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Originally Processed With FOIA(s): FOIA Number: S S FOIA MARKER This is not a textual record. This is used as an administrative marker by the George Bush Presidential Library Staff. Record Group/Collection: George H.W. Bush Presidential Records Collection/Office of Origin: Speechwriting, White House Office of Series: Speech File Backup Files Subseries: Chron File, 1989-1993 OA/ID Number: 13718 Folder ID Number: 13718-003 Folder Title: Small Business Person of the Year 5/8/90 [OA 6898] Stack: Row: Section: Shelf: Position: G 26 20 5 6 SMALL BUSINESS WEEK AWARDS CEREMONY / ROOM 450 TUESDAY, MAY 8, 1990 / 2:00 P.M. THANK YOU. AND WELCOME TO THE WHITE HOUSE. SORRY ABOUT THE DELAYS GETTING EVERYONE IN. BUT I'VE GOT SOME GOOD NEWS: You DON'T HAVE TO SHOW A PICTURE I.D. TO GET OUT. 111 IT'S GOOD TO SEE MY FRIEND BoB MOSBACHER HERE, WHO'S DOING SUCH AN OUTSTANDING JOB AS AMERICA'S SECRETARY OF COMMERCE. SUSAN ENGELEITER OF THE SBA. - 2 - THE PEOPLE GATHERED HERE COME FROM THE 50 STATES AND BEYOND, HOMETOWN HEROES WHO ARE "LEADING AMERICA INTO THE 21st CENTURY," AS THE THEME FOR SMALL BUSINESS WEEK PROCLAIMS. AND TODAY MARKS A WONDERFUL OCCASION -- NOT ONLY FOR THEM -- BUT ALSO FOR OUR NATION AND OUR FUTURE. - 3 - SMALL BUSINESS IS THE BACKBONE OF THE U.S. ECONOMY, CREATING TWO OUT OF EVERY THREE NEW JOBS, EMPLOYING HALF THE PRIVATE WORKFORCE, ACCOUNTING FOR NEARLY 40 PERCENT OF AMERICA'S GROSS NATIONAL PRODUCT. IT'S ONE OF THE REASONS AMERICANS ARE ENJOYING THE LONGEST ERA OF PEACETIME GROWTH IN OUR HISTORY. - 4 - BUT OF COURSE, THE MAGIC OF SMALL BUSINESS IS NOT IN THE POWER OF ITS NUMBERS -- BUT IN THE POWER OF ITS DREAMS. EACH OF YOUR BUSINESSES BEGAN AS THE DREAM OF ONE MAN OR ONE WOMAN -- AND SOON BECAME A DREAM FOR MANY OTHERS. - 5 - I LOOK AT PEOPLE LIKE PHYLLIS APELBAUM, ONE OF TODAY'S FINALISTS, WHOSE MESSENGER SERVICE IN CHICAGO PROVIDES JOBS FOR OVER A HUNDRED PEOPLE IN TRANSITIONAL NEIGHBORHOODS. EVERY JOB YOU CREATE CAN MEAN ANOTHER FAMILY WITH A FUTURE, ANOTHER FAMILY WITH HOPE, ANOTHER FAMILY WITH A CHANCE FOR THE AMERICAN DREAM. As A FORMER SMALL BUSINESSMAN, I KNOW FIRST-HAND THE STRUGGLES OF ENTREPRENEURS AND GROWING BUSINESSES, THE COMBINATION OF ADRENALINE AND ANXIETY, THE ADVERSITY, THE ADVENTURES THAT FILL YOUR DAYS. - 6 - IOWA'S BARNEY ROBERTS STARTED HIS EMPIRE OUT OF HIS BASEMENT. DAVID MATTHEWS BEGAN HIS IRONWORKS ON AN ARKANSAS MOUNTAINTOP WITHOUT ELECTRICITY OR RUNNING WATER. OATMEAL STUDIOS'S GREETING CARDS WERE LAUNCHED AT A PLACE CALLED THE FROG HOLLOW CRAFT CENTER. AND PHYLLIS SLEPT ON THE FLOOR AND WAS TOLD "No" 17 TIMES BEFORE HER MESSENGER BUSINESS WAS LICENSED. - 7 - BY HER OWN DESCRIPTION, PHYLLIS BROKE THE LOGJAM WHEN SHE WALKED INTO THE COMMISSIONER'S OFFICE -- AND I QUOTE -- "SCREAMED LIKE A FISH SELLER ON MAXWELL STREET." III AND PHYLLIS -- WE'RE NOT GOING TO ASK FOR A DEMONSTRATION. III ALL FOUR ARE AMERICAN SUCCESS STORIES. ALL FOUR KNOW THAT NO NATION EVER DROWNED IN SWEAT. - 8 - AND ALL FOUR KNOW THAT GOOD CITIZENSHIP IS GOOD BUSINESS, REACHING OUT FROM THEIR COMMUNITIES TO THE HOMELESS, THE SPECIAL OLYMPICS, AND OTHERS. THEIR RULES ARE SIMPLE. AND THEY MAKE SENSE. "PEOPLE ARE OUR BEST ASSETS," SAYS BARNEY. "TAKE CARE OF THEM AND THEY WON'T LEAVE." PHYLLIS SAYS: "You HAVE TO LOVE WHAT YOU'RE DOING." DAVID'S TIME-PROVEN FORMULA FOR SUCCESS NEEDS JUST THREE WORDS: "NEVER SACRIFICE QUALITY." - 9 - AND OATMEAL GREETING CARDS' JOE MASSIMINO [MASS-A-MEEN-o] DESCRIBES THEIR BRAND OF HUMOR AS "Not CORNY, NOT PUNNY, NOT BIZARRE, NOT OFFENSIVE." I'M NOT THE FIRST PRESIDENT TO RECOGNIZE AND APPRECIATE THE IMPORTANCE OF SMALLER COMPANIES. TODAY IS HARRY TRUMAN'S BIRTHDAY, AND, AS ALWAYS, HE TOLD IT LIKE IT IS. - 10 - HE SAID: "You DON'T HAVE A PROSPEROUS COUNTRY UNLESS THE LITTLE MAN -- THE FARMER, THE WORKER, THE SMALL BUSINESSMAN -- IS WELL OFF. AND WHEN THE LITTLE MAN PROSPERS, BIG BUSINESS GETS ALONG JUST FINE." THAT IS WHY ONE OF MY PRIORITIES AFTER ASSUMING OFFICE WAS TO DEVELOP FEDERAL POLICIES THAT PROMOTE AND SUPPORT THIS VITAL SECTOR OF OUR ECONOMY. WE'RE REVITALIZING THE SMALL BUSINESS ADMINISTRATION. - 11 - WE'RE WORKING TO ENSURE THE INTERESTS AND CONCERNS OF SMALL BUSINESS ARE MADE PART AND PARCEL OF EFFORTS SUCH AS FEDERAL CONTRACT PROCUREMENT. AND WE NEED YOUR SUPPORT ON ONE OF THIS YEAR'S TOP LEGISLATIVE PRIORITIES: A TAX CUT ON CAPITAL GAINS. III ESPECIALLY FOR SMALL BUSINESSES AND ENTREPRENEURS, IT WILL HELP ATTRACT START-UP CAPITAL, PROVIDE MORE LONG-TERM INVESTMENT, CREATE NEW JOBS, AND HELP LEVEL THE PLAYING FIELD WITH OUR TRADING PARTNERS. - 12 - THE STRENGTH OF AMERICA LIES WITH THOSE WHO ARE WILLING TO TAKE A CHANCE IN SMALL BUSINESS AND BUILD FOR THE FUTURE. IT IS HERE YOU FIND THE DETERMINATION, THE INGENUITY, AND THE VISION THAT HAVE CREATED THE ENTERPRISES WHICH DRIVE OUR ECONOMY AND ENRICH OUR LIVES. IT IS AROUND SMALL BUSINESSES THAT YOU FIND COMMUNITIES GROWING AND PROSPERING. - 13 - IT IS HERE WHERE WOMEN AND MINORITIES MAKE THEIR MARK AS BUSINESS OWNERS. IT IS HERE WHERE YOU FIND so MANY OF THE THOUSAND POINTS OF LIGHT THAT ARE AIDING THOSE IN NEED ALL ACROSS AMERICA. WE CAN TAKE PRIDE IN THE FACT THAT NATIONS AROUND THE WORLD ARE USING SMALL BUSINESS IN THE UNITED STATES AS A MODEL FOR ECONOMIC GROWTH. - 14 - SMALL BUSINESS IS AMERICA AT ITS BEST -- AND IT IS A PLEASURE FOR ME TO RECOGNIZE THOSE WHO HAVE EXCELLED IN THIS VITAL FIELD OF ENDEAVOR. CONGRATULATIONS. THANKS. AND GOD BLESS THE UNITED STATES. (AND NOW, I'LL TURN THE PODIUM OVER TO SUSAN TO PRESENT TODAY'S AWARDS.) # # # McNally/Simon May 3, 1990 Draft Two (B:SBA) PRESIDENTIAL REMARKS: SMALL BUSINESS WEEK AWARDS CEREMONY ROOM 450, O.E.O.B. TUESDAY, MAY 8, 1990, 2:00 P.M. Thank you. And welcome to the White House. Sorry about the delays getting everyone in. But I've got some good news: You don't have to show a picture I.D. to get OUT. III It's good to see Susan Engeleiter, who's doing such an outstanding job as America's SBA Administrator. And it's always a pleasure to welcome so many distinguished members of Congress down to this end of Pennsylvania Avenue. III The people gathered here come from the 50 states and beyond, hometown heroes who are "leading America into the 21st Century," as the theme for Small Business Week proclaims. And today marks a wonderful occasion -- not only for them -- but also for our Nation and our future. Small business is the backbone of the U.S. economy, creating two out of every three new jobs, employing half the workforce, accounting for nearly 40 percent of America's Gross National Product. It's one of the reasons Americans are enjoying the longest era of peacetime growth in our history. And it's one of the reasons the economic indicators for March -- chalking up the biggest increase in nearly two years -- continue to promise a growing economy in the months ahead. But of course, the magic of small business is not in the power of its numbers -- but in the power of its dreams. 2 Each of your businesses began as the dream of one man or one woman -- and soon became a dream for many others. I look at people like Phyllis Apelbaum, today's First Runner-Up, whose messenger service in Chicago provides jobs for over a hundred people in transitional neighborhoods. Every job you create can mean another family with a future, another family with hope, another family with a chance for the American dream. As a former small businessman, I know first-hand the struggles of entrepreneurs and growing businesses, the combination of adrenaline and anxiety, the adversity, the adventures that fill your days. Iowa's Barney Roberts [ [SMALL BUSINESS PERSON OF THE YEAR]] started his empire out of his basement. Jim Harrold [TIED, 2nd RUNNER-UP]] overcame both polio and the bankruptcy of his predecessor. Oatmeal Studios's [[TIED, 2nd RUNNER-UP] greeting cards were launched at a place called the Frog Hollow Craft Center. And Phyllis slept on the floor and was told "No" 17 times before her messenger business was licensed. By her own description, Phyllis broke the logjam when she walked into the Commissioner's office -- and I quote -- "screamed like a fish seller on Maxwell Street." III And Phyllis -- we're not going to ask for a demonstration. III All four are American success stories. All four know that no nation ever drowned of sweat. And all four know that good citizenship is good business, reaching out from their communities to the homeless, the Special Olympics, and others. 3 Their rules are simple. And they make sense. "People are our best assets," says Barney. "Take care of them and they won't leave. " Phyllis says: "You have to love what you're doing." Jim's print shop formula for success needs just three words: "We meet deadlines." And Oatmeal greeting cards' Joe Massimino describes their brand of humor as "Not corny, not punny, not bizarre, not offensive." (Not bad, Joe. Sounds like a review of one of my speeches.) I'm not the first President to recognize and appreciate the importance of smaller companies. Today is Harry Truman's birthday, and, as always, he told it like it is. He said: "You don't have a prosperous country unless the little man -- the farmer, the worker, the small businessman -- is well off. And when the little man prospers, big business gets along just fine." That is why one of my priorities after assuming office was to develop federal policies that promote and support this vital sector of our economy. We're revitalizing the Small Business Administration. We're working to ensure the interests and concerns of small business are made part and parcel of efforts such as federal contract procurement. And we need your support on one of this year's top legislative priorities: A tax cut on capital gains. 111 The strength of America lies with those who are willing to take a chance in small business and build for the future. It is here you find the determination, the ingenuity, and the vision 4 that have created the enterprises which drive our economy and enrich our lives. It is around small businesses that you find communities growing and prospering. It is here where women and minorities make their mark as business owners. It is here where you find so many of the Thousand Points of Light that are aiding those in need all across America. We can take pride in the fact that nations around the world are using small business in the United States as a model for economic growth. Small Business is America at its best -- and it is a pleasure for me to recognize those who have excelled in this vital field of endeavor. Congratulations. Thanks. And God bless the United States. # # # McNally/Simon May 1, 1990 Draft One (B:SBA) PRESIDENTIAL REMARKS: SMALL BUSINESS WEEK AWARDS CEREMONY ROOM 450, O.E.O.B. TUESDAY, MAY 8, 1990, 2:00 P.M. Thank you. And welcome to the White House. Sorry about the delays getting everyone in. But I've got some good news: You don't have to show a picture I.D. to get OUT. \\\ It's good to see Susan Engeleiter, who's doing such an outstanding job as America's SBA Administrator. And it's always a pleasure to welcome so many distinguished members of Congress down to this end of Pennsylvania Avenue. Lori Frits The people gathered here come from the 50 states and beyond, SBA hometown heroes who are "leading America into the 21st Century," as the theme for Small Business Week proclaims. And today marks a wonderful occasion -- not only for them -- but also for our Nation and our future. X Lori Small business is the backbone of the U.S. economy, creating Frits two out of every three new jobs, employing half the workforce, SBA accounting for nearly 40 percent of America's Gross National Product. It's one of the reasons Americans are enjoying the BB BBA 12/89 longest era of peacetime growth in our history. And it's one of 1 USA the reasons the economic indicators for March -- chalking up the Today 5-3-90 biggest increase in nearly two years -- continue to promise see file strong and sustained economic growth. But of course, the magic of small business is not in the power of its numbers -- but in the power of its dreams. 2 Each of your businesses began as the dream of one man or one woman -- and soon became a dream for many others. I look at SBA people like Phyllis Apelbaum, today's First Runner-Up, whose fact messenger service in Chicago provides jobs for over a hundred sheet people in transitional neighborhoods. Every job you create can mean another family with a future, another family with hope, another family with their own crack at the American dream. Looking Forward As a former small businessman, I know and understand first- hand the struggles of entrepreneurs and growing businesses, the combination of adrenaline and anxiety -- of ability and agility the alliances, the adversity, the adventures that fill your days. Iowa's Barney Roberts [[SMALL BUSINESS PERSON OF THE SBA business fact YEAR]] started his empire out of his basement. Jim Harrold sheet [[TIED, 2nd RUNNER-UP]] overcame both polio and the bankruptcy of his predecessor. Oatmeal Studios [TIED, 2nd RUNNER-UP]] was first came success launched at a place called the Frog Hollow Craft Center. And Phyllis slept on the floor and was told "No" 17 times before her messenger business was licensed. By her own description, Phyllis broke the logjam when she Chicagoes 12-18-89 walked into the Commissioner's office -- and I quote -- "screaming like a fish seller on Maxwell Street." \\\ And Phyllis -- we're not going to ask for a demonstration. \\\ All four are American success stories. All four know that no nation ever drowned of sweat -- and go to work each morning like they're planting the flag at Iwo Jima. And all four know 3 that good citizenship is good business, reaching out to their communities from the homeless to the Special Olympics. Their rules are simple. And they make sense. "People are SBA our best assets," says Barney. "Take care of them and they won't fact leave." Phyllis says: "You have to love what you're doing." sheets x Jim's print shop formula for success needs just three words: "We meet deadlines." And Oatmeal greeting cards' Joe Massimino describes their brand of humor as "Not corny, not punny, not bizarre, not offensive." ? (Not bad, Joe. Sounds like a Washington Post review of one of my speeches. ") And I'm not the birst President to 2nd time As a former small businessman, I also recognize and appreciate the importance of smaller companies. Today is Harry Truman's birthday, and, as always, he told it straight and HST simple. He said: "You don't have a prosperous country unless 10-10-52 the little man -- the farmer, the worker, the small businessman see file -- is well off. And when the little man prospers, big business gets along just fine." That is why one of my priorities after assuming office was to develop federal policies that promote and support this vital sector of our economy. We're revitalizing the Small Business Administration. We're working to ensure the interests and concerns of small business are made part and parcel of efforts such as federal contract procurement. And we need your support on one of this year's top legislative priorities: A tax cut on capital gains. III 4 The strength of America lies with those who are willing to take a chance in small business and build for the future. It is here you find the determination, the ingenuity, and the vision that have created the enterprises which drive our economy and enrich our lives. It is around small businesses that you find communities growing and prospering. It is here where women and minorities make their mark as business owners. It is here where you find so many of the 1000 Points of Light that are aiding those in need all across America. We can take pride in the fact that nations around the world are using small business in the United States as a model for economic growth. Small Business is America at its best -- and it is a pleasure for me to recognize those who have excelled in this vital field of endeavor. Congratulations. Thanks. And God bless the United States. # # # Harry Truman [289] Oct. 10, 1952 Public Papers of the Presidents make in the last 2 years because of the defense keepers and the salesmen and everybody else program. who has things to sell. Now just why do the Republicans want to And what about corporations? Believe change the climate in Washington that's me, they're doing all right. bringing about the greatest industrial expan- Corporate profits before taxes in 1950 were sion in the history of the world? almost $40 billion, and last year they were I'll tell you why they want to change the $43 billion. That is more than four times climate. The Republicans don't like the way the profits earned in 1929-the peak year the benefits of our prosperity are distributed. before the Republican depression. And it They want to see more of the profits of the compares with a net loss of $3 billion in American enterprise go into the dividends of 1932-the bottom year of the Republican the big corporations and less of it into the depression. pockets of workingmen, the small business- Even after taxes, corporations made $21 men, and the farmers. billion in profits in 1950 and $19 billion Now, my friends, that is the issue, pure and last year-more than double the 1929 earn- simple. They want to rewrite the tax laws ings. to give the breaks to big business. They The Republican candidate can't deny we're want to rewrite the price control law to let having prosperity with a Democratic cli- the speculators make a killing. They want mate in Washington. So he resorts to the to rewrite the labor laws to make them even false charge that we have what he calls a more biased against labor than the Taft- "war prosperity" created by the defense pro- Hartley Act already is. gram. The answer to that is very clear. All That's what the Republicans mean when he has to do is to look at the figures for 1948 they talk about a change in Washington. and 1949 and 1950, before the defense pro- But they're completely shortsighted about gram got underway. We were breaking all the whole issue. They're still as short- kinds of records in 1950. sighted as they were in the Republican 1920'S And I just want to remind you that the when the whole object of the Government period after World War II-when this pres- policy was to help the rich and the privileged. ent so-called "bungling" administration was The thing the Republicans have never un- in office-was the first time in our history derstood is that when only big business is that a major war has not been followed by helped, the country as a whole is hurt. a depression. Eventually, big business and everybody else It's just plain dishonest for the Republican is dragged down in a general depression- candidate to overlook these facts. which happened in 1929. Now, I know that many of you are con- You don't have a prosperous country un- cerned about what is going to happen when less the little man-the farmer, the worker, the defense program tapers off. Will there the small businessman-is well off, too. And be jobs to take up the slack? when the little man prospers, big business Nobody knows, of course, exactly what lies gets along just fine. ahead of us. But this much I will say to We have proved that point over and over you-there can be jobs to take up the slack again since World War II. At the end of when the defense program drops away. It the war, the Republicans hooted at the whole may not happen, if your Government fol- idea of having 60 million jobs. We now lows the wrong policies. But if you have a have more than 62 million people employed, government that follows the right policies, at good wages. Farm prices and farm in- our post-defense economy can boom to even come are high. This is good for the farmers greater levels than those we now enjoy. and for the workers. It's good for the shop- I say that with confidence because I am 778 May 8, 1884 Harry Trumon's Birthday May 8 / Administration of George Bush, 1989 Administration of George Bush, 1989 / May 9 21st century, and will allow us to enhance words. You don't have to sell me on the rates, competitive ways, help as best you the family business in 1958. And those 30 our competitiveness in the global arena. value of small business. can. You know the value of freedom and years have seen the Bretting Company Enthusiastic and confident, the small The work you do is vital to this nation's flexibility. And so, I just want to see us work grow and prosper from 11 employees back business community is the cornerstone of economic well-being. And I brought along together to preserve that freedom in child in 1958 to 260 today, from $120,000 in sales America's economy-and it is an inspiration some statistics to back that up. Small busi- care and in other issues that affect the way each year to $30 million. And today his to people around the world. nesses employ more than half of America's we live and work. company is the world's leading producer of Now, Therefore, I, George Bush, Presi- private sector work force. Small businesses A moment ago, I cited some statistics on high tech custom designed machinery for dent of the United States of America, by account for over a third of our gross nation- the large impact of small business in the making paper products. And the secret of virtue of the authority vested in me by the al product. And I've saved the best statistics American economy. Ceremonies like this Tad's success is the one small business Constitution and laws