November 13, 2009

Dear Cottagewood Community Foundation Members

And Friends of the Cottagewood Store,

Happy autumn from central Deephaven.  As we rake the leaves, stow the boats and rotate wardrobes in preparation for another Minnesota winter, this is also the time of year we report to you on the status of our beloved little General Store.  For 116 years people have been minding the store at the corner of Cottagewood and Northern.  When you think of all those storekeepers have seen – the generations of kids begging their parents for candy, the circles of close friends meeting for coffee and the neighborhood gossip, the thousands of impatient dogs parked on the step – then you remember why its important that we treasure and preserve this special place.  And why we ask you to contribute to the “tip jar” every year.

In many ways, the Store feels frozen in time and removed from the realities of Minnetonka Boulevard and beyond.  Therefore it’s interesting to report that our operation followed the path of businesses everywhere in 2009, bringing the macro-economy down to a very micro scale.  We refocused on our core mission, reduced expenses, deferred capital expenditures and managed in the most fiscally responsible manner possible.

Still, even a time of prudence brings accomplishments.  Here were some of the high points of 2009:

·         Laurie Jenkins served the CCF as Store Manager for the 4th season.  Laurie is a remarkable asset to our community.  She juggles countless duties (far more than people realize), serves dozens of “bosses,” and returns day after day with a warm smile.  We’re lucky to have Laurie and I’m delighted to report that she plans to return again in 2010.

·         We revamped our food offering; under a partnership with kitchen tenant Saleh Hamshari, operating as The Galley at the Cottagewood Store.  Saleh’s fresh, made-to-order Mediterranean and American specialties brought greater variety to our patrons and allowed the Store to reduce staffing costs.  The Galley will remain open through the winter months, offering lunch and dinner to-go and for delivery.  Please support Saleh.  The Galley can be reached at 952-474-3808.

·         Twelve new families joined the non-profit CCF in the last 12 months, the greatest number of new members in recent history.  Thanks to all of you for your membership, and to current members for recruiting your friends and neighbors.  If you know anybody who is interested in joining the CCF, there is a new member form at the end of this letter.

·         A neighborhood group of green thumbs built and dedicated a new Cottagewood Community Garden in memory of Anita ­­­­­­­­­­­­Dreelan.  The garden area features a sitting area and nine small plots that will be available to the community in 2010.  Contact Kristina Woodburn at kwoodburn@woodburn.com, if you are interested in reserving one.

·         We developed a new e-mail communication platform through Constant Contact, a service used by many small businesses and non-profits to better communicate with their constituents.  This has enabled more timely and regular promotion of events and store specials.  If you are not receiving e-mails from the store, or know others who would like to be on the mailing list, please send an e-mail to: info@cottagewoodusa.com.

·         Our century-old building continues to show its age, and brings maintenance challenges on a regular basis.  This year we’ve managed to make three important improvements, each at below market costs thanks to the contributions and resources of CCF members: 1.) The entire inside of the store was repainted; 2.) Our commercial freezer died for good and was replaced with two brand new models; and 3.) The store roof is in dire condition and will be replaced before year-end.  Future projects, dependent on funding, include re-painting of the exterior (the building isn’t supposed to be purple!) and replacement of the stairs to the second floor apartment.

Financial Report

The CCF board planned conservatively for 2009 after coming off a difficult 2008 in a deteriorating economy.  Four areas of focus were identified:

1.       Filling the rental vacancy in the kitchen asap;

2.       Growing store sales by broadening selection and increasing promotion;

3.       Reducing staffing costs and closely managing staffing through the year;

4.       Emphasizing our non-profit foundation status to drive memberships and contributions

These strategies were successful.  The kitchen was rented effective May 1; sales increased over 2008 in every month we were open; staffing costs were reduced by 30%; and our member contributions to date are up 65%.

Fundraising Campaign

While the CCF has brought in a record $176,344 YTD through all sources, and even though we’ve managed expenses carefully, there is still an operating deficit to address.  Further, our cash position will erode before opening day 2010 due to off-season maintenance and property costs. 

As a result, your board of directors has set a year-end fundraising goal of $20,000.

We recognize the difficult economic times still facing families and that many have given to the store already this year, either in checks or through countless ice cream cones and pizza slices.  Thank you for that support.

Our suggested contribution is $250 a member.  If everyone chips in this much, we won’t have to fundraise for two years.  If half of the members contribute, we’ll be all set for 2010.  Please be among the contributors!

Finally, here’s a great incentive to act fast, and to be able give more than you planned.  On Tuesday, November 17, there will be a state-wide fundraising drive for non-profits called Give to the Max Day.  On this day of giving, matching funds will be available for gifts made on GiveMN.org, beginning at 8:00 a.m.  Every donation made during Give to the Max Day will receive a portion of $500,000 in available matching funds. The exact amount matched will depend on the total raised that day, but the match could be as large as 100%.

GiveMN partners are paying the transaction costs for gifts made online to Minnesota nonprofits on Give to the Max Day.  These funds allow 100 percent of your gift to go straight to CCF.

To super-size your donation through Give to the Max Day on November 17, go to GiveMN.org and click on “Cottagewood Community Foundation.”

Thank you for your continued love and support of the Cottagewood General Store.  We wish your family a wonderful holiday season.  If you have feedback or ideas about the Store, or would like to become involved, we’d look forward to hearing from you any time.

Sincerely,

CCF Board of Directors

David Sigel, President

Patti Bernstein

Gail Cannon

Doug Dolliff

Kim Goodwin

Jill Hinson

Heather Johnson

Caroline Larson

Joe McRae

Courtney Rile

Kate Regan

Name:  ________________________________________________________

Email:  ________________________________________________________

Street Address:  _________________________________________________

                          __________________________________________________

Phone:  _______________________________________________________

I/We would like to continue to support the Cottagewood General Store as follows (check next to all that apply of the following):

Sustaining Pledge   $250 (includes two tickets to spring Foundation Party)

Sustaining Pledge   Other __________________ (gifts above $250 include two tickets to Foundation Party)

Contact me about a contribution of securities or other assets

New CCF Member   $500+ (includes recognition brick in the Store patio and two tickets to Foundation Party)

Make checks payable to The Cottagewood Community Foundation (CCF).  The CCF is a 501c3 non-profit organization and contributions are tax deductible. Please mail form and check to CCF at 20280 Cottagewood Ave., Deephaven, MN 55331.  Thank you for supporting your store and community.