HomeMy WebLinkAboutReg 2022-10-17 Item 4B - Presentation - Small Business Development Center at Highline College Update(Small Business Development Center)
Washington SBDC Locations
Coupeville
Poulsbo
Port Ange
Everett
"Redmond
• Bellevue
Seattle
Tukwila
Des Moines
Kent
Auburn
Wenatchee
Pullman
Kelso
Kennewick
Walla Walla
Vancouver StevensonGoldendale
AMFa e',s
Washington SBDC
Network
Headquarters
OncRedmond
WHO IS THE SBDC
Established in 1980 through the Small Business
Development Act
We partner with the U.S. Small Business Administration
Funded partly through a cooperative agreement with the
U.S. Small Business Administration
Matching funds from local cities, economic development
agencies and colleges
How Are We Funded
AMERI ACS
SEDC
No Cost Business
Support
Federal Match (SBA)
What We Do
We provide no -cost, confidential, one-on-one, advising to help
businesses make informed business decisions.
• Planning or growing your business
• Analyzing financial statements
• Acquiring capital and managing cash flow
• Buying or selling businesses
• Exporting to markets around the world
• Marketing and market research
• Business systems and record keeping
• Getting and keeping customers
• Cost-cutting strategies
• Finding and keeping qualified employees
A M E R I AC S
SBDG
AMERICAS
SBDC
WASHINGTON
Low or No -Cost Training Services
Participants can access on -demand webinars at their
convenience or attend a live webinar on topics of interest;
such as Profit Mastery, SBDC Grow Smart and co-sponsored
training events. All webinars are facilitated by SBDC advisors
with first-hand experience and expertise.
Small Business
ENTREPRENEUR
s HUfflflflRESOURCE5Fiiiancial Analysis
F
CYBER
w SECURITY
Governmento
INTERNRTIONRL TKROC ti
2021 Training
10,477
Training Attendees
316
Delivered Training Events
Typical SBDC business advisor profile:
• Small Business ownership or management experience
• MBA or equivalent
• Prior consulting/counseling experience
• Proven financial analysis and communication skills
Washington SBDC Differential
Advantages
• Full time network of advisors
• Certified Business Advisor (CBA) process
• Continuing education requirement (32 hrs./year)
• Outcome orientation — client/stakeholder focus
• America's SBDC Accreditation review
• External financial & programmatic audits
• Annual independent economic impact study
• Proprietary client activity database
Economic Impact
2021 by the Numbers
Si&
345'1
cc
4.11
Advising Clients
ca
tri
eit4
10,477
Training Attendees
D
316
Delivered Training
Events
Ja
99%
*Client Satisfaction
Rate
H
1.1
I I
2,855
Created and
Saved Jobs
't
161
New Business Starts
$120M
Increased Sales
-004
nila
$107M
Raised New Capital
Client reported imparts from 2021
The "Economic Impact of SEDC Counseling Activities in Washington_ 2019-2020," by Dr.JamesJ. Chrisman of Mississippi State University
CD
Economic Impact
10 -year Results
The Washington SBDC Network delivered substantial advising services that resulted in
a significant return on investment. Below are the most recent results for the network
since 2012 (10 years).
m
m m m
if m� mm
8,169
Jobs Created
•`• ► •
17,688
in r Clients Counseled
NI9,581
Jobs Saved
1,503
Businesses Started
e° $755,594,676
Total New Capital
Economic Impacts are self-reported and client -verified
A EM R I C ASS
SB_jC,
WASHINGTON
Highline College
SBDC & StartZone Team
N
Meet the Team
Njambi Gishuru — Microenterprise Specialist
— English and Swahili
• Start Zone
An initiative of Highline College
I C
SBC
WASHINGTON
Meet the Team
Jaqueline Garcia — Microenterprise Specialist
— English and Spanish
• Start Zone
�,I 1 An Initiative of Highline College
AMERICAS
SBDC
WASHINGTON
Meet the Team
Rich Shockley — Center Director and Certified Business
Advisor — English
• Start Zone
An initiative of Highline College
I C
SBC
WASHINGTON
A EM R I C ASS
SB_jC,
WASHINGTON
Highline College SBDC Results
2021 and 2022 YTD
How Are We Doing
a
Highline College
Economic
Development
(SBDC & StartZone)
2021 & 2022 YTD
Clients
Meetings
Unique
Clients
Hours of
Service
Loans
&Capital
Investment
Tukwila
2021
Tukwila
2022 YTD
148 43 132 $1,391,000
89 33 70 $146,000
rcStart Zone
An Initiative of Highline College
AMERICAtS
SBDC
WASHINGTON
A EM R I C ASS
SBC,
WASHINGTON
Working With Our Clients
Faulty Assumption
Faulty assumption,
two legs of a stool is
enough.
