I would like to address the issue of the City of Hickory's proposed Small Business Job Growth Team. I hate to be a skeptic, but forming this committee 6 months before an election, in a City that is near the bottom of the entire country economically, is somewhat suspect. But for now I will be open minded and accept it as a sincere initiative. I think that it could be a good idea and could help invigorate our community.
There are a couple of opinions I would like to express in regard to this. First, is that the City should only have a role as a source of information, a source of contacts to bring together interested parties (entrepreneurs, financiers, technical advisors, etc.), and possibly provide a token aid such as waiving the first year’s business license fee. No city financing, ownership, or even use of a new business as a vendor outside of the normal bidding/contracting process should be used in my opinion. It should be available to all interested parties and one industry or niche should not be promoted over others. It should be the sole responsibility of the prospective entrepreneurs and investors to do the due diligence to ensure success. All results, good or bad are solely on the backs of the participants, not the City.
While the backbone of the committee would be a “blue ribbon” panel of proven business leaders, it would seem that a strong web initiative should be a component of this. Many newcomers to
Secondly, the focus should be on new business creation. Retention or expansion of existing businesses is a slippery slope that could lead to propping up poorly managed, or obsolete businesses. While the information base should be available to all, keeping up with industry trends and a particular business’ response to current circumstances is part of the ongoing job of running a business and is the owner’s responsibility. Ongoing market analysis and marketing efforts are too much for the City to assume. There is also a lot of potential for acrimony, when one business owner is upset that a competing business got City help and his business didn’t. Many citizens could, with some justification, see this as a bailout similar to what our esteemed President is doing. Furthermore, the City can’t be the expert in every business and what the trends or potential is in every facet of the economy. The bottom line is that we could encourage and assist start-ups, but they will soon have to sink or swim on their own.
The elements that I think would be valuable for the City to facilitate include:
a) A forum for ideas that could become businesses – cutting edge technologies, unique and creative businesses from other areas that could be duplicated here, hot growth areas, etc.
b) General business information sources (the usual accounting, legal structure, demographic info, market research, license requirements, etc.)
c) A mechanism for prospective entrepreneurs to try to establish a relationship with local investors if possible. If not, then provide info on conventional, SBA, or creative financing options.
d) A voluntary mentoring program matching seasoned business owners with the new business owner to advise and help guide the start-up from planning, to setup and hopefully until a stable business is achieved.
My hope is that this committee will serve to generate ideas, provide information, and lead to the development of relationships that will make us the premier area for the development of entrepreneurial initiative and excellence.
1 comment:
great suggestions harry, especially regarding technology. i hope they listen.
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