With nearly all net job growth in our country coming from companies less than five years old, Congress has debated this year what the role of government should be in developing programs and interventions that support entrepreneurship. While the World Bank’s Doing Business project reported a record number of new pro-entrepreneurship legal and regulatory reforms around the world in 2009, governments and multi-national institutions continue to be tempted to develop entrepreneurship development programs.
Legal and regulatory reforms clearly provide impetus for new business creation. For example, after accounting for differences in per capita income across nations, countries with easier and less expensive procedures for registering new businesses have higher rates of new business creation, according to an analysis of the World Bank Group Entrepreneurship Survey. However, there is less clear evidence as to which interventions or “programs” to equip potential entrepreneurs with the skills they need to start and grow successful companies work. At a time when it seems daily we report on this blog about new “SME programs”, there should rightfully be concern about whether government programs for “small business” or SME development help much. Too few entrepreneurship programs are developed from robust research and frequently conceived and run by people who have never been entrepreneurs. And, as the adage goes, sometimes more is less.
To read the full, original article click on this link: Assessing Skill Building Programs for Entrepreneurs - Entrepreneurship.org
Author: Jonathan Ortmans
