Center for Rural Entrepreneurship A Rural Policy Research Institute National Research and Policy Center – Rural Entrepreneurship News

Welcome to Rural Entrepreneurship News – the monthly electronic newsletter of the Center for Rural Entrepreneurship, a RUPRI national research and policy center with founding support from the Ewing Marion Kauffman Foundation. The Appalachian Regional Commission is a contributing partner to this newsletter. Rural Entrepreneurship News summarizes developments in the field of rural entrepreneurship. We welcome your suggestions and questions. Rural Entrepreneurship News is available free of charge. To subscribe, send an email to [email protected] and in the body type “subscribe” only. Subscribers will receive a welcome message and additional information about how to unsubscribe if you wish.

From SSTI’s Weekly Digest for January 30, 2004

It’s one thing to call your entrepreneurship education efforts the best, but it’s another when more than 950 of your peers from around the country do. The entrepreneurship program at Harvard Business School (HBS) recently won the top award for MBA programs nationwide from the United States Association for Small Business and Entrepreneurship (USASBE), an organization devoted to entrepreneurship education and development. HBS has offered courses in entrepreneurship for more than half a century and counts among its 65,000 graduates some of the world’s most successful entrepreneurs. Thirty-one faculty are enrolled in the Entrepreneurial Management unit and another 30 whose work is directly related to entrepreneurship are in other units. The program also requires its 900 first-year students to take the course "The Entrepreneurial Manager," and the school offers nearly 20 elective courses in entrepreneurship to second-year students. The school’s Arthur Rock Center for Entrepreneurship has supported entrepreneurship efforts since 2003. Beyond the curriculum, the Rock Center also organizes an annual Business Plan Contest, coordinates the activities at the HBS California Research Center in Silicon Valley, and publishes New Business, a twice-yearly overview of entrepreneurial interests and pursuits at HBS. In addition to supporting a variety of faculty projects, the fund that established the Rock Center also provides fellowships for MBA and doctoral students, underwrites symposia and conferences on entrepreneurship, and develops new publications and websites to extend the reach and impact of the school’s work in this field. More information is available at http://www.hbs.edu.

EDA Excellence in Economic Development Awards

The Economic Development Administration (EDA) has announced it is accepting nominations for the Excellence in Economic Development Awards 2004. The Awards, which annually showcase best practices and highlight outstanding results, are presented for excellence in economic development across seven categories:

* Technology-led – for supporting technology-led economic development and reflecting the important role of linking universities and industry and technology transfer.

* Regional Competitiveness – for enhancing regional competitiveness and supporting long-term development of the regional economy.

* Urban or Suburban – for utilizing innovative, market-based strategies to improve urban or suburban economic development results.

* Rural – for utilizing innovative, market-based strategies to improve rural economic development results.

* Economic Adjustment Strategies – for helping communities plan and implement economic adjustment strategies in response to sudden and severe economic dislocations.

* Community and Faith-based Social Entrepreneurship – for advancing community and faith-based social entrepreneurship in redevelopment strategies for areas of chronic economic distress.

* Innovation – for incorporating innovative strategies that achieve maximum results.

The top three nominees in each category advance as finalists. Award recipients receive a commemorative award and are invited to highlight their strategies at EDA’s national conference, which is being held June 8-10, 2004, in Washington, D.C. Eligible nominees include nonprofit organizations, local, state and regional government entities, and colleges and universities. Nominated investments may be specific projects of national importance or the cumulative activities of the nominee. Either an organization or individual may submit a nomination. Nominations are due by March 10, 2004. To view selection criteria or obtain a nomination form, visit: http://www.eda.gov/NewsEvents/ExcellenceAwards.xml

Case Western Survey on Entrepreneurial Attitudes

A researcher at Case Western Reserve University, Charles Moses, is conducting a survey on entrepreneurial attitudes toward the communities in which they operate. Any U.S. based entrepreneur can take the online survey and their responses will be kept strictly confidential. Overall results will be made available to the public once the work is complete. If you work with entrepreneurs who might be interested in participating, they can access the survey by going to http://www.surveymonkey.com/s.asp?u=18975369532.