of the United States, for last. During the past decade, small busi- one are important because they honor the people know so well: It all comes down to do hereby proclaim the week of May 7 nesses have created two out of every three individuals behind the statistics-the small taking good care of customers. And so, con- through May 13, 1989, as Small Business new jobs in our economy. And for me, business people who conceive the idea, take gratulations to you, Tad. Week, and I call on every American to join that's the bottom line. Small business is on the chance, and make it work. So, today we So, there you have our four winners. This me in this very special tributé. the business end of growth and at the cut- recognize the best that small business has to room, though, is full of success stories today. In Witness Whereof, I have hereunto set ting edge of the economic expansion that's offer. And I want to turn now to the It's in this nation's small businesses that the my hand this eighth day of May, in the year 77 months old and still going strong. awards. This year there is no fourth place American spirit, entrepreneurial spirit, of our Lord nineteen hundred and eighty- Let me take a moment right here to finisher. Instead, we have a tie for third takes root and grows. And so, our nation nine, and of the Independence of the mention an issue that should be on the top place. And I'll start with Chad Olson of needs you-your drive, your dynamism, United States of America the two hundred and thirteenth. of the list for all small business people: the Utah. Chad produces a highly successful your creativity, and your can-do attitude. question of child care. As you know so well, line of professional and collegiate sports Congratulations to all of you, and especially George Bush you're more likely to find small business merchandise. He's marketed franchises in to you winners with us here today. Thank owners sitting around a kitchen table than 40 States already. And I understand he's got you all very much. [Filed with the Office of the Federal Regis- in a big corporate boardroom someplace. A his eye on all 50. He's got international am- ter, 4:37 p.m., May 8, 1989] small business is less a corporation than a bitions as well, with franchise plans for Note: The President spoke at 1:40 p.m. in family. And like a family, people engaged in Canada and U.S. military bases overseas. the East Room at the White House. In his a small business enterprise share common Now, do we do this right now? All right. remarks, he referred to Gerald Tsai, Jr., aims, a common outlook, and certainly have Chad? Well done. And sharing this third member of the board of directors of Primer- place award with Chad is Carolyn Stradley Remarks at the Presentation Ceremony common interests. And that's the perfect ica, and Jenlane Gee, California Teacher of for the Small Business Persons of the workplace environment for innovative ap- of Georgia. She started out as a bookkeeper the Year, 1988. Year Awards proaches to meet the concerns and needs of for a paving company and left that compa- employees. I urge America's small business- ny to do what many here have done: start May 8, 1989 out on her own. She used a loan from her es to take the lead in developing creative To the Members of Congress here and all solutions in child care. I think, for example, brother to buy her truck, built her business of pioneers like Gerald Tsai, Jr., or Jenlane by taking the small jobs that no one else Message to the Congress Transmitting the distinguished guests, first let me wel- thought worthwhile; and today she's a suc- the District of Columbia Budget and come Susan Engeleiter, the Administrator Gee and others who we honored out there cess, and equally important, an inspiration Supplemental Appropriations Request of SBA [Small Business Administration], as today, Asians who have a strong bearing and support in their families for child care. to businesswomen everywhere. And so, con- May 9, 1989 well as all the State small business people and their families who came here today. I will do nothing as President of the United gratulations to you. The winner of this year's second place To the Congress of the United States: I've participated in these ceremonies States, absolutely nothing, that weakens our award comes from Kansas, Richard Barlow. In accordance with the District of Colum- before, and I'm especially pleased and hon- family structure. And I encourage small Dick is well known to gourmet cookie bia Self-Government and Governmental Re- ored to present these awards today. businesses to do everything they can to makers as the manufacturer of REMA insu- organization Act, I am transmitting the Dis- As you probably know, I, long ago, was a strengthen the family structure by getting lated bakeware. He started his business trict of Columbia Government's FY 1990 small businessman myself, and I think, together in a cooperative fashion. with a family friend just 6 years ago selling Budget and FY 1989 Budget supplemental. therefore I know some of the worries that My child care tax credit program is going these cookie sheets in Oklahoma-in The District's General Fund 1990 operat- you share-the what-ifs when you're the to benefit small businesses, I believe. I do Kansas. And today REMA bakeware is sold ing budget request is $3,071 million. Total one in charge. And I know how it feels to not believe in these mandated government in all 50 States and Japan. And so, congratu- Federal payments anticipated in the Dis- start something from scratch, work with it benefits. I think it has to be decided by the lations to you, Richard. Well done. trict's budget are $498 million. The Dis- day and night, and hopefully see it succeed. Federal Government, making as flexible as And now the 1989 winner, this year's trict's FY 1989 budget supplemental con- Success goes to those who work hard, refuse possible, the use of child care tax credits. Small Business Person of the Year, Tad tains $106 million in cost increases and $79 to give up, and learn from their mistakes. So, I wanted to take this opportunity, a Bretting of Wisconsin. I wondered why Sen- million in budget authority rescissions, for a And there's a saying: If I had my life to live little off the beaten path, you might say, of ator Kasten was over here. [Laughter] Tad's net increase of $27 million. This transmittal again, I'd make the same mistakes, only honoring these honorees today. But it is got business in his blood. His family has does not affect the Federal budget. sooner. [Laughter] I think small business- very, very important that all of you who are been in the machinery business for three There are four District budget issues to men and women can understand those out there trying to produce at competitive generations-almost 100 years. He joined which I would direct your attention. First, I SMALL BUSINESS U.S. SMALL BUSINESS ADMINISTRATION ADMINISTRA MOTHER WASHINGTON, D.C. 20416 1953 OFFICE OF THE ADMINISTRATOR DATE: April 30, 1990 TO: Michael P. Jackson Executive Secretary for Cabinet Liaison FROM: Lori Fritts Special Assistant to the Chief of Staff SUBJECT: Small Business Week Per our discussion, please find attached suggested talking points for the President's remarks for the Small Business Week ceremony scheduled for Tuesday, May 8, 1990. The audience will be comprised of: a) State Small Business Persons of the Year from each state, the District of Columbia, Guam, Puerto Rico and the Virgin Islands: b) six national Small Business Advocate Award winners representing the media, veterans, accountants, financial services, women and minorities; c) the Small Business Exporter of the Year; d) the Young Entrepreneur of the Year; e) the Entrepreneurial Success Award is given to a small business that became a large business with SBA's help; f) the winners' families and guests; and g) about 40 private sector patrons of Small Business Week. The theme of this year's Small Business Week is "Small Business: Leading America into the 21st Century." We have had plaques made for the awards the President will announce: the National Small Business Person of the year (V.E. "Barney" Roberts, Chairman, Iowa Office Supply, Storm Lake, Iowa), the first runner-up (Phyllis L. Apelbaum, President, Arrow Messenger Service, Inc., Chicago, Illinois), and the two businesses tied for second runner-up (James L. Harrold, President, Mebcrafters, Inc., Tempe, Arizona; and Joe and Helene Massimino, Oatmeal Studios, Rochester, Vermont). Attachment SUGGESTED TALKING POINTS FOR THE WHITE HOUSE SMALL BUSINESS WEEK 1990 TUESDAY, MAY 8, 1990 This is a wonderful occasion for those we are honoring today it is also a special occasion for our nation and our future -- to have such outstanding entrepreneurs "leading America into the 21st Century," as the theme for Small Business Week suggests. Small business is the backbone of U.S. economy. This sector: -- Creates 2 of every 3 new jobs -- Employs 50 percent of the work force -- Accounts for 39 percent of the GNP As a former small businessman, I recognize and appreciate the contributions of smaller companies I also know and understand first-hand the struggles of entrepreneurs and growing businesses. One of my priorities upon assuming office was to develop federal policies that promote and support this vital sector of our economy. real -- As part of this effort, we are revitalizing the Small Business Administration. Andrew -- Also, we are making sure the interests and concerns of small business are factored into government activities on everything from increased federal contract procurement for small businesses to support for a capital gains tax cut in Congress. The strength of America lies with those who are willing to take a chance in small business and build for the future it is here you find the determination, the is ingenuity, and the vision that have created the enterprises which drive our economy and enrich our lives. -- It is around small businesses that you find communities growing and prospering. -- It is here where women and minorities make their mark as business owners. -- It is here where you find SO many of the Thousand Points of Light I talk about so often. amer. Big brown Buaness role in prest in free Certral helped No Europe We can take pride in the fact that nations around the world are using small business in the United States as a model for economic growth. Small Business is America at its best, and it is a pleasure for me to recognize those who have excelled in this vital field of endeavor. 1990 SMALL BUSINESS PERSON OF THE YEAR WINNER WSP 408-1639 V.E. (Barney) Roberts, Chairman Iowa Office Supply, Inc. 731 Lake Avenue Storm Lake, Iowa 50588 (712)732-4801 In 1945 Barney Roberts thought selling cars was his destiny. He did so for 16 years. But in 1961 he got hooked on selling office machines; by 1967 he and (213) ,5433 his wife, Irene, began Iowa Office Supply in the basement of their Spencer, Iowa home. 450 Within months the Roberts opened a retail outlet in Storm Lake; their modest first- year sales were $95,431 with two employees. due comy Today Iowa Office Supply has $8.5 million in annual sales and employs 55. A fleet of 38 vehicles fans out across northwest Iowa. Roberts believes in retaining long-term employees with good benefits. "People are our best assets," he advises. "Take care of them and they won't leave.' One of the top ten Sharp dealers in the country, Roberts is a SCORE (Service Corps of Retired Executives) counselor, and is deeply involved in community projects. Says the president of Buena Vista College about Roberts' firm, "It is not an overstatement to say that most northwest Iowa businessmen depend on Iowa Office Supply in order to manage their companies in an efficient, productive and profitable manner." Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 01. Application Small Business of the Year, re: Vernon Roberts; personal 01/02/91 P-6, (b)(6) information redacted. (1 pp.) Collection: Record Group: Bush Presidential Records Office: Speechwriting, White House Office of Series: Speech File, Backup Subseries: WHORM Cat.: File Location: Small Business Person of the Year 5/8/90 Date Closed: 10/18/2004 OA/ID Number: 06898 FOIA/SYS Case #: Re-review Case #: 2004-2265-S P-2/P-5 Review Case #: MR Case #: Appeal Case #: MR Disposition: Appeal Disposition: Disposition Date: Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3. Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advise between the President and information [(b)(4) of the FOIA] his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of personal P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of gift. (b)(8) Release would disclose information concerning the regulation of financial institutions [(b)(8) of the FOIA] PRM. Removed as a personal record misfile. (b)(9) Release would disclose geological or geophysical information concerning wells [(b)(9) of the FOIA] U.S. SMALL BUSINESS ADMINISTRATION OMB Approval No. 3245-0125 Expiration Date: 7-31-86 CANDIDATE FOR APPOINTMENT to the ADVISORY COUNCIL SOCIAL SECURITY NO. NAME: Vernon (First) (Barney) Earl Roberts (Middle/Initial) (Last) POSITION, NAME AND ADDRESS OF BUSINESS OR EMPLOYER: Chairman Iowa office Supply INC. 731 Lake Avc. STorm LaKe, I.wa 50588 TYPE OF BUSINESS: KeTail Office Equipment INDICATE PREVIOUS OR PRESENT FINANCIAL (INCLUDING DEVELOPMENT COMPANY), SURETY BOND. OR CONTRACTUAL ASSISTANCE WITH SBA. GIVE APPROXIMATE DATES AND TYPE OF ASSISTANCE. NicNe HOME ADDRESS: (Please inc pour - SERVICE ON FEDERAL BOARDS, COUNCILS OR COMMISSIONS (Indicate previous or present): 2.C.O.R.E Member IF EMPLOYED BY A STATE GOVERNMENT, IS IT AN ELECTIVE POSITION? Yes No NA ARE YOU ON A FEDERAL PAYROLL? Yes No X PLACE OF BIRTH: LeRoy, Minn. BIRTHDATE: 7-7-23 CONGRESSIONAL DISTRICT 6th The authority to obtain this information is contained in 5 U.S.C. 301, 15 U.S.C. 634(b), 44 U.S.C., 3101. Routine LAMIS of the information are: To member. respond to a request from a member of Congress regarding information about an Advisory Council To disclose information about an Advisory Council member to general public. To respond to requests from the General Services Administration. Vernan must be signed (Signature) E Robet condition Date: 199' (This as . of the appointment. 2/2'd GOA FORM 898 (10-83) REF: SOP 90 54 3 90 Previous aditions are ******* 426 919 KCRO HES 14:59 067 2t NHI SBDC Iowa Small Business Development Center IOWA lowa Lakes SBDC lowa Lakes Community College Small Business Development Centers Gateway North Shopping Center Highway 71 North Spencer, lowa 51301 (712) 262-4213 November 6, 1989 Mr. Conrad Lawlor, District Director U.S. Small Business Administration Federal Building, Room 749 210 Walnut Street Des Moines, Iowa 50309 Re: Small Business Person of the Year Nominee: Mr. V.E. (Barney) Roberts Dear Mr. Lawlor: In cooperation and co-sponsorship with Iowa Lakes SCORE Chapter #368, the Iowa Lakes Small Business Development Center is proud to nominate Mr. V.E. (Barney) Roberts as Iowa Small Business Person of the Year. Mr. Roberts is not only a fine example of a small business person who has successfully developed a company into an organization employing a significant number of people and having a major impact on Iowa business and industry, but he also is representative of a business person who works in support of small business through professional and community affiliations (including SCORE). The Iowa Lakes SCORE Chapter and the SBDC are pleased to recognize the efforts of Barney Roberts, and support his nomination for the Iowa Small Business Person of the Year. Sincerely, llare Marchall Clark Marshall, Director Iowa Lakes Small Business Development Center Decide Mr. Deight Willard, Willam Chairman Iowa Lakes SCORE Chapter #368 IOWA LAKES COMMUNITY lowa Lakes Community College Spencer, lowa COLLEGE 1945 V.E. "Barney" Roberts started his marketing career selling automobiles for the Asher Motor Company in Spencer, Iowa. After selling cars for 16 years, he decided that he wanted to join an industry that was more challenging and faster growing. 1961 Barney joined Modern Business in Spencer as the only outside salesman of office machines, supplies and furniture in Northwest Iowa. 1964 Barney was promoted to salesmanager of Modern Business to direct the sales team he had created. Jan. Barney and Irene saw the opportunity to create their 1967 own office equipment company, and opened Iowa Office Supply in the basement of their Spencer home. April Realizing the great potential in the Storm Lake area, 1967 Barney, Irene and two additional employees opened Iowa Office Supply as a retail business in the business district of Storm Lake. The first year sales of Iowa Office Supply were $95,431. 1968 Sales volume grew to $172,659.00 up 45% with four total employees. 1969 Volume grew to $240,461.00 up 28%, employment remained the same. 1970 Sales continued to grow up 14% to a total of $279,338 employment the same. 1971 A startling thing happened. Sales declined to $263,441. Barney realized in order to grow he had to come off the road in order to manage the growth of the company. Barney's son, Kirby, took over Barney's position on the road after returning from four years in the Air Force. Barney also realized he needed a bigger facility in a more visual location. He left the existing rental location and built a new building on the main street of Storm Lake with 5,000 square feet. At that point, he hired two full time service people to create his own service department to better service his customer base. He also added two more outside sales people. June Things were growing and because of the busy winter 1972 season, changed the corporation's fiscal year from June 30 - July 1. Sales for six months were $195,977. The number of employees grew to ten. 1973 Barney purchased an existing Office Supply store in Ida Grove. After closing the store, he opened a new remodeled facility in Carroll, Iowa. Sales jumped 55% to $433.998 with employment at 14. 1974 Sales continued to grow for both facilities, up 24%, employment remained the same. Barney came up with a first, he put in a watts line for better customer enticement, unheard of with the other office suppliers in Northwest Iowa. 1975 Barney decided to sell the Carroll store to the existing manager so that he might further concentrate on sales in the Storm Lake area. Even with the loss of the Carroll stores revenues, sales jumped to $629,218. At this point, his son, Kirby, was promoted to salesmanager so Barney could create a bigger sales team to cover an eighty mile radius of Storm Lake. The same year, Barney created United Leasing, Inc. to give customers a different alterna- tive in owning office equipment. 1976 Additional space was needed so Barney purchased an additional 2500 square foot building adjacent to the existing new facility, bringing the total footage to 7500 square feet. Sales increased 18% to $764,334 and total employment grew to 17. Aach. 1977 Total sales grew to $884,669 and employment to 18. Kirby became Vice-President. edge 1978 Total sales grew to the million mark, $1,083,514, up 18% with employment at 20. Barney purchased a mini computer with custom software to give customers generated invoices and statements, another first to office dealers in Northwest Iowa. 1979 Volume $1,117,998, employment total to 21. Tragedy struck, five of the top employees resigned to open their own store: salesmanager, office manager, executive secretary and top two salesmen. Barney promoted from within, didn't miss a step. 1980 Sales continued to grow and more facility was required so Barney purchased another 2500 square foot building adjacent to the existing facility bringing the total to 10,000 square feet. Total sales went to $1,214,159, with employment to 24. 1981 Total sales were $1,492,582 with total of 25 employed. Barney purchased the rights to publish a monthly newsletter for better customer relations, called "The Secretary's Friend". This is still in very high demand and used today. Also a monthly sales flyer was created with special pricing, another first in the the area. 1982 Barney felt the need to hire an advertising agency to give the company better exposure in Northwest Iowa. Television became the new strong media for Iowa Office Supply, another first to the area for our industry. Barney also created a church coop buying program quarterly, to allow churches mass buying power for paper and related supplies. Also, Barney created a company clothing program to allow sales and service to have a more professional image. As Barney said, "The look better, feel better, be better approach". Sales were up to $1,722,177. 1983 Two warehouses were purchased to handle used furniture and help house the inventory for the newly created wholesale division. The wholesale division was created to increase advertising dollars by way of coop advertising and to ensure our sales of retail Sharp products were always purchased at the best possible bracket. This still remains a very profit- able division, that markets regionally, nationally and internationally. Also, Barney created an instore print shop to better the service the customer needs. With the new 10,000 square foot warehouses and print shop sales grew to $1,902.536 and employment jumped to 28. 