2016 ANNUAL REPORT JANUARY 1, 2016 - DECEMBER 31, 2016
MISSION ........................................................................................................................................ 1 PENNSYLVANIA SBDC LOCATIONS....................................................................................... 1 IMPACT ......................................................................................................................................... 2 2016 GOALS v. ACTUALS ........................................................................................................... 2 SUMMARY OF SBDC SERVICES .............................................................................................. 2 100 CAPITAL FORMATION ........................................................................................................ 4 200 INNOVATION, TECHNOLOGY TRANSFER, AND TECHNOLOGY ASSISTANCE ..... 6 300 INTERNATIONAL TRADE ................................................................................................. 10 400 PROCUREMENT .................................................................................................................. 13 500 MANUFACTURING ............................................................................................................ 15 600 SPECIAL EMPHASIS GROUPS .......................................................................................... 17 Energy Industry ......................................................................................................................... 17 800 WOMEN’S BUSINESS DEVELOPMENT .......................................................................... 19 900 VETERANS, RESERVISTS, SERVICE-DISABLED VETERAN-OWNED BUSINESSES AND ALL OTHER MEMBERS OF THE U.S. MILITARY ....................................................... 20 1000 RURAL ASSISTANCE ....................................................................................................... 21 1100 ECONOMIC DEVELOPMENT, FAITH BASED AND COMMUNITY INITIATIVES . 23 1200 RESEARCH......................................................................................................................... 25 1300 ONLINE ACTIVITIES ........................................................................................................ 26 1400 OTHER ACTIVITY ............................................................................................................ 27 1500 SUCCESS STORIES ........................................................................................................... 27 1600 ADVOCACY ....................................................................................................................... 27 1700 RESOURCE DEVELOPMENT .......................................................................................... 29 1800 COLLABORATING AND LEVERAGING ....................................................................... 30 1900 UNPLANNED TRAVEL .................................................................................................... 31 2000 KEY PERSONNEL CHANGES ......................................................................................... 31 2100 PROBLEMS ........................................................................................................................ 31 2200 BUDGET TO ACTUAL COMPARISON........................................................................... 32 2300 ECONOMIC IMPACT ........................................................................................................ 32
Established in 1980 with a mission to grow the economy of Pennsylvania through its entrepreneurs, the Pennsylvania SBDC’s 18 university- and college-based Centers provide timely consulting, education, and information to new and existing business owners. The SBDC focuses on three core areas: no-fee confidential business consulting, educational programming, and timely, useful information. The SBDC utilizes a staff of experienced professionals to serve their customers in both traditional business assistance as well as offering specialized consulting. In 2016, the SBDC delivered 82,518 hours of no-fee management consulting. Consulting is confidential and provided at no charge by a staff of skilled professionals that emphasize education and guidance in finding practical solutions to business problems. Educational workshops and conferences aid entrepreneurs in articulating goals, evaluating and improving business ideas, researching and attracting needed advisors and resources, and writing business plans to build their businesses. During this reporting period, 6,906 individuals and firms benefited directly from 483 educational programs.
The mission of the network of Pennsylvania SBDC is to provide entrepreneurs and small business owners with the knowledge needed to make smart decisions and prosper.
1. Bucknell University SBDC 2. Clarion University SBDC 3. Duquesne University SBDC 4. Gannon University SBDC 5. Indiana Univ. of Pennsylvania SBDC 6. Kutztown University SBDC 7. Lehigh University SBDC
8. Lock Haven University SBDC 9. Penn State University SBDC 10. Saint Francis University SBDC 11. Saint Vincent College SBDC 12. Shippensburg University SBDC 13. Temple University SBDC 14. University of Pittsburgh SBDC
15. University of Scranton SBDC 16. The Wharton School, University of Pennsylvania SBDC 17. Widener University SBDC 18. Wilkes University SBDC
Since its inception, the Pennsylvania SBDC has provided over 3 million hours of consulting to more than 260,000 entrepreneurs and offered over 18,000 courses, workshops and seminars attended by 414,000 Pennsylvanians. SBDC services have helped small firms throughout the Commonwealth raise more than $3 billion in start-up and expansion capital, start more than 34,000 new companies, and sell $13 billion worth of Pennsylvania products and services globally. As a result, SBDC clients have created over 157,000 new jobs and generated more than $796 million in new state income tax revenue. In 2016, the Pennsylvania SBDC network reported the following outcomes:
Bought/Started a Business Jobs Created + Retained Increased Sales (domestic) Increased Sales (global) $47,693,857
Long-term Clients New Business Starts Capital Infusion
697 6,562 $290,378,987
SBA Loans (39) Non-SBA Loans (370) Equity Capital (402)
GOAL 2,233 470 $138,000,000
$19,571,200 $84,043,934 $74,715,640
ACTUAL 2,898 517 $170,818,897
In 2016, the Pennsylvania SBDC served 6,768 entrepreneurs and small business owners through a total of 82,518 consulting hours. A detailed breakdown may be found in the deliverables section following this narrative and is described throughout this report. Consulting Hours by Topic Business Plan Marketing/Sales Start-Up Assistance Managing a Business Financing/Capital International Trade Buy/Sell Business Engineering R&D Business Accounting/Budget Human Resources/Employee Mgt Exporting Social Media Cash Flow Management Legal Issues Training Technology/Computers 0
2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 18,000
The Pennsylvania SBDC network collectively educated 6,906 individuals in 483 seminars and workshops in calendar year 2016.
Individuals assisted by the Pennsylvania SBDC in 2016 represented Pennsylvania’s diverse populace. 66 percent of clients assisted were woman- and jointly-owned firms and 18 percent identified as minorities. Clients also represent a variety of industries as shown.
Business Ownership
Client Ethnicity Hispanic 4%
No Response 5%
No Response 15%
Male 29%
Both (Male/Female) 43% Female 23%
Non-Hispanic 81%
Industry Sector Wholesale Not in Business, 2% Other 7% Construction 3% Manufacturing 11%
Service 40%
Retail 12% No Response 25%
Client Racial Diversity No Response 12%
Veteran Clients
Asian 4% Native Hawaiian <1%
African American 13%
Native American <1% White 71%
Veteran 4%
No Response 43%
ServiceDisabled Vet 1%
Non-Veteran 52%
Securing financing will always be a challenge facing small businesses. The inability to obtain financing can create problems causing businesses to fall behind on their short-term payment obligations and in turn can cause a ripple effect with the cash flow of their suppliers. New businesses are also finding it difficult to secure funding to start their operations. Financing organizations require significant capital investments into new projects or are requesting more secure collateral. In years past, as long an individual had good credit and adequate collateral, the financing was usually available. Today, with new banking regulations, credit is everything and credit scores need to be well above 600 for funding to be approved by both banks and low-interest government loans. Some financing gaps are being filled with alternative financing programs and more collaboration is occurring to spread the credit among many financing organizations. Small business owners are utilizing online lending platforms now more than ever. Often perceived as easier and more accessible, online marketplace lending platforms have increased in popularity. However, these platforms often present business owners with unconventional options that may be more confusing than traditional debt. It is important that clients understand interest rates and payback terms. Businesses that have taken on expensive debt often run into cash flow issues, and then difficulty refinancing debt due to the absence of collateral or equity. Examples of client success stories relating to capital formation can be found in Appendix B. During this reporting period, 39 SBA-guaranteed loans were approved, totaling $19,571,200. As for non-SBA loans, 370 were approved for a total of $84,043,934. Examples of other capital formation activities include:
The Clarion University SBDC continues its work with lenders through an initiative to form closer relations with the region’s financial institutions. This started with a presentation to S&T Bank hosted at the Clarion University SBDC. A SBDC Business Consultant led the discussion that started with an overview of the SBDC and its services. A sample client portfolio was created and distributed to each attendee to showcase the resources available through the SBDC and how valuable they are to both start-up and existing businesses. Following the presentation, the SBDC fielded many questions from the bankers and then engaged them in a discussion to discover how the SBDC can help the bankers serve their clients better. The SBDC was looking to identify how to enhance its work with clients to strengthen relationships with the bank representatives and show them how the SBDC services go beyond the business plan. Initial feedback received from many of the bank representatives in attendance was extremely positive indicating the success of this targeted outreach effort. The Clarion University SBDC has identified a total of 20 more banks in the 10county region that the Center consultants will contact to set up similar meetings.
In May, the Penn State SBDC hosted a Bankers’ Roundtable in State College, PA. There were 24 attendees, eight more attendees than in 2015. Attendees included lenders, legislators, and other economic development partners. The Roundtable was sponsored by the Law Office of Alan Kirk. Speakers, including representatives from SBA and SEDA-COG Business Finance Department, educated lenders on SBA and other small business capital. The keynote speaker, Donald Johnston, a CPA with Grossman Yanak & Ford LLP in Pittsburgh, spoke about “Identity theft Issues, tax planning in an election year, and other important issues relevant to bankers.”
The St. Francis University SBDC has developed a new partnership with the Blair County Community Action Agency. They have started a Micro Grant Program that targets low income individuals that are seeking to start their own business. The grant is for a maximum of $5,000. The agency contacted the SBDC early in 2016 to discuss forming a relationship. The SBDC will assist these individuals in developing their business plan. Potential users of the program will be required to attend one of the SBDC’s First Step workshops and/or work one on one with an SBDC consultant in developing their business plan. The SBDC will also be available for followup consulting as well. The SBDC is also a referral source to the agency for potential clients
The Temple University SBDC increased its outreach efforts to financial institutions and participated in events designed to educate business owners about access to capital in the Philadelphia area. Most of the Center’s new contacts were made at networking events which were followed up by individual meetings with lenders. In each of these meetings/encounters the SBDC made a presentation about its services and operations. The SBDC also learned about new resources, how these institutions operate and the type of projects that could be funded. The SBDC also participated in the annual Meet the Lenders and Counselors organized by the Small Business Administration Southeast Pennsylvania District Office. Several banks, certified development companies, micro-lenders and other technical service providers participated in the lending forum for entrepreneurs. The SBDC Associate Director and a Business Consultant represented the SBDC at the event where they disseminated information about Center services. A representative of the SBDC also participated in a training program for lenders hosted by the SBA on the 504 refinancing program. The events were held in King of Prussia. New relationships developed with lending institutions included the following: Customers Bank, 504 Company, United Bank, M & T Bank, Philadelphia Federal Credit Union (PFCU), Finanta, Santander and TD Bank.
In August the Bucknell University SBDC hosted a Lenders Roundtable that brought lenders, economic developers, and other regional stakeholders together to network, seek partnerships, and better understand how small businesses are financed. The U.S. SBA’s Michael Kane (pictured) and Solomon Wheeler joined with organizations such as the U.S. Department of Agriculture, PA’s Department of Community and Economic Development, and local development district SEDA-COG to share updates on programs and services.
