U.S. Small Business Administration

It’s time to grow.

Opening Doors for Small Businesses

SBA UPDATEMarch 21, 2011

Gautier, MS

SBA's 2010 SBPOYSBA's 2010 SBPOY

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What do these corporationshave in common?

They have all been helped by the Small Business Administration

SBA's Mission and PurposeSBA's Mission and Purpose

Aid, Counsel & Assist

Protect the interests of small business concerns

Support & champion small businesses

Disaster Assistance

Simply put -- SBA helps people get into business, stay in business, grow and succeed.

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SBA HighlightsSBA Highlights

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Lending

Business Counseling

Contract Procurement

Agency Scorecard

Women

Procurement Activity

Veterans

SBA Highlights (Cont.)SBA Highlights (Cont.)

New SBA Website

The latest U.S. Departments of Commerce and Labor Census data report that there are:

• 46,437 small businesses with employees, • 185,968 self-employed persons• Estimated total of 232,405 small businesses• 47,102 women-owned businesses, including

part-time firms, generated $6B in sales• 99% of MS businesses are small!

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Small Business in Mississippi

BUSINESS DEVELOPMENT BUSINESS DEVELOPMENT ASSISTANCEASSISTANCE

• Provide management and technical assistance to small business owners through resource partners• SCORE• SBDC• Women’s Business Centers• Online Assistance

Growth in SBA Lending in MississippiGrowth in SBA Lending in Mississippi FY08 FY09 FY10 FY11 (3/19)

Total Loans 505 770 1,138 426

Total Dollars $126.7M $144.9M $193.3M $188.2M

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Increases Over Prior YearIncreases Over Prior Year

Total Loans --- 53% 44%

Total Dollars --- 14% 31%Jobs Created/RetainedJobs Created/Retained

FY 2008 4,879FY 2009 5,760FY 2010 7,444FY 2011 3,764

Temporary Higher Guaranty and Fee Elimination)

• 7(a) loan guaranty increased to 90 percent• Temporary fee elimination for borrowers

• For example, a $300,000 7(a) loan with a 90% guaranty would net a savings of $8,100 in fees ($300,000 x 90% x 3%).

• Temporary fee elimination for both borrowers and lenders on SBA 504 loans

For a typical 504 loan of about $600,000, borrower savings would equal about $9,000

Temporary Higher Guaranty and Fee Elimination on 504

Equal Treatment access federal contracting programsBetter Playing Field for Small BusinessSmall Business Teaming Opportunities

2010 Small Business Job Act

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“New Law strengthens small businesses’ ability to compete for contracts”

ScorecardScorecardSmall businesses won a record $96.8 billion in federal prime contracts in Fiscal Year 2009 (Oct.1, 2008-Sept. 30, 2009), an increase of almost $ 3 billion from FY 2008, according to the U.S. Small Business Administration’s fourth annual small business procurement scorecard released 8/27/10. This dollar amount represents 21.89 percent of all federal spending – an improvement over FY2008. Additionally, performance in each of the government’s socioeconomic subcategories increased for FY2009.

Small Business Goaling Summary Report 2009 2009 2008 2008

Category Goal % $ % $

Small Businesses 23% 21.89% $96.8 billion 21.50% $93.2 billion

Women 5% 3.68% $16.3 billion 3.40% $14.7 billion

Small Disadvantaged Businesses

5% 7.57% $33.5 billion 6.76% $29.3 billion

Service-Disabled VeteranOwned Small Business

3% 1.98% $8.8 billion 1.49% $6.4 billion

HUBZone 3% 2.81% $12.4 billion 2.34% $10.1 billion

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http://www.sba.gov/aboutsba/sbaprograms/goals/index.html

• Transportation A 110.7%

• Veterans Affairs A 108.1%

• Small Business Administration A 106.6%

• HUD B 94.0%

• DOD B 93.6% 14

Government-Wide PerformanceB 94.1%

• NASA C 87.2%

• GSA C 87.0%

• Commerce C 84.4%

• Justice D 73.1%

• NSF F 65.6%

• OPM F 60.6%

• AID F 43.8% 15

Bill temporarily increases the amount of start-up expenditures entrepreneurs can deduct from their taxes for this year from $5,000 to $10,000 (with a phase-out threshold of $60,000 in expenditures), offering an immediate incentive for someone with a new business idea to invest in starting up a new small business.

2010 Small Business Job Act

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Increased Deduction for Entrepreneurs’ Start-Up Expenses

WomenProcurement Program

•SBA published a final rule effective February 4, 2011. Affects 83 NAICS Codes.

•51% Ownership / personal net worth < $750,000

•5% Federal Contact Threshold

•Women-Owned Small Business website at www.sba.gov/wosb.

Online WomenProcurement Training

Winning Federal Contracts: A Guide for Women Entrepreneurs

•Self-paced guide available at www.sba.gov/fedcontractingtraining.

•Women’s Business Centers.

Vets Small Business Task Force•Established April 26, 2010 by executive order of President Obama.

•Coordinates federal efforts to increase & improve veteran small business development.

Vets Outreach•SBA Transition Assistance Program 800 counseled annually

•SBA Dynamic Small Business Search -- 473 Mississippi businesses profiled online

•$150,000 grants provided to Veteran Business Opportunity Centers in 10 states

•Veteran and Service-Disabled Veteran-Owned Small Businesses procurement opportunities totaled $100,698,956.39 (Source Federal Procurement Data System)

Mississippi District OfficeMississippi District Office““Supporting the Formation, Growth, Supporting the Formation, Growth,

Prosperity, and Viability of Mississippi’s Prosperity, and Viability of Mississippi’s small businesses.”small businesses.”

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Gulfport Branch Office – (228) 863-4449

Mississippi District Office - (601) 965-4378