welcome to main street usa. we're in galina, illinois, a town that had to re-invent itself many times. we're talking to small business owners to find out what they're doing to keep their community and their businesses thriving. that's coming up next on "your business." small businesses are revitalizing the economy. an american express open is here to help. that's why we are proud to present "your business" on ms c msnbc.

hi there, everyone. i'm j.j. ramberg and welcome to "your business," the show dedicated to giving you tips and advice to help your small business grow. when we think about main street we think about the heart of a community. a place where small businesses usually the focal point and where you expect something special, like great customer service or a terrific cup of coffee or to be greeted by your first name. so how is main street america doing in the economic ups and downs this country has been facing? we decided to travel the country to find out. our first stop, galina, illinois. welcome to main street usa. a series we're doing about companies on main street across america. today we're in galena, illinois,

a community that is rich in history and beautiful 19th century architecture but a town that's had to re-invent itself many times. from a lead or boom town in the 1800s to a farm noun the 1900s, today a tourist destination but it's been thru a lot of ups and downs. 25 years ago, lots of vacancies and a bar pretty much on every corner. what did the people doll here? what did the small business owners dos to revive this community? we spent some time finding out. >> carl johnson, carl johnson's gallery, 40 years on main street. we moved to galena in 1970. architecturally it was coming apart at the seams a little, and i wanted to re-do the town with urban renewal, and it was a monumental fight over whether it

should pass or not. and after that was over, they established a preservation ordinance. >> starting the studio 1 spa and salon 25 years ago. first she started out on the other end of main street. then she moved a few doors up the road. now she's here at 310 north main street. i decided to go in and get my hair done and hear a little bit about her story. >> politicians and the government talk a lot about small business and helping small businesses. do you feel like there -- you're laughing. why are you laughing? >> nothing. it's interesting. >> why do you say interesting? do you feel like anyone out there is looking out for you and helping you? >> they don't see people like me i think even existing, and we're the ones keeping people working. you know? i'm not even classified in their eyes as a small business. you get frustrated. >> what do you get frustrated with? >> because you feel like there's no one trying to help you grow

to employ more people. you know, things like that. you want to be able to give your employees a place where they can work and raise your families. you know? not everybody wants to have to move away and, you know, and to find a better job. >> jack colter. five businesses. 25 years on main street. last couple of years it's been challenging, to tell you the truth. we've gone through some ups and downs in getting the town itself, i think, over the last 100 years, galena has a good way of re-inventing itself. we're hoping this year we're going to turn that corner a little bit. so as things might be getting better east and west coast, that's a sign for us that hopefully help son the way. >> steve wright, rond endezvous coffee and tea. three years on main street. business is always spotty.

it's a seasonal tourist town. during summer and fall, do very well, and winter and spring, slow. and depends on whether or not it's raining or not. >> ten years on main street. people are holding on to their money longer. they're not making reservations as far in advance as they used to. more walk-ins and spontaneity than we did in the past. >> david lewis. great american popcorn company. 19 years on main street. my current is for frostorefront the fourth evolution of the business. you're moving into what you perceive to be and most often is a better traffic and better footprint for whatever business you're in. >> ms. kitty. the grape escape. seven years on main street.

>> do you feel a responsibility as a business owner here for the community in a way that you wouldn't if maybe you opened your bar in chicago? >> very possibly. when people talk politics and how they feel about thing, i always say that i'm a social capitalist, because i want the freedom to run any business i want, but i need to take care of the community that allows my business to thrive. >> the cons septembcept wasn't lot of money. it's a lifestyle. i love what i'm doing. the interaction with the people, make enough money to live on, i'm happy. i have the lifestyle i've always wanted. >> chef, the canning company, 19 years on main street. >> you started with one card table selling one or two products. >> that's t. now you have two stores right across the street from each other and a restaurant down the street. >> that's correct. >> how have you been able to grow? >> just basically, i think the real key point in the our growth is the quality and integrity of

