The Small Business Voice: April 2020
The Small Business Voice April 2020
America’s SBDC: Creating New Businesses, Generating Jobs, Returning Revenues
To Federal / State Government & Providing Economic Injury Disaster Assistance Now
By Deborah K. Smarth
The NJSBDC network helps its clients create and save thousands of jobs each year. While in Washington, D.C. for meetings with members of our state congressional delegation during the week of February 10th, one thing was clear. The New Jersey congressional delegation members understand the impact our 12-center state network has on the regional and state economy. They also understand the impact of our national network of SBDCs, America’s SBDC. That is why they fight hard to ensure that the national program receives stable or increased federal funding every federal fiscal year, so that New Jersey’s small businesses and entrepreneurs receive comprehensive assistance from the NJSBDC statewide program serving business owners in all 21 counties. The enacted stimulus package enhances support for the small business sector now.
America’s SBDC is the nation’s largest, proven, cost-effective small business assistance network in the United States and its territories, serving businesses for 40 years. New Jersey’s SBDC was one of the first pilot projects in the nation, headquartered at Rutgers Business School, serving the small business sector for 42 years. The Legislature has provided solid support for this program, historically. Now, in this era, our SBDC network experts are there to assist business owners during this time of crisis. The latest available national ROI report (Fiscal Year 2018) of America’s SBDC reveals tremendous impact. The following report data for SBDC long-term clients nationally (receiving five or more hours of counseling) indicates:
- $5.6 billion in financing was facilitated;
- For every federal dollar, $2.16 was returned in federal revenue; $2.81 returned in state revenue; and $45.47 returned in new capital;
- $267 million in federal revenues was generated while $346 million was generated in state revenues;
- 99,194 jobs were created and job growth for the average SBDC long-term client stood at 17.7% as compared to 1.5% for the national average;
- 66.7% of pre-venture SBDC in-depth clients start new businesses; between 2017 and 2018, 16,499 new businesses were started by long-term clients.
- $7 billion in new sales were generated; annual sales growth for the average SBDC client stood at 18% compared to 5.6% for the national average.
According to MIS data, for State Fiscal Year 2018-2019 (July 1, 2018- June 30, 2019), New Jersey’s SBDC:
- Provided customized one-on-one counseling for 4,727 clients, delivering 23,635 total counseling hours; 966 clients started a new business; 60% of all clients were established businesses; sponsored 491 training sessions statewide with 7,098 attendees;
- Facilitated $98 million in total financing for clients; helped clients create and save more than 15,000 jobs.
Due to strong infrastructure, higher education institution partnerships, and diverse business experts in the nation, the SBDC helps small businesses think BIG! And, we return “BIG IMPACT!” We are now on the ground assisting small businesses during these challenging times.
Deborah K. Smarth is Chief Operating Officer and Associate State Director of the New Jersey Small Business Development Centers Network
starting Your Business
If you are planning on starting a small business, NJSBDC, with the help of the Small Business Administration (SBA), is here to make your small business dreams a reality. Become a client and see how.
Expanding Your Business
If you are an existing business with annual revenue of up to $1 million or have more than $1 million in revenue and/or 10 or more employees, NJSBDC can help you expand your market share as a company and grow your vision into a successful company. Become a client and see how.