Showing posts with label Entrepreneurs. Show all posts
Showing posts with label Entrepreneurs. Show all posts

04 September 2012

Marilyn Katz : We Built It -- But Not Alone

...with a little help from our friends. Photo by Spencer Platt / Getty Images.

But not alone: 
Yes, GOP, ‘We built it’
The Republican Convention’s theme implies -- wrongly -- that entrepreneurs don’t rely on public help.
By Marilyn Katz / The Rag Blog / September 4, 2012

[As the Democrats kick off their convention in Charlotte, Marilyn Katz addresses a major theme of last week's Republican gathering in Tampa.]

Campaign rhetoric is to be expected, but let's not let it cloud our minds. The partnership of American business and government has been a good one, in which personal ingenuity is allowed full realization by public investment in education, roads, bridges, research, and technology.

Listening to the RNC rhetoric, I thought: I could be the poster child for the “We Built It” theme. Without inherited wealth, without financial banking, I founded a small business in 1984 on my wits alone that I have run continuously and successfully for the past 28 years.

The Republicans appear to think so, too, as they call me at least once a month asking for money and spouting some screed about Obama's secret Muslim plot.

However, like Chris Christie's, my momma always told me to face the truth, and the truth is that I -- like everyone else in this country -- am not the sole author of my accomplishments.

My business depends on my reading, writing, and thinking skills, all of which I gained in public schools -- schools fought for by our forefathers and mothers to ensure an informed electorate that could counter the sway and privilege of inherited wealth. It's true that my parents paid for my education at private colleges, but my brother was -- and I could have been -- educated at one of the many public state and land universities that, for most of the 20th century, ensured that America was one of the most educated nations in the world.

My initial and current employees were also educated not at my expense, but by the public. Most attended public schools throughout their educational lives, from kindergarten through college, and many relied on publicly financed loans to afford further higher education.

I set up shop relying on the publicly-financed and -constructed U.S. mail system and telephone grid to communicate with clients. And when my business was revolutionized by computers and then by the Internet, it was the government investment in military and intelligence research to which I owed my gratitude. My business benefits from the public roads and bridges on which I drive. I rely on the publicly financed Federal Aviation Administration to ensure that the planes on which I fly, fly safely. I have never taken any of this for granted.

When I was in college, it was often implied that inhabitants of the “third world” (i.e. Latin America, the Middle East, Africa) lacked the drive of Europeans or Americans. I've lived in Latin America and visited many other regions of the Global South, and in none did I witness innovation and social mobility being stymied by a lack of creativity or drive; rather economies and people were impeded by the lack of infrastructure and education.

It is the public infrastructure that supports entrepreneurship, that supports social mobility, that drew our forefathers here from foreign lands (and yes, that is true of all of us except Native Americans), and that continues to draw the most entrepreneurial folks -- documented or undocumented -- from across the world today.

Ann and Mitt Romney's grandparents, too, started businesses and hired workers they didn't have to educate and used roads they didn't have to build. Chris Christie's mom too rode buses financed by the public to ensure worker transportation to and from businesses, that themselves benefited from the public transit and the roads.

Campaign rhetoric is to be expected, but let's not let it cloud our minds. The partnership of American business and government has been a good one, in which personal ingenuity is allowed full realization by public investment in education, roads, bridges, research, and technology. Our tax dollars for education, for health care, for infrastructure, are not charity or extortion; they are the foundation of our collective wealth.

Yes, “We Built It.” But the “we” in this case is not just we entrepreneurs, but the "We" who together constitute these United States.

[An anti-war and civil rights organizer during the Vietnam War, Marilyn Katz helped organize security during the August 1968 protests at the Democratic National Convention. Katz has founded and led groups like the Chicago Women’s Union, Reproductive Rights National Network, and Chicago Women Organized for Reproductive Choice in the 1960s and 1970s, and Chicagoans Against War in Iraq in 2002. The founder and president of Chicago-based MK Communications, Katz can be contacted at mkatz@mkcpr.com. This article was also published at In These Times. Read more articles by Marilyn Katz on The Rag Blog.]

The Rag Blog

[+/-] Read More...

06 July 2009

Banking : Independence and the Texas Patels

A rupee saved is a rupee earned.
In contrast to the frozen giants of global finance who drag us every day down closer to the next bottom... the Texas Patels are moving their Dallas banking enterprise into competition with billion-dollar Chicago houses, actually making finance possible for one of the toughest sectors of the 2009 depression.
By Greg Moses / The Rag Blog / July 6, 2009

Over the Fourth of July weekend 2009, Chandrakant "Chan" Patel became a Dallas banker. But if you've never been to a Dallas men's club meeting it may be difficult for you to grasp what that means.

Born in India in 1945, Patel -- according to his official bio -- earned a Bachelor of Science Degree in Engineering from Bombay University, then emigrated to the USA where he became a citizen in 1965. He earned masters degrees at Stanford and Johns Hopkins before embarking on a business career in 1976 as a hotel owner and operator.

By 1987 Patel's ambitions had become cramped by Dallas-area bankers who seemed to understand neither the hotel business nor the Indian community, so he put together a bank with about $2 million of family money.

From the time Patel opened the State Bank of Texas (SBT) in late 1987, he has steadily grown the enterprise into three suburban locations in Irving, Garland, and Richardson.

Then, on July 2, with the acquisition of the short-lived Millennium Bank of Texas -- which was closed by the FDIC and sold to Patel's bank -- the Indian-born entrepreneur finally put his banking footprint down inside the Dallas city limits.

