The Whispers Blog
Arkansas' breaking business news blog, with news and commentary from the Arkansas Business staff.
Send us tips.
The Little Rock Marriott unveiled the finished result of its $16 million renovation with a relaunch party Tuesday night.
The renovation, which began in March, included all 418 guest rooms, and all public meeting and dining spaces.
Our sister publication, Little Rock Soirée, was at the relaunch and had this to say:
"Crowds got to sample some of the delicious offerings from the brand new Heritage Grille Steak and Fin while touring the completely remodeled facilities, and were treated to performances by the Arkansas Symphony Orchestra Brass Band, the St. Mark's Baptist Church Sanctuary Choir, the Mabelvale Elementary and Little Rock Central High drumlins, complete with LRCH cheerleaders to send you home."
For more photos and information from the relaunch party, check out Soirée's story here.
Little Rock is on its way to becoming a true entrepreneurial hub in the image of inland startup hotbeds like Austin, Nashville, Des Moines and Omaha, writes local tech founder Rod Ford.
Ford, serial tech startup founder, former CEO of nGage Labs and Arkansas Venture Center board member, on Tuesday morning launched part 1 of a two-part discussion on the local growth of tech-based entrepreneurship.
Ford believes the first steps have been taken to grow a successful startup ecosystem in Little Rock:
The initial steps to create this ecosystem are well underway in central Arkansas. This infrastructure is critical if we hope to foster real entrepreneurship, attract and keep founder-level talent here. Arkansas, in particular, needs entrepreneurs and entrepreneurial success to improve and sustain its economic health. Communities similar to Little Rock like Austin, Des Moines, Nashville and Omaha are growing cities where startup ecosystems are prospering. Leading national support organizations and private philanthropists, such as the Kauffman Foundation, and Steve Case, founder of AOL, are investing in national support initiatives. In short, entrepreneurial activity is the cornerstone of any budding city - a must have for communities like Little Rock if the 'brightest and the best' are to stay in Arkansas, build companies and create jobs for the future.
Ford points out, though, that Arkansas falls behind glaringly in one area: access to capital. Finding seed capital is a daunting task for local tech-based startups looking to gain traction:
Private Equity at Work, an organization that researches the private equity industry, reports that Arkansas is distressed and not near at par with our neighboring states in the availability of capital for emerging companies. Private equity sources made 2,670 investments in Texas, 439 in Tennessee, 370 in Missouri, but only 63 in Arkansas (2013 data).
In my businesses through the years, capital raises have always taken me two times the amount of time I envisioned while they were four times more difficult. It’s time as we make great strides towards the emergence of an entrepreneurial hub we get busy ensuring there will be oxygen in the tank before to fund the new ideas exiting our ecosystem investment into job creating commercial successes.
You can read Ford's full post here.
We've reported how banks have cast a wary eye at Wal-Mart's ever-expanding foray into financial services. The retailer unveiled its latest move yesterday: a mobile checking account produced in partnership with Green Dot called GoBank.
Today, Camden R. Fine, president and CEO of the Independent Community Bankers of America, issued this statement about Wal-Mart's plans to offer checking accounts in stores nationwide. In short, the ICBA says that if Wal-Mart is going to offer banking services to customers, it needs to be subject to the same regulatory oversight as banks.
The nation’s community banks have offered low-fee and no-fee basic checking accounts for decades. Meeting the financial needs of citizens in thousands of communities across America is at the heart of the community banking business model.
So the message is simple: if a retailer like Wal-Mart is going to serve as a conduit for offering checking accounts and other traditional banking services, they need to know their customer and protect the customer’s financial health just as is required of all banks. This means that these accounts should be subject to the same legal and regulatory framework, consumer protections, and oversight as traditional checking accounts offered by banks.
Federal and state regulators need to take appropriate steps to ensure Wal-Mart banking services comply with all appropriate banking laws and regulations, including consumer protection and federal deposit insurance. Further, policymakers should insure that Wal-Mart is in compliance with all state consumer-protection and other applicable laws.
