Building An Entrepreneur Friendly Community

Insert Community Name Insert Presentation Date

Overview

Presentation Goals

• Raise the awareness regarding the value of entrepreneur based employment in (name of community)

• Identify the community support necessary to build a knowledge economy

• Outline the “Building an Entrepreneur Friendly Program” of Ohio State University Extension and (name of organization delivering curriculum)

Economy Transitions

• An Agriculture Economy

• A Manufacturing Economy

• A Knowledge-based Economy

A Manufacturing Economy

(Name of Community) Trends

President Eisenhower and the 50’s

What major construction program didPresident Eisenhower initiate that

changedthe American economy?

The Interstate Highway System

• Began with the National Interstate and Defense Highways Act of 1956

• Three states claim to be the first stretch of interstate highway

1. Missouri signed first three construction contracts on August 2, 1956

2. Kansas first to start paving on September 26, 19563. Pennsylvania Turnpike piece opened on October 1, 1940

Local Community Quarterly Employment: 1995-2006

Source: Ohio Bureau of Labor Market Statistics

State & county annual average employment for 12 years.

Total Employment 2006: 12,262

Total Employment 1995: 10,223

(Name of Community) Quarterly Employment: 4th Quarter 2007 compared to 2001

Source: Ohio Bureau of Labor Market Statistics

Health Care & Social Assistance 3001/2734

Retail trade 1515/1885

Accommodation & Food Services 923/971

Utilities 809/839

Manufacturing 628/1021

Construction 534/405

FIRE 454/423

Administrative & Waste Services 354/151

Other 354/324

Transportation & warehousing 244/327

Wholesale Trade 230/206

Information 96/145

Professional & Technical Services 93/83

Agriculture and Forestry 45/44

Arts, entertainment and recreation 44/28

(Name of Community) Manufacturing

Source: Ohio Bureau of Labor Market Statistics

Summary Profile For: Community Name (View Map)NAICS Code: 31-33 - Manufacturing

NA=suppressed due to confidentiality

Item Type(definitions)

Number of Establishments

AllEmployees

Total Wages (in thousands) 

Average Annual Wage

2000 20 1,065 $37,492 $35,217

2001 20 992 $35,415 $35,716

2002 19 1,010 $36,665 $36,299

2003 23 953 $31,846 $33,434

2004 25 874 $32,534 $37,214

2005 24 789 $27,508 $34,879

2006 21 657 $26,062 $39,688

Absolute Change2000-2006

1 -408 $-11,430 $4,471

Percent Change2000-2006

5.0% -38.3% -30.5% 12.7%

(Name of Community) Administrative Services

Source: Ohio Bureau of Labor Market StatisticsSummary Profile For: Name of Community  (View Map)

NAICS Code: 56 - Administrative and waste servicesNA=suppressed due to confidentiality

Item Type(definitions)

Number of Establishments

AllEmployees

Total Wages (in thousands) 

Average Annual Wage

2000 25 209 $2,963 $14,209

2001 26 197 $2,903 $14,759

2002 29 406 $5,840 $14,385

2003 32 441 $6,782 $15,373

2004 32 377 $6,713 $17,815

2005 28 330 $6,349 $19,259

2006 25 299 $5,189 $17,351

Absolute Change2000-2006

0 90 $2,227 $3,142

Percent Change2000-2006

.0% 43.1% 75.2% 22.1%

(Name of Community) Information

Source: Ohio Bureau of Labor Market Statistics

Summary Profile For: Name of community (View Map)NAICS Code: 51 - Information

NA=suppressed due to confidentiality

Item Type(definitions)

Number of Establishments

AllEmployees

Total Wages (in thousands) 

