Quad Cities  SCORE Chapter 432

Scott County, Iowa;  Rock Island, Henry, Mercer, Bureau, Whiteside, Lee and Henderson Counties, Illinois

Newsletter

VOLUME 12          ISSUE 1                    Newsletter Archive                  January/February 2008    

         DEAD POETS ESPRESSO

An old world coffee shop in Moline, Illinois

Coffee is a social binder, a warmer of tongues, a soberer of minds,

a stimulant of wits, and a foiler of sleep.

          --Author Unknown

       Upon entering Dead Poets Espresso coffee shop in Moline, the German word gemutlichkeit comes to mind—that is if you understand German. If not, a soothing blend of cozy, cheerful, inviting, warm, relaxed, and hospitable will do just as well.

     The coffee shop is starkly dominated by oil paintings of departed poets: Poe accompanied by his nemesis, a malevolent raven; Shakespeare sporting a jaunty ear

ROBERT BURNS AND BONNIE WITH A CUPPA

ring; Browning crowned with a mop of dark Victorian curls; Dickinson squeezing out a prim smile; Kipling with an apathetic look that belies his literary fecundity; and others--all savoring cups of coffee while seemingly eager to offer just the right word or phrase to the heady conversations of the patrons. The oil portraits were painted by Lonnie Stewart, the brother of Bonnie Vonderheide who imaginatively created and manages Dead Poets.

     And then there is the food and drink: light deli fare freshly prepared, chocolates that pique the eye as well as the taste buds, coffee fit for the coffee houses of Vienna, and tea with the aroma from each cuppa recalling its origin in distant lands—all served by a staff whose day is made if they can engage in spirited dialogue with the customers. Fresh roasted coffees and specialty teas are an expanding part of the business.

     At various times in her career, Bonnie worked in John Deere’s Investment and Logistics Departments. Even though she enjoyed her work, a creative spirit in her heart tugged her toward poetry, music, and the arts—and great coffee. She retired early and set out to establish a coffee business with a European flair. Her business is successful in a market seemingly saturated with competitors, many of whom are obliged to pull the life support tubes a short time after start-up when they see their till balances heading south like flocks of geese fleeing winter storms. 

     Bonnie said, “I spent two years studying and planning Dead Poets before start-up in 2002. I wanted to ensure that I did it right. I talked to other women in business, enrolled in a college business course, attended trade shows, talked to people in the industry, kept extensive notes, and ‘dreamed’ about the business. As I worked through my business plan, my passion for starting a coffee shop grew—in fact without passion I don’t see how any business can make it. I utilized my skills from earlier jobs in finance, personnel, logistics, and business.”

     The bank officer where Bonnie secured her loan said, “This is the best business plan we’ve ever read.” The comprehensive plan projected the business out for five years. The bank offered favorable interest from its quota for woman-owned businesses. 

     Bonnie explained, “Some of the imperatives for our success are: first-rate employees with good attitudes; training; consistent product quality; employee and customer feed back; cleanliness; a good business location—a critical factor; and a menu that customers want--but our regulars also expect us to occasionally introduce new items. Some of the intangible factors for success are appropriate music, an atmosphere of happiness, and customers interacting with each other.” Bonnie cautioned, “Although businesses should always consider the customer’s wants, changes must also make good business sense. When we look at new ideas, we guard against over-extending our capabilities.”

     Bonnie’s interest in poetry is always just under the surface. If chocolate customers ask, she graciously writes a verse suitable for the occasion—in fact she does every-thing graciously.

     Bonnie said, “We attract some customers through advertising and special musical events, but word of mouth is the most effective advertising. Sometimes famous people arrive and we don’t know where they heard of us. We have served Edward Albee, the Pulitzer prize winning author of Whose Afraid of Virginia Wolf; John Ratzenberger (Cliffy from Cheers); performers from The Manhattan Transfer, and Chip Davis from Mannheim Steam Roller--but all people are famous in their own right.

     “Making charitable donations is also good business, but each must be thoughtfully budgeted and validated. Aside from the business benefits of giving, we are always blessed when we can assist others.

     “We continue to achieve the business objectives set forth in our initial Dead Poets business plan five years after opening.”  