In new programming, the Bucknell University SBDC coordinated an investor pitch event at Bucknell’s incubator, StartupLewisburg, is which several clients presented to a group of angel investors. Two clients secured private investment as a direct result of this opportunity. During Global Entrepreneurship Week, the center presented a panel discussion entitled “The Business and Art of Crowdfunding and Microphilanthropy.” Several SBDC clients shared their experiences with crowdfunded projects and offered lessons learned in the practical logistics of using crowdfunding to launch new products and start-up ventures.
In 2016, two lender roundtable events were held by the Lehigh University SBDC – one targeted to lenders in the Lehigh Valley and one targeted to lenders in Bucks and Montgomery counties. The Lender Roundtables were hosted by the Lehigh University SBDC in partnership with the local SBA office. Local SBA and commercial lenders were invited to participate in a discussion on SBA loan programs and resources. Representatives from the SBA presented on the background of the program, policy updates, and benefits of SBA lending. The event allowed lenders to be introduced to the local SBA team, and to learn more about resources available to
them. The events were successful in providing exposure for the Lehigh University SBDC program as a resource partner and allowed for networking. The events were very well attended, with close to 10 representatives from the SBA taking part in the discussion, as well as close to 50 local area lenders. o
At the Lehigh Valley Lender Roundtable, speakers included John Kingsley from the Lehigh Valley Economic Development Corporation (LVEDC) to discuss state financing programs, Daniel Diaz from the city of Allentown Community and Economic Development Office and Asher Schiavone from the City of Bethlehem Community and Economic Development Office. Each speaker provided program updates as well as some background on what is happening in their respective geographies.
o
At the Bucks-Montgomery Lender Roundtable, lenders covering Upper Bucks and Northern Montgomery were in attendance. Speakers included Bob Cormack from the Bucks County Economic Development Corporation, Pete Krauss from the Bucks County Industrial Development Authority and Carolina DiGiorgio from Montgomery County Development Corporation. Similarly, at the Lehigh Valley roundtable, speakers provided local updates to lenders. Additionally, Chris Hudock from the Rising Tide discussed the loan fund which recently expanded to cover businesses located in Bucks County.
The Lock Haven University SBDC held a Lender’s Roundtable on May 25th, to discuss current economic issues, with 32 participants in attendance including local University officials, federal legislative staff, lenders from several local banks, the Small Business Administration, SEDACOG, the Susquehanna Greenway Partnership and the Downtown Lock Haven/Main Street Program. Resources and organizations that were featured during the event included presentations from the International Trade Team member at the Lock Haven SBDC and an update to lenders from the Eastern Pennsylvania District Office of the Small Business Administration regarding SBA loan activity in the region and new initiatives geared toward lender relations.
Two “Meet the Lenders” programs were held by the Duquesne University SBDC in 2016, one in Allegheny County Economic Development (ACED) offices and one at the Lawrence County Economic Development Corporation conference room. Thirty four attendees participated in the programs. Speakers in the Allegheny County Economic Development program were representatives from ACED, Huntington Bank, KivaZip, Liquid Capital, SBA and the SBDC. Speakers at the Lawrence County Economic Development Corporation were from LCEDC, SBA, Catalyst Connection, Northwest Commission, Liquid Capital, Bridgeway Capital and the Duquesne University SBDC. The Western Pennsylvania SBA District Office was very helpful in recruiting attendees. Many of region’s capital lenders presented on their programs followed by active networking.
During 2016 the Scranton Area Foundation’s Women in Philanthropy (WIP) program began offering micro loans to women entrepreneurs who had attended The University of Scranton’s StartUp for Women 6 week program through the SBDC’s partnership with the University’s Women’s Entrepreneurship Center (WEC). The loans range from $1,000-$10,000 and are for women who do not qualify for traditional funding. Kari Johnson, AOS Metals, Scranton was the first recipient of a $5,000 WIP Loan.
The Pennsylvania SBDC continued to offer confidential, no-fee technology services which include a fully integrated statewide service designated as a Core Service in the Strategic Plan and Key Markets and Services. In addition, the Pennsylvania SBDC is one of only 12 SBDC programs nationwide with “T” accreditation, receiving supplemental technology accreditation in 2006, 2011, and 2015.
Services provided by the Pennsylvania SBDC Technology Team and resource partners include: Early stage product feasibility – market research, financial analysis, assessing market potential, commercialization potential Access to resources – tools, partnerships, regional expertise & referrals Access to financing – identification of financing sources, financial analysis, R&D grant identification and proposal reviews, pitch development & preparation for equity financing, gateway to Innovation Partnership Pennsylvania SBDC continues to be a member of Innovation Partnership, a consortium of economic development and business assistance organizations located throughout the Commonwealth of Pennsylvania. The goal of the organization is to help early-stage technology companies in Pennsylvania secure federal funding opportunities. Pre-proposal reviews and micro-grants and vouchers to assist with proposal preparation are provided to early stage technology companies. In 2016, the Pennsylvania SBDC network was successful in securing $50,000 of the $200,000 FAST funds awarded to Pennsylvania through SBA. The SBA FAST funds are being used to support the consulting and professional development activity of the SBDC Tech Team members to provide services to clients who are in the process of commercializing or innovating technology. Each center hosting a Team member is receiving approximately $4,000 to support these activities and the Center where they are located will provide an equal amount of cash match, which will be used to further support the activities of the Tech Team consultants. In the past year, technology consultants provided 712 hours of consulting to 146 small firms looking to advance, protect and commercialize their research, innovations and new technology. A full accounting of tech client metrics is shown in the table below. Tech Metrics 1) Total clients served 2) Total # of counseling hours 3) Total # of trainings/events 4) Total # of new business starts 5) Increased Sales 6) Capital Infusion 7) # of SBIR/STTR grants secured
Pennsylvania SBDC Tech Clients (CY2016) 146 712 5 7 $14.7 M $10.6 M 0 approved (2 submitted)
Examples of Center-specific technology and innovation activities include:
Through its partnership with the Bucknell University College of Engineering, the SBDC provides specialty Engineering Development Services such as product development and technology commercialization to clients throughout the Pennsylvania SBDC network. Several Bucknell SBDC clients secured funding from Ben Franklin Technology Partners of Northeastern Pennsylvania (BFTP/NEP) in 2016, and one SBDC client and incubator member, Play Impossible, was the first place winner in BFTP/NEP’s annual high-profile Venture Idol event. Play Impossible
recently announced a $1 million investment round and was showcased at the recent Consumer Electronics Show as one of only four firms nationwide in Indiegogo’s new equity crowdfunding program. In 2017, Play Impossible will be turning backyards and playgrounds everywhere into video games with their interactive “GAMEBALL.”
The Clarion University SBDC is currently working with a number of clients through its technology consulting services. A client of the Clarion University SBDC is developing a software product that incorporates existing vulnerability assessment processes relating to the personal security of individuals that are concerned with kidnapping or assassination. The client plans to market its product to law enforcement and security agencies in government, military, and private sector organizations. The Clarion University SBDC is also working with a start-up manufacturing client in the process of commercializing a patent pending product. The SBDC has been assisting the client with the development of a business plan and financial projections, in addition to market research.
Examples of the technologies represented by the Duquesne University SBDC clients that are being assisted by the technology consultant include: o
A device to detect concussions and monitor severe acute brain injury that is based on a unique electrical signal, called cortical spreading depression (CSD), that occurs repetitively in severe brain injury and, most likely, immediately after the more mild injury of a head-hit.
o
An enzyme-based catalyst for amines production from ketones to improve the performance and stability of enzymes, providing cost-effective access to cheaper and less wasteful enzymatic bio catalysis.
o
A novel technology that will allow a millimeter-wave camera to operate at true video rates, with no moving parts.
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A carbon treatment remediation system through green technology (solar and battery). The technology is planned for rural areas with limited electrical service. The solar panels and batteries will provide the energy source to operate monitoring as well as remediation equipment for the cleanup of contaminated soils and groundwater.
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A potential energy harvesting device involving innovative ultra-high-speed MSM heterojunctions diodes. The MSM diodes have exhibited superior performance parameters over current state-of-art technology. With this product, for example, fitness trackers could run without a re-charge for a lifetime.
o
A novel micro particle-hydrogel platform that targets chemotherapy to tumors and the tumor microenvironment (TME), including cancer stem cells (CSCs) and their supporting tumor associated macrophages (TAMs), and myeloid derived suppressor cells (MDSCs).
Gannon University SBDC partnered with Erie Technology Incubator to conduct a series of accelerator programs focused on technology enabled companies. The Center oversaw the student teams put in place to provide market research for each of the participants. One tenant at Erie Technology Incubator, Gannon SBDC client Rentaba, has created an online platform that manages the relationship between landlords and tenants.
The Penn State SBDC continues to share office space in the Technology Center with the Ben Franklin Technology Partners (including Ben Franklin Venture Forum, Ben Franklin Transformation, and the Shale Gas Innovation and Commercialization Center), Penn State Office of Technology Management, Penn State Office of Sponsored Programs, and the business incubator. The newly formed Office of Industrial Partnerships is also located in Technology Center. The Penn State SBDC’s alignment with these partners and the ongoing TechCelerator collaboration has yielded many high-quality clients which have contributed
significantly to pre-venture impact and capital formation. An SBDC Business Consultant participates in each offering of the TechCelerator program, offering formalized training and consultation. SBDC Business Consultants are also key contributors to the Triage team, which meets with tech entrepreneurs as a ‘single point of entry’ into the various programs and offerings available through the Technology Center.
In October, Invent Penn State held the inaugural Penn State Venture and IP Fair at the Penn State Conference Center and Hotel. The conference was a success, with 585 attendees including 69 venture capitalists and at least 95 start-ups present. The SBDC helped develop the conference, with staff participating in various committees and assisting with logistics of the conference.
The University of Pittsburgh SBDC works with the Swanson New Product Development Center as a resource for engineering assistance. The Swanson Center uses the SBDC as a resource for companies when determining the market feasibility of new products being developed. The University of Pittsburgh SBDC also works with Carnegie Mellon University’s Pennsylvania Infrastructure Technology Alliance (PITA) and has used the Intelligent Workplace Energy Supply System to assist SBDC clients with product development.
The University of Pittsburgh SBDC Information Technology Program offers services to help clients reduce costs, increase efficiency and enhance services through a more effective use of technology. Robert Stein, a nationally renowned innovator and advisor in the technology industry, is experienced in improving project management, assessing costs and creating enterprise-wide, integrated information systems. In addition, through the Pitt SBDC information technology program, clients are able to receive analysis reports on websites, online advertising campaigns, e-commerce methods, search engine optimization and more.
The Shippensburg University SBDC partners with Ben Franklin Technology Partners in the “TechCelerator” housed in the Murata Business Center in Carlisle, PA. The TechCelerator is a partnership between Ben Franklin, the SBDC and other regional/local economic development providers, designed to offer entrepreneurs designated space, business support and mentoring services, loan and investment programs and entrepreneurial training all is a one stop shop. The business mentoring and entrepreneurial training boot camps offered in Carlisle allow potential business owners to gather the information they need in order to make an informed go/no-go decision on launching a company. Shippensburg business consultants work closely with clients in the TechCelerator program and help refer potential businesses.
