West Chester's "First Block" changes ownership

While it may not appear to have been mostly empty from the outside, it has been over a year since the county moved most of it's offices out of the "first block" and put the 153,000 square foot parcel up for bid. As of yesterday, the Chester County Commissioners accepted the bid by 2 North High Street Associates, a partnership headed by Eli Kahn and Jack Loew. Paying 4.5 million, they were selected over the bid submitted by Stan Zukin and his partner, Penguin Real Estate Investors. The 4.5 million is far lower than the 15 million the space was estimated to be worth in February of this past year.

The Historic Chester County Courthouse has stood in the center of downtown West Chester since 1846 and was designed by the famous Thomas U. Walter who also designed the dome of the United States Capital. This parcel has been kept by the County and is to be preserved at an estimated cost of 3 million. The majority of the center square of downtown West Chester will be redesigned by Kahn and Loew.

Of particular interest to town residents is the building previously held the Mosteller Department store. A vocal group has demanded that this building be preserved. On September 14th, in an article in the Daily Local News, by MICHAEL P. RELLAHAN, he writes that Kahn and Loew have said they would work with borough officials and residents to find an appropriate way to either renovate the Mosteller property and the other buildings or redevelop them, but they have given no assurances that the Mosteller property would be saved. Meanwhile, Zukin had publicly promised to save the building as a cornerstone of the borough’s historic “First Block” with a mix of retail, office and residential. useshttp://www.dailylocal.com/articles/2011/09/14/news/doc4e6fd98be06a3953364142.txt

There is no doubt that the design and development of this critical central piece of property will effect how West Chester is experienced for residents and visitors for decades if not centuries to come. West Chester became the county seat in 1786. Some feel West Chester has changed dramatically over it's 200 plus year history, while other see it as holding onto it's traditional charm.

One major hurdle we have seen time and time again for small businesses in West Chester is gaining ownership of the buildings in which they operate. High rental costs can drive them out of business or to other locations. A healthy and vibrant economic community attracts more visitors and supporters of local businesses. Hopefully the Kahn/Loews plan will take both economic stimulus and small business owner success into account as they take on the very large responsibility of designing for West Chester's future.

Take a fun ride on Paradise Transit

With a motto of "we keep the party rolling" you might be surprised to find that owner Jared Savidsky has safety as his top priority when he originally envisioned Paradise Transit. As a student at West Chester University, he saw a great need was left unmet. Nearly a decade earlier, others had tried to orchestrate a shuttle service between the University and downtown, but none were successful. Following graduation, Jared started working on a business plan and has since created an environment where students can enjoy the trip into town, without worry about walking home alone or driving under the influence. Well into his second year of service, Jared has amassed quite a large following by residents and students alike. The bus runs a loop stopping at points around West Chester University and through downtown West Chester.

You may have seen his shuttle driving around town at night, the bus runs Thursdays through Saturdays from 7pm to 3am. The loop is not his only service, the bus is also for hire for private parties. The interior is a comfortable, lively environment with TV screens and optional digital lighting. It would be great for a group trip to a Phillies game or an alternative to a limo service for an evening event.

You can visit http://www.paradisetransit.com/services.html and learn more about Paradise Transit services.

Would you like to join an Angel network?

The largest Accredited Angel investor and private equity network, Keiretsu Forum, has opened a new chapter in Philadelphia with the help of Howard E. Lubert. He visited West Chester University's Graduate School of Business to speak to the students and business people who attended the Cottrel Entrepreneurial Center's Networking breakfast this morning.

After only two months in operations, his chapter is already receiving 10-12 applications a month from eager entrepreneurs looking for Angel funding. The beauty of the Keiretsu Forum's operational system is a formal review process that opens the doors to entrepreneurs who previously needed to know the right person to access Angels. Both pre-revenue and operational start-ups are welcome to apply and, after an initial screening, are given an opportunity to briefly present their plan to the group.

