To most of us it is apparent the economic downturn is taking a toll on Kitsap businesses: more layoffs; less retail spending; more vacant storefronts and empty offices. But that isn’t the entire story.
There are more businesses operating today than there were a year ago, and new business license applications are soaring. What’s up?
The prevailing scenario is that some skilled folks who lost their jobs or were at risk of doing so went into business for themselves. The numbers are compelling. In just the past six months, more than 1,900 business licenses were issued by the four cities and the county, which is nearly a thousand more than during the same period a year ago. That’s more business start-ups than occurred during the entire year of 2001, 2002, or 2003. Add to that the untold number of home-based business entities that have not yet obtained local and state licenses, and the numbers get your attention.
This emerging trend begs some more questions: Will some of them hit the right niche in their marketplace at the right time, allowing them to emerge as future employers in Kitsap County? Probably. With such a rapid increase in new businesses during an uncertain economic climate that could last a long time, can we expect a high failure rate? Probably.
Can we do something to favorably impact those outcomes? We’d be fools not to try.
Many of those businesses are here because their founders live here. There is an incredible amount of talent that grew up on the Peninsula, or found its way here for the quality of life, a military assignment, a tourism visit that doesn’t want to end. Most often, these new businesses begin as self-employment; insufficient income to hire help right away. So the passion runs deep and the days run long. For the CEO-sales manager-assembler-shipping clerk-receptionist-janitor all-in-one, there isn’t enough time to even consider whether there’s help out there. Getting in some sleep is tough enough.
That’s when all the rest of us come into the picture. Business survival rates can be impacted by paying attention to the needs of commerce. Avoiding it makes our businesses the recruitment targets of other areas.
Creating the right business climate for some of these start-ups to succeed is a team sport. It takes workforce recruiters, trainers and educators. A successful office must soon move out of the extra bedroom, and will need affordable facilities for the next stage of growth.
Communication infrastructure must be robust. Tax rates should be fair and competitive. The ferries must operate. Housing is available. Crime is low. Amenities abound. Financing is available. They need it all, on demand, competitively priced, and with quality and choice.
Recognition of those needs and others resulted in Kitsap 20/20, an effort that has attracted dozens of volunteers from throughout the county. In some cases they have been working for months to advance some 20 initiatives to help the new start-ups and many other existing businesses remain competitive and grow here.
If you would like to get involved, go to our website at www.kitsapeda.org for more information about Kitsap 20/20.
If you are a new business and want could use some advice on what resources may be available to you, please contact us at 360-377-9499, or email stewart [at] kitsapeda [dot] org.