1984 Computers were hot, Barney decided to open a computer division, to help enhance the well rounded dealer philosophy. Also, a qualified profit sharing program was added in addition to cash bonus to help entice good employees stay with him. Also, a new computer was ordered with new custom software and several multi-task terminals. To tie with the existing advertising program, Barney created a fleet of vehicles, white with brown and orange stripes and lettering. Also, the start of several incentives and incentive trips were presented to many key employees. Sales jumped to $2,971,728, up 36%. 1985 Sales totaled $3,491,510 with employment total at 31. 1986 Barney thought it time to expand into the Sioux City market. Iowa Office Supply purchased K & D Business Machines, the existing Sharp copier dealer. Iowa Office Supply planned at that point to penetrate 80 miles into the South Dakota and Nebraska market. Sales totaled $3,425,416 with 36 employees. 1987 Iowa Office Supply opened a newly remodeled 8500 square foot facility with a well rounded inventory of supplies, machines and furniture. A new 9500 square foot warehouse was purchased in Storm Lake to handle the growing wholesale business. Sales were $4,297,622 up 20% with 43 employees. 1988 Barney decided Kirby should become President after 18 years in the company. Barney became Chairman of the Board and company consultant. Employee numbers jumped to 49 and volume to $6,121,989 up 30%. In July, Iowa Office Supply decided to become a Sub S Corporation for tax reasons. 1989 In the past 12 months, Iowa Office Supply did $8,100,000 up 24%, with a total of 52 employed. CURRENT Iowa Office Supply in its complete fiscal 1989 is anticipating $8,500,000 in sales and currently has 55 employees. new building was just purchased across from the existing facility in Storm Lake to accommmo- date the print shop. The new facility has 5100 square feet to allow future growth of Iowa Office Supply. The existing space that the print shop occupied will be filled with a new and bigger show room and service department. Plans are currently in the process of opening a store in Mason City and Amilia should be completed by the spring of 1990. One year growth plan are to have volume in access of $10,000,000 with 70 employees. The current fleet of vehicles is 38 Cavaliers and Mini-Vans, all striped and lettered the same. SUMMARY Because of Barney's strong management ability, he has been able to retain many long term employees, by offering a large benefit package and many fringe benefits. "People are our best assets, take care of X them, they won't leave". With this philosophy, he has been able to grow, and many good people still want to join his payroll. Barney realized years ago in order to better service his customers, he needed a strong training program for sales and service people and the best franchises available. Today, Iowa Office Supply represents the #1 selling typewriter, copier, facsimile, cash register, calculator and dictating manufactures in the nation. His company is one of the top ten Sharp dealers in the country and has been in Sharp's Million Dollar Club over five consecutive years. Barney believes in total customer satisfaction and he constantly checks their satisfaction with after market surveys. Through the years, Barney has taken time to serve his church and community in many ways. Barney has been a 25 year member of Kiwanis, a 22 year member of the Storm Lake Chamber of Commerce and is current member of S.C.O.R.E. Barney was President of the Storm Lake Industrial Board and a board member of Faith, Hope & Charity, a home for profoundly retarded children. Barney is a strong contributor to the Storm Lake Industrial Board, Faith, Hope & Charity, Buena Vista Work Activity Center, Pheasants Forever, Whitetails Forever Ducks Unlimited, Methodist Manor, Buena Vista College, Sioux City Chamber of Commerce & Industrial Board. Barney also worked on many committes for Methodist Manor, Buena Vista College, and the Chamber of Commerce. Barney created the idea and ran the fund raiser for four welcome signs into Storm Lake. He also has been a member of NOPA and NOMDA, both trade organizations for over twenty years. Obviously there are many more accomplishments too numerous to mention. In comparison to national averages in the industry, Iowa Office Supply exceeds all comparisons. GARY ROSENE & CO., P.C. Certified Public Accountants STORM LAKE, IOWA 50588 Telephone (712) 732-1419 Gary Rosene, CPA 610 Seneca Street Shane Rosene, CPA P.O. Box 1333 October 18, 1989 Small Business Administration Federal Building Des Moines, Iowa RE: 1989 Candidate for Small Businessman of the Year. V.E. "Barney" Roberts To Whom it May Concern: We are writing to support the nomination of V.E. "Barney" Roberts as Iowa Small Businessman of the Year. I have known Barney for approximately 25 years. I first met him when he was an office supply salesman calling on a company for whom I worked as an office manager. In recent years, as I developed my own accounting practice, Barney and Iowa Office Supply became clients; and I have worked with Barney over the past several years both as a customer of Iowa Office Supply and in providing professional accounting and tax services to Iowa Office Supply. The growth of Iowa Office Supply, Inc., under the management and direction of Barney Roberts has been amazing. The company began with capital of $20,000.00 in 1967 and has grown to capital in excess of $1,500,000.00 over the past 22 years. Such growth can only be accomplished by combination of hard work, providing good service and good products, and having the vision to adapt as circumstances change. The growth of Iowa Office Supply in both equity and profits is strong evidence of Barney's ability to manage successfully. While managing a successful business, Barney has also found time to participate in several community activities including active participation in the Chamber of Commerce. We feel Barney is an excellent candidate for Iowa Small Businessman of the Year and strongly recommend him for this honor. quatest Sincerely, equity Austomers is his Gary Rose Gary L. Rosene GLR:gg BUENA VISTA COLLEGE Storm Lake, lowa OFFICE OF THE PRESIDENT October 25, 1989 Small Business Administration Federal Building Des Moines, IA 50319 To the Selection Committee: I am pleased to recommend Mr. V.E. "Barney" Roberts for the Iowa Small Businessman of the Year Award. I have known Barney for fifteen years and watched with admiration as he lead his business, Iowa Office Supply, Inc., from an excellent local firm to one that now dominates the regional market. Under Barney's guidance, Iowa Office Supply is known and trusted for its outstanding service to other businesses--large and small--in the region. It is not an over-statement to say that most northwest Iowa businessmen depend on Iowa Office Supply in order to manage their companies in an efficient, productive, and profitable manner. I speak as both a client of Barney's and as a close observer of area business developments. In addition to Barney's personal business success, he is a prime example of Iowa corporate volunteer leadership to vital non-profit service organizations, including my own. To all of his volunteer activities he brings the same empathy, respect, vitality and wisdom he displays in his own enterprise. Thus, I believe Barney is the American ideal of a corporate leader; his own business is prospering, he gives of himself to the local community, and he actively participates with distinction in regional and national organizations in order to enrich the Iowa business climate. Barney has my strongest endorsement for the honor of Iowa Small Businessman of the Year. Sincerely, Keith G. Briscoe President KGB:ch FOURTH & COLLEGE STREETS, STORM LAKE, IOWA 50588 SHARP® SHARP ELECTRONICS CORPORATION Mid-Western Region 1300 Naperville Drive Romeoville. Illinois 60441 (312) 759-8555 October 27, 1989 Small Business Administration Federal Building Des Moines, IA 50319 Gentlemen: I am sending this letter to indicate my support for the nomination of V.E. "Barney" Roberts, of Storm Lake, Iowa, as Small Business- man of the year. Mr. Robert's leadership has been the major reason for the continued growth and expansion of Iowa Office Supply. I have worked closely with Barney over the last 10 years and in that time IOS has had an annual growth with Sharp Electronics of over 20% per year. This increase has led to Barney opening a new store in Souix City and a planned store in Mason City. More importantly, the number of Iowan's I.O.S. employs has grown from 21 to a total of 55 over the same period. In closing, what we at Sharp Electronics look for in our dealers is professionalism and dedication to their business. In Iowa Office Supply we have these characteristics and are proud to have them on the Sharp team. Sincerely, Tom Wally Tom Weekly Regional Sales Manager Copier Division TW:gss Electronic Business Machines Company 793 Springer Drive Lombard, Illinois 60148 932-8005 Administrative Offices October 24, 1989 SMALL BUSINESS ADMINISTRATION Federal Building Des Moines, lowa 50300 To Whom It May Concern: It is with genuine pleasure to send my letter to you in support of:- Mr. Barney Roberts of lowa Office Supply, Inc., Storm Lake, lowa, in his nomination by the Northwest lowa Small Business Administration, as the 1989 candidate for:- "lowa Small Businessman of the Year". I personally have known Mr. Barney Roberts for a good number of years; the early years when we both shared a common business interest in our respective States, the promotion and sale of Sharp Electronics Corporation calculator products. We were one of his first suppliers when he began his organization with 3 or 4 people in Storm Lake , many years ago. We have not only seen him develop his business in Storm Lake, but beyond. Today his company employs many, many people and has become the prime economic producer in the northwestern part of lowa. He possesses the unique ability to bring opportunities to his many employees. Through those early, and the ensuing years, Barney and I developed a strong and lasting friendship, both personal and in business. I have the highest respect for his business acumen and tireless energy to satisfy his customers' needs in a very competitive business. He is an achiever. If your committee can see its way clear to bestow your great honor on Mr. Roberts, he will be, without doubt, representative of lowa's Small Businessman and take his place alongside the best of your past recipients. Respectfully, ELECTRONIC BUSINESS MACHINES CO. Donald S. Kanak, President DSK/h MILLS INSURORS NORTHWEST CONSULTANTS, INC. Phone 712/834-2441 Everly, Iowa 51338 October 19, 1989 To Whom It May Concern: This letter is being sent to support the nomination of V.E. "Barney" Roberts for a small business award. I have known "Barney" for at least 50 years. I first knew him in business as an auto salesman for Asher Motors. His straight forward, honest approach as an auto dealer enhanced our relationship. In later years when "Barney" bought his own office supply business, and I had an insurance business, it became apparent the I could trust him to keep me abreast of the most modern office equipment available. He kept his orders on time and in proper condition to expedite my needs. The expansion of his business over the years shows his credibility to the public; this track record is a beacon of his success. I am sure that if your committee would select "Barney", he would justify their decision. Yours truly, im mills James W. Mills NORTHWEST CONSULTANTS, INC. ...growing Insurance protection with hometown roots P.O. BOX 584 STORM LAKE, IA 50588 (712)7 Storm Lake CHAMBER OF COMMERCE October 20, 1989 Small Business Administration Federal Building Des Moines, Iowa 50319 IN RE: Small Business Person of the Year V. E. "Barney" Roberts Iowa Office Supply Storm Lake, Iowa Gentlemen: I am writing this letter of support for the nomination of V. E. Roberts as Small Business Person of the Year. I have known and worked with "Barney" for over 15 years. I have observed his business development, worked with him on Chamber of Commerce activities plus we have had joint business ventures together. Barney Roberts started Iowa Office Supply and it has grown remarkably since. Iowa Office Supply has earned the respect of all of Northwest Iowa by their professional sales team and "fleet" of sales staff calling on customers in all size communities. The business has gained the respect of suppliers as evidenced by the enviable list of dealerships and sale franchises granted to Iowa Office Supply. The firm has expanded into a second "base operation" in Sioux City and is currently in the process of a third "base operation" in Northcentral Iowa. Iowa Office Supply, a business advocate and an example of unusual success, is involved in community progress, targeting service as a key ingredient and personal contact as a cornerstone. V. E. "Barney" Roberts is a credit to his profession and would most certainly be a worthy choice for this honor and recognition. Respectfully, Samphey William R. Lanphere Executive Director WRL/ss Simonsen IRON WORKS, Inc. ESTABLISHED 1906 INCORPORATED 1946 MANUFACTURERS OF Phone 712-283-2544 HARDWARE AND IMPLEMENT SPECIALTIES WALTER A. SIMONSEN, PRES. 106 SECOND STREET DAVID C. BAILEY, VICE PRES. JOAN SIMONSEN BAILEY, SEC'Y. Sioux RAPIDS, lowa 50585 Small Business Administration Federal Building October 17, 1989 Des Moines, Iowa To Whom It May Concern: This letter is written to support the nomination of V.E. "Barney" Roberts for Small Business Award. I have known Barney and done business with him for many years including being a customer of his when employed by other businesses before he established his own business, "Iowa Office Supply of Storm Lake" and more recently a branch established in Sioux City. I recently saw a picture of all his 50 salesman's cars. This in itself indicates the firm's rapid growth As a customer of theirs 95% of all our office equipment and supplies are purchased from them. Their service has been outstanding and our annual purchases from them are several thousand dollars a year. It is a pleasure to recommend him for this honor and we trust your committee will rate "Barney" very high and will bestow this great honor to Barney Roberts he will rate very high as compared with past recipients. Yours very truly, SIMONSEN IRON WORKS, INC. Watter a. Simmen Walter A. Simonsen President WAS: jm THE CITIZENS FIRST NATIONAL BANK OF STORM LAKE STORM LAKE, IOWA H. W. SCHALLER CHAIRMAN October 17, 1989 Small Business Administration Federal Building Des Moines, IA TO WHOM IT MAY CONCERN: It is a great pleasure to support the nomination of V.E. "Barney" Roberts as Northwest Iowa's Small Business Administration (S.C.O.R.E.) candidate for Iowa Small Businessman of the Year. Barney's firm, Iowa Office Supply, Inc., and the Citizens First National Bank have worked together over the years. It has always impressed me that Barney's goal has been to build the company through product delivery, service and sales. Because of Barney's attitude in this area, his firm has been able to grow from a small office supply firm to one of substantial size serving two locations, both the home office in Storm Lake, Iowa and a branch in Sioux City, Iowa. Because of the outstanding record that Mr. Roberts' has shown in the growth and development of his business, I hope that you will favorably entertain his nomination. Harry W. Schaller Chairman HWS/ckd _City of Storm Lake "The City Beautiful" P.O. Box 1086 620 Erie Storm Lake, lowa 50588 (712) 732-5700 October 1989 To: Small Business Administration I have just been informed that V. E. "Barney" Roberts of Iowa Office Supply in Storm Lake, has been nominated by the Northwest Iowa Small Business Administration as a 1989 candidate for "Iowa Small Businessman of the Year". I have known "Barney" for many years and consider him to be one of the most respected businessmen our City has ever known. His business has grown from a small beginning to one of a major impact in Northwest Iowa. While "Barney" was busy building his business he always had time to take an active roll in community affairs and could be counted on to do a job when asked. If anyone deserves to be "Iowa Small Businessman of the Year" it would be V. E. "Barney" Roberts. Respectfully, Wilbur L. Tucker Mayor WLT/pjm _City of Storm Lake "The City Beautiful" P.O. Box 1086 620 Erie Storm Lake, lowa 50588 (712) 732-5700 November 1, 1989 Gentlemen: It has been brought to my attention that Mr. V. E. "Barney" Roberts has been nominated as a candidate for "Iowa Small Businessman of the Year." I believe Mr. Roberts is the candidate that should receive the award for the following reasons: 1. Mr. Roberts is a long time businessman of Storm Lake and of Northwest Iowa. His business, Iowa Office Supply, Inc., was established in Storm Lake in 1967 and has flourished under his direction. In 1987, he established the Sioux City branch of Iowa Office Supply. His business, business practices, and employees are all very well known and respected throughout Northwest Iowa. 2. Mr. Roberts has been very active in the community and as a leader in the Storm Lake Chamber of Commerce. His ideas have been implemented within the community. His leadership has influenced many projects throughout the community. 3. Mr. Roberts is "Barney." Barney is personable and is a friend to many citizens throughout the community. Because of his friendliness, his business also is enhanced and in his business success, this trait is probably the most prevalent factor for that success. I sincerely believe that Mr. Roberts has on many occasions earned "Businessman of the Year. " I, as a public official, would recommend your strong consideration for this award to Mr. Roberts. Respectfully, Clarence Krepps City Administrator CK/mih Security M.J. KUEHL, Chairman of the Board GALE E. BOBOLZ, President JACK CUTTELL, Executive Vice President & Cashier HARLAN D. GOETSCH, Vice President State Bank .... RUSSELL BOLES, Ass't Vice President JOANNE LEFEVER, Ass't Cashier SSB Hartley, Iowa 51346 YVONNE WEHRKAMP, Ass't Cashier November 2, 1989 Small Business Administration Federal Building - Suite 749 Des Moines, Iowa 50318 To Whom It May Concern: This letter is being sent to support the nomination of V. E. "Barney" Roberts for the "Iowa Small Businessman of the Year" Award. I have known Barney for at least twenty years. He has been a true friend, never too busy to say hello and did all he could to satisfy any need you might have had during this time. He started his business basically out of his basement, made calls on his own and has grown to what it is today. He is a well respected business person and has the respect of many of his peers. His company, Iowa Office Supply, has had phenomenal growth over the years. This again can be attributed to Barney's dedication to service, his overall business ability, his willingness to help in any way he could, but yet being competitive in price. We as a customer can attest that this is exactly what he has continued to do. Barney Roberts would be a fitting recipient of this honor. I would appreciate your consideration of Barney and know he will measure up with the best of your past award winners. Very truly yours, Bace E Boby Gale E. Bobolz President GEB:jpl 1990 SMALL BUSINESS PERSON OF THE YEAR 1ST RUNNER-UP Phyllis L. Apelbaum, President Arrow Messenger Service, Inc. 1322 West Walton Chicago, Illinois 60622 (312)489-6688 It took Phyllis Apelbaum 17 tries with the Illinois Commerce Commission before she licensed her messenger business. When she finally secured the license, she was the first woman in the state ever to do so. For some years after founding Arrow Messenger Service in 1974, Apelbaum slept on the floor until her business got off the ground. Today she has 125 employees and $3 million in annual sales. Messenger services have a high turnover; yet Apelbaum counts some couriers who have been with her more than 10 years. Pride is a key: no shorts and T-shirts. Couriers are required to wear a company uniform, including dress shirt and tie. In 1986, Arrow moved into new quarters in a transitional city neighborhood, providing employment opportunities to many residents. Today Apelbaum is chairperson of an organization which is developing housing for the homeless in Chicago. Her secret? "You have to love what you are doing." Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 02. Application Small Business of the Year, re: Phyllis Apelbaum; personal 11/30/89 P-6, (b)(6) information redacted. (1 pp.) Collection: Record Group: Bush Presidential Records Office: Speechwriting, White House Office of Series: Speech File, Backup Subseries: WHORM Cat.: File Location: Small Business Person of the Year 5/8/90 Date Closed: 10/18/2004 OA/ID Number: 06898 FOIA/SYS Case #: Re-review Case #: 2004-2265-S P-2/P-5 Review Case #: MR Case #: Appeal Case #: MR Disposition: Appeal Disposition: Disposition Date: Disposition Date: RESTRICTION CODES Presidential Records Act [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advise between the President and information [(b)(4) of the FOIA] his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of personal P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of gift. (b)(8) Release would disclose information concerning the regulation of financial institutions [(b)(8) of the FOIA] PRM. Removed as a personal record misfile. (b)(9) Release would disclose geological or geophysical information concerning wells [(b)(9) of the FOIA] U.S. SMALL BUSINESS ADMINISTRATION OMB Approval No. 3245-0125 Expiration Date: 7-31-86 CANDIDATE FOR APPOINTMENT to the Small Business Person of 1990 Award ADVISORY COUNCIL SOCIAL SECURITY NO. NAME: Phyllis L. Apelbaum (First) (Middle/Initial) (Last) POSITION, NAME AND ADDRESS OF BUSINESS OR EMPLOYER: President/Owner Arrow Messenger Service 1322 West Walton, Chicago, Illinois 60622 TYPE OF BUSINESS: Messenger Service INDICATE PREVIOUS OR PRESENT FINANCIAL (INCLUDING DEVELOPMENT COMPANY), SURETY BOND, OR CONTRACTUAL ASSISTANCE WITH SBA. GIVE APPROXIMATE DATES AND TYPE OF ASSISTANCE. NONE HOME ADDRESS: 260 East Chestnut, Chicago, Illinois 60611 (Please include post office and zip) SERVICE ON FEDERAL BOARDS, COUNCILS OR COMMISSIONS (Indicate previous or present): N/A IF EMPLOYED BY A STATE GOVERNMENT, IS IT AN ELECTIVE POSITION? Yes No NA X ARE YOU ON A FEDERAL PAYROLL? Yes No X PLACE OF BIRTH: Chicago BIRTHDATE: 7/3/40 CONGRESSIONAL DISTRICT 7th The authority to obtain this information is contained in 5 U.S.C. 301, 15 U.S.C. 634(b), 44 U.S.C., 3101. Routine uses of the information are: To respond to a request from 8 member of Congress regarding information about an Advisory Council member. To disclose information about an Advisory Council member to general public. To respond to requests from the General Services Administration. Ohy (This must be signed (Signature) as a condition Fellbound of the appointment.) Date: 11/30/89 SBA FORM 898 (10-83) REF: SOP 90 54 3 Previous editions are obsolete. GPO 902-618 WOMEN'S BUSINESS DEVELOPMENT CENTER November 20, 1989 John L. Smith District Director U.S. Small Business Administration Chicago District Office 219 S. Dearborn Street Chicago, IL 60604-1779 Dear John: I am writing on behalf of Ms. Phyllis Apelbaum as the 1990 Small Business Person of the Year. She deserves the honor! Phyllis is Founder and President of Arrow Messenger Service, the only women owned messenger service in the City of Chicago, currently employing over 150 Chicagoans and serving over 1,500 clients. She began Arrow Messenger in 1974, sleeping on the floor for a couple years until she got the service off the ground. She is successful, billing over 3 million dollars in 1987. In 1986 she purchased a rehabilitated building to house Arrow Messenger providing new jobs and economic development in a transitional neighborhood. Phyllis Apelbaum is a strong, determined, creative, tenacious and pragmatic business woman. She embodies the spirit of the entrepreneur. She overcame great adversity to establish her business. She was turned down for her permit to operate in the all-male messenger service industry seventeen times and became the first woman in Illinois ever to secure a messenger service license. She had no formal training in running a business and, in fact, Phyllis did not finish high school, instead forced to work to help support her family. She embodies the best of the entrepreneurial spirit and is a successful woman willing to give of herself to others, especially as a mentor, friend and role model to other women business owners and as a supporter, volunteer and friend of the WOMEN'S BUSINESS DEVELOPMENT CENTER. Phyllis is active in the Women's Business Development Center as a volunteer, is active in the Messenger Service Association and was this year elected President of the trade association for her industry. She is active in her community as a volunteer with such organizations as the Network of Women Entrepreneurs, the Women's Executive Network and gives generously of her time and money to the Chicago Heart Association, City of Hope, Variety Club of Illinois, Lambs Farm and Hadassah. CAROL DOUGAL, DIRECTOR HEDY M. RATNER, DIRECTOR 230 NORTH MICHIGAN. SUITE 1800 CHICAGO, ILLINOIS 60601 (312) 853-3477 She is a Board member and Treasurer of the Administrative Management Safety as well as an active mentor through their support system. She was selected as the keynote speaker for the Women in Business 1988 conference sponsored by the Illinois Department of Commerce and Community Affairs. Phyllis Apelbaum is deserving of the honor and recognition as the 1989 Small Business Person of the Year. She has built one of the most successful women owned businesses in the State of Illinois with her tenaciousness, willingness to do whatever is necessary and her built-in refusal to quit. She also exhibits a deep sense of commitment to the city of Chicago. She is active in the community, committed to women's economic development and to the economic development of the city, and freely gives of her time and knowledge to help others achieve success. She exceeds all the selection criteria: Staying Power: Arrow Messenger is 15 years old Growth in Number of Employees: Arrow now has over 150 employees, many minority residents of the City of Chicago Increase in Sales - Arrow now has sales over $3 million Current and Past Financial Reports: see enclosed reflecting improved financial position of the business Innovativeness of Service: See attached profile Response to Adversity: See attached profile Evidence of Contributions to Community: See attached materials Phyllis Apelbaum is truly deserving of the honor of being designated 1990 Small Business Person of the Year and I am honored and pleased to support her nomination for the award. Sincerely, Hagm.RaL Hedy M. Ratner, Director Women's Business Development Center HMR/jl encl STAYING POWER Arrow Messenger service was founded 15 years ago by Phyllis Apelbaum, with $3,000 inheritance and her experience in the business as her only assests. In 1989 Arrow will earn close to $3 million. Arrow has long been recognized as one of the industry leaders in the Chicago area, and is continuing to show steady growth. In 1986, Phyllis bought a building in a transitional city neighborhood, and soon after moved Arrow into its new quarters. Since that time, many area residents have been employed by Arrow, and the company has a strong commitment to building a good relationship with others in the neighborhood. GROWTH IN NUMBER OF EMPLOYEES When Arrow was founded, there were but a small handful of employees working out of a basement office at 333 North Michigan Avenue. Today Arrow employs over 100 couriers, and approximately 25 office employees. Although the messenger service is traditionally a business with a high turnover rate, there are many long-term employees who have been with the company 10 years or more. As well as growth in the number of employees, there has been an expansion in the past few years in the diversity of employees. New positions have been created as the company has grown, to accomodate the changing needs. INCREASE IN SALES Arrow has grown to a $3 million business over the past 15 years, in an industry where the average charge for a loop delivery is $4.50. This substantial increase even from the past year, when sales were at $2.3 million. INNOVATIVENESS OF PRODUCT OR SERVICE OFFERED When Phyllis Apelbaum started Arrow, she was the first woman in Illinois to be granted an Illinois Commerce Commission license, and that only after 17 attempts. Being in the business for many years prior to that had formed her ideas of what was important for a messenger service, and what clients were looking for in a service. Today Arrow upholds those originals ideals of fast, courteous, dependable service to their clients. All couriers are required to be in full uniform at all times, which includes black pants, yellow shirt with company patch, and black tie. A courier represents not only the company that employs him, but also the client he is making a delivery for, and they should feel confident that messenger is making a good impression for them. Phyllis was one of the first in the area to offer clients a direct service for urgent needs, called "SOLO" service. Many times her creative abilities have been pressed into service to solve a client's request for unique delivery needs. RESPONSE TO ADVERSITY Even from the start, there were problems for Phyllis in founding her own courier service. Because there had never been a woman licensed by the Illinois Commerce Commission before, it took her 17 attempts to obtain her operating license. Just in the past year, the steady growth for Arrow had brought about some problems with the computer system that was being utilized. In September of 1989, Arrow went on-line with their own mainframe computer. This transition went smoothly for the staff and clients, due to careful planning and preparation. Keeping the clients informed of steps before they happened helped alleviate their concerns. In the messenger business, every day brings a new challenge to be met. When clients call for a delivery, they're already late. Working in this industry brings its own kinds of pressure, and Phyllis recognizes the fact that these problems need to be dealt with from an employee standpoint. She is always ready to help in whatever way possible when someone is feeling the stress a little more than usual. EVIDENCE OF CONTRIBUTIONS BY NOMINEE TO AID COMMUNITY-ORIENTED PROJECTS Phyllis most recently is working as the Chairperson for the Auxiliary Board of the Lakefront SRO program, which is developing housing for the homeless in Chicago. She is President and Co-Founder of the Messenger Service Association of Illinois, and Treasurer of the Administrative Management Society Chicago Chapter. She works with the Variety Club, Lambs Farm and the Heart Association. Professional groups she is involved with include: National Association of Women Business owners, Network of Women Entrepreneurs, The Chicago Network, Executive Guild, Ltd., and the Chicago Association of Commerce and Industry. Phyllis Apelbaum is a consistent volunteer mentor, counselor and presenter for the Women's Business Development Center. She has been a keynote speaker at conferences, a mentor for small women owned businesses, an advisor to growing snd expanding women business owners and a major contributor to the growth of the Center. CHICAGO SUN-TIMES MONDAY, DECEMBER 18, 1989 PAGE 43 Arrow Messenger's owner moves as fast as those guys on bikes ESTANCERS CARRY By Patricia Moore CHICAGO'S Phyllis Apelbaum, the founder and owner of one of the most successful messenger services in Chicago, knows about basic mo- tivation: the need to put groceries on the table. She learned that at the age of 14 when family circumstances forced her to quit school and find a job. Two years later she joined City Bonded, a messenger service where hard work and dedication eventually put her into the post of office manager. When she started Arrow Messenger Ser- vice the motivation was even keener: She worked as much as 20 hours a day and slept on the office floor to get the business going. $ $ "I'm addicted to work," Aplebaum con- fesses. And it has paid off. She has made a The risk number of close, lasting friendships, beginning takers with the owners of City Bonded, Irving and Na- dine Mansfield, and her business has flour; ished. This year revenue jumped to nearly $3 million from $2.3 million in 1988. She estimates that the 15-biggest messenger services probably share about $68 million in yearly revenue. Apelbaum, cheerful and talkative, is clearly the maternal type. She declares that starting Arrow was "like the birth of a child. I see myself as the mother, and the people here are my children. As the years go on you hope you've given them the SUN-TIMES/Tom Cruze fundamentals." Phyllis Apelbaum, founder and owner of Arrow Measen when people call for pickup. They wanted It an hour ago. It's yes She insists, tob, that she firmly believes Service: "There is such adrenaline in this job. It's late already a high-anxiety job. Turn to Page 46 own Jian mat to move tarks from to to her were noing screaming like a fish seller on in Going Places even all SQ the sure to up in gne way guar, no growth" until the last couple of Arrow Maxwell Street." years, when increases were more The commissioner, Charles A. dramatic. Arrow now is housed in Freeman (now an appellate court its own building off the Kennedy into. Ao Continued from Page 43 judge and candidate for the Illi- Expy. at Milwaukee and Augusta honesty, hard work and good eth- nois Supreme Court), was dumb- and employs 100 messengers. The get ideas ics will be rewarded. "But you founded, then perturbed, at the full staff including office workers have to love what you're doing." litany of obstacles Apelbaum had numbers 125-150, depending on She recalls with relish the near- encountered. the use of part-timers. ly 14 years she worked with the Freeman promised her he would Apelbaum credits some of the Mansfields. "They taught me, investigate the long delay and, in growth to the boom in downtown mentored me, loved me and the meantime, issued a temporary service businesses and Arrow's showed me how to live in the real license. Apelbaum was ready to go. name recognition. Other factors AESEN world. I blossomed in that envi- She opened Arrow Messenger in are better-paid clerical workers, ronment and, in return, I gave 150 November, 1973, in the basement who no longer are sent on pickup percent." Eventually the Mans- errands, and later mail deliveries fields, now deceased, decided to to Loop offices. "We pick up mail sell their business to Cannonball. at the main post office at 7 a.m. Apelbaum stayed on but says she " love my for a number of clients," she said. had "personality differences" with "There is such adrenaline in this the new owners. life. I live on job," she observed. "It's late at- The death of her 57-year-old ready when people call for a father forced Apelbaum to rethink the Gold pickup. They wanted it an hour her life. She remembers flying ago. It's a high-anxiety job." Arrow home from her father's funeral in Coast, I like has regular rush pickups to deliver Los Angeles, tears streaming down blood to medical centers. her face, as she considered one sad the hustle and About 90 percent of Arrow's bus- aspect of his life. A repairer and iness comes from graphics, artwork, zeseller of pianos, her father bustle. advertising agencies and printed hadn't been able to achieve his " material generated by law firms relatively modest goal of going to and other businesses. The remain- Hawaii for vacation. ing 10 percent comes from retailers "That's when I decided to quit. including Nieman Marcus, Bloom- My job wasn't the same, the love of the 333 N. Michigan building ingdale's and Polk Bros. was gone. There's more to life than with $70 worth of used furniture, Apelbaum will be 50 next year. working at a job you don't enjoy." three messengers and assurances Her son, Mark, 34, is with the At the urging of the Mansfields, from two corporate clients from business and is deciding if he Apelbaum decided to start her her City Bonded days that they wants to make it a long-term ca- own messenger business. It took would give her some business. And reer. "We're getting ready for the nearly a year and 17 hearings by she got a full-fledged license. next generation, and I guess I the Illinois Commerce Commis- But Apelbaum had to hustle have to let go a little. I'm stepping sion before she became the first more business. She personally back in some areas." In the next woman granted a license to oper- gave leaflets to every tenant in the breath she talks about the long ate a messenger service. 333 building and immediately won hours she and staff members have "One of the questions I was more business. Apelbaum found spent putting in a new mainframe asked at the hearings was whether herself regularly working until computer system. J could fix a truck. I said I could long after midnight and needing Still, she declares, "I love my probably do it as well as Mr. to be back at 6 a.m. when the life. I live on the Gold Coast, I like Mansfield, who knew nothing messengers arrived. That's when the hustle and bustle, the restau- about repairing vehicles." she took to sleeping on the floor. rants and theaters and museums." After what was to be the final "I didn't even have a blanket," She adds that she has a weekend hearing, Apelbaum stormed into Apelbaum recalls. place is Wisconsin where she goes SUN-TIMES/Tom Cruze the office of ICC commissioner The company had had what to "look at the stars, hear the Founder and owner Phyllis Apelbaum poses outside her Arrow and, by he acription, "started Apelbaum calls "nice consistent birds and en to God's voice." Messenger office building at Milwaukee a Augusta. dan the play Businesswomen of Chicago, Unite at 20 gives By Debbie Gulecki 24 your C hicago is a good place for people who believe in hard 89-6 work," says Phyllis Apelbaum. "If you open a little cart on Milwaukee Avenue and work at it, within a week you'll be able to make a living selling hot dogs. That's just the way it is." She is living proof that the role of small entrepreneurs, especially women entrepreneurs, is growing rapidly in Chicago. Fifteen years ago, Apelbaum's company was ARROW one of only 7,000 or so companies that women ran at that time in Chicago. By 1988, the count had more than tripled. Much of this growth can be attributed to the entry or reentry DAVID CARTER of women into the workplace generally. Four out of five small Woman with a message "Chicago is a good place for businesses started in America in people who believe in hard work," asserts Phyllis Apelbaum (center). Today ber Arrow 1987 were founded by women. Messenger Service employs 150 people and bills more than $2.5 million annually. However, the Chicago area has proven to have certain unique Development Center, which So she decided to start her own attractions for women and other provides counseling and varied messenger service. minorities over other parts of the workshop series. One almost insuperable obstacle country. The city, during the admin- But the struggle to found and then to her dream was financial: She had istration of the late Mayor Harold successfully administer a company only $3,500 to cover all start-up Washington, began the "Minority in Illinois, especially if you are a costs. Those thousands quickly Set-Aside" program. Under its woman, remains a difficult one, as disappeared as she faced the next auspices, twenty-five percent of Apelbaum's story illustrates. obstacle-the legal one. In order to all city contracts are bid out to Beginning at the age of twenty, run a messenger service in Illinois, minority contractors, and another she spent fourteen years as a a person must be licensed by the five percent are targeted specifically dispatcher, first at one messenger state. But in 1974, some state officials to women-owned businesses. In service and then another. After a were openly skeptical of a woman's addition, the State of Illinois has decade and a half, though, Apelbaum ability to start, let alone oversee, established the Women's Business was overqualified and restless. such a service. After seventeen 58 ILLINOIS fruitless hearings before the COMING BACK fied in Illinois. Retailing, for example, Commerce Commission's hearing continued from page 57 is now providing more new jobs every examiners, Apelbaum's money was year than is any other industry. Finan- gone and she still had no license. ing to a 1988 Fortune magazine article. cial services have become equally im- Broke but undaunted, she made one Lawson concurs. "It's certainly up portant to the economy, especially in last desperate phone call, to then there," he says. The company had the Chicago area. Chicago has almost Commerce Commissioner Charles no choice but to update: "What we 1,300 banks. These provide jobs for Freeman, and explained her problem realized is that we are now facing a more than 100,000 people. The finan- and her hopes for the business. He globalized and much more competi- cial exhanges-the Mercantile Ex- personally granted her the necessary tive marketplace. We had to streamline change, the Board of Trade and the license. Arrow Messenger our operations. We had to cut costs. Midwest Stock Exchange-employ Service was born. And we had to change our employee 33,000 more (and are indirectly respon- Arrow's announced relations, give our workers more sible for up to 110,000 additional jobs). willingness to deliver responsibility for quality and even Both the Mercantile Exchange and the anything legal, from their own management. Those are the Board of Trade have installed com- computer parts to things we have tried to do." puterized, worldwide networks that body parts to homing And Deere has succeeded. Despite will allow for twenty-four-hour trading pigeons-and to do so the drought of 1988, which cut farm of commodities and options. That de- in tuxedos if requested- profits and thus equipment sales, velopment is expected to increase has made it one of Deere turned a profit of $288 million profits-and jobs-significantly over Chicago's most pros- in 1988, following years of losses. the next five years. perous messenger The same resurgence is in evidence "Illinois is now a service-driven services. Today, the throughout the Illinois economy. Em- economy," says Dederick, "more so company has moved ployment in 1988 reached record lev- than a manufacturing or an agricultur- to a new headquarters els. Unemployment hovered at or al economy." What that means, he con- about five minutes below 5.8 percent. Personal income tinues, is "strength. Diversity is a good outside Chicago's set a record of more than $180 billion. thing, because when the next recession central business district, And the productivity of Illinois work- hits, Illinois will not be as hard hit. Ser- employs 