THE NEED

Like any state, Texas was founded on small business.  Even today most people think that large corporations are the ones supporting the tax base and employment of the state's economy.  The facts could be further from the truth. Small businesses provide more than 80% of all Texas employment, but receive less than 10% of any measurable bank financing!  In most states it is less than 7%.  Of the 380,000 businesses corporations filed within Texas 91.8% are considered small businesses with 80% of those having fewer than 20 employees, and 65% of that figure with fewer than 10 employees.

On average 55,000 new companies will start each year in Texas.  Institutional lenders will traditionally finance 5,500 of those. This year, like any other year, Texas will be the target of approximately 380,000 to 400,000 new start-up companies wanting to do business in Texas.  Like any state, Texas doesn't lack the opportunities to gain new companies, or industries.  What the State sorely lacks is the methods to help those small industries, or rural communities find adequate funding to start and stay in business and grow.  Small communities may not have money in the bank to bankroll a new company but they have vast resources to aid a new company.

This year more than 320,000 new start-up and small business companies targeting to do business in Texas, will be lost due to the lack of adequate resources or funding.  Improving businesses’ access to vital resources which may aid in capital incentives will have a major positive impact on Texas and other states, and the United States economy.

SMALL COMMUNITIES

While small communities are struggling with the loss of both their population and tax base, the rural communities are in dire need of new industries.  Industries that will move in, provide jobs, support the tax base, and last but not least bring in new families for the community to grow. 

Its a crap shoot for most small towns. Most will have an Economic Development Corporation, one full time employee, supported with a highly qualified board of directors, but still can't seem to find that one magical company that will move in, provide jobs, and help build and support their community. What few Economic Development Corporations realize, they don't know how to target and start a new business for their size town.  They wouldn't know how to provide vast resources they may already have for a new company, even if they were chosen as a possible site.

Large companies normally don't ever consider moving into small communities.  So while most economic developers are looking to land the big company that will save the day economically, those company's could care less about moving into a small community. And if they did move there, your community, county or city, would have to give them the farm to land them there, and pay through the nose to keep them.  

There is a Better Way to find and attract New Industry! Let TCC help and advise you on all of these matters.