Rural Policy Alternative from the Progressive Policy Institute

In a recent piece, PPI Vice President Rob Atkinson offers a radically different approach to rural policy in this country. He suggests a multilateral phase down of farm supports and the creation of a quasi-public Rural Prosperity Corporation to implement innovative domestic rural economic development policies. To read his piece entitled Reversing Rural America’s Decline,, go to http://www.ppionline.org/ppi_ci.cfm?knlgAreaID=107&subsecid=123&contentid=252381. Tom Rowley, RUPRI Fellow, addresses this piece in a recent commentary (http://www.rupri.org/editorial/Default.asp?edID=74&ACTION=READ.)

From NDE’s E-News, Week of February 9-13, 2004

America’s open immigration policies are one of the country’s "secret weapons" for supporting entrepreneurship. New immigrants start businesses at very high rates, and many of the US’ most successful businesses are headed by those born outside of the US. For example, immigrant entrepreneurs lead roughly a quarter of Silicon Valley’s technology businesses. Now, one venture capital firm, McLean, Virginia’s Blue Water Capital, is trying to capitalize on the entrepreneurial energy and resources of local immigrant communities. According to a recent Washington Post article, Blue Water Capital is now in the process of raising up to $100 million for a new Prosperity Fund to invest in East Coast companies run by immigrants. The fund is not yet established, but it’s creating a buzz in many circles, especially among new immigrant-owned firms seeking new sources of growth capital. "Backing the Immigrant Work Ethic," by Shannon Henry appeared in the January 1, 2004 edition of The Washington Post. It is available on-line at: http://www.washingtonpost.com/ac2/wp-dyn/A46240-2003Dec31?language=printer.

From NBIA

Do your interests lie in nurturing microenterprises in distressed communities? Check out NBIA’s newest member forum, "Microenterprise Incubation." Marla Pettinato, program associate with Seedco, is the microenterprise forum organizer. The new forum is geared toward practitioners working with empowerment or revitalization programs and will focus on the challenges and opportunities of incubating microenterprise businesses. Sign up for the forum at http://www.nbia.org/resource_center/forums/. Once you’ve joined, send an e-mail to introduce yourself and start asking questions or offering your expertise about issues in microenterprise incubation. For more information about membership in NBIA, go to http://www.nbia.org.

REAP Reaches $2 million Milestone

The Rural Enterprise Assistance Project (REAP), a program of the Center for Rural Affairs, has loaned over $2 million to startup and existing small businesses in rural Nebraska since its inception in 1990. REAP is Nebraska’s largest microenterprise program and operates on a statewide, rural basis through regionally-based Business Specialists. REAP provides lending, training, networking, and technical assistance opportunities for startup and existing microenterprises (businesses with 5 or fewer employees). REAP provides “peer group” loans up to $10,000 through locally formed associations of small business people in a “step-up” process, along with individual loans up to $25,000 through the REAP Direct loan program, added in 1999. REAP also provides “Quick Grow” loans up to $5,000 in collaboration with the GROW Nebraska program, a service added in 2002. Since 1990, REAP has placed 273 peer group loans totaling $463,423 (total includes Quick Grow loans). Since 1999, REAP has placed 110 direct loans totaling $1,550,508. REAP has leveraged an additional $3,667,420 in loans from traditional sources since 1997 through its business planning and loan packaging services. For more information on REAP, contact Jeff Reynolds, 402.656.3091, or [email protected] or visit http://www.cfra.org/reap.

GAO Report on New Markets Tax Credit Program

The GAO has just released a report entitled New Markets Tax Credit Program: Progress Made in Implementation, but Further Actions Needed to Monitor Compliance. The NMTC program provides a means of encouraging investment in distressed places. The report outlines the status of the program including the number of Community Development Entities certified and the regions served by these entities. The complete report is available at http://www.gao.gov/new.items/d04326.pdf.

Funding Opportunities from USDA

The Technology Opportunities Program (TOP) is a highly competitive, merit-based matching grant program that promotes the use of advanced telecommunications and information technologies in the non-profit and public sectors. TOP provides organizations with the opportunity to explore the possibilities that new interactive technologies offer to improve the provision of "educational, health care, or public information." These projects encourage the deployment of broadband infrastructure, services, and applications throughout the Nation. Postmarked deadline for applications is April 27, 2004. For more information, go to http://www.ntia.doc.gov/top/grants/documents/notice2004.html.

Some upcoming application deadlines: Applications for EZ/EC set-aside funding under the RBEG, RBOG, and IRP programs should be submitted to state offices by March 12, 2004. Applications under the National Office Reserve funding cycle (if not funded under EZ/EC set-aside) must be submitted to state offices by June 11, 2004. More information and copies of application packets may be requested by calling 505-761-4953.

