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You can dream big with your own small business

That's was one of the lessons for Northeast High Academy of Finance students, who planned their dream businesses.

By RITA FARLOW
Published November 20, 2005

Asked to come up with a workable plan for their dream businesses, students in Debbie Fischer's financial planning class came up with an array of ideas: a drive-through coffee shop, a teen nightclub, a restaurant delivery service, an arcade and a company that makes and distributes candy bouquets.

The seniors spent several weeks on business plans as part of their final required course in the Academy of Finance at Northeast High School. The project was designed to help students integrate the knowledge they've gained into a comprehensive business plan.

The students learned how to write an executive summary, business and product/service descriptions, a management team plan, and marketing and financial plans.

The project culminated with a field trip Tuesday to the St. Petersburg Business Assistance Center, lunch at Lorene's in Midtown and a tour of the Municipal Utilities Building at 175 Fifth St. N. The students asked questions of professionals, visited a successful local restaurant, toured the Royal Theater and gained insight into governmental oversight of businesses.

The trip was rescheduled from Oct. 24, when county officials canceled school because of concerns about Hurricane Wilma.

During the morning session, students met with Mayor Rick Baker, a mentor at Northeast who has previously visited the finance academy. He talked about his experiences in the business world and stressed the importance of small business development.

"Eighty percent of new jobs in St. Petersburg next year will come from existing businesses," Baker said. "Why are jobs important? If people have jobs, they can afford to buy a house, raise a family, all of the things you want to do (in life). You can't do that without a job. It's not just an academic thing you are going through. It's something that people go through every day in the real world."

The students also met with Donna Steele, a business analyst at the University of South Florida's Small Business Development Center. Steele talked to each group about their business plans, offering advice on market research, zoning restrictions, profit margin, liability and other issues specific to each plan. Steele mentioned several Web sites useful for research, like www.census.gov "know your market", www.ReferenceSA.com (for specific information on a business), and www.MyFlorida.com (for state regulations). Steele also emphasized the value of making contacts with other business owners and professionals.

"The relationships you can develop now with corporations can help you get a job in the future," she said.

Albert Lee from Fifth Third Bank spoke to the students about financial plans and emphasized the importance of having a well-researched business plan to present to a potential lender. Lee explained the five factors that banks consider when making a loan: character, cash flow, collateral, capacity and credit. The five add up as indicators of good faith, Lee said.

"We're not in the gambling business," he said. "We're not a casino. We need to have faith that you're going to repay the money."

In the afternoon, the students presented their business plans. Many made handouts, and some brought examples of their product or service.

Joe Rivera and Brittany Garland presented a diorama Rivera created of the "Paint Room," a theme dance room for the group's teen nightclub, called Amphitrite.

"The teens who want to have fun on the weekend are the ones we want to attract. And it's also a good way to keep teens out of trouble," said team member Karlena Shinske, in regard to their marketing strategy.

The project had several objectives, Fischer said, including conceptualizing a business opportunity, analyzing the steps to launch a successful business, exploring strategies for writing a business plan and finding financing.

The academy stresses hands-on learning through special projects and a collaboration with Achieva Credit Union, where students help run a credit union branch onsite at the school. Opened in 2003, the Viking Branch Credit Union functions like any other branch, with the exception of lending, said John LoCascio, vice president of branch services.

Achieva employee volunteers help students run the branch and offer training and guidance.

Students work as tellers, member service advisers, branch managers and assistant branch managers. LoCascio, Achieva training and development specialist Marguerite Shoro and Fischer meet monthly to assess the students' progress, coordinate mentors and generally keep the project on track with goals.

"One of the great takeaways from this program is a lot of the students we talk to, we really try to impress upon them what credit is," LoCascio said. "We try to explain: Once you've got (credit), how do you manage it? We find that once the kids go through this program, they have a little bit more of an understanding than their parents, even."

In October, the Viking Branch of the Academy of Finance was named one of three winners of the 2004 Caterpillar Inc. Exemplary Worksite Learning Awards given by the National Tech Prep Network.

The students are also able to pass along the lessons they've learned to younger children. Besides a "teen-focused" savings account and a college savings account, the Viking Branch offers a program for younger kids.

"A really neat product we have is Kids Make Sense, and the Viking Branch helps market that," LoCascio said.

"They go to Meadowlawn (Middle School) nearby and they teach them about savings, the very basics. We get them signed up and get their parents' permission and then they actually bring them to the branch to make a deposit."

Projects like the business plan development and the onsite credit union give the students a chance to gain real world experience in the banking and finance industry, Fischer said.

And the students acquire skills that they can take with them after graduation.

"They do a lot of pen and paper in school, but what better way to learn something than by doing it?" Fischer said.

[Last modified November 20, 2005, 00:54:20]