With the first quarter coming to an end, here’s an update on the Whatcom County businesses that have either announced they are closing or have already shut down in 2009. There are no official closure listings; this is something I compile on my own.
I have 25 closures, putting us on pace for 100. Last year’s total was 83, while the 2007 total was 35. In an upcoming post I’ll compile business openings of the first quarter.
Here’s the list. If there are closures I’ve missed or have wrong information, please let me know:
Le Rendez Vous Gift Art, Del’s Feed & Farm Supply, Play it Again Sports, Gamma’s Sports Cards, Emerald Bay Events, United Auto Electric, Kowloon Garden, Circut City, The Workshop, Instant Replays, BB Lumber, Daiso Japan, Greene’s Corner, Cameo Shoes, True Blue Boutique, Results Bellingham, Sir Rats, UPS Warehouse (Blaine), Select Comfort, Horizon Bank’s Alabama branch, Uncle’s Games, Carquest (Bellingham), Yak Magic, Boater’s World and Chispa.
I’m back from a trip to Southern California (unfortunately it was probably the one time of year when it was cold and rainy) so here are local biz items I’ve noticed while catching up:
– Supon’s Thai Food is opening on April 1 on 111 N. Samish, in the strip mall near Subway.
– The Dairy Queen on Iowa Street has put in a building permit application for a $75,000 remodel.
– Delia’s, a clothing store for teen girls, is coming to Bellis Fair. They’ve applied for a permit remodel. The remodel is valued at $175,000.
I’m a fan of lists, so here’s one I’m passing one along from Christine Lambden and Casey Connor, who have written a book called “Everyday Practices of Extraordinary Consultants.” They are a consultant team who has worked on hundreds of projects with all kinds of personalities:
Don’t Be That Guy! The 13 Most Annoying People To Work With
1. Pontification Person – This person goes on and on, telling you what their going to say, saying it and then telling you what they said.
2. Um Person – To avoid losing control of the conversation, this co-worker fills ever pause with “Um,” not realizing that they might be able to think better if they weren’t talking.
3. Too Much Detail Person - ‘nuff said.
4. 50,000 Foot-Only Person – He or she is eloquent when you talk about the big picture, but refuses to allow anyone to get into the details…which we all know is where the real work gets done. Unless you’re the CEO of a multi-national corporation, you have to be willing to work at any altitude.
5. Hypnotized-by-Email-Person – If you go to the trouble to think of a meeting topic, send out an invitation, invent an agenda and prepare slides, you naturally expect people who show up for your meeting to pay attention while you talk. Wireless technology has made it possible for people to multi-task very effectively, but there is nothing more defeating than presenting to the tops of the people’s heads because everyone at the conference table is hunched over his or her laptop.
6. Buzzword Person – This employee is annoying in meetings, team rooms and in cubicles. In fact, this person is just plain annoying all the time.
7. Foul Language Person – Much like Buzzword Person, this co-worker is obviously too lazy to think of the right words to express what they are thinking, if indeed they are thinking at all, but this person isn’t trying to impress you with his knowledge. They aren’t trying to impress you at all. They don’t care what you think of them.
8. Reiteration Person – If only the contribution you have to make at work is to restate what has already been said, you don’t have any contribution to make.
9. Too-Busy-To-Be-Prompt Person – If you are always late to work or every meeting, there is something wrong with the way you manage your schedule or time. Fix this behavior. It’s rude.
10. Can’t-Control-the-Meeting Person and their arch-nemesis Wants-To-Take-Over-the-Meeting Person.
11. Secondary-Conversation People – These folks are only annoying if their conversation is less interesting than the meeting.
12. Disagrees-With-Everything Person – This co-worker honestly believes he is just being practical, or serving as the Voice Of Reason, or playing Devil’s Advocate. This may be true sometimes, and even helpful occasionally, but when it becomes a habit, everyone else just tunes them out. Don’t give up your influence by being this person.
