FCEDC Essentials Our missionTo improve the economic well-being of the businesses, communities, and residents of the county. Our vision for Fond du Lac County • A strong, stable, diversified economy; • A competitive, dynamic workforce; • A comprehensive and proactive infrastructure; • Flexible, prepared community partnerships; • Above-average economic well-being of citizens and businesses; and • Regional cooperation. Our customers The direct customers of FCEDC services include the existing businesses of Fond du Lac County,entrepreneurs, prospective businesses and those who serve them as well as local governments andeconomic development organizations. Our ultimate customers are the citizens and communities of Fond du Lac County. Our standardsFCEDC is the only accredited economic development organization (AEDO) in the State of Wisconsin and is one of only 25 such accredited organizations nationally. Entities that become accredited are recognized as organizations of excellence in the field of economic development. During the AEDO process, organizations receive critical evaluation and peer mentoring by certified professionals concerning internal and external operations. AEDO status signifies a distinguished achievement for an economic development organization. Cost of printing kindly provided, in part, by: EP Direct 1479 S. Hickory Street Fond du Lac, WI 54937 www.ep-directprinting.com
State of the Organization2010 was a year of both growth and transition for The move allowed for the opening of theFond du Lac County Economic Development Center for Enterprise Development (TheCorporation (FCEDC) with each presenting unique Center), a highly creative businesschallenges and opportunities. It was, however, a very accelerator meant to speed up the developmentexciting year for FCEDC as we had staff transitions, of starts-ups and existing businesses by offering aexpanded our client services, completed a targeted creative work environment that will fosterindustry analysis, maintained the private and public innovation and business expansion. Watching thissector funding, and enhanced our identity in unfold is exciting for FCEDC. Like our economicFond du Lac County by moving into a new location. gardening program, Impact!, we anticipate The Center to be a model for other such efforts in Wisconsin, theFCEDC has been able, in national Midwest, and nationally.searches, to attract a talented andeducated staff when such In order to create a diverse yet balanced industry mixopportunities have presented in Fond du Lac County, FCEDC completed an in-depththemselves. All four of the new industry analysis. This study has revealed gaps orstaff members joining FCEDC in unmet needs within the supply chain for each of the2010, two of whom are local and seven targeted industries. These uncovered gaps aretwo of whom joined us from possible market opportunities for existing localoutside of Wisconsin, have businesses to expand and/or for new businesses toadvanced degrees and significant experience in their locate here in Fond du Lac County or within the region.areas of expertise. Professional development hasremained a focus for the organization as another team Closing these gaps will resultmember received certification as an Economic in job creation; increased “The Center exemplifies theDevelopment Finance Professional in 2010. The competitiveness of each creative and inventive energyhigh-performing, talented staff at FCEDC stands industry; an attractive that has become synonymousready to help clients of all sizes and at all stages of business environment; a with FCEDC while keepingtheir development. pool of skilled workers; and the needs of the clients in the established assets and sales forefront.”Thanks to our many wonderful investors, FCEDC was opportunities. Check out theable to maintain our funding in 2010. Recognizing the expanded targeted industry -Brenda Hicks-Sorensenchallenges many of our investors faced during the profiles and opportunities on President, FCEDCdifficult economy, we held the investment levels flat our website. If anas we’ve done since 2008. We’ve focused our existing business would likeattention on seeking out diverse funding sources, to expand or if a new business would like to locateincluding grants, contracts, and other revenue sources. here to take advantage of these uncovered marketThis did result in us implementing a small fee for opportunities, FCEDC is equipped through our Impact!start-up clients in 2010. program to complete additional customized research including: industry trends and forecasts; market sizeFCEDC is also nearing the end of its five-year Strategic and demographics; regional and national competitivePlan (2007-2011). Recognizing the Strategic Plan is a intelligence; marketing lists/leads; and much more.living, breathing document, the organizationcontinues to hold itself accountable to that plan with In summary, 2010 was indeed a year of challenges andregular quarterly reports. In early 2011, our Board of opportunities. However, the FCEDC team embracedDirectors participated in a board retreat to examine the challenges and utilized the opportunities to growwhat FCEDC had been doing well and where we had and become an even better organization. We lookopportunities to improve. The FCEDC team strives to forward to continuing our services to Fond du Lacprovide exceptional service in all of our service areas County and thank you for your continuing support ofand for each and every one of our clients. our efforts.Moving to a new, larger facility set FCEDC up forlong-term sustainability, gave us a stronger presenceand identity in Fond du Lac County, and allowed us toexpand our client services. It is so much more than a Brenda Hicks-Sorensen, CEcDphysical move. It exemplifies the creative and Presidentinventive energy that has become synonymouswith FCEDC while keeping the needs of the clients 2in the forefront.
