Turning the Tide in Maryland- The Need to Improve the Business Climate

Maryland had no economic growth in 2013, according to new estimates released Wednesday by the U.S. Bureau of Economic Analysis.

To turn the tide of reports like this, The Maryland Hispanic Chamber of Commerce is part of a state-wide coalition working towards improving the Business Climate in the State.  The Maryland Competitiveness Coalition was established in 2012 to analyze the situation and provide strategic tactics that will benefit not just Hispanic Businesses but all businesses in the region.  The Coalition recently met with Norm Augustine, former CEO of Lockheed Martin, who chairs the new Maryland Economic Development and Business Climate Commission. 

The commission was established earlier this year by Senate President Thomas V. Mike Miller and House Speaker Michael Busch. It held its first meeting on April 30. Augustine said the commission plans to meet in various parts of the State, seeking ideas to improve Maryland’s economic development efforts with an eye on making Maryland more competitive.  

The commission will submit its final report and recommendations on December 15. The presiding officers expect the report to lead to legislative proposals during the 2015 session. “They are both very committed to this, in my opinion,” Augustine said. “They’ve made it very clear that what they want is actionable proposals.” 

Competitiveness Coalition leaders briefed Augustine on the Vision and Action Plan for Maryland’s Future and offered to support the commission as it conducts its work. In addition to holding meetings throughout the summer and fall, Augustine said the commission will establish a website where business leaders can submit their ideas and feedback. 

Augustine was receptive to the coalition’s ideas and encouraged members to stay engaged with the commission throughout the process. He was particularly interested in specific examples of trouble employers are having with Maryland’s permitting process and economic incentives. The Maryland Hispanic Chamber of Commerce will keep members and partners informed as the commission established its website and sets the agendas for future meetings.  

“I think that by working together, as you are doing, you can have a lot more impact than as individual voices,” Augustine said. 

As the former chair of the MD Hispanic Chamber and an entrepreneur, I’ve seen first-hand the missed opportunities of insufficient access and lack of resources.  Several studies reveal a tremendous opportunity in Maryland;  Dr. Anirban Basu, economist estimates that the region would see $5 Billion more in annual sales activity by adequately supporting and leveraging W/MBE businesses.  The analysis further suggests that an adequately-sized W/MBE business community would allow mainstream business to increase their sales by roughly $1.8 Billion per year.[1]

Along with developing & enhancing the infrastructure of existing W/MBE business community, we also have the opportunity of benefitting from the shifting demographic changes of the region- the increasing number of Hispanic Businesses, who are establishing businesses at 3x the national average; and the increasing number of Veteran owned/operated business, which produced 20% higher revenues than non-Veteran led firms.

Maryland is at the cusp of remarkable economic prosperity and we seek to collaborate further with the MD Competitiveness Coalition and the Private Sector Commission to increase Maryland’s Competitiveness by further improving Economic Diversity in the region. 

 Veronica Cool is the founder of Cool & Associates LLC, a business management firm specializing in financial wellness & effective diverse segment marketing.   A Social Entrepreneur hailing from the Dominican Republic with over 20 years of commercial banking experience, she can be reached at veronica@coolassociatesllc.com or via Twitter @verocool.

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[1] Anirban Basu “Bridging the Gap: An Analysis of Baltimore’s Minority & Women-Owned Business Communities” (2004)

Just fed the SOUL with a little ALMA Celebration!

POSTED 9/2012

Expectations were massive: I was prepared to be awed by the beauty and glamour of  these larger than life celebrities…Voluptuous Christina, smoldering William Levy, glamorous Eva, handsome Andy.  And I WAS AWED…. but not by the visuals of the physical beauty represented on the red carpet, but rather by the humble accomplishments of mi Gente.

The awards honored some outstanding folks!  Like Cheech Marin, exceptionally gifted writer, capturing the civil rights challenges like immigration; funny yet a truly informative advocate using his movies as platforms to bring forth awareness.  And the sad loss of the prolific Lupe Ontiveros,  who represented  “Latinoness” to the world for decades, who was gracefully commemorated with a Life Time Achievement Award.  Another engaging moment occurred when Christina Aguilera received her ALMA; her inner beauty & voice  far surpassed the outer allure (by the way accented with purple locks interlaced with her signature platinum locks!) Feeding hungry children and raising awareness as a UN Ambassador, all deeply genuine.

Representative of our duality, was the recognition of our American Latino Olympic medalists, who proudly competed for the USA, while rejoicing in their Latino heritage. Clarifying the obvious confusion from George Lopez “Oh…Now it makes sense!! “Explaining how white boy Ryan Lochte showcased his phenomenal physique masterfully engineered by his Cuban Mami!"

Partaking in the festivities live was a memorable experience, and bottom-line, the American Latino Media Arts Awards remained true to its mission: Promoting the positive portrayal of Latinos in the Entertainment field in the United States.  The pomp & flare of Hollywood, the hair, diverse beauty and stunning dresses did impress me, but, honestly, I walked away recharged, standing a little taller, proud to belong to this accomplished group of people… Inspired by the efforts and achievements of these admirable Latinos!

Veronica Cool, Chairwoman of the MD Hispanic Chamber of Commerce, may be reached at vcool@comcast.net.

