Entrepreneurial TITLE and Small Business Development
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1 Entrepreneurial TITLE and Small Business Development Presented by Russ Yelton, President/CEO Yelton and Associates, LLC Arizona Basic Economic Development Course
2 Foundational Benefits Employers Tax Generators Economic Supporters (buy local) Property Owners and Renters Provide Economic Stability Arizona Basic Economic Development Course
3 Entrepreneurial Development Technical Assistance Networks Financing Economic Gardening Arizona Basic Economic Development Course
4 Three Stages of Growth Start-up companies Second stage companies Gazelles (aka high-growth or high-impact companies) Arizona Basic Economic Development Course
5 Entrepreneurial Financing Equity Does not require repayment May lose some control in the business Debt Based on ability to repay Retains ownership of the business Arizona Basic Economic Development Course
6 Small Business Development Small business benefits Usually more closely tied to community (likely to stay) Innovators and job creators Small business risks High general failure rate* Lower average wage* *These risks can be reduced with proper assistance Arizona Basic Economic Development Course
7 Business Development Stages Creating the Business Idea Formalizing the Business Plan Opening the Business Expanding Operations Arizona Basic Economic Development Course
8 Business Incubators Traditionally were real estate opportunities Some have shared support services Should offer business support services Networking is essential Good incubators reflect the communities they support May offer assistance in accessing capital Arizona Basic Economic Development Course
9 Role of the EDO Be Strategic Develop a Strategy Work the Strategy Arizona Basic Economic Development Course
10 Incubation Works 500, ,000 jobs jobs created created by by incubator incubator companies companies since since incubator graduate jobs = 25 more community jobs
11 The Incubation Difference + + =
12 History of Incubation 1959: First U.S. incubator founded in Batavia, N.Y. 1985: National Business Incubation Association founded with 40 members 2015: 25,000 incubators worldwide; 1,500 NBIA members
13 What Incubators Offer Help with business basics Networking activities Shared equipment & services Marketing assistance Help with financing
14 Incubator Staff An incubator manager may have experience In business consulting or development As an entrepreneur In marketing and sales
15 An Incubator Client might be a scientist with a new technology a serial entrepreneur launching a new start-up company a home-based business owner ready to expand
16 Types of Incubators Service (6%) Specialty (3%) Manufacturing (7%) Technology (37%) Mixed Use (47%) Source: 2002 State of the Business Incubation Industry, Sally Linder/NBIA.
17 Incubator Sponsors Educational Institutions Government Entities Economic Development Organizations Source: 2002 State of the Business Incubation Industry, Sally Linder/NBIA.
18 A Good Investment $1 public investment in incubator = $30 in local tax revenue 84% of graduates stay in community Public incubator $1,100 Other public jobs $4,570 Source: Business Incubation Works, University of Michigan, NBIA, Ohio University and Southern Technology Council, 1997; "Cost Per Job Associated with EDA Investments in Urban and Rural Areas," Amy K. Glasmeier, The Pennsylvania State University, 2002.
19 Incubation Programs Mentor Groups Revolving Loan Funds Lunch and Learn Quarterly and Monthly check ins Open book accounting When are you leaving?
20 Incubation Programs Student Programs Shared Core Laboratories Student Research Teams Monthly group meetings Participate or leave
21 About InBIA Annual conference draws 600+ incubation professionals worldwide Quantifying incubation successes and compiling best practices World s leading incubation publisher Advises governments and corporations on business incubation strategies
22 Center for Entrepreneurial Innovation Phoenix, AZ Hosted at Gateway Community College Medical Device Focus Financed: City of Phoenix $2m, EDA $2m College provided acreage
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25 Northern Arizona Center for Entrepreneurship and Technology Located in Flagstaff, AZ 10,000 sq ft original facility $2m EDA, $2m City of Flagstaff New 28,000 sq ft accelerator $4m EDA, $1m ACA/NAU, $2.2 City Mixed Use Focus
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28 Native American Business Incubation Network Northern Arizona Virtual Program Original funding: USDA Provides services to Native Americans
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34 Technology Commercialization Center Access to Cyber Warfare Range 3d Printing Robotics Film Coding Virtual Reality Augmented Reality
35 Create a Program What would you recommend doing for this region? Who would it serve? What would the program look like? How would you fund startup costs for the program? How would you fund ongoing operational costs? What would success look like?
Entrepreneurial TITLE and Small Business Development
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