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www.HartfordBusiness.com October 19, 2015 • Hartford Business Journal 45 BIZ BOOKS Tips for developing a million-dollar business "M illion Dollar Women: The Essential Guide for Female Entrepreneurs Who Want to Go Big" by Julia Pimsleur (Simon & Schuster, $28). According to National Women's Busi- ness Council, women-owned businesses employ 8.9 million and, despite the difficult U.S. economy, have added almost 2 million jobs since 2008. Pimsleur bundles her business experience (Little Pim — a foreign language learn- ing system for children) with that of other women and men who have grown their ideas into million-dol- lar businesses. Here's some advice from the women: Pimsleur: "People like to board a train that's leaving the station." Having an idea or con- cept isn't a business. Neither is a business plan that speaks to only what you plan to do. People want to see something tangible before they'll give you their commitment. They see that commitment when you're doing something, not waiting for others to come onboard. Pimsleur "left the station" with a Little Pim instructional video pilot. She showed it to people in her network. A connection literally paid off. Her mother's yoga buddy became an investor and, with her experience in early education, helped Pimsleur establish educational- community connections. Chantel Waterbury runs Chloe + Isabel, a $100+ million business, which sells jewelry online through a network of women micro-entrepreneurs. She thought outside the box by combining her knowl- edge of the jewelry business (acquired while working for Macy's and Target) with a marketing channel similar to that of Avon Products. Her advice for dealing with potential investors: Find your voice. Investors want different things and make suggestions; you can't please them all and remain true to your vision of the company. You have to be willing to push back and explain how their requests don't synch with your plan. You'll lose some potential investors, but those that do come onboard will understand your vision. Brittany Hodak's and Kim Kaupe's com- pany, ZinePak, makes custom-interactive products that appeal to music fans. Their sales at Walmart alone exceed $30 million. Their thoughts on work/life balance: Starting a business means that scale will tilt toward work, not life. You have to explain the importance of what you're doing and the time involved. When people know why you're "absent," they understand. That said, entrepreneurship doesn't mean you ignore life priorities. Stephen Covey of "7 Habits" fame told me that when he was on the road he made time to talk with his wife and nine children every day, and he adjusted his work schedule around his children's school events schedules. Pam Wolf, CEO of New York Kids Club, and Carrie Kerpen, CEO of Likeable Media, weigh in productivity: As a business grows, there are too many daily decisions for one person to make. As the owner, you must realize that you're not the smartest person in the room. Learn how to trust the people you hired to do their jobs. Delegation involves letting them use their judgement and skills. This engages their ownership of their jobs, and builds the organization's expertise much faster than command-and-control. Also, practice "Well done is better than perfect." Striving for perfection when work-world circumstances change rapidly wastes time — time that could be spent on other projects. After two decades on Wall Street, Debo- rah Jackson, founder of Plum Alley, a crowd- sourcing platform for women's projects and companies, sees crowdfunding as a first step to really understanding the business you're in. Why? A campaign tests your mar- keting plan. It has to convince prospects to invest (pre-order) products. If it doesn't convince them, it's time to reexamine your target market. A successful campaign will also impress venture capitalists. n Jim Pawlak is a nationally syndicated book reviewer. Jim Pawlak EXPERTS CORNER Construction brings excitement, risk to Hartford By Peter Strniste, Jr. S caffolding, cranes and inevitable con- struction project delays are once again in Hartford's future. There is a buzz in the air surrounding several large construc- tion projects presently in the design or con- struction phase in and around Hartford. Construction on the Yard Goats' ballpark is moving full speed ahead on the border of Hartford's North End as part of the new $350 million Down- town North mixed- use development plan. The University of Con- necticut is also in the design development phase of UConn Hart- ford, where classes are expected to begin as early as fall 2017. A few other projects include Trinity College's purchase of the former Travel- ers Education Center at Constitution Plaza, the fairly recent completion of the XL Center's $35 million facelift, the $25 million Intermodal Tri- angle Project connecting Bushnell Park to pub- lic transportation, potential renovations to the Goodwin Square office tower and, of course, the much anticipated I-84 viaduct project. While growth and construction is exciting and stimulates our local economy, it is important for those in the industry, including public and private owners, developers and contractors, to be mind- ful of the inherent costs associated with project delays. Public and private owners rely upon con- struction professionals to estimate the duration of a project so that associated hard and soft costs can be quantified and properly budgeted. Many construction projects today con- sist of renovations to an existing building or involve multiple phases or projects managed separately as part of a single owner's construc- tion program. It is very difficult for designers on such projects to account for and incorpo- rate all existing conditions into their draw- ings and specifications and for contractors to anticipate all future coordination issues. It is also challenging at the onset to predict weather, labor conditions, the availability of raw materials and other factors that might effect a project's duration. These unknowns often result in unanticipated project delays, acceleration or other impacts that affect all the parties in the construction pyramid. However, there are many different ways to allocate and transfer the risks associated with project delays within a construction con- tract. Two of the most common provisions for doing so are "No Damages for Delay" clauses and "Liquidated Damages" provisions. No Damages for Delay clauses typically protect an owner from increased costs result- ing from construction delays by restricting a contractor's ability to recover for overhead, general conditions and other extended-dura- tion costs attributable to delays for which the contractor is not responsible. This provision limits a contractor's remedy for delay to an extension of the completion date and prohibits the recovery of money damages. These clauses are enforceable in most states unless the contractor can establish that the party seeking to invoke the clause "actively interfered" with the contractor's ability to perform its work. There are vol- umes of treatises and case law throughout the United States attempting to define active interference, but it is generally considered a willful act taken in bad faith to interfere with a contractor's ability to comply with the terms of the construction contract. In today's economy, No Damages for Delay clauses are often found in construction con- tracts alongside Liquidated Damages provi- sions that protect and compensate the owner for project delays caused by the contractor. A Liquidated Damages clause sets, or liqui- dates, the amount of damages, usually on a daily basis, that the owner will recover for project delays attributable to the contractor. Generally, damages can be liquidated if the actual injury to the owner is uncertain or difficult to ascertain and the amount set is reasonable. Such clauses will not be enforced if the clause operates as a penalty. In other words, if no ratio- nale exists between the owner's actual damages and the amounts recoverable under the clause, a court will likely refuse to enforce the clause. Another clause that affects the ability of both a contractor and owner to recover dam- ages attributable to construction delays is a "Waiver of Consequential Damages" provision. Many form agreements, including some of those prepared by the American Institute of Archi- tects, contain a "mutual waiver" of consequen- tial damages so that neither party can recover these categories of damages from the other. It is crucial for all project participants to have an open and informed discussion about unanticipated delays at the commencement of every project and to allocate the risks and costs within their written contracts. n Peter E. Strniste Jr., is a partner with the law firm of Robinson+Cole. He can be reached at pstrniste@rc.com. Peter Strniste, Jr. ▶ ▶ Having an idea or concept isn't a business. Neither is a business plan that speaks to only what you plan to do. People want to see something tangible before they'll give you their commitment. ▶ ▶ While growth and construction is exciting and stimulates our local economy, it is important for those in the industry … to be mindful of the inherent costs associated with project delays.