Economy Development For Smaller Communities

Economy Development for a Small Community -

Just as small entrepreneurs have found themselves able to battle corporate giants, so too do smaller communities now face a David-Goliath competitive environment. It isn’t easy, but remember David prevailed!

Here are three steps we suggest all communities consider.
1. Think – “Fire, ready, aim” is not a strategy. When people say we need to develop our economy, they may seek very different things. We have developed ten core competencies that make up economy development. Decide what is most important: perhaps downtown development; a new office park; retraining workers, or is it attracting tourists?
Have a Plan. Know where you want to go first. Be sure that there is a shared consensus. Like any good plan, it needs to be realistic and measurable.
For small communities, this can be a strategic advantage. You can get key leaders into one room, and in a couple of hours determine shared opportunities and threats. Your larger competitors will take a month fighting over who is invited.
2. Get – Small communities often approach economic development without any –or minimal - funds available. Time to think like an entrepreneur; “bootstrap” resources during these early stages.
For a community, the best resource is its people. If you ask around, you will be surprised by the talent and willingness to help. There are also regional, state and federal offices which can provide free guidance and assistance. Universities can offer services and facilities. Get your team together.
Eventually, you will need financial resources. With a record of committed, successful volunteers, that resource channel will open. Get the resources you need equal to the task. You do not want to be constantly fund-raising; take on a project you can afford.
3. Do – Finally, we’re doing something! It is important that the actions be supported before commencement. Many small communities –faced with a crisis – want to just get on with “it”, only to see volunteer and political support erode as “it” means different things to different people.
As with any endeavor, leadership is the key. Who is the person accountable for success? Who has agreed to help and follow this leadership? Are tasks laid-out, understood and publically supported?
We have seen how much just a few key people can do in a small community. Your larger competitors will be months just introducing themselves; while you are making progress with community leaders you know and trust.

Specific Considerations for Smaller Com munities

The factors that hinder a small community – lack of staffing and resources, limited workforce pool, remote locations, and minimal infrastructure - are realities. But a small community also offers advantages. These include:
Flexible, honest and accessible governments: that provides suggestions to make things happen, versus official reasons why it is not exactly permitted.
Small is good: To make a difference, you do not need big wins. Pay attention to the one-person enterprise that would be lost in a large city, and build loyalty as the company grows.
Network your “captured market”; find and network the enterprising people who already have made the commitment to live in or near the community, who don’t need convincing why this community is a great place. They will find opportunities once they meet each other.
Know your employers: most small communities can easily name – and subsequently visit with – their top employers before trouble hits.
Limit your appetite. A new employer will want to be in an area that offers at least a 20-1 “qualified applicant” to hire ratio. Consider your community: determine what is 1/20th of the qualified workforce, and that is the maximum employer size you should target.
No place like home. Establishing support for networking “Free Agents”; people who are home workers connected to national clients, which can produce new ventures and a positive “buzz” about the community. Make work-at-home easy by encouraging land-use permitting that is flexible for small home-based business.
Build upon existing niche strengths. Why is your community unique? Do you have a cadre of early retirees from similar industries? Is there any grouping of like companies – wineries, marinas, food processors, engineers, organic farmers – that could form the base of a “cluster” strategy – a niche others will seek?
A credible message and messenger. In 20 words or less: why your community? Who is the go-to person when there is an inquiry, or who will follow-up on “a business-is-failing” (or growing) rumor, or the state wants someone to attend a workshop? Who knows how to speak to the media, and has local credibility? Do others confirm the same message?
Congratulations: You have taken on a very important service for your community, ensuring its future viability. Small-community economy development does not have the big headlines wins. But it also does not have the big headaches. Utilize your smaller size to be flexible, accessible, creative and accountable. Small wins add up, and patience prevails. And remember to have some fun!