our product and maintaining really strict standards, and people like it. it is a consumable item. people keep coming back year after year and now with internet if they can't make it to galena, we ship it to them. >> i notice you have sample jars but never label what kind of popcorps it is. why? seems that could be confusing? >> i like doing it that way because i like the interaction of immediately greeting somebody and then offering them our products, and i would rather have that interaction of me explaining what it is than just them doing it on their own. >> do you feel you may have more repeat sales because of the friendliness that comes with haves to ask, what kind of popcorn is this and then you having to tell me? >> absolutely. a lot of value to it. it's been the cornerstone of our day-to-day operations since day one. a good chunk of the people that come out are coming from the city, from all the big box stores. they don't get that level of customer service a lot anymore,

and i like to kind of bring that back a little bit. >> the weekend's just starting, and we see the tourists starting to come in. as everyone told us, this is their busy time. no one has time to talk to us anymore. we're heading home. next month we'll visit main street in the sleepy southern town in alabama. if you think we should visit main street in your town, write up and tell us why. our address, "your business"@msnbc.com. sometimes the best marketing is best done right outside your front door. here are five ways to use hyperlocal press to your advantage courtesy of ink.com. one, take advantage of your roots. pitching to the press, mention your background. if you have a connection to what's going on locally, the local press is more likely to cover your story. two, promote on social networks. if you share your coverage, your

local pressless have a much greater reach and as a result, much greater value. three, media's always looking for local experts. reach out to your news station, magazine or newspaper to offer your insight and expertise. four, give back. hosting a philanthropic event or an ongoing charity event is a great way to get the media to cover your story. five, promote the press. one idea to shopping on main street the idea you are supporting your local community. shopping local, and strong consumer movement to buy american. that's why many small business owners who had been producing products over seas are now finding ways to bring that manufacturing back here to the u.s. the challenge has been how to find the right factory. >> i being from north carolina

love the idea of trying to do something local. so we decided to come back home. >> reporter: it may have take an few years but rachel proudly say that her entire line of high-end collegiate apparel is now made in the uss. >> -- usa. >> we do everything from tailored hoodies, tailored pants, cute women's underwear and tank tops. a varsity tank top, one of the first items we introduced to the college market. >> the founder and ceo of durham, north carolina schoolhouse admits bringing it stateside hasn't been easy. >> a lot of the factories that are here are not what they were 20 years ago. a lot of the technology that's here is in some ways behind the technology that i encountered in sri lanka. >> where they used to manufacture all of its clothing at a garment factory. in the end, the distance proved to be too much.

that's why she and her team operations officer decided to find and partner with local factories. >> part of the generation that took away from this country and didn't know what that would do to our economy and here i am 20 years later having an opportunity to bring it back. >> reporter: schools like duke, yale, the university of nebraska and the university of cincinnati among her 100 clients says she's done plenty of leg work. >> finding a good factory partner is extraordinarily difficult. it was a lot of getting in the car and getting on the phone. we've been traveling across the state of north carolina uncovering these facilities, and meeting with fabric vendors, and finding cardboard box manufacturers who are still here. >> reporter: since so many north carolina textile factory shut down, the search was intense. >> reviving an industry that bass booming 20 years ago, really took an app. we are taking them out of the

stage and bringing them back to life. >> reporter: if there was a door to knock on, schoolhouse was there. >> at least 120 doors to nair toe down to 5. it's been a real hunt. >> reporter: as a small business other than, we've learned face-to-face meeting was a must. >> one of the first thing wes look for when we're talking not only to management but to actual employees of factories is people with an open mind, and people with passion and drive. >> reporter: once factory owners see schoolhouse' designs, they get a sense quickly as to whether or not a relationship would work. >> when you walk into a factory that has been doing the same box t-shirt for the past 20 years, and the management has, you know, no interest in doing anything else, you know that's not a fit for schoolhouse. >> our goods are full of craftsmanship. they're very detailed. they're not just a basic t-shirt. so you have to have a desire to do something different.