In 2016, three Shippensburg University SBDC clients participated in the spring TechCelerator program in Carlisle. Two clients tied for first place and won $5,000 each. XoomRooms developed an invention that creates temporary walls through the use of a pole and panel. Another SBDC client has developed an application to be used with CrossFit training.
Wharton SBDC taught workshops and consulted with the startup companies in Penn’s ICorps Site, a NSF (National Science Foundation) program designed to facilitate commercialization of university research. The accelerator is a joint collaboration between the Penn Center for Innovation (PCI), the Mack Institute, Penn Law’s Detkin IP and Technology Clinic, the City of Philadelphia, Ben Franklin Technology Partners of Southeast Pennsylvania, Wharton Entrepreneurship and Penn Medicine Center for Health Care Innovation.
The Pennsylvania SBDC continues to advance its international business offerings for small- and mediumsized businesses. The network continues to support its international trade partners including the U.S. Department of Commerceâ&#x20AC;&#x2122;s Commercial Service, the U.S. Trade Development Administration and the Pennsylvania Department of Community and Economic Development. In June, the Pennsylvania SBDC renewed its strategic partnership MOU with the Commercial Service for the fifth year. From January 1, 2016 to December 31, 2016, the SBDC consulted with hundreds of clients on international trade issues while executing 15 export-related educational programs that were attended by 249 individuals. 52 clients reported an increase in export sales, totaling $35,734,707 in 2016. During this reporting period, 225 clients received exporting assistance. SBDCs recorded 30 referrals to the Pennsylvania Regional Export Network, other Federal Agencies, and the U.S. Department of Commerce. 27 clients reported that they started to export after receiving SBDC assistance. In total, SBDC clients reported exporting to 75 countries in 2016: Afghanistan, Argentina, Aruba, Australia, Austria, Bangladesh, Belgium, Belize, Bermuda, Brazil, Canada, Cayman Islands, Chile, China, Colombia, Congo, Costa Rica, Cote d'Ivoire, Dominican Republic, Ecuador, Egypt, El Salvador, Fiji, Finland, France, French Polynesia, Gabon, Germany, Ghana, Guatemala, Haiti, Honduras, Hong Kong, India, Israel, Italy, Jamaica, Japan, Jordan, Kenya, Kuwait, Libyan Arab Jamahiriya, Macao, Malaysia, Mexico, Netherlands, New Caledonia, New Zealand, Nicaragua, Niger, Nigeria, Norway, Pakistan, Panama, Peru, Poland, Portugal, Qatar, Saudi Arabia, Singapore, South Africa, South Korea, Spain, Sweden, Taiwan, Tanzania, Tonga, Trinidad and Tobago, Turkey, Tuvalu, United Arab Emirates, United Kingdom, Uruguay, Venezuela and Vietnam. The SBDCs have been designated as a major contributor to fulfilling the goals of the National Export Initiative. To assure the network has the expertise to help more small firms sell Pennsylvania products and services around the world, staff at each Center are receiving certification in international business. The Pennsylvania SBDC is proud to work toward fulfilling this requirement and currently has 19 out of 116 full-time employees certified in international trade. The following staff members of the Pennsylvania SBDC network can be counted toward this goal (Names in bold received certification in 2016): 1. 2. 3. 4. 5.
Darlene Atta, Temple University SBDC, SBA/TPCC certified, 2014 Martin Brill, Kutztown University SBDC, NASBITE certified, 2006 Reed Byrum, Bucknell University SBDC, NASBITE certified, 2016 Robin Burtner, Shippensburg University SBDC, SBA/TPCC certified, 2012 Lindsay Gilkes, University of Pittsburgh SBDC, SBA/TPCC certified, 2012; NASBITE certified, 2013 6. Vickie Gyenes, Saint Vincent College SBDC, NASBITE certified, 2006 7. Brenda Holdren, Lock Haven University SBDC, NASBITE certified, 2012
8. 9. 10. 11. 12. 13. 14. 15. 16.
James Kunkel, St. Vincent College SBDC, NASBITE certified, 2013 Cora Landis, Lehigh University SBDC, SBA/TPCC certified, 2012 Dorothy Lane, Wilkes University SBDC, SBA/TPCC certified, 2015 Mary McKinney, Duquesne University SBDC, SBA/TPCC certified, 2012; NASBITE certified, 2012 Miranda Mease, Clarion University SBDC, SBA/TPCC certified, 2014 Jill Newcomer, Gannon University SBDC, SBA/TPCC certified, 2013 Tony Palamone, Indiana University of Pennsylvania, SBA/TPCC certified, 2012 Brent Rondon, Duquesne University SBDC, NASBITE certified, 2007 Donna Simpson, The University of Scranton SBDC, SBA/TPCC certified, 2012; NASBITE certified, 2015 17. Brett Smith, Lehigh University SBDC, SBA/TPCC certified, 2016 18. Maria Spencer, Penn State SBDC, SBA/TPCC certified, 2012 19. Mary Beth Zingone, Lehigh University SBDC, SBA/TPCC certified, 2012 Examples of activities in international trade activities occurring at the Center level in 2016 include: Several business consultants from across the Pennsylvania SBDC network attended the 2016 NASBITE International Conference in Newport, Rhode Island. The conference was held from April 6-8 and provided an opportunity for the SBDC to gain more knowledge on international trade to better serve export clients in the region. The Duquesne University SBDC presented a panel workshop titled: “A Panel Discussion of Entry into Latin America Pacific Alliance Markets: Opportunities and Partnerships.” In addition to cooperating with the U.S. Department of Commerce Look South and Trade Winds initiatives and their leaders, Anthony Cambas, Director of the Oklahoma State SBDC University International Trade Center (OSUITC-SBDC) joined the panel. The Duquesne University SBDC Director was re-elected to the NASBITE Board of Directors for a three year period.
In April, a consultant with the University of Pittsburgh SBDC along with Steven Murray of the U.S. Commercial Service presented to the Airport Chamber of Commerce on the 10 biggest export myths.
The Saint Vincent College SBDC hosted the Consul General of Canada, John Prato, in February. A dinner reception was held followed by his presentation. The event drew 24 attendees from the local business community. In addition, 50 students from the Alex G. McKenna School of Business, Economics & Government were in attendance for the Consul General’s presentation.
Saint Vincent College SBDC’s Center for Global Competitiveness once again hosted its Annual Global Growth Conference in May. This one-day conference was designed to ensure ongoing compliance with U.S. Export Controls and Regulations. Topics included Export Control Reforms, Changes in Foreign Trade Regulations, AES Filing Requirements, and Updated Federal Requirements. Presenters included: Jim Anzalone, President of Compliance Assurance, LLC from Palm Beach, Florida, Susanne Cook, Esquire and Bruce Chiu from Cohen & Grigsby P.C.
Temple SBDC’s International Business Department (IB) continued to provide consulting services designed to assist businesses in identifying new markets overseas. As part of SBDC outreach efforts, the International Business Specialist represented the center at various international business events in an effort to market the program and expand the SBDC’s client base. Some of
the international events attended were as follows: a networking reception at the Cira Centre, celebrating the trade relationship between Pennsylvania and Canada; a monthly meeting of the Mid-Atlantic District Export Council (DEC); a workshop sponsored by the U.S. Export Assistance Center (USEAC) titled “Russia Sanctions and Opportunities in Ukraine and Other Eurasia Markets.” The SBDC also collaborated with key partners in the international business arena such as the US Export Assistance Center, Pennsylvania Department of Community and Economic Development, and the World Trade Center of Greater Philadelphia (WTC). The SBDC was also invited to participate in the launch of the regional export plan for the Philadelphia area. The plan was developed to showcase the role of exports to the growth of the Philadelphia regional economy. The SBDC Director had an opportunity to provide input and discuss the plan implementation at a stakeholders meeting hosted by the Federal Reserve Bank of Philadelphia.
The Clarion University SBDC hosted a seminar titled “Intro to Exporting” in August. The event featured speakers from various organizations in Pennsylvania that are designated to help small businesses with international trade including the US Commercial Service as well as representatives from the North Central Commission and Northwest Commission. The workshop provided the basics for businesses looking to go global including why companies should export, assessing export readiness, identifying markets, finding and screening buyers, logistics and documentation required, and various resources to help companies export.
In September the Lehigh University SBDC partnered with LEXNET and Pennsylvania Office of International Business Development to hold the Lehigh Valley’s Premier International Conference, the annual Bringing the World to You event. This year there were two components to the program. The overall focus was “Global Security Challenges: Safety and Sustainability” with their keynote speaker for the breakfast and lunch programs being Charles Kelly with the FBI. Workshops ran concurrently throughout the day along with the Pennsylvania trade rep meetings. The keynote presentations were “Overseas/Domestic travel brief” and “Economic Espionage.” Workshop titles included: Data Breaches: Big Problems for Small Businesses; Guarantee your Good Name; and International Finance Options. The workshops were presented by a law firm, bank and SBA Export Finance Program. The program was well attended with 75 attendees. Each of the concurrent workshops had at least 10-15 attendees and there were more than 90 one-on-one trade rep meetings scheduled.
In October 2016 the Duquesne University SBDC started the first quarter of year three for the Federal grant from the U.S. Department of Commerce. This program, entitled, “Opening Doors to the Pacific Alliance Countries, for US manufacturing companies,” focuses on increasing exports of firms in the infrastructure and construction industries to the Latin American countries that are fastest growing and members of the Pacific Alliance: Mexico, Colombia, Chile and Peru. Special highlights of 2016 were the trip to lead ten companies to the EXPOMIN Trade Show in Santiago Chile and Lima, Peru in April and eight firms to the Trade Winds mission in cooperation with the U.S. Department of Commerce. The firms attending (all manufacturers) were very successful in initiating and growing sales. Dr. McKinney, SBDC Director and Mr. Rondon, SBDC Global Business Program Manager, attended the national World of Concrete Trade Show in February, 2016 at the request of the U.S. Dept. of Commerce Program Manager, to recruit companies to participate in the MDCP program. Two firms they met at this event signed up to attend both of the MDCP events in 2016.
Duquesne University SBDC purchased booth space for EXPOMIN, the largest mining show in Latin America, EXPOMIN which was held in Santiago, Chile in April. Ten firms participated by purchasing an individual space in the booth and the SBDC worked with the companies at the show to secure trade partners and contacts. The companies were very satisfied with the experience and many have reported sales. This show was certified by the U.S. Commercial Service and the U.S. Embassy staff of the U.S. Chilean embassy interacted with SBDC clients throughout the event.
