Annual Report 2018 1

Funded in part through a cooperative agreement with the

U.S. Small Business Administration

POWERED BY

A Snapshot of Nevada Small Business

2018 ANNUAL REPORT NEVADA SBDC

2 Nevada SBDC

The Nevada SBDC is a vibrant network of 15 offices deliberately placed in an effort to ensure that every resident in the state has access to business expertise and education. Over the Nevada SBDC’s 33 year history, our network continues to collaborate with various partners who help us promote and facilitate sustainable economic prosperity across Nevada. As we move forward

in 2019, our goal is to create innovative ways to help our clients navigate business growth through integrative educational tools and consistent, exceptional business advising.

A top focus in 2018 was the expansion of Hispanic services in the North and South. Through funding from Bank of Nevada, we were able to offer NxLevel for Micro-Entrepreneurs en Español in Reno and build outreach in the South with extensive Spanish business education programs. We are proud of our continued support of rural business development through supplemental Community Develop-ment Block Grant funding. These funds allowed us to create new partnerships and bring educational training tools to small businesses in our hard-to-reach Nevada areas.

The Nevada SBDC continues to offer a variety of services that in-clude assistance with business start-up, financing, legal formation, business plans, research, and import/export to name a few. The impact that our services have on the state are tracked, document-ed and validated through client attestation. The over $49 million in capital funding we helped our clients receive last year is a monu-ment to the professional support system we have implemented.

We appreciate the support of our host organizations, which include institutions of higher education, economic development organiza-tions, and chambers of commerce. Our community contributors and funding partners are vital to the success and strength of the Nevada SBDC. We are proud to bring you our updated annual ac-complishments in this report and encourage you to read about our economic contributions and client successes.

Let us be your first call to grow your business. Call us at 800.240.7094, visit our main website at www.nevadasbdc.org or drop by one of our offices. We look forward to engaging you in our efforts to enhance Nevada’s small businesses.

Sam Males State Director, Nevada SBDC

The Nevada Small Business

Development Center

Investing in Nevada Small

Business

The Nevada SBDC is your first call to grow your business! Through its 15-office statewide network, this economic and community development collaborative is one of a national network of over 1000 centers funded by the U.S. Small Business Administration and leveraged with community partners and educational institutions, including the University of Nevada, Reno and the University of Nevada, Las Vegas.

The Nevada SBDC is the boots (cowboy preferred) on the ground for assistance with business start-up and expansion. The Nevada SBDC plays a critical role in the health of small businesses: helping access capital, providing advice on regulations, and preparing for changes in economy and technology through one-to-one business advising and training. Additionally, the Nevada SBDC provides entrepreneurs and small businesses with support for innovation, marketing strategies, and in-depth market analyses and demographic information. Since 2003, the Nevada SBDC has helped create more than $392.8 million in capital funding (loans and equity) throughout Nevada.

Annual Report 2018 3

MISSION:The Nevada Small Business Development Center

works to promote and facilitate sustainable economic prosperity across Nevada through

business and community development.

Established in 1985, the Nevada SBDC provides a wide variety of technical assistance to businesses in an effort to increase startup business success and allow for a greater economic impact within the state. Over its 33 year history, the organization has grown to 15 statewide offices. Funded primarily through the multiple centers of higher education within the state, local partners, as well as the US Small Business Administration, the Nevada SBDC is able to provide its services at no cost to its clients.

Nevada SBDC services include assistance with business start-up, legal formation, acquiring financing, creating business plans, marketing plans, financial projections, research, website creation, importing/exporting, customer service and social media training. In addition to the counseling topics listed above, Nevada SBDC counselors also facilitate networking opportunities amongst business owners, connect buyers with suppliers, match businesses with complimenting services, and act as a professional support system for clients.

