D2D Targets $1 Billion in Detroit-to-Detroit Business Spending

2016 D2D Matchmaking Opportunity Event

Mayor Mike Duggan announced Detroit Economic Growth Corporation’s D2D program set a target of $1 billion in Detroit-to-Detroit business spending by its 18-member Buyers Council as it opened the 2016 D2D Matchmaking Opportunity Event in February at the Greektown Casino Hotel.

In 2014 the D2D Buyers Council purchased $925 million dollars in products and services from other Detroit-based businesses. Results for 2015 are not yet available, but D2D projects that Detroit-based purchases could hit the $1 billion mark by the end of 2016.

Mayor Duggan said, “That $1 billion figure shows the value that Detroit’s anchor institutions have found in other Detroit companies. They are buying local because it makes good business sense. There are terrific companies represented at this event, and that’s why the City of Detroit is here. We brought more than $20 million in City bidding opportunities with us, and we just might identify qualified suppliers for some of those right here.”

During the event, companies participated in more than 200 “speed-dating”-style interviews with 11 large purchasing institutions, including the City of Detroit. On the table were 200 bidding opportunities that buyers will be offering over the next year. President and CEO of Detroit Economic Growth Corporation (DEGC) Rodrick T. Miller said, “Relationships count in business, and this D2D event gives small companies a chance to make direct, face-to-face contact with buyers from big purchasing organizations, and to learn first-hand what those buyers require from their suppliers.”

The Matchmaking Opportunity Event addresses a second obstacle of small businesses – finding technical assistance and financial resources to grow — by providing direct access to 19 organizations that offer that help. D2D Program Director Brian Watkins said, “Business comes to companies that have the capacity, internal systems and necessary certifications to meet the requirements of large purchasing organizations. D2D tries to connect Detroit businesses to the resources they need to become what we call ‘Buyer Ready.’”

In all, close to 300 people participated in the event.

Business owners who want to participate in D2D programs can start by visiting http://d2dbusiness.org and registering in the Pure Michigan Business Connect (PMBC) database using PMBC link on the home page. Information about becoming a Detroit Certified Business can be found by following the Selling link on the home page, or visiting http://www.detroitmi.gov/How-Do-I/Find/Human-Rights-Forms

D2D is funded by the New Economy Initiative of Southeastern Michigan, a $140 million philanthropic effort to help make thousands of ideas the next economic engine by getting entrepreneurs and small businesses what they need, when they need it, in order to succeed and grow.

Brian Watkins
D2D Program Manager

D2D Buyer Ready Business: Executive Construction Management – Vencie R. Jackson, President & CEO

Executive Construction Management

Executive Construction Management (ECM) is a Detroit success story with a unique history and a number of special features that set it apart. ECM is a certified minority contractor headquartered in Detroit, with a proven track record as a general contractor. The company serves both public and private clients by providing all phases of construction project management, including: project planning; design consultation; cost and time estimating and a full range of building services and site supervision for both new construction and renovation/rehabilitation projects. ECM has in-house capabilities in a number of building trades, including concrete, carpentry, drywall, painting, flooring, earthwork and electrical.

ECM’s staff has decades of experience completing major projects for a wide range of government and commercial customers. The ECM team is lead by founder Vencie Jackson.

What is the history and background ECM ?
When an associate and I left our jobs as accountants at Ford Motor Company to form a private accounting firm, we did not plan to get into the construction business. However, a number of our clients were churches that wanted to undertake building projects. As we helped them plan and raise the funds for these projects, we recognized the need for a minority-based construction firm in Detroit and realized that we could oversee and manage the whole construction process. Along with some friends and relatives who had backgrounds and experience in the building trades and other key fields, we incorporated ECM in the state of Michigan in 1996. All eight of ECM’s founders originally came from the South. Some of us had gone to school together, others had worked together in the past. We came from different fields – everything from accounting to marketing – and this diversity has been a unique strength of ECM. From the outset, we wanted to establish a business that, while it would require hard work, had great potential for success. Collectively, we share a commitment to professionalism and being the best at what we do.

Why did ECM select Detroit as its headquarters?
Detroit was the right place for ECM. At the time we established ECM, there were great opportunities in the building and construction field in the city. There also was a pressing need in Detroit for a minority-based company in this field and some competitive advantages for a minority-owned construction company. From the outset, we realized the potential for working alongside and serving the needs of the growing automotive industry. In fact, some of the major auto businesses in Detroit welcomed ECM and continue to be our clients. Our love for and commitment to this city has never wavered, and we have maintained our headquarters here through thick and thin. We continue to be delighted to be part of Detroit’s current revitalization.