Mr. Lubert is founder and managing partner of Safehatch, a tech focused due diligence company. After 20 years of technical due diligence, Mr. Lubert has developed a model against which to evaluate technology start-ups that can be expanded to most business types. Imagine a stool with three legs. The three legs can be of different sizes, materials, or thicknesses but must join to support the seat. The three legs represent the people, the plan and the technology that will support the marketplace. You can read more about the Keiretsu Forum and this model at the Keiretsu Forum's website. http://www.keiretsuforum-phl.com/.

Like the West Chester LLC, The Philadelphia Keiretsu Forum supports economic development in our region by connecting investors to new businesses. For the Philadelphia area, and the Greater West Chester Area in particular, we must embrace and embolden small businesses to sustain and grow our communities.

Heros Breakfast - Congratulations to the Literacy Heros!

This morning it may have been raining and dreary outside but the mood was festive and inspired inside the Ballroom at Longwood Gardens for the West Chester Public Library's annual event. Today was the Heros breakfast, where local Chester County literacy heros are honored. All contributions and proceeds benefit the library, enabling it to continue to be a center of learning, fun and development in town. The West Chester LLC, as a contributing sponsor, selected Noemi Viveros as the Adult Literacy Hero. Noemi has been a pioneer of bilingual outreach supporing the spanish speaking community in our area as a teacher, an intrepreter and a community developer, helping hundreds of people. She is just one of the many unsung heros who help people learn to read and communicate essential aspects of living. Please take a moment to check out the other heros at the West Chester Public Library's website and consider giving to the library to help it continue to improve our lives. http://wcpubliclibrary.org/2011/02/who-are-our-heroes/ I also want to congratulate the library on a wonderful event, well done!

Historical Preservation is encouraged in West Chester

Over the past year plans to expand on the mission of Historic Preservation in West Chester has been embraced by our local government and the Business Improvement District. Ray Ott, with the help of Jane E. Dorchester, finalized the West Chester Comprehensive Historic Preservation Plan in early March.

The West Chester BID website describes the plan as including a history of the borough, an inventory of historic resources, local preservation programs and ordinances; as well as an evaluation of current/future needs and an action plan. Check out BID's recent update.

What does this mean for new business owners? As a new or hopeful small business owner in West Chester, you will want to familiarize yourself with the ordinances and requirements of the renovation and display guidelines set up by HARB (Historic Architectural Review Board) before you start making plans for your new site. HARB regulations

It is also advised to make an appointment with the Business Improvement District's Executive Director, Malcolm Johnstone, as he is a valuable resource in how the historic preservation requirements can be met. He is also interested in the success your business and can offer many suggestions on how to avoid pitfalls here in West Chester.

Truly, there are many items to consider before opening a business. It is wise to gain an understanding of what requirements exist where you want to open shop. If you locate within the West Chester Historic district your exterior signage and building improvements must also be approved by HARB in order to move ahead. Before you put your investment dollars into your branding make sure you understand the overall look and feel that West Chester's planners are going for and you can save a great deal of hassle and expense. The Historic Preservation plan, in conjunction with other market research, will help develop your understanding of the overall character that residents of West Chester plan to encourage to see how your business will fit into the mix.

Add your business vision to West Chester’s Eclectic Mix

Restaurants, hair salons, artists, jewelry experts, designer clothing shops, veterinarians, accountants, lawyers, shoe repairs, tattoos, live music, bicycles, running and fitness, printers, travel agents, sunglasses, tuxedos, interior design, event planning…the list goes on and on. Somewhere along the way, all of these businesses were just an idea in somebody’s head. That entrepreneur turned an idea into a reality. They went through the process of determining what they needed to be successful. At some point, they needed start up capital to get things going. It is essential to success that you get the capital you need and feel positive about where it has come from. A few tips gleaned from an article I found in Bloomberg Business from January 2007 by Christine Comaford-Lynch are right on target (www.businessweek.com/print…)

How much money is enough? You want to have enough to keep the company running and also be able to hit specific milestones, showing increased value in time for your next round of capital raising.

When to raise the capital? It will depend on where it is coming from. You need to know what timeframes to expect and recognize that the process of finding (and being approved for) funding almost always takes longer than expected, so add cushion into your financing plan.

