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Cleveland District Office
1350 Euclid Avenue Suite 211
Cleveland, OH 44115
United States
Phone: 216-522-4180
Fax: 216-522-2038
TTY/TTD: 800-750-0750

Family-Owned Food Market in Cleveland Announces Up to 50 New Jobs Thanks to Expansion

Costas Mavromichalis (left) in his expanded store and Senator Sherrod Brown.CLEVELAND, OH—A small business owner in Cleveland has used three loans from the U.S. Small Business Administration (SBA) to expand a successful food market business and create 31 jobs, with the expectation of creating up to 50 more when his new store opens later this year near University Circle. U.S. Sen. Sherrod Brown (D-OH) and U.S. Small Business Administrator Karen Mills visited Constantino’s Market on January 27th to highlight the success of SBA loans and recent efforts to help small businesses grow.“Constantino’s Market is the classic American success story. Thanks to three loans from the Small Business Administration, Costas Mavromichalis has been able to turn his father’s convenience store business into the successful, unique grocery store itis today,” Brown said. “And in just a few months, he will open a new store in the growing University Circle neighborhood, adding as many as 50 additional jobs in the process. This is a perfect example of the federal government working with private industry to help small businesses grow, expand their sales, and add new jobs.” “In Tuesday's State of the Union, President Obama laid out a blueprint for an economy built to last—built on small businesses and the strength of American workers,” Mills said. “Constantino’s Market is an example of just what the President was describing—a business that is growing stronger every day with a tireless work ethic, a commitment to the community and a little help from the Obama administration. The SBA is working hard every day to make sure Constantino’s Market and all of Ohio’s small businesses have the tools they need to grow and create jobs.”

 

“I’m extremely grateful for the loan programs through the SBA,” said Costas Mavromichalis, owner of Constantino’s Market.“These critical resources have allowed me to expand my business and achieve the goals that I’ve worked so hard to accomplish.” The Constantino’s Market Story The Mavromichalis family emigrated from Greece to the United States in 1955 when Costas,the present-day owner of Constantino’s Market, was 12 years old. Costas became involved in the grocery business in 1976 when he opened stores on the west side of Cleveland. In 2003, Costas obtained an SBA loan to open a showplace store in downtown Cleveland, on West 9th Street. He later obtained a second SBA loan in February 2010, through the Recovery Act, to expand the store. That store employs 31 workers and has enjoyed a 19 percent increase in sales thanks to the expansion. Seeing the success of the store on West 9th Street, the Mavromichalis family decided to open another market in the University Circle neighborhood, and recently received a third SBA loan to open their new store in March 2012. The new store, which will also be family-run, plans to initially employ 35 people and will increase to 50 within the next year or two. All three SBA loans have been provided to Constantino’s Market by Cleveland-based KeyBank. SBA and Small Businesses In Fiscal Year 2011, the SBA approved nearly $760 million in loans for Ohio small businesses, for a total of 3,228 loans. From Fiscal Years 2009 through 2011, the Northern District of the SBA saw more than a 65 percent increase in the volume of SBA loans to area small businesses.

Leveling the Playing Field

The month of March has been designated Women’s History Month in the United States, when the nation celebrates the great achievements of women leaders, educators and entrepreneurs.   The number of women-owned small businesses continues to grow, and many have done so with the assistance of the U.S. Small Business Administration.  

Entrepreneurs like Dawn Ochman, President of Dawn Incorporated of Warren, a trucking/general contracting company, are making tremendous contributions to the Ohio economy.  In 2009, Dawn’s company was certified in the SBA’s 8(a) Business Development Program as an economically disadvantaged women-owned small business.  The 8(a) program assists socially and economically disadvantaged businesses better compete in the American economy and access the federal procurement market. Dawn Ochman of Dawn, Inc.

Thanks in part to SBA’s assistance opening up federal contracting opportunities, Dawn has seen her 20-year old company’s revenues grow by 102%.

Prior to obtaining its 8(a) certification, Dawn’s firm had no success landing work with the federal government.  The company was surviving with commercial work, but it had limited prospects for growth.  She saw the 8(a) program as an opportunity for growth.   “There was not an abundance of work available, so, to survive, we knew we needed to explore other markets,” said Dawn. 

The 8(a) program has helped Dawn find some success in the federal arena, winning government contracts and helping the company has also added employees, and its professional staff now numbers 13 full time employees and 5 part-time personnel.

The 8(a) program has also provided Dawn with learning and mentoring opportunities that have helped her to better compete in the business world.  The program enhances the capabilities of its participants and improves their ability to successfully compete for federal government contracts, including subcontracting on current contracts, teaming on new opportunities, and joint venture proposal development.  8(a) also offers participants periodic, no-cost training opportunities.  In addition, in 2011 Dawn participated in the Youngstown Emerging Leaders Initiative. The SBA Emerging Leaders (e200) Initiative is a federal training initiative that specifically focuses on executives of businesses poised for growth in historically challenged communities. The initiative provides these executives with the organizational framework, resource network, and motivation required to build sustainable businesses and promote the economic development within urban communities.
 
SBA continues to work to increase contract opportunities for women entrepreneurs. The agency recently announced a new Women-Owned Small Business Federal Contract Program which allows contracting officers, for the first time, to set aside specific contracting opportunities for certified women-owned firms and will help federal agencies achieve the existing statutory goal that 5% of federal contracting dollars are awarded to these firms.  This new Program also identifies over 83 industries in which women-owned businesses will benefit from such opportunities.  For additional information, visit www.sba.gov/wosb.

As a woman-business owner in a “non-traditional” field, Dawn Ochman knows all too well about the difficulties women-owned small businesses have endured in competing for federal procurement contracts in certain industries.  SBA is helping her overcome some of these obstacles.

A Cup of Love

Charlie Staples adds a “full cup of love in every batch” of his secret, original barbeque sauce, making it truly something special.  Charlie has owned and operated the Charlie Staples Bar-B-Q Restaurant in downtown Youngstown, Ohio since 1974.  With the help of two SBA guaranteed loans through Huntington Bank in Youngstown (formally Sky Bank) and the local Youngstown Initiative program, the business was able to first upgrade and then move across the street to a new 15,000 square foot building near Youngstown State University.

The barbeque restaurant has a New Orleans style Southern theme that features barbeque ribs, chicken, and shrimp on its menu.  25% of the restaurant customers are dine-in, with the remaining being carry-out.  The dine-in crowd is growing.  Charcoal and cherry wood are used in the grill to further provide a unique, original taste.  “My special signature barbeque sauce recipe is actually 70 years old,” stated Charlie.  “I purchased it 35 years ago, and the barbeque sauce has won many awards over the years.”

Mr. Staples attributes much of the restaurant’s success to not only the great taste of the food, but to the excellent service that it provides.  Charlie believes that customers coming into his restaurant are like guests coming into his home, so he tries to impress them.    It is not uncommon to see both Charlie himself or his wife, Margie, talking with customers, taking the orders, and serving the food at the restaurant.

As Charlie says, “I love people, and I love the business.”  He wants the food and dining at the restaurant to be an enjoyable, memorable, and cultural experience.

With the “cup of love” in the barbeque sauce, there is love all around, making Charlie and the business a success!

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