Lake County family-run businesses hope to benefit from work of congressional group; ‘We’re trying to hang on’

As chairman Demetre Selevredes II walks into Federal Supply USA in Waukegan, he may see two of his children — now key company executives — and two of his grandchildren, who also work there.

Started by Selevredes’ father more than 91 years ago, he said he and his children are committed to keeping the basic restaurant supply distributor operating for generations to come. It now ships around the world with facilities in four states, including Illinois.

“It gives me a great sense of accomplishment and pride,” Selevredes said. “I wish my mother and father were here to see this happening.”

Federal Supply is one of the businesses U.S. Rep. Brad Schneider, D-Highland Park, had in mind when he and three of his colleagues began the Congressional Family Business Caucus earlier this month in Washington, D.C. to focus on issues of generational, family-owned businesses.

Generational family businesses employ 59% of the country’s private workforce, and are responsible for approximately 83 million jobs. Schneider said only a third of family businesses reach the second generation, 10% get to the third generation and 1% employ members of a fourth generation, like Federal Supply.

“Family businesses fill a special niche,” Schneider said. “They look at ways they can serve their customers, and the next generation of their family. They provide a path to success for businesses in our community.”

Seeking more members, Schneider said the caucus will meet in Washington and members’ districts to hear from the businesses and learn their needs. It is bipartisan group started by Schneider, Rep. Jodey Arrington, R-Texas, Rep. Tom O’Halleran, D-Ariz., and Claudia Tenney, R-N.Y.

Along with Selevredes and his daughter, owners or operators of other Lake County multigenerational family run businesses like Kiddles Sports in Lake Forest, Louie’s restaurant in Waukegan and Supermercado Gonzalez welcome the caucus and have ideas about it.

Adam Carson, who is the co-general manager of Supermercado Gonzalez’s Waukegan store — a second location is in North Chicago — with his wife Nydia Gonzalez-Carson, the founders’ daughter, said they want to receive the same benefits from the government that major corporations do.

“Businesses with 50 or less employees need the same access to capital as large corporations,” Carson said. “They need the same concerted effort to upgrade a refrigeration system, repair a roof or upgrade technology.”

When the coronavirus pandemic changed the way restaurants operate, George Patterson — the third generation of his family to operate Louie’s after his father, uncles and grandfather — also said equal access to capital became critical when the coronavirus pandemic broke out. Help is still needed.

“We are the people who need the help,” Patterson said. “When I took my draw for the PPP (pandemic) loan, we still needed help. We were all trying for the same resources. We’re trying to hang on. It’s very hard to grow right now.”

Nicole Selevredes, Federal Supply’s president and Demetre Selevredes’ daughter, said she hopes communication with caucus members will lead to relief with both taxes and regulations. Filing income tax returns in more than 20 states as well as with the Internal Revenue Service takes a toll.

“We are trying to make people’s lives easier,” Nicole Selevredes said. “Sometimes we have to pass it on to our customers. We’d like to pay our employees more. Some have been here a long time.”

Family-run businesses like Kiddles operate both to earn a profit now, but also to build the businesses so they can be managed by the next generation, the one after that and hopefully more to come.

Jay Shlifka, who owns Kiddles with sons Aric and Lee, said his father bought the business in 1968, he joined after finishing college in 1968 and his sons have worked there full-time for more than 15 years. They take a long-term approach to growth.

“You respect your past, keep an eye on the present and an omnipresent eye on the future,” Jay Shlifka said. “Our accountant is my friend, and he helps me keep our finances in order.”

Gonzalez-Carson said developing a place in the community is an important element as they grow the business so one day their children will operate it and earn a good living. Getting known is crucial.

“Being a small (family) business, we must be involved with the community,” Gonzalez-Carson said. “It’s important to leave the place better than we found it. Our kids are an important part of that.”

For Federal Supply, Nicole Selevredes said part of the reason for the company’s success over the years is treating employees like family. One person will retire at the end of the year after 38 years.

“We’ll celebrate birthdays and special days,” she said. “We try to keep it fun. When someone needs time away or needs to work remotely for a while, we try to make it possible.”