Regional Entrepreneurship and Economic
Development (REED) Center
Martin, Tennessee
Proposal for a Rural Business Enterprise Grant (USDA)
August 2004
Hollie Vowell, Martin Economic Development Corporation
(medc@martintennessee.org)
Janet Ward, Consultant
(janetfward@charter.net)
Dr. Tom Payne, University of Tennessee at Martin
(tpayne@utm.edu)
Regional Entrepreneurship and Economic Development (REED) Center
Table of Contents
I.
Project Overview
A. Background
B. Activities
3
4
Demonstration of Need
A. Introduction
B. Economic Status of Service Area
C. Currently Available Services
D. Current Gap in Available Services
E. Current Opportunity
5
5
6
7
8
Description of the Proposed REED Center
A. Planning and Mission
B. Facilities
C. Programs, Training Sessions and Services
8
9
12
Operations
A. Staffing and Hours of Operation
B. Entities Involved and Their Roles
C. Marketing Plan
D. Measures of Success
E. Timeframe for Implementation
13
13
15
16
17
Financial Considerations
A. Initial Budget
B. Sources of Funding
18
20
VI.
Summary of Grant Request
21
VII.
Priority Score Sheet Summary
21
VIII.
Future Possibilities
23
IX.
Appendices
A. REED Center Planning Committee
B. Sketch of Floor Plan
C. Quote from Wade Builders Supply
D. Lease Agreement
E. Coordinator’s Job Description
F. Letters of Support
24
25
26
28
31
32
II.
III.
IV.
V.
i.
ii.
iii.
iv.
v.
Nick Dunagan, Chancellor, The University of Tennessee at Martin
Randy Brundige, Mayor, City of Martin
Jamie Frakes, Director, TSBDC - Dyersburg
Ron Acree, Small Business Specialist, TSBDC - Jackson
Katie Winchester, President, CEO, & Vice Chairman, First Citizens National Bank,
Dyersburg
vi. Teresa Brundige, President, BancorpSouth, Dresden
1
Contents - Letters of Support (continued)
vii.
viii.
ix.
x.
xi.
xii.
xiii.
xiv.
xv.
xvi.
xvii.
xviii.
xix.
xx.
Billy Barksdale, Executive Director, McKenzie Industrial Board
Tonja Terrell, Executive Director, Obion County Industrial Development Corporation
Jim Cooper, Economic Development Director, Obion County Chamber of Commerce
Suzie German, Executive Director, Weakley County Chamber of Commerce
Lois Birk, Executive Director, Chamber of Commerce of the Twin Cities
Lisa S. Hankins, Executive Director, Lauderdale County Chamber of Commerce
W. Allen Hester, President and CEO, Dyersburg/Dyer County Chamber of Commerce
Frankie McCord, Executive Director, Crockett County Chamber of Commerce
Paul Latture, III, President and CEO, Jackson Area Chamber of Commerce
Ernie Moser, Dean, College of Business and Public Affairs, UT Martin
Bill Randall Kee, Executive Director, Camden/Benton County Chamber of Commerce
Tom Payne, Horace and Sara Dunagan Chair of Excellence in Banking, UT Martin
D. Crawford Gallimore, Chief Manager and Financial Officer, Hamilton-Ryker Group
Roy B. Herron, Tennessee State Senator
List of Exhibits
Exhibit I:
Exhibit II:
Exhibit III:
Exhibit IV:
Exhibit V:
Exhibit VI:
Exhibit VII
Exhibit VIII
Economic Status of Tennessee and REED Center Service Area
Regional Unemployment, Income and Growth Indicators
Current (Unrenovated) Site of the Proposed REED Center
Façade of Similar Downtown Building (Proposed REED Center
Approximation)
Operational Schedule
Balance Sheet (Start-Up)
Income Statement (End of First Year of Operations)
Funding Sources
2
6
7
11
11
17
18
19
20
Regional Entrepreneurship and Economic Development (REED) Center
Proposal for a Rural Business Enterprise Grant (USDA)
I.
Project Overview
A.
Background
The proposed Regional Entrepreneurship and Economic Development (REED) will serve
existing and prospective entrepreneurs and support economic development in rural northwest
Tennessee. The mission of the REED Center is to meet the multifaceted needs of entrepreneurs
through a combination of one-on-one consultations, interactive training programs, and technical
resources. The REED Center will encourage and support the emerging small business ventures
and provide support to current businesses in the region striving to survive and grow. Through its
network of partners and range of services, the Center will promote job creation and retention,
provide training and associated resources to facilitate economic development, and enhance the
quality of life in rural northwest Tennessee.
Many potential small business owners, while enthusiastic about a business idea, are not
personally, financially, or professionally prepared to assess feasibility, develop a marketing plan,
or address working capital needs. This unique non-profit partnership will provide consultations
with volunteer financial services professionals, trained small business consultants, and successful
entrepreneurs. Additional support will be provided through the Center’s computer-based
resources, seminars, workshops, and ongoing assistance programs. Each of these services will
assist new entrepreneurs as they transition from a business idea to actual operation. This process
will include preparing clients as they enter into formal relationships with lenders, accountants,
vendors, employees and other stakeholders.
The REED Center is a multilateral partnership among municipal governments, economic
development agencies, regional small business development centers (including the Tennessee
Small Business Development Centers at Jackson and Dyersburg), chambers of commerce,
financial institutions, institutions of higher education, and practicing business professionals.
Initial funding and ongoing operating support, including referrals and on-site expertise, will also
be provided by regional banking institutions and the University of Tennessee at Martin College
of Business and Public Affairs – including the Dunagan Chair of Banking, the Hendrix Chair of
Free Enterprise and the Oldham Center for Entrepreneurship and Economic Education.
Through the funding, staffing, referral and resource commitments of regional public and private
organizations, the REED Center will serve as a hub of information and service. Individualized
services will include assistance in preparing feasibility studies, business plans, financial
projections, employee benefit plans, and personal financial plans. Through its consultation and
training sessions, technical resources, and referral systems, the Center will fill the gap between
the business concept and operational reality.
3
B.
Activities
Specific services of the REED Center include:

Programs and training sessions – topics include:
o
o
o
o
o
o
o
o
o
o
o

Types of services and assistance:
o
o
o
o
o
o
o
o
o

Business plans
Positioning products
Effective start-ups and feasibility of prospective businesses
Personal financial planning
How to structure the financing of a business
How to pitch a business to potential investors
How to attract and retain good people
Employee benefits
Bank lending seminars
Planning for growth and succession
Developing new and alternative business ventures in critical business areas such as
agriculture and land utilization, professional services, and technology-based industries
Preparing business plans
Preliminary accounting and legal assistance
Conducting marketing surveys and feasibility studies
Developing financial projections
Identifying sources of financing
Formulating loan proposals
Developing new markets
Managing cash flow
One-on-one management consulting will be offered by faculty, small business development
center consultants, and practicing business professionals.
Resources and facilities:
o
Help Desk - a place to answer business-related questions, direct individuals to
specific publications and electronic resources, provide information regarding
seminars offered through the Center or its partners, and set appointments with the
REED Center coordinator or individual advisors
o
Consultation Office – for business advisors to meet with clients
o
Conference Room – for small group meetings and training sessions
o
Seminar Room – for seminars and conferences equipped with multimedia support
o
Coordinator’s Office
o
Resource Center – offering workstations, selected reference materials including
books, statistical information, online databases, business and financial planning
software, videos, and other resources
o
Web Site - including useful sources and links for small business
4
II. Demonstration of Need
A.
