Clarkson center boosts small businesses

POTSDAM — The Clarkson University Entrepreneurship Center seems to be doing right by its clients.

Small businesses in the north country that take classes through the center make more money after the classes, and their survival rates are nearly double national averages, according to a recent study compiled by the university.

"Particularly given the challenges that the economy has given new businesses in recent years, we're proud of that," center Director Marc S. Compeau said.

The center this fall sent surveys to the 450 small businesses it has worked with for the past six years. It received about 125 responses.

Based on those responses, the two-year survival rate of small businesses in St. Lawrence County who have taken the center's "My Small Business 101" class is 85 percent. Nationally, fewer than 50 percent of small businesses stay open to celebrate their second anniversary, according to the federal Bureau of Labor Statistics.

They also are making more money than they had before taking the class, which aims to make business owners more confident, rather than teach them specific skills like accounting or marketing.

"The average entrepreneur saw a 2 to 16 percent increase in revenue after spending time with us," Mr. Compeau said. "But more important is the profit. You can make more money but spend more money. Profit is the real measure, and we saw a between 6 and 44 percent increase on the profit side."

Various kinds of businesses come to the center.

"It's really unique farmers; we worked with a gentleman who grows nothing but garlic," Mr. Compeau said. "I don't think we've ever had a dairy farmer. The traditional ones don't come to us."

However, the Entrepreneurship Center, which has been counseling businesses since 2004, does not seem to be having much of an impact on the unemployment rates in the county. Though most of the survey respondents said they were making more money, they do not seem to be hiring more workers. The businesses that come to the center average about two employees.

"Our employment rate has stayed steady, so we can't brag about any increase in employment, but we can at least say we haven't contributed to the unemployment," the director said.

The center recently received a $30,000 grant from the Fresh Sound Foundation to develop a "My Small Business 102" class, enhance its Web presence and offer more opportunities for the university's students to intern with its clients. Another center in Saranac Lake opened earlier this year and already has had overflowing courses. Both of its classes scheduled for January are already full, according to the center.

In the next few years, Clarkson plans to open three more, potentially in Syracuse, Rochester and Albany.