Trainings and Conferences

* RUPRI’s Rural Poverty Research Center will host The Importance of Place in Poverty Research and Policy: An Invited Conference at Gallaudet University in Washington, D.C. on March 3-4, 2004. The conference is designed “to foster a collaborative national dialogue, designed to create a more systemic and integrated rural poverty research agenda.” To learn more about the RUPRI Rural Poverty Research Center, please visit http://www.rprconline.org.
* IEDC’s 2004 Economic Development Summit will be held in Washington, D.C. on March 17-19, 2004. As the premier economic development focused legislative event of the year, the Summit brings together key leaders to focus on our interests at the national level. For more information, go to http://www.iedconline.org/EDSummit/index.html.
* The Heartland Center for Leadership Development and the Center for Rural Entrepreneurship are offering their Energizing Entrepreneurs in Rural America training institute the week of March 22nd in Nebraska City, Nebraska. Last year’s Nebraska City Institute received strong marks from participants. Spaces are limited and will fill up fast. For more information on this event contact Reggi Carlson at [email protected].
* Rural Community Assistance Corporation (RCAC), the Rural Community Assistance Program (RCAP) and USDA-Rural Development will sponsor “Sharing Our Gifts: Celebrating Our Diversity,” a national rural development conference, March 22-25, 2004 in Portland, OR. The conference includes more than 90 training sessions on environmental systems management, water and wastewater system operation and maintenance, solid waste management, rural and self-help housing, risk management, tribal community development, agricultural worker health and housing programs, financing for rural communities and network development. Several sessions will be offered in Spanish. The goal of the conference is to strengthen rural communities by providing attendees with new tools and ideas to take back to their organizations and communities. Please consider joining us in that effort. For more information and registration materials, please visit: http://www.rcac.org/documents/2004brochure_000.pdf – Registration form is on page 17.
* The Federal Home Loan Bank of Des Moines is sponsoring Capitalizing on Rural America, a landmark symposium to explore the future of rural America, April 15-16, 2004, in Des Moines, Iowa. The symposium will be hosted by Senator Chuck Grassley and Senator Tom Harkin. For more information, please go to http://www.fhlbdm.com/au_calendar_symposium.htm.
* Rural Conference 2004, sponsored by the Oregon Consortium and the Oregon Workforce Alliance, will be held in Austin, Texas on April 25-27, 2004. Keynote speakers include Craig Schroeder, Senior Associate with the Center, and Ernesto Sirolli of the Sirolli Institute. For more information, contact [email protected] or call Kris Latimer, conference coordinator, at 541-928-0241, ext. 0.
* The National Business Incubation Association 18th International Conference on Business Incubation will take place in Atlanta, April 25-28, 2004. There will also be pre-conference workshops on April 24 and 25. For more information, go to http://www.nbia.org.
* The Neighborhood Reinvestment Corporation is presenting another Native American Community Development Training Program at their NeighborWorks® Training Institute in Minneapolis, MN, May 3-7, 2004. The scholarship registration deadline is March 8, 2004. To request a scholarship registration brochure, please call the Scholarship Registration Office toll free at (877) 398-6245 or e-mail: [email protected] OR log on to http://www.nw.org/training for complete information or to download a copy of the brochure.
* The Council of Development Finance Agencies will hold its 18th annual conference in San Francisco, May 23-25, 2004. For registration information, go to http://www.cdfa.net/cdfa/cdfainfo.nsf/pages/04conf. For more information about CDFA, go to http://www.cdfa.net.
* The Association for Enterprise Opportunity’s 2004 Conference will be held in Philadelphia, May 24-27. Registration and Information are now available online at http://www.microenterpriseworks.org/. This year’s theme is “Microenterprise: A Declaration of Economic Independence – Strategies for Sustainable Microenterprise Development.” If you have any questions about the AEO 2004 Conference, please contact Haydee Grijalva at 703.841.7760 Ext. 24, email: [email protected]; or Alan Tin at 808.732.2294, email: [email protected].
* The International Economic Development Council’s annual conference will convene in St. Louis, September 19 – 22, 2004. The theme of this year’s conference is Exploration and Discovery Through Economic Development. More information is available at http://www.iedconline.org/AnnualConference/index.html.

From the Field

The following information comes from the Center’s Active Learning Sites across the United States. For more information, contact Don Macke at [email protected].