Introduction
Global competition and economic change have resulted in the loss of manufacturing jobs in our
region. In rural areas, the relocation or downsizing decisions of a single company can have a
devastating long-term impact on employment and wages. And, while recruitment of major
industrial firms is important, international technological and labor trends dictate that emerging
small businesses will be a larger part of the solution.
The ability to transform ideas, talent, and hard work into self-sufficiency is not only a basic tenet
of the American dream but has become a necessity for U.S. competitiveness. According to a
recent article in the U. S. News and World Report (Ramachandran, N., “Be Your Own Boss,”
August 2, 2004, pp. 62-66), the timing has never been better to be an entrepreneur. Low interest
rates and ready credit make financing easier, a still-soft job market brought on by downsizing
ensures availability of labor, and strong consumer and government spending support demand.
Despite this environment of opportunity, a study conducted by the Ewing Marion Kauffman
Foundation points out that while, at any given time, 10 million Americans are trying to start their
own businesses - only one-third of them actually do so. Of those who do, the majority fail
eventually fail often being driven out by poor business planning or inadequate working capital.
In fact, a 2002 study from the Small Business Association (SBA) claims that only 66% of new
firms with employees survive the first two years, and only 40% are still in operation after six
years. Evidently, pursuing this facet of the American dream is more difficult than it appears.
Steps can be taken, however, to assist entrepreneurs as they strive to succeed. The U.S. News
and World Report article mentioned previously describes four things that improve an
entrepreneur’s chances for success. First, individuals are encouraged to carefully research
potential locations for the business. Second, they should network with experts, including current
and retired business owners, the Small Business Association (SBA), local chambers of
commerce, and small business development centers. Third, they must obtain adequate financing.
And finally, prospective entrepreneurs should pursue all relevant education, training, and
experience. The proposed REED Center is designed to prepare entrepreneurs to meet each of
these needs. Furthermore, as evidenced in the remainder of this section, the rural and
substantially underserved region served by the center will benefit from an economy strengthened
by small business growth.
B.
Economic Status of Service Area
Offering service to rural Northwest Tennessee, the REED Center’s primary service area will be
Weakley County, Henry County, northwestern Carroll County, northeastern Gibson County, and
eastern Obion County. In addition, the “Twin Cities” area surrounding South Fulton, Tennessee
has expressed interest in using and supporting the facility. The center’s secondary service area
will include the remainders of the above counties, plus Benton, Crockett, Dyer, and Lake
Counties. The population within a one-hour drive of the REED Center’s location in downtown
Martin, Tennessee is approximately 225,000.
5
The Tennessee Department of Economic and Community Development
(www.state.tn.us/ecd/pdf/cdbg/factsheet.pdf) designates “Special Enhancement Counties” as
those that record the worst unemployment, lowest incomes, and greatest poverty. Compared to
the remainder of the state, the counties of northwest Tennessee suffer disproportionately in these
measures. As illustrated in Exhibit I, the Eighth Congressional District includes five “Special
Enhancement Counties”. In addition, Matt Kisber, Commissioner of the Department of
Economic and Community Development, has assigned two additional counties in the Eight
District as economically troublesome. None of the other eight congressional districts in
Tennessee has more counties in distress, and only one district has the same number. (See Exhibit
I below - Eighth Congressional District outlined in red.)
Exhibit I
Economic Status of Tennessee and REED Center Service Region
In addition to the unemployment, income, and poverty profile of the service region, the need for
the REED Center is supported by the lagging indicators of economic growth summarized in
Exhibit II.
Focusing more narrowly on Martin’s home county (Weakley), its contiguous counties of Carroll,
Gibson, Henry, and Obion, and its immediately outlying counties of Benton, Crockett, Dyer, and
Lake, economic indicators provide further evidence of a need for resources supporting initiation
and growth of small business enterprises.
6
The U.S. unemployment rate currently stands at 5.5% having decreased a modest .1% during the
past year. As shown in Exhibit II, only Obion County’s 2003 unemployment rate is lower than
the national average. This is attributable in part to the presence in Union City of two key
organizations: Goodyear Tire and Rubber Company, which employs over 3,000 people, and
Tyson Foods Incorporated, which employs over 1,200. With exception of Obion and Dyer
Counties, per capita income in the region ranges between the 30th and 95th (out of 95) positions
in the state. In addition, growth rates based on retail sales and sales tax collections widely vary
with recent declines prevalent in many counties. For its part, Dyer County’s total investment in
new plants and expansions between 1994 and 2003 was an impressive $461 million dollars. The
intense efforts of the TSBDC located in Dyersburg, which would also provide support to the
proposed REED Center, have contributed to that comparatively robust figure.
Exhibit II
Regional Unemployment, Income, and Growth Indicators
2001 Per Capita
Income
County
2003
Unempl.
Rank
Rate Average in TN
Weakley
Carroll
Gibson
Henry
Obion
Benton
Crockett
Dyer
6.1%
12.0%
9.4%
6.8%
4.7%
10.5%
7.8%
7.5%
$20,594
$21,038
$22,401
$22,475
$24,089
$19,994
$21,601
$22,931
51
40
30
31
14
49
35
29
Lake
6.1%
$13,306
95
Fayette
5.5%
$24,494
22
Williamson
2.9%
$41,524
0
2002 Retail Sales
Total
$192,408,124
$171,844,434
$367,468,640
$372,606,441
$310,741,386
$122,402,245
$46,620,815
$386,046,193
%
Change
Since
2000
-2.59%
9.11%
5.81%
18.43%
-2.54%
0.42%
-1.43%
-0.74%
2001-2002 State Sales County 10-Year Growth Report
Tax Collection
(1994-2003)
%
Change
Since
1999New ExpanTotal
Total
2000
Plants sions
Investment
0.32%
2.50%
-4.11%
-2.23%
1.52%
-4.61%
-2.47%
-6.37%
6
10
14
7
6
4
2
9
88
80
149
99
86
20
19
109
$1,580,384 1.05%
2
7
$102,211,249 -0.89%
$7,787,334 -0.49%
15
33
$51,557,123
$2,260,167,126 14.68%
$148,992,181 9.92%
5
141
$184,872,426
$24,102,216 -0.81%
$13,477,555
$9,745,108
$21,383,918
$19,861,327
$20,424,572
$7,127,169
$2,876,050
$23,070,847
$43,237,934
$309,587,050
$274,585,823
$131,155,825
$387,880,221
$22,930,433
$15,356,522
$461,002,683
$3,682,400
Source: www.state.tn.us.ecd/comdev.htm
Note finally that data from Williamson County is included in Exhibit II for comparison since that
area is recognized as one of the most economically vibrant in the state with an unemployment
rate of 2.9% and average per capita income of over $40,000. Fayette County is also included as
a benchmark since it remains a largely rural west Tennessee county notwithstanding the
influence of suburban growth from eastern Memphis. The figures from Fayette County are
similar to, though somewhat better than, those from Weakley County. Notably, Fayette County
was awarded a Rural Business Enterprise Grant in the amount of $57,500 in fiscal year 2004
(www.rurdev.usda.gov/rd/newsroom/2004/BusEZECEarmarkslist.pdf).
7
C.
