Optimizing ED s Role in Fostering and Supporting Entrepreneurial Ventures

Optimizing ED s Role in Fostering and Supporting Entrepreneurial Ventures 2019 CALED Annual Training Conference Thursday, March 28, 2019

If you could spend the day with any of the following people, who would it be? A. Paul McCartney B. Sister Teresa C. Nicola Tesla D. Yourself

Common support programs Coworking Spaces Business Plan Competitions Early-stage Accelerators NextSpace Santa Cruz Caltech Resnick Institute Business Incubators Growth-stage Accelerators Makerspaces Santa Clarita Business Incubator Sierra College Makerspace

Mission Model Canvas Key Partners Key Activities Value Propositions Buy-In & Support Beneficiaries Outline partnerships designed to build the MVP, reach customers, maintain relationships, generate revenue, build Key Resources, and reduce costs. Define important actions necessary to operate successfully including implementing the MVP business model, engaging users, maintaining relationships, and generating revenue and/or securing grants. Key Resources Define the physical, intellectual, human, and financial resources needed to create and deliver value, reach markets, maintain relationships, generate revenue and produce Mission Achievement/ Impact Factors Outline a Minimal Viable Product (MVP) comprised of products & services that help customers and donors overcome challenges, mitigate risks, etc.; allowing them to achieve both expected & unexpected outcomes/benefits. Define the type of relationships desired with each customer segment as well as the buy-in needed from supporters to deploy, maintain and sustain the MVP business model. Deployment Define the touchpoints for reaching customer segments and deploying the MVP to maximize use and achieve desired outcomes/benefits. Identify customer segments in the value chain that will benefit directly from the initiative s success. Entrepreneurs Youth SMEs Large Corporations Identify organizations, partners, etc. in the value chain that will benefit indirectly from the initiative s success. Government Academia NGO s Sponsors Private Sector Mission Budget/Costs Mission Achievement/Impact Factors Identify the costs to implement the MVP business model. These costs are used along with revenue streams into generate pro forma Profit & Loss statements, Capital Budgets, and Cash Flow projections. Define specific customer and donor revenue streams while articulating the Mission Achievement/Impact Factors that reflect the aggregated outcomes/benefits desired by the project s donors.

The Value Proposition Canvas Value Propositions Minimal Viable Product (MVP) Beneficiaries Gain Creators Gains Products And Services Jobs Pains Pain Relievers Sources: https://www.strategyzer.com/ and https://steveblank.com/2016/02/23/the-mission-model-canvas-an-adapted-business-model-canvas-for-mission-driven-organizations/

Identify Beneficiaries

Mission Model Canvas - Creative Technology Center (CTC) Key Partners Key Activities Value Propositions Buy-In & Support Beneficiaries Entrepreneurs Students Existing SMEs Large Corporate Users Key Resources Deployment Academic Institutions Service Providers Economic & Workforce Development Organizations Government & Stakeholders Mission Budget/Cost Mission Achievement/Impact Factors

Select Your Beneficiary Identity A. Entrepreneur B. Academic Representative C. Business Assistance Organization D. Government ED Agency/Independent ED Organization

Formulate Value Propositions & Minimal Viable Product (MVP)

Select the #1 Ranked Value Offering A. Counseling/Mentoring Services B. Structured Education & Training C. Connections to Service Providers D. Flexible Work Space E. Access To Capital F. Enhanced/Reliable Broadband G. Social & Networking H. Continuum of Support Services I. Meeting Place J. Multi-Use Sound Studio

Mission Model Canvas - Creative Technology Center (CTC) Key Partners Key Activities Value Propositions Buy-In & Support Beneficiaries Meeting Place Broadband Entrepreneurs Flexible Work Space Social & Networking Existing SMEs Students Key Resources Concept to Commercialization Counseling/Mentoring Services Knowledge Building Multi-Use Sound Studio Deployment Academic Institutions Large Corporate Users Access to Customers Access to Capital Service Providers Connections: Clients to Service Providers Maker Studios Economic & Workforce Development Organizations Structured Education & Training Government & Stakeholders Mission Budget/Cost Mission Achievement/Impact Factors

Establish Mission Achievement/ Impact Factors

Select Your Top Mission Achievement/ A. Enhancing & Maintaining Community Identify Impact Factor B. Creation & Retention of Creative Industry Jobs C. Expansion of Creative Industries Cluster D. Successful & Sustainable Ventures E. Creation of a Sustainable Initiative F. Other

