Biztimes money 2011 9-20 - consultant-helps-businesses-save-on-overhead

Login Register RSS Text size: PRINT MAGAZINE Current Issue Subscribe ArchiveMilwaukee and Southeastern Wisconsin Business News Sep. 20 Sep. 13 Aug. 30 Aug. 23 Aug. 16 Archive... Advertisement Home > Money Weekly > Current Headlines Single Page | Multiple Pages Page Tools Print this Page Send to a friend View RSS Feed Southeastern Wisconsin financial service industry news. Change Text Size Tuesday, September 20, 2011 Small Font Normal Font Consultant helps businesses save on overhead Naushad Moolla has always wanted to go into business for himself, but didn’t want to start a company from Large Font scratch during the recession. So he started working with a franchise coach to find a business model that was a good fit for him. In October 2010, he purchased Expense Reduction Consultants, a company that works to cut back overhead costs for other businesses. “It took me about a year from starting looking at franchises to when I actually purchased this one,” Moolla said. He was able to finance the start-up franchise at 16800 Greenfield Ave. in Brookfield on his own and opened in January. So far, Moolla is the only employee, but he hopes to add other consultants soon. Fuel, office supplies and background checks are some of the 50 overhead areas he examines for cost reduction. He determines two or three of the client’s greatest expenses and then looks over the bills and contracts from those services to locate errors or noncompliance. If needed, Moolla renegotiates contracts to assure the client is getting the best price and value for a particular service. He targets companies in the $5 million to $50 million revenue range. “I typically like to work with a client where I can save them at least $10,000 (per year) or more,” he said. Moolla, who holds an MBA in accounting and has worked as a CPA and business consultant in the Milwaukee area, feels his cost-saving measures are a win-win for businesses in the current economy. “I can help businesses grow, do better by cutting the cost and cutting the bottom line when they really need it, and at the same time do something I really enjoy doing,” he said. U.S. Bank to lay off 35 U.S. Bancorp announced Monday it plans to restructure its operations at 777 E. Wisconsin Ave and eliminate 35 employees in the process. The permanent layoffs will take place on Nov. 16. Four of the affected employees are union members. Feds approve Wisconsin request for stimulus for small businesses Wisconsin Gov. Scott Walker announced that the U.S. Treasury Department has approved Wisconsin’s application to participate in the State Small Business Credit Initiative (SSBCI), which was created by President Barack Obama’s first rounds of economic stimulus. Wisconsin will receive $22.4 million for small business lending programs to help create private sector jobs. The SSBCI was established when Obama signed the federal Small Business Jobs Act of September 2010 into law. The initiative was created to make capital more accessible to entrepreneurs and small businesses. The SSBCI bolsters state programs that support small business lending. The Act enhances and extends several of the tax incentives that were originally included in the American Recovery and Reinvestment Act of 2009. Based on 10-to-1 private match, the funds are expected to support at least $224 million in new lending in Wisconsin. “Small business is a key to private sector job creation,” said Walker, who did not mention Obama or the stimulus in the announcement. “Securing participation in the State Small Business Credit Initiative will help provide more small businesses the access to capital they need to grow and create jobs.” “Many small businesses are still struggling to access the capital they need to invest, expand and create new jobs,” said U.S. Treasurer Rosie Rios. “These critical funds will provide a powerful incentive for lending to small businesses, spurring additional job creation and further strengthening our nation’s economic recovery.” Any state that establishes a new, or has an existing support program for small businesses was eligible to apply. Under the Initiative, Wisconsin will use U.S. Treasury funds for programs that leverage private lending to finance creditworthy small businesses that are not receiving loans needed to expand and create jobs. The Wisconsin Housing and Economic Development Authority (WHEDA) worked with the Wisconsin Department of

Administration to complete the application for the state, and WHEDA will administer the program funds.WHEDA executive director Wyman Winston said, “To demonstrate our strong support of Governor Walker’sambitious job creation goal, WHEDA has greatly expanded its focus on economic development. It’s exciting toknow that these funds will support WHEDA’s efforts to assist small business spur job creation.”The Wisconsin Economic Development Corporation (WEDC) also is expected to receive a portion of the Treasuryfunds.The funds will be used to support the expansion of the state’s Capital Access Program, the creation of theWHEDA Guarantee Program and the creation of the Wisconsin Equity Fund, a venture capital program.New York firm acquires IGC TechnologiesNew York-based Prince Minerals Inc. has acquired IGC Technologies LLC of Milwaukee for an undisclosedamount.IGC, 4039 West Green Tree Road in Milwaukee, produces anti-veining agents used in foundries. Princeprocesses minerals, additives and colorants used in making bricks, cement, glass and metals.Prince has been supplying minerals used to make products at IGC for several years, said Ralf Schoenfelder,former chief executive officer of IGC.Schoenfelder now serves as managing director for Prince’s newly formed global metallurgical division.“We are a perfect strategic fit,” he said. “We felt that we have developed significant value throughout the years,through the recession and afterward.”The combined companies will have improved efficiencies and a broader portfolio of products, since they arecomplementary, Schoenfelder said. The research and development headquarters for the metallurgical divisionwill be in Milwaukee.IGC had 22 employees, who will join Prince’s 159 in the United States. Schoenfelder said the merger couldpotentially eliminate jobs, but he hopes it will create jobs in the long term.Strong summer theater slate propels Marcus Corp.Buoyed by a record performance from its Marcus Theatres division, Milwaukee-based Marcus Corp. reportedfiscal first quarter net earnings of $12.5 million, or 42 cents per share, up 24.5 percent from net earnings of$10.0 million, or 34 cents per share, in the same period a year ago.The company’s total revenues for the grew 8.7 percent to $123.9 million from $114.0 million a year earlier.“Our fiscal year is off to a strong start, with a record quarter for Marcus Theatres and the continued improvementof Marcus Hotels & Resorts. Both divisions made solid contributions to the 24.5-percent increase in netearnings, as well as to our increased revenues and operating income,” said Gregory Marcus, president and chiefexecutive officer of The Marcus Corp. “A strong slate of films during the busy summer season generated an 8.0%increase in revenues and a 16.1-percent increase in operating income for Marcus Theatres, setting new firstquarter records for the division.”Northern Trust plans job cutsChicago-based Northern Trust Corp. will unveil early next year the details of cost-cutting plan that is likely toincludes significant layoffs, according to a report by Crain’s Chicago Business.Northern Trust chief executive officer Rick Waddell, speaking in New York Tuesday at an investor conference,did not tell analysts how deeply Chicagos largest locally headquartered bank would cut, but said, “Were goingto give you more insight into this in the first quarter.”Like other banks that specialize in trust services for institutions and wealthy individuals, Northern Trust facessignificant revenue pressures due to ultra-low interest rates, Crain’s reported. The banks return on equity in thefirst half of 2011 was 8.8 percent, well off the 13 to 15 percent it produced in better times.“I will be the first one to tell you that three years ago we thought the environment would be much better than itis today,” Waddell said. "We thought we would be in a growing economy, a much less volatile marketenvironment, interest rates at significantly higher levels than they are, and we were wrong. And we now knowthat the interest rate environment that were in is going to be this way for at least two more years.”Large banks around the country are planning major job cuts, the most visible of which is Charlotte, N.C.-basedBank of America Corp., which said earlier this week will eliminate 30,000 positions.Northern Trust has a branch in downtown Milwaukee.National poverty rate rises againThe nations official poverty rate in 2010 was 15.1 percent, up from 14.3 percent in 2009 and the highest since1993, the U.S. Census Bureau reported.The report marks the third consecutive annual increase in the poverty rate. There were 46.2 million people inpoverty in 2010, up from 43.6 million in 2009, the largest number in the 52 years for which poverty estimateshave been published.A family of four is officially classified as poor if its annual cash income, before taxes, is $22,314 or less. For atwo-person household, the threshold is $14,218. The figures do not include any accumulated wealth or"noncash aid such as food stamps.In 2010, the median household income declined, the poverty rate increased. Real median household income inthe United States in 2010 was $49,445, a 2.3-percent decline from the 1009 median.Ohio staffing company acquires Eagle Technology GroupThe Reserves Network, a Fairview Park, Ohio-based staffing service for the office, industrial, professional andtechnical markets, has acquired Eagle Technology Group of Milwaukee.Founded in 1993, Eagle Technology Group specializes in the placement of contractors working in the skilledtrades, engineering and information technology professions. The company will maintain the Eagle TechnologyGroup name and will serve as an affiliate division of The Reserves Network. Eagle Technology Group’semployees will remain with the company.The transaction marks the seventh acquisition The Reserves Network has made in the last five years, and thefirst staffing firm it has acquired in Wisconsin. The company now has a presence in nine states.