13. Obscure Metaphor Person – This employee is as annoying as the fool in a troupe of Morris dancers. (See? Wasn’t that annoying?).
Website: www.ConsultingStance.com
Once again I apologize for not blogging as much as I should. One of the challenges for me is getting as much local business news out as possible, and so they quickly turn into articles that get updated throughout the day. I get so wrapped up in reporting that it’s hard to shift into blogging.
With that said, here’s some news for the Biz Blog: Northwest Gifts has reopened at 4131 Meridian Street, next to the Meridian Cost Cutter. The retailer was open during the holiday shopping season, featuring locally made products.
Owners Shelley Johnson and Pamela Sorensen said they had quite a few people asking them to stay open year-round and to serve coffee. With that in mind, they re-opened with a new name - By Local @ Northwest Gifts - and have partnered with Guadalupe’s Coffee Roaster to sell espresso and other coffee drinks. They’ll also be selling Hammerhead Coffee Roasters. They’ll continue to have many other local products, including cheeses from Pleasant Valley, buffalo from Lone Boot Ranch and jellies, sauces and mustards from Aldrich Farms.
The business is open 7 a.m. to 7 p.m. Monday through Friday, 9 a.m. to 3 p.m. on Saturdays.
In today’s economic climate, there seem to be more job-related scams popping up. Below is a press release from the Better Business Bureau, warning about rebate processing:
BBB Warns Job Hunters to Steer Clear of Rebate Processing Job Scams
Tough Economy Raises Interest in Work-at-Home Jobs, but not all are Legitimate
DuPont, WA – February 9, 2008 – Better Business Bureau is warning job hunters to beware of opportunities to work from home processing rebates. While the job offer may claim that people can earn up to a thousand dollars a day without leaving the comfort of their home, BBB has received hundreds of complaints from victims nationwide who never earned a dime and were, in fact, ripped off for hundreds of dollars in upfront fees.
With the nation’s unemployment rate expected to hit a 25-year high in early 2009, work-at-home Web sites which promise big money for little or no experience are extremely tempting in the best of times. But now, with so many cash strapped families, they’re especially appealing. In 2008 alone, more than one million people checked with their BBB about the legitimacy of companies that offer work-at-home jobs. Unfortunately, BBB warns that most work-at-home opportunities, such as supposed “rebate processing” jobs, are ultimately scams.
“With the nation’s unemployment rate hitting double digits in some states, more families are desperately searching for ways to bring in income and these rebate processing scams lure them in with promises of big money for little work or no experience,” said Robert. W.G. Andrew, CEO of BBB Serving Alaska, Oregon, and Western Washington. “No one ever wants to lose money, but in these hard times, job hunters are getting scammed when they can least afford it.”
According to complaints on file and research conducted by the Los Angeles Better Business Bureau and the BBB serving Central, Coastal and Southwest Texas, the larger offenders — which have racked up hundreds of complaints from consumers nationwide — operate under such names as Angel Stevens and Cindy Dalton with Web addresses including www.processathome.com and www.rebateprocessorjobs.com. While the names might be different, the scam remains the same.
Victims stated that they paid an upfront fee anywhere from $40 to over $500 for a trial program earning money by processing rebates from home. By representing that the opportunity is affiliated with 11,000 companies including some household names like Hewlett Packard and Home Depot, complainants are deceived into thinking that the offer is legitimate.
Instead of guidance and a starter kit on processing rebates, victims report that they actually received instructions on how to make money by sending e-mails, posting blogs and paying for ads on the Internet in order to sell various products. The products being sold are marketed with a rebate and the victim allegedly makes money by receiving a percentage of sales for any products sold as a result of the ads they placed.
“Adding insult to injury, recent complainants state that after paying the initial fee of $359, they find that their credit card or checking account is charged each month thereafter for $59. The charges continue even though the victims cancel and demand refunds,” said Robert W.G. Andrew.
Complainants allege that they are victims of misleading advertising and demand their money back. A few complainants who decided to try placing Internet ads to earn money became dissatisfied after spending even more money on ads and additional training, but still failed to make the amount advertised.
