Raquel

At DECO, we are well aware of the significance of business incubators in supporting small business start-ups.  Our own incubator is a great source of support and guidance for a variety of companies. As it stands, small businesses encompass 99% of all firms.  They are job creators and contribute to the country’s economic growth.  Supporting and stimulating the creation of new businesses is necessary to stabilize and improve the economy.   Business Incubators nurture small businesses owners and entrepreneurs by providing them with all resources they need to start a business and become successful.  While many people have viable ideas for a business, the majority never take that leap because they do not know where to start.  Additionally, those who own small businesses usually cannot afford to invest large amounts of money to expand their businesses.    That is where business incubators come in.  For an affordable membership fee, they offer office space, employees, exposure through networking events, and expert advice on every area of a business–legal, financial, marketing, etc.

Last year, we had the privilege of working with the Emerging Technology Center (a non-profit business incubator) based in Baltimore City.  Through this partnership, we were able to work with a few of their companies developing market studies.  A market study (or analysis) tends to look at specific characteristics, demographics and trends in a target market.  They can also help project current and future demand of the company’s product or service and gather information about competitors.  This type of analysis is also important because it can allow business owners to estimate how much profit they can generate.

One of the clients that we were fortunate enough to work with was a company that developed a platform for providing online music lessons.  As a former high school band member and a lover of music, I found their product very interesting and exciting.  The main idea behind their innovative service was not only to give individuals a platform to participate in music education but to also act as a link between professional musicians and their fans.  Since our time working with this company, they have successfully launched their website.  You can read more about their product here.  Not only that but they have also developed a huge following on their Facebook page. If you have ever been interested in learning how to play an instrument (and thought you didn’t have the time) or would like to improve your skills with professional musicians, you should definitely check them out!

Clay

With the deadline for TowsonGlobal’s second business plan competition just around the corner, I sat down with several people to talk about the competition.  In the first video, I talked with Towson University’s Outreach and Partnerships Coordinator Kelsey Beckett about the competition’s purpose, how it impacts the region’s entrepreneurial community, the many ways it provides entrepreneurs with resources that will be beneficial over the long run, and what participants can expect if they win.

Additionally, I talked with the two winners of the 2011 competition, Ben Walsh, owner of PureBang Games and Lisa Drouillard, founder of My Hopeful Journey, to gain insights on how participating in and winning the competition impacted their business plans and helped move their businesses forward.   Both Lisa and Ben believe that part of what made them successful, was the mentoring and support from experts and guidance throughout the various stages of the competition.  Both also found that access to the broad range of resources and connections at the incubator were truly helpful.

Submissions already have started coming in for this year’s competition, so be sure to get those executive summaries in by February 6, 2012.  We are excited to see which innovative business ideas will advance to the final round, and we will announce the five finalists on February 20.

To ensure that each finalist has the best possible chance, they all will attend a presentation boot camp in March and each will be assigned an individual coach from SCORE, which will help prepare them for the final presentations to the judges on May 2.

For more information visit the Business Plan Competition page on our website or email us at info@towsonglobal.com

Allie

Jeff Beeson is the Director of the Center for Professional Studies (CPS) within the Division of Economic and Community Outreach at Towson University. As Director, he is responsible for managing a dynamic team dedicated to meeting the diverse educational and consultation needs of clients regardless of their location. Prior to coming to Towson, Jeff was the Director of the Maryland Apprenticeship and Training Program for the Department of Labor, Licensing, and Regulation (DLLR), and prior to that he was Deputy Assistant Secretary for the Division of Workforce Development and Adult Learning at DLLR. Jeff has also worked for the Secretary of the Maryland Department of Public Safety and Correctional Services and as an aid for Senator Barbara Mikulski. Jeff is a graduate of Towson University earning his Bachelor’s degree in Political Science and his Master’s degree in Social Sciences. To hear more about Jeff’s background and vision for the Center for Professional Studies watch the interview.