Bank loans, especially in our new lending environment, can take 4-6 months or as little as 2-3 months if you have an excellent banking relationship already established. You also better have a nearly perfect credit history before you start down the path to traditional bank loans. If you are thinking of being operational in 2 years, and you need to tidy up your credit history, take actions immediately to become more credit worthy. Check out this site to find out a few simple steps that can make a large difference. http://www.ehow.com/how_7441749_improve-credit-llc.html

Government backed SBA loans can take some of the credit history burden off of you, if you qualify, the SBA is able to back some applicants who might be on the edge of qualifiying for a small business loan. This program was boosted by the Small Business Jobs Act, signed by President Obama on September 27, 2010, in an effort to get small businesses back on track. Read more about SBA loans here: http://www.sba.gov/category/navigation-structure/loans-grants/small-business-loans/sba-loan-programs/sba-loan-queue

If you’re looking for Angel or Venture Capital, your lag time can vary widely between 3 to 12 months, and most granting agencies/organizations will take a year to review and approve your application.

Ideally you should start the process of raising capital 6 to 9 months before you will need it. Again, ideally, you’ll also need to plan your outreach at or around times that you are hitting your milestones, as you will seem like less of a risk when you can show potential profits ro objectives being met in the near future.

Choosing whom to work with is the most important aspect of your capital raising campaign. You will be working with this person or organization for years, make sure you respect them and feel comfortable communicating with them.

Will your investor be an active or passive participant in the process? Active money will work closely with you, potentially introducing you to sales prospects and expecting a say in how you execute your business plan. Passive investors will not require time-consuming directives and will leave you entirely in charge (and responsible) for success.

Take the time you need to adequatly evaluate where your financing will be coming from and what the details mean to you in your plan. You will want to understand exactly what is expected of you upfront, so that you are not surprised once you have accepted your lenders terms and conditions. This can enable you to develop long standing professional lending relationships that could allow you to persue even larger ideas that you have not even imagined yet.

West Chester’s Best Trait

West Chester’s small business community is made up of a cornucopia of business styles, a vast spectrum of personalities and a wide array of personal stories. While just about everyone has an opinion on most of our goings-ons in town, nearly all agree that West Chester’s business owners and residents are at the heart of our experience here. In a small town such as ours, we all benefit when our local merchants and service providers can make payroll or expand a product line. As neighbors, whether you agree on borough council’s latest decision or not, we all come together to support and spend our dollars in this quintessential Pennsylvania small town we call home.

This past New Years Eve a friend asked me what it is that I like best about West Chester. There were so many reasons, I found that I needed to spend a little time narrowing down my answer. Having called 8 other places home I actually surprised myself. My list includes some large cities and some small towns that make West Chester look like a metropolis; San Francisco, Tampa, Boston, Brooklyn, Berkeley, Cape Cod, Wilmington and upstate New York. I realized that while West Chester is not as diverse a population as San Francisco, Brooklyn or Tampa and is not as pristine and quaint as Osterville, Cape Cod, or Piedmont, CA, it is a place focused intensely on our community. We are not all alike in West Chester, yet we must co-exist and we do so with civility. We are primarily comprised of good natured and hard working citizens who will step up and take a stand for what we feel is right and yet, seeing as we may find that ourselves across the aisle from our barber or our accountant, we (by and large) behave our selves.

West Chester is by no means perfect, but ours is a community of earnest people trying hard to make their contribution to its success. Some say that it isn’t the easiest place to break into but one way to get better connected is to join a group who is working to improve West Chester in some way, or, better yet, start something new that is close to your heart. Whether your efforts focus on a solely humanitarian project or a new business venture, your contribution will add to the textured fabric of West Chester’s diverse offerings. We need efforts that stimulate economic growth just as much as we need projects that are more philanthropic in nature. Turning your passion into a financial pursuit or a non-profit service is good for your soul and for our community. West Chester’s residents contribute to our socioeconomic blueprint and make us a stronger healthier community, we truly do buy locally, invest locally and help our community to grow locally. I find this to be our finest trait. If you are looking to start a business, the West Chester LLC may be able to supply a portion of the capital you need to get started or at the very least introduce you to other potential partners.