>> reporter: meeting with factory owners and managers was only the first step. williams is all about getting appeal for the place. >> looking at equipment. looking at speed. looking at the detail work. the pride the team takes within their work. i talk to some of operators to see what they like about working in that particular factory. >> reporter: those operators are key to the equation. their insight play as crucial role in the final decision. >> the old saying the secretary knows it all in an office building. it's true in a factory, the operator knows it all. >> reporter: they expect more than just production out of the factory. they want a partnership. >> the best kind of factory to come to is a factory that not only we bring things to but they also bring ideas to the table. that's one of the reasons it works very well for us now. >> reporter: it's owned by tyler and cory. >> when we had our first meeting with tyler and cory, a

willingness, eagerness, a fire to do something new. >> they came to us said we have a line of garments we would like for you to produce any or all of those you can and more importantly we want to provide you with ap consistent line. we sewed up a couple prototypes and were able to come up way ballpark line that fell in line with what schoolhouse needed. >> reporter: they were glad to hear about their long-term commitment to the company. part of the reason they updated equipment and the adapted its work flow. it's a partnership that will continue to evolve as long as it's a good fit for both sides. >> eventually that will transition over to where we're going to do a full package for them. which it's, i think, a perk for them. they want us to be able to handle the manufacturing entirely. >> reporter: as schoolhouse grows, inevitably, they will have to find additional factories. >> you always need to have a few factories in kind of your bag of tricks, because want to make sure that you even out their

production, but it also meets the needs of your production. >> reporter: not every factory visit results in a partnership, but they're committed to products made in the usa. she wants local manufacturers to know that they'll be knocking, and that they should be ready and willing to listen. >> we're looking for creativity and partnership and flexibility. and that's all it takes in this new generation of leadership that see what's we're trying to do, wants to be a part of it, and is willing to make changes and dust off old machinery, and make it happen. looking to boost customer loyalty way modern day version of a traditional punch card? check out our website of the week. spendgo.com let's you awe ward points for customer purchases that eventually add up to a free item or store credit. all customers need to do is enter their phone number or scan the qr code with the app. it provides analytics to better measure your marketing performance and see who your

most loyal customers are. when we return, i go back to my alma mater, stanford business school, for advice on what women need to know about negotiating. and the winner of group college's smart competition, impressing our panel with his line of custom smartphone cases. ♪ school's out for summer is like hammering. riding against the wind. uphill. every day. we make money on saddles and tubes. but not on bikes. my margins are thinner than these tires. anything that gives me some breathing room makes a difference. membership helps make the most of your cashflow. i'm nelson gutierrez of strictly bicycles and my money works as hard as i do. this is what membership is. this is what membership does.

i repeatly spent time at stanford business school for my 15th year reunion. while there i caught up way professor who teaches negotiation. we chatted about some of the things you should be thinking about when you head into a negotiation, but then the conversation turned to how women need to approach this differently than men. that's something i. really considered before. >> well, you know, it's a real challenge. we don't get to choose or gender, male or female, but the playing field is not level. women face a different challenge in negotiation than men do. and part of that is a backlash. so using exactly the same words that come out of the mouth of a woman or come out of the mouth of a man in terms of negotiation, you'll see very different responses on the

counterpart. >> tuk me about this. i like going into a negotiation going completely prepared. i know what you want, what i want, i've come up with something fair. here i am presenting it to you, but the way i present it -- >> is crucial. it's absolutely crucial, because one of the things is that the backlash women get when they initiate negotiations is because they are being perceived as too demanding, as not nice. so that's where the backlash is. now the question is, how can i present my proposal to you in a way that i don't get this pushback. >> it's interesting, right? because i might think, okay if i'm too nice going into this, they might kind of tromp all over me. you're saying i actually need to be nice so they don't? >> let's be more precise. >> okay. >> what you need to be, what's most effective for women is to have a communal orientation in their decisions. so let's frame the negotiation as, how can i help you solve your problems? >> but a man could go in there