What are some of ECM’s notable clients?
ECM has an extensive and diverse list of clients. We have done construction management for New Hope Baptist Church and Detroit Public Schools. We have completed design/build work for Chapel Hill Baptist Church and have been the general contractor/sub contractor for Warren Academy. We have successfully completed projects for the U.S. Department of Veterans Affairs; U.S. General Services Administration; Detroit Medical Center/Sinai Grace Hospital; Detroit Department of Transportation; Detroit Water & Sewage Department; Detroit Public Schools as well as Education Achievement Authority and charter schools. We have done roofing work for the U.S. Navy central region and the Detroit Lions Ford Field. We have renovated commercial retail centrs, parking facilities and branches for PNC Bank.

What companies have you collaborated with in Detroit as customers or suppliers?
ECM has a reputation for working seamlessly as a subcontractor with large firms and as a teaming parner with other “diversity/minority” firms. ECM has successfully partnered with large Fortune 500 General Contractors, including Turner Construction and contractors. In addition, we have had successful partnerships and alliances with other “Diversity/Suppliers” and small businesses, including service-disabled veteran-owned firms. We have specifically sought partnerships and collaboration with businesses owned and operated by women and by the disadvantaged.

What are the benefits of connecting with other Detroit businesses?
Working with local businesses has a number of benefits for ECM and for the businesses we work with. These kinds of collaborations strengthen the overall economic climate in Detroit, and collaborating and partnering with other businesses in Detroit has the advantage of expanding ECM’s capabilities. Working with local businesses saves time and effort, and ECM/our local partners benefit from sharing our networks of contacts. When bidding for contracts in the local area and from government agencies, a srong coalition or partnership with other local often firms strengthens our bids and underlines our commitment to the area. As a minority-owned business, ECM also offers other local businesses with whom we partner the ability to satisfy bid criteria that require or favor working with minority-owned businesses. Similarly, there is mutual benefit when ECM partners with businesses owned and operated by service-disabled veterans, women and the disadvantaged.

What are some of the additional unique features and capabilities of ECM?
ECM has a number of capabilities and capacities that set it apart from other construction management and contracting firms. We have operations and management offices in both the Midwest (Detroit, Michgian) and the South (Huntsville, Alabama). We have in depth accounting experience and a high bonding capacity for a small business ($2 million single job – $4 million aggregate). We also have an excellent 94 percent track record of accomplishing project goals on time and within budget.

Brian Watkins
D2D Program Manager

DEGC Welcomes Mike Rafferty as Vice President of Small Business Development

Mike Rafferty

As part of its small business relaunch to create a comprehensive strategy around its many small business loans and programs, Detroit Economic Growth Corporation (DEGC) has named Michael Rafferty its vice president of small business development.

Rafferty will focus on coordinating and supporting Detroit’s small business infrastructure and entities in partnership with the city of Detroit to further enhance small businesses’ potential for success.

Small businesses are flourishing in Detroit, and lead the way in creating new jobs, revitalizing neighborhoods and improving the overall quality of life in the city. DEGC is dedicated to helping them to grow and under Mike Rafferty’s leadership, the organization will enhance its strategies, programs and resources to advance small business in Detroit even further.

Rafferty’s previous experience includes: director of the metro Detroit office of Michigan Nonprofit Association, and development officer for Wayne County Economic Development Growth Engine.

DEGC has provided small business loans for 30 years, and over the last seven years has developed a variety of small business programs, including: Green Grocer Project, D2D and Motor City Match. DEGC also has played a key or supporting role in developing and delivering programs such as NEIdeas, BizGrid and PowerMoves Detroit.

Tiffini D. Smith
Director – Corporate Communications

DDA Approves New Contracts for The District Detroit Development

The District Detroit development

Nine new contracts worth nearly $50 million were approved by the Detroit Downtown Development Authority (DDA) in late January for The District Detroit development.

Among the contracts awarded to Detroit-based businesses, Midwest Steel earned a contract for parking structure precast concrete for $16.7 million, Ideal Contracting earned a contract for parking structure concrete for $8.6 million, and Christen Detroit earned a contract worth $2.5 million for the arena roofing system.