150 people ers, according to the Midwest Manufac- vices are much more recession-proof." and bills more than turing Index, is growing at a rate of The state is recession-proofing itself $2.5 million every year. nearly 3.3 percent, 20 percent higher in other ways. The state government is than the growth nationwide. actively promoting a wide variety of B est of all, with How did this happen? And how did new industries-from high-tech com- the passage of it happen so quickly? panies to auto parts makers-through time, Apelbaum's one- "Several reasons," says First Nation- the use of "enterprise zones," which time liability-her al Bank's Swonk. "The lower dollar provide new and existing companies gender-has been trans- helped. Exports are up to some degree with tax breaks and other incentives. formed into an asset. [see "If Illinois Were a Nation page "There's a great deal of resilience in the "Chicago has one of the 62]. But at least as important is that the new Illinois economy," says Swonk. "In strongest women's networking sys- state's manufacturers have reshaped many ways, it's stronger now than any tems anywhere," she says. "I know of themselves. They have become much of its neighbors. And, as the farm econ- at least twenty-five networking groups more competitive." omy picks up-which, barring anoth- myself." They provide her and the Paradoxically, an even more impor- er drought, we expect to happen this other members, she continues, with tant component of Illinois's economic year-that will add to the recovery." a support structure and, more im- recovery has been that its manufactur- If any further evidence were re- mediately, with leads and general ing base sunk so low. As a result, manu- quired, one need only visit the former information about how and where facturing is now a much smaller Union Stock Yards. This once decayed to do business in Chicago. element of the overall economic mix. area has been transformed into an in- "When you're the head of a cor- It has been supplanted by services. dustrial park. Two hundred new busi- poration, your employees come to This change mirrors a reshaping of nesses cluster here, including small you for answers. You're expected to America's economy overall. Today, on manufacturers, and soon, several retail know," Apelbaum says. "But all too the national stage, jobs in service outlets. Four thousand people now often you don't." She pauses and industries-retailing, tourism, sales, work in the Yards' confines. Another laughs. "Luckily, I've found that if financial services and so on-greatly 2,200 new jobs are expected to be I don't have the answer, one of the outnumber jobs in manufacturing and created as the industrial park grows. other women I've gotten to know are growing at a more rapid clip. The ghost of economic vibrance usually will. What a relief." That development has been magni- past has returned. ILLINOIS 59 1990 SMALL BUSINESS PERSON OF THE YEAR 2ND RUNNER-UP (TIED) Joseph Massimino, President Helene Massimino, Vice President Oatmeal Studios Box 138, Town Road 35 Rochester, Vermont 05767 (802)767-3171 The little man with a banana in one ear, an ear of corn in the other, and a pencil dangling from his nose gazes out at you. "Things are pretty normal around here," he comments, and then asks, "What's new with you?" That banana man with the offbeat query is a good example of the lighthearted humor that this rapidly growing Vermont greeting card business spreads around the world. Oatmeal Studios began in 1979 with an SBA-guaranteed loan and two hand- screened designs that were sold, in lots of 20 greeting cards each, to one store. First-year sales exceeded $10,000 and led the Massiminos to research further the potential of the greeting card market. Sales at Oatmeal Studios have increased steadily - the company achieved sales of $2.9 million in 1989. The product line has grown to include almost 1,000 designs and the staff has increased to 21 full-time people. The company's products are distributed throughout the United States, Canada, the United Kingdom, Germany, France, Belgium, New Zealand and Singapore. Oatmeal Studios has developed into a business that can operate in the unique and outstanding environment of Vermont and still reach and benefit from a national and international market. Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 03. Application Small Business of the Year, re: Joseph and Helene 11/21/89 P-6, (b)(6) Massimino; personal information redacted. (1 pp.) Collection: Record Group: Bush Presidential Records Office: Speechwriting, White House Office of Series: Speech File, Backup Subseries: WHORM Cat.: File Location: Small Business Person of the Year 5/8/90 Date Closed: 10/18/2004 OA/ID Number: 06898 FOIA/SYS Case #: Re-review Case #: 2004-2265-S P-2/P-5 Review Case #: MR Case #: Appeal Case #: MR Disposition: Appeal Disposition: Disposition Date: Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advise between the President and information [(b)(4) of the FOIA] his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of personal P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of gift. (b)(8) Release would disclose information concerning the regulation of financial institutions [(b)(8) of the FOIA] PRM. Removed as a personal record misfile. (b)(9) Release would disclose geological or geophysical information concerning wells [(b)(9) of the FOIA] U.S. SMALL BUSINESS ADMINISTRATION OMB Approval No. 3245-0125 Expiration Date: 7-31-86 NOV 2 9 1989 CANDIDATE FOR APPOINTMENT to the A Montpeller, SMALL BUSINESS PERSON OF THE YEAR SOCIAL SECURITY NO. JOSEPH F. NAME: 9 HELENE MASSIMINO (First) (Middle/Initial) (Last) POSITION, NAME AND ADDRESS OF BUSINESS OR EMPLOYER: PRESIDENT ANDVICE PRESIDENT/ CREATIVE DIRECTOR, OATMEAL STUDIOS, Box 138, TOWN RD 35, ROCHESTER VT 05767 TYPE OF BUSINESS: GREETING CARD MPR/WHOLE PHONE: INDICATE PREVIOUS OR PRESENT FINANCIAL (INCLUDING DEVELOPMENT COMPAI SORETY BOND, OR CONTRACTUAL ASSISTANCE WITH SBA. GIVE APPROXIMATE DATES AND TYPE OF ASSISTANCE. 1978 10,000 Bank/SBA Loan To establish Oatmeal Studios HOME ADDRESS: Box 329 , ROCHESTER VT 05767 (Please include post office and zip) SERVICE ON FEDERAL BOARDS, COUNCILS on COMMISSIONS (Indicate previous or present): NO IF EMPLOYED BY A STATE GOVERNMENT, IS IT AN ELECTIVE POSITION? Yes No NA V ARE YOU ON A FEDERAL PAYROLL? Yes No 12/24/52 PLACE OF BIRTH: BRONX, NY (BOTH) BIRTHDATE: 4/14/53 CONGRESSIONAL DISTRICT VERMONT The authority to obtain this information is contained in 5 U.S.C. 301, 15 U.S.C. 634(b), 44 U.S.C., 3101. Routine uses of the information are: To member. respond to a request from a member of Congress regarding information about an Advisory Council To disclose information about an Advisory Council member to general public. To respond to requests from the General Services Administration. Date: 11/21/89 (Signature) (This must be signed as a condition of the appointment) SBA FORM 898 (10-83) REF: SOP 90 3 Previous editions are obsolete. GPO 902-518 SNALL BUSINESS U.S. SMALL BUSINESS ADMINISTRATION FEDERAL BUILDING, POST OFFICE BOX 605 1953 MONTPELIER, VERMONT 05602 Tel. No 828-4422 TO WHOM IT MAY CONCERN: This is to attest that Oatmeal Studios of Rochester, Vermont is a small business according to 7 (a) loan standards. Industry size standard is 500 employees for printers of greeting cards (SIC 2771) and subject business employs only 21. SBA Form 898 haws been submitted to Joseph Azzarano for clearence under SBA's civil rights requirements. Owners of this business, Joseph F. Massimino and Helene L. Massimino, have been negotiating with a potential purchaser. If a sale takes place, it will likely happen prior to small business week (May 7-11, 1990). Business will remain at its present location and Joseph and Helene Massimino will remain employed by the business for at least one year following the sale. These facts came to light after the awards committee of Vermont Advisory Council had made its choice. Ora H. Paul District Director SMALL BUSINESS PERSON OF THE YEAR NOMINEE JOE MASSIMINO President/CEO HELENE LEHRER MASSIMINO Vice President/Creative Director OATMEAL STUDIOS ROCHESTER, VERMONT 05767 CRITERIA A. STAYING POWER HISTORY OF BUSINESS Oatmeal Studios began in 1979 when Helene Lehrer Massimino hand-screened two designs and sold them in lots of 20 cards each to one store, the Frog Hollow Craft Center in Middlebury. This limited production sold well and the success of early business was gratifying and encouraging. Increased efforts were then directed towards marketing and productions areas including the development and release of a 24 note card line which was commercially printed. This line was marketed to a number of smaller retail outlets in Vermont directly by the Massimino's and the success in these 1979 sales exceeding $10,000 led the Massimino's to further research the potential of the greeting card market. At the end of 1979 they unveiled a line of 36 full size greeted cards. Through 1980 they added additional designs in Christmas and Valentine's Day to result in approximately 80 designs by the end of the year. Gross sales for 1980 had jumped seven times - to over $72,000 for the year. At this time Joe and Helene were still a two person company although the success of the cards had led to contracting with a few sales representatives in different parts of the country. The early designs were quickly accepted by consumers, and in the period 1980 to 1981 (still operating 1 essentially as a two person company) Oatmeal Studios' sales more than doubled with gross sales for 1981 of $173,000. In the period from 1981 to 1983, the Massimino's further developed their potential within what was defined as the "alternative greeting card market", a growing segment of greeting card sales in the United States. Joe and Helene participated in research activities including trade shows and investigation into the business end and handling of the company. They also enlarged the product line into stationery, widened the special occasions for which the greeting cards were produced, and also produced notepads. In anticipation of future growth, the building they were leasing was purchased in July of 1981. Major growth for the company occurred in 1984. The company had four employees at that time, but by the end of 1984 had grown to ten, primarily involved in production, shipping, and business and office management. In the period 1981 to 1984 the company sales increased almost 130 percent. In 1984 the company's sales were over $393,000. By the end of 1985 they had increased another 68 percent and by 1986, the company had broke the $1,000,000 mark and had gross sales of over $1,300,000. 2 In 1987 sales grew to close to $1.8 million and in 1988 to over $2.2 million. Oatmeal Studios will achieve sales of 2,900,000 for 1989 and has close to 1,000 designs in their current product line. The company's products are distributed throughout the US, Canada, Bermuda, United Kingdom, Germany, France, Belgium, Australia, New Zealand and Singapore. The company has additionally authorized licensing and printing of its product in the United Kingdom and Australia. Oatmeal Studios projects strong future growth. This is based upon its past performance, product quantity and excellence, the increasing consumer acceptance of their designs, and its analysis of a variety of factors: 1. The company sees the alternative greeting card market increasing in size and territory throughout the United States. 2. The company feels that its performance and future growth is indicated by increasing infiltration into the alternative greeting card market. It is in more stores and has more space in those stores primarily as a result of quality product and aggressive sales and marketing efforts which 3 include special programs dedicated to increasing that space. 3. The company has been successful and continues to expand its product line. Their Designer Post-It Notes, and Magnetic Pads have done extremely well and continue to expand into new markets. Oatmeal has not only been successful in marketing its own designs and items but has been involved in licensing with other companies. Oatmeal designs are now on various products including balloons, bookmarks, paper plates, napkins, paper cups, and other party goods. B. GROWTH IN NUMBER OF EMPLOYEES Original number - 2 Currently - 1989 - 21 It is important to note that significant growth has occurred in the number of outside personnel and free-lancers. The United States sales rep force has grown to 125 and the Canadian rep force to 20. The number of free lance writers has grown from 0 to 350. 4 The number of free lance artists has grown from 0 to 7. C. INCREASE IN SALES DOLLARS 1979 - $10,454 1985 - $659,771 1986 - $1,338,315 1987 - $1,785,113 1988 - $2,222,778 1989 - Projected $2,900,000 D. CURRENT AND PAST FINANCIAL REPORTS E. ORIGINAL ENTREPRENEURSHIP Oatmeal Studios was started by the two nominees in 1979. F. INNOVATIVENESS OF PRODUCT OR SERVICE OFFERED Oatmeal Studios is an extremely creative and imaginative company. The products they manufacture are the result of developing original concept and a great variety of humorous writing. This is combined with colorful and eye catching graphics to produce a unique line of products. Their high level of creativity can also be seen in their trade show booths and the catalogs and sales literature they print. 5 Innovative sales and marketing approaches include special plans and programs available to the retailer and unique merchandising units to display product. The innovativeness of design is evident in the desire for other companies to use Oatmeal Studios' designs on their products. Oatmeal Studios has developed into a business that can operate in the unique and outstanding "environment" of Vermont and still reach and benefit from a national and international market. G. RESPONSE TO ADVERSITY A major challenge faced by Oatmeal Studios has been the extremely competitive nature of the industry. It is an industry which is continuously demanding new and exciting product that will sell profitably. Oatmeal Studios releases hundreds of designs each year to meet this challenge and has been very successful in its rating of retail sellability. This rating has been within the top 5% of the industry. The challenge of competition has also been met by the development of a strong sales representative force, aggressive marketing plans, and a responsive customer service and sales department. BOB- 6 another H. EVIDENCE OF CONTRIBUTIONS BY NOMINEE TO AID COMMUNITY ORIENTED PROJECTS Rochester Playground Project - Oatmeal Studios contributed to the project by donating money, setting up a Christmas card fund-raiser with the school children, and by designing and donating a T-shirt design for the Harvest Fair fund- raising. Russian Peace Mission - Oatmeal Studios made donations for a trip to Russia by one of our town's students. We also donated cards and notepads to be given out. This was thrill for us as our logo with "Rochester, identifies where they came from. Valley Athletic Programs - Oatm our valley's athletic progr participates in the sof Dandelion Day products fr to outstanding students, and all participants received art- related prizes. The project was successful in promoting artistic talent and enabling the students to see the result of their efforts. Gifford Memorial Hospital - Oatmeal Studios has made a 5 year commitment to the hospital's building project. In an indirect area of contribution to the community, the nominees made a particular effort involving considerable resource in the design and construction of their new 22,000 square foot facility. The building and grounds fit in aesthetically with the character of the town in an environmentally conscious way. I. PERSONAL CHARACTERISTICS The nominees reflect favorably as model representatives of the Small Business Association. It should also be pointed out that they were selected as the Business Persons of the Year in January of 1987 by the Rochester Valley Chamber of Commerce. The Rochester Valley Chamber of Commerce includes businesses from Rochester, Hancock, Granville, Stockbridge, and Pittsfield. 8 J. COMPLIANCE WITH THE SMALL BUSINESS ASSOCIATION'S CIVIL RIGHTS REQUIREMENTS. K. DEMONSTRATED INITIATIVE IN THE FOLLOWING AREAS OF NATIONAL INTEREST Employment of the handicapped - workshops in Vermont are used for several areas of our manufacturing and packaging processes. The nominees are also sponsors for the Special Olympics. Employment of disadvantaged individuals - nominees have hired employees through the State Targeted Jobs program and special training programs. Energy saving - nominees included energy saving design in the construction of their new facility. This includes high levels of insulation and weatherstripping, energy saving building material, and high efficiency mechanical systems. Environmental improvement - in the design of their new facility, environmental concerns include site location, cultivating the site area for agricultural purposes, and protecting the river bordering the property. Oatmeal Studios is a pollution-free, clean business, whose facility fits in well with the environment. 9 Maby 1 HOPE YOU GST WILL - The Last time Mone fett the - Things harmen and Eleabeth - to driows IT TAMES THREE PEOPLE to - YOU AT - ⑉ RD Dwner Oatmeal goles Recipe: VT. couple that has people and Add a Dash of Humor By Sandy Cooch The little man with a banana in one bizarre, it's not offensive, he said. four free-lance artists employed by "We can take a project from start to oversees the creative arm to to each other and the company.' se an car of corn in the other, and a pencil "You could say it's fun, appealing. Oatmeal Studios. finish in two to three months,' said He was educated as a/civill engineer, Massimino. "We really operate as dangling from his nose gazes out at you. upbeat, positive, be added. "Our humor is all homogenous,' Lehrer. "R would take Hallmark two or be is apparently born businessman. I Things are pretty normal around "h helps to communicate between commented Massimino. "All of our humor three years." she added. His education, be knowledged, gave "h's probably the best group of people here. be comments, and then asks people, said Lehrer is a certain kind of humor. and that humor As an example, Massimino pointed out him "a certain amount company could have, be said. "What's new with you? Our cards make fun of everyday is carried by a vehicle-which is a that he had decided three months ago "to certain amount of planning skills. "And they re creative, added Lehrer That banana man with the offbest query situations and provide relief for some character get together with 3M. with a proposal "to in Ten Years "We'll probably sell more than eig is the top seller in the Oatmeal Studios anxieties. she added. Card graphics are signed by the artist bring color and design to a generic It is difficult to predict where the million cards next year, and maybe greeting card collection. There are cards for divorcees: "You're Lehrer still does a significant amount of the product. business will be in 10 years, said million to a million netspads, as He's also a good example of the divorced sow and a whole new person. art herself. is this case the generic product is "Post- Massimino. since the last few years have Massimino. lighthearted humor that the rapidly You're exciting, vivacious, beautiful My A new line of cards, "Oatmeal with Fruit It" notes, the little yellow tags you see been "so phenomenal. 'When you think of the numbers growing Rochester business spreads God. you're competition!' and Nuts." features the artwork of stuck on office memos, reports and "I'd like to see the company grow M people who read the cards. it could around the world. There are cards for pregnant women: Pittsfield artist John Kennody refrigerators everywhere. large and as quickly as is comfortable for tens of millions of people that we a That's right, around the world. "The last time Mona felt this way it was The cards are priated in Massachusetts Oatmeal Studios-designed "Post-Its" everybody, be confessed making laugh.' be continued The little alternative greeting card traced to an All you Barbequed and shipped back to Rochester for are already in production. Everybody" is the Oatmeal Studios "We help communicate fun company. started seven years ago by Rib Dinner' but this time she had a bunch packaging into twelves and eventual Massimino, president of Oatmeal staff, and Massimino and Lehrer both happiness. k's a rewarding kind Helene Lehrer and Jeseph Massimino, is something might be different. Congratu- shipping Studios, watches over the business arm of lauded their employees. business, be concluded. now a big alternative greeting card lations. Oatmeal's humor and tight design the company as skillfully as his wife 'All the people here are very committed company that will probably sell more than There are cards for retirees: "Yay, produce cards with a high retail popularity eight million cards next year in the U.S., retirement is finally here. My advice or "sellability." Independent market Canada, the United Kingdom and Am Don't stay home with nothing to researchers have placed Oatmeal Studios trable. do. Go pester your kids for awhile in the top 20. in an industry of 500 The rapid growth of the young business And there are the regulars birthday companies has been nothing short of phenomenal. cards for example: "Happy Birthday Presently, Oatmeal Studios sales are Husband and wife team Massimino and want to know how you stay so fit and briskest in several diverse states--Discis, Lehrer. both 33, started Ostmeal Studios in trim-looking have you been using the Massachusetts, California and Texas. The 1979 with "two designs and so capital. trash compactor on your thighs? cards are also sold in England and Canada, Learer silkscreened the cards at home, There are also seasonal cards for and arrangements have just been made to while Massimino did the marketing, Christmas. Valentine's Day, Mother's distribute in Australia. packaging and shipping from a tiny, Day. Father's Day and so on. Vermont sales are only a small part of third attic room - Rochester's Main All in all. Ostmoal Studios has developed Oatmeal Studios market. Street. a line of more than 700 card designs. and a But we have 100 percent saturation in Today, Outmoal Studios barely squeezes line of 36 "Post-It" notes will be added Rochester. Lehrer joked. tasto that three-story building There are next year. An independent sales representative Sunnum attractive offices, a clattered design The carefully controlled design process, convinced Lehrer to expand her business studio, rooms for packing and shipping, overseen by Creative Director Lebrer, into full-scale production. and rooms packed colling high with boses begins with the gage. And now Oatmeal Studios relies on a of cards. Pirst,' said Learer, "the ideas come corps of independent of The full-time staff of 18 is backed up by a in. them throughout the U.S.