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Who Helps to Fix Them? 20160411-NEWS--1-NAT-CCI-CL_-- 4/8/2016 2:04 PM Page 1 VOL. 37, NO. 15 APRIL 11 - 17, 2016 FINANCE: Hurting the poor? Business of Life Critics take issue with Huntington’s deal P. 6 The Fixers Artists explore Cleveland’s FOCUS: Middle Market issues ahead of the RNC Paid sick leave is a growing concern P. 22 P. 17 The List SOURCE LUNCH CLEVELAND BUSINESS The largest commercial contractors Santina Protopapa on arts and education P. 27 P. 23 Who helps to fix Labor market is on the mend Fed chief Mester says challenges remain them? BY JEREMY NOBILE across the Fourth Federal Reserve District — which comprises all of [email protected] Ohio, western Pennsylvania and @JeremyNobile eastern Kentucky — following a Increasing stress being speech in Cleveland last Wednesday, As the top Federal Reserve official April 6. placed on caregivers is in Cleveland explained last week, it The good news is Ohio’s unem- was a long time coming, but Ohio’s ployment is now at 4.9%. labor markets have finally returned That’s a sharp decline from the big cause for concern to their pre-recession peak. 11% peak seen in December 2009 Although that bodes well for the during the height of the Great Reces- BY LYDIA COUTRE regional economy and generally in- sion. dicates a positive outlook for compa- Overall, the unemployment rate is [email protected] nies that are seemingly well staffed, one good indicator that business @LydiaCoutre there are still longer-run challenges here is thriving again. facing the business sector, said “But that doesn’t mean everyone When MetroHealth trauma surgeon Dr. Loretta Mester, president and CEO can get a job who wants a job,” Amy McDonald has to tell parents their child of the Federal Reserve Bank of Cleve- Mester said. has died, she wants nothing more than to sit land. Yet, with unemployment hovering with them, mourn with them and support Mester spoke with Crain’s about around Mester’s long-run level of them. labor market conditions in Ohio and SEE MESTER, PAGE 25 But then the next trauma victim comes in, and she has to help. “If I’m at work, and I have a pa- tient die, I can’t sit there and SparkBase closing grieve,” said McDonald, Metro- Health’s director of trauma in the intensive care unit. “I’ve got to move onto the next patient. What else can I do? You learn to start after long struggle compartmentalizing.” A culture of needing to be flawless, based company. invulnerable and strong has left those Lack of cash stifles SparkBase would’ve needed to emotionally draining cases largely undis- raise more capital to restructure itself, cussed, tucked away in the corners of care- effort to fix loyalty but it had a hard time finding willing givers’ minds alongside the daily stresses of investors with cash on hand, Haynes long hours, paperwork, self-criticism and card company said, noting that Glengary and many mounting requirements. The list goes on. other venture capital firms in Ohio The joy and passion that brought care- are out of cash. SparkBase’s complex givers to the health profession can be cast in BY CHUCK SODER ownership structure made that task the shadow of these stresses. more difficult, he added. [email protected] For decades, there wasn’t a space to dis- As for the company’s existing in- @ChuckSoder cuss or deal with these stresses, but in the vestors, they “didn’t want to write more checks,” he said. last several years, the issue is getting what SparkBase was in bad shape when Those financial issues caused the many say is much-needed attention. More Stephen Haynes took over as CEO two clients to leave, he said. When surveys and studies are looking into the is- last May. they did, Haynes decided that it sue, with many showing doctor burnout At the time, he thought the com- would take “too much time, too topping 50%. pany still had a fighting chance to much effort and too much money” Dr. Adrienne Boissy, chief patient experi- turn itself around by moving beyond to turn the company around. ence officer at the Cleveland Clinic, said its stagnant core business — pro- “This was a decision I was brought burnout comes in three main forms: emo- cessing gift card and loyalty card in to make. … I decided it wasn’t tional exhaustion, depersonalization and purchases. But he changed his mind worth it,” he said. SEE CAREGIVERS, PAGE 26 ISTOCK last month, after SparkBase lost two Over the past decade, SparkBase key clients. had raised nearly $9 million from a Entire contents © 2016 by Crain Communications Inc. On March 22, the company ceased long list of investors, including North almost all of its operations, laying off Coast Angel Fund of Mayfield 