and just say, this is what i'm looking for. >> and i'm great and you should give to do me because i'm great. >> and if a woman did that? >> too demanding, not nice. >> interesting. you almost prepare the same way -- >> absolutely. the same information. you need to understand what your reservation price is alternativesish aspirations. you need to understand, get your proposal, understand your side, but when you present your case, you're doing it from the frame of, let me help you solve your problems. and seriously, how could anybody push back against someone who's helping them solve their problems? >> that's so fascinating. you could be asking for the same, exact thing, but because you're a woman, you have to ask it a little bit of a different way so that there's no backlash against you? >> well, there's less. less. less backlash. and what's interesting is, that's really not hard to do, because part of what we've learned, women have learned, by being in the society is, how to

accommodate. so let's use that, use that accommodation communal orientation, not giving in, but reframing our actions. >> so someone might hear this conversation and think, oh, well women have to adjust to be a certain way, but actually not. it's powerful. right? you have a piece of information that can actually make you better at negotiating, just like any other piece of information. >> and canet you more of what you want. in the end, that's what we're looking for. how do i get more of what i want in these kinds of interactions. >> thanks so much. good to know. today's elevator picture also studied business. this year's wenninner of the gr college annual smartphone cases. let's find out what norah brodsky and a founder of daily work, a finding company for women think about this pitch. hi. my name is dwight peters i'm the founder of proud cases.

we are a tech accessory brand. we help nonprofits fund raze and build awareness why designing and selling custom smart phone cases that represents their cause. these cases are sold on site and $7 for from case sold is donated to a nonprofit of the week to help fund their social mission. our goal is to aspire generosity and intention giving by fusing the multibillion dollar smartphone accessory market with a multibillion dollar cause market. this is how we come up with designs, build a community of drastic sdriners using talent to change the world. every week partner with an organization and issue graphic designers. after seven days of submission, a designer is selected. plus the winner designing seizes $500. we want to change the world. we're seeking $100,000 for a 20% investment in our company. join the crowd. proud cases. >> i see why you won the pitch contest. that was amazing.

congratulations. let's see what our panel picks. you've been to a lot of these? >> a lot of information in a really short period of time. that's really good, and this is where it's really at. i'm very critical of these things. you raise the first $90,000 and come to me for the last $10,000. >> sounds like a plan. >> amanda? >> i've been tracking and building social responsible businesses more than ten years and commend what you're doing and think it's incredible valuable. congratulations. i want to make sure that the social responsibility isn't the leading selling point for the cases. a lot of people want to buy a high-quality product and want it to do good in the world. add a reason why they're amazing, maybe an aspect of the design and the social responsibility is a piece of it but not necessarily the lead selling item. >> all right. thanks. would you take another meeting? moment of truth. norm, your answer? >> yes, i would have to.

>> amanda. >> absolutely. >> good luck with everything. thank you so much. and if any of you throughout have a product or a service and you want feedback from our elevator pitch panel on your chances of guesting interested investors, all you have to do, send an e-mail. the address is "your business"@msnbc.com's in that e-mail include a short summary of what your company does, how much money you're trying to raise and what you intend to do with that money. you never know. somebody out there watching the show may be interested in helping you. it's time now to answer some of your business questions. norm and amanda are with us once again. the first one is about getting larger companies to think that your business is attractive. >> what is the best way to make my business attractive so that i can put it out for sale for larger businesses? what are some of the things that i need do that larger businesses are looking for when they look to buy a smaller firm? >> amanda, one thing i like she's thinking about what is her exit?