 

Contreras-Sweet Appointed SBA Secretary-Will the Era of Prosperity finally begin?

The economy is rebounding… Yet business confidence is still not on par, and this hesitancy prevents the full recovery that all are awaiting.  But amidst all of this paralysis, there’s a group of entrepreneurs that are bucking the trends:  The Hispanic business owner.  Truly innovative and soundly optimistic, so much so that Hispanics are establishing businesses at 3 times the rate of the national average based on data from the Pew Research Center.

My expectation is that this number will increase as more Latinos leverage the resources provided by agencies like the US Small Business Administration, from the loan guarantees to the bonding insurance and export/import assistance.  Particularly now that Maria Contreras-Sweet has been sworn in as the Secretary for the SBA, who founded ProAmerica Bank, a Community bank based in LA and was herself an entrepreneur.  Launching the Contreras-Sweet Company, she has lived, struggled, risen to the opportunities.
Her experiences will certainly shape the course the SBA in the upcoming years and as former Chairman of the Maryland Hispanic Chamber of commerce, serving the 40,000 Hispanic businesses in the region, my hope is to see many more programs geared towards minority business enterprises, primarily Hispanics.  There is a tremendous need for:

Ø  Education, financial literacy – What do I need to do to establish my business the right way? Insurance?  Licensing requirements?  Clearly this data is available on the website and thru pamphlets.  More is needed, delivered in a grassroots fashion.  Outreach efforts would be more effective with a local chamber of commerce distribution strategy reaching many more entrepreneurs.

Ø  Accessible Funding Sources Legitimate and competitively priced.   Obviously great programs already exist but are hindered by regulatory constraints placed on lending partners.  A secret of the banking industry is that the SBA has not modified its underwriting standards, reduced cash flow requirements or adjusted the declining-revenue trend guideline, even though these past years have pummeled businesses.  TODAY, these businesses need the concessionary SBA guarantees that will mitigate the risks in the eyes of the lenders.  Lenders undoubtedly must maintain a quality portfolio of loans, after all they are lending out my own money & my abuela’s hard earned savings.  Plus regulators are perpetually monitoring the portfolios for any poor performance.     How about a Loan Fund administered AND FUNDED by the SBA for borrowers that wouldn’t qualify for traditional loans? Modified underwriting guidelines, parameters to accommodate damaged credit history, low or negative cash flow, lack of collateral.  Plainly understanding that this is an economic investment in creating viable & sustainable employers. Micro loan programs administered thru state or nonprofit agencies are not wide-reaching and the duplicative expenses across the country are simply a sad waste of resources.           

 Ø  Certification & Procurement Support- with the Federal Government being the biggest contractor in the US, Hispanic businesses can benefit tremendously from 8(a), Hub zone, Women-owned and all the other certifications available.   Simplifying the process and continuing to provide support during the application process is a MUST.

Ø  Reciprocity- A coup for Contreras-Sweet would be to finally create a reciprocity system for all certifying agencies.  Imagine this: Cool & Associates LLC is a Minority Business Enterprise in the eyes of Baltimore County, the State of Maryland AND the US Government with ONE application. Just ONE!  And if we wish to dream and dream BIG, let the same certification be acceptable to the Private Sector companies that focus on Supplier Diversity.   Who is with me?

Based on Mrs. Contreras-Sweet’s track record with the US Census, CA Transportation Agency and ProAmerica Bank she has a wealth of expertise to successfully re-launch the SBA as the economic vehicle that can not only stabilize the American economy but begin the era of prosperity, especially for Hispanic Businesses.

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Veronica Cool is the founder of Cool & Associates LLC, a business management firm specializing in financial wellness & effective diverse segment marketing.   A Social Entrepreneur hailing from the Dominican Republic with over 20 years of commercial banking experience, she can be reached at veronica@coolassociatesllc.com or via Twitter @verocool .

Maryland & the Hispanic Market- How do I REACH the Hispanic Segment?

2011 heralds explosive growth in the population, primarily from the Hispanic Segment, 47% growth since 2002; this population can not be ignored.


Certainly the opportunity is obvious, and as such, the executive team directs the marketing team to implement some tactics to leverage this growth....

• So, translate the brochures. Done. Wrong!  This group has become acculturated, or assimilated and displays traits of the mainstream consumer.  Adapt your marketing message to the segment, alter the presentation and/or delivery to attract & engage.
• Ok, "HISPANIZE" your paper media... No go.  Latinos represent more than 20 nationalities, each with very unique history, traditions and feel.  You risk alienating the segment by stereotyping.
• How about bringing in some interns that majored in Spanish to telemarket?  Sorry, mi amigo, but Se Habla Ingles here.  Although the effort to serve the market in the native language is commendable, the idioms, slang and sayings can get lost in the translation.  Comprende?

The answer to the $1.4TRILLION (By the way, that's the purchasing power of Hispanics today) question: To REACH the Hispanic Segment, develop an integrated marketing strategy including events, media, outreach and staffing tailored to your industry.

And remember, 65%  of the buying decisions are made by the ladies of the household... Tip of the Day: Be respectful and informative when serving the lady with the heavy accent, after all she distributes the paychecks for her casa.

Respetuosamente,

Veronica
vcool@comcast.net