Posted at 7:36 AM
The Minority Business Development Agency (MBDA), a job-creating agency, leads Federal efforts to promote the growth and global competitiveness of America’s minority business community. This summary includes a small portion of our overall accomplishments during the first three years of the Obama Administration.
3-Year Growth: 20%
At the onset of the Obama Administration, the United States economy was losing 750,000 jobs per month and had endured eight straight months of declining employment. Despite this challenging economic environment, in FY2011 MBDA supported the creation of 5,787 new jobs by assisting minority-owned businesses in obtaining access to nearly $4 billion in contracts and capital — exceeding last year’s record level. During the first three years of the Obama Administration, MBDA facilitated a total of over 16,300 new jobs — an increase of 20% over the prior 3-year period.
3-Year Growth: 36%
MBDA directly served more than 17,400 minority-owned businesses and indirectly served thousands more through business workshops and online tools. This represents a 36% increase in clients served over the prior 3-year period.in the history of the Agency.
Contracts and Capital
3-Year Growth: 101%
In FY2011, MBDA assisted minority-owned businesses in obtaining $3.9 billion in contracts and capital. For the 3-year period of the Obama Administration, MBDA assisted minority-owned firms in obtaining $10.9 billion, a 101% increase over the prior 3-year period and the highest 3-year performance in the history of the Agency.
Return on Investment
3-Year Growth: 86%
Between 2009 and 2011, MBDA achieved a Return on taxpayer Investment (ROI) between 102x and 130x. This represents an 86% increase in ROI from the prior 3-year period and the highest performance level in the history of the Agency.
Increasing Exports of Minority-Owned Firms
Today, the importance of minority-owned businesses as a key component of U.S. international trade has never been greater. Minority-owned firms have the most favorable export attributes of any sector of the U.S. economy and represent the future of export growth. They are:
- twice as likely to export their products and services;
- six times more likely to transact business in a language other than English;
- three times more likely to generate 100% of their revenues from exporting;
- more likely to have international operations than non-minority owned firms; and
- substantial contributors to exports in manufacturing, retail trade, technology, and educational services.
Redesigned MBDA Business Center Program
In 2011, MBDA successfully launched a redesigned MBDA Business Center program. The new nationally focused program combined the traditional Minority Business Enterprise Center (MBEC) and Minority Business Opportunity Center (MBOC) programs into one. Significant changes include an increase in funding and the elimination of geographic borders, allowing business centers to provide services to minority-owned businesses anywhere in the Nation. Additional changes include longer funding terms, reduced paperwork burdens, the addition of merger, acquisition, joint venture and strategic partnering support, and enhanced export services.
First Federal Procurement Center
The Federal Procurement Center in Washington, DC is the first specialty business center in the Nation that assists minority-owned firms in competing for and winning Federal government contracts. Specialty services offered by the FPC include identification of Federal procurement opportunities, facilitation of relationships between minority-owned businesses and Federal program managers, research on Federal agency contracting trends, information on Federal regulations and contracting requirements, and linking minority-owned businesses with other companies to develop teaming arrangements.