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U LAW SCHOOL LOSSES   |   HIGH-SPEED RAIL TO ROCHESTER   |   12 GROWTH CO’S FACING CHANGE
                                                                                    JUNE 2016 TCBMag.com

Different but

Equal
Minnesota employers
grapple with the needs
of Muslim employees,
such as prayer breaks
and dress code variatons.
Different but Equal Minnesota employers grapple with the needs of Muslim employees, such as prayer breaks and dress code variatons - PageTurnPro
Collaboration.
                  We specialize
                  in it.

                                                                                                           At BMO Harris Commercial Bank, we have expertise in
                                                                                                           more than twenty industries. And, we make it a point
                                                                                                           to know each inside and out. That’s how we can
                                                                                                           help make your vision a reality.

                                                                                                           bmoharris.com/vision

Banking products and services subject to bank and credit approval. BMO Harris Commercial Bank is a trade name used by BMO Harris Bank N.A. Member FDIC
Different but Equal Minnesota employers grapple with the needs of Muslim employees, such as prayer breaks and dress code variatons - PageTurnPro
Different but Equal Minnesota employers grapple with the needs of Muslim employees, such as prayer breaks and dress code variatons - PageTurnPro
CONTENTS                                                                        Features                                                                                       Commentary

June                         2016
                                                                                24       Northern Exposure
                                                                                         After a double-digit drop in tonnage at the
                                                                                         Duluth-Superior Port in 2015, the port’s leaders
                                                                                                                                                                               5        Editor’s Note | Other States Are Cutting Taxes
                                                                                                                                                                                        By Dale Kurschner

                                                                                         envision a growth strategy based on Duluth’s                                          7        Letters | Minnesota’s Wealth Migration Has Impact
                                                                                         Great Lakes location.
                                                                                         By Gene Rebeck                                                                        19       Personal Brand | Off-Site Meetings
                                                                                                                                                                                        By Roshini Rajkumar
                                                                                26       Law and Disorder
                                                                                         Law schools are on trial in the marketplace, and law 		                               21       Explanation of Benefits |
                                                                                         firms are courting fewer graduates.                                                            Sound Mind, Sound Business
                                                                                         By Burl Gilyard                                                                                By David Burda

                                                                                32       Mystery Train                                                                         22       Performing Philanthropy |
                                                                                         Is a proposal to build a 200 mph train from the metro                                          A New Narrative for North Minneapolis
                                                                                         area to Rochester with $4 billion in private capital                                           By Sarah Lutman
26
                                                                                         too good to be true?
                                                                                         By Adam Platt                                                                         70       Marketing Mash-Up | Brick and Click
                                                                                                                                                                                        By Glenn Karwoski
                                                                                38       Crisis of Faith (cover story)
                                                                                         Muslim religious practices have intensified the                                       71       Corner Office | Teaching New Dogs Old Tricks
                                                                                         challenge that production line businesses face                                                 By Mark W. Sheffert
                                                                                         in religious accommodation.
                                                                                         By Chris Clayton                                                                      72       Open Letter | (Anti) Social Media
                                                                                                                                                                                        By Vance Opperman

                                                                                Trending
                                                                                45       12 Companies to Watch | Pivot Points
                                                                                         By Burl Gilyard
32

                                                                                50       Law | Think Globally, Act Legally | By Gene Rebeck

                                                                                53       Meetings | Distinctive Event Venues
                                                                                         By Melinda Nelson

                                                                                Departments                                                                                      72

                                                                                8        Starters
                                                                                         n   A Smashing Startup          n   A Price for Farmers’ Data
15                                                                                       n   One Cable at a Time

                                                                                14       A & E | Paul Simon and More in June                                                               tcbmag Archives
                                                                                         By Tad Simons                                                                                     n Shakopee Mdewakanton Sioux continue to place chips
                                                                                                                                                                                           on Mystic Lake Casino. n Duluth’s Glensheen mansion
                                                                                15       Concierge | On the Water                                                                          gains visitors with new marketing plan. n Downtown
                                                                                         By Melinda Nelson                                                                                 Minneapolis sees a comeback in the condo market.

                                                                                16       Plugged In | The Best Opportunities for Networking
16                                                                                       By Kate LeRette

                                                                                18       Beyond These Pages
                                                                                         Scenes from TCB’s Women in Corporate Leadership.

                                                                                20       Health Beat
                                                                                         High Cost of Insulin n Before Surgery, Print and Practice

    TWIN CITIES BUSINESS, Vol. 23, No. 10. © 2016 MSP Communications. The opinions of columnists are their own. Unsolicited manuscripts or artwork will not be returned unless accompanied by a self-addressed, stamped envelope. Telephone 612-339-
    7571. Fax 612-339-5806. E-mail: edit@tcbmag.com. TWIN CITIES BUSINESS (ISSN 1072-673X) is published monthly by MSP Communications, 220 S. Sixth St., Suite 500, Minneapolis, MN 55402-4507. Subscriptions available for $24.95 per year; foreign
    subscriptions, $169.00 per year; back issues, $10.00. To subscribe or change address, visit tcbmag.com/subscriptions.aspx. For back issue requests, contact tcbservice@tcbmag.com or 612-339-7571. Periodicals postage paid at St. Paul, MN, and at
    additional mailing offices. POSTMASTER: Send all UAA to CFS. (see DMM707.4.12.5); NON-POSTAL AND MILITARY FACILITIES: send address corrections to TWIN CITIES BUSINESS, Subscription Processing, P.O. Box 5846, Harlan, IA 51593.

2   TWIN CITIES BUSINESS tcbmag.com JUNE 2016
Different but Equal Minnesota employers grapple with the needs of Muslim employees, such as prayer breaks and dress code variatons - PageTurnPro
“These are exactly the kinds of questions we need help with.”

 As industries evolve, BDO continues to find new ways to help our clients run their organizations more efficiently, and
 compete more effectively. As one of the world’s leading accounting and consulting organizations, we provide clients
 with a wide range of assurance, tax, consulting, and advisory services to help manage the many complexities of
 today’s rapidly changing business environment.

 BDO Minneapolis                         Michael Metz                  Allen Kaufmann
 952 854 5700                            Tax Office Managing Partner   Audit Office Managing Partner
                                         mmetz@bdo.com                 akaufmann@bdo.com

 Accountants and Consultants                 www.bdo.com

 © 2016 BDO USA, LLP. All rights reserved.
Different but Equal Minnesota employers grapple with the needs of Muslim employees, such as prayer breaks and dress code variatons - PageTurnPro
Twin Cities Business Magazine Staff

     CBIZ is Proud                                                                Editor in Chief
                                                                                  Dale Kurschner
                                                                                  dkurschner@tcbmag.com
                                                                                                                       Publisher
                                                                                                                       Shelly Elmore
                                                                                                                       selmore@tcbmag.com

     to Sponsor the                                                               Executive Editor Adam Platt aplatt@tcbmag.com
                                                                                  Trending Editor Liz Fedor lfedor@tcbmag.com
                                                                                  Senior Writer Burl Gilyard bgilyard@tcbmag.com

       CFO Forum
                                                                                  Online & E-Newsletter Editor Andre Eggert aeggert@tcbmag.com
                                                                                  Online & E-Newsletter Writer Sam Schaust sschaust@tcbmag.com
                                                                                  Northern Minnesota Correspondent Gene Rebeck grebeck@tcbmag.com
                                                                                  Copy Editors Judy Arginteanu judarg@gmail.com
                                                                                                 Sherri Hildebrandt s_hildebrandt@yahoo.com
                                                                                  Editorial Intern Kate LeRette klerette@tcbmag.com

                                                                                  Design Director Chris Winn cwinn@tcbmag.com

                                                                                  Account Director Traci Auger tauger@tcbmag.com, 612-336-9214
                                                                                  Senior Account Manager Rian Heaslip rheaslip@tcbmag.com, 612-336-9215
                                                                                  Senior Account Manager Andrea Shapiro ashapiro@tcbmag.com, 612-336-9211
                                                                                  Marketing and Events Manager Caitlin French cfrench@tcbmag.com, 612-336-9288
                                                                                  Marketing and Events Intern Lilly Shapiro lshaipro@tcbmag.com
                                                                                  Sales and Marketing Coordinator Hailey Johnson hjohnson@tcbmag.com, 612-373-9584
                                                                                  Sales and Marketing Intern Kaeli Wuotila kwuotila@tcbmag.com