This year, Duquesne University SBDC’s Export Certification program was turned into a two day comprehensive program offering education on the resources, strategies, financing, methods of payment, logistics, documentation and free trade agreements that are involved when doing business internationally. One attendee commented: “I flew in for the Export Certificate Course after searching for such a course as comprehensive on the topic of exporting. I learned more even more than I expected and came back with practical knowledge that I have immediately put to use. The speakers were excellent, answering all of my questions, and the price fit my budget. I can’t wait until the next one.”
In September the Saint Francis University SBDC participated in the Pennsylvania Department of Community and Economic Development Office of International Business Development’s (OIBD) “Bringing the World to PA” event in Johnstown. This program provides the opportunity for Pennsylvania’s Authorized Trade Representatives (ATRs) to meet one on one with Pennsylvania companies seeking foreign market intelligence, agents and distributors, and industry and government contracts. The program also included market presentations, educational seminars, and networking opportunities for businesses. During the program, the SBDC was able to meet with two additional companies that are interested in further developing foreign markets.
The Pennsylvania SBDC is host to the Southeast Pennsylvania Procurement Technical Assistance Program (PTAP), a non-SBA project that assists companies with selling products and services to federal, state and/or local government agencies. Educational programs included “Doing Business with the Government” and “Certification Made Simple” where attendees can learn more about Disadvantaged, Minority and Women’s (DBE/MBE/WBE) business enterprise certifications. Government markets are not a universal remedy for increasing revenues, and all Centers encourage companies to self-evaluate products, processes and facilities to determine if they are prepared to compete efficiently in this marketplace. In educational seminars, Centers also discuss the importance of Pennsylvania certifications, the certification requirements and benefits, how to identify state contracting opportunities, and how the state purchases goods and services. Examples of SBDC participation in the procurement arena include:
Clarion University SBDC participated in two events to help businesses find opportunities to sell to the local and state government. The seminar titled “Doing Business with the Defense Logistics Agency” was held in February and featured speakers from the Northwest Procurement Technical Assistance Center and the SBDC.
The Clarion University SBDC hosted the seminar, “Veterans! Start or Expand Your Business,” in March. Speakers included Melissa Becker of the Northwest PTAC, Donna Hottel of the North Central PTAC, and Kelly Hunt and Jonathan Bennett of the U.S. Small Business Administration – Pittsburgh office. The seminar was attended by 19 individuals who learned about various topics such as the Veteran’s Verification Process, The Veteran’s Initiative Program, the Veteran’s Advantage Loan Program, PTAC services and government contracting, and services available through the SBDC.
The Kutztown University Procurement Technical Assistance Center (PTAC) team kicked off the new calendar year seminar schedule by hosting a seminar on Federal Certifications, which was held in the Reading Berks County Community Foundation in January. Traditionally, the Center has had light attendance at Reading, PA, events, but due to their marketing efforts, they had a total of 18 participants which was excellent for the event. George Tapia, SBA’s Business Opportunity Specialist in the Eastern Pennsylvania District Office was the presenter and gave an overview of the 8(a) Program, HUBZone, and WOSB/EDWOSB status, going over the requirements needed and how further to explore these options.
Two consultants from the Kutztown University SBDC attended the spring 2016 Association of Procurement Technical Assistance Centers (APTAC) Conference in St. Louis, MO in April. The conference was attended by about 350 participants who heard presentations by representatives of the GSA, US Women’s Chamber of Commerce, and various legal and consulting professionals involved in doing business with the government. This is a bi-annual conference, which serves to network and keep APTAC members current with industry trends. This conference serves a significant professional development metric and assists consultants in their daily roles as they serve their client base.
The staff of Widener University SBDC includes a Procurement Technical Assistance Program (PTAP) consultant. This consultant is charged with representing both the Center and the Wharton SBDC. The Center participates in sponsored and non-sponsored procurement outreach events with the Delaware County Chamber of Commerce and the Delaware County chapter of SCORE in order to let the community at large know of the services of PTAP. As part of the Center’s education and government agency outreach efforts the Center co-hosts programs presented at the Delaware PTAC on opportunities for businesses with various government agencies and topics on business development for government procurement policies and procedures.
The Lehigh University SBDC PTAC transitioned its educational program offerings in 2016 to focus on delivering content more efficiently while providing the depth necessary to be of value to their clients. The center revamped their “new to contracting” seminar from one, three hour seminar into four, one hour webinars and rebranded it as the “Targeting the World’s Largest Buyer” series. These webinars break apart introductory content into manageable pieces to allow clients to attend pieces that are relevant to them, while also allowing the client to dive deeper into those topics of interest. Also, the SBDC found that webinars were better attended as they provided more flexibility for clients. Webinar topics were - Certifications, Alphabet Soup (understanding contract vehicles), Market Research, and Marketing to Contracting Officers. In addition to their introductory seminars, the SBDC held advanced seminars for experienced contractors and a seminar on DCAA accounting, in partnership with their fellow Southeastern Pennsylvania PTAC centers to maximize client awareness. The Lehigh University SBDC PTAC was also part of the Small Business Day event with Congressman Charlie Dent, presenting an introductory government contracting seminar.
The Gannon University SBDC co-sponsored a number of procurement seminars in Erie, Crawford, Warren and Mercer counties in 2016: “Doing Business with PennDOT” with The NW Commission, held in Mercer, PA; DLA Land Marine & Maritime seminar co-sponsored with Penn Northwest Development Corp, Northwest IRC and NW Commission; and “How to do Business with the Federal Government,” a PTAC Government Procurement Seminar with the Northwest Commission in Crawford County. The SBDC partnered with the Northwest Commission in Warren County to present a seminar on how to work with the U.S. Forest Service.
The seminar included guidelines for how to submit bids on projects as well as various classifications for projects the Forest Service typically seeks out local businesses to complete.
The Pennsylvania SBDC has a long history of providing assistance to manufacturers, a significant industry in Pennsylvania. The SBDCs continue to focus on marketing plans and marketing research to help manufacturers find new customers at home and abroad through international trade and government marketing. In addition, the SBDCs provided financial analysis assistance to help manufactures identify operating efficiencies and to reduce costs, and refer them to the Environmental Management Assistance Program (EMAP) as needed. In 2016, 757 manufacturers, representing 11 percent of the total client base turned to the SBDCs for such assistance. Examples of specific assistance provided to manufacturers include:
In April, a consultant with the University of Pittsburgh SBDC was asked to facilitate a meeting being hosted by Catalyst Connection, together with America Makes, to form a Consortium for Additive Manufacturing (AM) to drive the development of a regional Additive Manufacturing cluster. Leading institutions like the University of Pittsburgh, CMU and Penn State are conducting extensive research into AM materials and processes. The intent of the meeting was to help ensure that the region realizes its full potential and becomes a powerhouse, not only in manufacturing technology, but also in its real world application as a manufacturing process.
In May, the Shippensburg University SBDC offered a new 4-hour workshop called “LEAN for Small Business.” This initial pilot session was offered at no-cost to attendees and registrations quickly filled the 25-seat workshop. The SBDC also had its WEDnetPA Partner present on the program to provide funding for one-on-one follow-up training with interested businesses. Survey and person-to-person feedback from the program evidenced that it was a very well-received session and the SBDC is scheduled to offer the LEAN for Small Manufacturers in York in August and have put a cost of $30 for the session.
The Lock Haven SBDC began partnering in January 2016 with Supply Chain Visions/Vistas, who was awarded the SBA’s ScaleUP America program in North Central Pennsylvania. With the ScaleUp America coordinator locating the regional hub in Williamsport, the Center staff will be working with the ScaleUP program in the North Central region. The SBDC will provide consulting services to the quarterly cohort members and working with ScaleUP and Supply Chain Visions to provide sustained support following the cohort members graduation from their program. In addition, two presentations were made to introduce each cohort to LivePlan, with five of the business owners utilizing the 6-month SBDC introductory version of the business planning tool.
In partnership with the St. Vincent College SBDC, Quality Mold, Inc. (QMI) held a ribbon-cutting grand opening on Friday, May 6th for their new manufacturing facility located in Latrobe, PA. The SBDC worked with a local banking institution along with the Southwestern Pennsylvania Commission (SPC) to enable QMI to acquire the financing to move from their 13,000 square-foot facility to their new 33,000 square-foot facility. Nearly 100 people were in attendance for this grand opening. The Executive Director and the Global Trade Manager
represented the SBDC at the event. Also in attendance were representatives from U.S. Representative Tim Murphy’s office, SPC, SBA-Pittsburgh office, Somerset Trust, and the local chamber office.
The Widener University SBDC provides a number of business services to manufacturing enterprises. Some of these services relate to support of manufacturers’ efforts to obtain government contracts. Requirements for government contracts for manufacturers usually require specific quality control standards and quality certifications such as ISO certifications. In addition, prime contractors require small manufacturers supplying components to be quality certified. The Center’s efforts for small manufacturers include research on quality standards and methods to comply with standards. Education programs and additional support have been provided through cooperative relations with the Delaware Valley Industrial Resource Council specializing in manufacturing support. The Center is also cooperating with the Delaware County Chamber of Commerce on programs focused on the business requirements of manufacturers in the county. In addition, efforts in government procurement include establishing relationships with government engineering groups that set the standards for manufacturing and provide certification assistance. These engineering groups often set requirements for products such that only certified manufacturers can bid on contracts.
In October, the Bucknell University SBDC led a special “Celebration of Manufacturing Week” in coordination with partners in a statewide media relations campaign. Students, legislators, educators, economic development officials, manufacturing professionals, and leaders from the business community gathered to mark the grand opening of an educational MakerSpace designed by SBDC client MakerEDU, a consulting firm comprised of Bucknell engineering students. Attendees included Pennsylvania Senator John Gordner (pictured, with SBDC client Uttam Kumaran), Solomon Wheeler, Harrisburg Branch Manager, SBA; and Christian Conroy, State Director, Pennsylvania SBDCs.
The Clarion University SBDC celebrated Manufacturing Day by attending the open house of Car Mate Trailers, Inc. at its company headquarters in Leeper. The SBDC participated by touring the facility and discussing the trailer manufacturing business with company management. The SBDC presented the company with a $50.00 gift certificate towards Clarion University professional training seminars.
In October, in support of its manufacturing clients, the Lehigh University SBDC attended the Lehigh Valley Manufacturer’s Summit which was held at the Agriplex at the Allentown Fairgrounds. The event celebrated Manufacturing and had a number of presentations focused on issues facing the ever-changing landscape for local manufacturers. The Lehigh SBDC’s PTAC assisted over 60 manufacturers with selling to federal, state, and local governments in 2016.
The Pennsylvania Department of Community and Economic Development designated October 17 as Pennsylvania Manufacturing Week. As part of that celebration, on October 3, 2016, Penn State SBDC staff toured the community kitchen space at the Old Gregg School in Spring Mills, Centre County. This shared kitchen is a Pennsylvania Department of Agriculture approved facility available for rent on an hourly basis by small food producers. The SBDC has referred
many individuals to the shared kitchen, and several SBDC clients use the space on a regular basis.