Currently Available Services
In partial response to the needs of the region, the U. S. Small Business Administration and the
Tennessee Board of Regents (TBR) System of universities and community colleges have
partnered to provide service centers around the state through the Tennessee Small Business
Development Centers (TSBDC) network. The TSBDCs nearest the proposed Regional
Entrepreneurship and Economic Development Center, however, are located in Dyersburg and
Jackson. Representative of the current scarcity of advisory resources, an agent from the Jackson
TSBDC makes once-a-month visits to many small towns in northwest Tennessee. These visits
typically involve brief consultation and overview sessions with individuals who have specific
questions or problems pertaining to small business initiatives. While this has provided valuable
assistance to many individuals during the past two years, the service is limited by lack of
adequate time, facilities, and supporting resources. The need to cover such a large geographic
area and the increased demand for assistance in the region require a more complete and
integrated support system.
The only other source of assistance for small business entrepreneurs in the proposed REED
Center service area is a Small Business Resource Center located in the C. E. Weldon Public
Library in Martin. While helpful, this is simply a collection of information, available both in
print and via the Internet that individuals can read on their own. Although this addresses some
basic needs, its effectiveness is limited by a lack of the personal interaction and individualized
focus that many people new to the world of entrepreneurship require. The REED Center will
address this need, as it will be a highly visible, easily accessible facility offering free or low cost
business consulting services, seminars, technical resources, and ongoing support.
D.
Current Gap in Available Services
As detailed in the previous section, the rural area surrounding Martin, Tennessee is characterized
by an abundance of small towns with no business development center or other dedicated resource
in close proximity. The population does not have direct, convenient access to a TSBDC and
receives only limited assistance from any organization whose focus is to support small business
development.
Currently, the majority of all commercial activity in Tennessee results from small business
operations. And, in light of recent trends, small emerging companies will account for an
increasing portion of national, state, and regional economic output. As a result, it is crucial to
encourage entrepreneurial activity by providing resources necessary for small business
development. This need is particularly true in rural communities where technical expertise is not
readily available and where, relative to urban areas, few resources exist for entrepreneurs.
The size of the geographical area, the importance of small business development to the regional
economy, and the diverse needs of prospective and existing entrepreneurs, render currently
available resources inadequate. According to the TSBDC network, there were almost 1,000
constituents from the northwest Tennessee Congressional District 8 who sought help with their
small businesses during 2003 alone. Managing their needs required over 5,200 hours of
consulting time. In many cases, these individuals not only had to know where to look for help
8
but also travel long distances to obtain it. Importantly, actual demand is no doubt much higher
as the TSBDC figures do not include individuals who did not seek assistance due to a lack of a
highly visible, well-publicized and readily available resource. The REED Center will obtain
additional clients through referrals from its many partners, including banks and other financial
institutions; current and retired small business owners; the University of Tennessee at Martin and
its Oldham Center for Entrepreneurship and Economic Education, and Chairs of Excellence in
Banking and Free Enterprise; area chambers of commerce; and regional economic development
organizations.
Once the center and its advisory and training resources are available, its location, widely
advertised services, diverse network of referring companies and organizations, and ease of access
will generate even more contacts. Finally and in addition to individual advisory services, the
ability to offer seminars and workshops by involving current and retired business owners,
university faculty, bankers, and other business professionals will provide enormous value.
E.
Current Opportunity
To address the service gap in the previously described region of rural northwest Tennessee, we
propose to establish a Regional Entrepreneurship and Economic Development Center in
downtown Martin, Tennessee. The center will provide informational and technological
resources, workshops, seminars, and individualized consultation to present and would-be
entrepreneurs in the region. Several stakeholders have agreed to merge their resources and
expertise in a unique way in order to establish and maintain this center. To accomplish this goal,
we need to obtain additional funds for the renovation of an available building (the primary focus
of this USDA Rural Business Enterprise Grant request), furnish and equip the location, hire
appropriate staff, schedule program offerings, market the center to the public, and support
ongoing operations.
The remainder of this report includes the specific mission and operational scope of the proposed
REED Center. The following sections provide a summary of deliverable services and a detailed
description of the facility, its resources, location, and staffing. Next, the organizational structure
is outlined along with a timeframe and marketing plan to implement the start-up. Next, we
summarize the measures that will be used to track the effectiveness of the center. Finally,
relevant financial projections and a description of funding sources are included to show ongoing
operational support of the REED Center.
III.
Description of the Proposed REED Center
A.
Planning and Mission
A Planning Committee composed of UT Martin’s Hendrix Chair of Excellence in Free
Enterprise, the Dunagan Chair of Excellence in Banking, a representative from the TSBDC in
Jackson, the Executive Director of the Weakley County Chamber of Commerce, a bank manager
of BancorpSouth in Dresden, and several successful local business owners (see Appendix A) met
over a period of months to delineate the purpose and proposed offerings of the REED Center.
The Mission Statement they devised follows:
9
“The Regional Entrepreneurship and Economic Development Center (REED
Center) will meet the needs of existing and potential business owners through
one-on-one consultations and interactive training programs. It will serve as a hub
of information for prospective entrepreneurs and owners of existing small
businesses who need individual consultation services, group training services, and
associated technical resources. The REED Center will develop and deliver
courses, workshops, and research projects that respond to the needs of small
businesses and support regional economic development.
The REED Center will combine the resources of regional businesses, chambers of
commerce, small business development centers (Jackson and Dyersburg), rural
development services, lending institutions, city governments, the UT Martin
College of Business and Public Affairs, the Hendrix Chair of Free Enterprise, the
Dunagan Chair of Banking, the Financial Services Center, the Oldham Center for
Entrepreneurship and Economic Education, and other public and private
organizations to provide innovative and ongoing training and consulting services.”
Additional discussion has recently ensued citing the need for a broader definition of “economic
development” to include the concept of individual solvency. This need is underscored by the
consistent ranking of Tennessee, and West Tennessee in particular, at or near the top of national
bankruptcy statistics. Tennessee currently ranks second among all states for the 12-month period
ended March 31, 2004. The overall statistics are staggering, as the American Bankruptcy
Institute reported one filing for every 38.7 households in Tennessee during that 12-month period
(see http://www.abiworld.org/statcharts/HouseRank.htm). The high bankruptcy rates in
Tennessee in general and West Tennessee in particular point to the widespread need for basic
financial education and training in our region.
Successful small businesses depend on the financial well-being of their owners, customers, and
associated stakeholders. Toward this end, the REED Center will offer seminars in money
management and personal financial planning as appropriate to promote the public’s quality of
life in general and provide individuals with basic information and knowledge upon which to
build their entrepreneurial dreams.
B.
Facilities
The REED Center is to be located at 406 South Lindell Street, Martin, Tennessee, in a downtown
structure popularly known as the “Larry Taylor Building.” At the corner of South Lindell and
University Streets, the site is a prime business locale just in front of Martin City Hall and across
the street from the Post Office. The facility is highly visible and has excellent parking. Once the
facility’s interior and exterior is renovated, the REED Center will occupy the lower left half of
the building pictured in Exhibit III (below).
Dimensions for the area are roughly 27’W X 60’L, with a narrow 31’ hallway extending to the
back exit. (See Appendix B for the overall floor plan.) Approximately 1,630 total square feet
are included in this long, rectangular space, with about 1,250 square feet of usable space
(discounting closets, hallways, storage areas, etc.).
10
Exhibit III
Current (Unrenovated) Site of the Proposed REED Center
Funding is required to renovate the existing building. While the existing structure is sound,
needed renovations include, but are not limited to: dividing the space into the necessary offices,
work stations, and conference/seminar rooms; installing proper insulation and a heating/air
conditioning system; replacing the ceiling and flooring; refinishing the walls; outfitting the
bathroom; installing lighting; hanging doors and shelving; painting; and setting new glass panels
and doors across the exterior front. (See Appendix C for a contractor’s quote). In addition, an
awning supported by columns will be placed in front to achieve a façade similar to that of the
Office Products building just down the street (See Exhibit IV below).