                                                                                  Contributing Writers David Burda > Nancy Crotti > Suzi Frisch > Fran Howard > Glenn
                                                                                  Karwoski > Sarah Lutman > Melinda Nelson > Roshini Rajkumar > Mark W. Sheffert > Tad
                                                                                  Simons > Megan Wiley

                                                                                  MSP Communications
                                                                                  CEO & General Counsel                             VP, Manufacturing & Delivery Systems
                                                                                  Vance K. Opperman                                 Mary K. Authier
                                                                                  CFO Charles F. Thell                              VP, Creative Director Jayne Haugen Olson
                                                                                  COO Nathaniel Opperman                            VP, Finance & Administration John Bienias
                                                                                  President Gary Johnson                            VP, Project Management Frank Sisser
                                                                                  VP, Publishing Deborah Hopp                       VP, Digital Director Kevin Dunn

                                                                                  Credit Manager Dave Gschlecht                       Senior Digital Strategist Carly Ferry
                                                                                  Office Manager Dustin Tuley                         Social Media & Analytics Specialist
                                                                                  Senior Accountant Anne McPhillips                   Isabelle Wattenberg
                                                                                  Administrative Assistant Patty Mikres               Corporate Circulation Director
                                                                                  Production Manager Tim Dallum                       Bea Jaeger
                                                                                  Production Supervisor Paul Marihart                 Director, Circulation Marketing
    Financial & Tax Services | Business Consulting                                Production Associate Allison Cook                   Colleen Puent
                                                                                  Digital Prepress Group                              Fulfillment Coordinator Valerie Asante
                  Succession & Estate Planning                                       > Steve Mathewson                                Circulation Manager Carin Russell
                                                                                     > Bill Sympson                                   Circulation Assistant Anna Buresh
                  Valuation & Litigation Support                                  CMS Coordinator David Roberts                       Creative Marketing Group
                                                                                  Senior Web Developer David Waters                      > Katie Shaw
Employee Benefits Consulting | Payroll, COBRA, Flex                               Web Developer Ricky Hannigan                           > Janice Hamilton
                                                                                  Mobile Application & E-Newsletter                      > Joy Wagner
    Enrollment Services | Human Capital Services                                  Developer Lauri Loveridge
                                                                                  Network Administrator Steve Swanson
                             Risk Management                                      Assistant Network Administrator
                                                                                  Matthew Nimmo

                                                                                  Contact Us
                                                                                  To sub sc ri b e > tcbmag.com/subscribe > tcbservice@tcbmag.com > 612-339-7571
                                                                                  To c h a ng e a n a d d re ssorre ne w > tcbmag.com/myaccount
                                                                                  > tcbservice@tcbmag.com > 612-339-7571
                                                                                  Forb a c k i ssue sorm i    ssi
                                                                                                                ng issue s> tcbservice@tcbmag.com > 612-339-7571
                                                                                  Forre pri  nts, PDFs> cfrench@tcbmag.com > 612-336-9288
                222 S. 9th Street, Suite 1000                                     Forpe rm i   ssion to c opy > dkurschner@tcbmag.com > 612-336-9299
                                                                                  To m a ke e ve ntre se rva ti  ons> cfrench@tcbmag.com > 612-336-9288
                  Minneapolis, MN 55402                                           To a d ve rtise > see account executive listings > or contact cfrench@tcbmag.com > 612-336-9288
               612.376.1264 | www.cbiz.com                                        To sub m i  ta pre ssre le a se > edit@tcbmag.com
                                                                                  To pi tc h a story > see editorial staff listings or contact dkurschner@tcbmag.com > 612-336-9299

            © Copyright 2015. CBIZ, Inc. NYSE Listed: CBZ. All rights reserved.
                                                                                               Twin Citi
                                                                                                       e sBusi ne ssis a publication of MSP Communications
                                                                                               220 S. 6th St., Suite 500, Minneapolis, MN 55402-4507
                                                                                               612-339-7571, fax 612-336-9220

4   TWIN CITIES BUSINESS tcbmag.com JUNE 2016
Different but Equal Minnesota employers grapple with the needs of Muslim employees, such as prayer breaks and dress code variatons - PageTurnPro
Take Note: Others Are Cutting Taxes
                                     Several states are implementing innovative tax policies good for the short and long haul.

                                     S          ince our April cover story, “Bye-Bye, Billions,” we’ve
                                                received a lot of feedback—most positive, some
                                                negative. Thank you to everyone who responded.
                                                                                                           taxes on $64,500).
                                                                                                                To help compensate for the tax cuts, the state added new
                                                                                                           sales taxes on repair, installation and maintenance (expected
EDITOR’S NOTE                            One question I heard from some of you (especially those           to bring in $160 million a year at first, and grow after that).
by Dale Kurschner                    more skeptical of our findings) was, “Which wealthy indi-             The state’s Division of Motor Vehicles will increase fees by
                                     viduals recently left, or are leaving the state for tax reasons?”     about 30 percent (bringing in about $153 million a year).
                                     This can only be answered by those of you reading this col-           And slight increases in the fee paid to screen newborn babies,
                                     umn who are wealthy and have moved for tax reasons. If one            and community college tuition, are expected to generate
                                     or more of you would come forward, it could spark a broader           additional dollars.
                                     discussion, as it did when it was revealed in late April that              The bet with the changes, of course, is that wealthier North
                                     hedge-fund billionaire David Tepper moved from New Jersey             Carolinians will reinvest rather than move, while local busi-
                                                                            to Florida. He took with       nesses will expand where they are rather than in other states.
                                                                            him hundreds of millions       One other plus was North Carolina’s significant overhaul of its
                                                                            of dollars in tax payments.    unemployment insurance program: it improved its perfor-
                                                                            Many of you worked hard        mance, reduced fraud, allowed the state to pay what it had bor-
                                                                            to make Minnesota’s fu-        rowed to keep it afloat, and is expected to save employers there
                                                                            ture brighter; why give up     more than $240 million a year in tax savings. (Of course, ben-
                                                                            on that by staying silent      efits from all of the above could go down the toilet if the state
                                                                            on a trend that will hurt      doesn’t change its stance on transgender use of bathrooms.)
                                                                            this state?
                                                                                 Another frequent          Elsewhere
                                                                            question was “How can          n I first heard about Tennessee’s tax climate when a Wayzata
                                                                            we reduce income taxes,        wealth advisor told me of an entire family of Minneso-
                                                                            while ensuring there’s still   tans—three generations—that moved there a few years ago.
                                                                            adequate funding for the       Two months ago, Tennessee became even friendlier when it
                                                                            programs and budgets           decided to become the nation’s eighth no-income-tax state
                                                                            that help make our state       after phasing out its tax on dividend and interest income
                                                                            great?” The second part        between now and 2022. This follows by three years its deci-
                                                                            is critical. Too many,         sion to kill its estate tax by the end of 2015. Given the latest
                                                                            however, quickly say you       changes, the state is expected to move from 15th to 11th on
                                     can’t cut taxes and maintain a high quality of life. These nay-       the State Business Tax Climate Index.
                                     sayers need to spend some time in and studying how, some                   Indiana a few years ago started a multi-year process of
                                     states are indeed balancing tax relief with maintaining if not        phasing down its corporate flat rate from 8.5 percent to 6.5
                                     improving quality of life. Here are a few examples:                   percent today, and 4.9 percent by 2021, according to Scott
                                                                                                           Drenkard, director of state projects at the Tax Foundation
                                     North Carolina                                                        in Washington, D.C. The individual flat rate also has been
     Surely there are some
                                     n A series of changes in 2013 flipped North Carolina from             decreasing, though less dramatically, and is now at 3.3 per-
     examples out there that         being one of the worst to one of the best states in terms of          cent,” he says. The changes led to Indiana moving from 44th
     Minnesota’s legislators could   taxes. That year it slashed income tax rates, eliminated the es-      to 16th in one year on the tax climate index. Meanwhile, tax
     adapt for use here.             tate tax and expanded sales taxes. All told, its reforms moved        revenues have grown due to economic growth, while state
                                     it from 44th to 16th on the Tax Foundation’s State Business           spending is being better managed.
                                     Tax Climate Index. Additional reforms in 2015 moved it to                  Florida in recent years has cut taxes by more than $1
                                     15th (Minnesota ranks 47th).                                          billion, making it to the fourth-best state in the country
                                          The state is on track to have its corporate income tax rate      for business tax climate. This year, it passed another $129
                                     drop to 3 percent in 2017, depending on whether net general           million a year in cuts including: elimination of sales tax on
                                     fund tax collections exceed $21 billion in a future year. If 3        manufacturing equipment; exemption of sales taxes on food
                                     percent is obtained, it will represent the lowest corporate           and drinks sold by veterans’ organizations; and phase-out by
                                     income tax rate of any state that levies such a tax.                  2019 of a sales tax on asphalt used for government projects.
                                          Changes in 2015 reduced income taxes by $400 million             The measure also sets up a three-day back-to-school “holi-
                                     a year. The personal income tax rate is set to drop from 5.75         day” during which shoppers can avoid sales tax on clothes
                                     percent to 5.5 percent for 2017: this would be lower than             that cost up to $60, and school supplies of $15 or less.
                                     neighboring Virginia (5.75 percent), Georgia (6 percent)                   Several other states also are working hard to find better,
                                     and South Carolina (7 percent). North Carolina also in-               and less expensive ways to tax individuals, while improving
                                     creased the standard 2016 deduction by $500, to $15,500 for           government-funded programs and initiatives. Surely there
                                     married filers (a couple that earns $80,000 only pays income          are some examples out there that Minnesota’s legislators
                                                                                                           could adapt for use here. tcbmag

