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This week, Democrats of the House Committee on Small Business Subcommittee on Investigations, Oversight and Regulations met to discuss how they can expand opportunities for entrepreneurial development for people of color, women and veterans.

“Entrepreneurs take a great risk and we want them to know that they are not alone—they have a vast network of community support,” said Subcommittee Ranking Member Rep. Alma Adams (D-NC). “Small businesses are vital to our communities and economy. They provide pathways to opportunity for minorities and women, many of whom have been undervalued in larger corporations. It is crucial that they receive robust support.”

The Small Business Administration (SBA) administers a multitude of entrepreneurial development initiatives which reach Americans in all fifty states Guam, Puerto Rico, American Samoa, and the US Virgin Islands. During the hearing, Derrick Braziel, whose organization MORTAR partners with SBA’s Service Corps of Retired Executives (SCORE) and works to assist minority entrepreneurs, testified to the importance of reaching diverse communities. Mr. Braziel is based in Full Committee Chairman Steve Chabot’s (R-OH) district in Cincinnati, Ohio.

“Every day, MORTAR shows Cincinnatians and other communities what’s possible when you invest in previously underestimated entrepreneurs,” said Braziel. “At the end of the day, our hope is that our approach - in close partnership with SCORE - will catalyze the creation of local ecosystems where entrepreneurs of all backgrounds and colors can not only participate, but also transfer economic opportunity and ownership to future generations.”

SCORE is one of several networks and programs that promote small business development under SBA’s Office of Entrepreneurial Development’s. Aside from SCORE, other ED programs include: Small Business Development Centers (SBDC); Women’s Business Centers (WBC); and Veteran Business Outreach Centers (VBOC).

In 2016, Women’s Business Centers received $17 million in federal grants, and they assist over 140,000 women entrepreneurs each year. Unlike any other SBA entrepreneurial program, WBCs are also required to serve disadvantaged communities in underserved areas. Testifying on behalf of the Association of Women’s Business Centers, Stephanie Carter, herself a founder and president of a small consulting firm, spoke to the central role that WBCs play in helping female entrepreneurs take their business plan to the next level.

“Understanding the challenges of launching and growing a business is difficult, and too often we do not fully recognize the factors at the periphery of traditional business creation—despite their importance,” said Carter. “I fully believe that the community fostered by the WBC played a key role in my success, and its replication can only mean good things for women entrepreneurs nationwide.”

Meanwhile, Veteran Business Outreach Centers serve over 60,000 veteran clients each year and provide a transitional space for veterans returning to civilian life. Importantly, these centers promote veterans for federal procurement opportunities to ensure that three percent of federal prime contracts and subcontracts go to service-disabled veteran-owned small businesses. As the Director of Veterans Business Outreach Center at Fayetteville State University serving the states of North Carolina, South Carolina, and Kentucky, Tamara Bryant offered crucial on-the-ground perspective in her testimony.

“We understand our clients come with a unique technical skill, impeccable leadership skills, core values, and a mission-focused mindset but often times they may lack the business acumen skills or the ability to transfer their military skills into an entrepreneurial career pathway,” said Bryant. “VBOC’s core competencies are entrepreneurial development training designed to deliver interactive and experiential workshops that give the attendee the opportunity to walk away with tangible outcomes and takeaways they can immediately employ in their business.”

Overall, throughout the hearing, Democrats reaffirmed their commitment to uphold current ED programs while fighting for additional resources to reach underserved communities. In 2017, the House passed an amendment authored by Full Committee Ranking Member Nydia M. Velázquez (D-NY) to protect Small Business Development Centers, the largest of SBA’s entrepreneurial development programs from a proposed budget cut under the Trump Administration.

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