Clay

The time has arrived! TowsonGlobal’s Business Plan Competition is back for a second year.   The inaugural competition brought entries from a diverse group of entrepreneurs with interesting business concepts.  All had the same goal in mind—success.  And this second annual event promises to be even more inspiring, helping stimulate innovation and entrepreneurship across the region.

While the basic format of the competition remains the same, a few changes have been made to help better prepare entrants and to make the competition more interactive. For this second competition, interested participants are invited to attend free workshops which focus on the basics of a business plan, including:

• writing an effective executive summary,
• conducting useful market analysis,
• and developing realistic financial projections.

The five chosen finalists will attend a required boot camp to help prepare for their final presentations.  Also, this time, presentations will be made both in private and at a public forum.  After which, the winner will be announced at a networking reception.

Business Plan Competition Workshop #1 (October 2011)

Timeline & Process:

• October 19, 2011 — Business Plan + Executive Summary Workshop
• October 26, 2011 — Market Analysis Workshop
• November 10, 2011 — Financial Projections Workshop
• February 6, 2012 — Executive Summaries Due (3-5 pages)
• February 20, 2012 — Finalists (5) selected and notified to submit business plans
• February 27, 2012 — Presentation boot camp for finalists
• March 27, 2012 — Deadline for finalists’ submissions of business plans and PowerPoint presentations
• May 2, 2012—Finalists present in front of judges, winner selected

We hope that participants will get as much of the competition as the first group did.  Lisa Drouillard of My Hopeful Journey, one of two 2011 winners, commented, “The business plan competition helped me to think of my business in a more tangible way and not just as a concept.”  The other winner, Ben Walsh of Pure Bang Games, added that participation “strengthened our ties to other early stage startups, and most importantly, Towson University.”

TowsonGlobal is looking forward to seeing the exciting, innovative concepts that will be brought to the competition.  For more details on the competition, visit TowsonGlobal’s Business Plan Competition page or email us at info@towsonglobal.com .

Clay

The Princeton Review’s recent release of its list of the most entrepreneurial colleges in the US provides a great opportunity for us at Towson University to reflect on how we are supporting the development of entrepreneurship.  While Towson was not included on this year’s list, there are a number of things we already are doing or can strengthen to be more entrepreneurial, including the following six initiatives:

1. Business Incubation—In the spring of 2007 Towson University launched TowsonGlobal, a business incubator that helps entrepreneurial ventures, both university based and non-university based, learn how to compete in the global economy.  Research has shown that incubators associated with universities are more effective at developing thriving, sustainable businesses compared to stand-alone community incubators.  Currently, with 15 members and at 100% occupancy rate, the incubator plans to expand to larger facility in 2012 in the heart of Towson.
   

   TowsonGlobal's New Home, Expected Summer 2012

2. Entrepreneurship Program/Major—Towson University established an entrepreneurship track in 2008 under the College of Business and Economics.  This program includes courses like Entrepreneurship & Small Business, Entrepreneurial Finance, and an Entrepreneurship Practicum.  The addition of experienced entrepreneurial faculty is helping to attract more and more students into the program.  CBE also is reviewing that curriculum and comparing it to top schools to explore opportunities for improvement.
3. Business Plan Competitions—Under the direction of the incubator’s Advisory Board, the TowsonGlobal Business Plan Competition was launched in the spring of 2011.  The competition’s main goal is to encourage small business growth and innovation within the region.  The inaugural competition resulted in a tie after a panel of judges from leading companies in the area determined that both Pure Bang Games and My Hopeful Journeywere deserving of the honor.  Together, the winners received prize packages valued at almost $15,000.  For the 2012 competition, a series of workshops have been organized during the fall to help participants prepare even better business plans.  The finalists will present at a public forum on May 2, 2012.
   

