E.
LANCE McCARTHY
Effective
Leader, Social Entrepreneur
As
Dr. Lance McCarthy sat behind his desk at the Metropolitan Orlando
Urban League recounting his childhood, it was obvious that despite
having come from a family of modest means, his life had been one
of complete exposure to the best of both worlds. Born on the threshold
of a new era, McCarthy remembers being among the first to experience
magnet classes, one of the first fruits of integration in his
hometown of St. Louis, Missouri.
Lance was a bright and likable young boy. Since his mother was
a domestic worker for two of the wealthiest families in the city
(owner of a bank and a state senator), he had an opportunity to
get a peek into the corporate world during his early years. In
addition, he was exposed to culture that most urban kids don't
get a chance to experience at a young age. He loved the arts--plays,
painting, music, etc. As a result, his entrepreneurial skills
and interests coupled with his love for the arts made an interesting
and rewarding combination.
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At
the age of 17, McCarthy was employed by a large corporation
and was told that he could be vice president by the time
he was 30. While impressed by the vote of confidence, he
decided that if he could do that, then he could have his
own company; subsequently, he decided to make that happen.
After finishing college, McCarthy's first position was at
a small finance-consulting firm. That first year, he learned,
"If you keep it real, you learn to realize how much
you don't know," he said.
After one year of working in finance consulting, he began
to delve in office design. With that came the opportunity
to call on CEOs of corporations. His creative background,
his eye for aesthetics, and his scientific perspective enabled
him to analyze office space environment and create an atmosphere
for productivity. He was good at it.
McCarthy continued to broaden his horizons by spending six
years working for three major pharmaceutical companies where
he was involved in everything from research to becoming
district and regional manager. That's when he decided it
was time to form his own business. So in the early 1990s,
he teamed with two partners to open a luxury car dealership.
After three years of that, he opened a high-end men's clothing
store. |
Eventually, McCarthy fell into the art gallery business. At that
time, his idea of a creative environment was to have a loft. After
five years, he found the perfect location. It was an 1800 square
foot facility, which stole his heart and subsequently became known
as Utopia Loft Gallery. During the next two years, he expanded
to a total of 4,000 square feet. That was enough space for 70
chairs--the perfect venue for plays, exhibits and music. It was
the second largest gallery in St. Louis.
During that time, McCarthy wrote a piece of poetry every day.
After three months, he had written 300 pieces. He took 30 of the
poems and put them into a book around which he built an art show.
Before moving ahead to explore new grounds, McCarthy became quite
eccentric, "Leaning heavily onto his creative side,"
he said and then laughingly added, "so much so that my friends
started to wonder, is he smoking or something? What's going on
with that boy?" But the truth of the matter was that he was
ready for the next level.
Under the advice of a mentor, he moved on to recommence research
and the non-profit sector. He was advised that research and the
non profits push public policy, the public policy passes laws,
and that is the way one truly makes change in an infrastructure--that
is how this country is run.
As a result of his involvement with research, McCarthy was appointed
to the St. Louis Economic Conversion Project. Forty thousand jobs
had been lost, and the city needed to restructure its economy.
So off he went to Washington University with a desk, a computer,
and funding from a Catholic church. His first title was Director
of Industrial Policy Research.
In June 1993, McCarthy was asked to present a paper of his research
in Chicago. At this convention, he emphasized capital--institutional
funding: Wall Street, pension funds and insurance companies. His
focus was on how to funnel those high institutional dollars down
to the community. His presentation made such an impact that his
name began to circulate. As a result, he was asked to bring his
paper to Washington, D.C. Subsequently, in October 1993, he sat
on the Financial Congressional Committee to testify to the Congress
on how to levy capital for technology development. It was then
that he was appointed to President Clinton's Economic Conversion
Task Force where he sat with the top minds in the country.
McCarthy wrote over 40 research topics dealing with technology,
capital formation, urban technology, etc. Said he, "Research
is the best thing in the world, I was being paid to learn."
He spoke to audiences at venus ranging from peace activist conferences
to pension fund conferences. "My creative side and my business
side had come together, I found my niche," he said. He was
able to begin his process of the social entrepreneurial concept.
Through that process, he was consultant to the cities of St. Louis
and Wilston, Missouri regarding economic development.
In 1995, McCarthy did a report: The State of Black America, which
was a proposal to secure Financial Interactive Technology (FIT)
economic empowerment of the African American church. His objective
was to show the faith-based how to access capital. "We could
rebuild this country," he said, "sixty five thousand
Black churches, 25 million members, doing $50 million every Sunday,
two billion annually, controlling 300 billion in purchasing power,
yet we own very little. The Black church needs to understand business
development."
