UNIVERSITY DAILY KANSAN Friday, January 27.1995 7A Mercantile store still on its feet Local grocery now is doing well after nearly going out of business Lisa Perry / KANSAN By Sarah Morrison Kansan staff writer Two and a half months ago, John Newman, a financial consultant hired by the Community Mercantile grocery, faced some unpleasant business. Art Sommer, Lawrence resident, fills a bag with flour at the Community Mer cantile. Bulk items, such as grains and pastas, are popular at the store. "I had joked with the general manager that I should probably wear a bullet-proof vest to the meeting." Newman said. some unpleasant business. Newman, who had been put in charge of saving the store from financial ruin, had to inform some members of the cooperatively owned grocery, 901 Mississippi St., that the loans they had made to the store were not going to be paid back But instead of bullets, Newman received smiles from the group. Members were not as concerned with getting their money back as they were with making sure the Mercantile did not go out of business, Newman said. "It was incredible," Newman said. "That is not the way a capitalist society usually works." During the past two years, a costly relocation, mismanagement and the introduction of Wild Oats Community Market contributed to losses of $400,000, which left the Mercantile on the brink of going out of business. Newman worked with the management, employees and volunteers from the membership to formulate a plan to turn the business around. The plan included volunteer efforts from the 900-plus members, a large reduction of loans from major creditors, price reductions from suppliers and expense reductions. Newman said the response from the membership was incredible. Hundreds of people volunteered their time and money working in the store, helping prepare newsletters and increasing their Mercantile shopping. He said they had managed to get the store on the right track. Jean Rosenthal. a member of the Mercantile who made an independent loan to the store, said she was not surprised at the number of volunteers because community spirit was what the Mercantile was all about. "We had known the loans were all risky," Rosenthal said. "We made the loans based on our belief in the Mercantile. We wanted to have this kind of store to shop at." Newman said Lawrence was big enough to support two natural food stores and that the Mercantile's business actually had doubled since Wild Oats opened two years ago. The problem is not a lack of customers, Newman said, but a cycle of poor management in reaction to the introduction of another natural foods store. Newman said the key to the Mercantile's success was to teach the management and board of directors how to run the store without making the same mistakes. Rebecca Booth, general manager of Wild Oats, said business had been brisk since the store opened. She said the presence of two natural food stores in Lawrence served to increase awareness and popularity of natural foods. NATURALWAY 820-822 Mass.841-0100 Hey, baby... ...bring your shoes. Uplifting global dance music every FRIDAY with DJ Roland Granada 1020 Mass.St. , Downtown Lawrence (913)842-1390 "We Stand Behind Our Work, and WE CARE!" DOMESTIC & FOREIGN COMPLETE CAR CARE - SHRAEX • ELECTRICAL • TUNE-UPS • AAC SERVICE • ANGSTOCIS • FUEL INJECTION SERVICE • EXHAUST • STRUTS & SHOCKS • COAT UHN • BATTENES • LUBE & OIL LAWRENCE AUTOMOTIVE DIAGNOSTICS 842-8665 2858 Four Wheel Drive • Lawrence Formerly G & R Imports/ FREEMAN AUTOMOTIVE Applications for Fall 1995 admissions to School of Education programs in C&I and HPER are available now in 117 Bailey. Please note that applications are accepted only once a year. All materials (applications, test scores as applicable, portfolios,and letters of recommendation) are due February 15,1995. Sunday See the Big Game on the Big Screen! Open 11am Open from 749-2999 Crown Cinema 6th & Kasold Crafts & More Peruvian Tapestries starting at: $24.50 13 E. 8th St. Lawrence 12pm-5pm 5 30 Adult Before Heating Baby 4:00 P.M. Impaired Sleep UNION ACTIVITIES SUA FILMS NATURAL BORN NATURAL BORN KILLERS FRI. & SAT. 7:00PM FRI. & SAT. 9:30PM SUN. 2:00PM Come to either 9:30 show and take the test. One winner receives a NBK soundtrack. "HEY BUD, LET'S PARTY" FRI. & SAT. MIDNIGHT ALL SHOPS IN KANSA URBAN TICKETS $2.50, MIDNIGHTS $3.00 FREE WITH SUA IMAGE CARD. CALL 861 SHOW AND MOREINFO.