News (All)

Malafi shares M&A Insights on Panel of XPX Long Island – “PeopleCo Manufacturing” Case Study

Posted: June 2nd, 2020

Event Date: June 12th, 2020

As XPX closes out their Long Island Chapter for the 2019/2020 session they will circle back to their case study and finalize considerations for the family and business. You can expect to learn:

* The journey to closing from an investment banking process

* How to get the right results from negotiating strategies

* Due diligence preparation and pitfalls – war stories

*What legal documents mean and the important role they play

DATE: June 12, 2020

TIME: 8:20 AM – 9:30 AM

PLEASE LOG IN EARLY TO BE READY FOR 8:30 START TIME


SPEAKERS:

Christine MalafiSenior Partner – Campolo, Middleton & McCormick, LLP

Gregg SchorChief Executive Officer – Protegrity Advisors

Jeffrey L. Bass, M.A., M.P.A. – Executive Strategies Group LLC

Jeff Stern, Principal – Eagle Business Solutions


About XPX Long Island

XPX is all about collaboration, learning and building relationships to serve our clients. XPX members are professional service providers who assist with business value growth, exit and succession planning, business value transfer, and business owner life and legacy. Assisting business owners through all stages of the company life cycle, XPX members put their clients first by collaborating as a team in order to provide clear, coordinated advice.

CMM Strategies Presents Business Unusual: Real Estate Development Reimagined

Posted: May 29th, 2020

Event Date: June 9th, 2020

Our new world is far from business as usual. Join business leaders Joe Campolo and Peter Klein for our next business recovery webinar as they welcome Jim Coughlan, Principal and Co-Founder of TRITEC Real Estate Company.

This episode will focus on the real estate development sector – a key piece of Long Island’s previously booming economy. Now that the COVID pandemic has changed how we work, live, and play, how will the real estate development sector respond to changing needs?

Social distancing, businesses struggling to pay rent, changing workplaces, and former commuters seeking local spaces are all part of our new reality. Real estate development on Long Island must be repurposed and reimagined in response. We look forward to a critical discussion that will empower business owners to confidently examine their workplaces and move forward.

Q&A is a critical piece of each episode, so bring your questions.

Date: Tuesday, June 9

Time: 11:30 a.m.

Liability for COVID: Exposure for New York Employers?

Posted: May 27th, 2020

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As the business world gradually starts to reopen, I have heard from some business owners concerned about their exposure to lawsuits from employees who say they were exposed to the virus while at work. What is an employer’s liability in these circumstances? Every situation is unique. But if employers are following the recommendations of the CDC and state and federal agencies with respect to social distancing and workplace safety, the burden would shift to the employee to prove that he or she was exposed at work – a high burden. Read on for what this means for employers.

We all should act responsibly by wearing and requiring masks/face coverings, providing reasonable additional protections to employees (which is really business-specific depending on the nature of your workplace), limiting headcount in businesses of both employees and clientele, and watching that employees and customers alike observe social distancing protocols. Businesses must be smart, follow the guidelines, and use common sense to protect employees, who have been through a lot during the shutdown.

In New York, employees are limited to filing claims for worker’s compensation benefits as opposed to commencing a lawsuit against their employer (unless the employer does not have worker’s compensation insurance in place – but that is not the norm). Therefore, the threat of a viable COVID lawsuit against an employer is very low. If proper protocols are established and followed, employers should feel confident that they will limit their exposure to lawsuits, worker’s compensation claims, and any claims/complaints filed with government agencies once they re-open. 

Regarding worker’s compensation claims, many employers feel that the system in New York is skewed in favor of employees. But one thing to think about is that the employee who is exposed to and/or contracts the virus would need to be able to establish that he/she was exposed while at work. You may recall Governor Cuomo’s report a few weeks ago that about 66% of new COVID cases were people “sheltering in place” as opposed to essential workers who were potentially exposing themselves to the virus on a daily basis. Even if an employee (or client for that matter) were diagnosed, it’s extraordinarily difficult to establish that the person contracted it while at work as opposed to somewhere else.

This pandemic has challenged business owners like never before. As soon as you’re permitted, open your doors and get back to work.  When you do, protect yourself, your business, your employees, and clientele by following common sense guidelines and protocols. Be smart, be safe, and get back to business wisely. 

For guidance on the protocols and safety measures your business must implement, please contact us.

This article is for informational purposes only and you should not take or refrain from taking any actions based on the content of this article.

CMM Strategies Presents Business Unusual: Cash is King

Posted: May 26th, 2020

Event Date: June 2nd, 2020

Our new world is anything but business as usual. Join business leaders Joe Campolo and Peter Klein for our next business recovery webinar as they welcome Joe Camberato, President of National Business Capital & Services.

The economic fallout of the COVID-19 pandemic continues to be felt in devastating new ways. Business owners have had to return to the most basic of economic principles as they struggle to stay afloat: cash is king. Businesses have had to make cuts that would have seemed unfathomable just a few months ago.

As the business community tightens its belt, join us to learn innovative ways to manage your cash flow as we hunker down for a longer period of financial unrest than we imagined. The discussion will focus on creatively stretching your dollars and how to pivot your financial practices to a more sustainable path.

Q&A is a critical piece of each episode, so bring your questions!

Date: June 2, 2020

Time: 11:30 A.M.

Have questions for our speakers? Submit now to Lauren at lkanter@cmmllp.com or via the Q&A feature during the webinar.

