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http://www.bizjournals.com/washington/stories/2003/12/15/smallb1.html

Perfectly mismatched

In the Small Business Partnership, corporate mentors and Board of Trade members cultivate small businesses

Andrea James, Contributing Writer

The Greater Washington Board of Trade hopes to breathe new life into a past success by revamping a mentoring concept it first pioneered in 1996.

The Small Business Partnership, formerly known as the Community Business Partnership, kicked off in September with two parts: The first, Small Business Academy, gathers 15 small businesses leaders in classrooms twice a month to learn from BoT members who also offer individual sessions with the business leaders.

The other part of the program, the Small Business Alliance, is a two-year program designed to foster contracts between local businesses and large corporations.

"Our goal is to introduce them to the network that the larger business has, with the intent that the larger business will purchase their goods and services," says partnership manager Lindsay Godwin. "A lot of these small businesses normally wouldn't be able to get into meetings with these people because a lot of purchases are done at the national level."

First Success

Relationships made through the Small Business Partnership's predecessor were responsible for $18 million in revenue for participating small companies, says Don Graves, a member of the Small Business Partnership steering committee. And while the latest incarnation of this fraternal network is too fresh to yield significant results, the alliance, which has 15 small businesses as members, already is being credited with one success.

Clark Construction's community relations officer, Alice Patterson, who is on the Small Business Partnership's steering committee, inked a contract with alliance member Punch Out Specialist Team to build a 180-foot covered walkway at a K Street NW building site. Despite the partnership, POST President Alvin Smith had to bid on the contract just like other companies. D.C.-based POST had the lowest bid.

"We went out there with nail guns, ladders, safety ropes, safety harnesses and banged that thing out like it was never banged out before," Smith says, adding, "It was a great opportunity for us to get our foot in the door and show them that just because we are minority, we aren't inferior."

Galliher and Huguely Associates, another one of the 15 small businesses in the alliance, also played a role in POST getting its deal. President Geoff Huguely gave Smith about $5,000 in materials for the Clark job on credit.

"My father was a very benevolent man. I guess I'm somewhat like him," Huguely says. "The older generation -- your word is your bond, and a handshake is good enough for me.

"That doesn't mean I'm going to extend credit to everybody on their word and a handshake, either."

Huguely's grandfather started Galliher and Huguely (www.galliher-huguely.com) in 1912. He's got great hopes for small businesses in the new BoT program.

"I think it's very important that we try to keep things at home," he says. "For those of us who are committed to the District of Columbia, I think it's a breath of fresh air."

What's in it for the big guys?

There's clearly a lot to be gained by the small business owners. But why get involved if you've already made it?

"They think that the D.C. [businesses] do provide shareholder value because they create stronger business partners which in turn create stronger communities," says Don Graves, Small Business Partnership steering committee member.

The goal isn't necessarily to make small businesses into big businesses, but to foster stability, says Graves, who also is executive director of the National Coalition of BusinessLinc, which is partnering with the BoT on the project.

"We don't need to see the Microsofts of tomorrow," he says, "but every community needs a wide range of successful businesses to have a viable economy."

It's also a way for larger businesses to try out small business partners with minimized risk. Businesses in the alliance have the BoT stamp of approval; they have to pass rigorous criteria to be a part of the program. Besides being based in the area, companies must be at least five years old and have $500,000 in annual sales for three consecutive years. They also have to provide three years of audited financial statements, and prove they have full insurance coverage and no tax liability.

"We don't want a company to come into it meaning well, but unable to provide goods and services to the businesses we recommend them, too," Godwin says.

Greater Washington as Leader and Follower

Although funded by the BoT, the Small Business Partnership is affiliated with BusinessLinc, a nationwide program run by the Business Roundtable. There are 19 similar BusinessLinc (www.business-linc.org) programs nationwide, and when the Business Roundtable went to start a BusinessLinc in D.C., officials realized the BoT (www.bot.org) essentially was running the program already.

Now, D.C. is starting again. And sometimes it's slow going. D.C.-based alliance member Cater First has yet to be partnered with a larger company.

But for the most part so far, the participants are satisfied.

"I think the program is wonderful because it gives smaller businesses like ourselves the chance to become a part of the renaissance that this city is going through," Huguely says. "I think that the intentions of everybody involved in the program are the same. We want to be a part of what's going on in the nation's capital."

E-mail: ajames@bizjournals.com Phone: 703/816-0329

 

 

 

 

 

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