SineSS network Small Buamerica of the

Transcription

1 Small Business Network of the Americas

2 We are going to focus more on small and medium-sized businesses, on women s businesses, making sure that the benefits of trade don t just go to the largest companies but also go to smaller entrepreneurs and business people. U.S. President Barack Obama The Small Business Network of the Americas At the 2012 Summit of the Americas U.S. President Barack Obama announced his vision for the Small Business Network of the Americas (SBNA) to develop the small and medium-sized enterprises (SME) sector and encourage greater trade throughout the Americas. SMEs are key drivers of job creation and broad-based economic growth in the U.S. as well as in the Western Hemisphere. The SBNA Initiative aims to build a common development infrastructure through sustainable Public-Private- Academic (PPA) Partnerships in each country and linked across the Americas. Adapt the Small Business Development Center (SBDC) model, as a best practice evolved over 40 years at 1,100 universities and colleges in the U.S. A partnership with the U.S. Congress, Small Business Administration, Universities and local business groups, SBDCs serve over 1 million SMEs annually, with results such as: A new business start every 33 minutes $100,000 increase in sales every 4 minutes $100,000 in capital accessed every 15 minutes A new job every 7 minutes Resulting aggregate economic growth by SBDC clients generates more public sector tax revenue than the cost of the national SBDC program. The SBDC Model is flexible and adaptable to each country context, applying a common methodology that will produce similar results when fully operational with sustainable hemispheric PPA partnerships and coverage. Provide extended education, business consulting, technology and research to SMEs on a massive scale with broad coverage, which is result-oriented. Improve SME start-up and scale-up performance to create jobs, productivity, competitiveness, access to capital, access to markets, and formalization. Economic opportunities at home reduce poverty, inequality, unemployment, delinquency, violence and migration pressures. Emphasizes youth entrepreneurship through student service-learning roles in the Centers, also marginalized groups such as women-entrepreneurs, informal businesses, rural and agricultural producers, supply-chain, government contracting, and international trade participation by SMEs. Link SBNA country networks for small business-to-small business trade opportunities via SBDCGlobal.com web platform, connecting the Centers and their clients to build competitiveness to global norms. As Free Trade Agreements open global market opportunities and competition exposure, provides a common SBDC competitiveness support platform across all countries participating in SBNA, so the benefits of trade become accessible to the SME sectors for each country. Multi-lateral economic integration inclusive of the SME sector will continue to build diverse, growing, innovative and more equitable economies, which bolster country stability, formalization and tax base, strengthening Public, Private and Academic Institutions, public services, opening opportunities and growing the middle class. The Process to Adapt and Implement the U.S. SBDC Model ➀ 1 National SBDC ➁ 2 SBDC Model ➂ 3 National SBDC ➃ 4 National SBDC ➄ 5 National Network Technology Pilot Network Network SBDC Network Start-Up Transfer Implementation Consolidation Internationalization

