2011-10-18 County Administrator Discussion Item-03
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SEE MINUTES Interoffice Memorandum FOR MOnON 1 0~ QCT 1 a Z01t tJ Pfe-ms cft-DN'fr DATE: October 3rd, 2011 GOVERi~MENT FLOR I DA TO: Mayor Teresa Jacobs -AND- Board of County Commissioners FROM: Eric Ushkowitz ' d;;:r;;;::::::> Economic Development Administrator ~ CONTACT: Eric Ushkowitz PHONE: 407-836-7370 SUBJECT: 10/18/2011 Discussion Agenda Approval of a one-time grant in the amount of $63,000 to the Hispanic Business Initiative Fund (HBIF). On August 30, 2011 , the Board of County Commissioners (Board) tentatively added a one-time subsidy of $63,000 to the Fiscal Year 2011-12 budget for the Hispanic Business Initiative Fund (HBIF) contingent upon a presentation by the HBIF and a subsequent vote by the board. The HBIF presentation is scheduled for the October 18, 2011 Board Meeting. HBIF is the leading Hispanic economic development, nonprofit organization in Florida that specializes in providing bilingual assistance to Hispanic entrepreneurs trying to establish or expand their business in Florida. The Hispanic Business Initiative Fund West Coast, Inc. was established in 1991 in Tampa, Florida through the leadership of community leaders who identified the need for technical assistance and support for Hispanic entrepreneurs in the area. The Hispanic Business Initiative Fund of Greater Orlando, Inc., a non-profit 501 c3 organization, was established in 1995, through the leadership of former Orange County Chairman Linda Chapin, Orlando Mayor Glenda Hood, Orange County Commissioner Mary I. Johnson and the Hispanic Chamber of Commerce of Metro Orlando. On July 1, 2008, these organizations merged into HBIF Florida, Inc., now the largest agency of its kind in the state of Florida. The merger allowed HBIF to cover a larger demographic area and to continue to provide Hispanic businesses with a variety of management training programs and services not currently available due to cultural and language barriers. The implementation of this initiative enhances opportunities for Hispanic businesses by providing them with the necessary tools to build successful enterprises. ACTION REQUESTED: Approval of a one-time subsidy in the amount of $63,000 to the Hispanic Business Initiative Fund. HISPANIC BUSINESS INITIATIVE FUND OF FLORIDA, INC. ORGANIZATIONAL OVERVIEW HBIF is a community-based 501{c)(3} non-profit organization. All earnings from operations, funds, donations and charitable contributions shall only benefit customers of HBIF. OVERVIEW: HBIF OF FLORIDA ABOUT With a staff of ten and a budget of more than $1 million, the Hispanic Business Initiative Fund of Florida, Inc. is the leading Hispanic nonprofit economic development organization in the state of Florida. For more than 20 years, HBIF has specialized in providing bilingual business development to Hispanic entrepreneurs trying to establish or expand their business. HISPANIC BUSINESS INITIATIVE FUND HBIF's mission is to strengthen the economy of Florida through quality, free bilingual business development and training to Hispanic entrepreneurs. Since its inception, HBIF has helped create an estimated 5,000 jobs across the state. ORGANIZATIONAL HISTORY In 1991, the Hispanic Business Initiative Fund West Coast, Inc. was established in Tampa, Florida, thanks to the leadership of visionaries who identified the need for technical assistance and support for Hispanic entrepreneurs in the area . The Hispanic Business Initiative Fund of Greater Orlando, Inc., a non-profit 501c3 organization, was established in 1995 through the leadership of former Orange County Chairman Linda Chapin, Orlando Mayor Glenda Hood, Orange County Commissioner Mary I. Johnson and the Hispanic Chamber of Commerce of Metro Orlando. On July 1, 2008, both organizations merged to form HBIF of Florida, Inc., becoming the largest organization of its kind in the state of Florida. The merge allowed HBIF to cover a larger demographic area and continue to provide Hispanic businesses with a variety of management training programs and services not currently available due to cultural and language barriers. The implementation of this initiative enhanced opportunities for Hispanic businesses by providing them with the necessary tools to build successful enterprises. SERVICE AREAS EDUCATIONAL ASSISTANCE Orientation Sessions provide basic information about how to start a business. The Hispanic Business Workshop Series offers training on specific topics that assist entrepreneurs in making critical decisions to become successful. The seven-week Contractor's Academy facilitates the development of a successful construction business. BUSINESS TECHNICAL ASSISTANCE Free one-on-one assistance helps the entrepreneur identify the short and long-term needs of the existing or