Job growth 25% higher among businesses assisted by ASBTDC
Arkansas Small Business and Technology Development Center
The small businesses assisted by the Arkansas Small Business and Technology Development Center (ASBTDC), headquartered at the University of Arkansas at Little Rock, are getting bigger, and they credit the center for helping them grow.
Employment growth for ASBTDC clients was聽25.2 percent higher than for the average Arkansas business last year. Businesses served by the ASBTDC network in 2017 added an average of聽1.7 jobs聽each in 2018, according to a recently released analysis of the program鈥檚 economic impact.
The study looked at how businesses assisted in the 2017 calendar year performed in 2018. Clients who received five or more hours of consulting were asked about sales and employment changes and financing obtained, as well as their opinion of ASBTDC services.
Businesses responding to the survey said they聽added聽1,757 jobs聽in 2018 and retained another聽912 existing jobs, thanks to the center鈥檚 assistance.
Sales growth was聽31.6 percent higher聽for client businesses compared to the average business in the state. Clients with established businesses saw an average sales increase of $231,671, while clients who started businesses recorded average sales of $159,422.
The study also found that the center helped businesses generate nearly $8.1 million in state tax revenues and $4.4 million in federal tax revenues last year. Clients generated a return on investment of聽$5.43聽for every dollar invested in the ASBTDC program, the study concluded.
鈥淪mall businesses in all industries across the state turn to us to help them achieve their goals,鈥� said聽Laura Fine, state director.聽 鈥淲e are here to help both startups and existing businesses plan effectively, obtain financing, and increase their sales. This study demonstrates the effectiveness of our services and the contributions our small business clients are making to Arkansas鈥� economy.鈥�
Dr. James J. Chrisman, an independent consultant, authored the study. Chrisman calculated changes in clients鈥� employment and sales data from the year they received assistance to the following year, then compared the results with the average changes for all Arkansas businesses during the same time period.
Unique among the state鈥檚 economic development organizations, ASBTDC services are available to businesses from any county in Arkansas, in any industry sector, at any stage of development. The program is funded by the University of Arkansas at Little Rock and six other state universities in partnership with the U.S. Small Business Administration.