Deciding to move into development to help the African-American
churches, he was contracted by a Philadelphia law firm to be their
economist and investment buyer to actually go out and help churches
to go to Wall Street. (That was during the time of all the church
burnings), so he was moved to Jackson, Mississippi to handle two
of the largest church projects in the state. One was a 92,000
square foot facility. (The thing that made it so special was that
it was his father's hometown.) For three years, he went around
helping churches to find financing.
McCarthy finally relocated to Los Angeles as Vice President of
the Black Sports Agents Association. Now involved with this four
billion dollar industry, it was like living the life of Riley,
the life of the rich and famous. His responsibility was to find
equity dollars.
Equity dollars are found among the "new rich" -- sports
and entertainment. The NBA and NFL do about two billion dollars
in annual salaries; however, this is a 400 billion dollar industry.
So even in the "new rich", the variance of ownership
is such that even if it gets to the point of higher wages, Blacks
are still not building wealth, because Blacks do not own part
of the entity and infrastructure. Therefore, according to McCarthy,
one should look at models of how athletes can buy franchises,
look at the vendors of the sports arenas, and look at purchasing
teams. Thirteen years of his career was spent in researching these
sectors, and now he brings that knowledge and experience to Orlando.
Since coming to Orlando in July 2004 as CEO of the Metropolitan
Urban, McCarthy states that he could not be more peaceful at this
moment--knowing that he is helping to revitalize the city. Says
he, "Out of the 1.8 or three billion people that you look
at based in Central Florida proper, you have an additional 50
million who come through annually." Tourism is a major force
of the economy; however, when 40% of the people make $10 an hour
or below, it becomes very difficult. "I'm looking at every
sector of the economy. You know, to own something as simple as
a home can be difficult. The average home is $211,000 and you're
making $10 an hour. That becomes very difficult."
African Americans are almost dead last in health and education
(there is a shortage of Ph.Ds). According to some statistics,
Orlando is second behind Atlanta in attracting people into the
area; therefore, a lot of talent is coming in. "If we tie
in training and education, it becomes opportunity. There are many
opportunities in technology," said McCarthy, "I look
at this as almost the next Silicone Valley--look at UCF. Technology
is listed in the top 10 all the time. The national average over
the next 20 years is expected to be 40% growth. In Orlando, it
is expected to be 130%."
McCarthy stated that at the Urban League, the objective is to
be a value added to everyone. Despite being educated and working
for a corporation, African-Americans still have issues--racism,
sexism, promotions, or getting a new job somewhere else, or at
the same place. The Urban League is a conduit. They have a system
where the corporations post jobs on their site, the person's resume
is there and, "We connect them for a fee," said McCarthy.
In addition, the Urban League has opened a second satellite office
at the SBA Center--the second Urban League in the country to do
that. One hundred twenty-seven million dollars nationwide have
been made available to help small businesses in capital formation.
Says McCarthy, "We have created a national study on diversity
that was funded by Enterprise Leasing. It says that companies
that have a true diverse program are 18% more profitable."
As a result of his findings, he has contracted with national consultants
to do diversity training and go into the corporations for a fee.
He is also putting together a task force for every sector: law,
health, finance--they tell us the issue with each sector and the
Urban League helps to make the transactions. "That's value
added," said McCarthy. "I've been all around the country
and have seen a lot of things. This is a very, very unique market.
We know that there's still the old network, but I know how to
penetrate that network. If this is to be a true 21st Century city,
with new talent coming in, we ought to be reflective of that."
During his first year, McCarthy has doubled the Urban League's
revenue, from one million to two million dollars, something rarely
done in any affiliate. In August, he led the Urban League in initiating
a Faith and Finance Series in Orlando to help churches know how
to find funding. In one year's time, he has been appointed to
sit on seven local boards. This helps him do a much better than
average job. He is now planning to publish a Black Central Florida
Report. Under that report, people will be able to look at the
indicators under each sector, see where they are, and determine
where they need to go.
Recognizing art as important to ones culture, McCarthy has added
it to his agenda. He has been doing a floating art show, which
has already been to Winter Park, City Hall, and the South Orlando
Mercedes Dealership. He plans to open an art gallery in Eatonville
with Odell being the first artist to be commissioned. His piece
has been deemed to be able to sell at the National Urban League
booth at the National as the 95th commemorative piece. In addition
to that, He has been responsible for putting on an excellent concert,
Three Mo Tenors, who recently performed in Orlando.
Significantly, the National Conference of the Urban League is
expected to be held in Orlando in 2008, and hosted in a hotel
that will bear part African-American ownership.
Says McCarthy about his position and outlook in Orlando, "
I have a great staff--some inherited, some new. I am happy where
I am spiritually and physically; however, there is much more that
I want to do here."
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