An Acceptable Timeline to Reach Job Creation Metrics A. 1 to 2 Years B. 3 to 4 Years C. 5 to 6 Years D. 7 to 10 Years E. 11+ Years

Deploy MVP and Assess Buy-In & Support

Mission Model Canvas - Creative Technology Center (CTC) Key Partners Key Activities Value Propositions Buy-In & Support Beneficiaries Meeting Place Broadband Government & Stakeholders Entrepreneurs Key Resources Flexible Work Space Social & Networking Concept to Commercialization Counseling/Mentoring Services Knowledge Building Multi-Use Sound Studio Economic & Workforce Development Organizations Deployment Academic Institutions Service Providers Existing SMEs Academic Institutions Students Large Corporate Users Access to Customers Access to Capital Courses & Workshops Service Providers Connections: Clients to Service Providers Maker Studios Counseling & Mentoring Sessions Client/ Provider Exchange Economic & Workforce Development Organizations Structured Education & Training Government & Stakeholders Mission Budget/Cost Mission Achievement/Impact Factors Expansion of Creative Industries Cluster Enhancing & Maintaining Community Identity Successful & Sustainable Ventures Creation & Retention of Creative Industry Jobs Creation of a Sustainable Initiative

Identify Key Resources & Key Activities

Mission Model Canvas - Creative Technology Center (CTC) Key Partners Key Activities Value Propositions Buy-In & Support Beneficiaries Hire Qualified Staff Execute Social Media Plan Build Mentor & Resource Network Generate Performance Reports Key Resources Select Clients Graduate Clients Execute Implement Exchange Platform Raise Funds Meeting Place Flexible Work Space Knowledge Building Broadband Social & Networking Concept to Commercialization Counseling/Mentoring Services Multi-Use Sound Studio Government & Stakeholders Economic & Workforce Development Organizations Deployment Academic Institutions Service Providers Entrepreneurs Existing SMEs Academic Institutions Students Large Corporate Users CTC Management Resource Network Access to Customers Access to Capital Courses & Workshops Service Providers CTC Facility Course & Workshop Content CTC Operating Agreements Partner Programs & Services Equity & Debt Capital Connections: Clients to Service Providers Structured Education & Training Maker Studios Counseling & Mentoring Sessions Client/ Provider Exchange Economic & Workforce Development Organizations Government & Stakeholders Mission Budget/Cost Mission Achievement/Impact Factors Expansion of Creative Industries Cluster Enhancing & Maintaining Community Identity Successful & Sustainable Ventures Creation & Retention of Creative Industry Jobs Creation of a Sustainable Initiative

Establish & Define Key Partnerships

Mission Model Canvas - Creative Technology Center (CTC) Key Partners Key Activities Value Propositions Buy-In & Support Beneficiaries Community College County SBDC & State SBDC Network County Film Commission County Office of ED Primary & Secondary Educ. Institutions County Visitors Bureau Economic Development Corporation Hire Qualified Staff Execute Social Media Plan Build Mentor & Resource Network Generate Performance Reports Key Resources CTC Management Select Clients Graduate Clients Execute Implement Exchange Platform Raise Funds Resource Network Meeting Place Flexible Work Space Knowledge Building Access to Customers Broadband Social & Networking Concept to Commercialization Counseling/Mentoring Services Multi-Use Sound Studio Access to Capital Government & Stakeholders Economic & Workforce Development Organizations Deployment Academic Institutions Service Providers Courses & Workshops Entrepreneurs Existing SMEs Academic Institutions Students Large Corporate Users Service Providers State Creative Industries Division Film Accelerator CTC Facility Course & Workshop Content CTC Operating Agreements Partner Programs & Services Equity & Debt Capital Connections: Clients to Service Providers Structured Education & Training Maker Studios Counseling & Mentoring Sessions Client/ Provider Exchange Economic & Workforce Development Organizations Government & Stakeholders Mission Budget/Cost Mission Achievement/Impact Factors Expansion of Creative Industries Cluster Enhancing & Maintaining Community Identity Successful & Sustainable Ventures Creation & Retention of Creative Industry Jobs Creation of a Sustainable Initiative