2010 Board of Directors Russ Kamphuis, Bank of Oakfield, Chair John Valek, RB Royal Industries, Vice Chair Dennis Yunk, Agnesian HealthCare, Treasurer Steve Holz, National Exchange Bank & Trust, Secretary Jim Flood, Holiday Chrysler Dodge Jeep, Past Chair *Sandy Breth Allen Buechel, Fond du Lac County Todd Diedrich, Capelle Bros. & Diedrich, Inc. Scott Dreger, Alliant Energy Martin F. Farrell, Ph.D., Ripon College/County Board of Supervisors JoAnn Hall, Moraine Park Technical College Tom Herre, City of Fond du Lac Joan Karsten, Century 21 of Ripon *Richard Kleinfeldt, Giddings & Lewis, retired Sam Meyer, State Farm Insurance/Fond du Lac City Council Herb Ottery, Ottery Transportation, Inc./County Board of Supervisors Bob Poch, Keller, Inc. *Terry Schleif, Hometown Bank Mike Shedivy, Mercury Marine Daniel Vande Zande, Vande Zande & Kaufman, LLP Mike Wisnefske, West Bend Machine Works, Inc. * indicates past chair EX-OFFICIO Joseph R. Reitemeier, C.C.E., Fond du Lac Area Association of Commerce Note: FCEDC would like to recognize the outstanding contributions of outgoing board members Herb Ottery (2005-2010), and Scott Dreger (2008-2010). FCEDC would like to also welcome new board members Zak Bloom of Waupun Utilities, Gary Boyke of Vir-Clar Farms, and Kathy Leifer of Alliant Energy. All three joined the board on January 1st, 2011. Executive Committee Russ Kamphuis, Chair John Valek, Vice Chair Dennis Yunk, Treasurer Steve Holz, Secretary Jim Flood, Immediate Past Chair Allen Buechel, Member at Large Tom Herre, Member at Large Joe Reitemeier, ex-officio Brenda Hicks-Sorensen, President3
2010 Committees Board DevelopmentIn addition to the Executive Committee, current * Jim Flood, Holiday Chrysler Dodge standing committees are as follows: Jeep Sandy BrethInvestor Relations Russ Kamphuis, Bank of Oakfield* John Valek, RB Royal Industries Dick Kleinfeldt, Giddings & Lewis, retiredTodd Diedrich, Capelle Bros. & Diedrich, Inc. Terry Schleif, Hometown BankTony Ferdinand, Haentze Floral Company, Inc.Jim Flood, Holiday Chrysler Dodge Jeep Northeast Wisconsin Business PlanDave Gerritson, Fox Valley Savings Bank Competition JudgesRuss Kamphuis, Bank of Oakfield Mary Avery, Ripon CollegeDick Kleinfeldt, Giddings & Lewis, retired Tony Beregszazi, ADVOCAP, Inc.Matt Lueptow, M & I Bank Sandy Breth, FCEDC Board MemberHerb Ottery, Ottery Transportation, Inc. Kathy Doyle, ADVOCAP, Inc. Jilene Huizenga, Moraine Park Technical CollegePersonnel and Compensation* Mike Wisnefske, West Bend Machine Works, Inc. Full Circle Committee** Scott Dreger, Alliant Energy Cathy Christensen, Hierl InsuranceJim Hubbard, Mercury Marine, retired Sandy Friess, Wipfli LLPDennis Yunk, Agnesian HealthCare JoAnn Hall, Moraine Park Technical College Cathy Huybers, Fox Valley WorkforceRevolving Loan Fund Development Board* Herb Ottery, Ottery Transportation, Inc. Ryan Kamphuis, Bank of Oakfield** Mary Avery, Ripon College Steve Leaman, Associated BankMatt Lueptow, M & I Bank Bob Poch, Keller, Inc.Tim McFarlane, Hometown Bank Greg Sabel, C.D. Smith ConstructionWayne Rollin, City of Fond du Lac Kathy Schlieve, Moraine Park Technical CollegeRich Scheuerman, Alto Dairy, retired Dan Shea, Shea Electric & CommunicationsDan Vande Zande, Vande Zande & Kaufman, LLP Steve Straub, Wisconsin ManufacturingMike Wisnefske, West Bend Machine Works, Inc. Extension Partnership Krista Williams, Schroeder Moving Systems Bob Young, M & I Bank * Indicates chair ** Indicates resignation from committee in 2010 2010 Staff Brenda Hicks-Sorensen, President, CEcD Joe Becker, Director of Business Finance, CPA, EDFP Jacqui Corsi, Marketing Specialist JoAnn Giese-Kent, Research Specialist Melissa Hunt, Community Development Specialist, EDFP Annette Murray, Administrative Assistant Owen Rock, Business Strategist, EDFP Brett Traver, Business Strategist Note: Linda Berlin, Director of Research and Beth Myers Landbo, Director of Marketing left FCEDC in 2010. Follow us on Facebook, search for Fond du Lac County Economic Development Corporation. On Twitter, follow us @ImpactFdLCounty. And look for each of our staff member profiles by name on LinkedIn. 4
FCEDC Assisted these Businesses Inter-Quest While working at a printing company, Darwin Bethke was sitting in his office one day with the radio playing contemplating opening his own computer business. He either managed or worked for companies and had little knowledge about starting his own. How was he going to do it? Then a commercial began with the words, “if you are thinking about starting a business” andended with a summons to contact FCEDC. So he called and it changed his life.He had already solicited the owners of Inter-Quest, a computer company in Beaver Dam to ask if theywould be willing to open a second location. The owners of this company are two men Darwin knewprofessionally. However, Darwin needed more than their stamp of approval. He needed the guidanceof FCEDC. “The fee you pay to get started was so worth it,” Darwin said. FCEDC saved him time and energy because the staff streamlined the process. He had to“It was FCEDC who write a business plan, which he said was harder to do than a college termhelped make it better, paper. However, it was FCEDC who helped him make it better, forcing him toforcing me to really really think through his business and make sure it was viable.think through thebusiness and make Then when it was time to get financing, FCEDC made the calls to the bankssure it was viable.” for him – not to get the loan – but to see which banks may be interested. When it was time for Darwin to call these banks, he didn’t feel alone in the -Darwin Bethke process because FCEDC opened the door for him. Now he just had to walk through. With the backing of a local bank and a small business revolving loan fundfrom FCEDC, and utilizing those contacts from the past, Darwin Bethke in 2010 became the owner ofthe Fond du Lac location of Inter-Quest, the company that makes technology