prospective business. These services include assistance with minority certification, business loans, business plan analysis and assessing the viability of the existing or prospective business, among others. Page 1 ofl OVERVIEW: HBIF OF FLORIDA SERVICE AREAS, CONTINUED LOAN FACILITATION While not a lender, HBIF helps all entrepreneurs (regardless of ethnicity) to determine their financing needs and to obtain business loans from traditional lenders or non-profit micro-lending organizations such as ACCION USA. HBIF helps pre-screen clients and guide them through the loan application process. TECHNICAL ASSISTANCE SCHOLARSHIPS HBIF's scholarships allow startups and existing businesses to receive advanced business development services at no cost. These include legal structure assessment, accounting assessment, business and marketing plan development, branding, Web site development and loan application preparation. PROVEN IMPACT A snapshot of HBIF's last five years in operation demonstrates the success of the business model and the impact the organization has had on our state's economy. The numbers speak for themselves, laying the groundwork for exponential growth and an even greater impact on Florida's economy. In the last five years HBIF has created more than 2,400 jobs; marketed more than $36 million in loans; provided nearly 3,700 clients with one-on-one business consulting; awarded technical assistance scholarships to more than 462 clients; and welcomed more than 13,400 entrepreneurs to its educational programs. PAST FIVE STATEWIDE IMPACT FISCAL YEARS Jobs Created/Retained 2,440 Loans Marketed $36,551,000 Clients Served One-on-One 3,694 Clients Awarded Technical Assistance Scholarships 462 Contracted Technical Assistance Hours Approved 12,408 Participants in Orientations, Workshops and Advanced Training Programs 13,479 Page 2 ofl OVERVIEW: liBIF OF FLORIDA RETURN ON INVESTMENT IN OUR COMMUNITY In FY 0910, HBIF created or retained approximately 369 jobs, bringing the dollar investment per job created to $1439. These jobs were created in addition to implementing all of the programs outlined above. In addition to two physical offices and two satellite offices, HBIF was also able to continue expanding throughout the state by opening a third office in South Florida. LOCATIONS HBIF has ttiree main offices and one satellite office. • HBIF's headquarters are near downtown Orlando, housed in the National Entrepreneur Center. • Our Tampa Bay/West Coast office is co-located with the Small Business Information Center in Hillsborough County. • HBIF South Florida is housed in the Greater Miami-Chamber of Commerce. • A satellite office is located in the Kissimmee/Osceola County Chamber of Commerce. Page 3 of7 LEADERSHIP CHAD BRANDT, CHAIRMAN Chad Brandt, an experienced attorney and founding partner of Colombo, Hurd, and Brandt, serves as the Chairman of the Board of Directors of the Hispanic Business Initiative Fund of Florida, Inc. Colombo, Hurd, and Brandt is one of the fastest-growing immigration law firms in Florida, with offices in Orlando, Miami and Kissimmee. A first generation Cuban -American, Mr. Brandt has dedicated his career to defending the cause of the immigrant, and that has been the vision of his law firm. Mr. Brandt areas of expertise include deportation defense and obtaining visas for students, travelers, businesses, and others. He has represented clients in Immigration and Federal Court and before United States immigration officials. Mr. Brandt is a member of the Hispanic Bar Association of Central Florida. He Holds a Bachelor's Degree in Political Science from Florida International University and a Juris Doctor from the University of Florida . AUGUSTO SANABRIA, PRESIDENT AND CHIEF EXECUTIVE OFFICER Mr. Sanabria is at the helm of HBIF, the leading Hispanic nonprofit economic development organization in the state of Florida . Mr. Sanabria has spent his career at HBIF, first as a business consultant, and later as an executive for the organization. As president of HBIF, he oversees the organization's four offices and is responsible for executing outreach strategies and finding new sources of revenue for the organization. He also is responsible for the expansion of HBIF throughout the state of Florida. In his former role as vice president, Mr. Sanabria managed HBIF's Orlando and Kissimmee offices, as well as HBIF's host of educational programs and business assistance to ensure compliance with city, county, and state contracts. For many years he provided one-on-one counseling to Hispanic entrepreneurs, including counseling on how to start a business; initial analysis of business needs; assistance in business plan development; and acquisition of loans for existing start-up businesses. Mr. Sanabria holds Bachelor's and Master's degrees in Business Administration from the