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Washington, D.C.—Today, the House Small Business Committee under Chairwoman Nydia M. Velázquez (D-NY) met to discuss the pivotal role of the Small Business Administration’s (SBA) Entrepreneurial Development (ED) initiatives in helping small businesses innovate and create jobs. 

For the hearing, Chairwoman Velázquez convened a panel of top officials from SBA’s four primary resource partners: Small Business Development Centers (SBDCs), Women’s Business Centers (WBCs), SCORE, and Veterans Business Outreach Centers (VBOCs). The hearing was an opportunity for Members to take stock of what is working well and where Congress can push for greater federal investments to expand and improve counseling and mentorship programs for entrepreneurs.  
 
“On this Committee, we all know that starting a successful business can be a tough and overwhelming feat,” said Chairwoman Velázquez. “Thankfully, SBA works in close collaboration with its resource partners across the country to provide counseling and mentorship to budding entrepreneurs with specific efforts to aid traditionally underserved populations such as women, minorities and veterans.” 

As studies have shown, small businesses that receive three hours of counseling or more tend to have higher survival rates than firms that receive less counseling. Additionally, every year, SBA’s resources partners assist more than one million entrepreneurs, creating roughly 80,000 jobs.  

“For 40 years the SBDC network has been providing front line services to entrepreneurs and small business owners while growing and developing an infrastructure dedicated to assisting all small business owners,” said C. E. “Tee” Rowe President/CEO, President and CEO of America's SBDCs. “Small businesses are focused on the bottom line. Growth in sales, investment and hiring are key indicators.  Obtaining capital is usually the key measure.  America’s SBDC believes that access to capital is vital but, if that financing isn’t leading to an improved bottom line it’s just an output not an outcome.” 

“Within an ever-changing business and economic landscape, SCORE must prepare for and ensure organizational relevancy for the next 50 years,” said Ken Yancey, the Chief Executive Officer of SCORE Association. “It is not enough for SCORE to try to manage change; rather, we must embrace change and become change proficient. No matter how much the landscape changes, SCORE’s ability to provide business advice and mentoring to entrepreneurs and small business owners will remain relevant, as validated by our data.”

“The WBC program continues to fulfill its Congressional mandate of ensuring that women’s entrepreneurial drive is fueled by adequate training, resources, and access to capital to keep the small business engine of the economy thriving,” said Corinne Hodges, CEO of the Association of Women’s Business Centers. “It is the only program statutorily dedicated to serving ‘economically and socially disadvantaged’ women. Nonetheless, Congress should act to strengthen and modernize the program, in turn supporting entrepreneurial growth nationwide.” 

“New veterans are the most educated and technologically trained service members than any before them,” said Cherylynn Sagester, MM, Director Old Dominion University Veterans Business Outreach Center. “When considering this, combined with the previously mentioned character traits gained by military service, you have a sector of the population that is prime for taking on entrepreneurship and thereby, control over their future.”

“In the 116th Congress, the Committee will work to advance legislation that takes steps to expand and modernize counseling and mentoring services for entrepreneurs in rural areas, suburban Main Streets and in our cities,” said Chairwoman Velázquez. “Proven to be an extraordinary vehicle for growth and small business development, SBA’s Entrepreneurial Development initiatives play a crucial role in our small business ecosystem and Congress must ensure they receive adequate funding and support from the federal government.”