Business Unusual: Survival Past PPP with Guest Kevin O’Connor, President & CEO of BNB Bank

Posted: May 26th, 2020

May 26, 2020 – Episode 2 of Business Unusual Weekly Recovery Webinar with Joe Campolo and Peter Klein. In this episode, they welcomed Kevin O’Connor, President & CEO of BNB Bank. This discussion focused on long-term strategies for businesses to survive in our new world. While the Paycheck Protection Program (PPP) remains the hot topic of the moment, it’s merely a stopgap. We need to start thinking now about how to survive once those funds run out. As leaders, we cannot rely on the PPP to save our businesses and our economy – we must do it ourselves by accepting reality and reinventing business as we know it.

Campolo’s Economic Development Efforts featured in Newsday’s Coverage of Zoning Hearing

Posted: May 26th, 2020

Neighbors Oppose Long Island Innovation Park Apartments

by Nicholas Spangler

A Smithtown proposal to rezone part of the Long Island Innovation Park at Hauppauge for mixed-use projects that could include apartments sparked an hourslong clash in an online public hearing.

The bill would permit buildings that mix commercial, office and residential uses on 13 of the industrial park’s 450 parcels that are seven acres or larger. Smithtown Supervisor Edward Wehrheim has said rezoning would allow developers to build up to 1,000 apartments, though a spokeswoman said the actual number was likely to be lower. No developers have submitted applications and some of the buildings on eligible parcels have tenants under lease or are owner-occupied. 

“We can pay more taxes or encourage economic development to offset those taxes,” Joe Campolo, chairman of the Hauppauge Industrial Association of Long Island, which represents businesses in the park and supports the legislation, said at the hearing Thursday. 

But some current residents of neighborhoods near the 1,650-acre park said rezoning would add traffic and burden local schools. “It’s not an area that was ever designed or meant for people to live in,” said one man who described himself as a 30-year resident. 

Thomas Kriklava, operations manager for the Central Islip-Hauppauge Volunteer Ambulance Company said department officials had “serious reservations about this project,” but he did not elaborate or respond to a voicemail. 

David Barshay, president of the Hauppauge school district board of education, asked for legislation to be delayed. “Give us time to figure out whether we can even absorb” children who might live in the apartments, he asked. The district, which faces a budget shortfall of more than $2 million this year, spends more than $20,000 per student, he said. 

Supporters say that at full build-out apartments would add about 90 children to a school district that has lost hundreds more than that in past years and that the benefits of new development outweigh the costs of increased demand for services. A 2019 study by the Real Estate Institute at the Stony Brook University College of Business of 14 apartment complexes found public school enrollment increased by less than one student per 11 apartments.

Apartments and park residents are central to a plan backed by park stakeholders and town officials to attract new businesses in areas like electronic commerce and financial services which they say would create high-paying jobs and tax receivables. 

“They are the engine,” said James Coughlan, a principal in Tritec, an East Setauket-based real estate firm that could redevelop one of its buildings under the proposed legislation.

New residents would supply a built-in customer base for retail; amenities built to serve them like green spaces and walkways, along with the promise of a quick commute, would also attract new firms looking for perks for their own workers.

Campolo envisioned market-rate rents for one-bedroom apartments starting at $2,500. At least 20% of the apartments would be designated as workforce housing, with rents pegged to area median income. 

The park generates $19 million in tax receivables annually for the town and $45 million for the school district, keeping hamlet residents’ property taxes among the lowest in Suffolk County.

But about 60 of its parcels are vacant and 314 are used for warehouses or storage, and Coughlan said finding tenants had grown harder over the past five years. That problem could be exacerbated by the pandemic and competition from projects like the Ronkonkoma Hub, he said. “There’s going to be a new paradigm for where people want to work,” he said.

Any project proposed under the bill would need multiple town approvals and would have to meet design criteria to be considered for a special exception by the Town Board.

Complaints by some residents last week that advertisements for apartments for rent indicated projects at the Hauppauge park were already approved may be tied to a Willets Path sign that in fact advertises apartments in Melville, town spokeswoman Nicole Garguilo said. No projects are underway and the public hearing for the rezoning bill will stay open for three weeks to allow further written public comment, she said.

Town leaders also conducted two less contentious public hearings at the May 21 town meeting, held over Zoom. They were the first such hearings in town history and Garguilo said 400 people watched or listened, more than at any in-person meeting in the past four years. 

Anthony Coates, a Head of Harbor resident and civic leader, and We Are Smithtown civic association president James Bouklas said the hearing should have been delayed until in-person meetings are possible and criticized town leaders for pushing through what Coates called the “Queensification of Smithtown.” 

Read it on Newsday’s website here.

WEBINAR RECAP: The Forgivable or Not-So-Forgivable PPP Loan

Posted: May 26th, 2020

On May 22, 2020, Christine Malafi joined Gettry Marcus, CPA, P.C. for Part 2 of their successful webinar series on PPP loan forgiveness. This webinar focused on:

  • A review of the PPP loan forgiveness application, including alternative payroll Covered Period, 40-hour workweek benchmark for FTE status, safe harbor requirements for both rehiring of employees and adjusting employee compensation, FTE reduction exemptions for employees in the Covered Period or Alternative Payroll Covered Period, and documentation required to substantiate loan forgiveness calculation
  • Planning tools
  • SBA and Treasury Department Guidance
  • Q&A

View the webinar here.

Business Unusual: Weekly Recovery Webinar

Posted: May 22nd, 2020

May 19, 2020 – Episode 1 of Business Unusual Weekly Recovery Webinar with business leaders Joe Campolo and Peter Klein. This first episode included an in-depth discussion of the impact COVID-19 is having on the local and national economy and how businesses should be preparing to reopen, especially in light of the challenges that PPP and enhanced unemployment are causing in the workforce.