                                                                                                                                JUNE 2016 tcbmag.com TWIN CITIES BUSINESS   5
Different but Equal Minnesota employers grapple with the needs of Muslim employees, such as prayer breaks and dress code variatons - PageTurnPro
Here’s to the ingenious
                                                        individuals who make
                                                        growth happen
                                                        Congratulations to the EY Entrepreneur Of The
                                                        Year® Upper Midwest Award finalists. Their
                                                        inspirational stories will take center stage as we
                                                        celebrate their achievements at our gala awards.
                                                        June 9, 2016 | JW Marriott, Mall of America |
                                                        Minneapolis, MN
                                                        For more information or to reserve your seat at the
                                                        gala, contact Jim Kowitz at jim.kowitz@ey.com.

                                                                          Regionally sponsored by
© 2016 Ernst & Young LLP. All Rights Reserved. ED0317

                                                                          Locally sponsored by
Different but Equal Minnesota employers grapple with the needs of Muslim employees, such as prayer breaks and dress code variatons - PageTurnPro
LETTERS

Financial and cultural
effect of state’s wealth
migration is enormous
n Thank you for the excellent article
(“The Great Migration,” April) concern-
ing the huge negative impact Minneso-
ta’s punitive tax rates are having on our
economy. I personally have noted the
migration of successful Minnesotans
who have exited Minnesota for lower
taxes and warmer weather.
     Another impact of the migration, other than lower net tax revenue, lower

                                                                                                      “Our bank has
contributions and fewer business investments, is that these people spent their
$1.5 billion of income and $12 billion in net worth in Minnesota. They built
homes, bought vehicles, purchased insurance, food, clothing and other items.
They also got haircuts, ate out at restaurants and attended sporting events. They
spent their money in Minnesota.                                                                        helped us to
                                                                                                       double-digit growth.”
     All of these activities created wealth for the working-class people of Minne-
sota who also paid taxes and spent their earnings, creating a multiplier effect. The
state of Minnesota’s 26 rules for becoming classified a nonresident compounds
this issue, because the state’s approach is forcing people to move all of their Min-
                                                                                                                                        – Loren O’Brien, President/CEO
nesota relationships out of state. As a result, the real financial and cultural impact
of these policies is even greater than the article noted.                                                                             B&F Fastener Supply, Ramsey, MN
     Many have noted that Minnesota tax policies are similar to the Eagles song
Hotel California. The song lyrics are: “You can check out any time you like, but
you can never leave.”
                                                                                                            B&F Fastener Supply is a premium industrial and construction supply
                                                          William A. Cooper, Wayzata                   distributor, serving customers in five states. CEO Loren O’Brien explains,
            The writer is the former CEO and current chairman of TCF Financial Corp.                   “We have 14 stocking warehouses, 80 delivery trucks, and literally
                                                                                                       thousands of products.”
                                                                                                            Loren works with Cindy Carlson, SVP of Commercial Banking at
                                                                                                       Western Bank. “We’ve been with them since 2011. It’s only our second
                                                                                                       bank in 27 years of business. And they made the transition seamless.”
                                                                Richard Copeland,
                                                                                                            At Western Bank, bankers like Cindy get to know your business
                                                                founder                                right down to the last decimal point. Loren says, “Our business can be
                                                                of Thor Construction
                                                                                                       complex; we do packaging, and even custom machined parts. But Cindy
                                                                (center), with
                                                                superintendent Leo                     knows distribution and manufacturing. She knows our business. And she
                                                                Copeland (left) and                    knows what the numbers mean.”
                                                                CEO Ravi Norman
                                                                (right) on site at U.S                      Your goals are our business; that’s the Western way. And Loren
                                                                Bank Stadium.                          is an enthusiastic fan, “They helped us build the infrastructure that
Private businesses can fuel                                                                            was needed to fuel consistent double-digit growth. They’re proactive in
turnaround in north Minneapolis                                                                        bringing us ideas.”
                                                                                                            If you’re looking for a banker with the resources and the
n I am glad to hear about Richard Copeland’s plans to move his company, Thor
Construction, to north Minneapolis (“Why Are So Few Businesses Located on                              understanding to help your business grow, talk to Cindy Carlson.
Minneapolis’ North Side?” June). The private sector— not another government                            As Loren says, “We don’t need to look at other banks.”
program or useless speech — can address poverty.                                                            Stop into any of the Western Bank offices in the Metro, and discover
     After 50 years of the federal government’s war on poverty, if we are still wait-
                                                                                                       banking, the Western way. Or go to Western-Bank.com.
ing on them to help we are not thinking correctly. Folks in north Minneapolis
need the same thing all people need—a good-paying job. Enough of the prom-
ises of the nonprofits and foundations, which only help the board members and
a few top employees.
     The one thing the state could do is help 15- to 18-year-old students be
prepared for the real world, where they need to add value to any job they get. We
should change the high school experience from taking useless classes to ones that
offer job readiness. Good luck to Mr. Copeland.
                                                                              Joe Smith
                                                                                          WB5209A Testimonial 4pt5625x10pt75.indd 1                                                    7/29/15 8:38 AM

                                                                                                                                       JUNE 2016 tcbmag.com TWIN CITIES BUSINESS   7
Different but Equal Minnesota employers grapple with the needs of Muslim employees, such as prayer breaks and dress code variatons - PageTurnPro
PETER CROUSER

                One Cable at a Time
                Why is it taking three construction seasons to redesign Nicollet Mall?