Exhibit IV
Façade of Similar Downtown Building (Proposed REED Center Approximation)
The Larry Taylor Building is owned by the City of Martin. City officials have agreed to lease
this space to the University of Tennessee at Martin, for the purposes of creating and maintaining
11
a Regional Entrepreneurship and Economic Development Center, at a cost of $1 per year for five
years with an option to renew. Pursuant to that lease agreement, the city will also furnish basic
telephone service (excepting long distance charges), hot and cold water, sewage, heating and air
conditioning equipment, electricity, and Internet service to the center during that time. (See
Appendix D for the lease agreement.)
Upon renovation, the interior of the proposed REED Center will include a:
Help Desk - a place to answer business-related questions, direct individuals to specific publications
and electronic resources, provide information regarding seminars offered through the center or its
partners, and set appointments with the REED Center coordinator or individual advisors.
Consultation Office – for business advisors to meet with clients
Conference Room – for small group meetings and training sessions
Seminar Room – for seminars and conferences equipped with multimedia equipment
Coordinator’s Office
Resource Center – offering individual workstations; reference materials including books, statistical
information, online databases, business and financial planning software, videos and other resources.
C.
Programs, Training Sessions, and Services

Programs and training sessions – topics include:
o
o
o
o
o
o
o
o
o
o
o

Business plans
Positioning products
Effective start-ups and feasibility of prospective businesses
Personal financial planning
How to structure the financing of a business
How to pitch a business to potential investors
How to attract and retain good people
Employee benefits
Bank lending seminars
Planning for growth and succession
Developing new and alternative business ventures in critical business areas such as
agriculture and land utilization, professional services, and technology-based industries
Types of services and assistance:
o
o
o
o
o
o
o
o
o
Preparing business plans
Preliminary accounting and legal assistance
Conducting marketing surveys and feasibility studies
Developing financial projections
Identifying sources of financing
Formulating loan proposals
Developing new markets
Managing cash flow
One-on-one management consulting will be offered by faculty, small business development
center consultants, and practicing business professionals.
12
IV. Operations
A.
Staffing and Hours of Operation
It is important for the REED Center to be open and staffed on consistent basis, allowing the
clientele to rely on its accessibility. Although financial constraints preclude a high investment in
labor during the start-up period, the center will operate a minimum of 20 hours each week,
namely from 9:00 a.m. to 2:00 p.m. on Monday, Tuesday, Thursday, and Friday. In addition,
consulting times outside of normal business hours will be scheduled on a case-by-case basis with
clients. Also, telephones will be answered from 8:00 a.m. to 5:00 p.m. Monday through Friday
to provide general information and allow for scheduling of appointments. As demand grows and
revenues from seminar fees, grant funds, and sponsorships increase, we can and will extend the
hours of operation.
A coordinator and a UTM student intern/assistant will staff the center at all times. Typical duties
for the director will include conducting initial interviews with clients to determine their needs;
initiating and maintaining files on all clientele; providing basic guidance regarding business
issues (i.e. the importance of a business plan, the steps necessary to obtain a loan, etc.);
coordinating meetings as necessary between clients and advisory staff; and referring clients to
partners as appropriate to meet ongoing needs (i.e. UTM’s College of Business and Public
Affairs for consultation or educational coursework, loan officers for financial advisory sessions,
visiting advisors from supporting small business development centers at Dyersburg and Jackson
for general business planning, etc.). The coordinator will also be responsible for coordinating,
promoting, and hosting seminars and workshops; conducting follow-up for each client to
determine outcomes; maintaining records and statistics on said outcomes; and reporting activities
and results to the REED Center Board. In addition, the director will have responsibility for the
general administration and upkeep of the center, including ensuring the presence of adequate
office supplies and up-to-date resources, overseeing the work of the assistants, and managing and
reporting financial performance. Lastly, the coordinator will be charged with pursuing ongoing
funding for the center through grants, with sufficient independent revenues anticipated beyond
the second year. (See Appendix E for job description.)
Student interns/assistants will be required to perform general clerical duties; to act as
receptionists for the center; to provide hands-on assistance to clients who are attempting to
utilize the center’s print and Internet resources; and to complete tasks and projects as requested
to support the efforts of the director and the advisory staff. Student interns will not be
independently responsible for the management of clients’ needs; however, they will be afforded
an opportunity to assist in small business development projects that, in turn, will allow them to
gain valuable first-hand, real world experience.
B.
Entities Involved and Their Roles
The REED Center will be the culmination of a unique partnership between the University of
Tennessee at Martin, the City of Martin, the United States Department of Agriculture (USDA),
the Tennessee Small Business Development Center network, area banks, regional chambers of
13
commerce and economic development organizations, and other public and private entities. Each
partner’s specific role will be delineated in this section.

The University of Tennessee at Martin will lease the space for the REED
Center. The College of Business and Public Affairs will employ the center’s
staff and will provide immediate supervision to its operations, as well as
offering coursework to educate clients in business principles and
entrepreneurship. Selected students will be employed as support staff for the
venture. The Hendrix Chair of Free Enterprise, the Dunagan Chair of
Banking, and the Oldham Center for Entrepreneurship and Economic
Education will oversee the programming, provide expert consultation, and
earmark funds for ongoing operations The Office of Extended Campus and
Continuing Education will facilitate seminars and offer non-credit courses that
support the center’s mission.

The City of Martin will provide the space for the facility by allowing UT
Martin to lease a vacant portion of a building in downtown Martin. The terms
of the lease specify rent of $1 per year for five years, with utilities and
maintenance included.

The United States Department of Agriculture (USDA) will partner with the
REED Center by providing funds necessary to renovate and develop the site.

The Tennessee Small Business Development Center (TSBDC) network
through its facilities in Jackson and Dyersburg, will lend managerial and
operational expertise by guiding the formulation of the center and by
performing onsite consultations with clients on an ongoing basis. These
agents have also offered to share informational resources, databases and
computer software, and provide additional publicity for the center.

Regional community banks namely First Citizens National Bank, First State
Bank, and Reelfoot Bank, have agreed to supply funds for start-up as well as
for operations during the first two years (with continuing support renewable
upon review at that time). Additionally, these and other lending institutions
have indicated that they will support the center by referring clients,
committing their loan officers for several hours each month for consultation
and/or presentation of seminars, and donating furniture and equipment.

Regional chambers of commerce and economic development
organizations have pledged their expertise and promotional assistance. The
Martin Economic Development Corporation, the Obion County Industrial
Development Corporation, and both the Martin and McKenzie Industrial
Development Boards have voiced their enthusiasm for this concept. Also
supportive are the Chambers of Commerce in Weakley, Obion, Crockett
Dyersburg/Dyer, Camden/Benton and Lauderdale Counties, the Jackson Area
14
Chamber of Commerce, and the Chamber of Commerce of the Twin Cities
(i.e. Fulton, KY and South Fulton, TN).

Other public and private entities will also partner in the center. A number
of current and retired business people have agreed to donate a portion of their
time to meet with clients as necessary and mentor them as they move through
the business development process. The Tennessee Business Development
Corporation of Paris, Tennessee (the only SBA Preferred Lender in this
region), has committed to assist the center by sponsoring public training
sessions, holding workshops for participating loan officers regarding SBA
programs, and both making and accepting client referrals. Civic organizations
and accounting/law offices may also provide limited funding, referrals, and/or
consultations. Finally, it should be noted that overwhelming support for the
REED Center is evidenced by the fact that no institutions or individuals who
were approached with this partnership opportunity declined. This is
additional evidence of both the need for this resource in rural northwest
Tennessee and the high likelihood of additional and ongoing support from
these and other organizations.