In November, the Shippensburg University SBDC participated in Pennsylvania Manufacturers’ Industry Day, presented by the Pennsylvania Procurement Technical Assistance Program. This event, coordinated and hosted by SEDA-COG and including the SBDC as a sponsoring partner, was designed to help manufacturers understand how to do business with local army depots. Lasting from 8:00 a.m. until 2:00 p.m., the event allowed each of the sponsors to display, talk with attendees and conduct a short presentation on the services of their organization. Mike Unruh presented on the core services of the Pennsylvania SBDC Network and Clyde Stoltzfus presented for the southeast PTAC program.
In 2016 the Clarion University SBDC worked with 22 clients impacted by the Shale Gas Industry. These clients represent a range of businesses that attribute their development and growth to this industry. Of these 22 clients, 11 were pre-venture clients and 11 were existing businesses. Of the pre-venture clients, six started a business, three are still exploring and planning their business, and two have decided not to go into business. Two Shale Gas clients secured funding during 2016 totaling $1,438,000.
In the coal related supply chain, the Northwest region has experienced a significant decline in activity. In particular, Joy Mining is in the process of closing its manufacturing plant in Venango County and plans are to sell the facility. In Armstrong County Rosebud Mining laid off over 400 employees, or about half of its employees in early 2016 due to the significantly warm winter and its high level of inventories. As of the spring of 2016 the company has started to slowly call back its employees but has not yet resumed full operations to date.
An economic boost to the western Pennsylvania and eastern Ohio region came in early June 2016 when Shell Chemical announced the long awaited decision to build a petrochemical complex in Beaver County. This plant is projected to bring 6,000 construction jobs to the region and 600 permanent jobs once it is operational. The site will house the cracker, three units that will convert ethylene into polyethylene pellets, a natural gas-fired power plant, a loading dock, and a waste water plant. Construction will start in about 18 months with commercial production expected to begin early in the next decade.
The geographic target area in western Pennsylvania served by the Indiana University of Pennsylvania SBDC had been a bit shielded from the effects of the credit meltdown, but is hard hit by the decline of coal brought about by low natural gas prices and environmental regulations. This area has an energy based economy. Two factors that helped in the region had been a great deal of construction activity at the university and the resurgence of the natural gas industry in connection with the development of the Marcellus Shale gas deposits. These two factors had kept area hotels, motels, and campgrounds relatively full. That activity has slowed to a standstill and begun a reversal in Pennsylvania and began migrating to Ohio. Halliburton had maintained a presence in Indiana County since 1970 and employed 430. They have moved their operations to Ohio where there is more activity in the Utica Shales and further south in Pennsylvania as the counties of Green, Fayette and Washington have experienced a boom.
The University of Pittsburgh SBDC continues to consult and teach “First and Second Steps to Becoming a Business Owner” in Greene County, targeting participants who are laid off or displaced coal miners.
The University of Scranton SBDC teamed up with Northern Tier PREP partners to plan and present at the Susquehanna County Open for Business Expo, where participants learned the advantages of doing business in Susquehanna County, opportunities in Marcellus Shale, and resources for business development. (see photo at right)
The St. Francis University SBDC has been attending meetings with other local economic development officials in regard to funding that may be available to communities affected by mining cutbacks. Saint Francis has been working with the Pennsylvania SBDC Lead Office as part of a POWER grant application to bring additional resources to regions of the Commonwealth impacted by the downturn of the coal industry. The SBDC is also a minor participant in a POWER grant proposal that will serve three of the SBDC’s six county region (Blair, Cambria and Somerset Counties).
Assistance with certification programs, development of business plans, SBA 8(A) loan applications, and partnerships to increase outreach are just some of the ways the Pennsylvania SBDC supported minority business owners in 2016. This year, the SBDCs consulted with 1,181 minority clients, representing 18 percent of the total client base. In addition, 4 percent of SBDC clients counted themselves as Hispanic and 13 percent of the minority group identified themselves as African-American. Examples of activities to support Pennsylvania’s diverse population include:
Duquesne University and the Duquesne University SBDC have been very active in working with distressed populations. Duquesne University is located on the edge of downtown, close to the Hill District, one of the region’s poorest communities. Both Duquesne University and the SBDC have conducted and continue to run programs that are utilized by Hill residents. The SBDC was the driving institution for the creation of the Pittsburgh Central Keystone Innovation Zone (PCKIZ), now expanded to Urban Innovation 21, which was a partnership between Duquesne University and the Hill House for Community Development which engaged 15 other community partners from the public, private, university and non-profit sectors. The Duquesne SBDC plays a leading role in assisting entrepreneurs in this KIZ.
The U.S. Small Business Administration (SBA) celebrated Black History Month by saluting minority-owned small businesses. In February the SBA leaders visited with Angela Huyghue, CEO and founder of One on 1 Accounting & Consulting, a procurement client of the Kutztown University SBDC. (see photo at right)
In May, the Kutztown University SBDC’s Latino Business Resource Center graduated 17 early stage entrepreneurs from the eight-week session entitled, Business Skills for Success for Latino Entrepreneurs. The graduation ceremony was held at the Crown Plaza Hotel in Wyomissing. (see photo at right)
The University of Pittsburgh SBDC continues to work with the Southwestern Pennsylvania Engineering Outreach (SPEO). The primary objective of the program is to support and mentor minority and women-owned business enterprise (MBE/WBE) engineering firms in Southwestern Pennsylvania and to enhance their long-term viability by providing opportunities and resources. The program supports MBE/WBE firms in the area in efforts to: mirror the demographics of the community, do business in the community, hire minorities and women from the community, and contribute to the community. The following programs were offered in 2016: Making Your Business Relevant in 2016; Social Media: Defining & Capturing Your Customers; Operations & Managing Growth; and, Human Resources Do’s and Don’ts.
The Pennsylvania SBDC continued to support women-owned businesses through targeted outreach, personalized consulting, and educational programs in 2016. 66 percent of all clients represented women- and jointly-owned businesses. Examples of outreach and successes include:
Chatham University was awarded the SBA designation as an SBA Women’s Business Center (WBC). The WBC is working with the Duquesne University SBDC to provide outreach to clients and assist clients in exporting. The SBDC will be conducting joint training programs which will provide both Centers opportunities to reach new clients.
In April, the Gannon University SBDC was pleased to welcome Natalia Olson-Urtecho, Regional Administrator of the Small Business Administration, as the Keynote Speaker for the 9th annual Women in Leadership Development (WILD) Conference. The program was focused on leadership education in three tracks: Women Business Owner/Entrepreneur, Executive Leadership and Rising Leaders. Seven sessions were held and well attended by the participants focusing on topics instrumental in career development, entrepreneurship and leadership.
In March, the Kutztown University SBDC, SBA’s Eastern Pennsylvania District Director, Tony Leta, Assets Women’s Business Center, and SBA staff visited That Shuu Girl, a Lancaster woman-owned boutique to celebrate Women’s History Month. (see photo at right)
Also in March, the SBA and Pennsylvania State Senator Judy Schwank partnered to hold the first “WE ROAR” Summit at the Doubletree Hotel in Reading. This was an opportunity for women in business or thinking about starting a business to get some education on various topics and to network. Organizations that support small businesses were all represented. The Director of Jump Start Incubator was the moderator of a panel of experts on starting a business. Kim Stout, SBA
representative and the Assistant Director of the Kutztown University SBDC were some of the experts who were on the panel.
Efforts continued to further develop programs and services offered by The University of Scranton Women’s Entrepreneurship Center (WEC), a partnership between the SBDC and the Kania School of Management (KSOM), which was established in 2009. WEC student interns and SBDC staff offer business start-up information, guidance, and encouragement to lower income women, those in transition or those trying to make a better life for themselves and their families. In 2016: o
40 women completed StartUp, an educational program series designed to give lower income women the step-bystep guidance needed to develop successful small businesses. Participants in this interactive program learned startup basics, legal and insurance considerations, marketing and social media essentials, business plan development, accounting and budget skills, financing options and requirements, and goal setting. Local women business owners also visited the sessions to share their experiences.
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WEC Coffee & Confidence is a free confidence boosting, information session for women interested in exploring the idea of starting their own businesses. Four sessions were held with a total of 22 attendees. Each session featured a guest mentor to share her story and offer encouragement, including Donna Czarkowski, owner of Cloe & Company; Maggie Calpin, owner Nibbles & Bits; Lenora Delvecchio, of Lenora’s Women’s Clothing Boutique; and Michelle Pane, Business Relationship Manager at Fidelity Bank.
During this reporting period, the SBDCs supported a total of 253 veterans and 72 service-disabled veterans, and educated a total of 422 veterans in seminars. Many Centers continue to offer no-charge or reduced admission to veterans who attend educational programs. Examples of outreach to veterans this year include:
The primary activities of the Widener University SBDC focused on veterans have been assistance in identifying government and commercial contracting opportunities designed to leverage their status as a veteran owned business with a particular emphasis on service-disabled veteran owned businesses. These programs provide assistance in government contracting at the federal and state levels. This assistance includes the Procurement Technical Assistance Program (PTAP) programs designed to assist with government procurement opportunities for veterans and contacts with prime contractors for subcontracting opportunities. Outreach and cooperation with the Veterans Administration and their Vet Biz organization are also part of the assistance program offered to veterans including information on the VA program that verifies veteran status for procurement opportunities. The Veterans Administration Department of Vocational Rehabilitation has recognized the business planning services of the Center and has referred veterans who are attempting to start businesses to the Center for business development planning and advice.
The Clarion University SBDC hosted the seminar, Veterans! Start or Expand Your Business, on March 18, 2016. Speakers included Melissa Becker of the Northwest PTAC, Donna Hottel of the North Central PTAC, and Kelly Hunt and Jonathan Bennett of the U.S. Small Business Administration – Pittsburgh office. The seminar was attended by 19 individuals who learned about various topics such as the Veteran’s Verification Process, The Veteran’s Initiative Program, the Veteran’s Advantage Loan Program, PTAC services and government contracting, and services available through the SBDC.
In October, the Clarion University SBDC participated in the 1st Annual Veteran’s Expo that was organized by State Representative Donna Oberlander’s office. Over 50 veterans and 37 exhibitors attended the event. Each exhibitor had a table for promotional materials and educated veterans about the resources that the region has to offer. The SBDC looks forward to participating in the 2017 expo that has already been tentatively scheduled for late October.
