Minnesota women business leaders respond to big company CEOs

In today’s newsletter: Cheri Beranek, Susan Denk, Tammy Lee, Jori Miller Sherer, Molly Wright Steenson, Dayna Frank, Lowell Pickett, Travis Smith, Justin Kaufenberg, Jason Von Bank, Mike Speetzen, Linda Findley and Travis Kelce jumps in bed with Sleep Number

The much-discussed statement from large company CEOs has prompted significant pushback, which is no doubt overwhelming your LinkedIn feed. One of the largest group responses comes from 95 women business and community leaders, spearheaded by Women’s Presidents Organization, Business Women’s Circle and Minnesota Women’s Economic Roundtable. They issued an open letter of their own, calling on people to speak up, spend and give locally.

“This moment demands not just compassion, but courage. Not just statements, but solidarity,” the Jan. 27 open letter reads. Among its CEO cosigners: Cheri Beranek of Clearfield, Susan Denk of White Crane Construction, Tammy Lee of Xena Therapies, Jori Miller Sherer of Minnetonka and Molly Wright Steenson of the American Swedish Institute.

“Minnesota’s small businesses are more than storefronts; they are cultural anchors, community builders and economic engines,” the letter reads. It goes on to point out that small businesses make up 99% of U.S. businesses and nearly half of those employed, according to the U.S. Small Business administration.

In another statement this week, the Minneapolis Regional Chamber noted that two thirds of chamber members are small businesses. “The reality is that the tactics used during Operation Metro Surge are putting the survival of these businesses at risk.” The Minneapolis Chamber, in partnership with the St. Paul Area Chamber, Minnesota Black Chamber of Commerce, the Minneapolis Downtown Council, the St. Paul Downtown Alliance and several other organizations launched We Love Twin Cities, a website with resources for donations, businesses to support, legal services and more.

First Avenue CEO Dayna Frank, Dakota Jazz Club co-owner Lowell Pickett and a dozen other Twin Cities venue owners called on the music industry to wear “ICE Out” pins to the Grammys on Sunday, Feb. 2. The group also urged artists to come to Minnesota: “Eat at an immigrant-owned restaurant. Shop at a small business. Perform at an independent venue. Let us show off our beautiful city and its people,” they said in an open letter shared on social media.

Meanwhile, big businesses are not sitting idle. Target, General Mills and Ecolab are among the large Minnesota companies that funded $3.5 million in grants to be distributed by the nonprofit Minneapolis Foundation to assist small businesses impacted by the federal immigration operation.

Smith, a SportsEngine alum — like Rally Ventures Managing Director Justin Kaufenberg — joined Kaleidoscope a year ago as chief revenue officer. He takes over from Jason Von Bank, who is transitioning into chair of the new Kaleidoscope Scholarship Fund, which is designed to fill the gap for donors and organizations that don’t have a foundation or scholarship program of their own. His goal is to raise $1 billion in new scholarships for students.

“The cost of higher ed is going to be one of our biggest challenges over the next decade,” Smith said. “We are creating an ecosystem where relationships are built over time. We’re creating rings of influence and developing a work force that understands the value of giving back.”

Sleep Number is dreaming of a Swifty-sized boost on the news that NFL star Travis Kelce (a.k.a. Taylor Swift’s fiancé) is taking a stake in the struggling mattress company. The Kansas City Chiefs tight end has entered a three-year brand deal with Minneapolis-based Sleep Number. He’ll appear in national ads for the brand on television and social platforms, but even more significantly: He’s buying shares and receiving restricted stock that will make him one of the company’s top shareholders with a stake of under 5%.

The partnership comes as Sleep Number is in turnaround mode under new CEO Linda Findley. The company has been in a downward spiral since the pandemic, with 11 consecutive quarters of losses.

“I’m intentional about where I invest and the brands I align with. I’ve slept on a Sleep Number bed for years,” Kelce said in a statement released Wednesday, Jan. 28. ”This partnership reflects my confidence in where the company is headed and the growing opportunity around sleep.”

“Travis’ passion for and awareness of the health benefits of sleep, combined with his business acumen, will be a helpful accelerator of our work as we continue to share our story and attract new, younger consumers to the brand,” Findley said in a statement.

Sleep Number has been an NFL partner since 2018.

Bad week for UHG: UnitedHealth Group shares fell nearly 20% on Jan. 27 after the federal government proposed relatively flat payment rates next year for Medicare Advantage health plans. The Eden Prairie-based insurer might have to cut benefits for seniors in 2027, Christopher Snowbeck reports.

Polaris Q4 results: Polaris ended a difficult year on an encouraging note. The company this week reported fourth-quarter sales up 9% with sales of off-road vehicles and snowmobiles on the rise. But overall, the Medina-based company finished its fiscal year with a loss of $303.6 million, which industry watchers attributed to the sale of its Indian brand. “Our long-term growth plan remains anchored in category-defining innovation,” CEO Mike Speetzen said in an earnings statement.

Great Northern pivots: The Great Northern Festival is moving much of its outdoor programming indoors this weekend due to safety concerns. Some events will be delayed. But the Great Northern Sauna Village in the courtyard of Riverplace will continue as planned, Jan. 28 to Feb. 1. Bring your own towel.