Texas on the Move. A core group of folks in the Lone Star State is working hard to build a statewide rural entrepreneurship initiative. Significant progress is being realized early in 2004 with the grand opening of the Texas Center for Rural Entrepreneurship http://www.ruraleship.org/content/pdf/TX/txsite.pdf. For more information on the Texas “E” agenda and its new center check out our web site at http://www.ruraleship.org/index_html?page=content/Texas.htm.

Georgia’s Hot Agenda. Two weeks ago in Atlanta the Georgia rural entrepreneurship agenda moved to a new level. We have been keeping folks posted on the emerging efforts in the Peach State, but Georgia is among a handful of states with far reaching initiatives today. At the Second Annual Georgia Entrepreneurship Summit, Governor Sonny Perdue delivered one of the most important policy statements on entrepreneurship to date. He also signed an executive order that strengthens his earlier action to appoint a Deputy Commissioner in the Georgia Department of Industry, Trade and Tourism with strong entrepreneurship interests. Additionally, the Governor has established within the state’s development agency a new office of Entrepreneurship and Small Business. Georgia Technological University is providing on-the-ground leadership mobilizing resources to work with Georgia’s many interested communities. Over 60 persons from across Georgia went through E2 Training as part of this work. Check out http://www.ruraleship.org/index_html?page=content/Georgia.htm . For copies of Governor Perdue’s policy speech and executive order, go to http://www.ruraleship.org/content/pdf/GA/gapurdue.pdf .

Minnesota’s Network Moves into the Its Third Year. Minnesota is often at the forefront in economic development. In 2001, through the leadership of Minnesota Rural Partners, the land of many lakes launched the Minnesota Virtual Entrepreneurs Network or VEN and later created the BizPathways web site. This important initiative is now heading into its third year. The Center for Rural Entrepreneurship is evaluating this project and recently conducted a site visit. For more information on VEN and BizPathways checkout http://www.ruraleship.org/index_html?page=content/Minnesota.htm. Next month the Center will release a progress report on the project. Watch for future listings.

Nebraska’s Congressman Advocate. In many circles he is best known for his role as Nebraska’s legendary football coach. But more recently, Tom Osborne has traded in his coaching uniform to become Nebraska’s Third Congressional District representative. As a U.S. Congressman, Tom Osborne has become a passionate champion of entrepreneurship as a key to rebuilding rural Nebraska. He has developed a community guide and hosts numerous conferences focusing on entrepreneurship and particularly youth entrepreneurship. For more information on how this one Congressman is moving entrepreneurship forward in the Cornhusker State, check out http://www.ruraleship.org/index_html?page=content/Nebraska.htm. Check out the Congressman’s web site http://www.house.gov/osborne/ and guide http://www.house.gov/osborne/entrepreneur-toc.htm.

Fairfield Iowa. Fairfield Iowa is rural. It is a community of about 10,000 located in Southeastern Iowa amid agriculture and manufacturing (both struggling industries). But Fairfield is emerging as one of the most entrepreneurial communities of its size across the United States. It was discovered in 2003 by the National Center for Small Communities. Not only is Fairfield doing remarkably good work for its entrepreneurs, it is beginning to reach out and work with other Iowa communities. For more information on Fairfield check out http://www.ruraleship.org/index_html?page=content/Iowa.htm.

New on the Web

The Center has developed a State Policy Guide focusing on entrepreneurship. Information in this Guide provides state policy makers and program managers with information on how to build a state entrepreneurship policy and strategy. This Guide was prepared for the Council of State Governments and is now available under new releases at the Center’s web site http://www.ruraleship.org/content/pdf/PolicyBrief.pdf.

Vickie Rightmyre. Missouri Rural Entrepreneurship Initiative. Report R-2003-02, Community Policy Analysis Center, University of Missouri, http://www.ruraleship.org/index_html?page=content/newreleases.htm.

Questions and Additional Information

Deb Markley – Rural Entrepreneurship News Editor and Co-Director – Center for Rural Entrepreneurship

72 Cedar Hills Circle – Chapel Hill, NC 27514-1620

Voice 919.932.7762 – Fax 919.932.5367 – Email [email protected]

Don Macke – Co-Director – Center for Rural Entrepreneurship

317 South 12th Street – Suite 200 – Lincoln, NE 68508-2197

Voice 402.323.7339 – Fax 402.323.7349 – Email [email protected]

Web http://www.ruraleship.org

Taina Radenslaben à [email protected] or 402.323.7336