The Penn State SBDC partnered with Penn State World Campus to offer a two-day Veterans’ Entrepreneurship Training (VET) Event. The curriculum for the event was based on the SBDC’s First Step of Starting a Business and Second Step of Starting a Business workshops, reworked as appropriate for a veteran audience. On the first day, the director of a veterans’ incubator provided an overview of opportunities available to veterans. The rest of the session was devoted to assessing a business idea, starting to write a business plan, and identifying funding opportunities. During the second session, attendees pitched their business idea to obtain feedback. In addition, Dr. Kelly Hunt, the Director of the SBA Pittsburgh District Office, was on hand to talk about assistance programs available to veterans. To wrap up day two, a panel of veterans who own businesses were asked to share “What I wish I had known…” and answered questions from those in attendance. Eleven veterans attended the first day and nine attended the second.
SBDC Business Consultants from the Shippensburg University SBDC Robin Burtner and Cheryl Young presented module 3: “Markets & Your Competitive Space” at an SBA “Boots to Business” workshop in Carlisle, PA. The objective of the session they presented was to “Understand how to conduct market research, the importance of market research, and also the basics of competitive strategy/analysis.” Both consultants were pleased with the response of the audience to their presentation, noting that there was much audience participation with active questioning throughout the session.
48 out of 67 Pennsylvania counties are considered rural according to The Center for Rural Pennsylvania. The Pennsylvania SBDC provides services to all businesses, no matter their location. Examples of outreach to these counties during this reporting period can be seen throughout other sections of this report as reported by the Bucknell University, Clarion University, Duquesne University, Gannon University, Indiana University of Pennsylvania, Lock Haven University, Penn State
University, St. Francis University, St. Vincent College, Shippensburg University, University of Pittsburgh SBDC, The University of Scranton SBDC, and the Wilkes University SBDC.
Sponsored by the Oil Region Alliance (ORA) of Venango County, the “Get on the Trail” Business Plan Contest” for the Erie to Pittsburgh trail kicked off on April 20, 2016. The kickoff event was held at Bosso Nova Café in Franklin, a business that was a past winner of the contest. The initiative’s website, www.getonthetrail.org includes information on all outdoor recreation opportunities offered in each region under the theme; “Grab Life by the Trail.” Information on biking, hiking, horseback riding, water activities, and history of the trails is featured. Following the kick off, ORA sponsored two training seminars, which included the participation of Clarion University SBDC business consultants. The first seminar was titled “Constructing your Business Profile” on June 8, 2016 and “Incorporating Social Media into your Marketing Campaign” on May 28, 2016. The speakers for the second seminar included representatives from ORA, SCORE, and the SBDC. A representative of the Clarion University SBDC continues to participate as a part of the judging committee including the initial submissions of a business profile and the final judging of the completed business plans. The Get on the Trail contest award ceremony took place on Saturday, November 19, 2016 in Franklin, Pennsylvania. Eight contestants participated in the contest. All three winners are located either on the trail or very close to the trail enhancing the experience and services for trail users. The winners were: o
1st Place - $5,000: Marie and Shaun Alcorn, owners of Karma Coffee Company in Oil City. They plan to complete renovations on their location to include meeting space and indoor and outdoor bike racks.
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2nd Place - $2,000: Jeff Brunton, owner of Outdoor Allegheny River Services (OARS) from Franklin. Jeff plans to add bicycle repair services and expand his bicycle rental to include tandems and child bicycle trailers.
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3rd Place - $1,000: Julie and Jeff Powell, owners of Little It Deli of Emlenton. They plan to add a winery or brewery to their restaurant.
The Commonwealth of Pennsylvania continues to support and encourage the growth of tourism and related-businesses in North Central Pennsylvania based on significant outdoor experiences. The goal is to enhance the visitor experiences in this region, while protecting and conserving these treasured natural resources. The focus includes improvements to the natural resources, infrastructure and visitor services of the region. The Pennsylvania Wilds program is designed to provide a framework for implementing activities that meet these goals and this focus. The Clarion University SBDC continues to strengthen its partnership by participating with the Pennsylvania Wilds through client identification for introduction, integration, and promotional activities.
The Clarion University SBDC attended the Pennsylvania WILDS 2016 Annual Dinner and Awards Banquet held in St. Mary’s, Pennsylvania on April 28, 2016. This event brought together DCED and DCNR with individuals, organizations, and communities representing the tourism interests in the North Central region of Pennsylvania. The event featured an overview of current happenings in the Pennsylvania Wilds along with the presentation of awards. A past client of the Clarion University SBDC, Flickerwood Wine Cellars, won Business of the Year.
The Clarion University SBDC continues to collaborate with the Penn State Cooperative Extension Program to offer two types of training events. The Food for Profit seminar began as part of a statewide program for individuals interested in starting or growing a food business in Pennsylvania. This program provided information on getting this type of business started, the municipal and sanitation laws related to licensing and inspection preparation, niche marketing, safe food handling, packaging requirements and financing the business. This seminar was first
offered in 2013. Funding for this seminar was not readily available as it had been in the past. Subsequently, one seminar was held in 2016 and hosted at the Clarion University SBDC.
Due to the successful collaboration with the Food for Profit seminar, Penn State requested an additional partnership to offer the Food Safety training program. Since early 2014, the Clarion University SBDC has been co-sponsoring Food Safety, SafeServ®/Certification twice a year. In 2016, additional marketing and promotional efforts were made for all seminars held in and around the Clarion University SBDC region. A total of nine seminars were co-sponsored and held in Clarion, Dubois, Coudersport, Ridgway, Port Allegany and Cranberry
Lehigh University SBDC partnered with the Penn State Ag Extension to host and present the popular, Food for Profit Seminar. This all day event is structured to give information about how to start a small to medium size food production business. Speakers presented tips on business planning, regulations, markets, channels of distribution, regulations and more. A total of sixteen persons attended the session held in Bethlehem.
The Lock Haven University SBDC is currently utilizing funding from a USDA Rural Business Enterprise Grant (RBEG) for the delivery of their River Towns Initiative offered in the communities of Lock Haven, Clinton County and Jersey Shore, Lycoming County. RBEG grants are designed to support targeted technical assistance, training and other activities leading to the development or expansion of small and emerging private businesses in rural areas that have fewer than 50 employees and less than $1 million in gross revenues.
The Saint Vincent College SBDC provides no-fee management consulting and low-cost educational programming to the rural Fayette County business community through their collaboration with the Fay-Penn Economic Development Council. Fay-Penn assists in growing and diversifying the economy in Fayette County. This partnership, now entering its fourth year, has helped numerous entrepreneurs launch successful new business ventures. Fay-Penn has assisted companies in Fayette County for over 25 years. They also spread the word that Fayette County is a great place to live, work, and play. Their marketing attracts new ventures, public and private investment, and a host of people to experience Fayette County amenities first hand. The SBDC Executive Director travels to the Fay-Penn office complex twice a month to work on site with Fayette County clients. In addition, the Saint Vincent College SBDC also works closely with the Fay-Penn team in providing SBDC educational programming to the rural businesses of Fayette County. The Executive Director serves on the loan review committee of the Progress Fund. The Progress Fund is a regional, multi-state economic development organization whose mission is to focus on building the tourism and agriculture industries with at least 60 percent of loans in distressed rural communities.
Pennsylvania SBDC’s goal is to grow the economy of Pennsylvania through its entrepreneurs which means participation in regional and statewide economic development initiatives. Examples of the network’s economic development activities are numerous; activities during this reporting period include:
The Duquesne University SBDC reports that its region’s overall unemployment rate continues to trail that of the country as a whole, particularly in two of their outreach areas: Lawrence and Beaver counties. The SBDC provided services on a SBA funded Portable Assistance grant which started in January 2016 and continued research indicates that the unemployment rate still trails that of other regions and layoffs continue. There is a training gap in the skills that the unemployed workers currently have and what the advertised jobs demand which the Pennsylvania Jobs program sought to address.
In June, the Duquesne University SBDC held its 18th Annual Entrepreneur’s Growth & Networking Conference. They added the words “& Networking” to the conference name because clients reported that they wanted more opportunities to meet other business owners like themselves. Hence, the SBDC dedicated the morning general session to networking. Another new feature this year was the “Sales Power Hour” which included three workshops all revolving around the topic of sales – Business to Business, Business to Consumer and Selling to Big Business. SBA Regional Administrator, Natalia Olson-Urtecho kicked off the event and also spoke at the morning session on raising capital. At lunch, Jeff Broadhurst, President and CEO, Eat’nPark Hospitality Group, gave a motivational speech about “Building a Place for Smiles.”
In March, Penn State President Eric J. Barron hosted a ceremonial ribbon cutting and dedication at Happy Valley LaunchBox in downtown State College. The University’s new no-cost business pre-accelerator is a signature program of the Invent Penn State initiative. The Penn State SBDC Director and staff were instrumental in helping to launch this new initiative and were present at the ribbon cutting. In January 2016, the first five business startups began working in Happy Valley LaunchBox. Teams complete ten weeks of business startup training, have access to nocost legal and marketing consulting, have access to the Penn State SBDC’s new on-site office in the Happy Valley LaunchBox that provides consulting assistance to both the cohorts and other entrepreneurs, and enjoy free co-working space that’s available 24-hours daily for up to nine months.
The University of Scranton SBDC Small Business Internship Initiative continues to grow in business and student interest, number of participating institutions, and regional and national visibility. The initiative offers small businesses the opportunity to grow their businesses with the help of local college student interns, while providing students access to experiential learning opportunities near their schools. Since it was established in 2013 the following results have been achieved: 32 internships completed, ten in progress or in the process of being filled, 18 total small business sites, four repeat sites of completed internships, Over 340 applications have been received from students representing nine participating institutions, and ten participating academic institutions.
In February the Wilkes University SBDC became part of Wilkes-Barre CONNECT. Wilkes-Barre Connect acts as a clearing house for business development in Northeastern Pennsylvania by formulating strategic partnerships with the academic and business community to spur business and job creation, retention, expansion, and business attraction through support services, including mentoring, training, networking, technical assistance, access to capital, and facilities. Connect is administered by the Greater Wilkes-Barre Chamber, and run through a committee comprised of strategic partners. The partners are, Ben Franklin Technology Partners, The Wilkes University Family Business Alliance, The Allan P. Kirby Center for Free Enterprise and Entrepreneurship, The Institute for Public Policy and Economic Development, and the Diamond City Partnership. Through this partnership the Wilkes SBDC has seen an increase in the number of existing business in need of assistance.
For the past two years, the Bucknell University SBDC has collaborated with Pennsylvania Representative Lynda Schlegel Culver and Sunbury Revitalization Inc. by designing and partnering in the Sunbury Business Pitch Competition. This community-based and community supported program brings services and regional attention to clients through advising sessions with area business leaders; and through prizes including rental abatement, inkind services from a range of professional service providers. Winners of the 2016 competition Thad and
Curtis Benner (3rd and 4th from left) of Eclipse Craft Brewing Company are pictured with (from L) Greater Susquehanna Valley Chamber of Commerce CEO Bob Garrett, Rep Culver, and Jeff Balestrini, Chief Lending Officer at Service 1st Federal Credit Union.
