The Indiana Business Growth NetworkThe Indiana Business Growth Network

IEDA Spring Conference, Indianapolis

March 1, 2011

Scott Hutcheson, Assistant DirectorPurdue Center for Regional Development

Purdue Extension

Some of Purdue’s Business Some of Purdue’s Business Growth-Related EffortsGrowth-Related Efforts

• SBDC in North Central and Southeast Indiana• Sponsored Research• Prototype Network• Innovation & Product Development• Purdue TAP• New Ventures Team• Global Business Engagement• Certified Economic Gardening Team

Certified Economic Gardening TeamCertified Economic Gardening Team

• Purdue & SBDC professionals certified by the National Center for Economic Gardening

• Work with LEDOs to provide EG services to local “Second-Stage Companies

Understanding Business GrowthUnderstanding Business Growth

Stage 4 (500+ Employees)

Stage 3 (100-499 Employees)

Stage 2 (10-99 Employees)

Stage 1 (1-9 Employees)

Second-Stage BusinessesSecond-Stage Businesses

• Privately-held businesses• 10-99 employees • Revenue of $750,000 to $10 million• Dealing with growth issues instead of

survival issues• Intent and capacity to keep growing

Second Stage Firms in Indiana – 2008Second Stage Firms in Indiana – 2008

www.youreconomy.org

Second Stage Firms in Indiana – 2008Second Stage Firms in Indiana – 2008

www.youreconomy.org

Focusing on Business Growth is Something New

Business Attraction • Cheap land• Cheap labor• Cheap taxes• Cheap utilities

Business Growth• Information• Infrastructure• Networks

What “Information” Do Second What “Information” Do Second Stage Firms Need?Stage Firms Need?

• Help in articulating and realigning with their Core Business Strategy

• Market Intelligence to answer important questions

• Guidance on search engine optimization and effective use of social media

• Leadership & management team development to make sure people are slotted right

Example IBGN Projects• Analytical Test Laboratory needed

information about global competitors and ideas to attract more potential customers to their website

• Manufacturer needed list of potential customers that meet certain criteria including a commitment to sustainability

Economic Gardening StrategyEconomic Gardening Strategy

• Best implemented regionally

• Best when led by LEDOs

• Best when funded by LEDOs – average cost is about $3,500 per company

Getting StartedGetting Started

• Convene LEDOs in the region to meet with member of the EG Team

• Set goals (1 company, 10 companies?) and get funding commitment

• Market the service

How the EG Team Can HelpHow the EG Team Can Help

• As you gain support: Come talk with your LEDO group, your industry groups, etc.

• Provide you with a D&B listing of your 2nd-Stage Companies

• Accompany and coach you as you talk with firms about the program

For More InformationFor More InformationScott Hutcheson

Purdue Center for Regional DevelopmentPurdue Extension

Burton D. Morgan Center for Entrepreneurship1207 W. State Street, Room 227

765-494-7273 (office)765-479-7704 (mobile)

hutcheson@purdue.edu