News and Events
Execs weigh in on impact of financial crisis
12/19/2008 -
Nashville Business Journal - by Cynthia Yeldell Nashville Business Journal
As a business consultant, Ira Weiss says it’s a toss up whether his company will see a positive or negative impact from the recent turmoil in the financial markets.
Weiss Associates advise businesses on how they can become more bankable, and how to find funding. As credit sources have dried up, it’s more difficult for companies to find public and private financing.
That could benefit Weiss if more businesses look to his company for help.
On the other hand, he says, with less capital, businesses have less money to spend to seek his advice.
“It’s a Catch-22,” he says.
Weiss says the financial situation for small businesses is worse this week than last week, when the first major financial institutions began to collapse.
“Banks don’t have any money to lend,” Weiss says.
He says even if the government bails out Wall Street, it will take time for money to trickle back into the economy.
Weiss says some businesses have enough capital on hand to get by until they can borrow more money, but others “can’t make it to the end of the year.”
Feeling the pinch
When businesses are looking to hire high-level accounting and information technology professionals, they turn to placement agencies like AccountSource for help.
But in a down economy it’s the recruiters who feel the pinch.
More people are in the job market, but there are fewer jobs to go around, says AccountSource owner Connie Spivey. And recent trouble in the banking industry could mean even fewer financial positions being filled, she says.
Spivey estimates a 15 percent to 20 percent increase in job seekers this year. But like most recruiters, her Brentwood-based firm is paid by companies when she places a candidate in a position.
“Companies are cutting back on hiring, and it effects me,” says Spivey, who has worked with large and small employers for 10 years.
That means she has to work harder on client development.
“It’s a more competitive market for recruiters,” she says. “There are fewer job offers.”
Keeping them calm
When the news broke that some of the nation’s largest financial institutions were near collapse, Kris Kinslow was busy.
Like financial planners around the country, Kinslow’s phone was ringing with two types of callers — those who were worried and those looking for opportunities.
He spent days reassuring clients that their financial plans were designed with the tough times in mind.
“Our clients are concerned,” Kinslow says. “We are certainly having to do a lot of hand-holding.”
He also heard from people who wanted — on a whim — to buy stock in the ailing companies like Freddie Mac because they saw it as a chance to buy low and get a great return.
“I tried to talk them out of it,” Kinslow says. “This is not the time to make a quick buck.”
Kinslow says some companies that have seen their stock price plunge in recent weeks aren’t likely to recover.
“They are a lot closer to zero than anything else,” he says.
Clients with diversified investment portfolios are prepared for ups and downs in the market, even though there could be some losses, he says. He advises clients who want to use the slow market as an opportunity to invest to consider increasing contributions to their retirement plans.
Creating an opportunity
While it’s getting harder for small businesses to get cash, John Winchester offers an answer.
The founder of ComCo-OneWorld Inc. provides financing for equipment leasing to businesses such as doctors’ offices, restaurants and retirement homes. He says it’s tougher for businesses to get bank loans for equipment, and when they do, they often only get about 70 percent of the value and have to fund the rest on their own.
ComCo is part of a co-op that has multiple money sources. Its 25 members handle $370 million in financing each year.
Winchester’s business is growing with customers who can’t get financing as well as those who don’t want to tie up their bank credit lines.
“We have ready access to money,” he says. “It’s having a somewhat positive impact. Instead of going to the bank to get the money, they are leaning toward people like us.”
Still, Winchester expects his margins to be squeezed this year. He says he could be down as much as 20 percent.
But he is hoping to overcome that shortfall by adding more employees to his sales department and going after new business in the medical and nursing home industries. He’s also looking at opportunities in financing leasable items for cities such as garbage trucks and even artificial turf for baseball fields.
“We are able to get some things approved that banks can’t do,” Winchester says. “We are looking for referrals from banks.”
cyeldell@bizjournals.com | 615-846-4250
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Connie V. Spivey receives Certified Personnel Consultant designation
09/15/2008 -
(Brentwood TN-2007) Connie Spivey, CPA, President/Owner of AccountSource recruiting company in Brentwood, has earned the Certified Personnel Consultant (CPC) designation from the National Association of Personnel Services (NAPS). The CPC is a national designation recognized globally by the recruitment industry as signifying someone who is knowledgeable on employment laws and regulations, as well as the highest standard of business practices set forth by the NAPS.
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When searching for an executive,
12/09/2005 -
Our recent article in the September 16, 2005 issue of the Nashville Business Journal addresses the question many companies may ask themselves: "Why should I consider utilizing an executive search recruiter to fill my job openings?" There are numerous reasons companies utililize recruiters for their key positions. Some of these are: candidates don't always read ads, recruiters have numerous sourcing venues, there is no HR department or lack of time, etc. For more reasons, read the full text at When searching for an executive, don't fear 'headhunters'
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