                n The $50 million Nicollet Mall renovation project is entering its         of the public realm . . . that will be a centerpiece for our city.”
                second summer, with a third summer of construction to come                     Frey shrugs off analogies to other construction projects
                next year. The pedestrian mall is out of commission, covered               around the metro, such as the one-year rebuild of Hwy. 169
                in construction equipment, earthen holes, and barriers. More               from Golden Valley to Eden Prairie or the two-season rebuild            St. Jude Medical agreed to sell itself
                than a few are grumbling about the modest project’s length and             and widening of Hwy. 100, calling them “apples to lasagna”              to Illinois-based Abbott Laboratories
                why it was staged to close the mall for three consecutive “patio           comparisons.                                                            for $25 billion. Last year, St. Jude
                seasons,” when restaurant and bar patrons flock downtown to                    Downtown Council President Steve Cramer is confident that           reported 18,000 global workers and
                enjoy the weather.                                                         the refreshed Nicollet Mall will make up for three summers of           $5.54 billion in revenue.
                     Difficulties obtaining bids for paving materials cost the project     disarray.
                an additional summer, as its end date was moved from mid-2017                  He says this summer the Downtown Improvement District will          Carlson Companies announced its
                to end of next year. All the disruption to date has been to allow          roll out signage that helps preview the final results as a reminder     intention to sell its lodging businesses
                utilities to upgrade infrastructure under the street, and that phase       of what all the dust and noise is in service to.                        to Chinese conglomerate HNA
                has to finish before the cosmetic changes to the mall begin.                   And Cramer says he believes that the two summers of utility         Tourism Group. Terms were not
                     “This isn’t your typical street re-do,” says Jacob Frey, City         work helps future-proof the street. “Once it’s done,” he says, “we’ll   disclosed, but Bloomberg estimated
                Council member for the Third Ward, which includes the northern             have 25 years of peace.” At least until the city needs to tear up the   the deal could be worth $2 billion.
                half of Nicollet Mall. “It tackles the guts, and it’s a massive overhaul   street to add a proposed streetcar. —Andre Eggert

                8   TWIN CITIES BUSINESS tcbmag.com JUNE 2016
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n The death knell for the newspaper business has been ringing for years. “Print is
dead!” say the digital diehards. But the Star Tribune Media Co. is actually boosting the
circulation of its free weekly StribExpress from 85,000 copies to 100,000 copies.
                                                                                                               Your neighbor first.
    StribExpress is six-page paper that serves as a binder of sorts for advertising:
inserts, circulars and coupons provided to the newspaper by the advertiser. It
                                                                                                               Your banker next.
launched in 2010 with a modest circulation of 20,000 copies. The articles in it are
stories that have already appeared in the daily paper.
                                                                                                                                                                                Wells Fargo is now part of
    “It’s not going to be hard news,” says spokesman Steve Yaeger, noting the freebie
                                                                                                                                        Now                                     Downtown East and is looking
                                                                                                                                        open
                                                                                                                              .

emphasizes “lifestyle, food, entertainment and human interest stories.”
                                                                                                                         e. S

                                                                                                                                                                                forward to getting to know you.
                                                                                                                       Av

    While many might see StribExpress as a throwaway, Yaeger notes that it’s only
                                                                                                                                                           S. 3
                                                                                                                       th

                                                                                                                                                               rd               Right in your neighborhood, you
                                                                                                                   Fif

delivered to people who request it, an important selling point for advertisers. Paul                                                                              St.
Kasbohm, chief revenue officer for Star Tribune, says StribExpress was created in                                                                                               can enjoy one-stop convenience for
                                                                                                                                             S. 4
direct response to advertisers who wanted to reach more homes in certain zip codes                                                               th
                                                                                                                                                    St.
                                                                                                                                                                                financial guidance and services,
than the newspaper delivers papers to.                                                                                                                                          from managing daily expenses and
                                                                                                                                S.

                                                                                                                                                    e.
                                                                                                                            ve.

                                                                                                                                                  Av

    Kasbohm says it’s evidence that old-school print still works. “Preprints continue                                             S. 5                                          saving for your child’s education,
                                                                                                                          dA

                                                                                                                                                  k

                                                                                                                                      th
                                                                                                                                              Par
                                                                                                                            n

to be one of the most effective and utilized advertising vehicles in terms of driving                                                    St.                                    to keeping your retirement goals
                                                                                                                       rtla
                                                                                                                    Po

shopping behavior,” he says, and notes that StribExpress is tailored to a specific                                                                                              on track. Come see us for your
audience: “the female decision-maker of the household.”                                                                                                                         complimentary financial review
                                                                                                               Downtown East
    StribExpress is hardly the only non-daily in the company’s 12-publication niche
                                                                                                               600 S. Fourth St.                                                and let’s have a conversation
portfolio. It includes Homes magazine and The Good Life, a quarterly aimed at seniors.
                                                                                                               612-478-3220                                                     about your financial goals.
Since 2004, the paper has also published Twin Cities Values, a free four-page weekly
designed to house advertising inserts and circulars, with circulation of about a                               Monday – Friday
                                                                                                                                                                                Please stop by and see us soon —
half-million copies. It is delivered en masse by mail and newspaper carriers to non-                           9:00 a.m. – 6:00 p.m.
                                                                                                               Saturday
                                                                                                                                                                                we’re on your way.
newspaper subscribers; customers have to “opt out” by telling the newspaper to stop
delivery.                                                                                                      9:30 a.m. – 2:00 p.m
    The privately held company does not disclose revenue. Billionaire Glen Taylor
bought the company in 2014. The following year the newspaper acquired City Pages,
which distributes 50,000 free copies every week—half the circulation of StribExpress.
    In-mid April, the company announced it was investing in an upgrade of its printing
plant in the North Loop. Says Kasbohm: “$5 million is a lot of money for us. I think you                       wellsfargo.com
can read that appropriately as a signal that print is important to us.”                                        © 2016 Wells Fargo Bank, N.A. All rights reserved.
                                                                                                               Member FDIC. (2545902_17956)
                                                                             —Burl Gilyard

                                                                                                  2545902_17956 4.5625x7.875 4c.indd 1                                                                                             4/26/16 10:44 PM
                                                                                                                                                                        JUNE 2016 tcbmag.com TWIN CITIES BUSINESS              9
2008
                                                                                                                                                                           founded

                                                                                                                                                                           1
                                                                                                                                                                           location

                                                                                                                                                                           23
                                                                                                                                                                           employees (5 managers, 18 dog handlers)

                                                                                                                                                                           32,150
                                                                                                                                                                            dog visits in 2015 (a multi-night stay would be
                                                                                                                                                                           considered one visit)

                                                                                                                                                                           1: 12–15
                                                                                                                                                                           staff-to-dog ratio during the day

                                                                                                                                                                           110
                                                                                                                                                                           daytime dog capacity

                                                                                                                                                  FRESH COAST COLLECTIVE
                                                                                                                                                                           75
                                                                                                                                                                           overnight dog capacity

                                                                                                                                                                           11,000
COMPETITIVE EDGE                                                                                                                                                           indoor square footage

                                                                                                                                                                           3,500
Dog Day Care                                                                                                                                                               outdoor square footage

                                                                                                                                                                           11
An independent stays the course as the big boxers move in.                                                                                                                 webcams

n At Pampered Pooch Playground in St.            “You go to some of the other places, and       its workers’ compensation insurance
Louis Park, dog day care reservations            there are flat-screen TVs in some of the       premium would triple if it did.                                            RATES
routinely fill up two to three days in           dogs’ rooms,” says Miller. “We’d much              But, bully breeds or not, fights are                                   $6/hour or $30/day
advance—sometimes weeks in advance               rather put money into the staff or new play    inevitable. “It’s like kids,” says Miller. “You                            (multi-day discounts)
before heavy travel periods.                     equipment for the dogs.”                       see one dog picking on another dog, well,
                                                                                                                                                                           $43–$61/night
     Co-owner Keith Miller says his day              Most dogs attend day care at               eventually somebody’s going to snap. So
                                                                                                                                                                           (discounts for 10+ nights)
care offers an above-average ratio of            Pampered Pooch two to three days a week.       it’s trying to manage that, and I think that
staff to dogs and services like proprietary      “We try to talk people out of [coming] every   comes down to having enough people
reservations software and app, which show        day, only because that becomes hard on         in the rooms to do it.” It also means
vacancies in real time and allow clients to      the dog,” says Miller, who notes that as a     occasionally having to kick out dogs that                                  OVERHEAD, BY RANK
book without having to call or wait for an       larger day care, Pampered Pooch is best        show aggression.                                                             Labor/payroll (52% of total
email confirmation. Miller says the software     suited to active, playful pups.                    While Minnesota doesn’t regulate dog                                        expenditures)
is also an enormous time-saver for the staff:        Dogs can play in one of three rooms        day cares, Pampered Pooch is a member                                           Rent
“Before, we were spending three hours            based on the dog’s size, from 6:30 a.m. to     of the Twin Cities Dog Daycare Association,                                     Taxes
a day responding to emails and putting           7 p.m. Those who stay overnight sleep in       a group of independent day cares working
reservations in.”                                the same rooms they play in, so as not to      to set standards of care locally by following
     When Miller and his wife, Patrycia,         introduce new sounds or smells at bedtime.     the regulations currently in place in other
                                                                                                                                                                           RESERVATIONS
opened Pampered Pooch eight years                    While 60 percent of Pampered               states.
                                                                                                                                                                           75%
ago, the local dog day care market was           Pooch’s revenue comes from overnight               After researching a second location,
                                                                                                                                                                           booked online or via app
burgeoning. Today the market is saturated,       stays, which are typically multiple nights,    the Millers thought it might cannibalize
they say, particularly in the western and        Miller says having the day care helps build    business at the original. So to diversify and                              25%
southern suburbs, and franchises like            overnight bookings. The biggest risk for dog   expand, in 2011 they started the dog-wash                                  email or phone
Camp Bow Wow and pet store chains Petco          day cares is injury. To that end, Pampered     chain Bubbly Paws, which has now grown
and PetSmart have started to corporatize         Pooch doesn’t allow “bully breeds,” such as    to three locations. —Megan Wiley
a niche pioneered by independent owners.         pit bulls and chow chows, in part because