     “The downside of owning a coffee business is the need to curtail personal vacations and holidays because of the ever-present business demands.” 

THE YEAR OF THE RAT

     On the Chinese calendar, 2008 is The Year of the Rat. In China it is a time to be an opportunist and to have an eye for a bargain. It is a chance for

cunning and thrift and it offers the prospect for securing benefits without having to pay for them.

  Now, this may be something that small U.S. business owners should look into. Could it be that the honorable Chinese are onto something? Could it be that there really is a way to acquire some businesses needs cost-free?

     Many small business owners say they are at a disadvantage when they must compete with larger firms with specialized professional staffs and advisors. Hiring professionals is often too expensive. It is not uncommon for consultants to charge $1,500 to $2,000 per day for their services; top-notch firms charge much more for their senior personnel. Many small business owners think the cost of this type of service is clearly out of their league.

     As unbelievable as it sounds, there is a free source for many of the professional services needed to operate small businesses. Quad Cities SCORE, with a membership of thirty caring volunteers, offers free and confidential professional services and advice to small businesses. 

     A number of SCORE members have strong, practical experience in finance, accounting, and taxes. They can provide assistance ranging from advice on setting up accounting systems to detail questions on taxes and welfare funds.

     For clients who are involved with engineering and manufacturing, SCORE has members with a lifetime of practical experience.

     Many businesses have difficulties with marketing, especially during the start-up period. Several SCORE members worked all of their careers in marketing; others are experienced in marketing because it was an integral part of the businesses that they operated.

     SCORE members also have experience in other fields such as: Government Contracting, Environmental Management, Procurement, Automotive, Education, and Computer Systems.

     One of the most valuable and beneficial service offered by SCORE is assistance in creating pre-startup business plans. This is done through an all-day training session followed by review and critiquing of the plans. The high failure rate of new businesses is often attributed to inadequate planning.

     When a business problem exists or a new course of action is contemplated, the best solutions evolve when ideas are subjected to observations, critiquing, discussions, analyses, and challenges—sometimes called brain storming. SCORE members, with years of experience behind them, are able to help business owners test their problem solutions.  

     SCORE members have a broad net work of acquaintances and knowledge of others in similar businesses. They can often help clients capitalize on their networks.

      Several SCORE members have worked overseas and in environments where English is not spoken. For clients who are weak in English, business advisory services are offered in Spanish as well as five other languages. 

     So there really is a way, during the Year of the Rat, for small business owners to cash in on the valuable bargains offered by SCORE--just call (309) 797-0082 for details. The bargains go in the face of the less optimistic aphorism of Charlie Chan, the wily 1930s detective: Venerable ancestor say easier to bounce egg on sidewalk than find free lunch.

A BENEFICAL RELATIONSHIP BETWEEN

SCORE AND AREA BANKERS

     SCORE’s professional and business advisory services can be beneficial to area bank officers and their clients.

     When applicants apply for bank loans, unaccompanied by written business plans, the bank loan officer must often decline to authorize the requested loan even though the business proposition may be sound. In these instances the banker can refer the applicant to SCORE for assistance in business plan writing. SCORE volunteers have extensive expertise in business planning

     Banks may have outstanding loans that are in jeopardy. The loans may be recoverable with the assistance of SCORE advisors.

     Established bank clients may want to grow their businesses to a higher level than they can sustain with their traditional management style. Many SCORE members have worked in larger organizations and can provide counsel for the new conditions that will be encountered.

     Some established businesses have fallen behind the times. Their marketing, procurement, information technology, quality, and administration may be dated. Many SCORE members can coach on modernization, improving profitability, and positioning for robust competitiveness. 

     Bank officers may occasionally need to work with clients who have specialized business needs that are unfamiliar to them. SCORE members are available to offer coaching to the officers.

     SCORE members are accustomed to the need for confidentiality, protection against conflict of interests, and consideration for employee sensitivities.

     A SCORE client said he had confidence in SCORE counseling because he knew they would not personally benefit from information provided to them. SCORE members are forbidden from financial involvement with their clients and from accepting payment for their services.  

     Although SCORE counselors can not become agents of banks, they are a valuable resource for independent, confidential, no-cost business advice. 

     SCORE encourages bank loan officers to look to SCORE for assistance; call 309-797-0082.