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Message to businesses:We want you to stay PEOPLE TO CALL

May 3, 2008 12:15 am

By PAMELA GOULD

When Jennifer Mihalcoe started making cold calls to Spotsylvania County businesses, some owners reacted with suspicion.

Like she might be with the IRS.

"They're skeptical because they don't expect the government to be out to help them," said Mihalcoe, Spotsylvania's business development manager.

But she and her counterparts in Fredericksburg and Stafford County are working to overcome that mind-set.

All three jurisdictions now have someone tasked with assisting businesses that are already established. The goal is to help them survive, thrive and expand.

Known as business retention managers, the positions reflect a critical component of the region's economic development efforts and for good reason.

Tim Baroody, Stafford's economic development director, noted that 70 percent to 80 percent of new jobs come from existing businesses.

POINT PERSON FOR HELP

Spotsylvania Economic Development Director Russell Seymour was the first to launch an effort aimed at assisting already established businesses, hiring Mihalcoe in July 2006.

Dan Schardein, Stafford's director of code administration, switched to that county's newly created position in February 2007. And Fredericksburg hired Kim Schill, formerly with the American Red Cross, in January.

Seymour saw the importance of focusing on business retention while working for the Fredericksburg Regional Alliance. When Spotsylvania hired him 21/2 years ago, one of his first goals was to implement a retention program of his own.

Mihalcoe met with people from more than 200 businesses last year and is continually networking, trying to let people know she's there to help.

That is job one for each of the business retention managers: introducing themselves and what they offer

"We like to be their single point of contact," Mihalcoe said. "They're here to do business. I'm here to help them do that."

Schardein had made introductory visits with 305 businesses as of this week.

"If I learned one thing this past year, it is: Time is money," he said.

In his role, Schardein not only helps current businesses but also serves as an ombudsman for owners trying to set up shop in Stafford.

He helped a restaurant meet its goal of opening in North Stafford before Thanksgiving, after learning how critical the timing was to the company's profitability for the year.

He helped the owner of Triangle landmark The Globe & Laurel with relocating and renovating when the restaurant needed to move from its Prince William County site.

And he's seen that when defense contractors need additional space to work, they have firm deadlines that need to be met.

Mihalcoe, Schardein and Schill are tasked with helping businesses efficiently navigate government bureaucracy and finding resources that can help them succeed.

Stafford and Spotsylvania have turned to Germanna Community College and the University of Mary Washington when businesses have needed educational help.

They've pointed owners to state agencies for help with things like getting financing or marketing tips.

And Mihalcoe has found international markets for some companies and brought others together for seminars to meet a common need.

Over time, the networking and outreach efforts send a message, Mihalcoe said.

"People learn what we can do for them and they start calling."

MEETING NEEDS

Schill faces a unique challenge as she gets started in Fredericksburg: serving two distinct business areas of Central Park and downtown.

Currently, her focus is more directed toward downtown with the city's recently formed downtown economic development commission and efforts to formalize a downtown business district.

As part of the JumpStart program, she has also prioritized the Princess Anne Street corridor where she is working on a facade development program.

"Everybody's goal is more feet on the street, but the question is how do we get there," she said.

Local economic development directors aren't making these efforts for altruistic reasons.

True, they want the highly skilled workers who live in the region to earn their paychecks here and thus improve their quality of life.

And yes, they want local businesses to thrive and increase their bottom lines.

But by helping businesses succeed, local jurisdictions' own fiscal health is improved, thus making the efforts a win-win situation.

"Companies can become your cheerleader," Stafford's Baroody said.

Pamela Gould: 540/735-1972
Email: pgould@freelancestar.com