Program Title:       ECONOMIC DEVELOPMENT THROUGH MICRO BUSINESSES

Issue:                     Enhancing the well being of individuals, families and communities through successful home-based

                               and micro businesses.

 

Challenges:           The number of people working at home grows annually by 5-10% (Link Resources, 1995).  One reason for this is the economic situation (OCES, 1989, 1994).  In Oklahoma, those economic reasons develop from our ranking of 40th in individual per capita income and 9th in the number of people at or below poverty (2002 Statistical Abstract).  Other reasons are: lifestyle changes, increased family time, being oneÕs own boss, and entrepreneurship.

 

What has been done:

Since 1985, OCES has recognized the growing trend of entrepreneurship through home-based and/or micro businesses.  Through the statewide network of Extension Educators OCES provides written materials that help a business owner get started and market their product or service.  Specific materials for specific needs are available.  Numerous workshops on a wide variety of topics have been developed.  One-on-one assistance is offered.

 

Outcomes:

á     Over 23,000 home-based and micro businesses have been assisted

á     Resource directories providing business assistance contact information has been provided to more than 8000 people since 1998.

á       An ownerÕs start-up guide, Putting It All Together, has been provided to over 400 Oklahoma entrepreneurs and also to 15 other states.  It has been rated as an excellent resource by over 90% of survey respondents.

á     Food Business Basics, a start-up guide, has been developed and provided to more than 1000 aspiring entrepreneurs including all participants in the  Food & Agriculture Products CenterÕs ÒBasic TrainingÓ classes.

 

Impact:

á    Based on a 2003 survey, 20% of households own and operate a business.  68% of those business are family owned and operated, 66% are home-based businesses, and 92% are micro (employing 10 people or less) in size.  Averaging nearly $40,000 in gross income, these  potentially 175,000 home-based businesses add $6 billion to OklahomaÕs  annual economy with family businesses generating a similar amount. 

á    80% of businesses assisted by  the program are still in business after four years.

á    30 new food-based businesses have started after participating in ÒBasic TrainingÓ

á    In a 1998/99 survey, 28% of respondents have started a business.  With an average income, this means over $1,500,000 annually has been added to local economies. 

 

Collaborating organizations, agencies, and teaching, research, extension partnerships:  

Small Business Administration; Small Business Development Centers; Service Corp. of Retired Executives; Food and Ag Products Research and Technology Center, Oklahoma Vocational-Technical System; Oklahoma Depts. of Commerce, Labor, Agriculture, and Tourism & Recreation.

 

Date Posted:          December., 2005

 

Contact:  Glenn Muske, Ph.D.

Home-Based and Micro Business Specialist

Oklahoma Cooperative Extension Service

333 HES  Oklahoma State University

Stillwater, OK  74078

phone: 405-744-9931  fax: 405-744-1461

glenn.muske@okstate.edu        fcs.okstate.edu/microbiz