Out of Crisis Comes Great Things

With times of economic crisis come great opportunities for entrepreneurs, if we are willing to invest in microenterprise development.
A recent Center for Rural Affairs' report found that investing in entrepreneurial development paid big dividends during the last recent recession (2000-2003), and continuing such investment could help Nebraska weather this current economic recession. Employment in Nebraska attributable to microenterprises (businesses with 5 or fewer employees) actually grew by nearly five percent while all other private, non-farm employment fell by nearly one percent during that last recession.

According to the report, Economic Outcomes of State Investment In the Nebraska Microenterprise Development Act, a $1.5 million annual appropriation to the Nebraska Microenterprise Development Act would potentially result in 184 to 198 microenterprise businesses created or expanded with assistance from the program, creation of 294 to 317 jobs across the state, creation of $5.6 million to $8.6 million in additional income in Nebraska households (business owners and employees), creation of over $1.1 million in household asset growth in its first year, economic outcomes in Nebraska of over $6 million to nearly $10.5 million in one year, and potential economic outcomes in Nebraska of $25 million to $41 million after five years.

The Governor's budget recommendation released in January 2009 recommended cutting funds for the Act.
Nebraska Legislators should not turn their backs on rural main streets at the precise time when investing in entrepreneurial development can help revitalize rural communities and reinvigorate Nebraska's economy.

For a full copy of the report: http://www.cfra.org/node/1759.

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