10   TWIN CITIES BUSINESS tcbmag.com JUNE 2016
A Price for Farmers’ Data
Farmobile has figured out a source of income for farmers
that isn’t dependent on the weather.

n Jason Tatge isn’t a farm kid. He grew              sell their information. When a transaction
up in Plymouth, but he’s spent much of this          occurs, the farmer and Farmobile split the
spring traveling around rural Minnesota to           proceeds 50-50.
sign up farmers for his Farmobile Data Store             The Data Store is being developed this
program. At a time when crop prices are low,         year in Minnesota, and Tatge hopes to list
Tatge is offering at least $2 an acre to farmers     250,000 acres of state farmland in the
willing to collect data on their planting choices,   program. Participating farmers attach orange
fertilizer applications and crop yields.             passive uplink connection (PUC) devices to
    Tatge, CEO and co-founder of Kansas-             their tractors and combines to collect data. It   early adopter to the Farmobile program          economics and started his career as a grain
based Farmobile, says fertilizer and seed            is translated into electronic field records.      because he was familiar with a previous         trader for Pillsbury, has raised $5.5 million
companies and other for-profit businesses                Bob Swedberg, who farms about 2,000           Tatge enterprise.                               in venture capital for Farmobile. He now has
will pay for accurate and timely data about          acres outside of Owatonna, is among the               From 2002 to 2013, Tatge was CEO of         more than 1,000 PUC devices in the field.
farm operations. Farmobile has developed             farmers taking part in the Farmobile launch       Farms Technology LLC, which developed a         Building sound relationships with farmers is
technology to gather the data and store it.          phase. “There are a lot of people who want        dynamic pricing platform that allowed farmers   crucial. “These guys appreciate the fact that
What’s novel about Farmobile’s approach              to know what I planted and where I planted        and grain buyers to trade grain online. The     we are trying to create a revenue stream for
is that the data remain “farmer-owned and            it,” Swedberg says. “It would be nice to be       company was sold to DuPont Pioneer.             them,” Tatge says. “Everybody wants to sell
controlled,” Tatge says. The Farmobile Data          compensated for that.” Swedberg is a corn             Tatge, who graduated from Gustavus          the farmer something, but the farmer has
Store serves up options for the farmers to           and soybean farmer who agreed to be an            Adolphus with a degree in financial             always owned the risk.” —Liz Fedor

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                                                                                                                                                        JUNE 2016 tcbmag.com TWIN CITIES BUSINESS        11
A Smashing Startup
How one business hopes to morph Minnesota
passive-aggressiveness into a destructive business.

                                  n Rather than performing yoga or pouring a                  and a booking fee let you smash it in her
                                  cold one, Theresa Purcell has long taken a more             space. “Although that doesn’t necessarily
                                  destructive approach to blowing off some steam.             mean you can come wheel your old
                                  Since 2001, when she began attending the                    refrigerator in on a dolly,” she adds.
                                  University of Minnesota, stress relief often came in              Purcell isn’t a pioneer of the “you
                                  the form of pulverizing old tube TVs or dinnerware          buy it, you break it” business. Sarah’s Smash Shack     Village in Brooklyn Center and St. Paul electronics
                                  with a sledgehammer.                                        in San Diego (now defunct) was the first to try it in   recycler Tech Dump are providing Purcell a
                                      “I was a pretty strait-laced kid, but also an angry     2008. Later attempts, such as the Anger Room in         no-cost supply line to a deep reservoir of junk.
                                  kid,” she says, “so I’d smash the hell out of whatever,     Dallas or The Smash Shack in Jacksonville, N.C.,        She even has plans to take the Break Room to
                                  and it’d feel incredible.” A decade and a half later,       have managed to stay afloat off of people’s wild        downtown Minneapolis in the style of a food truck.
                                  Purcell quit her job at internet marketing agency Irish     side. The Break Room will open in St. Paul’s Midway         “That way, people can come down from their
                                  Titan to offer aggressive stress relief for a price.        neighborhood this summer as part of a franchise         desk and pay for 5 to 10 minutes of smashing,” she
                                      At her soon-to-open store, the Break Room               agreement with the Rage Room, a similar operation       says. Even though Minnesotans are legendary for
                                  (breakroommn.com), discarded chairs ($15), inkjet           in Toronto. “For a one-time franchise fee [of $500],”   being passive-aggressive and keeping a tight lid on
                                  printers small and large ($15 to $45), stacks of plates     Purcell says, “they’re going to help me promote, be     negative feelings, Purcell is confident her business
                                  ($5) and more meet the same shattering fate. Even           there for startup advice, legal advice and get me       will find plenty of takers. “I don’t claim that this is
                                  cars ($250 and up) are on offer. If spring cleaning         through the hiccups and growing pains.”                 therapy or a way to release your aggression,” she
                                  has uncovered a box of unwanted breakables, $10                   Partnerships with thrift store Arc’s Value        says. “It’s just fun.” —Sam Schaust

                                                                                                                                                      DID YOU
                                                                                                                                                      KNOW?
                                                                              Clayton D. Halunen,
     We fight for the                                                         Managing Partner
     underdog. We live by
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     I learned about corporate
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                                                                                                                                  Visit cctwincities.org or call 612-204-8374

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12   TWIN CITIES BUSINESS tcbmag.com JUNE 2016
Take My Boxers, Please
                                 Mulberrys wants to do your laundry. All of it.

                                 n A hard-working and frugal midwesterner                revenue with alterations, wedding gown
                                 can always justify sending a suit or dress to the       cleaning and preservation, shoe shine
                                 cleaners. But soiled undergarments?                     and repair leather and cleaning making
                                     Since its inception in 2009, Mulberrys              up the rest.) Laundry is priced $2.99 per
                                 Cleaners has looked for ways to set itself apart.       pound, as opposed to dry cleaning, which
Cliffs Natural                   With the launch of home laundry service this            is priced by quantity and type.                       app takes an Uber approach, where interested
Resources reported               March, it offers a luxury once only available to            The option of having laundry picked up within     drivers input personal information, which then
a Q1 profit and                  royalty or Kardashians. (A small amount of work         an hour is currently only available to those in the   allows them access to a list of pickup and delivery
announced plans                  that can be delegated to an underling remains:          Minneapolis area—with plans to expand to St.          orders. “In the next few months we will be able
to reopen its two                Customers sign up online or through Mulberrys’          Paul by the end of the year, assuming more-           to send a notification when your driver is on their
shuttered Minnesota              mobile app, schedule a pickup time, gather the          conservative St. Paulites are willing to turn over    way,” says Miller. He adds that before a new
taconite plants.                 laundry in a bag and select a return time.)             their sweat socks to a stranger.                      driver is allowed to accept jobs, they must pass a
                                     CEO Dan Miller aims to broaden his base with            Mulberrys offers next-day delivery for laundry    background check.
                                 the new service. “We hope to expand our reach to a      service, but “our goal in the next few months will        Laundry isn’t the only thing on Mulberrys’
                                 younger clientele. People are getting used to having    allow our clients to schedule pickup at breakfast,”   agenda; the company is set to expand to Los
                                 what they want, when they want it, on demand.”          says Miller, “and have their clothes ready by the     Angeles later this year. –Kate LeRette
                                     Miller’s goal is to do 10 percent of sales in       time they are home from work.”
                                 laundry by the end of the year. (Dry cleaning               While eight staff drivers do majority of the
                                 currently accounts for 85 percent of Mulberrys’         pickup and delivery, the Mulberrys Driver mobile