Create Budgets/Cost & Determine Sustainability

Mission Model Canvas - Creative Technology Center (CTC) Key Partners Key Activities Value Propositions Buy-In & Support Beneficiaries Community College County SBDC & State SBDC Network County Film Commission County Office of ED Primary & Secondary Educ. Institutions County Visitors Bureau Economic Development Corporation Hire Qualified Staff Execute Social Media Plan Build Mentor & Resource Network Generate Performance Reports Key Resources CTC Management Select Clients Graduate Clients Execute Implement Exchange Platform Raise Funds Resource Network Meeting Place Flexible Work Space Knowledge Building Access to Customers Broadband Social & Networking Concept to Commercialization Counseling/Mentoring Services Multi-Use Sound Studio Access to Capital Government & Stakeholders Economic & Workforce Development Organizations Deployment Academic Institutions Service Providers Courses & Workshops Entrepreneurs Existing SMEs Academic Institutions Students Large Corporate Users Service Providers State Creative Industries Division Film Accelerator CTC Facility Course & Workshop Content CTC Operating Agreements Partner Programs & Services Equity & Debt Capital Connections: Clients to Service Providers Structured Education & Training Maker Studios Counseling & Mentoring Sessions Client/ Provider Exchange Economic & Workforce Development Organizations Government & Stakeholders Mission Budget/Cost Mission Achievement/Impact Factors $8.3 Million Capital Budget $700,000 Startup Budget Approximate $600,000 Annual Operating Budget Reaches Sustainability Within 5 Years After Facility Completion Expansion of Creative Industries Cluster Enhancing & Maintaining Community Identity Successful & Sustainable Ventures Creation & Retention of Creative Industry Jobs Creation of a Sustainable Initiative

Understand your opportunities Meetups Startup Biz-Plan Competitions Education/Vo-tech Coworking Spaces Seed Accelerators Incubators Maker Spaces Coworking Spaces Growth-stage Accelerators Economic Gardening Incubators Maker Spaces Coworking Spaces Providing space can be valuable but buildings DO NOT build businesses! Entrepreneurs seek solutions not programs!

Build an entrepreneurial culture Build the creative class Foster innovation Make failure acceptable Make entrepreneurship and small business a key part of your community message. Integrate innovation & entrepreneurship into K-12 and post-secondary education.

ED and innovation To Open Up Transformative Innovation and truly be disruptive in their respective domains, these participants need to strive to move to a higher level of innovation. Such change is also needed to sustain business operations and remain relevant in a changing and competitive marketplace. Horizon 1 Innovation Business as usual. Horizon 2 Innovation Innovations become more effective than the original system (i.e., business as usual) through the use of technology and innovative business practices. Horizon 3 Innovation Radical innovation that introduces a completely new way of doing things. (Source: Baghai, Coley, White adapted by Steve Blank)

Critical Factors to Success Insure that your offerings help your entrepreneurs and supporters achieve their desired outcomes! Manage Expectations!

Presenter Chuck Wolfe, President Claggett Wolfe Associates 3108 Sunshine Meadow Ln Auburn, CA 95602 (530) 878-8016 cwolfe@claggettwolfe.com www.claggettwolfe.com

Resources Business Data US Census Bureau County Business Patterns https://www.census.gov/data.html US Cluster Mapping www.clustermapping.us/ Entrepreneurship Training Programs FastTrac - www.fasttrac.org NxLevel - www.nxlevel.org Business Incubator, Accelerator & Coworking Space Associations International Business Innovation Association www.inbia.org Global Accelerator Network http://gan.co/ Coshare (coworking) http://www.coshare.co/ Sources of Small Business Financing SBA 7a & 504 Programs (e.g., CDC Small Business Finance https://cdcloans.com/ ) CA Small Business Finance Center http://ec2-52-39-222-77.us-west- 2.compute.amazonaws.com/ibank/programs/what-is-the-sbfc SBA Microlending Program Lending Tree https://www.lendingtree.com OnDeck https://www.ondeck.com Crowd Funding Platforms [e.g., https://www.kickstarter.com, https://www.indiegogo.com)]

Resources Other Entrepreneurship Support Programs & Resources Edward Lowe Foundation Economic Gardening program http://edwardlowe.org/entrepreneurship-programs/economic-gardening/ E2 Entrepreneurial Ecosystems (formerly Center for Rural Entrepreneurship) http://www.energizingentrepreneurs.org/ Startup Weekend - https://startupweekend.org/ Web Portals SBA.gov & SBDCnet.org Inc.com Entrepreneur.com AllBusiness.com California Governor s Office of Business and Economic and Economic Development Go-Biz ihub Program http://business.ca.gov/programs/innovation.aspx SCORE https://www.score.org/