Once funding is secured to renovate the facility, a board will be formed consisting of center
partners and stakeholders. While direct supervision for daily operations will flow from UT
Martin and its College of Business and Public Affairs, the board will provide strategic oversight
and will hold both the center and its staff accountable for the results achieved. Board meetings
will be held at least quarterly. (NOTE: Letters of support from many of the above entities are
listed in the Table of Contents and are attached in Appendix F.)
C.
Marketing Plan
The marketing plan consists of a multi-tiered promotional strategy including the following:
Personal selling
o
The coordinator will respond personally to the majority of inquiries made to the
center in order to promote the wide array of available services.
o
The coordinator will also initiate and maintain contact with targeted small
businesses in the region to determine their training needs and to market the center.
Advertising
o
Referrals from partner institutions and word-of-mouth advertising will be the
center’s single most important means of promotion. These referrals from our
partners and recommendations from satisfied clients will be key to the center’s
success.
15
o
As a non-profit service organization, announcements will be made through local
media (community-based newspapers and radio stations) and most often be carried
without charge.
o
Occasionally, a special program may be promoted through formal advertisements
in the relevant newspapers, if the registration fees generated by such an action are
judged likely to offset the cost.
o
Trifold brochures will be developed to market the center. In addition, the nearby
TSBDCs have offered to include the REED Center in their own brochures.
o
As a client database is developed, targeted mailings may be approved for certain
seminars and conferences.
Publicity
o
The center will submit photographs and an article to all the area’s newspapers to
publicize its grand opening.
o
Articles describing the larger sponsored events will also be sent, as well as
occasional human-interest stories featuring successful clients.
Sales Promotion
o
D.
Onsite signage and promotional displays will assure outstanding visibility from
busy South Lindell Street. Public service announcements, website notifications,
and other signage displayed at partner institutions will further promote the center.
Measures of Success
Both quantitative and qualitative measures will be used to assess the performance of the REED
Center. The number of visitors using the print and Internet resources will be tracked as will the
number of clients using advisory services. In addition, the number of hours of preparation and
consulting time provided by advisors will be monitored over time. Similarly, clients interviewed
by the director and the many center advisors will be counted, as will the duration and topic of each
session. The number of participants in seminars and other training programs will also be counted.
Qualitative data will flow, in part, from the individual files created for interviewed clients. All
subsequent contacts, referrals, and follow-ups will be noted in these files. For instances in which
the center’s services result in the creation or expansion of business ventures, the number of jobs
created/saved and the amount of capital investment will be recorded. For purposes of quality
assurance and continual improvement, questionnaires regarding the quality of materials,
instructors, and the relevance of the topics will be completed. More subjective qualitative data
will also result from these post-session and post-seminar evaluations. Suggestions will be
solicited regarding additional topics and advisory activities. Finally, data will be aggregated and
presented within a monthly activity report to supervisors at UT Martin and on a quarterly basis to
16
the REED Center Board. Evaluation and adjustment of the center’s operations, staffing, and
programs will be ongoing.
E.
Timeframe for Implementation
The steps required to launch the REED Center, their sequence, and overall timing are shown in
Exhibit V.
Exhibit V
Operational Schedule
Activity
Plan concept
Jul-04
Aug-04
Sep-04
Oct-04
Nov-04
(& prior)
Solidify partners
& roles
Write grant
proposal
Solicit cash & inkind donations
Await grant
approval
Bid renovation
contract
Hire center
coordinator
Purchase
equipment
Undertake
renovation
Install
equipment
Initiate marketing
plan
Hire support
staff
Schedule
consultants
Organize &
prepare space
GRAND
OPENING
Provide
services
Hold board
meeting & formal
evaluation of 1st
quarter
17
Dec-04
Jan-05
Feb-05
Mar-05
Apr-05
May-05
Jun-05
Once the critical USDA funding is secured, approximately four to five months will be required to
renovate the site; hire the staff; acquire and install the necessary equipment, software, and
resource materials; set up the first quarter’s programming and consultant schedule; and prepare
and circulate brochures and other promotional materials. The first day of operation is projected
as March 1, 2005.
V.
Financial Considerations
A.
Initial Financial Statements and Operating Budget
Initial financials for the center are reflected by the projected Balance Sheet at Start-Up (Exhibit
VI) and the projected Income Statement at the End of the First Year of Operations (Exhibit VII).
The first of these statements, the pro forma balance sheet, itemizes the sources of funding in the
right column and the uses of funds in the left, applicable prior to opening day.
Exhibit VI
Balance Sheet (Start-Up)
REGIONAL ENTREPRENEURSHIP & ECONOMIC
DEVELOPMENT CENTER
ASSETS
Current Assets
Cash for Renovation
Cash for Operations
Software & Print Resources
Office Supplies
Total Current
Assets
Noncurrent Assets
Computers (3 workstations)
Printer/Copiers (2) w/10
Cartridges
Furniture
Building Supplies
Total Noncurrent Assets
TOTAL ASSETS
$73,000
$2,000
$2,500
$850
$78,350
$6,000
$500
$4,000
$12,000
$22,500
$100,850
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LIABILITIES & EQUITY
Liabilities
None at Inception
Total Liabilities
Equity
USDA Grant
Contributions
Community Banks
$0
$0
$60,000
$25,000
Other Sponsors
In-Kind Donations
$500
$15,350
Total Equity
$100,850
TOTAL LIABILITIES & EQUITY
$100,850
Funding through year one is demonstrated by an Income Statement at the End of the First Year
of Operations (below). Finally, it is important to note that while Exhibit VII summarizes the first
year of operations, continuing sources of revenue in the out years are likewise committed.
Exhibit VII
Income Statement
(End of First Year of Operations)
REGIONAL ENTREPRENEURSHIP & ECONOMIC
DEVELOPMENT CENTER
Revenues
Seminar fees (average 1 seminar/mo. w/10 participants @ $100 each)
Endowment funds (2 UTM Chairs of Excellence & Oldham Center @ $500 ea./month)
Contributions ($500/mo.)
Total Revenues
$12,000
$18,000
$6,000
$36,000
Cost of Services Provided
Speaker fees for seminars (average 1 seminar/mo. @ $400)
Handouts & promotion specific to seminars (average 1 seminar/mo. @ $100)
Total Cost of Services Provided
$4,800
$1,200
$6,000
Gross Profit
$30,000
Selling, General, and Administrative Expenses
Brochures and mailings (general to REED Center; $150/mo.)
Operating expenses (office supplies, long distance charges, etc.@ $250/mo.)
Salaries
Coordinator ($15/hr X 20 hrs/wk X 48 wks/yr)
Student Interns/Assistants (2 @ $6.00/hr X 10 hrs/wk X 40 wks/yr)
Total Selling, General, and Administrative Expenses
Earnings from Operations = Net Income (no interest expense or income tax)
19
$1,800
$3,000
$14,400
$4,800
$24,000
$6,000
B. Sources of Funding
Specific funding sources for the REED Center identified and committed through the extensive
partnership network are summarized in Exhibit VIII.
Exhibit VIII
Start-Up and Operational Funding Sources
REGIONAL ENTREPRENEURSHIP & ECONOMIC
DEVELOPMENT CENTER
SOURCE
USDA-Rural Business
Enterprise Grant
City of Martin
UT Martin
Martin Economic
Development Corp.