3 Building the network The U.S. Department of State along with Foreign Affairs Ministries of participating countries, and their Ministries of Economy, have led an extensive policy and promotion dialogue to achieve 20 Western Hemisphere nations committed to implementing the SBNA to-date toward fulfillment of this 2012 Summit Initiative. 68 Small Business Development Centers have been launched to-date, with 102 more scheduled to open in the balance of Over 40 SBDC Diplomado courses have trained nearly 5,000 university and economic development professionals to-date in the SBDC methodology, along with strategic implementation plans and accountability systems for each country. A five-phase adaptation process to transfer the SBDC methodology includes: 1 Start-Up introducing the model to SME authorities and stakeholders 2 Transfer a 4 month in-country training course and strategic plan 3 Implementation establishing Pilot Centers and network administration 4 Consolidation accreditation of services and economic impact results 5 Internationalization linking to SBDCGlobal.com for trade facilitation Technical assistance is led by the University of Texas at San Antonio International Trade SBDC along with many implementation partners, such as USAID, the Small Business Administration, Organization of American States, American Council on Education/HED, CENPROMYPE/SICA, Caribbean Export Development Agency, and America s SBDC Association Participating countries provide the operating budgets for their Center networks from domestic resources, typically with Ministries funding half matched by the universities, local agencies and private sector funding the balance, for an integrated and sustainable Public-Private-Academic partnership structure. Domestic resources committed to implement their own SBNA networks to date is an estimated $35 million (US), which is a strong tribute to the efficacy of the SBDC model, it s adaptability, and stakeholder support A highly successful partner is CENPROMYPE, Centro Regional de Promoción de la MIPYME, the SME development authority for the Sistema de Integración Centroamericana (SICA). Central American countries have led the way for aggressive implementation of the SBNA for inclusive and balanced growth, to create economic opportunities at home mitigating effects of poverty, insecurity and migration, and to constructively expand productivity and market reach through SME participation in trade such as DR-CAFTA and the Trans-Pacific Partnership. Sister Center Initiative The U.S. Department of State launched the Small Business Network of the Americas International Sister Center Program in September of The Sister Center Program is designed to support activities that promote bilateral trade, share best practices in entrepreneurial assistance, carry out faculty and student exchanges, and explore other possibilities for collaboration between SBDCs hosted by each university. As leading members of Small Business Development Center networks, George Mason University's Mason Enterprise Center and the Universidad Autónoma de Nuevo León established the first International Sister Center partnership under the SBNA. The universities will cooperate on soft landing programs for small businesses looking to establish a presence in the vicinity of Monterrey, Mexico or the Commonwealth of Virginia. Many more Sister Centers are building similar SBNA connections. SBNA by the numbers (As of March 2015) Total Countries Assisted Total SBDCs Launched SBDCs Expected To Launch in Total US & Foreign Professionals Trained Participating Countries Funding Committed (est.) ,984 $35.5 Million +

4 UNITED STATES PANAMA COSTA RICA HONDURAS MEXICO BELIZE JAMAICA DOMINICAN REPUBLIC BARBADOS ST. LUCIA DOMINICA GUATEMALA EL SALVADOR COLOMBIA URUGUAY BRAZIL ARGENTINA CHILE PERU PARAGUAY COUNTRY STATUS HIGHLIGHTS The goal of the expansion of the SBDC model is to create a global network of SBDCs that will improve SME competitiveness, generate new trade opportunities and promote the economic integration of the region. Work is being performed in the following countries. Mexico -- Project Start: 2003 Results: 18 centers, 119 associated university members of AMCDPE (Mexican Association of SBDCs) 2014: 2,411 clients served 2015: Expansion pilot for 6 hybrids centers with INADEM El Salvador -- Project Start: 2009 Results: 12 centers, 80 advisors 2014: 3,197 clients served, 5,830 jobs created, $19 million in sales, $4.9 million in domestic funding for center operations, Launched the Salvadoran Association of CDMYPEs Costa Rica -- Project Start: 2011 Results: 6 centers, 20 advisors 2014: 2,589 clients served, $993,509 in domestic funding for center operations INTERNATIONAL SBDC EXPANSION COUNTRIES COUNTRIES WITH AGREEMENTS TO USE SBDCGLOBAL.COM

