In Recognition of Military Veterans Appreciation Month

The Department of Housing & Urban Development (HUD)

HUD Veterans Affinity Group

hosts Veterans Small Business Forum

‘Overcoming Barriers to Becoming a Successful Veteran Entrepreneur in the Federal Marketplace’

Keynote Speaker

Jennifer Carroll

Former Lieutenant Governor Florida

Naval Officer (Ret)

Monday, May 12, 2014

9 am – 1 pm

HUD Brooke – Mondale Auditorium

451 7th Street, S.W.

South Visitors Entrance

Washington, DC 20410

All are Welcomed to Attend

You Must Register not later than May 7th

If Participating by Phone

Send email to Keyvi.Boyer@gmail.com

(805) 399-1200

Code 877589#

(Call in lines will open up at 945 am following onsite reception)

Please be mindful to mute your phone using *6 when listening then you may press *6 again to unmute when you are speaking.  Thank You!

Each year since 1963, the president of the United States has issued a proclamation that calls for a National Small Business Week. The U.S. Small Business Administration (SBA) promotes National Small Business Week as a way to bring into the limelight the impact that outstanding entrepreneurs, small business owners and others have had on the nation’s economy. These men and women strive to grow small businesses, which in turn helps to create jobs, drive innovation, and increase the nation’s economic competitiveness.

For this year’s National Small Business Week, the SBA has planned several events that will take place across the country in order to engage the small business community and emphasize their importance to America’s economy. These events will include activities designed to engage attendees, including panels and forums that will discuss small business trends, networking events, award ceremonies and informational seminars.

The planned events are scheduled for the following cities:

May 12- San Francisco, CA:

This event will involve speakers from the small business, government, consumer and high-tech communities. The event will be held at Twitter’s headquarters and will include instruction on how to utilize social media to help drive your business growth. Click here for more information or to register for the San Francisco event.

May 13- Kansas City, MO:

This event will include networking opportunities, discussion panels and information sessions. It will be held at the Burns and McDonnell headquarters. Click here for more information or to register for the Kansas City event.

May 15- Boston, MA:

This event will include discussion panels, matchmaking sessions and information sessions. It will be held at the Microsoft New England R&D Center. Click here for more information or to register for the Boston event.

May 15- Washington DC:

This event will include networking sessions, discussion panels and guest speakers. It will be held at the U.S. Chamber of Commerce.

May 16- Washington DC:

This event will include an awards breakfast, networking sessions, resource expo, awards luncheon and information sessions. It will be held at the FHI360 Conference Center. Click here for more information or to register for either day of the Washington D.C. events.

Throughout National Small Business Week, there will also be webinars and other live-streamed events.  Interested individuals can register online at www.sba.gov/smallbusinessweek. For more information about National Small Business week visit the SBA’s website at www.sba.gov

VAMBOA: National Small Business Week May 12-16, 2014

How many Veteran entrepreneurs are looking for that next big product, revolutionary business model or improved production plan? Many great innovators often take little credit for the originality of their ideas. They often allege that idea already existed and was in practice elsewhere. And that all they did was take that idea and apply it to a new field. Veteran entrepreneurs might want to look into their past, at their military experience, in order to get ideas that could benefit their futures in business.

It is amazing how great business ideas are born. Many Veteran entrepreneurs have found success by taking practices, standards and ideologies from their military service and applying them to their civilian companies. One of the best examples of this can be found in the business plan of Veteran Entrepreneur Fred Smith.

Smith served three years as an officer in the Marine Corps, from 1966-1969. During his time as a platoon leader, company commander and Forward Air Controller, Smith flew with pilots in over 200 combat missions, low and slow, so that Smith could observe enemy targets. Aside from his Silver Star, Bronze Star and two Purple Hearts, Smith states that his two tours in Vietnam resulted in gaining invaluable knowledge that he later applied to what became the global courier service FedEx.

“Everything that went into FedEx that made the business what it is today relates to what I learned in the Marine Corps, and I’ve always been grateful for that education and for those I’ve served with,” Smith said.

Smith claims that his military experience gave him the foundation for the leadership standards and organizational structure for his company. Smith said that the leadership examples set for him in the Marine Corps prompted him to design a structure for his business, where the components of his company could all work collaboratively, but also function independently if need be. FedEx is famous for promoting from within and building leaders.

“The vast majority of FedEx leaders today started out as pickup or delivery people, or washing airplanes,” Smith said.

Smith also used lessons learned in the military when he revolutionized the industry of parcel delivery. Smith started Federal Express (would later become FedEx) in 1971. Using the example of efficiency that he saw in the military, Smith designed the well-coordinated air-ground operations delivery service that has made FedEx famous.

For any Veteran entrepreneur who is trying to dream up that next great idea, be sure that you remember your experiences in uniform. Because maybe your idea isn’t a dream– maybe it’s something you’ve done a thousand times before, in uniform.