IMPACT STATS

2018 Economic Impact

IMPACT STATS

Total clients counseled:

1,574

377

Total jobs created/retained:

Newbusiness starts:

156

Total capital (loans & equity)

$49,015,305

Trainingattendees:

1,418

Training Events:

235

Source: Economic Impact/Capital Infusion scorecard for 10/1/17 – 9/30/18

4 Nevada SBDC

Vegas Healthcare Concierge has operated in the Las Vegas area for the

past two years offering family primary care, aesthetic services and specialized house-calls. “My patients are known, they are my top focus, and they are the center of every plan-of-care decision I make,” says Catherine

Lorentz, Nurse Practitioner and owner of Vegas Healthcare Concierge. As a disruptive new business providing individualized, elite adult and pediatric care for all financial situations, Vegas Healthcare

Concierge had no problem turning a profit within the first few months. But while their patient-focused service began to gain momentum, the particulars of maintaining a business became increasingly challenging. Licensing, payroll, and confusing tax laws were obstacles for the newly formed family-medicine practice - but not for Nevada SBDC counselor Hank Pinto.

Hank, who is located at the Urban Chamber of Commerce, was “a simple call, text, or email away,” said Lorentz. “The Nevada SBDC provided all of the assistance needed without any cost to the business. We recommend [the] SBDC to anyone interested in starting a business.”

The Nevada SBDC at the Urban Chamber of Commerce

The Nevada SBDC has been a proud partner with the Urban Chamber of Commerce since 2011. The Urban Chamber of Commerce, located at 1951 Stella Lake Street in North Las Vegas, leads businesses to compete in an ever-changing global economy through education, access and opportunities.

The Urban Chamber of Commerce is a perfect partner for the Nevada SBDC as it houses critical small business support services providing an environment of success and professional engagement. The Nevada SBDC has four business advisors from University of Nevada system partners working at the UCC center who are available on an appointment basis. These advisors specialize in start-up basics, cash flow, planning, social media and marketing, and Hispanic outreach and development.

The unique vision of the chamber inspires to create an innovative entrepreneurial space that promotes economic development for local and global businesses. The chamber also hosts SCORE, the Nevada Governor’s Office of Economic Development Procurement Technical Assistance Center (PTAC), and Accion, a micro-lender for small businesses. Partners and chamber members

leverage skills and resources to enhance business counseling and training at the Urban Chamber. For, example, Bank of Nevada has sponsored numerous NxLeveL (Nevada SBDC’s cornerstone training program) class series with dozens of graduates over the years.

In 2018, the Urban Chamber in collaboration with the Nevada SBDC offered over 25 training programs to 485 attendees. Committed to small businesses in Las Vegas, this partnership helped open 35 businesses in 2018, supporting 87 new and retained jobs. Business advisors helped secure 32 loans with over $2.2million in capital funding for UCC clients.

“The Urban Chamber provides Nevada small businesses with the education, advocacy, and location to be successful. At the end of the day, if we can help small businesses grow, then they are in a position to hire people, put valuable resources in our community, and participate in the political process. The Urban Chamber builds businesses to BUILD our community.”—Ken Evans, President, Urban Chamber of Commerce.

The Nevada SBDC at the Urban Chamber of Commerce can be contacted at (800) 240-7094 or by visiting our website at www.nevadasbdc.org.

Nevada SBDC Center Highlight

Client Success StoryVegas Healthcare ConciergeCatherine Lorentz, APRN, MSN, FNP-BC

Annual Report 2018 5

Nevada’s Unique Business Landscape

Much like the veins of silver and gold that run through our rocky hillsides, the energy to pursue new ideas and take advantage of new opportunities runs through our people. This entrepreneurial spirit has shaped much of our state’s history—and continues to shape small business in our state.

Despite being home to some of the world’s largest enter-tainment companies, 99% of Nevada businesses qualify as small businesses (<500 employees). This means that there are opportunities for business creation and growth across all industries. As such, the Nevada Small Busi-ness Development Center faces unique challenges and opportu-nities in serving our clients and our communities.

Unique IndustriesWith our unique combination of natural resources, open spaces and low population density, there are several industries that thrive here. Mining, manufac-turing and logistics are some of Nevada’s top industries, in terms of growth and specializa-tion. We offer more jobs in these sectors than most other places in the US.

Mining: We worked with a small business that creates custom fabrication components for mining companies, to facilitate their unique processes.

Manufacturing: In 2018, we worked with a small business who was designing training programs to help veterans transition their skill set into Nevada’s manufacturing industry.

