What is the 2nd Stage Business Development Initiative (SSBD) and how does it impact Jacksonville’s business community?
The Jacksonville Regional Chamber of Commerce and its Cornerstone Economic Development Division have led the way in terms of regional economic development for years. Most of their efforts have been targeted in two areas: small business start-up, and recruiting large employer companies to move to the First Coast, bringing significant capital investment and hundreds of new jobs. While both areas have been successful in their own right, there is a third level of business owners who have been largely ignored.
Once businesses move beyond the initial start-up stage and begin to grow and become established, their needs change. Their focus shifts from typical start-up issues to the future of the company and how to maintain the success and growth they have experienced. Unfortunately with the primary focus on the other levels of business mentioned above, there are no programs or services directed to their special needs.
The 2nd Stage Business Development Initiative, part of the Jacksonville Regional Chamber of Commerce’s Small Business Division, is a group of business leaders, second stage business owners and other supporters. Their goal is to develop programs and services for second stage businesses as a means of economic development for Jacksonville and the surrounding area.
"Second Stage" companies are described as having from 10 to 99 employees, with annual revenues of $1 million to $49 million and experiencing growth.
New research released by the Edward Lowe Foundation shows, in Duval County, second stage businesses represent 13% of all companies, but they produce over one third of all employees.
Mark Lange, Executive Director, of the Edward Lowe Foundation says of Jacksonville’s initiative, "We are very impressed and encouraged by the accomplishments of the Second Stage Business Development Initiative in Jacksonville this past year. The chamber's collaborative approach involving entrepreneurs, service providers, and support organizations, is already showing positive results and should provide a great model for other communities around the country."
The Second Stage Business Development Initiative is based on the concept of "economic gardening", a concept that has been fostered by economic developers for years. and championed by the Edward Lowe Foundation. Basically, economic gardening is the idea that Second Stage businesses can and should be cultivated locally, as opposed to relying on economic development policies that focus on relocating larger companies to an area. The addition of the Second Stage Business Development Initiative provides a balanced approach to economic development that fosters both economic gardening (growing our own) and economic hunting (recruiting businesses to our region)
When these Second Stage companies grow, they add more employees and pay more taxes, which benefits the community. Studies show that through this gardening concept, communities can create new job opportunities for an average $200 investment for each new job created, while recruiting companies from other areas costs an average $20,000 per employee.