simple.To learn more about Inter-Quest, go to http://www.iqsvr.com/.Bootbiz.comWith an established and expanding Internet business, the owners of JGear or Bootbiz.com beganlooking for a larger warehouse and space to open a retail location in Fond du Lac. Already on the Inc5000 list as one of the country’s fastest growing companies, managing partner Shane Baganz calledFCEDC for help. What he got was so much more. Baganz owns the company with his two brothers but he is the only one who lives in Fond du Lac County dealing with day-to-day operations. One brother, Jodi Baganz, lives in Stevens Point and the other, Barry Braganza, lives in Houston, Texas. The business started in 1997 in Jodi’s garage and has grown into a multi-million dollar operation which sells work boots and work shoes, western boots, and uniform and safety footwear. What Shane was lacking was time to work on the business because he was so busy with sales. FCEDC helped. 5
“We have to thank FCEDC,” Shane said. “It’s amazing the talent and commitmentthey have shown us as our growth progressed.” While the brothers had already started writing a “FCEDC is a literal gold mine that business plan for the retail operation, FCEDC staff every growing business in Fond du helped them to finalize the plan, coordinate with a Lac needs to become aware of.” realtor for the larger facility, and provided other technical assistance regarding talent attraction, legal services, and - Shane Baganz marketing.“The FCEDC staff has been there for us each time we asked a question or needed support. Theresearch they have done for us has helped us grow quickly and efficiently. A literal gold mine thatevery growing business in Fond du Lac needs to become aware of,” Shane said.To learn more about the company go to http://bootbiz.com/.Integrity Saw & Tool, Inc.Paul Reetz was a sales representative with Integrity Saw & Tool, Inc. for nearly 10 years beforebecoming its owner on April 1, 2010. However, that change didn’t happen overnight. It took 2 ½ yearsand it only happened because he called FCEDC.The former owner of Integrity Saw wanted to retire but he also felt strongly that the business shouldstay in Fond du Lac County. He approached Reetz in 2008 about purchasing the business. Reetz foundinvestors, secured financing and was able to give the former owner a proposal by the end of 2008.However, the deal could not be completed before the downturn in the economy.Banks changed their policies, including one that required a 25% downpayment. Two years earlier, 10% would have been sufficient. In the “The loan will be paidmeantime, an Illinois firm was interested in purchasing Integrity Saw but off but I will forever becouldn’t guarantee the jobs would remain in Fond du Lac. “It was looking indebted to FCEDC.”bleak,” Reetz said. - Paul ReetzThen Reetz learned of FCEDC through a friend and made the call. “It wasamazing to find FCEDC,” he said. He admitted he thought economicdevelopment was for companies the size of Mercury Marine and not those like his with 22 employees.In a two-week span, he found a bank willing to loan him money with gap financing from the Fond duLac County Special Allocation RLF administered by FCEDC, and closed on the deal a short time later.FCEDC provided technical assistance and was always available to answer questions.“The loan will be paid off but I will forever be indebted to FCEDC,” Reetz said.Integrity Saw & Tool was formed two decades ago to provide the machine tool andwoodworking industries in Wisconsin, northern Illinois and eastern Minnesota with qualityCNC-manufactured precision cutting tools.To learn more about Integrity Saw & Tool, go to http://www.integritysaw.com/. 6
FCEDC Accomplishments Be Bold 116 North Main Street in Fond competitiveness of the Fond Wisconsin du Lac “exemplifies the creative du Lac MSA. Benchmarking The Wisconsin and inventive energy that has the Fond du Lac Metropolitan Economic Development become synonymous with Statistical Area (MSA) report is Association (WEDA), FCEDC and keeps the needs of available at www.fcedc.com. a statewide organization our clients front and center,” of over 400 economic Brenda Hicks-Sorensen, CEcD, Entrepreneur’s Connectiondevelopment professionals, president of FCEDC, says. For Current and future businessreleased Be Bold Wisconsin: more information on this new owners were able to learn ofThe Wisconsin Competitiveness space see Page 10. resources available to themStudy on August 3rd as part of including financing options,an effort to study independently Community Development networking tips, how to writehow Wisconsin can better Specialist the perfect elevator pitch, andcompete with other states as Melissa Hunt continued to new ways to generate businesswell as other countries in an assist the Village of North Fond through e-commerce andever-changing global du Lac, the City of Waupun, and social media at the 3rd annualmarketplace. The study the City of Ripon in community Entrepreneur’s Connectionbecame a benchmark for Gov. development efforts. Waupun on November 16th. Plans areWalker’s transformation of the has been successful in taking underway for E-Connect 2011Department of Commerce. proactive approaches to ensure when it returns to Fond du LacBrenda Hicks-Sorensen is a sustainable downtown and on November 15th. E-Connect isa member of the Board of encourage redevelopment. a joint effort of ORIGIN and theDirectors for WEDA and FCEDC Ripon has created a Community Entrepreneurial Service Partnershas supported the Be Bold Development Authority to of Fond du Lac County.Wisconsin efforts. review potential projects and opportunities. North Fond External MarketingBusiness Plan Competition du Lac has started strategic The 2010 external marketingFCEDC assisted in the annual planning and visioning. campaign – You Rock! – wasNortheast Wisconsin Business launched in late April. Like thePlan Competition. FCEDC Connection Corner programs of the past severalBusiness