To fill vacancies and help existing businesses expand in our historic river town, Downtown Main Street is hosting The Retail & Restaurant Challenge for new and existing businesses located in our historic downtown districts- both the historic core downtown area and the West End District. 

This challenge will benefit everyone, from those looking to fill their shopping bags and stomachs to those dreaming of opening a retail, restaurant, or experiential business in our unique downtown.

Past Success

In 2014, Red Wing Downtown Main Street hosted a Restaurant Challenge to help fill several vacant restaurant spaces downtown. This Challenge saw John Flicek win, and he was the owner of the Staghead Restaurant for almost ten years. In 2016, the Red Wing Downtown Main Street hosted a Retail Challenge that netted four new businesses to downtown Red Wing. We received eight initial applications, and five moved on to the final round. The Red Wing Bicycle Company, owned by Andrew Pederson, was the winner, and Rivertown Comics and Games, Backwoods Framing and Engraving, and The Red Wing Mercantile were runners-up. The Red Wing Bicycle Company and Rivertown Comics and Games are still open seven years later. The proposed 2024 Challenge will follow a similar format as the previous Challenges.

Overview

Red Wing Downtown Main Street and our partners are offering incentive package(s) for several winning businesses opening or doing a significant expansion in Red Wing’s historic downtown or West End District by September, 2024. We have $20,000 in cash to give away! 

Summary

The Retail & Restaurant Challenge is an entrepreneurial start-up competition designed to spur economic growth in the downtown and West End District areas. Business concepts eligible for the competition include:

  • New retail business. Experiential retail will be given preference. Experiential retail is defined as a business that makes or does something that can’t be seen/done elsewhere.

  • New restaurant business. 

  • Additional location of a successful, established business in another town.

  • Significant expansion of a current downtown retail or restaurant business that includes an added business concept. Existing businesses need to be a paid Partner with Downtown Main Street in good standing. To become a Partner, please email info@downtownredwing.org for more information.

Specifics

This Challenge will fund at least two businesses. We will work with landlords to determine vacancies during the timeframe of the competition.

Judging

The Judge Panel will comprise a mix of business owners, community residents, local bankers, city officials, and Red Wing Downtown Main Street Board Directors. Judges will select those who will advance to the next phase.

Goals

  • Recruit businesses that will enhance the business mix in downtown Red Wing.

  • Provide businesses a head start during the most challenging year of operation (the first year).

  • Strengthen the local economy by attracting unique and specialty businesses.

  • Transform empty business spaces into more attractive and beneficial locations.

  • Build a “buzz” and promote Red Wing as a great place to start a business.

  • Display the community’s commitment to downtown Red Wing.

Timeline (Updated 3/25/2024)

3/15/2024 Short Form Business Concept and Application Due

3/19/2024 Announcement of those advancing to submit full business plan (link to form here: https://bit.ly/retailrestaurantchallenge)

5/1/2024 Final Business Plan due

5/6/2024 Announcement of who moves forward to Pitch

Week of 5/13/2024 Pitching Interviews Held

5/17/2024 Announcement of winners

9/1/2024 Business must be open, unless prior approval by Red Wing Downtown Main Street

Incentive Package

Cash

We have up to $20,000 to grant to the Challenge winners.

In-Kind Opportunities

Marketing/Merchandising

Social media strategy session with Downtown Main Street (value of $200)

Cash toward social media marketing ($500)

Community/Networking

Red Wing Downtown Main Street will provide a free partnership for the new business(es) in 2024 and 2025

Resources

Red Wing Ignite

Business assistance, education, and training.

Learn more: www.redwingignite.org

Red Wing Port Authority

Low-interest loan to qualified applicants.

Learn more: www.redwingportauthority.org

Contest Components

Phase 1 – Application–New Business Concept for new or existing businesses

Applicants will be required to submit an official short application form. Applicants are encouraged to use creativity in the description. This is not a formal business plan, just a way for us to better understand your ideas so we can see if your application will move forward to the next phase. The application form shall be submitted by midnight on March 15, 2024.

Application form is located here:  https://bit.ly/retailrestaurantchallenge

You will be asked to answer the following questions with just a few sentences each:

  • What types of merchandise/food will be/is sold in your establishment?

  • Define and describe the market for your business.

  • How will your new or expanded business enhance downtown Red Wing and the Red Wing community as a whole?

  • What resources and assets do you have and what resources would be needed to develop this concept (personal, financing, equipment, etc.)?

  • What are your qualifications to develop/expand this business?

  • Are there any similar businesses around already? If so, how is yours different?

  • Any other information that may really “sell” the committee on your concept?

