Growing Your Existing Business Base Using a Business Retention and Expansion Model

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Growing Your Existing Business Base Using a
Business Retention and Expansion Model
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(No Transcript)
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Action Swift Current Business Retention
Expansion (BRE) Project Overview

• Items that will be covered in this presentation
• 1. About Swift Current
• 2. Historical economic development strategy
• 3. Negativity and lack of progress leads to
  implementing BRE initiative
• 4. The Swift Current BRE experience
• - how we got started who was involved
• - development of goals and action plans
• - what we did dealing with local volunteers
• - implementation and successes

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Action Swift Current

• Background on Swift Current
• Located on the TransCanada Highway half way
  between Regina and Medicine Hat.
• Service centre for the southwest region of
  Saskatchewan.
• Population of 16,000 which is consistent with the
  population over the past 20 years.
• The economy is reliant on the agriculture, oil
  and gas and service industries.
• Very little growth over many years however large
  potential.

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Action Swift Current

• Historical Economic Development
  Approach
• Councils and Administrations of the past focused
  on investment attraction with particular
  attention to manufacturing.
• Economic development agencies worked hard on
  various initiatives, however there was no
  cohesiveness or common direction. This lead to
  Turf Protectionism and dysfunction.
• City blamed for lack of progress and business
  problems.
• No municipal tax increase in 10 years.

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Action Swift Current

• Time For Change The BRE Initiative
• General negativity and blame game forced a
  different approach to community development.
• City Mayor, Council and administration were under
  the gun to make changes that would result in
  growth.
• Provincial government Economic Developer and
  staff had BRE training to be used as a tool to
  get business involved in economic development
  process.
• City EDO and Provincial EDO began strategizing on
  how to gauge business appetite to embark on BRE
  initiative.
• The process begins January 2002

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Action Swift Current

• Swift Currents BRE Experience
• Step 1 Public information session to outline
  the BRE model based on work done by University
  of Minnesota for BREI.
• Discussion over the need to do things
  differently with a focus on growth and
  prosperity. Outlining the importance of having an
  active business sector involved in moving the
  community forward.
• Accept criticism from negative business people
  indicating that to achieve change requires a
  fresh start with participation from all involved.
• Determine if the BRE concept is one that will be
  given the support and energy of business leaders.
  Do we pursue the initiative further or continue
  on as we have done in the past?

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Action Swift Current

• Swift Currents BRE Experience
• Step 2 Forming a Leadership Team
• Once we had the support of some key business
  people, city council, and economic development
  agencies to pursue the BRE process, a subsequent
  meeting was required to develop a leadership team
  and terms of reference. At this point, additional
  business leaders were invited to attend.
• A leadership team was developed with a commitment
  to carry out the BRE initiative based on the
  BREI model. It was agreed that the Chairperson of
  this team had to be a local businessperson and
  not a member of the city or other government
  agency.
• A separate non profit corporation was set up
  called Action Swift Current.

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Action Swift Current

• Step 3 Development of initial plans and budget
• Develop survey one specific to manufacturing
  and one for other businesses.
• Approach City Council for funds to carry out
  survey and data analysis.
• Approach local corporations etc to see if they
  can contribute to a community economic
  development initiative.

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Action Swift Current

• Implement Survey Process
• Firm Visits Local community leaders receive
  training on how to conduct the BRE program.
  After receiving training, volunteer visitors call
  on businesses and interview the firm manager or
  owner.
• Immediate Follow-up The local leadership team
  reviews the survey results and responded to the
  needs and concerns expressed by businesses.
  Developed a RED FLAG team dedicated to responding
  to immediate concerns within 48 hours.
• 3. Strategic Planning Experts (University of
  Minnesota) analyze the survey information and
  prepare an initial draft report for the
  leadership team. The report includes data
  analysis and suggests recommendations for
  improving the local business climate.
• 4. Implementation The action planning process
  fosters the development of local implementation
  teams. These teams spearhead efforts to achieve
  the goals outlined in the action plan.

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What is Action Swift Current Doing?

• From results of the survey
• Selected ten issues that seemed to be
  particularly pressing to Swift Current's business
  community.
• Project Committees were formed to work with the
  community to develop strategies and initiatives
  to address these issues.

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Action Swift Current

• 10 Projects Selected
• 1. Creating an identity for Swift Current
  (branding)
• 2. Attracting and retaining youth
• 3. Downtown revitalization
• 4. Regional healthcare
• 5. Seniors issues
• 6. Facilities development
• 7. Value added ag ventures
• 8. Firms expansion
• 9. Southwest regional economic and business
  development
• 10. Educational enhancement

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Action Swift Current

• The most important aspect of the survey and
  process was to provide a means for businesses to
  converse with other businesses and to unite
  agencies involved in economic development,
  education, labor as well as local politicians.
  The results of the survey could probably have
  been written out prior to carrying out the
  survey.
• Those individuals that were not interested in
  putting forth the energy required are no longer
  employed. Change does not come easy and for those
  that didnt want to work hard towards change,
  there was no place for them.