Marvin Windows and
Doors
TSBDC
Lending Institutions
Office Products
Other (civic groups,
etc.)
Program fees
TOTALS
DESCRIPTION
Construction / renovation
Lease of space
Utilities
Endowment
10% Salary: Dunagan Chair
10% Salary: Hendrix Chair
Maintenance fee
10% Salary: Director
8’ Doublewide stationary
panels w/simulated divided
lights (6)
5% Salary: Dyersburg
5% Salary: Jackson
Computer software
Start-up cash
Operating capital
Furniture / equipment
5% Salary: Loan officers (3)
Office equipment / supplies
Start-up cash
Seminars, conferences, etc.
20
MONETARY
$60,000
IN-KIND
$6,000
$3,000
TOTAL
$60,000
$3,500
$6,000
$3,000
$18,000
$11,500
$11,000
$500
$3,500
$12,000
$12,000
$2,000
$2,000
$1,500
$500
$2,000
$2,000
$1,500
$25,000
$6,000
$1,750
$7,500
$100
$500
$12,000
$122,000
$12,000
$183,850
$18,000
$11,500
$11,000
$500
$25,000
$6,000
$1,750
$7,500
$100
$61,850
VI. Summary of Grant Request
The Regional Entrepreneurship and Economic Development Center hereby requests $60,000 in
funding through a USDA Rural Business Enterprise Grant to perform significant renovations to
the designated facility described in Section III (B) of this proposal. Start-up funding, as well as
operating monies and referrals, will be supplied by regional lending institutions. The University
of Tennessee at Martin, through two of its endowed chairs in banking and free enterprise along
with the Oldham Center of Entrepreneurship and Economic Education, will provide $1,500 each
month in operating funds. The City of Martin will supply the building and pay associated utility
costs for the project.
The College of Business and Public Affairs will provide the time and expertise needed to
supervise the center with additional oversight by a representative board of center partners and
stakeholders. The Tennessee Small Business Development Centers in Jackson and Dyersburg
will share information resources and, along with bankers, current and retired business owners,
provide professional consultation services. Additional donations, such as building materials,
furnishings, equipment, and/or supplies, have already been committed from the banks and will
continue to be solicited, with gift-in-kind credit given to the donors for tax purposes.
Rarely has a multilateral project had so much potential to add value to a rural business
community. The REED Center has gained unanimous support among targeted partners and is
expected to excel in meeting the needs of existing and potential business owners in this region.
By helping to retain existing business and attract new business and industry to the area, the
REED Center will contribute greatly to the economic well-being and quality of life of the
citizens of rural northwest Tennessee.
VII. Priority Score Sheet Summary
A summary of point justification issues follows. Please refer to the preceding narrative for
additional details.
1. Evidence of at least five years successful experience in the type of activity proposed in
the application.
The REED Center will rely heavily upon the expertise of the two partners from the
Tennessee Small Business Development Center network, Jamie Frakes and Ron Acree. Both
gentlemen have over five years experience in their respective positions, and have eagerly
agreed to provide one-on-one client consultations, access to expert speakers (including
themselves as appropriate), and oversight for the center’s program development. (Please see
attached letters of support.)
In addition, the REED Center will make regularly scheduled use of loan officers with
decades of experience from partnering banks. These individuals will critique business plans
and feasibility and provide financial consultations. Jim Thigpen, a Preferred Lender with the
Small Business Administration who is located in Paris, Tennessee, will do the same. A cadre
21
of established, successful small business owners from the area have offered to meet with
clients as needed. The UT Martin Office of Extended Campus and Continuing Education
and the College of Business and Public Affairs, along with its component Oldham Center for
Entrepreneurship and Economic Education, Horace and Sara Dunagan Chair of Banking, and
Tom E. Hendrix Chair of Free Enterprise will further support the education and training
needs of clients by offering advisory support and relevant credit and non-credit courses and
seminars.
2. Evidence that the applicant has commitment of funds from nonfederal sources for
proposed project.
This concept has met with enthusiastic support from a wide range of interested parties. The
center will receive support, both monetary and through in-kind donations, from the City of
Martin, the Martin Economic Development Corporation, the University of Tennessee at
Martin, several lending institutions, the Tennessee Small Business Development Centers,
Marvin Windows and Doors of Ripley, Tennessee, independent local businesses, and others.
(Please see the “Sources of Funding” table and the letters of support from UT Martin’s
Chancellor and various banks.)
3. Evidence from appropriate government officials and/or entities that the proposed grant
project is consistent with, and does not duplicate, economic development activities for
the project area under an existing community or economic development plan covering
the project area.
The specific geographic area targeted by the REED Center has great need for economic
development. Yet despite the sincere efforts of the TSBDC and other agents, due to
constraints of distance, time, space, and supporting resources, this area remains underserved.
Through frequent interaction and discussion, the partners who have conceptualized this
project have built a synergistic framework that will address this area’s economic interests
much more effectively than any entity could possibly achieve independently. (Please see
attached letters of support from the mayor of Martin, economic development authorities, the
TSBDC partners, and the region’s chambers of commerce.)
4. Evidence that the anticipated development, expansion, or furtherance of business
enterprises as a result of the proposed grant project will create and/or save jobs
associated with the affected businesses.
As a new venture, the REED Center obviously has no data of its own to support this claim. A
reasonable expectation, however, might be that the center will accomplish business
expansion and retention in a manner similar to, or even exceeding, that of the TSBDCs.
Interestingly, Ron Acree, of the Jackson TSBDC, states in his letter that he anticipates
receiving “at least double the number of requests for consulting upon the opening of the
center.” (Please see attached letter of support.)
22
5. Letters of support from businesses.
Please refer to the attached letters of support from partnership entities along with area
business and affiliate organizations including The Hamilton-Ryker Group, regional
community banks, chambers of commerce, and economic development authorities.
VIII. Future Possibilities
The future holds many possibilities for expansion of services through the REED Center. For
example, with the participation of currently operating business owners and service professionals
already established, it would be a likely progression to charter a Service Corps of Retired
Executives (SCORE) chapter through the center. Informal support groups for new entrepreneurs
could be organized and coordination with case-based classes in the newly revised degree
program in entrepreneurship and the award-winning Students in Free Enterprise organization at
UT Martin could provide support to regional business organizations with special projects needs.
In the future, a broader base of educational projects that involve area schoolteachers and young
people could serve to promote financial literacy and plant the seeds of free enterprise
opportunity. With the UT Martin connection and support from area businesses, community
banks, and regional chambers of commerce, the center might also sponsor business-planning
contests and celebrate successful entrepreneurs who launched their businesses from the facility.
Finally, the potential to host professional seminars to support established businesses needing upto-date information and technical advice to stay competitive is unlimited.
23
IX. Appendices
A.
REED Center Planning Committee
Ron Acree
(TSBDC Paris-Jackson)
PO Box 928
Humbolt, TN 38343
731-697-3431
Eddie McKelvy
(Stewart Oil Co.)