Market, industry, and other research provided to clients plays an important part in the Pennsylvania SBDC consulting services. In many cases, research is conducted by students with the oversight of senior consultants. This has been a mutually beneficial arrangement; clients benefit from getting in-depth research to help them make better business decisions and students are given the opportunity to participate in a real-world learning experience. Robust resources are available at host university libraries, through the Penn State Data Center, and databases provided through the Regional Export Network and the Pennsylvania SBDC Lead Office, including Hoovers Online, First Research, IndustriusCFO, CultureGrams, SBDCNet, and Alteryx GAC. Examples of research projects completed this reporting period include:
Business research, the cornerstone for new venture development and existing company expansion, continued to be in high demand as always. Entrepreneurs and business owners who know the value of research sought such assistance on a regular basis. The Temple University SBDC continued to strengthen its partnership with the Fox School International Business Department by providing real world business cases for its undergraduate capstone course. The students conducted research on various markets around the world for select SBDC clients. An example of a research project conducted involved a company that currently exports proprietary devices that aids cooling in locomotive engines looking for New Markets in Russia and England. The department researched the countries, industries, trade shows, current use and type of locomotive engines, production forecasts for the next 5 years, inventory, builders, the European rail network, possible distributors and trade shows. The client was looking for distributors in England, and has since signed a distributor in Russia. The client also attended a trade show in Russia and was referred to U.S. Export Assistance Center and the World Trade Center Philadelphia (WTC) for a travel grant. The clients were impressed with the final results and the students gained valuable consulting experience. In addition, the Department recruited and trained 11 undergraduate research interns from the International Business Department and one post doctorate chemistry research fellow to assist with client research projects not associated with the IB Capstone class (see photo at right). These students provided assistance on specific industries, highlighting trends and market potential.
The Penn State SBDC collaborates with clients to assist with a variety of research requests. This research may include industry research, product research, technical research, and demographic research as well as competitive analysis. To complete this research, the Center uses the internet, resources at the Penn State libraries both on site and the internet library system, the SBDC’s National Research Library, the SBDC’s Hoovers, IndustriusCFO and Alteryx GAC subscriptions, the Penn State Paterno Schreyer Business Library, and a small office library, among other sources of information. Additionally, Business Consultants subscribe to the Pennsylvania SBDC listserv and often query the network on behalf of clients. Detailed research was performed for at least thirty Penn State SBDC clients in 2016. Some of the topics researched included: traffic counts, sales tax regulations on heat lamps and saunas, licensing requirements for travel trailer manufacturers, trends in mobile application usage, local regulations for mobile food carts and trucks, fictitious name registration requirements, responding to a cease and desist letter, life insurance options for high-risk insurers, and general market research.
Alteryx has become a go-to research tool for many clients at the University of Scranton SBDC. Examples of its usefulness include: the SBDC was able to locate areas in and around Pike County with limited tree coverage for a client who is considering starting a solar panel sales and installation business. The SBDC was able to determine the buying habits of the potential market of high-end art and jewelry for a home shopping network type business selling the same. The SBDC was also able to gather detailed buying habits and demographic details for two women’s retail clothing stores planning to open in Scranton.
As technology continues to improve and enhancements are made to move our society to use the Internet as a primary information resource, the use of social media has increased dramatically. Historically one of the more popular forms was Facebook, but now there are numerous social media options that businesses can integrate for a more robust online marketing presence. Social media has evolved into a resource that is a tremendously valuable business tool. Today businesses are not only enhancing their integrated online marketing activities, but now businesses must be mobile compatible for this growing number of users. As of January 2016, there were over 2.307 billion active social media accounts globally, 3.790 unique mobile users, and 1.968 active mobile social users. This shift is easy to spot and as a result companies are posting their URLs on television commercials, and they are asking their followers to join them on Facebook, Twitter, and Instagram, just to name a few.1
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The Clarion University SBDC utilizes Facebook to distribute information pertaining to helping businesses start, grow, and prosper. Items such as news articles, client publicity, client activity pictures, training event pictures, and workshops are published on the Clarion University SBDC Facebook page. In addition, the Center continues to focus on offering a number of marketing seminars that discuss social media networking as well as consulting hours devoted to social media. In the first six months of 2016, the Clarion University SBDC offered two marketing seminars titled, “Effective Writing for Public Relations” and “How to Grow your Customer Base and Sales using Online Marketing in 2016.” In total these seminars provided training to 28 business owners or key management of small businesses in the region.
The Temple University SBDC was very active in identifying resources that would be of great value to entrepreneurs and business owners in the Philadelphia area. Partnerships with local organizations provide resources that were leveraged for entrepreneurial development such as the relationship with WURD (a local radio station) in Philadelphia. The SBDC was once again invited by the radio station to participate in the “Mind Your Own Business” social media competition for entrepreneurs. The program is a community initiative organized to promote business development in Philadelphia. The program provided a platform wherein entrepreneurs could pitch their business ideas to a panel of business experts and the audience voted for the best idea via social media. Various technical service providers such as the Temple SBDC and business experts were invited to serve as panelists for the event.
In 2016, the Lehigh University SBDC transitioned its webinar platform from Blackboard Collaborate (which was a tool used for Lehigh’s Distance Education programs) to being a tester of Lehigh’s new platform, Zoom. This platform switch streamlined their webinar offerings, by providing a simpler interface with only the necessary features, and greater client accessibility through multi-device support. Additionally, Zoom provides tracking of attendees through its reporting platform and saving of recorded webinars which allow the SBDC to upload past webinars to YouTube for easier client access. From a consulting standpoint, Zoom is now another
Source: http://wearesocial.com/special-reports/digital-in-2016
tool for reaching clients. Clients having issues navigating websites, registrations, etc. can now join a Zoom meeting with a SBDC consultant and walk through the process with them. Additionally, for those clients that are far from the SBDC’s office, consultants can have live virtual meetings to save the client or consultant the travel time for an in-person meeting.
The Lehigh University SBDC hosted a Small Business Financing Webinar Series presented over three weeks in late October into early November, sponsored by M&T Bank. o
Part 1 provided an introduction to Small Business Financing, and included information on how and when to approach a lender, how lenders evaluate loan requests, and an overview of the documentation required in a loan package.
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Part 2 discussed financing options for small businesses. In addition to local and traditional sources of financing, alternative funding options were discussed, including crowdfunding and other online financing options, equity and private investment, asset based loans, 401k equity investments, and microloans.
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Part 3 included a more detailed overview of the final loan package. This session included the importance of building a funding request, detailed the sections within a business plan, discussed financial projections, and provided a review of the supporting documentation required in a loan presentation.
Each year, the Pennsylvania SBDC network holds numerous business education events around the state to help aspiring entrepreneurs and business owners learn about important aspects of growing their business. In 2016, 483 events were held across the SBDC network attracting 6,906 attendees.
See Appendix B – Success Stories.
The Pennsylvania SBDC was very proud to have six small businesses and the Bucknell University SBDC win awards from the U.S. Small Business Administration (SBA) during the 2016 National Small Business Week. o
Pennsylvania Exporter of the Year Award: Bernadette Ward and Ladd Forsline, Owners, Colorfin, LLC (Nominated by: Kutztown University SBDC)
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Eastern Pennsylvania’s Minority-Owned Small Business of the Year Award: Jennifer Gill, President, Managing Member, Exact Match Masonry Staining, LLC; Matthew Gill, Vice President, Exact Match Masonry Staining, LLC (Nominated by: Kutztown University SBDC)
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Eastern Pennsylvania Small Business Person of the Year Award: Patrick G. Nasser, William K. Nasser, III, Eric D. Miller, Anthony V. Potis, (owners), Backyard Ale House (Nominated by: The University of Scranton SBDC)
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Eastern Pennsylvania Veteran-Owned Small Business of the Year Award: John James McGeehan, Owner, Gaver Industries, Inc. dba Barker & Barker Paving; Gavin John
McGeehan, Owner, Gaver Industries, Inc. dba Barker & Barker Paving (Nominated by: Lehigh University SBDC) o
Western Pennsylvania & Overall Pennsylvania Small Business Person of the Year Award: Dr. Wei-Shin Lai, CEO, AcousticSheep (Nominated by: Gannon University SBDC)
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Eastern Pennsylvania Family-Owned Small Business of the Year Award: Dennis, Nancy, Ryan and Michael McFarland, Owners, Buttonwood Campground (Nominated by: Penn State SBDC)
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Small Business Development Center Excellence and Innovation Award: Steven Stumbris, Director, Bucknell University SBDC
During National Small Business Week 2016 the Bucknell University SBDC coordinated a series of educational programs on marketing and a celebratory event engaging local and state legislators, business leaders, and university officials that announced the Center as the recipient of the SBA’s Excellence and Innovation Award.
In collaboration with Pennsylvania Department of Community and Economic Development, Keith Yurgosky, Business Consultant, presented the webinar “Starting a Small Business” to kick off Pennsylvania Small Business Week, which was part of National Small Business Week. 60 people registered and 36 attended the webinar, which provided an introduction to the basics of starting a small business in Pennsylvania, including information about registrations, licenses, business structures, and business plan development.
In honor of Small Business Week, the Lehigh University SBDC partnered with Congressman Charlie Dent (PA-15) to host a day-long event of educational programming for small businesses. The Congressman’s office and SBDC worked in concert to develop the topics, secure the venue, and market the event. Representative Dent was on hand at the beginning of the program to welcome the attendees and entertain a question and answer session. SBA representatives also joined the audience to answer questions and distribute program materials to attendees. The daylong program received high marks from the 30+ attendees for the quality and range of the content and presenters as well as the collateral materials made available by Congressman Dent’s office, the SBDC, and the SBA.
The Clarion University SBDC marketed Small Business Saturday using the national campaign tag lines and themes. Digital marketing strategies were used through social media and email along with some direct outreach to strategic partners like the Chambers of Commerce in the region. The Clarion University piloted a social media contest to celebrate Small Business Saturday titled the SBDC Facebook Selfie Contest. Individuals and businesses were encouraged to post a photo promoting their favorite small business during the week on Small Business Saturday, November 26, 2016. Small Businesses featured in the Selfie photos would be entered to win a basket of small business goodies including a free Quickbooks seminar from the Clarion University SBDC valued at $360. The winner of the contest was Philson’s Bushel and a Peck Farm from Mercer, Pennsylvania.
To celebrate Global Entrepreneurship Week (November 14-20, 2016), the Clarion University SBDC held four training events. All of these events received positive feedback with requests for similar events in the future. In addition to these four seminars, the Clarion University SBDC also held two First Step: Starting a Business seminars during GEW. o
On November 15th, the “Mindfulness as it Relates to Business” workshop was held in Clarion. Attended by 11 people, this event covered topics on how to be more aware of
your surroundings and your co-workers and how this awareness can help you to be a better leader.
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Two marketing events were held in Clearfield on November 15th: “The Absolutely, Positively First Step of Marketing” and “How to Market Effectively to Existing Customers.” Each of these seminars was attended by 13 people who learned how to attract new customers as well as retain existing customers.