Logistics/Transportation: We worked with a long-time truck driving professional to launch his own consulting firm to increase truck driver safety and regulatory compliance, saving trucking companies time and money.

Emerging OpportunitiesMacro trends within our state’s population converge with new technologies and business ideas to open the door to exciting opportunities for small business.

Health and beauty businesses: As consumers are worrying more about self-care and wellness, they are looking for businesses to meet those needs. This de-mand as well as the expected continued population growth in Nevada means health-related businesses continue to grow in Nevada.

Drones in Nevada: Currently, there are only seven states eligible to hold test flights for drones – and Nevada is one of them. This gives Nevada a unique opportunity to build

expertise in this sector. We have seen drone delivery systems companies and support technology com-panies hit the scene and we look forward to more as drone technology is proven and adopted.

Increase of sales and acquisitions: As the state’s demographics shift and “baby boomers” prepare for retirement, we are seeing more business sales and acquisitions. Successful businesses are changing hands as new entrepreneurs emerge to take on busi-ness challenges.

Take a look at Nevada and you will see that the entrepre-neurial spirit of our pioneers is alive and well today, driv-ing one-of-a-kind business ventures in Nevada. And you don’t have to look very hard to see that same entrepre-neurial spirit running through the Nevada Small Business Development Center: it’s in the twinkle of an intern’s eye as they get to dive into a new industry, in the voices of seasoned professionals exclaiming over new ways to use old space, and in the energy buzzing through the office when we face never-before-seen ideas from clients.

6 Nevada SBDC

Special Programs Portfolio

Made in NevadaIn 2015, the Nevada SBDC became host to Made in Nevada, an organization, which celebrates, promotes and connects Nevada based businesses. Think of Made in Nevada as the president of the Nevada Business

Fan Club. Made in Nevada acts as one strong, focused, unified voice—shouting praise for all Nevada businesses! We have created channels that help us get the word out about what makes Nevada businesses remarkable. If you’re a Nevada business, you’re Made in Nevada material! For more information on membership, visit www.madeinnevada.org. Cheers to connecting and celebrating the legacy of those who choose to do business in the Silver State.

Center for Regional StudiesNevada SBDC’s CRS provides mapping and analytical services involving demographic and economic data to banks, property owners, housing developers, commercial brokers, title companies, consultants, engineering firms, Nevada SBDC clients and SCORE clients.

Business Planning TrainingNxLeveL, Nevada SBDC’s cornerstone training program, is a 15-week course that helps entrepreneurs work on their new and existing businesses. The course prepares attendees to thoroughly investigate business concepts and acquire the skills and knowledge necessary to write a business plan. Introduced in 2000, over 4,000 Nevadans have participated in this training program from over 24 locations. After 19 years, NxLeveL remains relevant to Nevadans looking to spend time in a learning environment, with like-minded business owners, planning through research that provides invaluable applied knowledge to use immediately.

Environmental and Energy AssistanceHoused by NVEnergy in Reno, Nevada SBDC’s Business Environmental Program provides environmental and energy management assistance for Nevada’s businesses and government entities. The technical assistance is confidential and non-regulatory.

Hispanic OutreachIn partnership with the U.S. SBA and Wells Fargo, Ne-vada SBDC provides business counseling and training in Spanish for the growing Hispanic population. Hun-dreds of Hispanic business owners sign up for our one-on-one counseling that is provided in Spanish in both Las Vegas and Reno. In 2018, we provided training to over 850 attendees and 365 Hispanic small business counseling clients. Our Hispanic outreach helped start 52 business, creating 199 jobs and over $3.7 million in capital funding.America’s SBDCs

starts a new business every…

3 1MINUTES

America’s SBDCs provides a

$2:1 ROIin Federal Tax Revenue

Annual Report 2018 7

156 Business StartsThe Nevada SBDC has seen a steady increase in the number of businesses started by clients. With apositive economic outlook for the Silver State, it is believed that this trend will continue.