108 W. Union St.
Gleason, TN 38229
731-648-5111
Terri Brundige
(BancorpSouth)
P.O. Box 109
Dresden, TN 38225
731-364-3193
Audrey Roberts
(Martin Manufacturing – Retired)
1445 Main St.
Martin, TN 38237
731-587-6327
Crawford Gallimore
(Hamilton-Ryker)
947 E. Main St.
Martin, TN 38237
731-587-3161 Ext.213
Dr. Steve Jackson
University of Tennessee at Martin
College of Business and Public Affairs
Martin, TN 38238
731-587-7228
Joe Exum
(Leland Powell)
8160 Highway 45
Martin, TN 38237
731-587-3106
Dr. Tom Payne
University of Tennessee at Martin
College of Business and Public Affairs
Martin, TN 38238
731-587-7324
and
Suzie German
(Weakley Co. Chamber of Commerce)
114 W. Maple St.
Dresden, TN 38225
731-364-3787
(Reelfoot Bank – Board of Directors)
1491 South First Street
Union City, Tennessee 38261
731-885-1010
24
B.
Sketch of Floor Plan
25
C. Quote from Wade Builders Supply
26
27
D. Lease Agreement (Working Copy)
Preliminary Draft Copy – Not for Release
THE UNIVERSITY OF TENNESSEE
THIS LEASE, entered into as of this first day of January 2005 by and between the City of Martin, with offices at City Hall, Martin,
Tennessee 38237, hereinafter called the Lessor, and The University of Tennessee, hereinafter called the University:
WITNESSETH:
1.
LOCATION. The Lessor hereby leases unto the University those certain premises with the appurtenances situated in the County of
Weakley,
City of Martin, located at 406 South Lindell Street, Martin, Tennessee 38237.
2.
DESCRIPTION. The premises above are more particularly described as follows: the lower left half of the structure (as viewed
from the street) located at the above address and commonly known as the “Larry Taylor Building.” Said premises have the
approximate dimensions of 27’W by 60’L, plus a narrow 31’ hallway to a back exit, yielding roughly 1,630 square feet of
long, rectangular space.
3.
TERM. The term of this lease shall commence on January 1, 2005, and shall end on January 1, 2010 with such right of termination as are
hereinafter expressly set forth. If the date of occupancy is other than the commencement date, then the rental period shall begin with the
date of occupancy, provided that the rental period shall begin no later than the latter of (a) the commencement date or (b) 30 days after the
space is made available to the University in accordance with the conditions of this lease. This provision shall not relieve the Lessor of the
liability to the University for damages in the event that the space is not made available to the University in accordance with the conditions of
this lease on the commencement date specified above.
4.
RENTAL. The University shall pay rental in arrears on the last day of the payment period as follows: annual rent of $ 1.00 payable in
installments of $ 1.00 per year.
5A. TERMINATION. For convenience, the University may terminate this lease at any time by giving written notice to the Lessor at least thirty
days prior to the date when such termination becomes effective. Said notice shall commence on the day after the date of mailing.
5B. TERMINATION FOR CAUSE: The University may in its sole discretion terminate this lease at any time for any of the following causes: (a)
Failure of the Lessor to provide any of the services required under the terms of this lease; (b) Failure by the Lessor to make such
modifications, alterations or improvements as may be necessary to insure that the leased premises are brought up to, and maintained at,
codes for building construction, health, fire and life safety, and handicapped accessibility applicable to the leased premises, except where
deficiencies are caused by the University (c) Failure to disclose any conflict or potential conflict of interest existing at the date of this lease or
hereafter created; (d) Termination or consolidation of the University operations or programs housed in the leased premises because of loss
of funding; (e) Misrepresentation contained in the response to the request for proposal or committed during the negotiation, execution or
term of this lease; (f) Lack of funding by the appropriate Legislative Body for obligations required of the State under this lease; (g) The
availability of space in University-owned property, provided that no cancellation for this reason may take place until the lease has been effect
for one year; and (h) Any other breach of the terms of this lease by Lessor which is not adequately remedied within twenty (20) days of the
mailing of a written notice thereof to Lessor.
6.
NOTICES. All notices herein provided to be given, or which may be given, by either party to the other, shall be deemed to have been fully
given when made in writing and deposited in the United States mail, certified and postage prepaid, and addressed as follows:
To the Lessor at:
To the University at:
City of Martin
City Hall
University of Tennessee
116 Administration Bldg.
Martin, TN 38237
Martin, TN 38238
7.
ASSIGNMENT AND SUBLETTING. The University shall not assign this lease without the written consent of the Lessor, but shall in any
event have the right to sublet the leased premises.
8.
INSPECTION. The Lessor reserves the right to enter and inspect the leased premises, at reasonable times and to render services and
make any necessary repairs to the premises.
9.
ALTERATIONS. The University shall have the right during the existence of this lease to make alterations, attach fixtures and signs in or
upon the leased premises. Such fixtures or signs so placed in or upon or attached to the leased premises under this lease or any prior lease
of which this lease is an extension or renewal shall be and remain the property of the University and may be removed there from by the
University prior to the termination or expiration of this lease or any renewal or extension thereof, or within a reasonable time thereafter.
10. SURRENDER OF POSSESSION. Upon termination or expiration of this lease, the University will peaceably surrender to the Lessor the
leased premises in as good order and condition as when received, reasonable use and wear thereof and damage by earthquake, fire, public
calamity, the elements, acts of God, or circumstances over which the University has no control or for which Lessor is responsible pursuant to
this lease, excepted. The University shall have no duty to remove any improvements or fixtures placed by it on the premises or to restore
28
any portion of the premises altered by it, save and except in the event the University elects to remove any such improvement or fixture and
such removal causes damages or injury to the leased premises and then only to the extent of any such damages or injury.
11. QUIET POSSESSION. The Lessor agrees that the University, keeping and performing covenants contained herein on the part of the
University to be kept and performed, shall at all times during the existence of this lease peaceably and quietly have, hold and enjoy the
leased premises, without suit, trouble or hindrance from the Lessor, or any person claiming under Lessor.
12. REPAIR AND MAINTENANCE. During the lease term, the Lessor shall maintain the leased premises and appurtenances which he/she
provides in good repair and tenantable condition, including, but not limited to, plumbing, heating, electrical, air conditioning and ventilating
equipment and fixtures to the end that all such facilities are kept in good operative condition except in the case of damage arising solely from
a willful or negligent act of the University's agent, invitee, or employee. Lessor's obligations shall also include, but are not limited to,
furnishing and replacing electrical light bulbs, fluorescent tubes, ballast’s and starters, and air conditioning and ventilating equipment filters.
Lessor shall also provide adequate janitorial services on a regular schedule. An annual maintenance fee in the amount of $500 annually will
be paid to the Lessor by the University. In case Lessor, after notice in writing from the University requiring the Lessor to comply with the
requirements of this paragraph in regard to a specified condition, shall fail, refuse or neglect to comply therewith, or in the event of an
emergency constituting a hazard to the health or safety of the University's employees, property, or invitees, the University may perform such
maintenance or make such repair at its own cost and, in addition to any other remedy the University may have, may deduct the amount
thereof from the rent that may then be or thereafter become due hereunder.
13. APPROPRIATIONS. All terms and conditions of this lease are made subject to the continued appropriations by the appropriate legislative
body or alternative funding source.
14: DESTRUCTION. If the leased premises are totally destroyed by fire or other casualty, this lease shall terminate. If such casualty shall
render ten (10) percent or less of the floor space of the leased premises unusable for the purpose intended, Lessor shall effect restoration of
the premises as quickly as is reasonably possible, but in any event within thirty (30) days.
In the event such casualty shall render more than ten (10) percent of such floor space unusable but not constitute total destruction; Lessor
shall forthwith give notice to University of the specific number of days required to repair the same. If Lessor under such circumstances shall
not give such notice within (15) calendar days after such destruction, or if such notice shall specify that such repairs will require more than
ninety (90) days to complete from date such notice is given, University, in either such event, at its option, may terminate this lease or, upon
notice to Lessor, may elect to undertake the repairs itself, deducting the cost thereof from the rental due or to become due under this lease
and any other lease between Lessor and University.