Our nation’s policy makers have separated the business of retail from the business of banking for a reason, for which the wisdom of such policies became crystal clear during the Great Recession. If consumers are interested in checking accounts, they can look to their local community bank for the best possible customer service that’s based on the time-tested community bank relationship business model.
Bankers have been far more blunt in their opinions of Wal-Mart's plans in the past. We noted this quotation, from 2006, today in our Morning Roundup morning email:
"I think we should keep these guys out of the business," Richard Kovacevich, Walls Fargo & Co.’s former CEO, said at a conference in New York in 2006, according to Bloomberg. "If we cannot be in the commerce business, it is appropriate that commerce not be in the finance business."
In an email to media Friday, David Tovar, vice president of communications for Wal-Mart Stores Inc. of Bentonville, announced he will be leaving the retail giant Sept. 30.
Tovar came to Wal-Mart in 2006.
"I have loved every second of every minute I've been with the company and I don't have enough room in this email to give justice to the life-changing experience of working for the world's largest retailer," he said.
Tovar would not delve into his next line of work, but said "I hope to share some news with you soon."
Meanwhile, Bloomberg reported late Monday that Tovar left the company after Wal-Mart discovered that Tovar never earned a bachelor of arts degree from the University of Delaware in 1996, which he claimed on his resume.
Bloomberg, citing "a person familiar with the matter," said Wal-Mart discovered the falsehood "while conducting additional due-diligence screening, which is standard for employees who reach a certain level ..." An academic-records official at the university confirmed to Bloomberg that Tovar never got the diploma.
Before he was named vice president of communications, Tovar was senior director of media relations and digital communications and served as the national spokesperson for the company.
Before joining Wal-Mart, Tovar worked at Kraft Foods Inc. of Northfield, Illinois, and Altria Corporate Services Inc. in Sacramento, California, a parent company of Kraft and Phillip Morris USA of Richmond, Virginia.
Update: On Wednesday, Tovar told CNBC that it was several months after walking in the school's graduation ceremony that he discovered he was a few credits short of earning the degree.
"I got a job and never looked back. I really didn't think an art degree would matter in communications, which was the field I went into," he said.
Tovar says he leaves Wal-Mart on good terms.
A major battle could be brewing between giants of the retail and technology world over how mobile payments will take hold in America.
This week, Apple announced the release of the iPhone 6, the iPhone 6 Plus and the Apple Watch, but it also announced Apple Pay, a mobile-payment method that will allow customers to pay for goods — groceries, electronics, food, whatever — with your iPhone at a participating vendors. The program begins next month.
Apple already has some of the larger banks and retailers like McDonald's and Macy's in its corner. One retailer it doesn't have? Wal-Mart.
According to an article from The Washington Post, the Bentonville-based retailer has said no to Apple Pay, and yes to the continued development of its own mobile-payment plan, CurrentC, which will work on any smartphone.
Wal-Mart isn't the only one throwing support behind CurrentC. Target, 7-Eleven, Southwest Airlines, the Gap and Shell are some of the others to join in, according to The Post.
It seems the battle is all but certain. Michael Archer, a partner at Kurt Salmon Associates, a retail consultant, had this to say:
"There will be a dominant player to come out of CurrentC versus Apple. I'm not willing to handicap either one right now…you've got major players in CurrentC, you've got eight of the top banks and credit card issuers in Apple Pay," Archer said. "The interest level in the space is always going to be challenged if there are competing players. The opportunity, and maybe a need, for convergence is there."
Other than saying they had no plans to use Apple Pay, Wal-Mart officials refused to comment to The Washington Post. Apple reps didn't comment at all about Wal-Mart's stance. For more, check out The Washington Post's complete story here.
- The Interesting Battle over Alcohol in Arkansas
- Arkansans Have Endured 80k Political Ads Worth $33.1M
- Performance, Not Academics, Drive Incentives for SEC Football Coaches
- The Interesting Battle over Alcohol in Arkansas 5 hours ago
- University of Arkansas Alumna Gives $600k to Alma Mater 1 day ago
- Home BancShares Completes Purchase of Broward Financial 5 hours ago
- Turner Grain Collapse Prompts Legislation 2 hours ago
- Turner Grain Merchandising Files $25M Bankruptcy 2 hours ago