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   Twin Cities Business.indd 1                                                                                                                                                  4/25/16 10:20:30 AM

                                                                                                                                                     JUNE 2016 tcbmag.com TWIN CITIES BUSINESS   13
A&E
by Tad Simons
From the editors of
                                                                 Paul Simon                                      South Pacific
                                                                 n Simon’s 13th album, Stranger to               n Artistic director Joseph Haj’s first original
                                                                 Stranger, is released June 3, and this          production at the Guthrie’s helm is Rodgers and Hammerstein’s
                                                                 two-night Orpheum stand will be one of the      classic musical about life on an island military outpost during World
                                                                 first in support of the new effort. Though      War II. The trend in recent years has been to dial back the camp
                                                                 songs on the new album will get a chance        and allow the show’s more serious themes—namely, racism and
                                                                 to breathe, the legend never leaves his         war—to come through. Haj’s approach remains to be seen, but he
                                                                 audiences disappointed. How could he?           has said that those themes are what continue to make the musical
                                                                 Nobody has a deeper well of hits to draw        relevant today. That, and all those classic songs.
                                                                 from, and his devoted, albeit aging, fan base       June 18-Aug. 28, Guthrie Theater, Mpls.,
                                                                 still has plenty of adoration to spare.             612-377-2224, guthrietheater.org
                                                                       June 14-15, Orpheum Theatre, Mpls.,
                                                                       612-339-7007, hennepintheatretrust.org    BLM, Contempo
                                                                                                                 Physical Dance
                                                                 Florence and the Machine                        n Black Label Movement and
                                                                 n After blanketing Europe, South America        Contempo Physical Dance are

                                                                                                                                                                                         BILL CAMERON
                                                                 and Australia, Florence Welch is bringing       two of the Twin Cities’ most
                                                                 her How Beautiful tour back to the U.S. for     dynamic and athletic dance
                                                                 a flurry of shows into mid-summer. It’s only    companies. The companies join
                                                                 been a couple of years since her ecstatic       forces here for the first time to present an evening of dance that
                                                                 but relatively humble show at the Minnesota     includes two world premieres. One is a duet between respective
                                                                 Zoo, but now F&M is a full-fledged arena        artistic directors Carl Flink and Marciano Silva dos Santos; the
                                                                 act. She’s more energetic and anguished         other is an ensemble piece that combines the considerable skills
                                                                 than ever, and when it really gets cranking,    of both troupes. The program will also include a highlight from
                                                                 her band truly is a remarkable machine.         each company’s repertoire.
                                                                      June 2, Xcel Energy Center, St. Paul,           June 17-25, Cowles Center, Mpls.,
                                                                      651-726-8240, xcelenergycenter.com              612-206-3600, thecowlescenter.org

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14   TWIN CITIES BUSINESS tcbmag.com JUNE 2016
CONCIERGE
Star treatment for VIP clients and guests.
by Melinda Nelson

On the Water
When it’s summer in Minnesota, spend a memorable day
on one of the Twin Cities’ beloved lakes and rivers.

Lake Minnetonka
n With 125 miles of lakeshore, dozens
of bays, countless multimillion-dollar
estates, and a handful of dockside
restaurants for sunning, sipping mojitos
and beautiful-people watching, Lake                                                                                                                                       Lake Calhoun
Minnetonka is always a good idea. To
boat like you own it, join the Bay to
Bay Boat Club (baytobayboatclub.
com), where members can show up
and drive off in a speedboat, runabout
or deck boat. For all the fun without
the commitment, half-day and full-day
pontoon rentals and guided fishing
tours are available. If your clients are
the sporty type, head over to Tommy’s
Tonka Trolley (tonkatrolley.com) at the
picturesque Port of Excelsior. Tommy’s
is command central, with kayaks and           by the unassuming clubhouse on the
stand-up paddleboards for rent. Once          northeastern edge of Lake Calhoun. On
you come off the lake, join the crowd for     Wednesday evenings throughout the
beer and burgers on the patio at Haskell’s    summer, rent cruiser bikes from Wheel
(haskellsport.com) on aptly named Water       Fun Rentals (wheelfunren-
Street in downtown Excelsior.                 tals.com) and watch C Fleet
                                              and Laser races as you circle
Lake Nokomis                                  the lake on its three-mile bike
n Clients who live in cities where lakes      path. Afterwards, repair to
aren’t part of the collective urban birth-    the patio at The Tin Fish (tin-
right will be charmed by very accessible      fishmn.com) for a cool glass
Lake Nokomis, named after Hiawatha’s          of wine, grilled mahi mahi,
grandmother in the Longfellow poem.           and stellar onion rings.
Park at West Beach and head over to
Wheel Fun Rentals (wheelfunrentals.           Lake Waconia
com) where you can channel the spirit of      n If your clients ascribe to the
Hiawatha in a canoe. For a more modern        belief that a bad day fishing
experience, get out on the water in a         is better than a good day at
kayak, pedal-boat or a stand-up paddle-       the office, take them out to
board. If the water’s too choppy for boat-    Lake Waconia. Park at the
ing, take a spin around the lake on a bike    In Towne Marina (intowne-
or a newfangled surrey and then head          marina.com), where you can
over to Sandcastle (sandcastlempls.com)       fill your cooler with live bait
for well-deserved Pabst Blue Ribbon tall      and rent a fishing boat or
boys and Nokomis hot dogs with coleslaw       pontoon. Spend a day fishing
and peppers.                                  for muskie, largemouth bass,                                                                                              St. Croix River
                                              etc., and then head over to
Lake Calhoun                                  Lola’s Lakehouse (lolaslakehouse.com)           St. Croix River                              nesota and Wisconsin shores, cross over
n Clients who sail will be delighted by       for dinner. Dock your boat, take a table on     n For a dynamic day on the water, take       to Hudson on the Wisconsin side. Take
the historic Calhoun Yacht Club (lakec-       the patio overlooking the water, and enjoy      your clients out to “the river,” otherwise   a table on the patio at Pier 500 (pier-
alhoun.org), established in 1901 to pro-      a pint of locally brewed beer, walleye cakes,   known as the St. Croix. At the colorful      fivehundred.com) and order a round of
mote the very civilized pursuits of yacht     Lola’s signature Asian-spiced chicken           Beanie’s at Maui’s Landing (boatin-          martinis and the signature “steak and
and canoe racing, iceboating, tennis and      wings and a spectacular summer sunset.          gatbeanies.com) in Lakeland on the           lake” platter of grilled top sirloin and
other pleasures. Clients used to grand, co-                                                   Minnesota side, rent Jet-Skis by the hour,   parmesan-crusted walleye before heading
lonial-style yacht clubs may be charmed                                                       or fishing boats, pontoon boats and even     back to Minnesota
                                                                                              houseboats for long weekends or a week.
                                                                                              After cruising past views of the Min-

                                                                                                                                            JUNE 2016 tcbmag.com TWIN CITIES BUSINESS   15
PLUGGED IN
The best opportunities for networking this month.
By Kate LeRette

                                                                                                  June 6 & 7
                                                                                                  ACG MN Upper Midwest Capital Connection
                                                                                                  This Association for Corporate Growth event kicks off with a golf tournament, lawn bowling and an
                                                                                                  opening-night reception at Orchestra Hall, where attendees can network with more than 500 financial
                                                                                                  experts and leaders in a relaxed atmosphere. Day two consists of a panel discussion on creating a
                                                                                                  new investment environment, one-on-one meetings about acquisition opportunities and criteria, and a
                                                                                                  chance to meet and discuss growth and financing opportunities with several private equity firms.
                                                                                                         7:30 a.m., tickets start at $350, Hyatt Regency Minneapolis, acg.org/minnesota/