Other contracts awarded include:

  • Rohrscheib Sons Caissons, parking garage deep foundations, $3.4 million
  • Cimco Refrigeration, Inc., arena ice rink systems, $3.6 million
  • Staging Concepts \ SC Railing Company, arena ornamental metals, $5.4 million
  • HydroWorx International, Inc., hydrotherapy pools & equipment, $394,400.
  • Shambaugh & Sons LP, project wide fire protection, $5 million.
  • Madison Heights Glass Company, arena exterior and interior glazing, $4.1 million

With $308 million dollars in contracts awarded to date for The District Detroit development, $196.5 million have gone to Detroit-based or –headquartered businesses. Detroit and Michigan companies together have earned the vast majority of the dollar value of the contracts, more than $299 million.

“We continue to work extremely hard to source this project locally. The District Detroit development already represents nearly $200 million in income going directly to Detroit–based or –headquartered businesses. This is just the kind of economic impact that we expected for Detroit and Michigan businesses from this transformative project,” said Steve Marquardt, Vice President of Olympia Development of Michigan.

The District Detroit will be made up of a dynamic mix of sports and entertainment venues, including six world-class theatres and three multi-use sports venues – home to the Detroit Red Wings, the Detroit Tigers and the Detroit Lions. The District Detroit will also feature residential, office and retail developments that connect these venues into one contiguous, walkable area, where families, sports fans, entrepreneurs, job seekers, entertainment lovers and others who crave a vibrant urban setting can connect with each other and the city they love.

Tim Miles
Director, Construction & Contract Services

Motor City Match Celebrates Second Round of Winners

Ali-Wali Child Care Center

On January 25, Mayor Mike Duggan announced the second round of businesses and properties that will share a combined $500,000 in grants to help them open or expand in Detroit’s neighborhood corridors through Motor City Match. Funding for the 10 neighborhood small business projects ranged from $10,000 to $100,000 to help fill gaps in capital needed for the build out or equipment purchase at their locations.

For the first time, building owners were among those to receive grant funding through Motor City Match. Round 2 winners include:

  • I’m Here LLC — $100,000: I’m Here LLC owns the historic Hunter’s Supper Club located at 19344-19350 Livernois Ave. The property and business development company was a “top property” in Round 1 of Motor City Match. Their grant will help support building and façade improvements that will allow the property to house several exciting new businesses, including Round 2 Motor City Match awardee Slyde restaurant.
  • Slyde Restaurant — $45,000: A slider restaurant that uses locally sourced and sustainable ingredients, Slyde will locate in I’m Here LLC’s location at the former Hunter’s Supper Club building on Livernois.
  • Resurget Cineribus LLC — $85,000: A leading a mixed-use redevelopment at 8044 Kercheval Avenue in the West Village business district. The property was listed as a “top property” for new business in Round 1. Their grant will support building improvements that will allow them to host new tenants.
  • Beautiful Bridal LLC — $50,000: A bridal gown boutique opening on E. Jefferson that is co-owned by Vallery Hyduk and reality TV star Keasha Rigsby of “Say Yes to the Dress.
  • Astute Artistry — $50,000: Astute Artistry is a licensed trade school for fashion, film and makeup opening in southwest Detroit.
  • Pharmacy 4 Less — $75,000: An independent retail pharmacy that is expanding to offer patient consultation, prescription and non-prescription products on Gratiot Avenue.
  • Ali-Wali Child Care Center — $10,000: A one of a kind Islamic childcare center that models Montessori education opening in Detroit’s Banglatown neighborhood.
  • Woodbridge Bikes and Coffee — $20,000: A lifestyle retail boutique that will specialize in the commuting cyclist.
  • R&L Color Graphics — $30,000: A graphics, printing and publishing company that documents family legacies in the form of obituaries and photo biographies.
  • Detroit Sip — $35,000: A community gathering space selling Detroit-produced coffee, tea, doughnuts, pastries and other hometown products.

In addition to grants, Motor City Match also announced businesses that will receive business planning assistance, match-making support between businesses and Detroit’s top available properties, and architectural assistance to plan for renovations.

With this latest announcement, Motor City Match has assisted nearly 200 businesses, awarded $1 million in grants, and identified 150 real estate opportunities representing nearly 1.5 million square feet of development potential in Detroit neighborhoods.

The next applications window for businesses looking to apply to Motor City Match opens on March 1 and closes April 1. Qualification requirements, program guidelines and other application details are available at www.MotorCityMatch.com.

Michael Forsyth
Director, Small Business Programs