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n the economic development world, retention and expansion of an area’s existing businesses is key to growth and development of a community.
In Mineral County we are fortunate to have a diverse business community. Many of our businesses were initially entrepreneurial in nature, that is, someone had an idea that was the basis for a business and it grew until now they are small to mid-size companies that provide products and services to clients around the world. These are among our most important employers.
That is not to say that the large manufacturers are not important for our employment. They are, but small business makes up 90 percent of the nation’s economy. That is not just something to say. It is true and the more small and mid-size businesses we have the more we are likely to grow and prosper.
Even successful small and mid-size businesses need help occasionally. Sometimes a business needs assistance to reinvest in new technology or training or retraining for employees on new equipment or processes. A business may want to expand in its existing location or locate a new facility at another location.
Those are things that the Mineral County Development Authority can help with through local, state and federal programs that offer business incentives, tax credits and training dollars as well as site selection and even relocation assistance, if necessary.
As the executive director of the Development Authority, I, along with a state development office representative, regularly visit the larger small and mid-size businesses in the county as well as the larger manufacturers. These visits have helped with expansion opportunities for companies and provided assistance with training.
If a company is interested in expanding there are incentives based on the increase in the number of jobs that will be created, tax credits for the purchase or lease of
equipment and low-cost loans that can assist the company. A team of state economic development representatives can help the business put together a program based on the company’s business plan and goals for the expansion. There are even local tax incentives for the right project that will enhance the county’s economic development base.
Business incubators can foster entrepreneurial and small business growth but an incubator requires a lot of nurturing of its own in order to be able to nurture ideas that become successful businesses.
A business incubator is more than a building that provides low-rent space for startup companies, though that is a place to start.
There is no business incubator currently in Mineral County and before we think about starting one there are a number of questions we need to ask ourselves first, according to information available from the International Economic Development Council.
The first is to know the goals for the incubator and to recognize that such a project is a long-term strategy not one that is likely to pay enormous dividends in the short-term.
What would be our goals?
Is it to diversify the local economy?
Is it to create jobs?
Or maybe, is it to revitalize a neighborhood?
How about, reuse an empty building?
Perhaps all of these goals and others could be incorporated into a business incubator project, but we must be realistic.
The process to set up an incubator can take at least two years – from completing a feasibility study to applying for funding, renovating or building the space and getting a manager in place. A manager/director is key to the success of an incubator. This is the person that is going to come into daily contact with the businesses, discussing with them their needs and successes.
The goal is for the business to be successful enough that it can move out on its own within a specified period of time as stated on the company’s original contract with the incubator.
Again, business incubation is a long-term economic recovery strategy, not one that will help employment immediately after a factory or other business closes.
This is a thought that really hadn’t occurred to me until I got more interested in the possible need for a business incubator: “An incubator is a business, not a real estate deal.” Not just any old empty building can or should be an incubator facility.
As a rule, a business incubator needs to be self-sufficient as a business after three to five years.
Here, also, it becomes very important to understand that the manager also is key to the success of the project as a business and the businesses that graduate from it.
And graduate from it, businesses must. An incubator needs to be able to do more for its clients (entrepreneurs) than just to boost the bottom line with low-cost rent. It needs to get these fledgling companies on their feet and move them out into the real world with the tools, skills and knowledge to be successful.
That means learning opportunities must be provided to the incubator clients. This is where partnerships come in. Partnering with vocational programs in local public schools as well as higher education offer a wide range of programs to improve skill sets for employees of small businesses, whether they are located in an incubator or not.
Through local Small Business Development Center programs, entrepreneurs have entrée to assistance in doing business plans, classes in marketing, finance and bookkeeping as well as business hospitality. It is the business incubator manager who can coordinate these activities, not only for the incubator clients but other small and mid-size businesses that may wish to participate.
It may be an idea whose time has come for Mineral County or it may be that there are better opportunities with a virtual incubator, economic gardening or other partnerships in small business development.
For additional information on business incubators or other economic development issues, contact me, Mona Ridder, Mineral County Development Authority, Grand Central Business Center, Suite 3011, Keyser; call 304-788-2233 or e-mail info@wv-mcda.com
(Mona Ridder is executive director of the Mineral County Development Authority and will write these columns occasionally to help keep our readers informed about economic development issues in the county.)
n the economic development world, retention and expansion of an area’s existing businesses is key to growth and development of a community.
