The Small Business Development Center network is the largest source of technical and management assistance for small businesses in the US.
The SBDC annually serves more than 1 million small businesses through education, training, and one-on-one consulting services.
The SBDC network's emphasis on building small businesses and equipping entrepreneurs also dramatically impacts the US economy. The SBDC network is quick to point out that small businesses are a driving force in the US economy. By combining the efforts of Congress, the Small Business Administration (SBA), state governments, universities, and private businesses SBDCs create jobs, grow the economy, and improve the nation's ability to compete globally.
Here are some of the other ways SBDCs have a positive economic impact:
- Small business growth. Although SBDCs regularly work with startups, many of their clients are businesses that are moving into their next level of growth. In 2008, SBDC clients generated more than $5.6 billion in new sales and saved an additional $6.4 billion in sales. On a go-forward basis, SBDC clients generate $100,000 in new sales every nine minutes. The SBDC network has also been effective in enabling women, minorities, and veterans to achieve business growth.
- Economic growth. SBDC businesses consistently outperform other firms in terms of sales growth. Between 2007 and 2008, SBDC clients experienced 17.4% growth in sales while businesses in general only experienced a 3.6% growth in sales during the same time period. SBDC advocates herald the fact that the government's investment in the SBDC network more than pays for itself. Every federal dollar invested in the SBDC network creates $2.72 in federal revenue and $1.87 in state revenue.
- New business creation. New business creation is a key indicator of the health and vibrancy of the national economy. Between 2007 and 2008, SBDC clients launched more than 12,000 businesses. SBDCs also report a phenomenal rate of success in new business creation with more than 50% of all clients following through to an actual small business startup. Currently, a new business is opened by a SBDC client every 43 minutes.