Average Annual Wage

2000 7 133 $3,529 $26,636

2001 8 144 $3,602 $25,104

2002 8 151 $3,713 $24,549

2003 8 156 $3,732 $23,886

2004 8 154 $3,817 $24,719

2005 7 96 $2,885 $29,918

2006 9 93 $2,996 $32,105

Absolute Change2000-2006

2 -40 $-533 $5,469

Percent Change2000-2006

28.6% -30.1% -15.1% 20.5%

(Name of Community) County Healthcare & Social Assistance

Source: Ohio Bureau of Labor Market Statistics

Unavailable

Number of Workers by Size of Firm Source: Ohio Bureau of Labor Market Statistics

Size of Firm Number of Workers

2007/2004

Four and under 513/603

5-9 880/809

10-19 1011/993

20-49 1285/1459

50/99 1303/1345

100-249 1425/1202

250-499 1408/1833

500-999 Suppressed to maintain confidentiality.

One thousand and over Suppressed to maintain confidentiality.

Number of Establishments by Size of Firm Source: Ohio Bureau of Labor Market Statistics

Size of Firm Number of Establishments

2007/2004

Four and under 314/331 (-90 jobs)

5-9 134/121 (+71 jobs)

10-19 77/77 (+18 jobs)

20-49 46/49 (-174 jobs)

50-99 20/19 (-42 jobs)

100-249 11/10 (+203 jobs)

250-499 4/6 (-425 jobs)

500-999 Suppressed to maintain confidentiality

One thousand and over Suppressed to maintain confidentiality

Group Discussion

Based on the previous information:

• How would you describe the (community name) business community?

• What is the impact of small firms in (community name) economy?

State Job Outlook 2014 Source: Ohio Bureau of Labor Market Statistics

-77.7

-9.1

4.9

18.0

21.9

22.4

24.8

46.6

47.0

60.8

123.0142.0

-100 -50 0 50 100 150

Education & Health Serv

Prof. & Business Services

Leisure and Hospitality

Government

Wholesale & Retail Trade

Construction

Financial Activities

Other Services

Transportation & Utilities

Information

Natural Resources

Manufacturing

Thousands

(Name of Community) Professional Services

Source: Ohio Bureau of Labor Market Statistics

Summary Profile For: Name of Community (View Map)NAICS Code: 541 - Professional and technical services

NA=suppressed due to confidentiality

Item Type(definitions)

Number of Establishments

AllEmployees

Total Wages (in thousands) 

Average Annual Wage

2000 26 80 $1,432 $17,879

2001 27 81 $1,488 $18,314

2002 26 82 $1,457 $17,809

2003 NA NA NA NA

2004 NA NA NA NA

2005 NA NA NA NA

2006 24 98 $3,092 $31,521

Absolute Change2000-2006

-2 18 $1,660 $13,642

Percent Change2000-2006

-7.7% 22.5% 115.9% 76.3%

State Economic Analysis, 2007Source: Ohio Department of Jobs and Family Services, Office of Workforce Development

Two long-term trends will continue:

• women will continue to participate in the labor force in greater numbers

• the overall labor force will continue to age

In addition four out of the top six growthindustries will be in health care.

State Economic Analysis, 2007Source: Ohio Department of Jobs and Family Services, Office of Workforce Development

Skills-based analysis points to the need for a

highly literate workforce with more• critical thinking• communication-related skills

Region X Workforce Analysis Report

Source: Ohio Department of Jobs and Family Services, Office of Workforce Development Most important workplace skills to

developin the Region X• reading comprehension• critical thinking• active listening• speaking• coordination

The Knowledge Economy

The New Superhighway

What is today’s new superhighway?

TECHNOLOGY and EDUCATION

Knowledge Based Economy

• Use of information to generate ideas leading to new innovations

• Knowledge based growth is created from people’s ability to combine education, experience and ingenuity

Source: Can Rural America Support a Knowledge EconomyHenderson & Abraham; Federal Reserve Bank of Kansas City

• Entrepreneurs are a key driving force of the knowledge economy

A Knowledge Based Business

• Is a childcare service a knowledge based business?