The marketing language on “rebate processing” Web sites makes the offer sound risk-free and usually advertises a “90 day money back guarantee” or “100% Satisfaction Guarantee,” but complainants state that the companies failed to honor the guarantee. If they respond to requests for refunds at all, it’s usually with an excuse for not making the refund.
BBB offers the following advice to help job hunters avoid being taken advantage of by a work-at-home scam:
Beware of offers that sound too good to be true, including the promise of big bucks for little work or no experience.
Always check out the company’s BBB Reliability Report for free at www.bbb.org to see if the company has received a passing grade from BBB.
Never give your credit card or checking account information to an individual or business that promises employment. Legitimate employers never charge fees to prospective employees. Period.
Here’s a press release from the Better Business Bureau about the top industries consumers are complaining about in Western Washington. Based on the phone calls I get, this list seems about right. What do you think?
In an effort to guide consumers to make more-informed buying decisions, your Better Business Bureau announces the Top 20 industries that received the highest volume of consumer inquiries and complaints, for Western Washington, in 2008.
BBB receives thousands of requests for information on local businesses and industries everyday. Each year, your BBB reveals a list of its Top 20 most-complained-about industries. With the release of the Top 20 statistics, consumers are encouraged to get a BBB Reliability Report before doing business with a company.
The following lists represent the industries with the highest number of inquiries and complaints, for Western Washington, in 2008:
WESTERN WASHINGTON’S TOP 20 INQUIRIES AND TOP 20 COMPLAINTS
TOP COMPLAINTS:
1. Cellular Telephone Service/Supplies
2. Computers Software Services
3. Internet Shopping Services
4. Internet Services
5. Auto Dealers – New Cars
6. Travel Agencies & Bureaus
7. Collection Agencies
8. Banks
9. Searchers of Records
10. Telephone Communications
11. Auto/Used Cars
12. Auto Repair & Service
13. Plumbing Contractors
14. Apartments
15. Real Estate Management
16. Wholesalers & Distributors
17. Furniture - Retail
18. Contractors – General
19. Health Clubs
20. Roofing Contractors
I apologize for not posting in a while, it’s been busy on the local business beat the past week.
To sum up:
– Along with national layoffs, several small businesses are closing. Announced closures in the past week include Greene’s Corner, Cameo Shoes, Daiso, BB Lumber and Instant Replays consignment store.
– There has been plenty of economic reports these days, most of which are about real estate and unemployment.
– Contract negotiations continue for refinery workers across the country, including ConocoPhillips Ferndale refinery.
– Also a lot of economic meetings as government agencies/private businesses try to figure out what to do locally.
With so much stuff happening, I’m always worried about missing stuff. Is there anything else business-wise that we’ve overlooked?
On Sunday I wrote a column echoing the comments Hart Hodges has been making about the need to start asking the big picture questions about our economy.
Hodges, the director at Western Washington’s Center for Economic Business Research, has been talking to various organizations in recent weeks about what we, as a community, should be doing in terms of economic development. Here’s a Link to the column.
I’ve received several e-mails/comments about what those big-picture questions should be addressed. Here are a few, summed up:
1. Our local economy has become retail-driven and we need more economic diversity. What sectors should we be developing?
2. Getting a building permit and dealing with increased government regulations have become a huge hindrance to business growth. What are we going to do to fix this problem?
3. There’s a possibility of economic stimulus money coming to Whatcom County. What projects can get us the best bang for our buck?
4. What are our strengths and what are our weaknesses in Whatcom County?
So, what other questions should this community be asking? And what opinion do you have about the four questions? I’m hoping to keep the discussion going on what should be focusing on in our economy.
The New York Times had an interesting article with the headline “Banks foreclose on builders with perfect records.” Here is a Link.
The article centers around an Arizona homebuilder who had never missed a payment on loans, but JP Morgan Chase became concerned about his drop in revenue and demanded millions of dollars in additional collateral to continue carrying his loans. It drove the company out of business.
