Business veterans

By Lauren Fritsky
Times Staff Writer

Alan Kalish started his Rhawnhurst financial services business the same year he received an honorable discharge from the military.
In the 34 intervening years, the Northeast High School graduate and Vietnam veteran has developed a successful company that specializes in employee benefits and individual life and health insurance.
"I’m in business for myself," he said.
According to the Greater Philadelphia Chamber of Commerce, Kalish is one of 217,560 veterans who operate a business in the area. Combined, these companies bring in $8.2 billion worth of aggregated income.
But many factors can strain or prematurely cripple a business before it’s off the ground. Some in the state legislature think veterans in particular, who’ve already tucked a career in military service under their belts, deserve some help not just in keeping their endeavors afloat, but in helping them grow.
On June 21, the state Senate unanimously passed Bill 87, which would give more visibility and assistance to veteran-owned businesses.
Experiencing its second go-round in the state legislature — it was first introduced as SB 1353 in October 2006 but died at the end of the session — SB 87 now heads to the House Veterans Affairs and Emergency Preparedness Committee for consideration.
The bill includes provisions to create a list of veteran-owned businesses; provide staff to businesses; develop special training programs; and assure that participation by veteran-owned businesses is factored into evaluations of proposals for supplies, services and construction.
The legislation also would establish business centers specifically catered to veterans and possibly link unemployed veterans to veteran-owned businesses.
Bill co-sponsor Sen. Michael Stack (D-5th dist.) said SB 87 comes at a time when more seniors, many of whom served in the military, are waiting longer to retire.
Add in the high number of seniors in Pennsylvania — the state ranks fifth in the nation, with more than 5 percent of the total U.S. veteran population residing here, according to the chamber of commerce — and the need to target veteran businesses grows.
"We have many businesses in the Northeast that could benefit from this," Stack said.
Under the Commonwealth Procurement Code, the Department of General Services requires state purchasing agencies to issue at least 5 percent of their contracts to suppliers — any business that supplies a product or service — like small businesses and those run by women and minorities. Until now, veteran-owned businesses have not been on that list, making it difficult for them to be identified and often hindering them from obtaining larger contracts.
Clayton Cole, who served in the United States Navy, runs a commercial finance company in Northwood that helps entrepreneurs, particularly veteran small-business owners, by specializing in the purchase of invoices or accounts receivable for cash.
He has seen firsthand how hard it is for some business owners to get capital and win larger contracts. He also feels that some business groups hold back smaller businesses, especially when a larger, more widely known company is also part of the organization.
"I think that anything they could give to the veterans, I’m all for it," said Cole, 52.
Dennis Fink, 58, a Vietnam veteran who owns Fink’s Deli in Tacony, understands the double plight of being both a veteran-owned and small business.
"You’re the little guy," he said. "You never have the cash flow."
Fran Cleaver, counsel to state Sen. Robert "Tommy" Tomlinson, a Bucks County Republican who introduced the bill, said the legislation could help enterprises like Fink’s and larger veteran-owned businesses.
"What we can do is empower vets," she said. "Small businesses can aggregate to get state contracts."
Kalish, who constantly educates himself in his field by taking college courses, feels that the offerings of SB 87 would only help his business succeed further.
"Those things could certainly benefit me," he said. ••
Reporter Lauren Fritsky can be reached at 215-354-3038 or lfritsky@phillynews.com