Biz beat: Business openings help local charities

Businesses see charity fundraising events as a way to connect immediately with their communities.

June 15, 2012 at 10:15PM

When Running Room held a grand opening for a new Eagan store last month, the company also held a 5K run and donated entry fees and much more to Resource Center food shelves in Eagan and Lakeville.

"It's a good way for the community to get together," said store manager Brandon Fox. He noted the 5K and mile-walk attracted about 200 runners and a lot of customers whose purchases fueled one of the largest opening day sales tallies for the 10 U.S. stores (nine in Minnesota) of the Edmonton, Alberta-based chain. "It was pretty huge for us," he said.

Opening day fundraisers for a local cause are becoming more common, say area Chamber of Commerce and city officials. "We've noticed a lot of fundraisers at business openings in the last year or so," said Skip Nienhaus, Burnsville's economic development coordinator.

He cited Freeziac's new shop opening in Burnsville a few weeks ago. The owners donated several hours of proceeds from frozen yogurt sales to 360 Communities, a countywide food shelf and social service provider.

Running Room collected about $2,000 in entry fees for its 5K run, led by 1972 Olympic marathon gold medalist Frank Shorter. The company kicked in enough to make a $10,000 donation to the Resource Center, said Ruthe Batulis, executive director of the Dakota County Regional Chamber of Commerce.

Batulis said she had discussed several local charities with Running Room's marketing director and the firm chose the food shelf as a cause sharing its corporate values. She also connected Running Room with an Eagan running club.

"They really set themselves up nicely," she said. "It's embedding a good name in the community."

Opening events like the 5K fundraiser "create instant customers. All those runners will remember the Running Room when they need to replace their shoes. As the economy improves companies have more money to put into the community and it pays them back."

Batulis said a less common business fundraiser has more direct ties to a community group, such as the Eagan Fire Department gift made by Rick Casper. He reopened his Cherokee Sirloin Room last month after renovations due to an early-morning fire in October. City firefighters limited serious damage to a two-story deck outside the restaurant. She said Casper donated $5,000 for new, light green fire helmets with LED lights for the volunteer firefighters. Funds were raised from bar tabs during an afternoon fundraiser.

Business fundraisers, said Todd Bornhauser, executive director of the Lakeville Area Chamber of Commerce, are "another marketing opportunity to get your name out there and get customers into your business."

Jim Adams • 952-746-3283

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JIM ADAMS, Star Tribune