- sell its team of free-lance artists and writers and a Some are contributed by 25 steady cards. nerwork of independent sales represen- free-lance writers, others by in-house staff, Lehrer and Massimino cam't say enough I including a full-time editor. good things about their "sales reps. Sales have doubled in the past few years, Some of the ideas even come from the They make a point of soliciting their and it's likely that they M double again next independent sales representatives who sell salespeopies input, they said, and they year, indicated Massimino. the cards throughout the country. back them up with services and programs in the $5-billion greeting card industry, The ideas are sorted through and some to help sell the product. dominated by big companies such as are selected. Then there is a second One of the secrets of the business' Hallmark and American Greetings, Out- selection process in which the ideas are success, agreed Masimino, was its sales meal Studios has loand its niche. "And refined "to where they are completely force. Another secret, be said, "is getting our niche is, basically, our humor," said accepted by us. as Lehrer said. the product out on time Massimino. But that's not enough Speed is Searet There is a wide market for that humar, Test Marketing That latter point, be said, was a chief be noted. Then Oatmeal Studios does - market. distinction between Oatmeal Studios, and What is's Net log on the written material alone. after greeting card giant such as Hallmark. It's hard to pin down a definition of the which final selection and reflacements are "We're more willing to take risks Oatmoal Studios brand of humor. made. into new areas." be said. "We have the "k's casier to say what it's met," offered Fleally, the ideas are matched to the ability to take a concept, research it and Massimino. different graphic styles and characters that develop it, and get is isto retailers' hands Joseph and Helene Labrer - the amotive busband- - foot-growing The not corny it's not punny. it's not have been developed by Lehrer and the many times faster than a Hallmark company, Outmont Studies. Photo by Sandy Cooch Joseph Massimine sas Helene Lebrer of Outmeal Studies worked hard to bring their greeting card company Into - Industry dominated by a few huge companies. Their success was recognized locally when a Rochester Valley Chamber of Commerce named them "Business team" of the year for 1986. Oatmeal Studios Named 1986 'Businessteam' Rochester Valley Chamber of and now employs a full-time Commerce's 1986 Businessman staff of 18 backed up by a team of the Year took a surprise of free-lance artists and writers turn-It was a "Businessteam" and a new network of independ- of the Year-Helene and Joseph out sales representatives. Massimino of Ostmeal Studios. They are a talented young Sales have doubled in the past couple who have accomplished few years, and it's likely that much and have a great future they 1 double again next year, with their planned expansion. Indicated Massimino. 'Our The alternative greeting card niche is basically our humor. company started seven years he said. ago is now a big company that will probably sell more than The RVCC annual meeting eight million cards in the U.S., was held at Annabelle's with a Canada, the United Kingdom buffet dinner served in the and Australia next year. The pleasing setting of the restaur- ant. rapid growth of the young business has been nothing short There was a good attendance of phenomenal. to enjoy the evening and hear The husband and wife team the speaker of the evening, Jim started Ostmeal Studios "with Guest, Secretary of the Agency two designs and no capital," of Affairs. Development and Community JAN.1987 Something's Cooking at Oatmeal Oatmeal Studios Greeting Cards has begun construction of a 22,000 square foot building, south of Rochester. The facility will house office, production and warehouse operations for the company. Financing is through a joint program, Including Vermont Industrial Development Authority, Green Mountain Economic Development, and the Randolph National Bank. From left to right are: Richard Robson, architect; Earle Simpson, president, Simpson Construction; and Joe Massimino and Helene Lehrer of Oatmeal Studios. White River Vall March 27, 1986 WINNERS By Heidi Comes III. By Jody Jesso Oatmeal Studios of Rochester needed three more designs to complete their portfolio of 1986 Christmas cards, so called on Hancock Elementary School students for their artistic assistance. The studio chose three designs which Helen Lehrer-Massimino adapted into cards which will be distributed world-wide. In addi- tion to the three winning designs by Jody Jesso, Heidi Comes and Sandra Carden, Jason Bass and Jesse Isaac- son were cited for artistic excellence. Prizes were also awarded to 23 other children who submitted Christmas designs. By Sondra Carden EXCERPTS FROM A RECENT 152 PAGE PUBLICATION ON GREETING CARD DESIGN FEATURING THE WORK OF OATMEAL STUDIOS. II OKEETIN CARD DESIGN & and pucker your your y € ILLUSTRATION Fill your heart with love! EVA SZELA the Romantic Love sending situation as a whole. When that is what you want to create, it's important to know how to do it, and do it effectively. S aying "I love you Another important consideration in is so much more this category is the representation of than an expression of our feelings This is an excellent example of a the sexes in your illustration. If you It's a two-way commitment couple rendered realistically so that are rendering a couple realistically, as between hearts they might be anybody, with any in the illustration below left, then you between lives color of hair or eyes. This makes will automatically indicate a man and It's not expecting too much the card appropriate for a greater a woman (or a boy and girl if you are from each other too soon number of Romantic Love sending doing a card for teens). If a different but taking time to build our relationship situations. styling is used and you are depicting on trust and respect the couple through two animals, as It recognizing our differences shown in the illustration of the two as well as our similarities, teddy bears, flowers, or perhaps birds and seeing those differences as a way realizing that the things flying off into the setting sun, give to complement each other that make each of us special and unique also make our relationship some consideration to how you're It's accepting each other's shortcomings special and unique It's being friends going to indicate which is male and but emphasizing the strengths, liking each other as well, as which is female (otherwise it could encouraging the successes loving each other It's remembering look more like Friendship). Making but still loving during the failures that even though we're we close we each deserve distance, one smaller than the other is the fre- that even though we re together, we each deserve our sobtude quent solution to this problem since It's sharing the sad and happy the wrong and right women are more often the slighter or the worst and best and through everything shorter of the partners. atill believing that "/ love you" is worth it of Animals representing the couple are an excellent solution because then the specific physical characteristics of the actual couple are avoided. Color of hair, kind of build, degrees of attractiveness, and race are all set aside. If you use the two birds flying This illustration is a good example off into the setting sun, you then of the use of the heart motif in have an entirely appropriate symbol Romantic Love. Note the imaginative for every couple everywhere of the solution to the problem presented by the gender identification of Whimsical ideal perfection of their ever-lasting animals, here accomplished through love. the use of tiny personal accessories. The following step-by-step demon- This solution adds tremendously to stration is an excellent example of the Whimsy and charm of the card. using a couple of cute koala bears to illustrate Romantic Love. Love you 17 Country goose, also a great subject matter for this season. Some additional Christmas classics greetings are the dove, a symbol of peace; candles, an inspirational approach; angels, a charming example of which is the illustration shown far right. Redbirds, such as cardinals, provide ideal opportunities to work in the all- important Christmas red and are good traditional subjects as well. A delightful example of cardinals is in the illustration shown on page 78. The poinsettia is the flower most strongly associated with Christmas. Don't overlook the potential of almost any other flower (certainly the rose) used either in combination with holly and/or pine or with red and green items of some sort. For that matter, don't overlook both holly and pine as subjects in themselves. Things associated with winter will also work, like a winter bird or a snowman as in the illustration shown on page 78. The winter village also has a nostalgic association and can be designed in a charming way. The most general, all-purpose approach to a Christmas card design that can be all things to all people is a card that is predominantly editor- ial, designed with lettering as the focal point, with other understated elements complementing the whole. The illustration shown on page 79 is an excellent example, although the editorial isn't completely predomi- nant here. As with all the examples shown throughout the book, these are in- tended to inspire you by breadth of possibility in not only subject matter but style and technique. Study each The coziness and warmth implicit in the Coun- one and take from them those aspects try styling of this card are well suited to a suc- and elements that interest you, that cessful Christmas card. This example shows an seem pertinent to you and your way excellent use of a Christmas wreath based on the of working. Remember that these are highly popular Everyday welcome wreath. The not the only right ways of doing addition of a charming Country goose makes this Christmas designs. These are the ways that these designers, artists, and Joyous Greetings Holiday one a sure winner. Note how positive and yet still very general the editorial is. writers have chosen to do their designs. Yours should be entirely your own and completely different- completely you! 76 This illustration is an excellent example of Sur- prise used so that the viewer is led to believe a tremendous compliment is about to be paid. In- stead the idea is turned around into a risqué This example of Surprise in a Humorous card compliment rather than a general one and the strikes a chord of sympathy and support in this rhythm of writing is changed as well. Study the wonderful woman-to-woman Birthday card. Note manner in which the editorial goes from the lofty the chatty posture of the character on the cover and the abstract on the cover to the low-down and the cup on the table, both subtle suggestions and specific on the inside. This technique of close friendship and long conversations. augments the impact of the Surprise. r Another birthday and you're still I like you because of your lafty ideals, t not married. 6 to s your sense of fairness, 4 and your keen analytical wit. What are you waiting for - someone who's good looking, a 6 rich, sensitive, witty 4 6 s and perfect ?? of 4 P r 4 b 6 Created by Eva Szela Kikl''' © Eva Szela Fill your w THE FACT THAT YOU'RE Me too. A GREAT LAY HAS LITTLE HAVE A HAPPY BIRTHDAY! OR NOTHING TO DO WITH IT! 103 SEASONAL HUMOR All the devices you've just examined (and, of course, any new ones you in- vent!) can be applied to Seasonal greeting cards. The humor may be softened for certain seasons or occa- sions. Mother's Day, for example, is Mom, you will really a good opportunity for humor. Love appreciate this card or gratitude will usually be couched in the joke. An example can be seen in the illustration shown here. Father's Day is another good oppor- tunity for holiday humor. However, the humor is again light hearted and loving, frequently focusing on tradi- tional concepts of fatherhood. An ex- ample of a Father's Day card is shown opposite. Christmas is the biggest holiday for greeting cards. There is certainly an opportunity for Humorous Christmas cards. Some popular themes are holi- day stress, anything relating to Santa, reindeer, elves, chimneys, sleighs, mistletoe, shopping, gifts, merriness, and good wishes. Humorous Christmas cards are usually created from the M.Lehrer secular perspective of the holiday. You risk offense by making light of the Religious aspects of this holiday. Valentine's Day is very suited to Humorous greeting cards, especially Slams and Insults. The illustration of the woman, shown far right, is an in- teresting example of both the device of Surprise and that of the Slam in a Humorous Valentine. Themes are usually love-related or Valentine- related as in "Valentine, be mine nobody else will have you." Every holiday presents a Humorous opportunity. Let your common sense This is an excellent example of a Humor be your guide. If the holiday is based Mother's Day card. The humor is soft, t on a Religious event, tread lightly device is Surprise, and the subject matter and carefully so as not to give of- Mom and flowers, very Feminine in app fense. Otherwise, simply address whatever the basis for the holiday is, it's already try out a few of the devices for clean, neatly folded, creating humor that you've explored AND wrinkle- free! in this chapter, and have a go at the holiday of your choice. The jokes are there. Have fun with them! If you think you're funny, you probably are. 106 the Valley OATMEAL STUDIOS Oatmeal Studios sends its regards From the sleepy Windsor County town of Rochester, Oatmeal Studios markets an extensive line of greeting cards throughout the us and Canada - and even England and Australia. By Ed Barna of trends and fashions in the highly com- his spring Oatmeal Studios will petitive greeting card industry, Oatmeal T move out of its headquarters has no intention of leaving. in a two story house in the mid- "The town of Rochester is a real dle of Rochester, but it's not special place for us and for anyone who moving far. works for the company - in the sense The greeting card company's new of community and its size and just in 22.000-square-foot production and ware- terms of the physical beauty of the house facility on 10 acres along valley,' Massamino said. the White River will mark not only eight "It's a pretty hectic business, and it years of steady growth. but also a conti- always helps to contrast that with a nice, nuing commitment to the Windsor Coun- quiet environment when we need to. ty town where the company started. I enjoy that mix," Lehrer added. Begun as a collaboration between cur- The new building. with Richard Wylie rent president Joe Massimino and cur- Robson as architect, will use wood siding rent vice-president and creative direc- "in the tradition of a large Vermont- tor Helene Lehrer, Oatmeal Studios pro- style building," Massimino said, with jects sales of over eight million greeting the site intended to blend into the coun- cards and notepads this year. tryside. In that last respect, it will be Massimino and Lehrer are co-owners very much like its owners. Helene Lehrer and Joe Massimino, owners of Oatmeal Studios, have created of the company and now marital part- Both came to Vermont 13 or 14 years ago, leaving metropolitan areas for a full line of greeting cards and note pads. (Photo: E Barna) ners as well. Through an independent distributor, something that felt more like home, they the firm markets cards in Canada and said. "There has been a lot of support the US, and, through licensed overseas from the community and from the The first step, Lehrer said, was to the different relationships: father to production, reaches the United Kingdom town," Massimino said, "both for our establish a 'look,' a recognizable set daughter, sister to brother, and so on. and Australia as well. business and for our building project." of stylistic characteristics. In their case For Christmas, a market in itself. they US distribution involves 120 sales "I think it's important to the com- it was a look that is "humorous, color- have a line of cards in a more traditional representatives: independent salespeo- munity because it provides a certain ful, and fun." In an industry where there vein. ple who have agreed to take on Oatmeal's amount of jobs," Lehrer said. are more ecological niches than market Over the years that adds up to a lot line of cards in addition to stationery, According to customer service positions - where the offbeat, zany, of designs. "We started with two dozen gift wrapping paper, and other products manager Kelly White, the pair were in and outrageous are par for the course and over 1,500 designs have been created they market to various stores. 1986 voted the Rochester Valley - Oatmeal manages to combine in that time period, Massimino said, In addition to the 22 employees in Chamber of Commerce business per- mainstream appeal with consistent perhaps 2,000 including stationery Rochester, there are freelance artists and sons of the year, "the first time a business interest. designs. writers in New York City and Califor- team has been given the honor." "The humor is direct. It's not corny **It may be even higher than that," nia. Printing is arranged through com- Prior to Oatmeal's beginnings eight or punny, it's not rude, and it allows said Lehrer. who at this point sometimes petitive bidding and is presently done years ago, Massimino had been "pretty people to communicate a variety of finds herself creating new cards in her by several print shops, mainly in much self-employed,' doing carpentry, salutations about holidays and events," sleep. Massachusets. logging and work on cars. Massimino said. "I think the humor "It's a constant creation business." A collaborative venture between Lehrer had been an art major at Cooper in our cards works so well because it Lehrer said. ''It's trendy. it's fashion Oatmeal and 3M produced a line of 'post- Union in New York City. When she touches on subjects and situations that oriented.' One year pigs will be all it notes' that has become increasingly decided on the move to Vermont, she are common to a lot of people. but which the rage, then dinosaurs. or - who successful. The project entailed use of looked for ways to put her art skills we don't easily see the humor in,' he knows? 3M adhesive patents. to use. said. "You keep your ears open and you "There are over 500 greeting card She began silkscreening little note With time, the original line of cards keep your eyes open.' Lehrer said. publishers in the United States, some cards, she said, and "there seemed to was joined by two more, and soon yet "Who creates trends. you know? Is it of them very small ones, some of them be a demand for them, and I started another line with a more contemporary the people or the manufacturers? I don't very large companies like Hallmark and to do more. Sales reps who saw the look will be joining them. Lehrer said. know. They listen to what store owners American Greetings," Massimino said. cards in area shops started getting in "Within that look we then establish are telling sales reps. and attend trade "In terms of retail popularity, there's touch with her. the categories that are necessary to sell shows. and look in city store windows. a research firm that reports monthly. "At that point I spoke to Joe and he greeting cards," she said: seasons like "and try to be at the beginning of a It has always placed us in the top 15 joined me in pursuing this as a business Valentine's Day and Easter and Mother's trend. We've been successful at that. to 25." he said. for both of us, Lehrer said. "We were Day, occasions like graduations and she said. 1990 SMALL BUSINESS PERSON OF THE YEAR 2ND RUNNER-UP (TIED) James L. Harrold, President Webcrafters, Inc. 2115 South Wilson Tempe, Arizona 85282 (602)966-6922 Jim Harrold knows adversity in a very personal sense. When he was 18, he was stricken by polio and was paralyzed from the chest down. By his mid-20s, he had fought off much of the paralysis and has ones adversents been winning ever since. After taking over a bankrupt print shop in 1978, Harrold started Webcrafters, Inc., a printing company. The company earned a modest profit on revenues of $800,000 that first year. Today it grosses more than that amount each month. Current annual 1st then policerapt print shop sales are over $10 million. Among Webcrafters' customers is Arizona State University. The firm prints ASU's daily newspaper, State Press. ASU Harrold is assisted in his operations by his wife, Penny Ann, and their 19-year-old son, Brent. Jim's brother, Joe, is company controller. From 12 employees 12 years ago, Webcrafters has 115 today. Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 04. Application Small Business of the Year, re: James Harrold; personal 01/19/90 P-6, (b)(6) information redacted. (1 pp.) Collection: Record Group: Bush Presidential Records Office: Speechwriting, White House Office of Series: Speech File, Backup Subseries: WHORM Cat.: File Location: Small Business Person of the Year 5/8/90 Date Closed: 10/18/2004 OA/ID Number: 06898 FOIA/SYS Case #: Re-review Case #: 2004-2265-S P-2/P-5 Review Case #: MR Case #: Appeal Case #: MR Disposition: Appeal Disposition: Disposition Date: Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advise between the President and information [(b)(4) of the FOIA] his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of personal P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of gift. (b)(8) Release would disclose information concerning the regulation of financial institutions [(b)(8) of the FOIA] PRM. Removed as a personal record misfile. (b)(9) Release would disclose geological or geophysical information concerning wells [(b)(9) of the FOIA] U.S. SMALL BUSINESS ADMINISTRATION OMB Approval No. 3245-0125 Expiration Date: 7-31-86 CANDIDATE FOR APPOINTMENT to the PHOENIX DISTRICT ADVISORY COUNCIL SOCIAL SECURITY NO. JAMES NAME: L. HARROLD (First) (Middle/Initial) (Last) POSITION, NAME AND ADDRESS OF BUSINESS OR EMPLOYER: PRESIDENT WEBCRAFTERS, INC. 2115 S. WILSON TEMPE, A7 85282 TYPE OF BUSINESS: PRINTING INDICATE PREVIOUS OR PRESENT FINANCIAL (INCLUDING DEVELOPMENT COMPANY), SURETY BOND, OR CONTRACTUAL ASSISTANCE WITH ES AND TYPE OF ASSISTANCE HOME ADDRESS: 1503 E. WESTWIND WAY, TEMPE, ARIZONA 85283 (Please include post office and zip) SERVICE ON FEDERAL BOARDS, COUNCILS OR COMMISSIONS (Indicate previous or present): NONE IF EMPLOYED BY A STATE GOVERNMENT, IS IT AN ELECTIVE POSITION? Yes No NA X ARE YOU ON A FEDERAL PAYROLL? Yes No X PLACE OF BIRTH: FORT DODGE, IOWA BIRTHDATE: MAY 12, 1941 CONGRESSIONAL DISTRICT No. / The authority to obtain this information is contained in 5 U.S.C. 301, 15 U.S.C. 634(b), 44 U.S.C., 3101. Routine uses of the information are: To respond to a request from a member of Congress regarding information about an Advisory Council member. To disclose information about an Advisory Council member to general public. To respond to requests from the General Services Administration. Date: 1-19-90 (Signature) (This must be signed as a condition of the appointment.) SBA FORM 898 (10-83) REF: SOP 90 54 3 Previous editions are obsolete. GPO 902-618 RIO SALADO BANK P.O. Box 22022 Elden "E.G." Barmore President & CEO 1400 East Southern Avenue Tempe, Arizona 85282 (602) 345-8800 November 6, 1989 Mr. James P. Guyer District Director U.S. Small Business Administration 2005 N. Central Ave., 5th Fl. Phoenix, AZ 85004 Dear Mr. Guyer: As his banker, I am proud to place James L. Harrold in nomination for "Small Business Person of the Year 1990." The story of Jim and Webcrafters, as told in the following narrative, is that of the classic success of an entrepreneur and his small business. He guided his company through start up to prominence and profitability in an extremely competitive printing industry. He is the kind of person with the kind of company that Rio Salado Bank is honored to have as a customer. Jim recently accepted appointment to our Advisory Board and the bank now benefits from his business acumen. Sincerely, Elden Elden "E.G." Barmore President & CEO EGB:os NOMINEE James L. Harrold President Webcrafters, Inc. 2115 S. Wilson Tempe, AZ 85282 (602) 966-6922 AWARD CATEGORY Small Business Person of the Year 1990 SPONSOR Elden "E. G." Barmore President & CEO Rio Salado Bank 1400 E. Southern Tempe, AZ 85282 (602) 345-8800 November 6, 1989 James L. Harrold President Webcrafters, Inc. STAYING POWER For the last 12 years, James "Jim" Harrold has been a driving force in the growth of Webcrafters, Inc., one of the major commercial printing houses serving metro-Phoenix. Jim had extensive experience in the printing industry (see Resume, Appendix A) before he decided to set off with several colleagues and form his own printing company in late 1977. The group purchased the assets of a small print shop that had filed bankruptcy and then in January, 1978, they organized Webcrafters, Inc., in Glendale. As Jim recalls, the new company had its share of start-up problems but "never had a losing year." They showed a modest profit on revenues of $800,000 in their first year. Webcrafters now grosses more than that in a month. In 1982, the company moved to Tempe "to be closer to our larger clients," Jim explains. Arizona State University is one of their biggest. Webcrafters prints ASU's daily newspaper, State Press. Jim functioned as general manager of the business while an equal partner, Tanner Brown, dealt more with sales and marketing. Wanting to move Webcrafters into a more aggressive posture, Jim bought out Brown in 1985 and now controls 90 percent of the firm's stock. The remaining 10 percent is held by Edwin "Ted" Maudsley who serves as press room manager. With Jim in control, the company increased production and revenue soared from $2.5 million in 1984 to $4 million in 1985 (see Financials, Appendix B). In 1987, after leasing its facility in Tempe for five years, Webcrafters exercised an option and purchased the land and building. The acquisition was financed through Rio Salado Bank. are with a Small Business Administration guaranteed loan. Additional space has been leased as the company continues to my flourish, even in the area's soft economy. Jim says, "I don't expect a record-breaking year in 1990, but Webcrafters will keep volume up and continue its profitability." and make He has diversified the company into many forms of printing, using both web and sheet-fed presses. Webcrafters prints newspapers, catalogs, books, advertising supplements, direct mail pieces, brochures and folders. He attributes his firm's success to being "consistent" in its reliability. "We meet deadlines again and again," Jim says. "I can't remember the last one we missed." GROWTH IN NUMBER OF EMPLOYEES In 1978, Webcrafters began operations with 12 employees. The number has grown each year until today the company provides employment for between 110 and 115 persons. Working side-by-side with Jim is his wife, Penny Ann, who serves as Secretary of the corporation. Their nineteen-year-old son also is employed by Webcrafters. Jim's brother, Joe, serves as the company's controller. The employees have a full range of benefits, including a profit-sharing plan. INCREASE IN SALES Despite a severe newsprint shortage (see "Response to Adversity") in the early years of operation, Webcrafters has posted a continued increase in sales and revenue. From start-up year revenue of less than a million dollars, Webcrafters has tracked constantly upward. After Jim gained control in 1985, his leadership moved the company to $6.3 million in 1986, $8 million in 1987 and $10 million in 1988. * Fiscal 1989, although slowed by a faltering economy, also is expected to show growth. CURRENT AND PAST FINANCIAL REPORTS From the time Webcrafters was incorporated, Jim recognized the importance of having good financial statements and cost controls. See Appendix B for complete sets of financials on the past three years of business. INNOVATIVENESS OF PRODUCT Jim sees his company as more than a printing house. "We're really a part of the communications cycle. We are a manufacturer of advertising-based products." Speaking about what the industry calls free-standing inserts (FSI), Jim points with pride to his new Didde press, a million-dollar state-of-the-art unit. The Didde can handle massive runs of FSI's for clients such as Advo, a large direct mail company. An eight-color press, the Didde can feed out FSI's printed in four colors on both sides, folded and dried, and ready for delivery to the Post Office -- all in a single run. The press even changes rolls of paper without slowing down. (See sample FSI, Appendix C.) According to Jim, "We're one of only three or four companies in the area that can handle 800,000 pieces and have them off the press and in the hands of consumers within hours." RESPONSE TO ADVERSITY physicallings When Jim was age 18, he was stricken by polio. The crippling disease left him paralyzed from the chest down. By his mid-20's, he had largely regained use of his body. Although still handicapped in the right leg, Jim won his battle with polio. He's been winning ever since. No stranger to adversity, he faced a critical test within six months of starting his new printing company. "We're dependent on raw materials," Jim says, "and we'd just opened the doors when the publishing industry was confronted with the worst shortage of printing papers in this century." At that point in the company's existence, it had a web press and needed newsprint. And the newsprint shortage was to run two years. Because Webcrafters was a new company, its allocation from big Canadian suppliers was too small to allow the firm to break even. Desperately, Jim looked around for another type of customer who didn't require newsprint. He found one in a new Christian publishing house which wanted to print educational materials for a nationwide market. Jim could obtain book printing papers and went to work doing books for the Christian publisher. "Problem was," Jim reflects, "both our companies were undercapitalized, so you had two drowning entities clinging to each other. But somehow it worked." Jim arranged a credit line with a paper supplier. "In effect our supplier bankrolled us." This approach to the problem helped Webcrafters survive until the paper shortage ended. Today, the Christian publisher is located next door and remains a large and successful client, expected to sell two million books next year to 1,400 private schools across the country. And, Jim still buys from the paper supplier which helped him through those difficult years. AID TO COMMUNITY-ORIENTED PROJECTS A printing company is the kind of business that is often asked for a contribution by non-profit organizations. Jim is quick to lend his personal and company resources to worthy causes. Most recently Webcrafters donated a 40-page program for a Special Olympics event. They also printed a fundraiser mailer for an adoptive parents group. publishs three faith shop state of fath. country the shortage role in business busness faith helped nemo Emerand work in self mm APPENDIX Appendix A - Resume Appendix B - Financials Appendix C - FSI NAME: James L. Harrold Appendix A - Resume ADDRESS: 1503 E. Westwind Way Tempe, Arizona 85283 DATE OF BIRTH: May 12, 1941, Fort Dodge, Iowa MARITAL STATUS/FAMILY: Married - 24 Years Wife - Penny Ann Son - Brent - 19 Years EDUCATION: High School - Fort Dodge Public High School College - Mesa Community College - General ASU - General Business & Accounting EMPLOYMENT EXPERIENCE: 1961-1967 - Brooks Newspapers, Inc. General Production Duties: Typesetting, Process Camera, Film Stripping & Platemaking. Operated small letterpress and offset presses in firm's commercial job shop. 1968-1972 - Valley Of The Sun Newspapers, Inc. Supervisory responsibility for typesetting and page layout for group of weekly newspapers. Transferred to Business Office in 1970. Promoted to Business Office Manager in 1971. Financial responsibility for activities of 11 weekly newspapers and small commercial web printing plant. 1973-1977 - Sun World Corporation, dba Sun Publishing Co. Operations Manager, Sun Publishing Co., Tempe, Az. Duties included full general management responsiblity for this division, including Sales, Production, Estimating, Staffing, Purchasing, Marketing Strategy, Capital Expenditures, Budgeting, etc., with accountability for over $1,200,00.00 of production assets, and the activities of 55 employees. 1978-1989 - Webcrafters, Inc. President PROFESSIONAL ACCOMPLISHMENTS: -- Increased gross sales of Sun Publishing Co.'s commercial printing plant from $14,000.00 per month (1972) to level of $185,000.00 per month (1977). -- Reversed losses of approximately ($20,000.00) per month (1972) to profit of $18,000.00 per month (1977) at Sun Publishing Co.'s Tempe commercial printing plant. Revised 1990 SMALL BUSINESS PERSON OF THE YEAR 2ND RUNNER-UP (TIED) Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 05. Application Small Business of the Year, re: George Mathews; personal 11/28/89 P-6, (b)(6) information redacted. (1 pp.) Collection: Record Group: Bush Presidential Records Office: Speechwriting, White House Office of Series: Speech File, Backup Subseries: WHORM Cat.: File Location: Small Business Person of the Year 5/8/90 Date Closed: 10/18/2004 OA/ID Number: 06898 FOIA/SYS Case #: Re-review Case #: 2004-2265-S P-2/P-5 Review Case #: MR Case #: Appeal Case #: MR Disposition: Appeal Disposition: Disposition Date: Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5] U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advise between the President and information [(b)(4) of the FOIA] his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of personal P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of gift. (b)(8) Release would disclose information concerning the regulation of financial institutions [(b)(8) of the FOIA] PRM. Removed as a personal record misfile. (b)(9) Release would disclose geological or geophysical information concerning wells [(b)(9) of the FOIA] AY 04 '90 10:44 U.S. SMALL BUSINESS ADMINISTRATION P.2 SMALL BUSINESS PERSON OF THE YEAR CANDIDATE FOR APPOINTMENT STATE NONE to the ADVISORY COUNCIL SOCIAL SECURITY NO. NAME: George David Mathews (FIRST) (MIDDLE/INITIAL) (LAST) POSITION, NAME AND ADDRESS OF BUSINESS OR EMPLOYER: President/CEO Ozark Mountain Enterprises (Stone County Tranworks) EC 73, Box 427. Mountain View, At 72560 (Hwy 66 West) TYPE OF BUSINESS: Manufacturing PHONE: 501-269-8108 INDICATE PREVIOUS OR PRESENT FINANCIAL, SURETY BOND, OR CONTRACTUAL ASSISTANCE WITH SBA. GIVE APPROXIMATE DATES AND TYPE OF ASSISTANCE. None HOME ADDRESS: HC 73 Box 427 Mountain View AR 72560 (Please include post office and zip) SERVICE ON FEDERAL BOARDS, COUNCILS OR COMMISSIONS (Indicate previous or present): IF EMPLOYED BY A STATE GOVERNMENT. IS IT AN ELECTIVE POSITION Yes No NA X ARE YOU ON A FEDERAL PAYROLL? Yes No X PLACE OF BIRTH: Russellville, Alatiama BIRTHDATE: 5/27/53 CONGRESSIONAL DISTRICT 1 The authority to obtain this information is contained in 5 U.S.C. 301, are: 15 U.S.C. 634(b)(6), 44 U.S.C.,3101. Routine uses of the information To respond to a request from a member of Congress regarding information about an Advisory Council member. To disclose information about an Advisory Council member to general public. To respond to requests from the National Archives. (Signature) Date: 11/28/89 (This must be signed asa condition of the appointment.) SBA FORM 898 (12-81) REF: SOP 90-54-3 Previous editions are obsolete MAY 04 '90 10:44 P.3 David Mathews Introduction DAVID MATHEWS AND STONE COUNTY IRONWORKS- THE GREAT AMERICAN SUCCESS STORY When David Mathews, President and founder of Stone County Ironworks, first picked up a hammer in 1976 at the age of twenty three, he had no intention of creating a multi-million dollar corporation that produced hand-forged iron products. Having dropped out of college in search of an alternative lifestyle (born in 1953, he hales from Athens, Alabama), his goal was to lead a simple life in the hills of Stone County, Arkansas where his philosophies would reflect in every aspect of his life. From years in the Boy Scouts (he also attained the rank of Eagle Scout), he gained a great respect for nature and folk- lore. The writings of Louis Bromfield (one of the first organic farmers in the United States) and Henry David Thoreau further inspired him. Feeling that everything matters and is connected in life, that meaning takes presidence over money and that in business you need not be ruthless to succeed, he set out to make an example out of his life. At first, Mathews made his living by cutting fire wood and doing maintenance work. The art of, blacksmithing he, by chance, discovered appealed to him immediately. Though this craft was an essential part of everyday life, by the mid 1930's all that remained of its use was horse shoeing and repair work. The opportunity to be a part of the revival of this traditional art, while not compromising his principles appealed to him. An apprenticeship through the Committee of One Hundred (who promote Arkansas arts and crafts) and a position at the Ozark Folk Center (an Arkansas state park) demonstrating the blacksmithing technique helped this "self taught" blacksmith hone his skills. By 1979, Mathews needed a place closer to town with electricity and running wator and moved his home-based shop into an old, abandoned filling station which he rented near the town of Mountain View and was officially open for business. * MAY 04 '90 10:45 P.4 He and his two employees (who play an integral part in the company today) did everything from produce, ship and sell the then ten item product line. Stone County Ironworks was marketed through the Ozark Craft Guild, Ozark Folk Center and an ever expanding number of retail craft shows. In 1984, Mathews began redirecting his base of business. from retail craft shows to wholesale accounts and his first building was erected (with a blacksmith shop and showroom) to house his growing business. Today, five expansions later, the company has burgeoned into a thirty-three thousand square foot operation (with over one hundred employees) consisting of: - a production blacksmith shop supplying their now three thousand wholesale accounts - a custom blacksmith shop creating one of a kind residential and commercial commissions (its latest project for the Washington National Cathedral, Washington, D.C.) - a pottery shop manufacturing planter inserts for their line of plant accessory items - offices - the newest addition: a retail store located in a National Historic Register building in downtown Mountain View. Mathews seems older and wiser than his thirty six years when he sights his dedication to traditional values Producing over two hundred fifty items, each with a look of heirloom quality, is a tribute to Mathew's ability to combine the best of old world craftsmanship and modern business practices. Mountain View, Arkansas (population: 2147) is the heart of rural America and possibly an unlikely location for Stone County Ironwork's headquarters (townspeople believed success might require relocation to a larger city). But, it was here that Mathews was first captivated by the scenery and the people and from humble beginnings his dream began to unfold. Today, Mathews and Stone County Ironworks are a major asset to the community. Any adversities to rural conditions Mathews sees as a personal challenge and has conquered them in his favor. MAY 04 '90 10:46 P.5 Now the second largest employer in Stone County, Mathews has created an enriching environment stressing creativity, support and a sense of team spirit. His participation in community efforts is helping Mountain View to realize its potential. In spite of his success, David Mathews remains dedicated to his original philosophies rather than dollar signs. And,as business continues to increase, David Mathews exemplifies the spirit of American small business. MAY 04 '90 10:46 P.6 David Mathews Part I STAYING POWER Stone County Ironworks began in business in Arkansas in 1981 and was organized as a corporation in 1986 under the name Ozark Mountain Enterprises. AS President (and majority stock holder), Mathews has attracted professionals to key positions by offering equity positions. His three partners head up the production, marketing and general office areas. 1979 Mathews moves from his shop in a rural mountain top homestead to a rented abandoned filling station with electricity and running water. 1981 Company's name is changed from Kahoka Hill Forge to Stone County Ironworks. 1984 Bace of business is redirected from relail craft shows to wholesale accounts. 3600 square foot building is erected for a blacksmith shop and showroom. 1985 1800 square foot building added for more production space. 1986 Additional 3600 square foot building added. for more production space. Business incorporates under the name Ozark Mountain Enterprises. 1987 The Village Smithy, a local blacksmith shop, merges with Stone County Ironworks. Joe Matheson, owner of Village Smithy, becomes Production Manager and is made a partner. Karen Taylor, one of Mathew's first employees and now General Manager, is made a partner. 