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Action Swift Current

• Keys to working with Volunteers
• Keep meetings as short as possible and stick to
  the agenda. Try not to have a meeting that does
  not have any action items on it. ACTION is the
  key.
• Choose a business leader to be the chairperson.
• Empower the volunteer team to make decisions with
  the paid economic development agencies involved
  carrying out the majority of the background work.
• All successes are distinctly attributed to the
  volunteer team and not to one individual agency.
• One volunteer (business person) becomes the
  spokesperson for the organization. Economic
  development officer may write press releases on
  behalf of the organization, however does not
  speak to them.
• Ensure media is kept apprised of initiatives and
  that they have commitment to support the team by
  way of publishing new releases and updates.
  Keeping the public informed gives power and
  energy to the volunteers.
• Keep volunteers abreast of developments and
  successes so all can combat the CAVE people.

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Action Swift Current Measurable Results

• Brought forth tax incentive regime to City
  Council April , 2003. Council approved plan. To
  date approx. 20 million in construction projects
  accessed policy.
• Results Downtown development
• 8 million dollar Credit Union
• new outdoor café
• Various retail starts (ie) Tim Hortons, Subway
• 2 million dollar accounting office
• Proposed 5 million dollar senior condo complex
• Increased interest in demolishing old buildings
  to construct new
• Businesses have purchase land for their own
  parking purposes as City owned parking lots have
  been sold for developments.
• Land prices have increased substantially

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Action Swift Current Measurable Results

• Results Highway commercial
• Sold all city owned commercial lots that had sat
  vacant for close to 20 years. (most purchases
  from local businesses expanding)
• 2 million dollar motel expansion.
• 15 million dollar casino / performing arts
  complex (construction to begin in spring of 2006)
• 5 million dollar stand alone Walmart
• Planned new restaurant and Hotel
• Tremendous amount of interest from other box
  stores to locate on private owned highway
  commercial property.
• Results Industrial property
• Sold all city owned lots in Sydney Light
  Industrial park.
• Sold 10 city owned lots in MacIntyre Industrial
  park
• Oil and gas company constructed 1.5 million
  dollar facility.

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Action Swift Current Measurable Results

• Results Residential
• Seeing tremendous increase with respect to
  housing starts / condo projects and renovations.
• Local developers stepping forward to develop
  residential projects.
• 4 senior complexes
• Housing prices increased approximately 10 this
  past year.
• 85 increase in the value of residential building
  permits in 2004 compared to previous year.
• Other Developments occurring
• 38 million dollar regional hospital
• 15 million dollar wastewater treatment plant
• 6 million dollar expansion to hockey arena to
  allow for curling rink.
• 250,000 skateboard park.
• New Museum
• Potential beef slaughter facility

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Action Swift Current Measurable Results

• Put forth tremendous effort to urge residents to
  Vote for Growth at the municipal election in
  October of 2003. This was brought forth due to a
  plebiscite question on ballot regarding
  supporting a 15 million dollar First Nations
  casino, performing arts, convention centre
  proposal.
• Plebiscite results 55 in favor 45
  againstPASSED!

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Action Swift Current Measurable Results

• Interesting enough, it is believed that through
  the efforts of Action Swift Current and the
  message that there needs to be growth, only the
  Councillors and Mayor that campaigned on growing
  the city were elected. The general public
  indicated through their voting that the status
  quo was no longer acceptable.

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Action Swift Current Measurable Results

• Received the Economic Developers Association of
  Canadas Economic Development Initiative of the
  Year - 2003
• Received Saskatchewan Economic Developers
  Association Economic Development of the Year
  Initiative 2003
• Received BRE International award as best
  initiative in the world for cities under 50,000
  population.
• Swift Current was presented with an award from
  the Home Business Magazine as being a city that
  promotes and accommodates home based businesses.
  Only 5 cities in Canada received this award

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Action Swift Current Measurable Results

• Most importantly
• A community that now encourages CHANGE!!! (Except
  CAVE people and some past local politicians who
  for some reason dont want to see others succeed
  old school political philosophy)
• A community that has CONFIDENCE and BELIEF in a
  prosperous future!!!
• A community that now has a positive ATTITUDE!!!

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Action Swift CurrentSummary

• Business community, economic development
  agencies, City Council agreed that if we continue
  to do what we have been doing, we can only expect
  the same results. New policies have been adopted
  and changes to bylaws have occurred to entrench
  an open for business atmosphere. Historically
  creating this type of environment was only given
  Lip Service. We now strive to give business
  what they want not what we think they want.
• Through engaging the business community, a
  movement towards growth has occurred. In fact the
  value of building permits in 2004 was the fourth
  highest in the history of Swift Current and the
  2005 building permits have already been the best
  ever.
• Most economic development partners are working in
  cooperation with a common vision of working with
  the existing business base. The existing
  businesses have since shown confidence in the
  economy resulting in increased investment into
  the community. There has been a positive change
  in the mass psychology, creating a Gold Rush
  mentality.

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Action Swift CurrentSummary

• Investment attraction has become a bi-product of
  business retention and expansion. Local business
  people are becoming ambassadors resulting in a
  tremendous amount of outside developers and
  businesses becoming interested in expanding into
  Swift Current.
• City Mayor Council and Administration are showing
  the belief in the future by investing in
  infrastructure that the residents want and need.
  It was realized that if the leaders dont
  believe, how can one expect businesses to risk
  their investment dollars. Now the risk to reward
  perception is positive and activity is taking
  place.
• Everyone is much happier and blame game has
  stopped.

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Contact us

• Action Swift Current
• Website www.actionswiftcurrent.com
• Telephone [phone]
• AddressSouthwest Centre for Entrepreneurial
  Development 885 6th Avenue NE Swift Current,
  Saskatchewan S9H 2M9

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Action Swift Current

• THANK YOU FOR LISTENING!
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