preservation Fund Grant

The next grant round application deadline February 1, 2007.

This fund provides nonprofit organizations and public agencies matching grants from $500 to $5,000 (typically from $3,000 to $5,000) for preservation planning, education and fundraising efforts. Funds may be used to obtain professional expertise in areas such as architecture, archeology, engineering, preservation planning, land-use planning, fundraising, organizational development and law, as well as preservation education activities to educate the public.

Many organizations have found that grants from our Preservation Fund provided the crucial boost to get a project off the ground and solicit matching funds from other sources.

If you have any questions or would like to discuss a potential project, please contact Chris Morris, Illinois Program Officer at 312.939.5547 x231 or christina_morris@nthp.org. She can work with you to determine if your project is
eligible for the grant, assist with the application process, and review draft applications.

Aiding Small Business Federal Subcontracting Programs

The Government's Role in Aiding Small Business Federal Subcontracting Programs in the United States was authored by Major Clark III, Chad Moutray, and Radwan Saade from the Office of Advocacy. The study discusses the importance of the small business sector to the overall economy and the policy framework for the federal government's involvement in requiring federal prime contractors to subcontract with small businesses. It examines the policy from 1958 to the present; and discusses steps needed to improve the American small business subcontracting program to accommodate greater participation by these businesses in new and emerging global markets.

To obtain a copy, visit: http://www.sba.gov/advo/research/rs281tot.pdf . The research summary is located at: http://www.sba.gov/advo/research/rs281.pdf . Should you need further information regarding this report, please feel free to contact Major Clark at: advocacy@sba.gov or (202) 205-6533.

New Markets Tax Credit Pilot Loan

On October 4, 2006, SBA published a notice in the Federal Register announcing the New Markets Tax Credit (NMTC) Pilot Loan Program. Under this Program, certain Community Development Entities will be able to purchase a participation interest in a SBAExpress or Community Express 7(a) loan up to 90 percent of the gross loan amount as part of their investment in low-income communities under the New Markets Tax Credit Program administered by the U.S. Department of Treasury. You may access the entire text of the Federal Register notice at www.access.gpo.gov/su_docs/fedreg/frcont06.html. For information on the New Markets Tax Credit Program please contact the US Department of the Treasury, CDFI Fund at http://www.cdfifund.gov/.

Innovation Challenge Program Will Provide Critical Matching Funds and Technical Assistance

2007-01-03T15:19:00.000-06:00

GOV. BLAGOJEVICH ANNOUNCES MORE THAN $1.3 MILLION IN SUPPORT OF COMMERCIALIZATION EFFORTS FOR HIGH-GROWTH, TECH-BASED FIRMS ACROSS THE STATE

CHICAGO – In his continuing efforts to support technology-driven enterprises, Gov. Rod R. Blagojevich today announced more than $1.3 million in funding towards research and development commercialization and technical assistance efforts to help young, tech-based firms better leverage key federal grants. Through the Innovation Challenge Matching Grant and Technical Assistance programs, companies across various technology sectors will be better able to tap into federal grants, like the Small Business Innovation and Research (SBIR) and Small Business Technology Transfer (STTR) programs, to develop technologies that can lead to commercial products. This funding comes as a part of Opportunity Returns, the Governor’s pro-active, comprehensive economic development strategy designed to spur more economic growth and create more jobs throughout the state.

“Illinois is filled with world-class research and promising new technologies, but, in order to successfully translate this research into viable ventures, companies need access to the critical dollars to get there. Through this matching grant program and technical assistance support, small technology companies and entrepreneurs will be better equipped to access larger, federal grants designed to develop cutting-edge research into successful new products. By creating a business environment that encourages innovation, emerging firms are getting the resources they need to build their businesses and create even more high-paying jobs,” Gov. Blagojevich said.

The Governor is providing $1 million toward the Innovation Challenge Matching Grant program, which provides a partial match on federal funding – either 50 percent or up to $50,000 – to assist with technology development and commercialization efforts. These dollars will help to secure Phase I SBIR/STTR federal grant awards, which provide early-stage R&D funding directly to small technology companies or individual entrepreneurs who form a company. SBIR and STTR provide more than $2 billion each year to small companies across the country developing leading-edge technologies of interest to eleven federal departments and agencies. These programs provide seed capital of up to $850,000 to develop technologies that can lead to commercial products. This matching grant program will better assist Illinois companies in receiving SBIR/STTR grants, while increasing their attractiveness to acquire additional investment.

