Tag: Business

W.Va. Sees Increase In New Businesses Registered During Pandemic

The pandemic has been a nightmare for many businesses, with likely more than 100,000 small businesses shut down permanently nationwide, according to a survey from the National Bureau of Economic Research. But West Virginia saw an uptick in new businesses registered in 2020 compared to the last three years.

It might seem counterintuitive to start a business in a worldwide pandemic that has caused economic turmoil, but that’s not necessarily the case, said Ben Eng, a professor of marketing and entrepreneurial at Marshall University.

“It forces people to be scrappy, and innovative,” Eng said. “And like, that’s ultimately what the entrepreneurial spirit is, is finding new ways to solve problems and being scrappy and innovative.”

West Virginia saw more than 13,288 new businesses registered in 2020, and in 2019 there were 13,042. That figure was lower in 2018, when 10,253 were registered.

There are several factors that may have made it simpler to get a business off the ground, said Tricia Ball, associate director for the Center of Entrepreneurship and Business Innovation at Marshall University. Factors include more advanced technology, low interest rates and time.

“I think some changes in unemployment and hours, and not having as many activities or events during the evenings and the weekend really give people some time to work on things that they’ve been wanting to do,” said Eng. “And then kind of have the opportunity to evaluate and be like, “Okay, what have I been doing? You know, is that really what I want to be doing?””

This extra time actually led Melissa Boothe and Brooke McKinney to start their business ‘Bubbles, Bones and Biscuits’ last spring. They make a variety of products for dogs.

“Everything about your world changed,” said Boothe. “People were out walking their dogs, and people were, you know, looking for dogs at the shelters and adopting dogs. So it just clicked in my head. Well, if all these people have all these pets, then they’re going to need stuff for them.”

Because of COVID, they did not open a brick and mortar style shop. Rather they sell products online and at festivals and bazaars.

Boothe and McKinney’s business is classified as ‘Other Personal Services,’ and this was one of the industries that grew the most in West Virginia, with 417 new businesses last year, according to West Virginia’s Business Statistics Database.

Another industry that grew was special food services — like catering and food trucks — which saw 69 new businesses in 2020.

Crafts of Coal is an ice cream truck company based in St Albans, West Virginia that opened early last summer. TJ Douglas is one of three co-founders of the food truck business.

“We knew it was really risky. But the object here was to be a little different,” Douglas said. “And so when we came up with the concept to sell ice cream, we thought it would be best to do it out of the trailer instead of a storefront.”

This allowed people to social distance, Douglas said, adding that business was successful and they are planning to re-open in the spring.

The state also recently streamlined the process for registering a business with the ‘West Virginia One Stop Business Portal,’ which allows people to submit paperwork online, rather than in-person.

“ I think that’s helping the people that have those creative ideas and have that energy that say, “I’m ready to start fresh,”” said West Virginia Secretary of State Mac Warner. “It makes it easy for them to get online and do that.”

However, a registered business does not necessarily mean an up-and-running business. Essentially, the name of the potential business is reserved and approved by the state. Warner said it can sometimes take awhile for the businesses to come to fruition and sometimes they never do.

For the businesses that did register and open during the worldwide pandemic last year, they will have to keep innovating in a post-COVID world, too, said Eng, the associate marketing professor at Marshall.

So far this year, 1,306 new businesses were registered in January, which is about double compared to January 2020.

“The way that people were scrappy during COVID, they should continue to be innovative and scrappy after COVID, you know,” he said. “They should never stop.”

Additional Federal Funding Will Soon Be Available To W.Va. Small Businesses

The Appalachian Regional Commission is awarding $6 million to several programs across West Virginia. This money is meant to help support small businesses that were impacted by COVID-19.

According to the SBA, more than 113,000 businesses in West Virginia are considered small businesses —  almost 99 percent of businesses within the state. 

In June, Gov. Jim Justice asked the ARC to fund six organizations which that provide loans and technical assistance to small businesses. 