Ironically enough, reports the Dallas Business Journal's Chad Eric Watt, Patel will soon be losing his Irving bank headquarters. It will be razed by the Texas Department of Transportation in order to widen Airport Freeway.

With the closing of Georgia's Haven Trust Bank in late 2008, Patel's SBT became the third largest "Indian Bank" in the USA, behind two billion-dollar operations in Chicago: Mutual Bank and the legendary National Republic (see an excellent overview of the players by Lavina Melwani at Little India dot com.)

According to FDIC figures, SBT reported first quarter average assets of $589 million. The Millennium acquisition will add $118 million in assets, says the FDIC, bringing the value of Patel's bank to over $700 million.

Patel's Fourth of July gambit into Dallas banking says something doubly remarkable about his business skills and the role of immigrant entrepreneurs in the recovering economy of the USA.

On the matter of Patel's business skills, the prudent observer will want to wait about two more years to see how he fares a widely predicted cyclone in commercial real estate and the hotel sector.

Just a day before the FDIC announced the transfer of Millennium's assets to Patel, the entire hotel sector was downgraded from "Neutral" to "Negative" by Barclay Capital analyst Felicia Hendrix.

"While the industry declines should be less negative next year, we do not expect to see positive growth until at least 2011," said Hendrix in a report filed by the AP.

A good example of Patel's challenge can be found in a February dispatch out of Florida in which Patel's bank was reported to be filing a foreclosure lawsuit against a $13 million dollar property east of the Tampa Convention Center.

The lawsuit was filed against Indian entrepreneurs who -- like so many others those days -- thought they were picking up property at bargain rates in 2006, before the real estate bubble burst.

The report from the Tampa Bay Business Journal implies that Patel has worked out a modified agreement with the Tampa entrepreneurs.

Another report from Chad Eric Watt of the Dallas Business Journal indicates that Patel is still scouring the hotel business for promising leads. In a June 26 story, Watt reports that the Texas Patels are being sued for unscrupulous bidding practices by the Georgia Patels -- the same Georgia Patels who lost the Haven Trust Bank last year.

According to federal court documents, the Texas Patels outbid the Georgia Patels by $20,000 for a note on a property that the Georgia Patels owned and operated. But this was after the Texas Patels said they could not finance the lower bid that the Georgia Patels were planning to make. Federal Judge Robert L. Vining, Jr. has given the Texas Patels until July 22 to answer the charges.

It seems that the Texas Patels -- who by the way are not without their J.R. -- have never been too proud to earn money the old fashioned way. As Michael Davis of the Dallas Progressive Blog is fond of remembering, the Texas Patels have admitted to the Dallas Morning News that they sometimes charge hotel fees by the hour.

As I recall, it was a license plate study of Dallas motels back in the 1950's that first revealed the hot data that most Dallas motel customers were in fact from the Dallas area. In attempting to verify my memory I checked a prestigious academic database for key words "sex, motel, Dallas" and only came up with one hi t-- a plot summary for the Mike Judge classic, Beavis and Butthead Do America.

Which brings us back to the Fourth of July in all of its red, white, and blueness. Somehow a code is working itself out in the symbolic collision of Patel, Millennium, State Bank of Texas, and the Fourth of July. You see, it's not Cowboys leading the charge for the New American Dream anymore, it's the Indians.

In contrast to the frozen giants of global finance who drag us every day down closer to the next bottom rather than up to the next top, the Texas Patels are moving their Dallas banking enterprise into competition with billion-dollar Chicago houses, actually making finance possible for one of the toughest sectors of the 2009 depression.

By the light of the Patel example we have a right to ask: how many more immigrant entrepreneurs are out there who only need a respectful certificate of citizenship to begin hauling this country up again by its own financial bootstraps? The spirit of independence, remember?

[Greg Moses is editor of the Texas Worker and the Texas Civil Rights Review, where this article also appears. Greg is a regular contributor to The Rag Blog. He can be reached at gmosesx@gmail.com .]

The Rag Blog

[+/-] Read More...

07 December 2008

Russell Weiner : This Rockstar Hits Sour Notes


'He is a "chip off the old block" and donates significantly (using his Rockstar profits) to many many many far right causes.'
By Thomas Cleaver / The Rag Blog / December 7, 2008

It's always amazing what you can discover, reading the celebrity real estate pages in the Los Angeles Times.

Like the fact that Russell Weiner, the creator of "Rockstar" energy drink, is the son of Michael Weiner - better known as right wing hate radio propagandist "Michael Savage." Russell, proving that the seed doesnt fall far from the bush, tried to run as a right-wing Republican for a California Assembly seat (financed with Rockstar) eight years ago and lost. But he is a "chip off the old block" and donates significantly (using his Rockstar profits) to many many many far right causes.

Mmmmm.... shade-grown/fair-trade Central American coffee, grown as a product of the project by the Nature Conservancy to help stop the deforestation of the Cloud Forest by giving the people who live in the forest an economic reason to believe in conservation just tastes better and better.

Please pass this far and wide through the left - kicking fascists in their billfolds is the best place (other than planting a .45 caliber hole in the "third eye," which is illegal, not to mention a felony, and you never heard me advocate such a thing).

Mr. Weiner already had to drop the overpriced sale price of his home overlooking Sunset Boulevard 50% in order to sell it (taking a $2 million hit on what he paid two years ago). Perhaps we can help his balance sheet in other ways??

The Rag Blog

[+/-] Read More...

Only a few posts now show on a page, due to Blogger pagination changes beyond our control.

Please click on 'Older Posts' to continue reading The Rag Blog.