Strategist Owen This virtual web-place for years, the goal of theRock was on the committee entrepreneurs and emerging multi-faceted campaign wasfor the competition. The businesses continues to grow to raise awareness of Fondcompetition was coordinated and be a gathering place for du Lac County as a viable andby the Northeast Wisconsin tips, ideas, and events. With attractive option for businessRegional Economic Partnership input provided by local business location and expansion. There(NEWREP). See Page 4 for the leaders, a project of the Center is no greater compliment, nolist of business leaders who for Enterprise Development and more succinct praise than thevolunteered as judges for the FCEDC, the Connection Corner invariable “you rock.” Thecompetition. was made possible through campaign spanned six weeks a grant from the Fond du Lac and was assistedCenter for Enterprise Area Foundation. The website is with generous in-kindDevelopment www.connectioncorner.net. investments by two partnersWith the first of its kind in in this year’s event – TheWisconsin, FCEDC moved into Economic Scorecard Goldsmith at 117 Southa larger space that will allow FCEDC completed a statistical Main Street in Fond du Lac an increased number of analysis of Fond du Lac and and Stuart’s Landscaping services and new, highly four other communities served and Garden Center at N7820 creative ways to meet the by Accredited Economic Lakeshore Drive in North Fond needs of business – the Development Organizations du Lac. The 2011 External Center for Enterprise (AEDOs). Key economic Marketing Campaign will Development. The performance indicators celebrate innovation in new location at were used to determine the Fond du Lac County.7
Full Circle Existing Business varying times on the second to all of ourDevelopment Program Thursday of each month. New stakeholders onUtilizing volunteers and FCEDC cable commercials will soon be our progress andstaff, the Full Circle program is aired on Charter highlighting achievements throughcentered on the ExecutivePulse innovation in Fond du Lac quarterly reports issuedweb-based survey tool that County. Finally, Brownboots by FCEDC electronicallyenhances business development Interactive was retained to to over 2,000 subscribers.services. This face-to-face assist in marketing existing In addition to updates onbusiness interview program business services including the our strategic plan, FCEDCnot only uncovers important Impact! program. provides updates on economiclocal, regional and national development activity andbusiness trends, it also develops Leadership/Youth Leadership services.stronger relationships with local Fond du Lac Economicbusinesses, linking them to key Development Day Revolving Loan Fundresources. Since the inception FCEDC continued to be a leader FCEDC expanded its revolvingof the Full Circle program in July in economic development loan fund efforts in 2010 by2007, volunteers and staff have by informing future leaders partnering with the City ofcompleted 69 company visits. about the role they can play Fond du Lac RedevelopmentThe companies interviewed in the economic development Authority to providerepresent 7,408 employees and health of the region. FCEDC administrative services for thenearly $940 million in sales. See staff participated in the Youth City of Fond du Lac EconomicPage 4 for a complete list of our Leadership Program and Development Revolving LoanFull Circle volunteers. hosted a one-day session for Fund (EDRLF) program. FCEDC the Leadership Fond du Lac also provides administrativeImpact! Economic Gardening Program. and oversight to the Fond duFCEDC continued its efforts Lac County Special Allocationin the economic gardening Money Smart Week Revolving Loan Fund (RLF)program made possible by a FCEDC Business Strategist which is funded by a portion$437,899 grant from the U.S. Owen Rock presented “Turning of the half-percent sales tax.Department of Commerce Your Idea into Income” as part Between the two, $530,000 ofEconomic Development of Money Smart Week, October loan funds were approved.Administration (EDA), and 2nd through October 9th.$7,500 from the Fond du Lac Sessions provided entrepreneurs Rural MicroentrepreneurArea Foundation. Economic with the basics of starting a Assistance Programgardening means growing business and were held in FCEDC was selected as one ofcompanies from within. FCEDC Fond du Lac, Campbellsport six organizations in Wisconsinstaff identified companies with and Ripon. to receive funds that will begrowth potential and showcased used to boost small businessthe resources available at Professional Development development, create jobs, andFCEDC to the companies. Melissa Hunt, Community strengthen rural communities. Development Specialist, The funding is beingInternal Marketing successfully completed the provided through the RuralFCEDC staff has continued to Economic Development Finance Microentrepreneur Assistanceparticipate on monthly shows Professional Certification Program (RMAP), whichon KFIZ (AM 1450) and WRPN Program through the National was authorized by the Food,(AM 1600). These extended Development Council. Conservation, and Energy Actinformational segments Jo Ann Giese-Kent, Research of 2008 (Farm Bill). The purposehave proven to be effective Specialist, and Jacqui Corsi, of RMAP is to support thein informing people about Marketing Specialist, each creation, development andour programs, services and completed the Wisconsin Basic ongoing success of ruralinitiatives. You can hear the KFIZ Economic Development Course microentrepreneurs andsegment with Bob Hoffmaster in Madison. microenterprises.on the second Wednesday ofeach month at 10:30 a.m. The Reporting MechanismsWRPN segment with Jason FCEDC continues to holdMansmith can be heard at itself accountable and reports 8