Knowledge Economy Skill Level

• The state needs more then 230,000 additional college students enrolled by 2017 to participate in a better state economic future

• These additions must come from high-achieving youth in low income and first generation families who haven’t in the past considered college

Source: Strategic Plan for Higher Education 2008-2017

Youth & Entrepreneurship

• Gallop Poll indicated 69% of high school students wanted to start their own business; 84% felt unprepared to do so

• How many people have a desire to be an entrepreneur? Whatever the number, in places with supportive environments the number rises

• Source: Center for Rural Entrepreneurship, Rural Policy research Institute

Entrepreneurs in (Name of Community) Backyard

• The name of local institution is operating an MBA in entrepreneurship program.

• One of the students created a new company that is already serving area residents.

An Entrepreneur

• An entrepreneur is about the person, not the type of business

• Some Characteristics of Entrepreneurs1. Creative2. Innovative3. Problem Solving4. Resourceful

• These are also characteristics employers are seeking from employees in other sectors of the economy

Entrepreneur Activity Rates by StateSource: Kaufmann Foundation, Kaufmann Index of Entrepreneurial Activity 1996-2007

Highest Entrepreneur Activity Rate

Entrepreneurs per 100,000 adults

Idaho 460

District of Columbia

460

Arizona 460

Tennessee 440

Louisiana 440

Lowest Entrepreneur Activity Rate

Entrepreneurs per 100,000 adults

West Virginia 80

Alabama 100

Delaware 140

Pennsylvania 150

Ohio 190

Three Types of Entrepreneurs

• Lifestyle Entrepreneur

• High Growth Entrepreneur

• Serial Entrepreneur

Lifestyle EntrepreneursSource: Center for Study of Rural America Federal Reserve Bank of Kansas City

Lifestyle Entrepreneur

• Main goal is to provide personal income or support a lifestyle

• Create breadth in a community leading to a quality of life

High Growth Entrepreneur

• Create and grow a new businesses

• Add a significant number of jobs to a community while adding value to the local economy

Baby Einstein

• Founder: Julie Aigner-Clark from her home in suburban Denver in 1997

• Julie and husband invested $18,000 of their saving to produce first video

• Sold to Walt Disney Company in 2001

Serial Entrepreneur

• Create a new venture and then sell it to create another venture

• Motivation is the joy of creating ventures

Go Big Network

Wil Schroter’s history:• Age 19, from OSU dorm started Blue Diesel sold it

five years later

• 1997 started Kelltech internet Services and sold it in three years

• 2003 created Swaplease

• Today is developing Go Big Network with offices in an OSU incubator

Supporting EntrepreneursSource: Center for Study of Rural America Federal Reserve Bank of Kansas City

Being an Entrepreneur Friendly Community

Building an Entrepreneur Friendly Community Program

• A partnership between Ohio State University Extension, (name of organization delivering curriculum and (name of local sponsoring organization(s))

• Curriculum development funded by a grant from United States Department of Agriculture Rural Development Office

Building an Entrepreneur Friendly Community Program

• Goal: To build the capacity of local leaders to build and maintain an environment that supports creation and development of entrepreneurs

Course Outline

Building Public Private Partnerships

(Column to list date)

(Column to list time)

(Column to list location)

Developing Supportive Infrastructure

Creating Diverse Sources of Capital

Business Retention & Expansion for

Entrepreneurs

Course Outline

Using Incubators to Support Entrepreneurs

(Column to list date)

(Column to list time)

(Column to list location)

Building Supportive Networks and Regional Business Clusters

Finding, Collecting and Analyzing Business Data

Course Outline

Creating Agriculture Entrepreneur Opportunities

(Column to list date)

(Column to list time)

(Column to list location)

Economic and Community Development Strategic Planning

Economic and Community Development Strategic Planning

Contact Information

Put your name and affiliation on this slide. Please also give credit to author and Ohio State University Extension

Adapted from an original presentation created by:Myra Moss, Associate ProfessorOhio State University Extension

October 2008

Web-based Course Material

You can view all the presentations and reportsfrom the series by visiting:

(Provide site name and web address, plus any directions to find materials once on the site)