5 Dominican Republic -- Project Start: 2011 Results: 6 centers, 35 advisors 2015: $1.2 million in domestic funding committed for center operations Honduras -- Project start: 2011 Results: 6 centers, 31 advisors 2014: 2,559 clients served, 1,611 jobs created, $2 million in increased sales, $1.3 million in domestic funding for center operations Panama -- Project start: : 4 centers to launch during the Summit of the Americas in April Barbados -- Project start: : 2 centers to launch Belize -- Project Start: 2012 Results: 2 centers, 5 advisors 2014: 268 clients served, 562 jobs created/retained, $265,530 in increased sales, $148,610 in domestic funding for center operations Brazil : Signed MOU to link the 700 center SEBRAE network with U.S. SBDCs and SBNA partner countries Jamaica -- Project start: 2012 Results: 7 centers, 24 advisors 2015: 7 JBDC centers adopted the SBDC methodology St. Lucia -- Project Start: 2012 Results: 1 center, 6 advisors 2014: 98 clients served TUNISIA Peru -- Project start: : pilot program to launch Chile -- Project start: : 33 centers to launch through RFP process, $10 million in domestic funding committed for center operations 2016: 17 centers to launch, $15 million in domestic funding committed for center operations Argentina -- Project start: 2014 Currently conducting the SBDC Advisor and Director Certificate Training Program Paraguay & Uruguay : Committed to participating in SBNA, Commence SBDC model adaptation On the Horizon SBDCs opening in Colombia -- Project start: 2012 Results: 5 centers, 15 advisors 2014: $909,008 in domestic funding for center operations 2015: 14 centers to launch Dominica -- Project start: : 1 center to launch Guatemala -- Project start: 2012 Results: 5 centers, 22 advisors 2014: 2,632 clients served, 3,132 jobs created/retained, $580,000 in domestic funding for center operations Argentina: 1 Barbados: 2 Belize: 1 Chile: 50 Colombia: 14 Costa Rica: 1 Dominica: 1 Dominican Republic: 6 El Salvador: 2 Guatemala: 10 Honduras: 5 Mexico: 6 Panama: 4 Paraguay: TBD Peru: TBD Uruguay: TBD *All amounts are listed in U.S. Dollars The SBDC program is the largest and most successful small and medium sized enterprise assistance program in the United States. The SBDC is a collaborative between the public, academic, and private sectors, which jointly invest efforts and funds to guarantee the sustainability of the program and maximize its efficiency. The mission of the SBDCs is to promote growth, innovation, productivity, and competitiveness for small businesses through improvements to their business administration, access to capital, technology, and markets.

6 Client Highlight Colombia Success Story El Salvador The SBDC model implementation began in El Salvador in 2009, as an innovative response by a recently elected government to boost the growth of micro and small enterprises (MSE), create jobs, reduce the rate of business informality and extend the coverage of services. As part of these efforts, a delegation from the Ministry of Economy (MINEC) and the Comisión Nacional de la Micro y Pequeña Empresa (CONAMYPE) travelled to the U.S. to participate in a 2009 event for the Organization of American States (OAS), which addressed best practices in promoting MSME competitiveness. Through this opportunity, the Salvadoran delegation learned about the features and benefits of the SBDC model from the UTSA South-West Texas Border Region SBDC Network. Decoraciones Calafell Decoraciones Calafell is located in Colombia in the Valle Grande Area to the east of Cali. They produce, install, and repair all kinds of molding plaster including gypsum paneling, stucco, and veneers for floors, bathrooms, and kitchens. In 2013, the company sought the guidance of Prospera Agua Blanca Center for advising on new design production, engaging new customers, and increased account management. Prospera was able to provide assistance that increased company visibility and allowed Calafell to be recognized for their innovative and original designs. As a result, the company increased its sales by 58% and grew their customer base. MINEC and CONAMYPE determined that the SBDC model was the preferred way to strengthen the Salvadorian MSME sector. The UTSA SBDC program provided consulting and technical assistance for MINEC and CONAMYPE on how to structure, administer, and finance the proposed SBDC network in El Salvador that would go by the acronym CDMYPE (Centros de Desarrollo de la Micro y Pequeña Empresa). UTSA also provided three SBDC Advisor and Director Certificate Training Programs for 400+ future CDMYPE professionals to transfer the SBDC management and service delivery best practices. The CDMYPE network began operating in August of 2010 and since has provided comprehensive assistance for over 9,000 micro and small enterprises located throughout the nation. Each center operates via a public, private and higher education partnership involving major universities, as well as non-governmental organizations with experience in working with micro and small enterprises and that has included $4.9 million domestic funding for center operations. Most importantly, the CDMYPE network is already producing a positive return on investment as it has created 5,830 jobs in Going forward, the CDMYPE network will expand into providing services for high-growth SMEs including government contracting, innovation and export assistance including connecting its clients to the SBDCGlobal.com trade platform. The Government of El Salvador and CONAMYPE should be congratulated for the rapid growth and success of its CDMYPE network and as a great example of the spirit of the SBNA Initiative. Prospera helped us obtain better accountability and control of our sales and purchases and provided us with encouragement to succeed, José F. Medina, Owner. By getting to know the MSE assistance model developed in the United States and in particular the work of the UTSA Small Business Development Center, we saw an opportunity to improve the way the [El Salvadoran] Government worked with MSE. We can assert that the model works well, it adapts to any context and especially allows to understand the impact generated by the companies assisted by the Centers. Ileana Rogel, Executive Director of CONAMYPE, El Salvador