FCEDC Recognitions FCEDC again becomes an FCEDC President Named Outstanding Alumni Accredited Economic Development Organization Brenda Hicks-Sorensen, CEcD, president of FCEDC, was named a recipient of the The International Economic Development University of Wisconsin-Oshkosh (UW-O)Council (IEDC) recognized once again that Outstanding Young Alumni Award.FCEDC is one of 25 economic developmentorganizations and the only economic She was named for her accomplishments indevelopment organization in Wisconsin as an economic development and, in part, due to theAccredited Economic Development role FCEDC played in the Mercury MarineOrganization (AEDO). consolidation decision during the summer of 2009. She was one of nine UW-O alumniThe AEDO program is a comprehensive peer returning to campus during Homecoming 2010review process measuring economic to receive the award.development organizations against commonlyheld standards in the profession. Originally FCEDC receives excellence award from theaccredited in February 2001, FCEDC was International Economic Development Councilreaccredited by IEDC following three successfulyears of activity. FCEDC received an Excellence in Economic Development Award for the Mercury Marine“FCEDC displays the professionalism, Consolidation/Retention Project in the categorycommitment, and technical expertise that is of Business Retention and Expansion - Singledeserving of this honor,” said IEDC President Event for communities with populations ofand CEO, Jeff Finkle. 25,000 – 200,000 from the International Economic Development Council (IEDC).FCEDC recognized by Corporate ReportWisconsin Magazine William Best, IEDC chair said, “Our awards honor organizations and individuals for their efforts inFCEDC was named one of the top three creating positive change in communities.”economic development organizations inWisconsin by Corporate Report Wisconsin “The Fond du Lac County Economicmagazine. Development Corporation is showing that they are at the forefront of the economic developmentEach year, the publication names the top three in profession and are using innovative anda number of categories based on reader write-in effective practices that can be replicated invotes. “Economic Development Organization” other communities.”was a new category in 2010. FCEDC was theonly single-county economic development The IEDC is the premier membershiporganization named in the top three. organization dedicated to helping economic development professionals create high-qualitySharing the “top three” spots with FCEDC were jobs, develop vibrant communities and improve the eight-county, Madison regional entity Thrive the quality of life in their regions. and the state-wide Wisconsin Housing and Economic Development Authority. The awards were presented in Wisconsin Dells in June.9
Original Thinking for Original ThinkersIf innovation were captured in a space, it would be The Center for EnterpriseDevelopment (The Center). The Center, which is operated by Fond du Lac CountyEconomic Development Corporation (FCEDC), is three-dimensional space for theentrepreneur and existing business owner with growth opportunities.The Center is built on a foundation of creativity for everyone involved – from staff to clients. In theonly such facility created and operated by an economic development organization in Wisconsin (and asfar as we can find nationally), The Center will quickly become a model for other economic developmentorganizations.This business accelerator is meant to speed up the development of starts-ups and existing businesses byoffering a creative work environment, valuable services, a menu of resources at their fingertips, space towork, and assistance from professional staff.The Center has three core goals - Intelligence, Imagination and Insight.Intelligence: A key challenge facing entrepreneurs and businesses with growth opportunities is gaininginformation about their industry such as the target audience, potential markets, and location demographics.While this type of information is understood by many, dedicated and uninterrupted time to conduct thenecessary research as well as, in manycases, the technical ability to do so maybe in short supply. The Center will help.Imagination: Creativity helps relax themind for brainstorming and open it to theflow of original thoughts and ideas.Creativity and creative problem-solvingskills cultivate whole-brain thinking,which can aid entrepreneurs and existingbusinesses who want to grow in their search for new products, ideas for improved products, efficiencies inbusiness procedures and coping with changes in the working environment. The Center will help.Insight: The third element for success for the entrepreneur and existing businesses with growthopportunities is an understanding of and appreciation for the bigger picture as well as the ability tocollaborate and problem solve with peers, industry and supply chain colleagues and mentors. Fresh ideasfor wider development will come out of think tanks, CEO roundtables, and a mentoring program.The Center will help.For more information FCEDC continues to see an increase in people interested in starting businesses andon The Center, go to existing businesses wanting to expand or become more efficient. The Center willwww.fcedc.com and fulfill a need that assists businesses in their success in the future economy and buildclick The Center. on a healthy economy for Fond du Lac County.With its comfortable and colorful furnishings, creative “toy box,” and high-end technology, The Centercan bolster the entrepreneur’s success, launch their businesses in new and exciting directions and helpinnovatively approach the needs of business and their industries.The Center builds upon our expansive revolving loan fund programs, and Impact!, an economicgardening program launched in 2009 by FCEDC, which has already been lauded forthoroughness and ingenuity by those who practice and teach economic gardeningtheories and principles.The Center for Enterprise Development will inspire new ideas and provide an 10opportunity for original thinkers at reasonable rates.