Rural Business Snapshot

Fallon Small Business Development Center The Fallon SBDC, located at the Churchill Econom-

ic Development Authority (CEDA) in Fallon, Nevada strives to attract, retain and assist in the development of small businesses in the oasis of Nevada. Over the last nine years the Fallon SBDC has assisted over 122 new businesses, leading to capital investment of $6,728,698 into the area’s economy while creating and retaining 235 jobs. The Fallon SBDC helps clients maneuver around the obstacles that they may face when making their dream of becoming a small busi-ness owner come true in our rural setting. A few of the areas we assist in are:

n Compliance with all local, state, and federal licensing and permitting requirements

n Locate funding sources appropriate for their needsn Work through the business plan processn Access to multiple small business training eventsn One-on-one agricultural counseling

Supplementing SBA funding, contributions from public and private sector partners allow services to be provided to clients at no charge to them year-round.

“Churchill Economic Development Authority (CEDA) is the local authority that attracts, retains, and develops business and industry to benefit the City of Fallon and Churchill County. Hosting the SBDC serves CEDA’s mission by providing access to resources offered through the greater SBDC network, not necessarily always readily available or easily accessible in a rural setting. Any advantage a small business in a rural com-munity can be given to address the challenges presented by that setting is an opportunity for growth regardless of scale.”

—Nathan Strong, Executive Director, Churchill Economic Development Authority

Fallon Client Highlight

Twisted Branch Fallon, NV Twisted Branch is a small specialty bou-tique that specializes in wine, gifts, decor and antiques. Megan Par-rish-Chenoweth, mother of two and independent business owner, has worked hard to find a niche in the quaint community of Fallon, NV. Megan sought out services with the Fallon Small Busi-ness Development Center at the early stages of her journey to open her store. The Fallon SBDC was able to connect her to Nevada Legal Ser-vices to assist her in acquiring the appropriate licenses for her business. As a proponent of other small local businesses, the Twisted Branch supports local products including locally distilled spirits and wine, and sells the work of many local artists and artisans. Already working on expan-sion, this small business continues to “branch out” and has plans to grow in its specialty bar and events. Source: Outreach Systems, Neoserra CRM Nevada SBDC 09302018

8 Nevada SBDC

Looking at Nevada Businesses through a Student Lens

For over 30 years, Nevada SBDC has provided college students with business development experience and business owners with valuable, youthful perspectives through its internship program. Through the program, interns are recruited through local universities and community colleges and subsequently trained on the basics of advising small businesses. As the interns ease into their roles, experienced business advisors assign them client work based on their educational in-terests and abilities. As interns further mature, they see themselves providing meaningful business insights that are augmented with an ongoing education. By the time interns graduate, they have gained meaningful work experience and assisted a multitude of Nevada SBDC clients in starting or growing their businesses.

Many students have positive internship experiences, and go on to find jobs through the skills they learned at the Nevada SBDC. Working at the Nevada SBDC helped to prepare intern Jas-mine Alicea for her future professional career. Jasmine said working with real business own-ers to turn their visions into logos, business cards, and other marketing collateral helped her to improve her communicative and illustra-tive skills. Her SBDC experience also helped her to delve further into design programs, color theory, and typography. Jasmine’s work ethic and work experience gave her a leg up on other graphic design students coming out of school, and as a result, she quickly found a job as a toy designer for a product development firm where she has designed merchandise for brands such as Marvel, Pixar, Universal, and the NFL.

Ydain Rodriguez is a current intern with the Nevada SBDC and is pursuing a bachelor’s degree at the Uni-versity of Nevada, Las Vegas. Ydain says his experi-ence with the Nevada SBDC has helped him apply his formal education to the real world. An example of this was when a client came to the SBDC with improperly filed taxes. Ydain and the SBDC counselor were able to shed light on the client’s filing issues and educate him on how he could legally minimize his tax burden. This was an ideal work experience for Ydain as he is looking to work in the accounting industry after he graduates.

Not every day of an SBDC internship is as perfect as Ydain’s, but being exposed to a variety of clients provides an unmatched breadth of opportunity that al-lows students to discover their passion. Being involved in day-to-day counseling gives interns and graduate assistants a chance to acquire on-the-job training and knowledge, develop their soft skills, and gain insight into different career paths. The unique structure of this internship allows students to affect a positive economic impact while developing their professional skill-sets, ensuring they are prepared for future opportunities in any given field.

Working at the NSBDC helped give me a nec-essary head start as a graphic designer since it helped me improve my communicative and illus-trative skills.

—Jasmine Alicea

Annual Report 2018 9

Gross Domestic Product

$170.3B (+4.1%)

Source: Bureau of Economic Analysis,3Q 2018

Unemployment Rate

4.4% vs 4.0% NEVADA U.S.

Source: NV Department of Employment, Training & Rehabilitation, Research & Analysis Bureau, January 2019 (seasonally adjusted)

Nevada’s Population 3,034,392Ranked 1st in % change in U.S.

2.19% change in population

414 persons moving to NV each day (2017)

Source: 2018 Census Bureau0% 10% 20% 30% 40%Source: 2012 Economic Census

Female Hispanic African-American Asian Minority Veteran

Business Ownership by Demographic

45,200 New Jobs(+3.4%)

2,449,000 New Jobs(+1.7%)

44,800 Private Jobs Source: NV Department of Employment, Training &

Rehabilitation, Research & Analysis Bureau, Current Employment Statistics (CES) data for 2018

0-19 20-99 100-499 500+

9,00211.2%

Number of Establishments

Percent of All Establishments

Establishments Size by Employees

Nevada Establishments by Employees

Source: Nevada Department of Employment, Training & Rehabilitation, Research & Analysis Bureau. Nevada

Employment and Payrolls report. 2Q 2018.

69,68786.7%

1,5011.9%

2170.3%

Nevada’s Demographic Profile

10 Nevada SBDC

Working with all levels of small business owners provides the Nevada SBDC endless opportunities to assist. While our primary goal is to get the clients to engage in one-on-one counseling sessions, we also invite them into a classroom setting. We offer training versus

education, the difference being an applied as opposed to academic learning environment. This setting offers clients the opportunity to learn real-world small business tools they can use immediately.

Business owners don’t have time to waste. They assess their needs and seek resources and tools to improve and grow. For example, our Start Smart 3-hour workshop is designed for beginners throughout Nevada. What are the first steps, who/what are the resources, is the idea feasible and what licenses are needed? These are just a few learning objectives in this highly popular workshop where everyone leaves with action items.

Some businesses struggle with marketing, financial documents and understanding funding needs and options. The Nevada SBDC’s training program doesn’t necessarily target a specific industry because the fundamental issues of owning a business are relevant to all. Focusing on the four pillars of business ownership allows our events to provide substance to all who are

self-employed and include topics that address these pillars: administration, operations, finance and marketing.

It is impossible for small business owners to wear each hat to perfection. Entrepreneurs should know their strengths and learn when it might be best to outsource. Growing a business at the right pace depends on knowing the difference between working in the business vs. working on the business. The Nevada SBDC will help small businesses throughout the startup and growth periods, because that is what we do best.

Visit the Nevada SBDC training calendar at https://nevadasbdc.org/events/.

Nevada SBDC Training Program Helps You Work ON the Business

Spoon-a-BowlLas Vegas, NV

Las Vegas company Spoon-a-Bowl was founded on providing a healthy frozen dessert alternative with all-natural, homemade frozen yogurt and ice cream, but while a business may have a great idea, getting that idea off the ground can seem next to impossible. Finding capital, finalizing financial projections, and developing an operations plan were daunting challenges for the young start-up, until they contacted Nevada SBDC counselor Andrew Allison.

After attending a Nevada SBDC training class in mid-2018, Spoon-a-Bowl owners Jonathan and Ashley were able to receive one-on-one guidance from Andrew, and launched their business a few months afterwards. “Thanks to Andy’s guidance, we were able to secure an SBA loan from Nevada State Bank,” says Jonathan. “We are currently operating and couldn’t be more grateful for the guidance and patience of the folks at the SBDC.”

Client Success Story

America’s SBDCs helps create a new job every

5.5 minutes

Annual Report 2018 11

For the fiscal year of 2018, the Nevada SBDC helped clients to invest over $49 million into their businesses. Compared to a little over $2 million spent by the organization around the state, for every $1 the Nevada SBDC spends on staff and programming, over $24 was raised for capital funding.

$24 in Capital Raised for Businesses for every $1 spent by Nevada SBDC

Primary Funding Sources • U.S. Small Business Administration • University of Nevada, Reno • University of Nevada, Las Vegas • Nevada Division of Environmental Protection

Contributing Partners • Bank of Nevada • City of Henderson • Community Development Block Grant • Douglas County • Nevada Governor’s Office of

Economic Development • U.S. Environmental Protection Agency • Wells Fargo

Nevada SBDC Hosts • Carson City Adams Hub • Churchill Economic Development Authority • City of Henderson • City of Las Vegas • Humboldt County Library • Latin Chamber of Commerce • Laughlin Chamber of Commerce • Mesquite Regional Business • Mike Lemich - Country Construction, Ely, NV • Mineral County Economic

Development Authority, Hawthorne, NV • NVEnergy, Reno NV • Nye County Regional Economic

Developmental Authority • University of Nevada Cooperative Extension • University of Nevada, Las Vegas • University of Nevada, Reno • Urban Chamber of Commerce, Las Vegas, NV

Bonnie Drinkwater, ESQ, Chairman of the Advisory Board

Drinkwater Law Offices

Gina Bongiovi, MBA, Attorney, Managing Partner

Bongiovi Law Firm

Bram Buckley, Senior AssociateLee & Associates

Commercial Real Estate

Jay Bushman, OwnerNothing to It! Culinary Center

Carlos Gomez, Business Development

and MembershipLatin Chamber of Commerce

Michael Hix, Senior V.P.First Independent Bank of Nevada

John Hester, Chief Operating Officer

Truckee Regional Planning Agency

John LarsenPort of Subs

Terry McQuattie, District Manager, U.S. Bank

Jerrie Merritt, EVP/Regional President

Bank of Nevada

Tim Nelson, PresidentEvans, Nelson & Co., CPAs

Shaundell Newsome, Founder

SUMNU Marketing and Urban Chamber of Commerce

Board President

Gary RosenbloomSCORE

Roberta Ross, previous owner

Ross Manor

Roxanne Stevenson, Vice President

Colliers International/ Retail Team

Danell Wilson-Perlman, Owner

Reno Tahoe Limo

Nevada SBDC Partners

Nevada SBDC Advisory Board

www.nevadasbdc.org800.240.7094

POWERED BY

Nevada SBDC Offices

Nevada SBDC State OfficeSam Males, State DirectorUniversity of Nevada, Reno

College of Business, Room 411Reno, NV 89557 (800) 240-7094

The Adams Hub

111 W. Proctor Street Carson City and Douglas County

(800) 240-7094*By appointment only

Churchill Economic Development Authority

Nathan Strong, Executive Director448 W Williams AveFallon, NV 89406(775) 423-8587

City of Henderson, Office of Economic Development

280 South Water StreetHenderson, NV 89015

(800) 240-7094 *By appointment only

Great Basin Community CollegeTechnical Arts Bldg. #101

1500 College Parkway Elko, NV 89801(775) 385-6114

*By appointment only

Humboldt County Library85 East 5th street

Winnemucca, NV 89445(775) 623-6388

*By appointment only

Laughlin Chamber of Commerce1585 S Casino DriveLaughlin, NV 89029

(800) 240-7094*By appointment only

Mesquite Region Economic Development

11 West Pioneer Blvd Suite AMesquite, NV 89027

(702) 946-1315

Mike Lemich Country Construction744 E North Industrial Way

Ely, NV 89301(800) 240-7094

Mineral County Economic Development Authority

PO Box 1635, 901 E StreetHawthorne, NV 89415

(775) 945-5896

Nye County Regional Economic Development Authority1301 South Highway 160, NSB Building, 2nd Floor

Pahrump, NV 89048(775) 751-1947

University of Nevada, Las VegasOffice of Economic Development

Zach Miles, Assoc. VP 8050 Paradise Road Las Vegas, NV 89123

(702) 257-5509

Urban Chamber of Commerce1951 Stella Lake StreetLas Vegas, NV 89106

(800) 240-7094