Any town in South Dakota would be excited to announce the opening of a new company bringing 50 or 100 new jobs to the community. Many local economic development organizations pin their hopes and their efforts on being able to attract just such a company and make that “home run” announcement.

But community economic development most often happens in a radically different way. It’s not major corporations with huge new facilities that typically grow our towns and keep them viable, but slower, steadier growth through micro-enterprise.

Micro-enterprise is defined nationally as any business which requires $35,000 or less in start-up capital, employs five or fewer employees and does not usually have access to the commercial banking sector. The Association for Enterprise Opportunity, the national micro-enterprise trade organization, estimates that there are over 20 million micro-enterprises operating in the United States, representing nearly 20% of non-farm employment. In South Dakota, some counties report that nearly 40% of employment comes from micro-enterprise.

Successful micro-enterprise programs to help these small but vital businesses start or grow have several elements. Business technical assistance is critical in helping entrepreneurs get started. Business development training shares necessary management skills. Credit, in the form of micro loans or access to funding, is a necessary part of the equation. Access to market opportunities gets the new business on its feet and growing. And asset development strategies help new business owners leverage their strengths for long-term viability.

Micro-enterprise development programs assist these very small businesses to start-up and expand, with goals which include job creation, community economic development or poverty alleviation. By supporting entrepreneurs, these programs help families—especially in South Dakota’s rural communities—increase their incomes to strengthen families and help keep their towns strong.

South Dakota Rural Enterprise is working to create a statewide network of regional micro-enterprise programs that will provide these essential services and make our state a vital force for recognizing and nurturing emerging micro-enterprises. The businesses are small, but the potential is enormous for communities of all sizes. To learn more about micro-enterprise in South Dakota, call 605-978-2804 or e-mail . Micro-enterprise can be a major priority in ANY community.

2006 AUTUMN REPORT
	Statewide groups strategize for future
	Micro-enterprise a major priority
	Combine products to boost development
	Training sessions put NMTC to work
	Ten years - and growing stronger
	Meadowlark Project

From the Chair:
Curt Hage