• Retention / Expansion
• Attraction
3rd Leg: Entrepreneur
Development System
•I
Start Zone
An Initiative of Highline College
I C
SBC
WAS H I N GTO N
How We Work
Objective
Situation
Analysis
Strategies
Start Zone
I An Initiative of Highline College
Plans
Tracking
Execution
AfV1ERICAcS
SBDC
WASHINGTON
Our Business Model -
tartZone
Technical
Assistance
• Start Zone
An Initiative of Highline College
Highline
Economic
Development
Programs
SBDC
WASHINGTON
What Are People Asking About in
South King County
• How do I find employees
• I need help marketing my business to get new customers
• How do I start a business (full time and side hustle)
• I'm purchasing a business what is its value
• Can you help me prepare a loan package
• My bank asked me to forecasting revenue and expenses,
can you help
• How should I structure my business to provide equity to
key employees
• I'm looking for a referral (App Developer, CPA, Attorney)
Our Services & Who We Serve
Our Services & Who We Serve
"They (SBDC advisors) are everything you
would want when you need advice, are try -
ing to grow your business, or are applying
_-for a loan."
Shockley helped..."This is where we
are now, this is where we want to be.
How do we get there?"
Grant Jones, co-owner
KuKuRula Gourmet Popcorn, Seattle, WA
Danny House. Owner
Dan the Sausagem an
Grant Jones, owner KuKuRuZa
Verjee, a 2009 graduate of the entrepreneurship
program at Babson College in Massachusetts, said he
understands business plans and scalability and
executing a good idea to its fullest potential. He also
understands the value of the good advice and an
experienced sounding board, both of which he found
at the Washington SBQC.
Three Trees Yoga owners: Jeni Martinez,
"We never leave our advisor's office Suzy Green and Karen Schwisow
without at least three great ideas, three
action items and renewed focus and en-
ergy for our business."
Suzy Green, Co -Founder
Three Trees Yoga, Federal Way, WA
Jack Walsh, owner
Sub Zero Ice Cream
"Rich gave advice and feedback and
helped us significantly," Walsh said.
Jack Walsh, owner
Sub Zero, Federal Way, WA
Client Examples - 1
Business - Retail property tenant, established less than < 1 year
• Seeking funding to build out TI's ( $100,000)
• Needed Sharia compliant funding
Action —
• Worked with 2 lenders with Sharia products ( Craft3 & IRC)
• Business narrative assistance
• Gather financial documents
• Prepare forecast 12-24 months of revenue based off of financial assumptions
• Calls with potential funders for next steps
Outcome — Ongoing to seek funding and develop marketing plan
Client Examples - 2
Business - Catering company, established 2021
• Seeking assistance with loan application for PPP and EIDL COVID-19 Funding
Action —
• Review tax return for Schedule C filer
• Determine how owner paid themselves to determine if they qualify
• Client chose to pay themselves low rate & expense personal items to reduce
business income
• Bookkeeping and payroll methods limit ability to borrow
• Completed PPP and EIDL by way of FaceTime. Client did not have a computer
to assess loan applications
Outcome — Client secured funding but very low amount given the way they paid
themselves. Worked with client to understand financials and bookkeeping
Client Examples - 3
Business - Start up Restaurant, established 2019
• Seeking assistance with start up planning, permitting, lease review
Action —
• Strategy to lease negotiation
• Involved take over existing lease with buy out or remaining construction
credits
• Navigate new lease negotiations (leveraged SBDC network advisors with
commercial lease experience)
• Assisted with King County Health permit process and requirements for NFS
equipment stamp on imported equipment
• Review construction bids and timelines, support with city permit process
• Lease signed February 2022 just before lock down
• Assisted with marketing plan to open for take out
Outcome — Client ended up self funding, slow opening, still open today $500,000+
in annual revenue 2FT and 8 PT employees
Highline College SBDC &
StartZone
sbdc@highline.edu / startzone@highline.edu
206-592-4150 / 206-592-3388.
sbdc.highline.edu / startzone.highline.edu
• Start Zone
I 1 An Initiative of Highline College
WASHINGTON
Washington SBDC Contact
Information:
washington@wsbdc.org
(833) 492-7232
www.wsbdc.org
AMERICAS
D
WASHINGTON
The Washington SBDC network, hosted by Washington State University, is an accredited member of America's SBDC. Funded in part through a
cooperative agreement with the U.S. Small Business Administration, institutions of higher education, economic development organizations and other public
and private funding partners.