By Dennis Powell, e-Management

“Small business is the backbone of our economy.” We hear that catchphrase all the time but what does it mean? Well, there are about 27 million small businesses in the U.S.A. Yes, a lot of those companies employ only one person. But thousands of those companies employ hundreds of workers. According to data collected by the Census Bureau, small businesses make up of total private-sector jobs. Between 1993 and 2011, small business accounted for of new jobs!  Okay, you get the picture, right?

Size Does Matter…
One of the best resources for the small business owners is the Small Business Administration (SBA), the government agency that “helps Americans start, build, and grow businesses.” Since its creation in 1953, SBA has been a loud advocate for small business success.

For this government spotlight, we’ve pulled together a short list on how SBA helps small business.

1. Providing resources for how to start a business. Entrepreneurs, who have the drive and great ideas, but lack the knowledge needed to see their ideas blossom, can turn to SBA. The agency is loaded with resources for starting a business. For example, SBA offers up practical information for creating a business plan, which is an important tool for obtaining financing.
2. Providing resources to help small businesses grow. SBA helps entrepreneurs with business development, networking, or sales initiatives. The agency pulls together local resources nationwide to advance the growth goals of businesses. Those resources include listings of local Chambers of Commerce, small business friendly financing institutions, incubators, and nonprofits dedicated to the success of entrepreneurs. Such resources can help to build the business network of entrepreneurs, which can be useful in securing new business/customers and partners.
3. Providing training to help small businesses succeed. SBA provides a Small Business Learning Center online. The center allows business owners to learn about best practices to not only grow their business but to safeguard their intellectual capital, customer privacy, and more. Through the Small Business Center, owners and staff can learn about cybersecurity to protect their computer or technology systems. Business owners can also find out how to plan for emergencies that could shut a small business down. The Small Business Learning Center is a resource every new business should check out.
4. Connecting entrepreneurs with government contracting. The U.S. government operates with a budget that exceeds $1 trillion. This makes the federal government the largest buyer of goods in the world! SBA can help small businesses navigate the often tricky road of government purchasing. SBA can provide small business owners with information regarding special small business set-asides. For instance, many women-owned, veteran-owned, and businesses located in Historically Underutilized Business (HUB) Zones have special contracts reserved just for them if they meet certain size criteria. SBA services are useful in helping business owners to demystify the government buying process and grow their business to new heights.

Reality Check…
The lifespan of a new business can be short. About 50% of new companies close doors within the first 5 years of their founding; and only about a third of companies survive more than a decade. Still, entrepreneurs should not feel discouraged. SBA could easily stand for small business advocate. Clearly, SBA is a resource to help new companies survive in the highly competitive market place. With that said, (1) What do you think about the role of small businesses in our economy? (2) What other things should SBA be doing to assist entrepreneurs? Other than SBA, (3) What other local or national resources are available to help entrepreneurs or small businesses to thrive?