Small businesses start with passion and ideas. But they need funding to get off the ground. The Small Business Administration (SBA) has been a primary resource used by Veterans and civilians for obtaining loans to fund their startups and existing businesses. While the SBA doesn’t directly loan money to business owners, the SBA does guarantee loans made by participating lending institutions.

The basic program utilized by the SBA for small businesses is the 7(a) loan. The 7(a) loan is the most utilized loan by the SBA because it can be used for a multitude of business purposes. Additionally, it is more easily approved, a plus for business owners who may otherwise have difficulties procuring loans directly from lenders. Small business owners, especially those who are just starting their companies, may not have the cash flow that independent lenders require. The SBA serves to provide lenders with an increased guarantee against a defaulted loan. The 7(a) loans are capped at a maximum of $2 million.

In an effort to promote entrepreneurship, the SBA has also taken the initiative to waive fees on smaller loans. On loans under $150,000 guaranteed through the SBA after October 1, 2013, the fees have been set at 0%.

The SBA recently announced that small business borrowers who have or will receive SBA 7(a) guaranteed loans of $150,000 or less during Fiscal Year 2014 (October 1, 2013 – September 30, 2014) will have saved more than $6.3 million. The SBA contends that this number includes fees that were eliminated on the agency’s smallest loans, including approximately $142,000 in savings to 179 borrowers in the Santa Ana, CA District.

The waived fees are part of the SBA’s initiative to make it more cost effective to originate smaller loans.  In addition to the fees that borrowers typically pay based on the amount guaranteed by the government, the ongoing monthly fee paid by SBA lenders will be eliminated for the entire life of 7(a) loans of $150,000 or less made while the initiative is in effect.

The SBA still includes fees on loans greater than $150, 000. On any loan greater than $150,000 with a maturity of one year or shorter, the fee is 0.25 % of the guaranteed portion of the loan. On loans with maturities of more than one year, the fee is 3% of the SBA-guaranteed portion on loans of $150,000 to $700,000, and 3.5 % on loans of more than $700,000. There is also an additional fee of 0.25 % on any guaranteed portion of more than $1 million.

The SBA believes that fees collected from larger loans are expected to offset any losses sustained from the smaller loans.

To participate in the 7(a) Loan Program, a lender must meet requirements that are indicated in the Code of Federal Regulations.

Active duty military, Veterans and any civilian interested in starting a small business should utilize the SBA’s website, www.sba.gov as a valuable resource.

In the military, new personnel are often trained by following the example of those who came before them. Competent corporals, sergeants and petty officers are usually paired with new privates, airmen and seaman to show them how things are done. Once these military members complete their service, they are often left to their own devices and forced to find their own way. Many new Veterans wish they had a mentor to show them how things are done in the civilian world. For Veterans wishing to venture into small business ownership, your experienced comrades are making themselves available to you–– to learn from their battle-hardened example in Veteran entrepreneurship.

Honor Courage Commitment (HCC) is a non-profit organization based out of Dallas, Texas that “recruits, educates, mentors, and guides high caliber military Veterans into becoming socially responsible entrepreneurs and community leaders.” HCC was started in 2011 and provides free training, education and mentorship for Veteran entrepreneurs.

HCC’s programs function with a focus on education, entrepreneurship, social responsibility through community service, health and fitness, and job placement. The organization partners with other entrepreneurs, organizations and companies to provide Veteran entrepreneurs with expert guidance and training for starting and running their own business.

Honor Courage Commitment was founded by Andrew Nguyen. Nguyen is a Veteran of the U.S. Marine Corps, where he was a staff sergeant. After his completion of active duty in 2006, Nguyen obtained a Bachelor’s degree in  Business Administration and Master’s degree in Entrepreneurship, before attending an entrepreneurship development program at the Massachusetts Institute of Technology (MIT). In 2008, Nguyen launched his own company, WSI Search, a digital marketing and web development firm.

Nguyen and his company found success, despite launching right at the start of a major economic downturn in the country. The former staff sergeant accredits much of his success to following the Navy and Marine Corps’ core values of “Honor, Courage and Commitment.”

According to the history portal on HCC’s website, Nguyen believes that, “America is fighting a domestic war called ‘unemployment,’ and HCC’s mission is to combat that war by creating veteran entrepreneurs who, through the growth of small businesses, will create more job opportunities.  More veteran entrepreneurs = more veteran friendly jobs = less veterans filing for unemployment benefits = less wasted tax dollars for America.”

The HCC organization recruits nationally. But Veterans who use this incubator (company who promotes entrepreneurial startups) can ultimately find themselves starting businesses or working jobs anywhere in the country.

Veterans interested in entrepreneurships should look into HCC as a possible resource. Veteran entrepreneurs are also encouraged to check out https://vamboa.org/