IDED Annual Report

Targeted Small Business

The Targeted Small Business Program experienced mixed results in the fiscal year ending June 30, 2010. The purpose of the Targeted Small Business Financial Assistance Program (TSBFAP) is to provide financial and technical assistance to women, minorities and persons with disabilities who are starting or expanding their own small business as certified by the Iowa Department of Inspection and Appeals.

The success of the program can be viewed from four perspectives: businesses certified, financial assistance awards, procurement by state agencies and marketing and outreach strategies.

Certification & Financial Assistance

According to the Iowa Department of Inspections & Appeals, during FY '09, there were 660 active TSBs. This is a six percent increase over the active TSBs at the end of FY '10 (620). The amount of financial assistance awards decreased significantly. In FY '10, 17 loans were awarded totaling $343,000.00. This is more than 50% fewer loans than in FY '09 when 35 low-interest loans and one grant was awarded totaling $1,090,150.00. In FY ‘09, 35 low-interest loans and one grant was awarded totaling $1,090,150.00.

Procurement

Procurement of TSBs by State Agencies hit an all-time high with State Agencies spending $37,295,405 with targeted small businesses alone! This total includes community colleges and AEAs.

Marketing & Outreach

Some of the successes of FY '10 were due in part to increased marketing and compliance (procurement) efforts. We made over 1,000 quality contacts with minority and women business owners as we traveled across the state to present at over 20 seminars, conferences, workshops and classes. When appropriate, we often collaborated with the Department of Inspection & Appeals in these presentations, but also presented individually when requested.

Notably, the Iowa Department of Economic Development & Targeted Small Business Program was the LEAD sponsor of the first Iowa Black Business Summit, held in downtown Des Moines in September 2009. Over 80 existing and aspiring Black business owners from across the state attended the various workshops; over 125 attended the Awards Luncheon. Feedback was overwhelmingly positive and many requested it be an annual event.

New this year were TSB webinars. These one-hour online learning opportunities allows for the cost-effective dissemination of information and ideas. Our new webinars cover topics like, building a business website, internet marketing, marketing strategies and planning and the dreaded cash flow statements.

The Targeted Small BusinessLink online newsletter continues to be an effective marketing and communication tool that keeps certified Targeted Small Businesses and program supporters informed.

• Access the full Targeted Small Business Report [PDF: 409k]