In Mineral County we are fortunate to have a diverse business community. Many of our businesses were initially entrepreneurial in nature, that is, someone had an idea that was the basis for a business and it grew until now they are small to mid-size companies that provide products and services to clients around the world. These are among our most important employers.
That is not to say that the large manufacturers are not important for our employment. They are, but small business makes up 90 percent of the nation’s economy. That is not just something to say. It is true and the more small and mid-size businesses we have the more we are likely to grow and prosper.
Even successful small and mid-size businesses need help occasionally. Sometimes a business needs assistance to reinvest in new technology or training or retraining for employees on new equipment or processes. A business may want to expand in its existing location or locate a new facility at another location.
Those are things that the Mineral County Development Authority can help with through local, state and federal programs that offer business incentives, tax credits and training dollars as well as site selection and even relocation assistance, if necessary.
As the executive director of the Development Authority, I, along with a state development office representative, regularly visit the larger small and mid-size businesses in the county as well as the larger manufacturers. These visits have helped with expansion opportunities for companies and provided assistance with training.
If a company is interested in expanding there are incentives based on the increase in the number of jobs that will be created, tax credits for the purchase or lease of
equipment and low-cost loans that can assist the company. A team of state economic development representatives can help the business put together a program based on the company’s business plan and goals for the expansion. There are even local tax incentives for the right project that will enhance the county’s economic development base.
Business incubators can foster entrepreneurial and small business growth but an incubator requires a lot of nurturing of its own in order to be able to nurture ideas that become successful businesses.
A business incubator is more than a building that provides low-rent space for startup companies, though that is a place to start.
There is no business incubator currently in Mineral County and before we think about starting one there are a number of questions we need to ask ourselves first, according to information available from the International Economic Development Council.
The first is to know the goals for the incubator and to recognize that such a project is a long-term strategy not one that is likely to pay enormous dividends in the short-term.
What would be our goals?
Is it to diversify the local economy?
Is it to create jobs?
Or maybe, is it to revitalize a neighborhood?
How about, reuse an empty building?
Perhaps all of these goals and others could be incorporated into a business incubator project, but we must be realistic.
The process to set up an incubator can take at least two years – from completing a feasibility study to applying for funding, renovating or building the space and getting a manager in place. A manager/director is key to the success of an incubator. This is the person that is going to come into daily contact with the businesses, discussing with them their needs and successes.
The goal is for the business to be successful enough that it can move out on its own within a specified period of time as stated on the company’s original contract with the incubator.
Again, business incubation is a long-term economic recovery strategy, not one that will help employment immediately after a factory or other business closes.
This is a thought that really hadn’t occurred to me until I got more interested in the possible need for a business incubator: “An incubator is a business, not a real estate deal.” Not just any old empty building can or should be an incubator facility.
As a rule, a business incubator needs to be self-sufficient as a business after three to five years.
Here, also, it becomes very important to understand that the manager also is key to the success of the project as a business and the businesses that graduate from it.
And graduate from it, businesses must. An incubator needs to be able to do more for its clients (entrepreneurs) than just to boost the bottom line with low-cost rent. It needs to get these fledgling companies on their feet and move them out into the real world with the tools, skills and knowledge to be successful.
That means learning opportunities must be provided to the incubator clients. This is where partnerships come in. Partnering with vocational programs in local public schools as well as higher education offer a wide range of programs to improve skill sets for employees of small businesses, whether they are located in an incubator or not.
Through local Small Business Development Center programs, entrepreneurs have entrée to assistance in doing business plans, classes in marketing, finance and bookkeeping as well as business hospitality. It is the business incubator manager who can coordinate these activities, not only for the incubator clients but other small and mid-size businesses that may wish to participate.
It may be an idea whose time has come for Mineral County or it may be that there are better opportunities with a virtual incubator, economic gardening or other partnerships in small business development.
For additional information on business incubators or other economic development issues, contact me, Mona Ridder, Mineral County Development Authority, Grand Central Business Center, Suite 3011, Keyser; call 304-788-2233 or e-mail info@wv-mcda.com
(Mona Ridder is executive director of the Mineral County Development Authority and will write these columns occasionally to help keep our readers informed about economic development issues in the county.)