I bring this up to show how difficult it is to unstick this credit freeze. What will it take to get banks confident in lending again? The article predicted there will be a surge in homebuilder closures across the U.S. as a result of this tightening.
Here’s a question for business owners and homebuilders: Are you seeing credit continue to tighten, or are things getting better?
Back Porch Alley, the restaurant going in on North State Street near The Bellingham Herald building, is now shooting for a 5 p.m. Friday, Jan. 16 opening. Co-owner Layne Southcott was hoping to have it ready for today, but they need to do some finishing touches after getting final approved for permits, including the liquor license.
Along with southern-style food, they plan to feature jazz and blues music, starting on Friday.
Here’s a press release from SCORE giving tips to small-business owners. Let me know what you think, and please add anything you’ve learned during these tough times.
SCORE offers tips for small business owners on Five Recession Pitfalls to Avoid:
– Cutting expenses too slowly. Don’t cut expenses a little bit at a time. Now is the time to look at expenses and decide whether your company needs to cut expenses five, 10 or up to 20 percent. Do what it takes early in the year and bring costs down.
– Maintaining the same product and service mix. Your needs are changing. You can bet your clients needs have changed too. Call your existing clients and ask them what they need. Then, design your product service mix around those needs.
– Reducing marketing instead of focusing on marketing. The company that stands tall, strong and visible in the marketplace has stature and status. Differentiate with strong marketing to drive leads and sales.
– Lacking systems to free up your time. Streamline your business and become more efficient. Use a handheld organizer to keep track of phone numbers, dates, appointments and meetings. Set a time each week to handle routine tasks, bills and paperwork.
– Keeping everything to yourself. Your team knows the economy is tough and wants to understand what the company is facing and how, together, you can make it through. Lead toward a brighter future by focusing your efforts on today.
For more information about starting or operating a small business, call 1-800/634-0245 for the SCORE chapter nearest you. Visit SCORE on the Web at www.score.org and www.score.org/women.
There’s a new lawn care company coming to Bellingham that uses environmentally friendly equipment to get things done.
Clean Air Lawn Care is opening franchises in progressive areas where people are concerned about their quality of life, and Bellingham fits that profile, according to a company press release.
“This is our first year franchising and we selected Bellingham as one of the top 25 target areas in the country,” said Kelly Giard, company CEO.
Clean Air Lawn Care is a lawn maintenance company that uses electric and biodiesel powered equipment. The vehicles that haul this equipment have mounted solar panels, which are used to charge the electric equipment during the workday. All grass clippings are mulched or composted
In 2007, the Colorado-based company opened eight locations across the country, including Seattle and Portland. The company decided on franchising to continue the growth.
The Bellingham franchise is owned by Robert Brulotte. The company will begin operations locally in late February.
Supervalu, which owns a variety of grocery supermarkets, announced last week it would close 50 stores, many of them from the Albertsons chain.
According to a spokeswoman at Supervalu, no stores in Washington will be closing as a result of the annoucement, so the Bellingham store on Northwest Avenue is spared.
Along with the closures, the company is also cutting back on its remodeling projects in order to save money.
Once again Bellingham has the highest gas among Washington metro areas.
According to AAA Washington, the average price for gas in Bellingham today is $2.04 a gallon, up from $1.77 a month ago. Many areas are in the $1.90-a-gallon range, while Spokane has the lowest average at $1.60 a gallon.
After being the price leader in the spring and summer, Bellingham’s average was around the middle of the pack most of last fall and early winter.
The Paperdoll is having a liquidation sale at its Fairhaven location, near the Village Green.
A sign on the front window states they are going to be closing that location and concentrating on its downtown spot, which opened late last year.
A reader asked about what’s happening with gas prices in Whatcom County, which are ranging from the $1.70-a-gallon range to the $2.05-a-gallon range.
