Small Business Success Story: Cahoots

Cahoots has a been a Utah institution for more than 35 years, serving the 9th and 9th neighborhood of Salt Lake City along with open-minded, fun-loving customers from all over Northern Utah.

Owner Mike Markus says since its founding, the shop has been owned and operated by members of the gay community, and many members of the gay community have a special place in their hearts for Cahoots.

We talked to Markus about what makes his business unique, his tips for aspiring entrepreneurs and the role that Zions Bank has played in his entrepreneurial journey.

What makes your business unique?

Cahoots is a card and gift store, and has a most unusual inventory — in some ways like no other store does. We have cards that cover from naughty to nice, and not just at Christmas! We produce many of the most popular products in the store ourselves. Some of the best-known examples are our mugs and shot glasses. We also carry a unique line of irreverent novelty soaps that have been popular with customers for years.

In fact, some of our customers live in Park City for part of the year before returning to their homes on the East Coast. Each year they come in and spend hundreds of dollars stocking up on our unique cards because, they tell me, there aren’t any stores like Cahoots on the East Coast. Our largest card vendor has verified this, saying that we are one of the 10 last independent card stores in the United States.

At Cahoots we celebrate Pride month all year long. The store has always been a safe place for people questioning where they belong. We have Pride stickers, flags, shirts, books, and many other ways to show your pride. Come in and visit us at 878 East 900 South. Come be an ally – pick up your Pride flag and display it proudly.

How has Zions Bank helped with your entrepreneurial journey?

I purchased the store nearly 20 years ago and was introduced to the Zions Bank team. They made what seemed like an impossible venture possible. If you haven’t been through the process securing a U.S. Small Business Administration loan, it can be challenging, but the team at Zions Bank supported me every step of the way.

Luckily, the support didn’t stop there. When the pandemic hit, the bankers at Zions helped me secure Paycheck Protection Program (PPP) loans that allowed me to keep paying my employees while the store was closed. Completing these applications — along with the financial documentation they required — is not within my skill set, and I’m grateful to have been able to rely on Zions Bank’s expertise where mine fell short.

Zions has also connected me with a wealth manager and a personal banker that have been extremely helpful in navigating things like home equity loans¹, retirement plans, end of life planning, and even some accounting problems. Without Steve Verno and Dan Bushman, I don’t know if I could have survived. They have made my life so much better.

My advice is that we all need a good doctor, realtor, and accountant, and a really great banker!

What other advice would you share with aspiring entrepreneurs?

Sometimes I do the opposite of what I should do. Card sales across the country are down, card stores are closing, but I continue to bring in new, different and fun cards. Bookstores are closing, so I went and bought used shelving and increased our books by 20 or 30%.

I have a ton of ideas in my head, but like many business owners, I often get bogged down in the day-to-day stuff and am not as creative as I’d like to be.

Card sales have come back in some ways. A handwritten note from your mom on your birthday or a thank you note in the mail means a lot more. People are coming back to old stuff.

Looking to start or grow your own small business? Zions Bank offers online business tools including business templates, columns, videos and financial calculators. Our Business Resource Centers in Salt Lake City and Boise provide 1-on-1 counseling and group training for entrepreneurs.

Zions Bank’s team of relationship managers can help you find the right SBA loan² for your business. Apply for a business loan online anytime or visit a local Zions Bank branch to learn more.

1. Loans subject to credit approval. Terms and conditions apply. See a banker for details.
2. Loans subject to credit approval and SBA approval. Terms and conditions apply. See a banker for details.