June 4
MIA Gala 2016
Come togetherJoin with Mia supporters, community leaders and special guests
for the Minneapolis Institute of Art’s annual black-tie gala. Guests will not only
enjoy Mia’s displays of art, but also The evening includes a gourmet dinner a
seated dinner with excellent wine and gourmet food, along with all the art on
view. After dinner, enjoy music, entertainment and stunning visual displays at
the museum’s popular summer party.
       6 p.m., tickets start at $750, Minneapolis Institute of Art, Mpls.,
       612-870-3023, new.artsmia.org/gala-summer-party-2016

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16   TWIN CITIES BUSINESS tcbmag.com JUNE 2016
June 11
                                                                              Northern Spark 2016
                                                                              The theme for this year’s all-night art festival will focus on climate change. Explore
                                                                              how several artists address global climate challenges through video projections,
                                                                              performances and installations at various sites across the Twin Cities. The evening will

                                                                                                                                                                                      SARAH BERNIE DANKS
                                                                              begin with a pre-festival launch party in the Mill Ruins Courtyard and an opening concert
                                                                              at the Convention Center, followed by late-night workshops, a dance performance and a
                                                                              shadow puppet show. Food trucks will be on-site throughout the night.

                                                    CRAIG BARES PHOTOGRAPHY
                                                                                      7 p.m., $60-$250, Mill City Museum, Mpls.
                                                                                      info@northern.lights.mn, 2016.northernspark.org                                                                      June 24
                                                                                                                                                                                                           MnSearch Summit
                                                                                                                                                                                                           Bringing together marketing and business
                                                                                                                                                                                                           professionals from around the Midwest, this
June 11                                                                                                                                                                                                    one-day conference provides insights on
2016 Gala: Celebration of Korea                                                                                                                                                                            topics such as SEO, paid search techniques,
Join more than 300 community and business                                                                                                                                                                  content marketing strategies and analytics
leaders for Global Minnesota’s annual gala. This                                                                                                                                                           from numerous industry leaders. The day
year’s outdoor celebration will highlight Korean                                                                                                                                                           will consist of three keynote speakers and a
culture, with national cuisine and entertainment,                                                                                                                                                          variety of smaller sessions led by more than
as well as Tour the World live and silent                                                                                                                                                                  a dozen leaders and experts in the field.
auctions. Funds from the evening will support                                                                                                                                                                     8:30 a.m., $359, Minneapolis
Global Minnesota’s mission to help Minnesotans                                                                                                                                                                    Convention Center, Mpls.,
live, work and lead globally through educational                                                                                                                                                                  612-567-2736 mnsearch.org/summit
and cultural programs.
       4:30 p.m., tickets start at $200,
       Long Lake, 612-626-2406,

                                                                                                                                                                          IAN PLANT
       globalminnesota.org/events/gala

                                                                                                                                                   Rolene Owens
                                                                                                                                                   Digital Signage
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                                                                                                                                                                                                           JUNE 2016 tcbmag.com TWIN CITIES BUSINESS   17
tcbmag
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                                                                                                                            and COO, Tastefully Simple; Gina Kastel, partner and management board member,
                                                                                                                            Faegre Baker Daniels; and Deborah Koland, business strategist and researcher.

                                                                                                                                         Today’s News
RSM US LLP is the U.S. member firm of RSM International, a global network of independent audit, tax and consulting firms.
Visit rsmus.com/aboutus for more information regarding RSM US LLP and RSM International. AP-CN-ALL-ALL-0116                              Statewide news and perspective on business-related expansions,
                                                                                                                                         shakeups, successes, wrongdoings and more.
                                                                                                                                         Go online to: tcbmag.com

                                                                                                                                         Life Style
                                                                                                                                         The best places to take your VIP guests, most significant networking
                                                                                                                                         opportunities in the month ahead, how to boost your personal brand
                                                                                                                                         Minnesota-style, and more.
                                                                                                                                         Go online to: tcbmag.com/Life-Style

                                                                                                                                         Events
                                                                                                                                         Join us June 15 for our annual CFO discussion on today’s most significant
                                                                                                                                         challenges and opportunities including in the areas of earnings improvements,
                                                                                                                                         cyber-security and strategic planning. Panelists will be Steve Fray, Jack Link’s
                                                                                                                                         Beef Jerky; Ann Gugino, Patterson Cos.; Alec Mahmood, Prime Therapeutics;
        Successful leaders often talk about the importance                                                                               and Tim Skidmore, CHS Inc. Nicollet Island Pavilion, 3 p.m. to 6 p.m.
        of having great mentors, but we rarely hear those                                                                                To register, go online to: tcbmag.com/CFO16
        mentors’ stories. Join us on August 17 as we honor                                                                               E-newsletters
         five marvelous mentors who have helped others                                                                                   Catch the latest business news—and explore what it means—every
        become successful Minnesota business leaders.                                                                                    Tuesday and Thursday in Briefcase. And our monthly Minnesota Small
                                                                                                                                         Business e-newsletter, Headway, provides features, tips and insights
                                       SAVE THE DATE!                                                                                    for small businesses across the state.
                                                                                                                                         To sign up, go online to: tcbmag.com/E-Newsletters
          August 17, 2016 // Nicollet Island Pavilion
              Register today at tcbmag.com/mentors16                                                                                     On the Air
                                                                                                                                         Tune in to 830 WCCO-AM every Monday at 10:35 a.m. to hear TCB’s
                                  @tcbmag #TCBMentorAwards                                                                               take on the week’s top business and economic news and trends; and
                                                                                                                                         KARE 11 every Thursday at 11 a.m., for perspective on the state’s most
                    Presented By:                                             Presenting Sponsor:                                        significant business developments.
                                                                                                                                         Go online to: http://kare11.tv/1YWnvqg

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                                                                                                                                         YouTube: tcbmagvideos