not necessarily tomorrow but it helps her plan her business. what can she do? >> first thing, make sure her brand is sprift from her personally. the second thing, the advice i've gotten over and over gn, make sure you're building a solid business that will last a long time. ultimately people want a healthy growing profitable business. most important thing you can do, focus on bidding a business that works. >> norm, you've sold businesses profitably. what did you do? >> well, the first thing you have to do is when you start a business, shue build it like you're going to sell it, whether you're going to go so or not. if do you that, you use best practices. the second thing and what i did i went to the biggest guy in the industry and said, some day you're going to buy my business. tell me what you'd pay the most for. they came in and actually did a stumdy for us for nothing, and some of the thing was making sure our contracts were right. making sure we had the right management team. so there's a lot of things can you do and a lot of research for nothing that you can do, but the most important part is, having a

great culture within that business. besides everything else. >> right. interesting. i like that idea of going in and asking them. i mean, i thought of that for job interviews before. i want this job. what do i have to do to consider me? you're doing the same thing for selling your business. >> you'd be surprised how accommodating other businesses can be. eventually, buying companies like yourself. >> move on to the next one. a question about access to capital. >> what's the opinion on the show about crowd funding? do you think it's a flash in the pan? do you think it's really going to change the way that things are going in this country? >> i want to hear what ump think, norm. >> this is terrific. the only place to get donations and don't give away rewards. it's going to evolve. what people don't understand, maybe they look at a kickstarter see lots of completions. only 30% to 35% of deals are

completed. do research to make sure you can compete. it's involving actual raising and giving away of stock and things later on. just keep in touch. >> right. even when equity becomes legal and it should sometime maybe this year or perhaps next, even when they becomes legal, you'll still have to get to those people, and that, then, depends on your own networks, unless you have some fabulous idea that has somehow caught on and become viral? >> yes, but there is some really incredible changes happening of the jobs act that's going to make it easier to find those people. for example, right nowful you're raising equity investing you can only go to credited investors, high net work individuals. not a lot of those people and they're hard to get to. amazing thing happening in the evolution of kraut fucrowd fund limitations you can invest to make sure the investors are being protected, a much, much wider pool of people to go to. >> right. yet you still have to do something to get it. you're going to be one of

millions of people trying to gelt to that money, like on kickstarter, but it's possible's of you just have to do something exciting to kind of bubble up to the top. >> a great idea. no question. >> the answer to the question, it's here to stay and only going to get bigger. >> finally a question about franchising your brand. >> the best way to franchise your company, that is a service company? >> i think the first step, say, is this even what i want to do. right? >> definitely. >> is it something scaleable, going to benefit from kmis of scale. franchising a company, think of it as separate from the your core business to license it and raise capital as a separate entity so it doesn't impact the core business of what you're doing. >> a checklist of things to ask yourself? >> we're in building a restaurant chain now. whether we'll franchise is or not is utmost on our minds. so what has to be is you have to proof concept. that means you have to prove it

can be duplicated time and time again, and you have to have a cookie cutter model. so all yourals have to be transferrable if somebody buys the business. >> we did a piece last week about a company before they're going to franchise here in the u.s. they actually opened other ones overseas pap great way to test if yoir manuals and everything else works before testing it here where you basically have one shot. >> same with a restaurant business. they told us seven units open. two outside of new york city. >> hmm. >> to prove the concept. overseas, exactly. it's so great to see you norm, great to you have amanda. hope you come back. thanks for everything today. we appreciate all you watching the show today as well. if you'd like to learn more about anything on today's show, all you have to do is click on our website. it is openforum.com/yourbusiness. you'll find all of today's segments and more information to help your business grow and follow us on twitter.

it's@s in nbcyourbusiness and don't forget to become a fan of the show on facebook. next week, taking a success off-line. >> if we can have retail be a form of entertainment, if we can build community through this store, then we think we're going to sell more and more glasses. >> how opening brick and mortar locations is helping them expand their optical brand and get new customer. until then i'm j.j. ramberg, and, remember, we make your business our business. ♪ i'm a hard, hard worker every day. ♪ ♪ i'm a hard, hard worker and i'm working every day. ♪ ♪ i'm a hard, hard worker and i'm saving all my pay. ♪ small businesses get up earlier and stay later. and to help all that hard work pay off,

membership brings out millions of us on small business saturday and every day to make shopping small huge. this is what membership is. this is what membership does. >> when dennis told me he