An additional $332,000 is also available as part of the Innovation Challenge Technical Assistance program, which will help to increase the number of SBIR/STTR applications in Illinois through assistance with the grant writing process. The Illinois Department of Commerce and Economic Opportunity (DCEO) will work with the Champaign County Economic Development Corporation and the Science Applications International Corporation (SAIC) to perform SBIR/STTR-related grant writing and assistance services for technology-based entrepreneurs, innovators and new venture start-ups to access federal funding opportunities, driving technology-based job creation and economic development.

“The support provided through the Innovation Challenge Matching Grant and Challenge Technical Assistance programs should significantly impact our ability to leverage federal dollars against high-tech start-ups spinning out of our research universities and federal laboratories. I commend the Governor and his team for stepping up to address this critical need for our young tech firms,” Illini ITEC Director James Weyhenmeyer said.

“We owe much of our success to SBIR funding, which has allowed us to begin doing real work developing products and moving our technology into the marketplace. Not only did receiving our first SBIR dollars convey a positive impression to our investors, but it helped us considerably to refine our strategy and focus our efforts,” said Neil Kane, Co-founder and President, Advanced Diamond Technologies, Inc., a nanotechnology company based on research from Argonne National Laboratory, who has secured nearly $1 million in SBIR grants. “The Governor’s Innovation Challenge Program is an excellent complement to the SBIR programs to better help high growth companies secure technologies or market products.”

Advanced Diamond Technologies also has received $140,000 in Innovative Product Grant (IPG) program funding to create 10 new jobs and begin mass production and commercialization of nanoprobes made from UNCD for biomolecular imaging and biomanufacturing of sensors to detect weaponized pathogens such as anthrax. DCEO’s IPG is the nation’s first state-funded grant program focused on developing products to meet homeland security needs.

“The SBIR funding we have received has been a lifeline in developing our software and positioning our products for success in the marketplace,” said Dr. Stephen Eick, Chief Scientist of the SSS Research, Inc., a software research and development firm in Naperville, who has secured nearly $1 million in SBIR grants. “I commend the Governor for establishing the Innovation Challenge Program, which will help to increase tech transfer opportunities for more high growth Illinois firms.”

SSS Research also has received $175,000 in Innovative Product Grant (IPG) program funding to develop a commercial version of their DECIDE™ software, a hypothesis analysis tool used to evaluate the feasibility of potential terrorism scenarios and develop strategies to deter them.

Illinois’ performance in capturing these SBIR/STTR grant awards ranks 17th overall, behind other Midwestern states such as Michigan and Ohio. In 2004, Illinois submitted approximately 532 proposals and received 63 SBIR Phase I awards for a total of $7.5 million. In comparison, the average number of applications submitted for these awards for the states in the top ten was 1,829 with an average total of almost 297 SBIR Phase I grants awarded. While Illinois’ clearance rate in accessing these funds is similar to the top ten average, the total number of applications submitted significantly trails other states, therefore a goal of the Innovation Challenge Program is to increase the number of these applicants in Illinois to increase the number of total awards.

In his efforts to continue helping young, tech-based companies have better access to critical early-stage capital, the Governor created the Illinois Seed/Angel Fund, which is investing in other seed stage venture funds across Illinois. Through this program Gov. Blagojevich has provided $1.7 million towards funds, including the ARCH Development Fund and Tri-County Venture Capital Fund, which are already investing in promising companies throughout the state. These investments in Illinois funds not only work to help small businesses grow and create jobs, but will also help to keep these companies in the state.

“Gov. Blagojevich and I strongly believe that in order to create more good jobs we must be strategic about providing our young, tech-driven firms with the resources they need to develop into economically viable and sustainable companies. This investment will continue the state’s progress in further developing a vibrant tech industry statewide,” DCEO Director Jack Lavin said.

Illinois led the nation in monthly job growth this year in both April and July, which has never happened twice before in one year in recorded history. The total number of new jobs created this year is 77,300, which is the best start to a year since 1999 and best in the Midwest. Since January 2004, Illinois has gained more than 152,000 new jobs, which is also best in the Midwest.

The Illinois unemployment rate has dropped to 4.1 percent, which is its lowest level in recorded history. It has remained at or below the national rate for six consecutive months, which is the first time this has happened in seven years. The state has dropped below the national unemployment rate for the fourth time this year, which is the first time this has occurred in eight years. The federal Bureau of Labor Statistics and the Illinois Department of Employment Security compiled these statistics.

Site Selection Magazine also ranked the Chicagoland area the top metro region for new and expanded corporate facilities in 2005, while Illinois was ranked third in the nation. Business Facilities Magazine named Illinois the top state for biotech growth last year.

For more information about the program, contact Scott Henkel in the Technology and Industrial Competitiveness Bureau at DCEO, 217/557.6880 or scott.henkel@illinois.gov.