Risk-takers lead small-business growth

Chamber President Jim Anderson knows why: “I think this area is made up of people who are not afraid to take a risk.”

Some of those risk-takers have found themselves in business after losing traditional jobs.

“The closure of Zenith (in 1991) and other periods of economic downturn forced people into new ways of thinking about their careers and work lives,” Anderson said.

Changes in the way society thinks of work create more risk-takers as well.

“The American lifestyle encourages people to strive to work for themselves, as opposed to the old model of working in the same position for the same company for 35 years,” Anderson said. “People want control over their own time and view it as their most precious commodity. This desire for control over time has led to more risk-taking in order to achieve it.”

Risk-takers dominate the chamber’s list of 2,000 members; historically, 80 percent are small businesses.

Entrepreneurs aren’t the only risk-takers helping small businesses thrive in the Ozarks.

With the U.S. Small Business Administration’s guarantee, a bank might take on a little more risk than it normally would, said Brent Jones, lender relations specialist, who has worked for SBA for 14 years.

“Our national policy is to induce a bank to make a loan they normally wouldn’t. With our guarantee, we try to overcome such things as start-up (costs), not enough collateral, things like that,” he said.

When SBA opened its Springfield branch office in 1980, it made 167 loans totaling $22.2 million, said Janice Bowman, economic development specialist. Ten years ago, the office made 530 loans totaling $67.6 million, and in 2004, 484 loans were made for a total of $96.4 million.

With many loans to fit the needs of various situations and types of businesses, there isn’t one particular type of loan that is most popular, Jones said.

“We’re kind of like snake oil salesmen,” he said, laughing. “If you have a legitimate business with a legitimate financing need, there’s a program somewhere for you.”

Need-based services

“The growth boom in the late 1980s and early 1990s, and continuing today, spurred entrepreneurs who responded to needs,” Anderson said.

“Examples are Robin Melton of Environmental Works, who saw the need for her services – hazardous waste management, brownfield restoration and more – and Jeff Russell of Russell Cellular,” he added.

In 2004, the Missouri Department of Economic Development referred to Springfield and southwest Missouri as “Missouri’s economic engine” for job creation and business activity.

“Springfield created 35 percent of all net new jobs in Missouri last year, while only comprising 7 percent of the state’s total work force,” Anderson said.

Advances in technology, he added, have helped pave the path to success for entrepreneurs.

“Where new business owners had to hire for positions in payroll, human resources and accounting, now those services are available to the energetic owner who can do it herself with software programs and online learning opportunities,” Anderson said.

Technology, Anderson said, will continue to invite the entrepreneurial spirit to the area in the future.

“That is one of the positive effects of the explosion or the rise of entrepreneurs and I think that will continue because of the rapid change that we’re dealing with,” he said.

Rapid growth in neighboring Christian County and the latest boom in Branson impacts Springfield in a big way, Anderson added.

“Work force development, I think, will become a real issue for many growing

communities like ours down the road,” Anderson said.

“Long term, I think the only answer is education.”

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