14 of its 18 employees. Those who Heights and more than 40 individu- remain aim to find a buyer interest- als. It also received $1 million from ed in acquiring the company’s soft- the Innovation Ohio Loan Fund as ware. They’re also supporting a few well as two Cuyahoga County loans remaining clients. totaling $790,000. In short, SparkBase “just ran out If the company can find a buyer of money,” said Haynes, who also for its software, any money it re- manages a local venture capital firm ceives would go toward paying back called Glengary, which owned a those government loans. The state is stake in the Midtown Cleveland- SEE SPARKBASE, PAGE 27 20160411-NEWS--2-NAT-CCI-CL_-- 4/8/2016 10:55 AM Page 1 20160411-NEWS--3-NAT-CCI-CL_-- 4/8/2016 2:03 PM Page 1 Classic Hyundai 49,%2",6$-%.4/2s1-866-212-2635 NEW 2016 HYUNDAI Per mo. $2,995 DUE $ 36 at lease signing (Cash or Trade!) Month *Lease Includes (10,000 miles/year - 20¢/mi. over) Lease** HMF leases plus taxes, title, license & $250 doc. fee. U *"7 , 7 "7-É" UÊ-/ / Ê, " “Valued98Owner Coupon” ", 0% APR For 72 ÃIII UÊ 9 --Ê /,9 -OR-“Competitive Owner Coupon” Save an additional $500! PLUS...$1,750 UÊ­£nÓ® Please call for complete details. NEW 2016 HYUNDAI $2,995 DUE Per mo. at lease signing (Cash or Trade!) TA *Lease Includes (10,000 miles/year - 20¢/mi. over) 36 HMF leases plus taxes, title, license & $250 doc. fee. $ Month UÊÇ»Ê/"1 - , Lease** UÊ"9- 99 UÊ 1*Ê ,Ê “Valued Owner Coupon” ", 0% APR For 60 ÃIII UÊ 1 /""/ Save an additional $500! PLUS...$500 UÊ­£ÓÎx® Please call for complete details. NEW 2016 HYUNDAI $2,995 DUE Per mo. at lease signing (Cash or Trade!) *Lease Includes (10,000 miles/year - 20¢/mi. over) 24 HMF leases plus taxes, title, license & $250 doc. fee. “ALL WHEEL DRIVE” $ Month UÊ/"1 - , Lease** UÊ"9- 129 UÊ 1*Ê ,Ê “Valued Owner Coupon” UÊ 1 /""/ Save an additional $500! UÊ­£xÎή Please call for complete details. NEW 2016 HYUNDAI Per mo. $2,995 DUE $ 36 at lease signing (Cash or Trade!) “ALL WHEEL D Month *Lease Includes (10,000 miles/year - 20¢/mi. over) UÊ 6/" Lease** HMF leases plus taxes, title, license & $250 doc. fee. UÊ / Ê-/ , 279“Valued Owner Coupon” WHEEL -OR-“Competitive Owner Coupon” ", APR For ÃIII UÊ / Ê- /- Save an additional $1,000! 0% 60 UÊ(K19378) Please call for complete details. *Plus tax, title, license fees & Doc. fee. Prices and leases include all Hyundai rebates. Customer may be responsible for $400 disposition fee at lease end. **Special fi nancing pending credit approval w/HMF. See www.Driveclassichyundai.com or your Hyundai dealer for full details. ***Competitive Owner Coupon NOT combinable with Valued Owner Coupon. In-Stock only. Most competitive models. Excluding Kia. ***Military and/or College grad incentive requires proof. Sale Ends 4/18/16. www.DriveClassicHyundai.com 306 2 2 2 615 306 Drive .com 20160411-NEWS--4-NAT-CCI-CL_-- 4/8/2016 10:56 AM Page 1 PAGE 4 z APRIL 11 - 17, 2016 z CRAIN’S CLEVELAND BUSINESS FOR LEASE CBS Radio dials up INDUSTRIAL BUILDING WITH GREAT HIGHWAY ACCESS 19801 HOLLAND ROAD • BROOK PARK, OHIO doubt for stations BY KEVIN KLEPS each market individually,” Gorman WKRK, WNCX, WDOK and WQAL said. “What is the best deal in each reached nearly one million listeners • 95,013 SF warehouse/distribution [email protected] market, and who’s buying? It’s al- per month in the quarter, the ratings @KevinKleps most like I have a storage room full showed. Numbers such as that are facility on a 4.79 acre parcel of fax machines, but who’s going to why Harrison, the Talkers editor and 6)RIRIÀFHVSDFH Employees at the four CBS Radio buy them?” publisher, said radio isn’t sidling up • 25’ ceiling height stations in Cleveland received an to its death bed. email on March 15 telling them the “It still has life in it,” Harrison said • 12 docks; one (1) drive-in door Visit parent company was pursuing IPO ahead? of traditional radio. “It still has an TerryCoyne.com • Rail access (CSX) into building “strategic alternatives for its radio Another significant reason a sale audience of people who have grown Or call Terry at division.” 216.453.3001 of the radio stations might be less up with it and like it. It still generates • Heavy power/distribution The announcement was de- likely than it first appeared last ratings and revenue.” (1,600A/220-480V/3P) scribed as the “end of an era” by the month is by spinning off its radio But, he added, debt is a huge • Great location near I-480 and I-71 Los Angeles Times, and speculation properties, as CBS did with its Out- problem for the owners of far too was all over the map regarding the door division in 2014, the company many stations.
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