Program Outcomes
Massachusetts has been an innovator and leader in the provision of
entrepreneurial training to dislocated workers. To date these programs have
graduated more than 2,500 clients statewide of which approximately 95% have
either opened new businesses or have successfully found jobs with other
employers. Of those who have started businesses, approximately 75% have been
operating continuously for two years or longer. At least 30% of these businesses
have hired additional employees, creating an average of 1.8 new jobs for each
entrepreneur. In addition to wages paid, these businesses buy goods and services
from other businesses, thereby pumping dollars into their local and regional
economies. As a result, it is estimated that the impact on the Massachusetts
economy as a whole has been in excess of 2.5 million dollars annually.
According to the U.S. Small Business Administration (SBA) more than 50% of
new businesses fail within the first year and 95% fail within the first 5 years.
Our success rate with sustaining and growing new businesses, which greatly
exceeds this national average, shows that the comprehensive training and
technical assistance provided in the program gives new business owners a
powerful advantage over their untrained counterparts.
Even those who decide not to start a business benefit significantly from
skills gained in the program. Our follow up surveys indicate that 83% of those
who found jobs following the program had wages at least as high or higher than
their pre layoff wage. This figure includes many laid off workers who had
considerable barriers to re employment including declining industry experience
and lack of marketable skills. In general, 87% of program graduates, whether
business owners or employees, indicated a very high level of job satisfaction.
This program is now offered through the Massachusetts One Stop Career Center
system. The intention is to promote local and regional partnerships to extend
the program’s capacity without requiring additional funds. Other goals include:
- Goal #1: establishing a state-wide system of providers committed to
the development of quality and excellence in entrepreneurial training and the
provision of a consistent product in all locations
- Goal #2: building the capacity of organizations to deliver services
that will more effectively encourage entrepreneurship and sustained business
growth
- Goal #3: encouraging collaboration among all groups in a community
providing small business development and dislocated worker services including
the One Stop Career Centers
- Goal #4: improving and enhancing the link between workforce and
economic development initiatives and entities including efforts overseen at
the State level by the Division of Career Services (DCS), the Department of
Workforce Development (DWD) and the Department of Business and Technology (DBT).
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