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On November 17th, “Stand Out and Build and Effective Brand!” was held in Clarion. At this workshop, 16 people learned the 10 P’s of marketing and how to build brand recognition for their businesses.
In June, Pennsylvania Labor & Industry Secretary Kathy Manderino & Pennsylvania Department of Community and Economic Development Secretary Dennis Davin toured the Kutztown University SBDC’s Jump Start Incubator, as part of the governor’s “Jobs that Pay” tour. Manderino and Davin also participated in a business roundtable discussion with some of the incubator’s current clients. The “Jobs that Pay” tour is an effort by state agencies to promote goodpaying, family-sustaining jobs and career paths available to job-seekers across the commonwealth, and to listen and learn from employers and employees about workforce development needs.
Centers continue to form stronger partnerships within their respective communities to not only serve clients, but to also support continuation of SBDC services in times of reduced State funding. As noted throughout many sections of this report, many Centers are receiving additional funding through new grant programs to help serve the businesses in their communities. Examples of this in 2016 include:
In 2016, Wells Fargo is continuing its support for the Wharton SBDC. Wells Fargo’s recent gift to the Wharton SBDC enables the School to continue advancing entrepreneurship as one of their strategic priorities. Because of Wells Fargo’s generosity, the Center is creating an environment where startup businesses can engage with Wharton students, faculty, and staff and form partnerships with experienced professionals and leading organizations to move their developing ventures forward. The Wharton SBDC also continues to be a grantee of Capital One 360. Capital One 360 continues to support the WSBDC workshops – key next steps for entrepreneurs innovating new ideas.
In 2016, the Lehigh University SBDC was a partner organization in the Southeast Pennsylvania Defense Transition Initiative. This grant was coordinated with PhillyWorks through the Pennsylvania Department of Community and Economic Development as part of a federal Department of Defense OEA grant. The goal of this grant was to find lower-tier defense subcontractors who had been negatively affected by cuts in federal defense spending. In addition to partnering with other SBDCs, the Lehigh SBDC worked closely with the Lehigh Valley Workforce Development Board and Manufacturer’s Resource Center to share data, resources, and
strategies to minimize duplication of efforts in their region. As they found affected businesses, they conducted needs assessments and referred as necessary to appropriate agencies for further consulting and assistance. Near the end of 2016, the center’s previous partnerships with the Lehigh Valley Workforce Development Board brought them another opportunity to partner on a grant. The LVWDB asked the Lehigh University SBDC to be part of a state Strategic Innovation Grant, the mission of which was to further develop career pathways in education as well as increase incumbent worker training. The Lehigh SBDC’s task in this grant was to provide training and consulting to first time managers and their employers. Many of their regional PREP partners and other local resource partners are also represented in this grant.
The Shippensburg University SBDC continues to maintain close collaborative partnerships with other economic development organizations in the region. They have continued to work with the regional SCORE Chapter, now known as Susquehanna SCORE. The SBDC attends monthly SCORE Chapter meetings on a regular basis and presented at the June 2016 meeting. The SBDC also participates regularly in a panel presentation as part of the “Go-No Go” workshop series that SCORE offers. The SBDC also co-branded several educational programs with SCORE that were offered in York during the summer and fall of 2016 and they coordinate their First Step offerings in York to complement, not compete, with SCORE workshop offerings.
In 2016, the Wharton SBDC continues to leverage partnerships to create more value for the community. Wharton has participated in specific outreach events with PIDC, Goldman Sachs 10KSB and City Councilperson Cherrelle Parker’s 9th District Town Halls. Wharton SBDC also participates in the University of Pennsylvania’s Procurement Working Committee for Economic Inclusion. Purchasing Services strives to bring inclusiveness to Penn's supply chain by focusing efforts on two categories of suppliers: Local Suppliers - those suppliers with locations in West Philadelphia as well as those within the broader City of Philadelphia and Diversity Suppliers those suppliers that are minority-owned, women-owned, or hold other diversity classifications (e.g. Protected Veteran).
The Lock Haven University SBDC hosted their 2nd annual business pitch contest during the Fall 2016 semester for students at Lock Haven University and the Pennsylvania College of Technology. The contest was coordinated logistically by a third party partner, Palo Alto, who is a national partner/sponsor of the America’s SBDC national program. Participants used the LivePlan cloud based pitch building tool via 3-month subscriptions during the course of the competition. Palo Alto handled the participant registrations, initial submission judging and the event promotional duties virtually. The competition culminated with finalist presentations at Penn College during Global Entrepreneurship Week in mid-November, with over $4000 of cash and inkind prizes awarded to the top four students/teams in early December, just before the end of the semester.
The University of Pittsburgh SBDC was one of only five winners of the U.S. Small Business Administration’s (SBA) “Lean for Main Street Training Challenge” competition. The competitive grant enabled the SBDC to provide no-cost, proven “lean business” training programs to Main Street small businesses and entrepreneurs. Lean methodology – which involves increased consumer feedback and adaption to it – has long proven popular in technology start-ups, driving companies from a traditional business plan to a more simplified, step-by-step approach. Through their designation as an official National Science Foundation I-Corps site, Pitt has already been offering this methodology to businesses. As a winner of the Lean for Main Street Training Challenge, SBDC staff members worked with I-Corps master trainers to adapt the curriculum for Western Pennsylvania businesses. The SBDC was awarded $25,000 to support travel expenses associated with the I-Corps program.
The Shippensburg University SBDC participated in a one-day conference sponsored by the Pennsylvania Department of Treasury that was hosted at York College. According to the Department’s promotion of the event, the “Small Business Initiative is a statewide initiative aimed at increasing revenue and job growth of Pennsylvania-based small businesses. Held in only four regions across the commonwealth, SBI features an array of subject matter experts from the nation’s leading global and regional businesses to help small businesses address the most pressing issues affecting their business.” The SBDC was asked to present on the topic of “Funding for Small Business.” Rather than do a standalone presentation, the SBDC asked their partners at Community First Fund and the York County Economic Alliance to join them in a panel presentation. Approximately 75 attendees came to the conference. SBDC staff also joined the VIP reception the evening before the conference to avail themselves of the networking opportunity with local business leaders, partners and representatives from the Department of Treasury.
Out-of-State travel expenses not included in the original 2016 proposal that occurred during this reporting period include:
A Business Consultant from the Kutztown University SBDC traveled to Washington D.C. in January/February to attend the America’s SBDC Spring Meeting and SBDC Client Showcase.
The Assistant Director of the Kutztown University SBDC traveled to New Orleans, LA for the America’s SBDC “Maximizing Millennial Minds” event in June.
The Director of the Kutztown University SBDC traveled to Washington D.C. to attend the Hispanic-American Entrepreneurs Summit in June.
A Business Consultant from the Wilkes University SBDC traveled to the America’s SBDC Annual Conference in Orlando, Florida in September.
February: Barry Surma Named Director of the St. Francis University SBDC
May: Celeste Corrado Named Director of the Wharton SBDC
June: Kevin Roth retired as Director of the Clarion University SBDC, a search for his replacement commenced in the latter half of 2016
As mentioned in previous reports, level state funding for the past five years has made it difficult to meet the continued demand for one-on-one consulting and provide the same level of programming to small business owners and aspiring entrepreneurs, especially those looking to launch a new venture. Many Centers report staff positions remain unfilled due to the lack of funds. Centers have also had to cut back programming, outreach locations as well as reduce marketing and promotion related to services due to funding concerns and limited staff time. Centers also report that demand for services is high but the capacity to deliver services to clients has declined thus extending the time it takes until clients can be seen by SBDC consultants.
All related financial forms have been submitted by the Pennsylvania SBDC Lead Office.
All related uploads were submitted to EDMIS by the Pennsylvania SBDC Lead Office. Additionally, see Appendix A – Deliverables.
With funding from the Pennsylvania Department of Environmental Protection (DEP) and the Allegheny County Health Department, the Pennsylvania SBDC is the primary provider of multi-media small business environmental and technical compliance assistance in Pennsylvania in fulfillment of the requirements of the Pennsylvania Air Pollution Control Act and section 507 of the federal Clean Air Act. During 2016 EMAP provided environmental consulting assistance to 326 small businesses. Of these businesses, 160 small business owners entered consulting engagements with the SBDC and EMAP consultants conducted on-site assessment visits at 39 of these businesses located throughout Pennsylvania. EMAP continues to be a leader in understanding and addressing small business environmental compliance issues. At the state level, Nancy Crickman is the vice-chair of the DEP Small Business Compliance Advisory Committee. At the national level, Jeremy Hancher serves on the National Steering Committee. To maximize services to clients, EMAP funding continued to be directed toward the delivery of one-onone consulting, primarily responding to calls to the EMAP hotline and other requests for EMAP services. EMAP services continue to be critical to help keep existing businesses in compliance and in business and start new companies with all necessary permits and approvals in place from the start. EMAP assisted small businesses with:
Preparing emissions calculations and understanding which equipment may be subject or exempt from regulatory requirements.
Understanding and preparing permit applications for air, waste, water, wastewater and storm water.
Recordkeeping/Reporting – setting up and fine tuning recordkeeping and reporting systems to comply with permit requirements and other air emission requirements.
MACT/NESHAP area source applicability reviews and notifications – helping small businesses understand what they need to do to comply with regulatory requirements.
Finding alternative materials or processes which may reduce the small business’s regulatory burden.
Some of the highlights during 2016 included: EPA Administrators Award: EMAP was awarded the Fiscal Year 2015 U.S. EPA Administrator's Award for Outstanding Accomplishments by a Small Business Trade or State Small Business Environmental Assistance Provider. The award was presented in May during the U.S. EPA Administrator’s 26th Annual Small Business Program Awards Ceremony. The event recognized various program activities, individuals, businesses, and state and local entities for their outstanding contributions in Fiscal Year 2015.
Pennsylvania SBDC Targeted Service Award: This award was given to recognize service to the entire Pennsylvania SBDC network in a targeted service area. EMAP was the recipient of the Targeted Services Award at the June 2016 awards ceremony.
EMAP launched the new Sustaining Your Business Webinar Series. The first webinar, Sustaining Your Business: Craft Breweries was held December 8 and at least three additional industry-specific webinars are planned for 2017.
EMAP developed resource information and did outreach to small businesses affected by DEP and EPA regulations for new and existing internal combustion engines including wood manufacturers, stone crushers and scrap metal operations. EMAP developed a postcard on environmental compliance for engines and distributed it to 2,400 small businesses located in Pennsylvania likely to be affected and developed web content on the EMAP website for engine compliance at www.askemap.org/compliance/air/engines.
Continuing to assist with Act 76 of 2012 (HB 1349) small business impact reviews including providing numbers and lists of small business that may be impacted and subsequent outreach on proposed regulations so small businesses have an opportunity to comment.