Small-Business Center Looking for New Host
The small-business development center contract that was left up for grabs after UC Irvine closed its Accelerate program is now attracting interest from several groups in Orange County.
Early next month, the state Trade and Commerce Agency plans to begin accepting proposals for a new center, which will receive approximately $300,000 in annual funding from the state and the federal Small Business Administration. California has 42 of these centers, which provide early-stage companies with services such as management advice and links to investors and financing sources.
Such programs are considered important to the local economy because they help stimulate new business formation and the development of fast-growth firms. “We support an industrial base that provides the jobs for Orange County,” said Sandy Sutton, the SBA’s acting regional director.
Although these development centers receive the bulk of their funding from the state and federal government, they are required to have a host organization that provides additional funding and office space, and operates the program.
Cal State Fullerton, the city of Anaheim, and the Orange County Business Council say they might submit proposals for a new center. Chapman University is also considering a bid, but officials say they’re waiting to see what the government requirements will be.
UCI pulled the plug on Accelerate last December after operating it for about eight years as an adjunct to the university’s business school. UCI said it closed the center because of a possible gap in government funding and a desire for a broader effort linking the university to the business community.
But it was also well known that UCI had been unhappy with the management of Accelerate under former director Tiffany Haugen, and wanted a program that was more closely aligned with university functions.
The decision to close has sparked an ongoing discussion in county business circles over the best means to support and encourage the growth of entrepreneurial firms.
