Small Business Services Initiative
- Yes
- Support scaling: Supporting long term business plan and succession through mergers and acquisitions, generational/equitable wealth, hiring pipeline, legal advising, and back-office support.
- Data and impact: Capturing, synthesizing, optimizing, and/or displaying data for business intelligence, impact evaluation, and/or improved decision making for resource allocation.
SERCAP will work with small and emerging businesses, providing technical assistance on a variety of topics designed to enhance the owners’ basic business knowledge and to help them build their businesses and increase sales through proven techniques that work for consumer-oriented businesses through a series of workshops in targeted communities and online and one-on-one consultation with small businesses in all rural areas from Delaware to North Carolina. Our self-paced solution will also be available nationwide.
Technical assistance will be provided both online and in-person throughout all rural communities in the target area through Entrepreneurial Learning Institute (ELI) programming as well as our on-staff business consultants. For the online portion of the program, a combination of webinars, online self-paced courses, and online one-on-one business coaching and consultation will be conducted. We will utilize the RCAP’s LMS training tool for self-paced training and programs such as BizMiner and Liveplan to create an interactive learning experience. This grant will allow us to grow our library of courses.
Current Courses on the LMS are as follows:
- From Idea to Startup
- Key Financial Ratios Every Business Should Know
- Bookkeeping with Google Sheets
- Calculating Break Even
- Managing Working Capital
- Planning for Profitability
- Pricing Strategies
- The Importance of Understanding Credit
- The Key Three Financial Statements
- Bookkeeping vs. Accounting
- Digital Marketing for Small Business
- Marketing and Analytics
- A Guide to Market Segmentation
- Managing Self, Others, and a Business
All training and courses will be offered at no charge to the business.
SERCAP will merge multiple software and audio-visual technologies into our program in order to provide a seamless educational experience for small business owners. We will use Zoom as our webinar platform and will offer Talent LMS to develop and house our training videos and courses on business management and operations. For those in ideation stage we will purchase seats from the Leaning Management Institute in order to provide instruction in ideation development.
Once a business is prepared for startup services, we will provide access to LivePlan and will assist the business in the development of their business plan.
We will also provide reports to the 6-digit NAICS code level to assist with the market research and financial benchmarking necessary for business to thrive. This data pulls from multiple big data sources. We will also use ESRI mapping solutions to help identify three-ring demographic data for our clients. Our business consultants will use this technology to interact with business owners.
We are also implementing Lenderfit loan management software to allow businesses to apply for business loans online in an effort to streamline the process.
- A new business model or process that relies on technology to be successful
- Audiovisual Media
- Big Data
- Internet of Things
- Software and Mobile Applications
SERCAP is dedicated to serving rural communities along the eastern United States from Delaware to Florida. The populations we will serve with this project are communities below 80 percent of the median household income level of the national average. This will be determined by zip code. At least 60% of those we assist will be women and minority owned businesses.
Community economic development opportunities, like SERCAP’s Small Business Services Initiative, are needed in rural areas in order to support expanded job opportunities and overall Workforce Development. Many rural communities lack solid job prospects, especially for young people, contributing to the death of many of these small, rural communities. However, recently there has been a move to support America’s rural communities through economic development initiatives, small business growth, and job creation.
Despite this recent move to support rural communities, Small Businesses and entrepreneurs in many small, disadvantaged, rural communities still have more difficulty accessing Small Business financing and Technical Assistance (TA) than their urban counterparts, due to the geographic disadvantages of their locations. Low and decreasing populations, vast distances between towns and population centers, and even topographic challenges, frequently limit the availability of public services. These challenges make these rural communities even less likely to have easy access to business development and entrepreneurial services. This lack of public services in rural communities can discourage individuals from even attempting to pursue entrepreneurial endeavors or open a small business, since these communities lack sufficient support. Additionally, many traditional lending institutions shy away from making business loans under $500,000. This is much more than most small businesses need to get started or even to expand. SERCAP's Business Development services and Small Business Loan Product come together to address these needs and support small business growth and entrepreneurship in rural communities.
SERCAP focuses on the challenges faced by women and minority owned businesses who also have the challenge of living in rural areas with less access to assistance. By providing access to these services through online platforms, we can serve them anywhere.
This access to services and education aligns with the Challenge, by assisting with the development women owned and minority owned business. It also provides sustainable opportunities for continued education through the access and continued development of our national online self-paced training programs.
SERCAP also aligns with providing access to capital for small businesses. Our software and consulting services will assist businesses with the knowledge and tools necessary to apply for funding. As a CDFI, we will also provide loans to small businesses who may not qualify for traditional financing options.
SERCAP's mission is to Improve the Quality of life for low-income individuals by promoting affordable water and wastewater facilities, community development, environmental health, and economic self-sufficiency." This project fits into this mission.
The activities of this project, which include 30 group education sessions, 150 one-on-one consulting service sessions, 100 businesses going through our online business planning tools and research as well as ongoing self-paced learning are designed to help create economic self-sufficiency.
The outputs of this project include providing knowledge to disadvantaged businesses that can help them overcome the pitfalls many small businesses face. We will work with businesses to prepare them to request the needed capital to operate and grow. Ongoing education through our online platform will provide them opportunities to learn more about business operations and refresh their knowledge on key business issues.