2010 in Numbers Summary of 2010 Clients A client is defined as a business attraction prospect, existing business or entrepreneur who receives more than one hour of FCEDC services. In 2010, FCEDC served 182 clients. The 2009 number for comparison are as follows: Total client projects 235, existing business development 48%, business start-ups 37%, and business attraction 15%. The 2008 number for comparison are as follows: Total client Business projects 187, existing business development 48%, business Attraction start-ups 36%, and business attraction 16%. 17% Existing Business Revolving Loan Fund Summary Business Development Start-ups 52% Fond du Lac County Revolving Loan Fund: As of the end of 2010, 31% the Fond du Lac County Revolving Loan Fund (RLF) portfolio stands at $3.1 million. During 2010, loans totaling $550,000 were approved. Small Business Revolving Loan Fund: FCEDC established a new Clients served Small Business Revolving Loan Fund (SBRLF) in 2008. During 2010, loans totaling $85,000 were approved. Fond du Lac County Special Allocation Revolving Loan Fund: FCEDC 235 began administering this Fond du Lac County fund in 2010. Loan 182 187 funds totaling $300,000 were approved in 2010. 127 City of Fond du Lac Economic Development Revolving Loan Fund: FCEDC began administering this revolving loan fund for the City of Fond du Lac Redevelopment Authority in August of 2010. There 2007 2008 2009 2010 were $230,000 of loan funds approved in 2010. 2010 Sources of Funds Diversification of Income Programs Other Private Sector $116,890 During this strategic plan Private Public Sector $200,707 period (2007-2011), FCEDC sector $135,276 Administrative Income has focused on finding new RLF $105,000 Admin Contract Income income sources and has been $164,373 Public Grants & Other aggressive in pursuing grants sector Total $722,246 and other available funding. This has resulted in a more 2005 2010 Uses of Funds evenly divided and varied income “pie” than just a few Staff $498,514 years ago. Contracts Operations $129,310 $ 96,001 Grants Programs and Total $723,825 RLF Other Admin Private sector Public11 2010 sector
Progress on Strategic Goals: 2007 -- 2011The internal vision of FCEDC is to “be a premier public/private partnership that provides sustained leadership ineconomic development for the region and delivers exceptional results.” The following are five-year goals set forth inour 2007-2011 strategic plan as the “bulls-eyes” toward which organizational plans and actions have been focused.Where appropriate, specificity was attached to the goal to allow for benchmarking throughout the five years of theplan. FCEDC holds itself accountable and reports to all of our stakeholders on our progress and achievementsquarterly and annually. (Any figures used below reflect projects that have reached the level of project implementation.)Balanced Industry Mix personal income estimated at nearly $148 million per year. Additional annual sales for all industries based onCreate a balanced industry mix targeting specific industry these expected jobs is $1.1 billion per year.clusters in Fond du Lac County and Northeast Wisconsin. The 1,610 expected retained positions results inStatus and Activities Toward Goal: a retention of an additional 2,063 indirect jobs for a total• Updated targeted industry profiles were verified with of 3,673 retained/saved jobs overall. Earnings estimated a survey sent to companies within the clusters. Data for these retained jobs (wages and benefits) is $194 will be released in 2011. million per year, resulting in disposable personal income• Several attraction projects brought to Fond du Lac estimated at nearly $141 million per year. Additional County. annual sales for all industries based on these retained/• Continued site selector marketing program saved jobs is $1.2 billion per year. established in 2007. Successful relationships have been established, making Fond du Lac County the *The number of new positions has been adjusted from the go-to location in Wisconsin. number posted in the 2010 4th quarterly report.Job Growth Capital InvestmentCreate 2,500 new jobs matching Fond du Lac County’s Assist businesses in establishment, modernization andlabor force and training capacity. This effort will have expansion activities that will result in $80 million inan anticipated multiplier impact of 1.25 or 625 additional capital investments (i.e. equipment, land, building) injobs. Targeted wage rates will exceed the median Fond du Lac County.hourly wage. Status and Activities Toward Goal:Status and Activities Toward Goal: • $340.8 million in total investment expected*• 1,922 new full-time positions plus 147 part-timepositions expected for a total of 2,069 new jobs*; and *The investment figure has been adjusted from the number1,610 positions retained posted in the 2010 4th quarterly report. Impact on Fond du Lac County economy: Talent Attraction The 1,922 expected full-time new positions Facilitate the development and sustainability of anhave a multiplier effect of 2.06, totaling 3,957 expected environment conducive to attracting and keeping thejobs. Earnings estimated for these new jobs (wages and level of talent necessary for our businesses to gain andbenefits) is $199 million per year, resulting in a disposable maintain a competitive edge.personal income estimated at $144 million per year. If new part-time positions are factored into the Status and Activities Toward Goal:equation, the 2,069 expected new full and part-time • In response to workforce and talent attraction needspositions have a multiplier effect totaling 4,155 jobs. of area businesses, FCEDC continues to work on talentNew job earnings would be $204 million with disposable attraction proposal initially developed in 2008.Source and Methodology: The multipliers of 2.06 for new full-time, 2.01 for full & part-time, and 2.28 for retained jobs are higher than that projected in our StrategicPlan (1.25) because the jobs are in higher-than-average paying industries. Economic Modeling Specialists, Inc. (EMSI) Strategic Advantage Economic Impact Modelwas used to estimate the indirect jobs & earnings that result from the new jobs and retained jobs associated with FCEDC projects for 2007-2010. We were able to enternew and retained jobs in the specific industries that they are expected to be created. (EMSI Data Sources and Calculations are explained below.) Consultants at EMSIperformed the calculation for sales for all industries. Disposable income is based on avg. benefits & taxes for WI Per Capita Personal Income and Per CapitaDisposable Income 2009. Input-Output Data: The input-output model figures are created using the national Input-Output matrix provided by the federal Bureau ofEconomic Analysis. This is combined with the national Total Gross Output, the regional Total Gross Output, the land area of the subject region, regional DIRT data andregional in/out commuter patterns in order to calculate regional requirements, imports and exports. After using matrix algebra to calculate the regional multiplier, theresulting matrix is multiplied by the sales vector and converted back to jobs or earnings. Specifically, this data comes from the U.S. Department of Commerce, Bureauof Economic Analysis, Industry Economic Accounts: Benchmark & Annual Input-Output (I-O) Accounts. Industry Data: In order to capture a complete picture of industryemployment, EMSI basically combines covered employment data from Quarterly Census of Employment and Wages (QCEW) produced by the Department of Laborwith total employment data in Regional Economic Information System (REIS) published by the Bureau of Economic Analysis (BEA), augmented with County BusinessPatterns (CBP) and Nonemployer Statistics (NES) published by the U.S. Census Bureau. Projections are based on the latest available EMSI industry data,15-year past local trends in each industry, growth rates in statewide and (where available) sub-state area industry projections published by individual stateagencies, and (in part) growth rates in national projections from the Bureau of Labor Statistics.State Data: The EMSI model uses state data from the follow-ing agencies: Wisconsin Department of Workforce Development, Bureau of Workforce Information. 12
Our Valued Investors Below is a list of our valued investors without whom our services would not be possible. The number in parentheses indicates years of investment in FCEDC. Accurate Controls (6) F. Ziegler Enterprises (13) Sam Meyer/State Farm (6) Action Advertising (12) Golden Rule Credit Union (3) Schenck Business Solutions (20) Advantage Accounting (3) Grande Cheese Company (22) Service Master Commercial Services (9) Advanced Paper Enterprises (2) Grant Thornton (21) Sirna Productions (new investor) Agnesian HealthCare (22) Graphic Center (6) Society Insurance (22) Ahern-Gross (22) Guaranty Title Services (14) Sorenson Law Office (19)Alliance Laundry Systems (21) Guenther Supply (18) Stuart’s Landscaping & Garden Center (5)Alliant Energy (22) Guilfoile Insurance (12) The Goldsmith (new investor)Aluminum Resources (19) Haber/M&M Printing (12) The Nielsen Company (1)AMC of Wisconsin, Inc. (new investor) Hierl Insurance (18) The Reporter (20)American Bank (22) Holiday Automotive (22) Timon Perron Trucking (12)Associated Bank (21) Holiday Chrysler Dodge Jeep (13) Tom’s Quality Millwork (6)Baker Cheese (11) Holiday Inn/WISCO Partners (22) Town of Fond du Lac (11)Baker Tilly (7) Homebuilders Association United Parts Plus (12)Bank of Oakfield (15) of Fond du Lac & Dodge Counties (21) US Bank (21)Basic American Metals (8) Hometown Bank (12) UW-Fond du Lac (5)Baumhardt Sand and Gravel (10) Horicon Bank (11) Vanderkin Plumbing (new investor)BCI Burke Company (9) Hornung Golf Products (22) Vande Zande & Kaufman, LLP (12)Berger Company (22) Huberty & Associates (19) Van Horn Hyundai (8)Bluemkes, Inc. (7) Hutter Property Services (13) Village of Brandon (3)Bob and Maureen Poch (2) Ideal Chiropractic (2) Village of Campbellsport (7)Bomier Properties (11) INFO-PRO Mortgage Services (2) Village of Fairwater (3)Brenner Tank (18) Integrity Saw & Tool (12) Village of North Fond du Lac (12)BrownBoots Interactive (2) Jackson Kahl Insurance Services (5) Village of Oakfield (6)C.D. Smith Construction (20) J.F. Ahern Co. (22) Village of Rosendale (2)Campbellsport Building Supply (11) Jet Stream Enterprises (21) W.J. Leasa Electric (16)Capelle Bros & Diedrich (14) Johnson Brothers Construction (7) Warehouse Specialists (18)Century 21 Ripon (1) Johnson School Bus Service (10) Waupun Memorial Hospital (16)Charter Communications (14) Keller, Inc. (9) Waupun Utilities (5)Citizens First Credit Union (5) Lake Breeze Dairy (8) Webster’s United Foods (4)City of Fond du Lac (22) Linstrom’s Catering (4) Wendt’s on the Lake (2)City of Ripon (12) Lutheran Homes & Health Services (3) West Bend Machine Works (3)City of Waupun (13) M&I Bank (20) Whealon Towing & Service (2)Combination Door Co. (16) Manowske Welding (16) WIPFLi (8)Condon Oil Company (15) Marchant Schmidt (16) wisnet.com (12)Consultants Laboratory (21) Marian University (15) W.W. Electric Motors (19)Cowles-Henke-Kemmel Ins. Agency (3) McClone Agency (12) ZA Commercial (new investor)Dean W. Uelmen, DDS (8) McNamara & Thiel Insurance (6) Zacherl, O’Malley & Endejan (14)Edgarton, St. Peter, Petak, Rosenfeldt (22) Mercury Marine (22)Edward Jones (11) Michel’s Corporation (9) Our valued reciprocal partners:Electro Plating Company (10) Mid-States Aluminium Corp. (21) Campbellsport Area Chamber of CommerceEP-Direct (2) Muthig Industries, Inc. (19)Excel Engineering (14) National Exchange Bank & Trust (22) Fond du Lac Area Association of CommerceFaith Technologies (9) Natural Stone Veneers (5)First Business Bank-Northeast Northcentral Construction (new investor) Ripon Area Chamber of Commerce (new investor) Osborn & Son Trucking (6) Waupun Area Chamber of Commerce Flood Homes (22) Ottery Transportation (12) Fond du Lac Bumper Exchange (12) PanelTEK (9) Fond du Lac County (22) Pit Stop Portables (2) Fond du Lac Skyport (3) Progressive Investors (13) Ford & Harbridge Ins. & Pro Motorsports of FdL (new investor) Financial Svc. (14) RB Royal Industries (18) Fox Valley Savings Ripon Pickle (6) Bank (22) Ripon Printers (18) Foy & Springborn (7) Sadoff and Rudoy Industries (9) (As of 2/28/2011) 13
Looking ForwardAs I look forward to the coming year, I see many ways in which FCEDC is poised to build on its pastsuccess as the premier economic development organization for Fond du Lac County.The business climate moves fast and FCEDC is ready. Not only does FCEDC have a talented staff in place,but it also has the tools, resources, space and technology available for budding entrepreneurs and existingbusinesses within the new home of the FCEDC. It is the new business accelerator – the Center for EnterpriseDevelopment. The Center stands alone in Wisconsin for economic development organizations and will be the place for creative thinking and innovation for the county. If you haven’t had a chance to experience The Center, I strongly encourage you to do so. This space will become a model for economic developers who must keep up with the speed of business. Another tool for FCEDC and the clients served is the targeted industries data. As part of FCEDC’s goal to create a diverse yet balanced industry mix in Fond du Lac County, FCEDC completed an in-depth industry analysis. Gaps within the supply chain for each of the seventargeted industries were shown as possible market opportunities in the upcoming year for existing localbusinesses to expand or for new businesses to locate here. “FCEDC has the tools,The targeted industries data provides a strong breakdown for analysis and an resources, space andopportunity for businesses to look at how they can position their companies here. technology available for budding entrepreneursKeeping up with the fast pace of business, FCEDC also has a role in what’s happening in and existing businessesMadison by lending its support to the Wisconsin Economic Development within the new home ofAssociation study: Be Bold Wisconsin. Recommendations in the study are being the FCEDC.”implemented, including the restructuring of the Department of Commerce, rebrandingWisconsin as a place to do business, and expanding the state’s incentive toolbox. -John Valek RB Royal IndustriesFCEDC will continue to be active and lend a voice for Fond du Lac County when it FCEDC Board Chaircomes to economic development concerns occurring at the state level.Finally, 2011 is the time we need to look at the future of FCEDC as it is the final leg ofthe current five-year strategic plan. A Board Retreat was held in January to begin the process. We need to builda plan that is flexible enough to accommodate existing businesses while leaving room for opportunities thatcould come our way.The new strategic plan will pertain to 2012-2014. FCEDC chose to shorten the time frame due to thedynamics of business today, remembering the speed and complexity of the business climate and how quicklyit can change. A three-year strategic plan fits.With the successes of the past firmly in place, FCEDC staff is ready to move forward with the skills andknowledge to accelerate the process of expanding or starting a business.Sincerely,John ValekRB Royal Industries, 2011 Chair FCEDC Board of Directors 14
116 N. Main Street, PO Box 1303, Fond du Lac, WI 54936-1303 (920) 929-2928 firstname.lastname@example.org www.fcedc.com