HomeMy WebLinkAbout2024-09-24; Economic Development Subcommittee; 03; Small Business Liaison Program UpdateMeeting Date:Sept. 24, 2024
To: Economic Development Subcommittee
From: Matt Sanford, Economic Development Director
Staff Contact: Matt Sanford, Economic Development Director
matt.sanford@carlsbadca.gov, 442-339-5987
Subject: Small Business Liaison Program Update
Recommended Action
Receive an informational report on the implementation of the Small Business Liaison (SBL) Program,
discuss and provide recommendations.
Executive Summary
The first pillar of the City of Carlsbad’s Economic Development Strategic Plan emphasizes the
support of small businesses, startups, and entrepreneurs. Significant progress has been made
toward this objective through the development of targeted programs and the implementation of
strategic initiatives. As part of the strategic actions approved by the City Council for the fiscal year
2024-25 during the annual budget process, the establishment of the SBL Program was prioritized.
Originally slated for fiscal year 2025-26, the SBL Program was fast-tracked at the recommendation
of the Economic Development Subcommittee to fiscal year 2024-25. This decision was influenced
by feedback from the small business community, indicating a need for enhanced support services
and access to resources. The program will feature a dedicated staff liaison and the development of
comprehensive elements to provide tailored resources and assistance to Carlsbad’s small
businesses.
This report outlines the progress made in developing the SBL Program and provides an opportunity
for input and feedback from subcommittee members prior to its implementation.
Explanation and Analysis
Definition of Small Businesses
The Small Business Administration (SBA) defines a small business as an entity with fewer than 1,500
employees and less than $41.5 million in annual revenue, though the definition varies by industry.
In Carlsbad, this definition would capture 99% of all businesses, so a different threshold is more
appropriate.
ECONOMIC DEVELOPMENT SUBCOMMITTEE
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The City of Carlsbad’s business license data shows that 85% of businesses in the local economy have
fewer than 10 employees, with more than 5,200 employing five or fewer workers. To support this
significant portion of the business community, the SBL Program is designed to assist Carlsbad
businesses with approximately 10 or fewer employees.
Program Overview
Small business support programs in other cities, such as San Diego's Small Business Enhancement
Program, San Jose’s Small Business Liaison, and Long Beach's BizCare Program, have demonstrated
the value of providing tailored resources and a dedicated liaison for small businesses. These
initiatives have seen positive outcomes, including increased business retention, small business
survivability, and streamlined access to services.
Carlsbad’s SBL Program will support the growth and sustainability of small businesses, which make
up the vast majority of Carlsbad’s business community. It focuses on two primary areas of support.
1. Individualized business assistance through a dedicated staff member, serving as a single
point of contact for business owners. This liaison will help businesses navigate city processes
and connect them with essential resources.
2. A comprehensive digital resource hub, providing businesses with easy access to information
and tools such as funding opportunities and training resources, enabling them to acquire
relevant knowledge independently.
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By simplifying city processes, providing direct access to resources, and improving communication,
the SBL Program will align with the city’s organizational and economic development goals,
strengthening Carlsbad’s small business community.
This program, outlined in the Economic Development Strategic Plan, also supports the City Council's
commitment to fostering a business-friendly environment.
Direct Small Business Support
Program staff will act as a bridge between small businesses, city staff, and external resource
providers. While assisting businesses with city processes, staff will offer personalized guidance,
ensuring each business receives the specific help it needs. Recognizing that many small business
resources come from external partners—such as chambers, trade organizations, and financing
groups—staff will also facilitate connections to these organizations, mentors, and consulting
services.
Staff will host workshops featuring representatives from city departments to provide small
businesses with firsthand knowledge of how to navigate applicable city processes. These sessions
will encourage collaboration and knowledge-sharing between city departments and the small
business community.
Strengthening partnerships between small businesses and external organizations will also be a key
focus. By working with local and regional business organizations and industry associations, staff will
create a network of support, providing Carlsbad small businesses with access to a wider range of
resources and growth opportunities.
Digital Resource Hub Development
If SBL program staff were to work with a new small business every day, they could assist roughly 5%
of the total small businesses in the city annually. Therefore, a programmatic approach is necessary
to support the entire small business ecosystem.
The second initiative for the SBL Program is the development of a user-friendly Digital Resource
Hub, a central library of resources, tools, and guidance. The hub will clarify city processes, enhance
communication, and create an efficient way for businesses to access support.
To ensure the hub meets the needs of businesses, staff have cataloged existing resources from city
departments, gathered insights from business-facing staff, and consulted small business owners
and external stakeholders to address common challenges. The goal is to equip small businesses
with the tools and knowledge to independently access resources that improve their operations and
competitiveness.
This will be featured as a "Small Business Hub" page on the city’s website and will serve as a one-
stop shop for information. Included digital tools will provide insights into market analysis and best
practices for small businesses in various industries. The hub will also promote awareness of grants
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and loans from federal, state, and local organizations to ensure businesses are informed of all
available funding opportunities.
Staff will ensure the digital hub is regularly updated to provide a reliable and ongoing source of
support for the small business community.
Program Implementation Timeline
Since the start of the fiscal year, staff have focused on gathering information to establish a strong
foundation for the SBL Program. This phase involved defining the program’s structure, clarifying
roles and responsibilities, and evaluating tools to convey information to businesses. A
comprehensive outreach plan has also been developed to ensure effective communication with
local business associations, educational organizations, and internal departments.
The next phase, expected to take three to four months, will focus on developing the online
resource hub, launching initial workshops and webinars, and beginning direct support for
businesses.
Full implementation, including all resources discussed, is projected to begin in January or February
2025.
Outreach and Communication Strategy
A comprehensive approach to outreach and communication will be implemented to ensure that
Carlsbad small businesses are aware of the resources offered by the SBL Program. This strategy will
include email newsletters, presentations and materials to the Carlsbad Chamber of Commerce and
Carlsbad Village Association, along with targeted social media campaigns, and participation in
business-related community events.
Program Evaluation
To measure the success of the SBL Program, staff will monitor several key metrics. A baseline will be
established by the end of the fiscal year, allowing for a comprehensive evaluation of the program’s
impact and informing future efforts.
Finally, as staff engage directly with businesses, they will gather feedback to help improve internal
collaboration and develop best practices for business support. Staff will also track and share success
stories from Carlsbad small businesses that benefit from the program.
Fiscal Analysis
This action has no financial impact.
Next Steps
Staff will incorporate feedback from subcommittee members and begin implementation of the SBL
Program.
Exhibits
None
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