It’s hard to get a straight answer on gas prices, because there are so many factors, but my guess is it is because of the volatility in crude oil prices (it was going up when the Gaza conflict started a few weeks ago, but then began dropping over recession concerns and dropping demand). When there’s volatility, gas stations react differently, so we see variations in prices.
Wow, what a week! With all of the flooding news, combined with Western Washington’s announcement that it will cut the football program, it sure has been a scramble trying to get all the information we can out to readers. With all of that happening, some significant business news also took place this week:
– Year-end home sales numbers from Lylene Johnson of The Muljat Group showed a 4.5 percent drop in the median price and a 26.4 percent drop in home sales year-over-year;
– Alcoa Intalco Works, responding to a drop in aluminum prices and a general economic slowdown, is cutting another 80 Intalco positions and 10 contractor jobs;
– The catering company Emerald Bay Events will be closing at the end of February, shutting its Bellingham and Ferndale facilities.
There’s also a slew of year-end reports about Whatcom County coming out in the coming weeks, which should give us some numbers to work with about what happened at the end of the year.
Is there business news I’ve been missing? Any store closures or openings in the past few days? Any tips are always appreciated.
A reader recently asked for business owner tips to help get through this tough economy. Tom Dorr of Western’s Small Business Development Center has a Top 10 list of why new businesses fail, which has good information for anyone trying to survive these days. Here they are:
1. Relying on one, two or three major customers. Large concentrations in your customer base render your business vulnerable. Diversifying helps spread your operating risk.
2. Not putting in enough hours. Dorr said business owners need to put in 50 to 60 hours a week for the first two years. The first couple of years is crucial to nurturing the business.
3. Selecting the wrong location. Visibility, convenient access for customers and a favorable lease are very important success factors.
4. Excessive employee turnover. Dorr points out that even if it’s a brilliant business model, you can’t implement it all by yourself.
5. Poor service or shoddy products. Establishing goodwill is critical, because good (and bad) references get around town quickly. I personally hear from readers pretty quickly about the customer service of a new business, so if I’m hearing about it, they must be telling a lot of other people.
6. Expanding too fast. Rapid growth requires a tremendous amount of cash flow. It also stretches the limits of a person’s management skills.
7. Starting the business without enough capital. Not having enough money hurts, especially when new customer opportunities arise.
8. Getting into the wrong business. Don’t start something you know nothing about.
9. Poor cash flow/money management. Budgeting, borrowing money and managing cash flow are the basics that sometimes get missed.
10. No written strategic plans. Dorr said a business plan is a must, updating it annually. It’s amazing how many don’t start with a business plan and are gone within a year.
If you haven’t seen it yet, Paul Krugman had an interesting piece in The New York Times about how things are starting to look like the second Great Depression, and things better be addressed soon. Here is the Link.
The Great Depression has been bantered about on blogs in recent months, but now the latest Nobel Prize winner is writing about it, saying the latest economic numbers look “terrifying.” His message was the need to act quickly; if a stimulas plan gets bogged down in Congress for months, it will not be effective in getting the economy back on track.
It does seem we’re a crucial point… A new year, a new administration, a lot of things happening so fast in this economy… and we’re waiting to see what will happen. What do you think is next for the U.S. economy?
Okay, I’m back from vacation and ready to tackle some of your comments (from the previous post). Thanks for the comments on topics I should be posting, keep them coming:
Here are the responses to those comments:
– Allegiant question: I’m still trying to track that down, sorry for the delay, Matt.
– McClatchy stock price woes: Scott Ayers has taken up that thread in the Opinion Blog, echoing a lot of the thoughts I had. Since I’m merely a worker bee in the company, I don’t have any more insight than that what I read about in blogs, articles and trade publications. In the newsroom, we haven’t been told anything new about the future of the company other than the normal planning we do.
– Tips on succeeding in a down economy: You bet! I’ll chat with some of the local folks at the SBDC, SCORE and WorkSource and start coming up with some stuff.
– Energy usage/recession: Another good topic, I’ll do some research and see what I can come up with.
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