Short term outcomes include assisting individual businesses start and operate effectively in their community. This will increase the number of jobs in the community as well as bring additional revenues to the community. Entrepreneurs will increase their financial literacy both personally and professionally.
The long-term outcomes include growing economic ecosystems in smaller communities, keeping cash flow with the community. It will also lead to additional business opportunities within the community and help develop a strong economic growth system for rural areas.
Additional long-term outcomes include job growth within the community and stronger community growth due to the bond between the businesses and the community. Small businesses tend to donate more to local causes and activities within the community.
- Growth: an established product, service, or business model that is sustainable through proven effectiveness and is poised for further growth into additional communities.
- Growth: A registered 501(c)(3) organization with an established product, service, or business model rolled out in one or, ideally, several communities, which is poised for further growth and has a proven track record with an annual operating budget
SERCAP has served 53 businesses in the past 12 months with one-on-one consulting services and has provided over 40 business plans and 90 industry research projects.
It is projected we will be able to serve over 100 businesses in the first year of this project with the additional tools and software licenses provided in the grant. These businesses will receive assistance with at least 50 business plans and over 100 market research reports. in addition, we will provide self-paced learning opportunities to an additional 100 businesses in the first year.
By year 5, we will reach 250 businesses per year across seven states. Of those served, we will provide 150 business plans and over 200 market research reports. In addition, we will provide self-paced learning opportunities to an additional 250 businesses per year.
The coverage area is the states of Delaware, Maryland, Virginia, and North Carolina. We will work with local government officials, chambers of commerce, economic developers, and business organizations in each rural area.
An example of where this partnership is working is our relationship with the Chesapeake Ag Innovation Center. SERCAP currently partners with the organization, offering the current business services program to agriculturally based businesses in Maryland and Delaware. SERCAP works with Future Harvest, the Delaware Black Chamber of Commerce, regional chambers of commerce and agricultural extensions to promote the program.
SERCAP’s Entrepreneurial Learning Initiative (ELI) program has worked with the Hampton Roads Chamber of Commerce, SBDCs and several Planning District Commissions in the state of Virginia.
SERCAP teaches courses and mentors entrepreneurs for the Advancement Foundation Gauntlet business plan competition. SERCAP has mentored five businesses with three receiving platinum awards and two receiving gold level awards.
SERCAP has Technical Assistance Providers (TAPs) who are on the ground working with communities in each state. By offering other services, such as housing assistance, water and wastewater training and community access to capital, we have established relationships in each state.
As part of this initiative, we will survey participants to make sure the education provided and the technology offered meet the needs of their businesses. Staff will also stay in contact with chamber of commerce and economic developers in each area.
We will advertise our products through our partnerships with small business development centers, online social media platforms and banking institutions.
We have chosen these activities due to how many small businesses seek assistance in rural communities. Having business organization partners will help up reach the target markets.
The goals of this project will transform rural communities in the target area. We believe the project will lead to the following goals:
- At least 100 Small Businesses/Entrepreneurs to will gain knowledge and skills to help them support and grow their Small Business in the first year and will serve 250 businesses per year by year 5.
- We will provide $500,000 in loans over three years to Small Businesses/Entrepreneurs. This will allow them to grow their business. We will accomplish this through one-on-one consultation and educational programming.
- Small Businesses will create or maintain at least 60 jobs in year one and 200 per year by year 5 of this program. These jobs will provide livable wages, offer health insurance, include paid time-off, and more. We will continue to maintain relationships with the businesses served to assist them with operational efficiencies.
-Approximately 100 individuals/participants will improve their Economic Self-sufficiency, either by increasing their assets, securing a high-quality job, and/or gaining skills/knowledge that increase/improve their employability. Participating in this project will further impact one’s Economic Self-sufficiency, by:
1. Supporting one’s lively-hood
2. Expanding Credit Access and supporting small business growth
3. Preventing the potential financial burden, which could occur if an affordable TA and financing solution were not available to these small business owners/entrepreneurs
To measure that SERCAP’s proposed Small Business Services Initiative is meeting the desired outputs and outcomes, SERCAP will engage in data collection and project evaluation activities.
SERCAP is applying for the Inspire Awards in order to grow our program and partner with a organization that will provide support and knowledge in helping up deliver a program that uses best practices and techniques to have the largest impact on the communities we serve.
If selected for a lower tier prize, SERCAP will work to develop additional partners to meet the goals of the initiative. If SERCAP is unable to secure additional funding from the award, we will continue to offer these services at a smaller scale.
We look forward to your assistance with improving our business model and the peer-to-peer network to help our organization through the award period.
- Human Capital (e.g. sourcing talent, board development, etc.)
- Public Relations (e.g. branding/marketing strategy, social and national media)
- Technology (e.g. software or hardware, web development/design, data analysis, etc.)
In order to reach our target clients, we need to partner with community groups, banking institutions, and government agencies. These partners are the leaders of their community and can help explain the services we offer. These champions can help those who need our services to learn the elements of our program.
We also need human capital as we grow the program into other areas. We have a limited staff and will need to hire additional staff as the initiative grows.
SERCAP also wants to partner with our clients who complete training or secure a loan through this initiative. We believe these early adopters of our services will be great ambassadors for the program.