In the event of any such destruction other than total, where the University has not terminated the lease as herein provided, or pursuant to the
terms hereof has not elected to make the repairs itself, Lessor shall diligently prosecute the repair of said leased premises and, in any event,
if said repairs are not completed within the period of thirty (30) days for destruction aggregating ten (10) percent, or within the period
specified in Lessor's notice in connection with partial destruction aggregating more than ten (10) percent, the University shall have the option
to terminate this lease or complete the repairs itself.
15. SERVICES AND UTILITIES. The Lessor shall furnish to the University, during lease term, at Lessor's sole cost, basic telephone service
(exclusive of long-distance charges), hot and cold water, sewage, heat equipment and air conditioning equipment, electricity expenses and
Internet service expenses.
16. TIME OF ESSENCE. Time is of the essence of this lease, and the terms and provisions of this lease shall extend to and be binding upon
and inure to the benefit of the heirs, executors, administrators, successors and assigns to the respective parties hereto.
18. HOLDING OVER. In the event the University remains in possession of the premises after the expiration of the lease term, or any extension
thereof, this lease shall be automatically extended on an annual basis, subject to 1-year prior-notice termination by either party, and
otherwise on the terms and conditions herein specified, so far as applicable.
19. FINANCIAL INTEREST. The Lessor will provide to the University a list of names and addresses of persons, associations, or corporations
who hold any financial interest in the above leased property; such list shall be immediately revised in the event of a transfer of any such
interest.
20. CODES. The Lessor shall maintain the leased premises in accordance with all fire, building, and life safety codes and other applicable laws
and regulations, including The Americans With Disabilities Act.
21. SPACE AUDIT. The Lessor certifies that the amount of space, as described in Paragraph 2 above, is accurate to the best of his knowledge.
The University reserves the right to perform physical measurements of said space and to adjust the rental amount based upon the amount of
space as measured. If the measured amount is less than the amount of space indicated in Paragraph 2 above, the adjustment in rent shall
be a percentage reduction equal to the percentage difference between the space as reported by the Lessor and that actually measured by
the University. In all cases, the University shall use the current Building Owner's and Manager's Association (BOMA) standards of
measurements for either single or multi-tenant occupancy, whichever is applicable.
22. PEST CONTROL. The Lessor shall maintain the premises in a condition that is free of pests, rodents, and other vermin.
23. NON-BINDING. The Lessor fully understands that this lease is not binding except and until all appropriate University officials' signatures
have been fully obtained, approval of this agreement has been given by the State Building Commission, if applicable, and the fully executed
document returned to the Lessor.
24.
SPECIAL PROVISIONS. Prior to the execution of this lease, the special provisions, which are described below and/or attached hereto
and incorporated by reference, were agreed upon: Lessor agrees to renovate the leased facilities as herein described, subject to obtaining
a grant and other necessary external funds.
“Renovations are to include, but are not limited to, the following: dividing the space into the necessary offices, work
stations, and conference/seminar rooms; installing proper insulation and a heating/air conditioning system; replacing
the ceiling and flooring; refinishing the walls; outfitting the bathroom; installing lighting; hanging doors and shelving;
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painting; and setting new glass panels and doors across the exterior front. In addition, an awning supported by
columns will be placed in front to achieve a façade similar to that of the Office Products building down the street.”
IN WITNESS WHEREOF, this lease has been executed by the parties hereto:
LESSOR
STATE OF TENNESSEE
BY:
BY:
_______________
Date
The University of Tennessee
Date
Its: ___________________________________________
(Approved as to Form and Legality)
I:\HOME\REALEST\ADMIN\BLNKFORM\LEASEFRM.DOC
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E. Coordinator’s Job Description
Title:
COORDINATOR, REGIONAL ENTREPRENEURSHIP AND
ECONOMIC DEVELOPMENT CENTER
Position Summary: The Coordinator will be responsible for the operations and management of the
Regional Entrepreneurship and Economic Development Center (REED Center).
The position coordinates the efforts of the Martin Economic Development
Corporation, UT Martin’s College of Business and Public Affairs, local
government, financial institutions, the Tennessee Small Business Development
Center (TSBDC) network, small business owners, and other stakeholders in order
to achieve the REED Center’s goals.
Essential Functions: Essential job functions and responsibilities include:
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managing the center’s client base; specifically, interviewing and providing
basic guidance to clients (i.e. prospective entrepreneurs and current small
business owners); coordinating meetings as necessary between clients and
advisory staff; referring clients to partners as appropriate to meet ongoing
needs; conducting follow-up with each client to determine outcomes;
creating and maintaining client files; and compiling pertinent data and
statistics from same for reporting purposes;
planning, organizing, promoting, and hosting seminars, training sessions, and
workshops;
managing the center’s daily operations; specifically, ensuring the availability
of adequate office supplies and up-to-date resources, handling receivables
and payables, and creating and carrying out promotional activities;
devising the job duties for student assistants, scheduling their time, and
supervising their work;
managing and reporting the center’s financial performance, generating
budgets, and performing strategic planning for the center;
pursuing ongoing external funding through grants or donations as needed, with
sufficient independent revenues anticipated by year three.
Qualifications:
Education:
Minimum of Bachelor’s degree, preferably in business or business-related
field; Master of Business Administration strongly preferred.
Experience:
Minimum of 5 years general management, supervisory, and/or small business
experience. Experience with business start-ups and development of business
plans and working knowledge of financial statements required. Experience
with marketing feasibility studies, preparation of grant proposals, and
community/industrial development strongly preferred.
Job Skills:
Excellent public relations skills; proficiency with MS Office (Word, Excel,
PowerPoint); demonstrated abilities in planning, analysis, and problem
solving; and expertise with verbal and written communication.
Traits:
Highly organized, detail-oriented, creative, and self-motivated.
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F. Letters of Support
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Nick Dunagan, Chancellor, UT Martin
Randy Brundige, Mayor, City of Martin
Jamie Frakes, Director, TSBDC – Dyersburg
Ron Acree, Small Business Specialist, TSBDC – Jackson
Katie Winchester, President, CEO, & Vice Chairman, First Citizens National Bank,
Dyersburg
Teresa Brundige, President, BancorpSouth, Dresden
Billy Barksdale, Executive Director, McKenzie Industrial Board
Tonja Terrell, Executive Director, Obion County Industrial Development Corp.
Jim Cooper, Economic Development Director, Obion County Chamber of
Commerce
Suzie German, Executive Director, Weakley County Chamber of Commerce
Lois Birk, Executive Director, Chamber of Commerce of the Twin Cities
Lisa S. Hankins, Executive Director, Lauderdale County Chamber of Commerce
W. Allen Hester, President/CEO, Dyersburg/Dyer County Chamber of Commerce
Frankie McCord, Executive Director, Crockett County Chamber of Commerce
Paul Latture, III, President/CEO, Jackson Area Chamber of Commerce
Ernie Moser, Dean, College of Business and Public Affairs, The University of
Tennessee at Martin
Bill Randall Kee, Executive Director, Camden/Benton County Chamber of
Commerce
Tom Payne, Horace and Sara Dunagan Chair of Excellence in Banking, The
University of Tennessee at Martin
D. Crawford Gallimore, Chief Manager and Financial Officer, The Hamilton-Ryker
Group
Roy B. Herron, Tennessee State Senator
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