       18    TWIN CITIES BUSINESS tcbmag.com JUNE 2016
Your power
                      Off-Site Meetings
                      Stay loose, but don’t lose decorum.                                                                       source for
                                                                                                                                  brilliant
                      P        uerto Rico, London, Hilton
                               Head . . . those are some of
                               the destinations you may find
                                                                  for career advancement and lateral
                                                                  moves within a company,” says Barclay,
                                                                  who advises that you avoid hanging
                                                                                                                                 business
                      yourself in for an off-site company
                      meeting or incentive trip. Perhaps your
                                                                  out with your immediate coworkers.
                                                                                                                               outcomes.
PERSONAL BRAND        organization books at a less glamorous      Handshakes
by Roshini Rajkumar   locale. Regardless, leaving the office      and other greetings
                      doesn’t mean leaving decorum and            Once you approach people for vari-
                      professionalism behind. Here are some       ous conversations, understand and
                      thoughts on how to project your brand       employ handshake basics. Barclay says
                      to make these events work for you.          don’t be a bone-crusher, but suggests
                                                                  a firm handshake, “connecting at the
                                 Pack for success                 soft fleshy area between the thumb
                                   In the wardrobe arena, “less   and forefinger, and have three pumps,
                                   is more” takes you far. Try    all while maintaining eye contact.”
                                   to pack items that easily      Getting past the handshake is just the
                                   transition from day into       beginning, though.
                                   night. “Choose colors that
                                   make you radiate and avoid     Make merry, but not too merry
                                   distractions,” says image      Off-sites lead to many opportuni-
                                   consultant Joyce Rosenblad     ties to eat and drink with immediate
                                   of Minneapolis-based True      colleagues as well as others around the                       The staffing and
                                   You Consulting. She sug-       company, plus vendors and clients.
                      gests leaving fashion glasses or acces-     Alcohol is typically a big part of these                      consulting super
                      sories behind because they take away        gatherings. “Remember this is still a                           connectors.
                      from your true essence.                     business function so avoid excessive
                           For women, Rosenblad’s must-           drinking, off-color jokes about politics
                      haves include a pencil skirt in a           or sex, and bringing uninvited guests,”                       We help you
                                                                                                                             embrace change so
                      breathable fabric and a color you love,     stresses Barclay.
                      a skinny pant or go-to trouser, a jacket         I can’t emphasize enough that all the
                      in a flexible fabric and a couple great     years you’ve taken to build your brand                      your business can
All the years
                      mixable accessories.
                           For gentlemen, Rosenblad says you
                                                                  and grow credibility within the organiza-
                                                                  tion can be wiped out in one night of
                                                                                                                                   evolve.
you’ve taken          can’t go wrong with flat-front with         drunken folly. Have fun, but proceed
to build your         no cuffs, a jacket or suit, a couple nice   with discipline within your limits.
brand and grow        shirts and ties, and one or two pairs
credibility within    of shorts if you are in warmer climes.      Post-trip debrief
the organization      And men aren’t immune to a woman’s          A successful off-site meeting may lead
can be wiped out      penchant for shoes. Pack a solid pair of    to new work once you return to the
                      dress shoes plus one pair of great casual   office. Use time during your trip home
in one night of                                                                                                                    Let’s get solving.
                      shoes and a pair of sandals, if weather-    to make to-do lists. Does someone
drunken folly.        appropriate. “Everything should feel        want an example of your latest win or
                      like part of who you are and not a          perhaps a part of your portfolio that
                      uniform,” reminds Rosenblad. If you         could lead to other projects for you
                      are ever in doubt about attire, check       and your team? Whatever the request,
                      with the trip planner or with colleagues    jot it down so you’re poised to produce                   See how we can help.
                      who have been to this locale before.        soon after you return.
                                                                       Have fun and make your next off-
                                                                                                                             Watch our video at
                      Plan for face time                          site great for your brand. tcbmag
                      Is there a VIP or department head                                                                       salollc.com/solving
                      you’d like to meet? Etiquette coach         Roshini Rajkumar is a personal brand
                      Laura Barclay of Civility & Etiquette       strategist and presence engineer. She is                                FINANCE
                      Centre of Minneapolis and Tampa             host of News and Views with Roshini                                  ACCOUNTING
                      suggests you plan ahead for this op-        Rajkumar on WCCO Radio and author                               HUMAN RESOURCES
                      portunity and make your move at a re-       of Communicate That! For additional
                                                                                                                               CHICAGO & MINNEAPOLIS
                      ception or meal. Stay professional but      communication tips, visit Communica-
                      use this lower-stress setting to boost      teThatBook.com. Interface with Roshini at
                      your brand within other parts of the        roshini@roshinigroup.com.                                                                © 2016 Salo
                      company. “Networking can be critical

                                                                                                               JUNE 2016 tcbmag.com TWIN CITIES BUSINESS   19
HEALTH BEAT
     News, trends and analysis about Minnesota’s health care industry

Insulin Prices are Shooting Up                                                                                                           Mayo Clinic Bets
                                                                                                                                         on a Gut Feeling
n Eagan-based Prime Therapeutics is reporting that insulin             for the patients who were studied. The study analyzed 4 million
costs for patients with diabetes increased 80 percent over             of its 26 million members located throughout the United States.   n The teeming microbial world that is the human gut—in
four-and-a-half years. A separate study found that insulin use             Diabetes is the seventh leading cause of death in the         addition to being rather disgusting to think about—
among diabetic patients has spiked 50 percent over the same            United States, according to the Centers for Disease Control.      traditionally hasn’t held much interest for researchers
period, from January 2011 through June 2015.                           Nearly one in ten Americans is estimated to have diabetes. A      seeking new ways to treat disease.
     The patent for Lantus, which has been the most                    2012 study from the American Diabetes Association on the              But that is quickly changing as the Mayo Clinic and the
commonly used, long-acting insulin, expired in February                economic costs of the disease estimated that a patient with       pharmaceutical industry continue a pattern of ever-bigger
2015, which brings lower-cost generic options to the market.           diabetes pays 2.3 times more for medical expenses than            venture capital investments into
But the debut of one of those new drugs, Basaglar, has been            someone who does not have diabetes.                               a growing coterie of biotech
pushed to December 2016, per the settlement in a patent                    Owned by 13 nonprofit Blue Cross and Blue Shield              companies at the cutting edge
infringement lawsuit.                                                  plans, Prime Therapeutics is pharmacy benefits manager for        of microbiome research, which
     Prime Therapeutics also found that the cost of all drugs for      customers including health plans, employers and government        some are actually calling the next
diabetes increased 168 percent during the same time period             programs including Medicare and Medicaid. —Burl Gilyard           big thing in biotech.
                                                                                                                                             These firms are promising to
                                                                                                                                         corral the nasty herds of gut bacteria into the fight against
                                                                                                                                         illness, starting with inflammatory bowel disease, obesity,

                         HCMC Reaches Across Town                                                                                        diabetes and colorectal cancer. One such company is San
                                                                                                                                         Francisco-based Second Genome, which first became a
                         With North Loop Clinic                                                                                          Mayo Clinic Ventures portfolio company in 2014 as part of
                                                                                                                                         a clinical research collaboration. In April, it was announced
                                                                                                                                         Mayo extended its venture stake in Second Genome as
n Hennepin County Medical Center plans to open a 7,660-square-foot clinic and pharmacy in the burgeoning North Loop                      part of a $42.6 million Series B financing round led by
neighborhood, where it will offer general care services to treat illnesses such as a common cold, along with access to                   Big Pharma giants Pfizer and Roche. The biotech firm
chiropractic care, acupuncture, nutrition and fitness programming.                                                                       previously raised a total of about $12 million from investors,
     HCMC’s move into the North Loop is not the hospital’s only downtown Minneapolis expansion in the works. Construction                including Advanced Technology Ventures, Morgenthaler
recently began on its new 377,000-square-foot ambulatory clinic and surgery center on the 700 block of South 8th Street. That            Ventures and Seraph Group.
$220 million care center is expected to open January 2018.                                                                                    Second Genome’s product is a platform that
     The North Loop clinic is expected to open later this year. It will be located on the first floor of the TractorWorks building,      “combines genomics technologies, computational biology,
a popular office space that has attracted a number of new tenants recently, including logistics company C.H. Robinson and                and phenotypic screening” to allow researchers to develop
marketing firm FLM+. —Sam Schaust                                                                                                        drugs targeting the secreted functional proteins, peptides
                                                                                                                                         and metabolites of various gut microbes that are suspected

Before Surgery, Print and Practice
                                                                                                                                         of playing “a causal role in human disease and wellness.”
                                                                                                                                              The Second Genome investment from Mayo, Pfizer,
                                                                                                                                         Roche and others is one of the biggest so far in the
                                                                                                                                         micobiome field, and is being seen as further evidence
n In the medical industry, 3D printing is no longer limited                      from CT and MRI scans was important in the              the sector is gaining traction – indeed, it is being hailed by
to patching hearts and reconstructing lost or broken teeth.                      planning processes in these complex surgeries.          some as “the next big thing” in biotech.
It’s revolutionizing the way surgeons tackle complicated                         The conjoined twins case involved five surgical              Mayo’s terms with Second Genome call for the
operations, and the practice of simulating surgeries with                        disciplines and hundreds of people observing the        company to identify areas where the microbiome has a
anatomically correct, patient-specific models is becoming                        surgery. Since that time, the technology has been       potential role in fighting disease, and then work with Mayo
a tactic widely adopted by medical professionals at Mayo               used by several other other surgical specialties.                 clinicians specializing in each of the designated disease
Clinic’s Rochester campus.                                                 TCB recently conducted a Q&A with Mayo experts on             areas. So far, Mayo’s Center for Individualized Medicine
     The use of this technology gained steam about eight               how this technology is creating a paradigm shift in surgical      says it is collaborating with Second Genome in areas such
years ago, when 3D models were made to prepare for the                 preparation, cost controls and patient awareness before           as irritable bowel disease, obesity/metabolic disease and
separation of twins conjoined at the liver and chest. Mayo             going under the scalpel. It’s available online at http://bit.     surgery in obese patients with and without Type 2 diabetes.
quickly realized the accurate representation of data taken             ly/1NWUGJO).                                                                                                     —Don Jacobson

20   TWIN CITIES BUSINESS tcbmag.com JUNE 2016
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