1988 Stone County Ironworks moves into Stone County's new industrial park with a 10,000 square foot building to house production. Michael Thornton is hired as Marketing Director and made a partner. The operation is computerized. A pottery shop is acquired to manufacture planter inserts for the plant accessory line. MAY 04 '90 10:46 P.7 1989 5600 square foot expansion is added to the building in the industrial park. An accounting manager is hired. A new, larger and more sophisticated computer network system is added. A retail store is opened in a 7900 square foot building in a National Historic Register building in downtown Mountain View. :MAY 04 '90 10:47 P.8 David Mathews Part II GROWTH IN NUMBER OF EMPLOYEES Stone County Ironworks first started in business with Mathews and two other employees. Those two employees still play an integral part in the company today. The company runs two full shifts and is made up of the following areas: Forging department (where blacksmithing is done) Fitting department Finishing department Shipping and Warehouse Front office operation Retail division Today, Stone County Ironworks is the second largest employer in Stone County, Arkansas and makes a significant economic contribution to the area. Growth, by year is listed below: YEAR: NUMBER OF EMPLOYEES: 1981 4 1982 6 1983 9 1984 23 1985 32 1986 47 1987 58 1988 85 1989 110 MAY 04 '90 10:47 P.9 David Mathews Part III INCREASE IN SALES AND/OR UNIT VOLUME David Mathews realizes continued growth means constantly setting and attaining new goals. Product development, keeping abreast of production techniques, searching out new classes of trade and new opportunities: Mathews welcomes future challenges. Stone County Ironworks continues to grow at an impressive rate. The Growth rate for 1989 will be 54% over 1988 sales and is projected to be 54% again in 1990. YEAR: SALES VOLUME: 1981 $ 20,216 1982 32,300 1983 63,374 1984 126,200 1985 176,156 1986 380,000 1987 910,076 1988 1,674,579 1989 (11 months) 2,257,187 :MAY 04 '90 10:47 P.10 David Mathews Part V INNOVATIVENESS OF PRODUCT OR SERVICE OFFERED The very nature of the profession Mathews chose and his unwillingness to compromise his principles exemplifies his company's originality. With tenacity and inventiveness, Mathews has managed to: - revive a near extinct industry and create a multi- million dollar corporation in the process. - combine the best of ancient and contemporary production techniques (example: a dipping process has now replaced the individual hand rubbing necessary to provide a finish on each product. - produce heirloom quality products on a large production scale. - design a functional product (example: when he couldn't pick up a log with actual tongs from Colonial times, Mathews redesigned it to work). - research and introduce reproductions of historic items into the product line (example: Courting Candle, Stickin' Tommy). STICKIN' TOMMY Courting Candle In the time before the battery-powered light, coal A traditional time piece, the Courtin' Candle was used miners used this gadget to shed aght on their work, by a young girls father when her suitor came "a courtin' The miner could hook the tommy to fils helmet If fie Bhed a particular suttor, the father might set the to aght the path into the mine while leaving both hands candle on one of the higher rings, giving the couple a long free to carry the tools Fie would need as well as food for visit in hopes that this lad might become his son-in-faw. If the young man wasn't a favorite, the candle would be set on the day. Once at his work station, the miner would either a lower ring allowing just a short visit. hook the tommy over a rock ledge or drive the spike into a When the candle burned down to the metal courtin' convenient beam. time was over. The Stickin' Tommy would then provide one candle-power of light by which to work, -create a separate custom shop which is able to handle one of a kind commissions. MAY 04 '90 10:48 P.11 David Mathews Part V - work with major accounts to design exclusive product (example: fireplace sets for John Deere Company, proposed furniture line for Ethan Allen Galleries). - devise a training system able to turn an unskilled labor force into craftsmen. - enter new markets successfully by researching the marketplace, then offering customers his intrepretation in his medium (example: the wine rack, new this year, ranks #4 in unit sales). MAY 04 '90 10:50 P.1 David Mathews Part VI RESPONSE TO ADVERSITY 1. How to Develop a Business From a Near Extinct Craft According to A.B.A.N.A. (Artists and Blacksmiths of North America; Mathews was recently elected to their Board of Directors), only a limited number of its twenty nine hundred members actually make a living from blacksmithing, most enjoy it only as a hobby. Today, Stone County Ironworks is one of the largest production blacksmith shops in the United States, employing forty blacksmiths and over one hundred employees. Training of Craftsmen - Due to the hand forged , labor intensive process up to two years is invested in each blacksmith. - Rather than an assembly line process, teams are formed for each product group. - Team members become familiar with each phase of the process. - Has resulted in minimal production losses due to absence, quality remaining constant, pride in craftsmanship. Product Saleability - Researched ancient metal working techniques to find best processes (fifty year old Trip Hammers still used on the production floor today). - Designed all product to be functional. - Combines ancient techniques with contemporary design and marketing. Never eacrificeduquality 2. How to Change the Base of Business to Allow For Maximum Growth Retail craft shows were providing only limited growth. Entirely dependent on Mathews to produce product all week, then travel and sell it all weekend, selling to this class of trade offered no continuity. Today, Stone County Ironworks supplies over three thousand accounts including such prestigous names: Neiman Marcus, Bloomingdales and Smith and Hawkin. P.2 MAY 04 '90 10:51 David Mathews Part VI Obtaining Wholesale Accounts - Began attending general gift shows, then added those that address a specific market (example: High Point, North Carolina furniture show) - Wholesale accounts continued to purchase throughout the year. - Hired independent sales representatives to service accounts in specific areas of the country. - Have begun to develop export markets (currently selling in Canada, Japan and France). Marketing - Created upscale image. - Hired advertising agency to develop four color catalog. - Added new categories of product (example: lighting, wine rack, furniture). - Developed exclusive product for large retailers (example: planters for Smith and Hawkins' catalog, candelabra for House Beautiful Magazine. 3. How to Limit Employee Turnover Stone County, Arkansas shares the problems of many other rural areas; economically underdeveloped, its youth have limited education and little or no skills. With so much training required, limiting employee turnover was very important to Stone County Ironworks. Offering a Skill, Not Just a Job - Rotating jobs within their various teams instills confidence and a sense of pride. As their skills develop, a craftsman is created. - Teams are made aware of quotas and costs, creating healthy competition to "beat yesterday" and an awareness of the business and its needs. - Free time is provided on Saturdays to any employee who wishes to design and make a product on his own. MAY 04 '90 10:59 P.1 David Mathews Part VI - Saturday classes and seminars are provided (most recently, the Blacksmith Association of Missouri shared information during an all day workshop). Creating an Atmosphere of Team Spirit and a Sense of Belonging - A weekly newsletter shares employee, company and community information. - Complete medical and life insurance is offered as well as free annual flu shots and hearing tests. - Cash prizes are awarded weekly for the best suggestions. - Any employee who designs a product which is added to the product line receives a 3% royalty (5% if they also make the prototype). MAY 04 '90 11:00 P.2 David Mathews Part VII EVIDENCE OF CONTRIBUTIONS BY NOMINEE TO AID COMMUNITY-ORIENTED PROJECTS Visiting Mountain View, Arkansas, in the foothills of the Ozark Mountains, is like taking a step back in time. And, for that very reason, tourists come in droves (the annual festivals bring over fifty thousand people to the small town with a population of 2147). The setting, the people, the strong sense of values and community spirit are all genuine- not slickly packaged for the sake of the tourist dollar. When David Mathews first visited the area, he felt a sense of belonging and knew he had found his new home. He remains committed to the town that first inspired him. The growth that Mountain View is experiencing, the delicate balance between old and new, the industriousness required to bring about change- Mathews is all too familar with these scenarios, having encountered similar situations in his own professional life. He offers his energy and business acumen to help fight the demise of the small town in America: - Takes an active role in the Chamber of Commerce, challenging its members to action. Is Chairman of the Chamber's Downtown Preservation Sub-Committee. - Member, Board of Directors- Stone County Council on Tourism. - Involved with Planning and zoning Commission, pushing to develop and enforce stringent zoning laws. - Spearheading a "Main Street" program for Mountain View. Locally funded, this program provides technical assistance in the form of promotional efforts, economic restructure and overall design of the town and has been successful in many small towns nation- wide. - Has taken over a building on the National Register of Historic Places in downtown Mountain View for Stone County Ironwork's flagship retail store. Rejecting suggestions for a large city location, Mathews felt the town would benefit economically. MHY 04 '90 11:00 P.3 David Mathews Part VII Outspoken on the issue of preserving the town in character with its architecture, Mathews is now able to put his theory into practice and set the path for other building owners to follow. - Has helped decorate the town during holidays and festivals by designing decorations (a six foot star made of iron and decorated with lights hangs from the courthouse on the town square this Christmas, a giant, old fashioned dinner bell signals the official start of the Bean Festival in October). - Mathews sees his employees as extended family and provides support to them when needed. He has helped employees through drug and alcohol treatment with support and financial aid. MAY 04 '90 11:01 P.4 David Mathews Summation CAN ONE PERSON REALLY MAKE A DIFFERENCE? David Mathews left college behind and traveled to the hills of Arkansas in search of his destiny. He found his niche when he discovered blacksmithing. In true entrepreneurial spirit, the vision, determination and industriousness of one man created American made products which are a tribute to his craft, a company based on his strong sense of personal values and principles, jobs and a better way of life for his employees and along the way- a multi-million dollar corporation. Can one person really make a difference? David Mathews and Stone County Ironworks exemplify the "Great American Dream". Reports show economy back on track By Memmott USA TODAY S-3-90 Indicating growth Three more pieces of per- The index of leading suasive evidence show that the indicators rebounded and now economy. rebounded in early points to a growing economy 1990 and appears headed for 1% +0.9%1 more slow, steady growth But that good news means there's virtually no chance the 0% Federal Reserve will try to push interest rates down any time soon, economists say. 1% Change from Prices already are rising too previous month quickly for the Fed's taste, and it wouldn't want to risk sending & inflation even higher by giving the economy too much fuel preliminary Source: Department of Commerce Vice Chairman Manuel USA TODAY Johnson said Wednesday that and inflation which ran at a from February It was the big- 5.2% annual rate in the 12 gest increase since June 1988 months ended March 31 is and a strong recovery from already too high. His com- February's 1% plunge. ments renewed speculation Commerce said that or that the Fed might soon decide ders for manufactured goods to nudge interest rates higher. soared 3.8% in March from The latest evidence of eco- February. More than half of nomic strength: the increase was due to the The Fed said Wednesday highflying aircraft industr that its April survey of business and a pickup in the auto indus- conditions shows the economy try. But even excluding the continues to expand slowly transportation sector, 4 orders The analysis contained in rose a healthy 1% the Fed's "beige book, a re Wednesday's reports follow port released eight times a other recent signs of a re- year shows that manufac- bounding economy. Those in- turing has regained its feet in clude last Friday's news that many regions. Also, consumer gross national product growth spending is growing at least accelerated to a 2.1% annual modestly in most places. rate in the first quarter - well Fed economists also say above fourth-quarter 1989's 'there is little evidence that a meager 1.1% growth. general credit crunch' is de- Judging from the evidence, veloping So there should be "it appears we've skirted a re- enough money available for cession, says James L. loans to help keep the econo- Bellessa Jr., economist at in- my moving. vestment advisers D.A. David- The Commerce Depart son & Co. in Great Falls, Mont. ment said its index of leading indicators rose 0.9% in March Economy by region, 6B Photo Copy Preservation THE WHITE HOUSE WASHINGTON April 27, 1990 INFORMATION MEMORANDUM TO THE PRESIDENT THROUGH: CHRISS WINSTON FROM: MARK LANGE any SUBJECT: REMARKS FOR NATIONAL SMALL BUSINESS UNITED AND THE NATIONAL ASSOCIATION OF WOMEN SMALL BUSINESS OWNERS I. SUMMARY On Tuesday, May 1, at 2:05 p.m. you will deliver brief remarks to the leadership of National Small Business United and the National Association of Women Small Business Owners. The event will take place in Room 450 of the Old EOB and your remarks are approximately 8 minutes in length, on speechcards. II. DISCUSSION The attached remarks applaud the growth of small business in this country, especially those businesses owned by women, and identify their importance in the economy. You cite the empowering qualities of free enterprise and call on their support for the capital gains tax cut. (Lange/Cawley) April 27, 1990 6:20 P.M. [SMALLBIZ.DOC] PRESIDENTIAL REMARKS: NATIONAL SMALL BUSINESS UNITED, AND THE NATIONAL ASSOCIATION OF WOMAN BUSINESS OWNERS ROOM 450, OEOB TUESDAY, MAY 1, 1990 2:05 P.M. Welcome to Washington! You know, a lot of dust tends to get kicked up around here -- and they say if you stay too long, it's easy to forget just how well things are really going in the land of the free. But last year was a remarkable year for the job-creating, entrepreneurial core of American business. Small businesses created over a million and a half new jobs in 1989 alone -- about two-thirds of the jobs created in the nation -- and almost equal to the entire labor force of the city of Los Angeles. And the number of woman-owned small businesses created -- notably in mining, construction, and transportation -- increased at twice the rate of those owned by men. [[ So Maggie Thatcher was right in saying, "If you want something said ask a man. If you want something done, ask a woman." ]] But 1989 was an important year for another reason. Because it reminded us of the role that government should and shouldn't play in enterprise. And it set off a collective movement toward democracy worldwide that had us all looking up from our work for a moment, 2 in wonder -- bearing witness as the world confirmed the wisdom of our forefathers. They understood the importance of limited government. So they fought for a social order that gave free reign to ambition -- and unleashed the power of individual aspiration. We rose, in fact, as a nation of upstarts who didn't know their place. And this was a new idea: that government, far from fearing private initiative, should be all for it. And it still seems like a new idea. Last year, from Lima to Warsaw to Moscow to Minneapolis, we were reminded that the power of any economy flows not from an entrenched, centralized bureaucratic elite -- but from the vitality of free competition, free markets, and free wills. Men, women, immigrants, Americans of every kind, from every corner of this great country, are empowered by opportunities -- by the degree of choice, and the kind of motivation, that only free markets can provide. Adam Smith shocked the establishment 200 years ago with something we've relearned only recently: that everyone has a natural desire, and a natural right, to improve their situation -- to truck and barter and bargain and trade -- everyone from a CEO to a kid with a pocketfull of marbles. And society benefits from that creative, competitive impulse. In this century, we defined that impulse as the American dream. And the dream has done more than endure. It's as dynamic as ever -- as every one of you proves -- every day. 3 Every man and woman who builds an enterprise -- from a shoe- shine stand to a multinational -- understands what I'm talking about. It is what has made us a nation of imagination -- of mavericks willing to take a gamble on the unexpected, the untried, the untested, the untraditional. They're out there moving in every direction, working to create new economic orders out of chaos. Building empires out of garages. Foreseeing needs, forming strategies, finding investors, and founding corporations of every kind. That is free enterprise. And that is what we're working to encourage. But it is not just free enterprise by itself. It is a whole New Paradigm -- a new way of looking at the world -- that no longer assumes that bureaucratic, "top down" organization, stifling individual creativity and responsibility, is the right structure. We want to share this New Paradigm of freedom and democracy with the world. We want this democracy to mean opportunity -- for everyone. So we began with the lessons our forefathers left us, about limited government -- which revealed an obstacle to opportunity they faced then, that we face now: excessive taxes. Limited government must mean limited taxes. And this government should not be preventing people from investing in small businesses -- nor should it swallow a third of the business you've spent your life building. 4 But that's what our taxation of capital gains does. And that's why we're working to cut the rate on long-held assets -- and counting on your support. For anyone launching a small business -- whatever their age, background, or ambition -- a capital gains cut means a bigger pool of start-up capital. For growing businesses, it means more investment for the long term. And for all Americans, it means opportunity -- the kind of continued job creation that only new and expanding businesses bring about. So we're fighting for this tax cut that raises revenue to the Treasury; creates jobs; puts us on a more equal footing with our trading partners -- and underwrites American ingenuity and creativity in businesses of every kind. We need to do more to fuel the kind of flexible, creative energy that drives American business. On the wide range of issues concerning business owners across this nation -- from deficit reduction, to education, to product liability reform, and especially health care cost containment -- we're with you, working toward solutions. We're also encouraging the kinds of creative thinking business will need to attract and retain talent -- like flexible workplace policies, telecommuting, and choice in child care. We've greatly appreciated the well-thought out book of policy recommendations recently produced by your two groups. And we're working on a range of ideas to help business move 5 with markets as they change -- from encouraging more research and experimentation, to allowing joint production ventures that let American firms pool their skills, build new production facilities, and share investment risks. But the principle that encompasses our thinking on all of these issues, is something our forefathers knew -- and the rest of the world reminded us of, last year. No state has yet managed to mandate prosperity -- or creativity. The cruelest societies are those that are static and stagnant -- cultures that run counter to human nature and aspiration. But the surest sign of a nation's kindness is the kind of social and economic mobility it allows its people. What the world learned in the Revolution of '89 is that democracy 11 is another way of saying opportunity. That government's best role, and greatest security, is not in consolidating power, but in empowering the individual. And that the truest kindness the state can offer the people, is to govern with a gentle hand. After two centuries, we're still convinced that government should be limited. But if our experience has taught us anything, it's that the creative potential of men and women with a mission is unlimited. You are such men and women. So this administration salutes you -- and we'll do everything in our power to support the work you do. God bless you -- and God bless American enterprise.