7 Success Story Belize Passionate about improving the health of people by developing foods with high nutrient density, Belizean entrepreneur Arturo Montero has developed an all-natural soursop juice that improves glucose-metabolism, and a myriad of metabolic syndromes such as high cholesterol, high blood pressure and obesity. Montero became a client of the Small Business Development Centre, Belize (SBDCBelize) in June 2013, and has received advice and guidance in managing and improving his business venture. After receiving intensive business advising on product and marketing research and business modelling, he won an entrepreneurship award, which resulted in a prize of $7,000(US). This allowed him to start the business, bottling his juices for the Belize market. In 2014, SBDCBelize shared an opportunity for him to enter a competitive innovation award with Compete Caribbean, through the Inter-American Development Bank. His advisor at SBDCBelize provided feedback and advice on the Innovative Business Plan, and also ensured that Montero rehearsed his sales pitch. Once again, he won an innovation award of $497,000(US). With this award, he plans to conduct a clinical trial, achieve HACCP certification and extensively promote and market his product in the Caribbean, North America and Europe. The Pure Nature MD project has had such an impact that it has initiated the formation of a new Soursop Industry with the assistance, encouragement and training of the Government of Belize. The goal is to establish soursop plantations by 2016 by encouraging micro-investments between small farmers starting at 2 to 10 acres per family. The goal of the Pure Nature MD project is to improve the quality of life and longevity of people, and to make people aware that healthy food is our medicine. Client Highlight Guatemala - U.S. VOS Flips Diaspora Entrepreneur The vision for VOS Flips began over a decade ago with a genuine desire to help others and the planet. In partnership with Soles4Souls, for every pair of eco-friendly VOS sandals sold, a pair is given to a person in need in an under developed community. VOS currently operates in Guatemala and Texas. VOS attended UTSA trainings that provided in-depth information on importrelated topics such as supplier management and quality control, import process, understanding U.S. customs, and paying for import contracts with manufacturers. The SBDC also helped the company with product marketing and buyer relations. The company s goal is for this social initiative to expand throughout all of Latin America and then into other regions of the world. In 2012, the Ministry of Economy of Guatemala began the initial phase of implementing the first SBDCs. We are initiating the consolidation and expansion of the model, thus contributing to greater revitalization of local economies and the formation of productive networks. We look forward to working with the University of Texas at San Antonio and encourage them to continue with this great work. Sigfrido Lee, Vice Minister of Economy for Guatemala