   TowsonGlobal Business Plan Competition winners Lisa Drouillard of My Hopeful Journey (L) and Ben Walsh of Pure Bang Games( R) posing with their prize checks, April 28, 2011

4. Facilitate Entrepreneurial Spirit—By partnering with other area organizations, Towson University is building a reputation as an institution that puts words into action.  For instance, in July 2011 TU hosted Think Big Baltimore, a day-long conference organized by area innovators that attracted over 200 registrants and featured expert panel discussions, keynote speakers, in-depth educational sessions, and lively networking events.  Plans already are underway for TBB 2012.
5. Entrepreneurship Organizations/Clubs—SIFE(Students in Free Enterprise), returned to Towson University in the spring of 2011. This is an international, non-profit organization that mobilizes students of all majors to become socially responsible business leaders by developing entrepreneurial skills.  It brings business leaders and student teams together to develop outreach projects that make a difference in their communities by using the positive power of business.
   

   (L-R) Biruk Lulseged, Curtis Johnson, Clay Hickson, Laleh Yousefi at SIFE Regional Competition, Philadelphia, PA, March 25, 2011

6. Mentorship Programs—TowsonGlobal staff regularly meets with both student and community entrepreneurs to help review business ideas and to provide advice.  Budding entrepreneurs also are referred to mentors from SCORE, a nonprofit association dedicated to educating entrepreneurs and helping small businesses start, grow, and succeed.  In fact, TowsonGlobal and SCORE will be launching monthly Entrepreneur Office Hours, which will be open to anyone with a business idea who wants practical advice and critique.

Entrepreneurship Professor David Brannon captures the spirit of what is developing here at Towson University when he says:   “One of the keys, which aids in the growth and development of a successful program, is the approach that entrepreneurship is a way of thinking. Entrepreneurship is a means to follow your passions, develop innovation, create jobs, and to enact social change. It is a focus on recognizing opportunities to create value and understanding how to pursue those opportunities.”

Over time, colleges like those on The Princeton Review’s list (e.g., University of Houston, Babson College and Syracuse University) have developed extensive sources of support from within their institutions and across their communities that are focused on entrepreneurship education and on supporting entrepreneurial spirit.  There is much we can learn from the schools on the list, but I believe Towson University is well on its way to being a great entrepreneurial university.

Clay

Entrepreneurs are unique people – but are they born or made?

An entrepreneur is defined as someone who, by risk and initiative, creates a new business venture. Based on this definition we can assume that an entrepreneur has to be proactive and confident in their idea, but is this confidence inherent or a trait that can be learned? This is a highly debated topic and one that is widely researched.

Those who believe entrepreneurs are “born” agree that certain characteristics – like extraversion, willingness to take risks, and innovative thinking –are usually inherited. They state that, while entrepreneurial skills can be learned, the drive to start a business comes from within, and not everybody possesses it. In fact, Northeastern University’s School of Technological Entrepreneurship conducted a study which revealed that 61% had an innate drive to start their own business, and 42% said they started ventures in their childhood.

On the other hand, those who say entrepreneurs can be made believe that relying only on innate traits is not always sufficient. They also agree that most entrepreneurs fail many times, but having some sort of experience and formal training can improve their chances of succeeding. Many entrepreneurs may not be naturally extroverted or be huge risk takers, but having knowledge or experience in business may boost their confidence and encourage them to branch out on their own. Supporters of this theory also have conducted scientific research to back their claim. An entrepreneurial studies professor at Case Western Reserve University conducted a study with 870 pairs of identical twins and 857 pairs of same-sex fraternal twins to see how much of entrepreneurial behavior is genetic and how much is environmental. According to these results, entrepreneurs are 40% born and 60% made.

But is anyone really right or wrong? That will continue to be up for debate.  Ideally, an individual would possess a combination of both innate traits and the proper experience to become an entrepreneur. While having both innate traits and experience is helpful, neither is absolutely necessary.

Entrepreneurs come in all shapes and forms, and have different backgrounds and experiences. People should not let pre-conceived notions of what it takes to become an entrepreneur deter them. In my view, the debate is largely academic. If someone has an innovative idea and can muster the drive required to implement it, they can be an entrepreneur.