This ARC package includes:

This funding will be made available to small businesses for things like technical assistance — and will enable equipment purchases and upgrades for entrepreneurs and small businesses. The funding can go toward expenses beyond what’s covered by the Paycheck Protection Program, or other funding assistance programs through the Small Business Administration. Small business owners who want to learn more about how to apply should contact one of the six organizations, said Debra Martin, director of the West Virginia Small Business Development Center, a division of the state Development Office.
Additional funding assistance to small businesses will also be available, Justice said in a virtual press conference on Friday. Justice said the state plans to begin accepting applications soon from small businesses that need funding. Up to $150 million is coming to the state from the federal CARES Act which was passed by Congress in March. According to Justice, any small business in the state with up to 35 employees will be eligible to apply. 

On December 17, 1957: Wheeling’s J. L. Stifel and Sons Closes its Doors

On December 17, 1957, Wheeling’s J. L. Stifel and Sons closed its doors. The company had been founded by German immigrant Johann Ludwig Stifel in 1835, making it one of West Virginia’s longest-surviving businesses, operated by four generations of the family.

For most of its history, Stifel and Sons produced indigo-dyed prints and drills for clothing manufacturers. The company’s trademark boot was found on products throughout the world. At its peak, the North Wheeling plant produced three-and-a-half million yards of cloth per month. It also was the first company to introduce the process of Sanforizing, which is used to prevent shrinkage in textiles.

During World War II, Stifel and Sons earned the coveted Army-Navy “E” Award for producing fatigue and battle dress uniforms for the armed forces. In the late 1930s and early 1940s, Edward E. Stifel, the grandson of Johann Ludwig, spearheaded the movement to build the Wheeling-Ohio County Airport, which opened in 1946.

By the mid-1950s, foreign competition and a recession had driven J. L. Stifel and Sons into the red. As a last ditch effort, the company merged with Indian Head Mills but closed soon afterward.

Marshall University Receives $25 Million Gift for Business School

Marshall University has announced a $25 million gift to the Lewis College of Business from Intuit Chairman and CEO Brad D. Smith and his wife.

University President Jerome A. Gilbert said Thursday the gift from Smith is one of the largest in the university’s history. Gilbert said these funds will be used for “new and dynamic opportunities for current and future business students.”

The College of Business will name its schools the Brad D. Smith Undergraduate School of Business and the Brad D. Smith Graduate School of Business.

Brad Smith graduated from Marshall in 1986 with a bachelor’s degree in business administration.

The Smiths previously established a scholarship at Marshall for West Virginia and Ohio students.

Economic Roadmap for West Virginia Pushed

State university and commerce officials say collaboration among business, government and academia are needed to revitalize West Virginia’s economy while releasing more details about their joint roadmap for progress.

First unveiled a month ago at a statewide business conference, West Virginia University, Marshall University and the Commerce Department say the next steps include signing a joint memorandum, engaging communities and establishing implementation groups.

They say four groups are working now on energy, business climate, human capital and entrepreneurship.

An outside study identified natural gas production and storage, plastics and chemical manufacturing, cybersecurity, higher-end tourism and automotive assembly as sectors for growth.

Rob Alsop, WVU vice president of strategic initiatives, notes West Virginia has opportunities to capture both older and adventure tourists and the eastern region is ripe for second homes.

Almost 1,000 New Businesses Registered in W.Va.

Nearly 1,000 new or foreign businesses registered to do business in West Virginia during the month of August, according to the Secretary of State’s office.

Pleasants, Grant, and Marion Counties saw the most growth in business registrations. Each of those three counties increased its percentage by almost 2 percent.

In Pleasants County, 4 new business entities were registered. In Grant, 9 businesses; and in Marion, 40 new entities were licensed to set-up shop.

Since Secretary of State Mac Warner took office in January, over 7,300 new businesses have registered with the West Virginia Secretary of State’s office.

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