Entrepreneurship Program Promotes Local Business By Scott Nicholson Watauga County’s inaugural entrepreneurship program was so successful that it could become a linchpin of the county’s economic development strategy, as well as a role model for the entire region. The county secured a $50,000 grant last year to launch the program, which was geared toward launching home-grown small businesses. A year later, the program has yielded 11 new businesses, two of which have hired employees. Watauga economic development director Joe Furman said the county would commit $10,000 to continuing the program this year. The program consisted of two day-long workshops spread out over the year, with local business owners serving as mentors for those who want to work for themselves. “It was well-received, and we’ve had inquiries about when we’ll have it again,” Furman said. “The mentors were very willing to participate and seemed to enjoy it.” Workshops were held in the spring and fall, with a third session held that allowed mentors to go over the progress with participants. There were 36 proposed businesses representing 101 people at the two workshops, and though not all of those resulted in immediate payoff of new businesses, Furman expects many of those will start businesses later. Furman said he thought $10,000 to continue the program was “a minimal investment” that creates a better local economy. While the payback isn’t directly measurable, Furman said the overall benefit was increased income. “It may not be disposable income but it will probably be spent locally,” he said. Chilton Rogers, assistant director of the Appalachian Regional Development Institute (ARDI), was one of the organizers of the program. She considers it a success, and ARDI is presenting it at a meeting of the High Country Business Network next month. ARDI is providing in-kind contributions to the program with staff members funded by Appalachian State University. Rogers said she and ARDI director Paul Combs had put together a proposal to seek grant funding through the Golden LEAF foundation, which was formed to distribute money from the federal tobacco settlement. Under that proposal, the entrepreneurship program would spread to a seven-county region. “It depends on what they decide to invest in,” Rogers said. “The fact that Watauga is willing to invest in it, and that it builds on what is already a successful project, makes a difference,” she said. Raising concerns Rogers said one of the major concerns of economic development projects was sustainability, because many programs are designed for a short-term effect. She said building small businesses within the existing population is a strong complement to traditional industrial recruiting. “People have been talking about this idea for 20 years,” Rogers said. “This (Watauga’s program) is the best model I’ve seen to bring everybody together. The workshops are catalysts.” Rogers said the program could easily fit in with other counties that already have business incubators and other assets in place. She said the fact that 11 new businesses were immediately launched from the program’s first year, a success rate of over 10 percent, showed that it yielded positive results. She said the model was particularly effective for rural counties that didn’t have the typical road and water-sewer infrastructure in place for traditional manufacturing plants or larger businesses, but could be used anywhere. “Even in a more urban, infrastructure-rich environment, out of necessity you get entrepreneurs,” she said. “It also helps economic development directors if they have other tools to use.” Rogers said the basic principle of the program was that some people had dreams of owning their own businesses and were willing to work to bring those dreams to life. “It creates a cohort of people who want to do their own thing, their own dream,” Rogers said. “They may work with people who say, ‘How can you give up your job and your benefits?’ This brings people together and gets energy going. They can succeed at this. If they have the passion for it and learn the skills, they can do it.” The initial grant for the Watauga Entrepreneurship Development Program came from the state’s Rural Economic Development Center. At the initial workshop, participants introduced their ideas for businesses. The second workshop focused on financial plans, marketing and other aspects. Mentors can continue to meet with prospective or new business owners on a voluntary basis. “This stuff doesn’t happen without champions,” Rogers said. “It’s important to make sure elected officials, non-profit groups, and the community stay informed.” The High Country Business Network meeting will be held in Boone on Aug. 18. Business leaders, financial institution representatives, and those interested in starting businesses are expected to attend. Rogers said about 80 people attended the first network meeting held in April. “Small business is still the backbone of North Carolina’s economy,” Rogers said. “Sometimes you might get that small business growing into a big business.” For information on the upcoming workshops, contact Rogers at 262-2662.