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Tag Archive for 'exporting'

Top 10 reasons to love small business

In the spirit of Valentine’s Day, here are the “Top 10 Reasons To Love Small Business,” as from our friends over at the Office of Advocacy of the SBA.

10. Small businesses make up more than 99.7% of all employers.

9. Small businesses create more than 50 percent of the nonfarm private gross domestic product (GDP).

8. Small patenting firms hire 43 percent of the high-tech workers and produce 16.5 times more patents per employee than large patenting firms.

7. The 27.5 million small businesses in the United States are located in virtually every neighborhood.

6. Small businesses employ about 50 percent of all private sector workers.

5. Home-based businesses account for 52 percent, and franchises are 2% of all small businesses.

4. Small businesses make up 97.5 percent of exporters and produce 31 percent of all export value.

3. Small businesses with employees start-up at a rate of over 500,000 per year.

2. Four years after start-up, half of all small businesses with employees remain open.

1. The latest figures show that small businesses created 65 percent of the net new jobs over the past 17 years.

It’s true: Small business is the heart of the American economy, and it’s why I really do love small business owners.

Check out more great SBA content HERE!

Connecting with global prospects and getting paid

This is the second of two articles on small businesses going global.

In the first article, I allowed that it can be exciting for business leaders to imagine a global prospect base of more than seven billion people. But for a small business to imagine an export strategy, it’s at once exciting and intimidating because of the three elemental global business questions, the first of which we focused on last time: Who are my global prospects? Now let’s focuses on the other two: How to connect with them and how to get paid.

The good news is that there are two government agencies standing by to answer both of these questions. Each one provides digital information, human assistance and global networks designed to help a small business maximize its opportunity to create and execute a successful export strategy.

The, “How do I connect with global prospect?” question can be answered by the U.S. Commercial Services, a division of the U.S. Department of Commerce. This should be your first stop for educationon finding and converting global prospects into customers.

When you consider all of their resources, the U.S. Commercial Service is a virtual one-stop shop for developing and executing a small business export strategy: a great website (Export.gov); a toll-free number (800-872-872) answered by a real person; over 100 offices around the U.S., plus dozens more around the globe you can walk right into and ask for help; and their book, A Basic Guide to Exporting, includes an excellent tutorial and several case studies.

All of that help is free, with the exception of the book and any direct expenses incurred on your behalf.

Export-Import Bank of the United States (ExIm.gov) can answer the “how do I get paid” question on many levels.

Part of the U.S. government, Ex-Im Bank will assist with the financial elements of your export sale. They will working with the banks on both sides of the transaction to coordinate funds transfers, provide loan guarantees, and even pre-delivery working capital for you and post-delivery financing for your customer.

For generations, big firms have owned the franchise on global business. But shifts in technology and demographics are making the global marketplace more compelling and feasible for small businesses.

Contact these two organizations and let them help you develop a global business strategy.

The global marketplace – and 7 billion prospects – are waiting for you.

I talked more about identifying your global prospects and growing your business through exporting on my radio show this week. Take a few minutes and click on one of the links below to listen or download.

Identifying prospects for your global business strategy

Connecting with global prospects and get paid

Check out more great SBA content HERE!

Identifying your small business global prospects

In case you haven’t heard, the seven billionth Earthling was born recently.

For the global marketplace, seven billion prospects are exciting. But for growing American small businesses, 96% of those folks live outside the U.S.

Once, small business growth meant expanding to the next county. But in the 21st century, shifts in technologies and demographics have made expanding outside America’s four-walls increasingly compelling. But it has also produced three elemental global business questions: Who are my prospects, how do I connect with them and how do I get paid? Let’s focus on the “Who” first, with these global stats from National Geographic” (January 2011), plus my editorializing.

  • Nineteen percent of Earthlings are Chinese, 17% are Indian and 4% are American. By 2030, the first two will invert.
  • By gender, males barely edge out females: 1.01 to 1.0. But my demographic experts report wide swings in median age among countries, which must factor in any export strategy.
  • In a historical shift, just over half of Earthlings are now urbanites. Remember, city folk use different stuff than their country cousins.
  • Here are global workplace profiles: 40% of us work in services, 38% in agriculture and 22% in industry. This means different things to different industries, but it means something to all businesses.
  • English is the international language of business, but is the first language of only 5% of global prospects. When doing business outside the U.S., be culturally sensitive and patient with the translation process.
  • Breaking news: 82% of your global prospects are literate. If you can read and write you can improve your life, which explains the growth of the middle class in emerging markets. A growing global middle class means more affluent consumers.
  • Computers are luxuries for most Earthlings. But cell phone usage is exploding across the globe and billions who never owned a PC, or used the Internet, will soon do both with a smart phone. Two words, Benjamin: global mobile.

Even though India and China are much in the news, American small businesses should consider export opportunities in our own hemisphere first, especially where trade agreements are in place, like Canada, Mexico, Panama, Colombia and Chile.

In the next article we’ll address the other two elemental questions: How to connect with global prospects and how to get paid.

Consider business growth outside of America’s four walls.

I have an extensive library of interviews with many exporting experts on SmallBusinessAdvocate.com. Click here to listen or download any that look interesting.

Check out more great SBA content HERE!