8 MUSEIC Mexico - U.S. Entrepreneurship and Innovation Council Country Snapshot Mexico In 2003, Mexico began working with the UTSA International Trade Center to train business development professionals on small and medium size business advising and the adoption of the SBDC model. Through a partnership with the Universidad Autónoma de Guadalajara and UTSA, the first Mexican pilot SBDC was born. Mexican universities and Institutos Tecnológicos are adding the SBDC methodology with their existing business incubators and accelerators. Completed 14 SBDC Advisor and Director Certificate Training Programs for over 1,368 participants MUSEIC Over the last 20 years, the United States, Mexico, and Canada have established one of the most competitive and successful economic platforms in the world. The Mexico-U.S. Entrepreneurship and Innovation Council (MUSEIC) was created as a part of the High-Level Economic Dialogue announced by U.S. President Barack Obama and Mexican President Enrique Peña-Nieto to promote bi-national approaches to advance North American competitiveness, trade, and innovation in the entrepreneurial sector. The council is comprised of 24 entrepreneurship experts. The members coordinate efforts to promote and develop bi-national entrepreneurship focusing on high-growth small- and mediumsized businesses, which are engines of economic development, job creation and a source of innovation. The U.S. SBA and Mexico s INADEM are building collaborations including the SBDC model. Created a national association of SBDCs called the Asociación Mexicana de Centros para el Desarrollo de la Pequeña Empresa (AMCDPE) Currently 119 AMCDPE associated members and 18 centers in operation Instituto Nacional del Emprendedor Mexicano (INADEM) will launch 6 hybrids centers in 2015 adapting the SBDC methodology with AMCDPE Country Snapshot Belize Belize began working with OAS, UTSA, Cenpromype in 2012 and has made great strides in adopting the SBDC model. Within 3 short months they completed an SBDC certificate program, and through Beltraide, a Belize agency charged with strengthening the local economy through promotion, trade, and SME development, has launched one pilot program and is looking to expand further. Since their initial consultation, the Belize team has developed legislation to support small business development and started to streamline processes to increase the effectiveness of the program. 20 professionals participated in the SBDC Advisor and Director Certificate Training Program Launched 1 domestic center SBDCBelize, and 1 specialty center EXPORTBelize focused on international trade Connected network to SBDCGlobal.com platform The UTSA International Trade Center - SBDC team has been essential in conception, creation, and growth of the Mexican Association of SBDCs. Eugenio J. Reyes-Guzman, Director, World Trade Center Nuevo Leon

9 Country Snapshot Honduras Honduras with UTSA and CENPROMYPE have worked together for over three years on the adoption of the SBDC model. The Honduran government has launched six pilot programs and maintains a staff of over 40 advisors. Unique to growing the Honduras SBDC network are the Unión de Socios, which are legal entities operating regionally to promote relationships between government, university and the private sector. After a change in government administration the path to consolidating the SBDC model within Honduras has continued with strong determination. To date, there are 10 Unión de Socios supported by 155 stakeholder partners across the country. Completed 3 SBDC Advisor and Director Certificate Training Programs for over 380 professionals Launched 6 pilot SBDC centers Services cover over 46% of the country s territory Country Snapshot Chile Following the recommendation of the Inter-American Development Bank, and under a President Michelle Bachelet mandate, Chile has begun implementing the proven SBDC model taught by UTSA. The Centros de Desarrollo de Negocios (CDN) will facilitate and manage operations with the goal of providing quality one-on-one consulting services as well as group training and customized market research to small businesses and entrepreneurs by promoting growth, productivity, diversification and innovation among Chilean small businesses. In 2015, 33 pilot centers, located in all 15 regions, are slated to open with 17 more planned in Client Highlight Honduras DM Café DM Café arose from the idea of two young entrepreneurs who decided to start their own coffee shop business. These entrepreneurs come from traditional coffee growing families. Through the center from Santa Rosa de Copán, Honduras, they received high value advising services, attended trade fairs and participated in hands-on workshops that allowed them to improve their professional skills and develop new products. With the support of the center, through their valuable training and promotion, my company is much better positioned, Denia Julissa Peña, Co-Owner of DM Café. Over 600 professionals participated in the SBDC Advisor and Director Certificate Training Program Over the next year, plans include opening 50 centers across Chile Through 2017, approximately $45 million(us) will be invested in the program by public, private, and academic sectors SBNA Next Steps Expand Coverage Consolidate Service Quality and Economic Impacts Internationalize network linkages via SBDCGlobal.com Institutionalize SBNA in each country and hemispherically