And resources like a business incubator such as TowsonGlobal can help either type of entrepreneur.

Clay

Over the past few years, social media seems to have become an essential part in our lives.   Networking sites have changed the way we interact with the world.  While many sites were created mainly for personal uses, it did not take long for companies to discover the potential for business growth.

Amongst those who have benefited greatly from social media are entrepreneurs and small business owners.  Why?  Because of extensive reach and relatively low cost.   After all, sites like YouTube, Facebook, Twitter and LinkedIn offer access to 1 billion users combined at minimal costs.  And while big corporations have the means to invest in large marketing campaigns to gain recognition, small businesses and start-ups must focus limited funds on more affordable resources.

Social media has become a key marketing tool allowing for more honed targeting of specific new markets.  It can help build awareness and exposure relatively rapidly both locally and internationally.

Lisa Drouillard, owner of My Hopeful Journey, a web-based application for managing infertility treatment programs, says, “Social media has been my primary method of connecting to both my customers and other stakeholders in the infertility community.  I have connected much more easily through social media than by making a cold call.”  Regarding the impact it has had, she says, “Without social media, launching My Hopeful Journey would have been nearly impossible.”

Mark McTamney, owner of BuffTees.com, a small graphic T-shirt company, adds that social media not only has made the process of attracting customers much more organic but also has facilitated customer interaction with the company, allowing him to be more responsive to customers’ needs.

Despite these benefits, many businesses do not explore social media’s full potential because of how time consuming it can be.  It takes time to create a plan that will be effective, and that will offer results over a short period.  People often mistakenly believe that their initiatives will pay off almost immediately while spending a limited amount of time online.  Nowadays, many companies are creating positions in social media marketing because of the important role it plays in gaining exposure and communicating with customers.

While many start-ups and small business owners cannot afford to hire additional employees, having someone dedicated to managing social media efforts could pay off in the long-term.  Both McTamney and Druillard agree that while they do not spend huge amounts of time online, they try to make the most out of their time networking.  “Social media is what I enjoy the most about my business” McTamney says.  “Interacting with my customers is the best part and it is probably the one thing I’d like to continue doing myself.”

Having a business page or blog does not guarantee success.  Like everything else, it takes time, effort, and planning to see results. As Druillard says, “You can’t just put up a Facebook page and expect people to find you”.

Clay

That entrepreneurship is important for a healthy economy is a commonly acknowledged fact.   It stimulates innovation which is vital for economic growth.  Entrepreneurs have created new industries, generated new job opportunities, increased competition, brought growth to their communities, and changed the way we live entirely.

Small businesses–mostly owned by entrepreneurs–generate 75% of the net new jobs each year and represent over 99% of all US employers.  According to the Bureau of Labor Statistics, the self-employed population accounts for one-third of the workforce, and by 2018, almost half will be self employed.  Nowadays, almost anyone can become a successful business owner as long as they are willing to be innovative, proactive and take risks.

In the last few decades, the economy has shifted from goods-based to service-based, which in turn has given more people the opportunity to become entrepreneurs.   Additionally, the current economic downturn has pushed many to start their own businesses.  According to small-business insurer Hiscox, 15% of start-ups were created as a result of layoffs.

Although entrepreneurs are essential for job creation, the amount of start-ups that hire in the first year is decreasing because of limited capital and high tax rates.  Also, despite some government efforts to boost entrepreneurship and small businesses –e.g., the 2009 stimulus package, which created tax breaks for business owners and eased access to credits – they still are not receiving enough support from lenders.  According to the Federal Deposit Insurance Corporation, loans to small businesses actually have decreased 8% compared to last year.

On the positive side, some local and state initiatives are being put into place to encourage innovation and growth.  In May, Governor Martin O’Malley signed InvestMaryland, an initiative which is slated to infuse $70 million into start-up and early stage companies in Maryland specialized in life sciences, cyber security, and green technology.

With the right support, startups and small businesses have the potential to become large companies that will generate thousands of new jobs.  For society to make the most of this potential, policy makers must be proactive and create an environment that is more conducive to the success of small business owners and entrepreneurs.

Let’s hope that everyone, including government authorities and financial entities, understands the value of entrepreneurs in the economy and helps create an environment that makes it easier for this engine of economic growth to thrive.

Photo Credit: David Siqueira

Clay

Developing personal relationships is crucial for success when doing business in the Asian region, and that means spending quality face-to-face time on the ground.  In an effort to encourage foreign investment, stimulate economic development, strengthen commercial ties, Maryland Governor Martin O’Malley led a trade mission to Asia May 31-June 11.  Towson University Interim President Marcia Welsh, Asia Studies Director Stephen Phillips, and I were privileged to be among the 68 people chosen to represent the State on this productive trip through China, South Korea and Vietnam.

This 11-day trip was the perfect opportunity, not only to improve existing relationships, but to showcase what Maryland and Towson University have to offer and how our ties can benefit all parties.

During our travels through Shanghai, Nanjing, Beijing, Seoul, and Hanoi, we attended some key events like the 13^th Shanghai Bio-Forum, BioCapital Leadership’s Luncheon, the Maryland-Jiangsu Partnership Banquet, and the Vietnam-Maryland Cooperation Ceremony and Luncheon. Shanghai’s Tasly Group announced a $40 million investment in Maryland, the largest direct investment ever in our state by a Chinese company.

Additionally, Marlin Steel Wire, a Baltimore steel wire basket manufacturer, signed a collaboration agreement in Vietnam with a state-owned steel production firm.  AmeriSure Pharmaceuticals, a Rockville based company, signed an agreement to collaborate with one of Vietnam’s largest state-owned pharmaceutical firms. In addition, the Vietnam Natural Resources and Environmental Corporation agreed to promote Ellicott City’sBlue Wing Environmental Solutions & Technologies floating island products.

Towson University representatives (Steve Phillips, Clay Hickson, Ohoe Kim, and Marcia Welsh, 2nd – 5th from left, respectively) and Inha University representatives, Incheon, South Korea

Not to be left out, Towson University also signed three MOUs in Shanghai to provide faculty training and school management services programs in the Pudong area.  Two other Towson representatives also joined us for parts of the trip.  Alexandria Liu, a Towson University student interning at the Maryland Department of Business and Economic Development, participated in the China leg of the trip, and Mathematics Professor Ohoe Kim was in Korea helping to arrange meetings with various partner universities there.

To develop opportunities for TowsonGlobal Business Incubator and its member companies I met up with representatives of Shanghai Juke Biotech Park, an incubator specializing in helping biotech SMEs.  I also met with Ningxia Yinxing Energy Co., which focuses on green technologies and is exploring expansion to the US.  In Beijing, I met with Xin Feng Zhuoqun Technology Co., a professional circuit board processor that may be able to support current members.   These meetings were important steps to open doors for future collaborations between Asian enterprises and TowsonGlobal.

Despite a few hurdles – our bus got stuck on a mound of dirt and broken asphalt – we also had the opportunity to visit historic landmarks like the Presidential Palace in Nanjing and the Great Wall and Forbidden City in Beijing, to go hiking in Seoul, and to tour around the city of Hanoi.

Clay Hickson (center) and delegation members at the Presidential Palace, Nanjing, China

Clay Hickson and Marcia Welsh at the Great Wall, Beijing, China

I was honored to be a part of such significant efforts to bring Asia and Maryland together.  Being a part of the Governor’s delegation offered business and educational professionals opportunities to expand their networks and strengthen existing ties while gaining credibility.  The mission brought many opportunities for technology development and economic growth to our state.  Maryland’s future in these foreign markets looks bright, but success will all depend on the efforts we make to continue building ties in the region.