Presentation on theme: "NEXT STEPS: For Rural Entrepreneurship Development in Iowa Community Vitality Center A Catalyst for Creating Real Impact in Real Communities."— Presentation transcript:
NEXT STEPS: For Rural Entrepreneurship Development in Iowa Community Vitality Center A Catalyst for Creating Real Impact in Real Communities
Community Vitality Center The mission of the Community Vitality Center (CVC) is to serve as a catalyst for innovative projects and initiatives designed to improve the vitality of non metro communities. Community Entrepreneurship Community Philanthropy Community Vitality Policy Studies
Entrepreneurship in the U.S. Global Entrepreneurship Monitor (GEM) estimates 10.5% of adult U.S. population is engaged in entrepreneurial activities 36 % of U.S. Entrepreneurs are age female Entrepreneur for every 1.5 male entrepreneurs, with parity in age bracket
Entrepreneurial Participation GEM- Highest U.S. Entrepreneurial participation are those with high school diploma Entrepreneurs without a high school diploma tend to focus more on self-employment Those with college degrees tend to have alternative employment opportunities
Micro Entrepreneurs – 5 or less employees ISED - Aspen Institute – Low-Income Entrepreneurs reduced reliance on govt. assistance by 61 percent or $1,679 per year. 72% of low income micro entrepreneurs experienced gains in household income over 5 years. Average gain was $8, % moved out of poverty CFED- 49% of low-income micro entrepreneurs survived 5 years – comparable to national avg.
Entrepreneurship in Iowa CVC - 10 Community Forums CVC- 50% of Participants were Entrepreneurs 32% involved in a startup business 19% thinking about starting a business. Generated 20 Ideas for Community Entrepreneurship Checklist (see
CVC - 10 Community Forums 88% favored local partnerships and community initiatives to create entrepreneur development, business startups, & seed capital programs. 67% favored linking local entrepreneurs to regional expertise, networks, regional development groups, and industry clusters for specific ventures. 11% favored self-help entrepreneurship solely as a private sector initiative without public sector involvement.
CVC – Communities of Distinction 8 nonmetro communities, 75 leaders: local gov’t, econ. develop., healthcare, & education All identified at least one homegrown business started in an earlier decade but is now a major employer in the community. None could identify local entrepreneurship programs in place beyond revolving loan funds. All were very interested in what could be done locally on a cost-effective basis, underscoring Iowa’s potential.
Getting Started: #1. Organize a Community Entrepreneur Development Team Organize a broad-based CED Team Entrepreneur support is different from other ED Strategies More networks = more potential business prospects Inclusiveness contributes to success as long as Executive Committee can manage process
Who Should Be on The Team? Attorney Accountant Banker Business Start-up Services Insurance Successful entrepreneurs Existing companies interested in growth Development Corps/Chambers Utilities Angel Investors Local Colleges Local Extension Regional SBDC K-12 School Tech & Entrepreneur Teachers Healthcare Entrepreneurs Local Government Potential Mentors Local “spark plugs” Community Benefactors Ag Entrepreneurs Faith-based groups
#2. Conduct Local Inventory of Entrepreneur Development Assets Map local assets using CVC Checklist Provide a one point of contact for entrepreneurs to access local information and networks Create a resource notebook for contacts and referrals Raise awareness of what is available and how to access local networks
Other Suggested Tools Develop a list of “gaps & niches” that would add to the local entrepreneurial support system. Consider CVC’s Business Plan Competition Network or other Awards & E-ship Recognitions Create entrepreneurial peer groups and mentoring networks so each entrepreneur doesn’t have to “re-invent the wheel” Fairfield Entrepreneurs Association Ag Ventures Alliance Conduct workshops to assess strategies for filling the gaps and niches locally and/or by building linkages to external resources Entrepreneurs say they learn 85% of what they know from other Entrepreneurs
Community Vitality Center Dr. Mark A. Edelman, Director Phone: Website: