Companies with 5 or fewer workers take the spotlight at hearing.
By Robert Rodriguez / The Fresno Bee

On their own, they are among the smallest of all businesses.

But combined, microenterprises form the core of California's multibillion-dollar economy.

The small but mighty entrepreneurs make up nearly 90% of all business in California and were the focus of a state legislative hearing Wednesday afternoon in Fresno.

The Assembly Committee on Jobs, Economic Development and the Economy, headed by Assembly Member Juan Arambula, D-Fresno, heard from several experts and advocates on how to improve the services and climate for these microenterprises — defined as businesses with five or fewer employees.

Arambula said microenterprises serve as the steppingstone for many entrepreneurs and provide a economic boost to small rural economies, including many of those in the San Joaquin Valley.

"We hope to encourage people to start small business with the appropriate help from the federal, state, local governments and nonprofit groups," Arambula said. "Their issues are important and should be given our attention."

Experts spoke about the need for creating partnerships among agencies and finding out what a business community's needs are.

"You can't go into a community and do a dog and pony show and just leave," said Stanley Tom, vice president of the Valley Small Business Development Corp. in Fresno. "That doesn't work."

Tom's organization along with the University Business Center at California State University, Fresno, and the Fresno County Economic Opportunities Commission recently formed a program for people interested in starting their own businesses.

As part of the program, nine entrepreneurs received training and information about financing. The participants also made use of interns, some of whom were eventually hired by the microenterprises.

"What we saw happening is that people were feeling empowered, their self-worth was growing and so was that of their communities," said Emil Milevoj, of the University Business Center.

Others have also found success in helping small businesses grow.

The Fresno Area Hispanic Chamber of Commerce granted loans of more than $750,000 over the past three years to new and existing small businesses. The loans vary from $5,000 to $25,000.

Tony Valtierra, president of the Hispanic chamber, said that of the 37 businesses loaned money, only two did not work out.

Valtierra suggested the need for creating a one-stop regional center where small businesses could access the necessary information they need to help their business thrive.

Small-business owner Maria Carmona of Firebaugh said access to education and financing, coupled with hard work, are the keys to survival for any business startup.

As the owner of a housekeeping and janitorial service, Carmona took advantage of programs that provided business training, including a course at West Hills Community College.

"I know my business is small," said Carmona, a former farmworker. "But it has opened many doors for me and my family."

The reporter can be reached at brodriguez@fresnobee.com or (559) 441-6327