"Eagle Technology has developed a stellar reputation for being able to recruit and place contractors in skilled trades and other professions that are in very high demand throughout the country,” says Amy Gerrity, president of The Reserves Network. “We’re very excited to now be in the Wisconsin marketplace, and to have Eagle Technology as a part of our business family.” Nicholas Stallard, chief financial officer of The Reserves Network, said, “Not only is this acquisition a natural progression of The Reserves Network’s continued growth plans, but it expands and enhances our service offerings company-wide." Eagle Technology Group plans to place nearly 1,000 employees over the next 12 months in various positions throughout the Greater Milwaukee area. New hires and promotions Dan Defnet has been named chief credit officer of Johnson Financial Group and Johnson Bank. He has 25 years of banking experience, most recently as a senior commercial credit officer at M&I Bank. Chad Treaster has been hired by Associated Banc-Corp as senior vice president, director of Associated Trust Company. He has 17 years of experience and most recently served as senior vice president of trust services for M&I Bank. Hal Delfosse has been hired by Associated Banc-Corp as vice president, treasury management product development. He previously performed treasury management sales at Bank Mutual. James Hansen has been promoted to vice president, portfolio manager in Associated Banc-Corp’s power and utilities division. He previously served as an assistant vice president. Financial resources Banking Wisconsin Department of Financial Institutions Federal Deposit Insurance Corp. Wisconsin Bankers Association Community Bankers of Wisconsin Wisconsin Mortgage Bankers Association American Bankers Association Bankers Association for Finance and Trade Commercial Finance Association Risk Management Association Mergers & Acquisitions Association for Corporate Growth International Business Brokers Association Midwest Business Brokers and Intermediaries Wealth Management/Financial/Retirement Planning Financial Planning Association Financial Planning Association of Southern Wisconsin Investment Management Consultants Association National Association of Personal Financial Advisors (NAPFA) Other Society of Financial Service Providers Small Business Administration State public awareness campaign Wisconsin Credit Union League CFA Institute CFA Society of Milwaukee Wisconsin Angel Network Wisconsin Institute of CPAs This exclusive news bulletin is compiled by BizTimes Milwaukee reporter Molly Newman. This bulletin is published every Tuesday morning. Send financial services industry news and tips to molly.newman@biztimes.com or call her at (414) 336-7144.© Copyright 2011 BizTimes Media LLCAbout Us | Contact Us | Privacy Policy | Advertise with Us | Help | Site MapBizTimes provides news and operational insight to the owners, presidents and other top executives of closely held businesses in southeastern Wisconsin, includingMilwaukee, Waukesha, Ozaukee, Washington, Racine, Kenosha, Walworth and Sheboygan counties.Site Designed and Developed by Red Anvil, LLC.

Biztimes money 2011 9-20 - consultant-helps-businesses-save-on-overhead

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