Analysis of the Microenterprise Business Segment in Colorado

This study aims to provide a historical review and baseline analysis of the micro-enterprise business segment in Colorado. The study:

• Defines the micro-enterprise business segment;
• Analyzes employment by industry;
• Evaluates the needs of, and issues facing, these firms and micro-enterprise development practitioners.

The study discusses

• The importance of micro-enterprises to both rural and urban parts of Colorado;
• The industries with the largest number of micro-enterprises;
• The growth of micro-enterprises in various sectors.

The study lists:

• Areas of satisfaction and dissatisfaction experienced by micro-entrepreneurs, micro-enterprise development practitioners and service providers, for instance:
  • Micro-enterprises are dissatisfied with assistance in the areas of business plan, training, management and access to capital;
  • Micro-enterprise development practitioners are dissatisfied with the public's knowledge about micro-enterprises and the firms' knowledge of funding processes;
  • Service providers are satisfied with information on funding sources and best practices research.
• Innovative practices used by Colorado practitioners in the areas of preparing business plans, providing technical/management assistance and improving access to capital, such as:
  • Utilizing community and business leaders in developing and evaluating business plans;
  • Providing management assistance services through peer boards, etc.
• The challenges that micro-enterprise firms face, including high volatility, poor funding and mismanagement.

The study concludes that with increased support and awareness of the micro-enterprise business segment, micro-enterprises will play a larger role in economic and social development in the future.