Phase 2 – Full Business Plan

Applicants chosen to move on to Phase 2 shall submit a thorough business plan, including:

  • Company Summary

  • Products Summary

  • Market Analysis Summary

  • Challenges, Opportunities and Strategies to maximize success

  • Resume, management history and two references

  • Financial Plan (projected income, expense, net profit, pricing, etc.). Please provide enough detail to explain your assumptions, as a profit/loss statement does not provide enough detail. Two-year projections preferred.

  • How many full-time and part-time employees?

  • Start-Up Summary (initial sources and uses)

  • Community Impact Summary stating:

  • How your business will enhance Downtown Red Wing

  • How your business can complement existing businesses in Downtown Red Wing

Business Plans should be emailed to director@downtownredwing.org no later than midnight on May 1, 2024. 

Phase 3 – Final Pitch

The Final Pitch will be a dialogue with the Retail & Restaurant Challenge Committee. Participants will describe their idea in person in front of the committee. The presentation can be verbal or include media (video, PowerPoint, etc). The committee will fully examine the plans and presentations, will contact references and determine the winners.

Rules and Eligibility

Eligibility

  • The contest is open to all legal U.S. residents 18 years of age and older at the time of entry.

  • Proposed businesses must be for-profit.

  • Proposed businesses can be independent operations or franchised.

  • Proposed businesses can be a one-person concept or a team concept.

  • Local businesses can apply as an expansion so long as it introduces a new element in the current business.

  • The contest boundaries are: within the historic downtown area and West End District (see map in this packet).

Official Rules & Regulations

  • Prizes are non-transferable and may not be redeemed for cash; substitutions by Prize Winner are not allowed.

  • Printed copies of business proposals submitted into the contest may not be returned.

  • The Retail & Restaurant Challenge Committee will judge the business concepts and business plans. The Retail & Restaurant Challenge Committee will choose the winner(s)

  • By participating in this contest, you agree to these Official Rules and to all decisions of the Retail & Restaurant Challenge Committee, which are final and binding in all respects.

  • Red Wing Downtown Main Street reserves the right to use participant’s names, likeness, picture, portrait, voice, and written submissions and written or oral statements, for advertising and promotional purposes without additional compensation unless required by law.

  • By entering the contest, you validate the acceptance of a credit and background check.

  • Winner(s) shall assume responsibility for paying for all other items not part of the incentive package.

  • Winners are required to have at least monthly contact with the Retail & Restaurant Challenge Committee prior to opening, in order to keep the Committee apprised of the progress.

  • In accordance with the IRS Code regarding prizes and awards, a Form 1099 may be issued by the Committee to the winner(s). Please consult your tax advisor for additional information.

  • Contingency rules for any loans/agreements shall be given, which is separate from the contest rules.

  • The Winner(s) must have their business open by September 1, 2024 unless an extension is requested in writing by August 1st, 2024 and granted by Red Wing Downtown Main Street. If not completed thereafter, the prize is forfeited and may go to another entrant.

  • By accepting a Prize, the Winner(s) release and discharge Red Wing Downtown Main Street, the Retail & Restaurant Challenge Committee, their affiliated companies, participating sponsors, information providers, content providers, subsidiaries, advertisers, advertising agencies, promotional and marketing agencies, and any other companies involved with or otherwise providing services related to this promotion, and all their respective employees, officers, directors, representatives and agencies from the liability or damage due in whole or in part to the award, acceptance, possession, use or misuse of Prize or from participation in this Competition.

  • Information regarding the winner(s) will be posted on Red Wing Downtown Main Street’s website and will be released to the public.

  • The contest rules are not specifically bound by the category they are in (i.e., “Phase 1”). These category-separations are for easier reading of the rules.

  • The Retail & Restaurant Challenge Committee reserves the right to modify and/or extend the deadline dates.

  • If a Winner is unreachable after 15 days, an alternate winner will be selected.

  • The committee reserves the right to take a phased approach and choose only one or two winners in the first round.

  • The Winner(s) will provide updated financial reports to Red Wing Downtown Main Street quarterly for the first two years of operation. 

Winner(s)

The Winner(s) will be required to enter into a contract with Red Wing Downtown Main Street to receive awarded funds. Contracts will be issued following the conclusion of the competition. The winner(s) will be reimbursed funds upon submission of receipts showing funds used towards agreed-upon eligible expenses. Funds may be applied in any manner that is consistent with business ideas presented in the sales pitch. The winner(s) must maintain a physical location from one year from their contract award date and within the Red Wing area from five years from their contract award date. This ensures that the business will open in the business district for at least one year and stay within Red Wing for five years. The winner will be required to do an interview with Downtown Main Street for promotional purposes of the event.

Questions

Red Wing Downtown Main Street

c/o Retail & Restaurant Challenge

419 Bush Street

Red Wing, MN 55066

Phone: 612-807-0804

Email: director@downtownredwing.org

Map

Red Wing’s Historic Downtown District and Red Wing West End District.

Featured sites TBD

Funding

Sponsors

Friends of the Challenge