10 Client Highlight Mexico - U.S. The U.S. SBDC Model The SBDC network is the largest and most successful network of assistance to the small and medium-size enterprises in the United States, with nearly 1,100 centers, 4,500 full-time advisors and one million clients-businesses served annually. It is financed by the U.S. Small Business Administration (SBA) and by local, state, private and academic institutions, which host each SBDC and match the funds contributed by the federal government. All SBDCs are members of the America s SBDC (ASBDC) and are certified by the ASBDC accreditation standards that guarantee the consistency, quality and effectiveness of the services offered. Concord Supply Diaspora Entrepreneur Concord Supply, located in San Antonio, Texas, is a manufacturer of packaging material, special laminations, and extrusions. The UTSA International Trade Center provided assistance to Concord Supply with international market research, trade advising and international business development training. In 2014, the national network of SBDCs assisted clients to create and retain more than 158,140 jobs, open 27,567 new businesses, generate $5.9 billion in new sales and obtain $4.8 billion in new financing. As a result of this impact, the national SBDC network generated public fiscal revenues of more than $473 million, yielding a return on investment of $1.85/$1. Owner Victor Quiñonez opened a subsidiary of Concord Supply called Concord Oil Recovery Company. Through a patented seagoing vessel the company invented a solution for oil spill recovery which was recently showcased to USTR Michael Froman. It safely attracts and separates oil from ocean and freshwaters, immensely lessoning environmental damage and securing the oil for future commercial application findings from a national independent study The role of an SBDC in the Life of a Business by James J. Chrisman, Ph.D. SBDC in the life of a Small Business Assistance in Exporting % Employment Growth % Sales Growth Success New Business SBDC Intervention Business Plan Development SBDC Client Assistance in Obtaining New Loan Average Business SBDC Added Value Time % SBDC Client 0.0% 1.6% Average Business % SBDC Client 4.1% Average Business

11 Using Technology to facilitate small business international trade Client Highlight Brazil - U.S. Connecting International Buyers and Sellers SBDCGlobal.com is a powerful and free online trade platform for the advisors and clients of the SBDC networks. SBDCGlobal.com enables the one million small business clients working with the SBDC networks in the United States, Mexico, El Salvador, and Belize to connect with each other and capitalize on trade opportunities. Direct access to the clients of the Brazilian Micro and Small Business Support Service (SEBRAE) Network is also made possible. In time, the platform will extend across more countries connecting North, Central, and South America. Developing SBDC Professionals SBDCGlobal.com offers courses for U.S. SBDC Directors and Advisors. The Director Certification Series provides U.S. SBDCs with tools on how to manage an International Trade SBDC. This series has graduated over 155 SBDC professionals. SBDCGlobal.com also conducts a Trade Advisor Certification Series for U.S. SBDC Advisors wanting to assist clients with export projects. This series has trained 190 U.S. SBDC professionals. For Latin American SBDC professionals, SBDCGlobal.com offers the Programa de Capacitación Virtual para Asesores series that features techniques on how to help small business clients. Offered in Spanish by small business experts, the series has trained 714 professionals from SBDCs located throughout North, Central, and South America. To learn more visit FlexDeck FlexDeck is a Brazilian small business that commercializes high quality and easy to assemble wooden decks. Consumers are able to quickly build any outdoor living space by simply snapping the deck tiles together with no nails or glue. These interlocking deck tiles are an innovative product designed to be used by anyone from a beginning do-it-yourselfer to professional builders. FlexDeck was referred to the SBDC by SEBRAE after they expressed interest in expanding operations to the U.S. and utilizing the trade platform SBDCGlobal.com. UTSA assisted FlexDeck with in depth marketing and industry research in addition to identifying potential targets to increase sales. To date, FlexDeck has now registered the business in the United States and is sold in various stores across the nation. The provided reports were extremely accurate to our current situation and helped our team understand our specific needs for better decision making. The report information was very helpful for us to make our SWOT analysis, Renaud Adorno, Owner. In 2012, Brazil s economic development agency SEBRAE and the America s SBDC (ASBDC) signed an MOU to formalize a working relationship and to usher in linking SEBRAE to SBDCGlobal.com. The agreement is a step forward in the United States-Brazil Agreement on Trade and Economic Cooperation (ATEC). The United States and Brazil have discussed the potential for trade linkages between networks and working with interagency partners, universities and the private sector in order to expand mutual international trade opportunities for small businesses in both countries.

12 TM Barbados Ministry of Industry, International Business, Commerce and Small Business Development St. Lucia DOMINICA JAMAICA