Novcmb ... 9, 2-000 

N Tm gre- ~ing& to 11 those oath red to che ~~ ond 

oz:p . z cion fOl" l3conOlllic Co-cpe tion and Dev 10 men 

'Oonfer nce on l~~n En reprer.euro _n S. flls. I all! p" 1:1'1 

t e U.s. ~lt.ion io brir.g"ng co tli t R-~ C fie s 

programs anc;l, 1n~t:idv that: l'1'J been lIuepclOlsful in ..'omen r:l bUBines O'lmer hip ~n be united Stat 5. 

JuBt. ce tury ago, Arner ca.n lilO" n die not have the ri9~t

to vote or ow roperty; today ~y h~ld pos~ ana 0 adersliip in !ioveJ:r.m~nt:, blJlJin B9. nd vir u . ly ~Vi!ry 0 ber flelli! 

IOf ,e.'lde",vor. The "'n l' nee of 1IIQiIIeD in 0 he ma:,ketpl c has 

had an t.mpnallel i pact 0:1 he grow b nd product:; vicy 

of the. 0.9. eeonoG,y, llind 'nvefiCIIH)nl; in his fie.<::tCT no on y 

red\lc~~ g'Wtce.r in~qui es, bu Jso 11 fits 0 r s-oci t;.ys 

who:!. • 

Worn n no~ pa~ticip t in our eco~omy 1n record ~umb9rB.

all to h COnsUllIers and buslr.esa er'S. t ill nQ ecld ne t:ha 

I:l:loi:~ progress coinc'd 9 \'lith Alne.r;lca- l .5I llnpreQ(!d nted cc;mcm r,; 

pc o9P~¥i~y. ~'I:lU tJ)i# ph nQ - non. beg 11 dt!;cad 09" w cb th 

en tY 0 women in 0 t.he wol;'kf4-"'C:i! in :r:ce<>rd :nultl!:ersI • now 

be.Lf'.g propelled t.hrtrugh "'Ol:Ie I busln liS O'.at. aMp.

Th succe 0 he programs ~d lniti~tive~ highlighteo 

n h U.S. ca tudy de~t.rat;eB t;.h I: incxe B d inv0~t.me.n.t

ill thi ynamie enu:4!prene:u:r' 9~tor 0 t.h wor d !COM~Y

i-s vit. to cr ng and 8UB aining p.r<lsperi y. I a pl fled 

ch he OSCD l br!ng~ng ~gq~~~~ 8Q m ny pro~ln n~ women e:n~f!prenel,ll:sf poli~ keJ::B, nse. rchel:6. am;! tim/' lop Qral:. eX~G 1:0 focuo 0 ~h Be and 0 h L .dingB nd 0 c_As-i-rm 

n int.ern ion..l cOlMliI: n to woc=en' 0 entreprencn.:tlihip. 

a 'lilt ""ish to al tor enjoYa~le 00 productive
 

confe.r-ence.
 
 

United States
 

Case Study
 Successful Public and Private Sector
 

Initiatives Fostering the Growth of
 

Women’s Business Ownership.
 

A report prepared by the National Women’s Business Council 

and the Interagency Committee on Women’s Business 

Enterprise in conjunction with the 2000 Organization for 

Economic Co-operation and Development (OECD) conference 

on women entrepreneurs in small and medium enterprises. 

November 2000
 

Washington, DC
 

The National Women’s Business Council
 

409 Third Street, SW, Suite 210
 

Washington, DC 20024
 

PH: 202-205-3850 FX: 202-205-6825
 
Acknowledgements 

We would like to acknowledge and thank the many people who provided valuable information and 

insight into the compilation of this report. They include Kay Koplovitz, Chair, National Women’s 

Business Council, CEO, Working Woman Network, Inc.; Amy Millman, Executive Director, 

National Women’s Business Council; Lynn King, Program Manager, National Women’s Business 

Council; Virginia Littlejohn, President, Exponentials.com; Jill Long Thompson, Under Secretary, 

Department of Agriculture Rural Development; Elizabeth Sears and staff, Deputy Assistant 

Secretary for Domestic Operations, Department of Commerce International Trade Administration; 

Theresa Loar, Director of the Vital Voices Initiative and Senior Coordinator for International 

Women’s Issues, Department of State; Alyse Nelson, Director of Programs, Vital Voices Global 

Partnership; Ellen Lazar, Director, Department of Treasury Community Development Financial 

Institutions Fund; Deborah Smith, Public Affairs Specialist, Department of Treasury Community 

Development Financial Institutions Fund; Jackie Clegg, Vice Chairman, First Vice President and 

Chief Operating Officer, Export-Import Bank of the United States; Teri Cavanagh, Senior Vice 

President, FleetBoston Financial, Founder and Director, Women Entrepreneurs Connection; Debra 

Hickerson, Executive Director, National Association of Women’s Business Owners; Julie Weeks, 

Director of Research, National Foundation for Women Business Owners; Aida Alvarez, 

Administrator, Small Business Administration; Elizabeth Kim, Assistant General Counsel, Small 

Business Administration Office of General Counsel; Harry Haskins, Deputy Associate 

Administrator, Small Business Administration Office of Investment; Sherrye Henry, Assistant 

Administrator, Small Business Administration Office of Women’s Business Ownership; Harriet 

Fredman, Deputy Assistant Administrator, Small Business Administration Office of Women’s 

Business Ownership; Lauren Supina, Deputy Assistant to the President and Director of Women’s 

Initiatives and Outreach, White House Office of Women’s Initiatives and Outreach; Susan Bari, 

President, Women’s Business Enterprise National Council; Sheryl Swed, Assistant Administrator, 

Small Business Administration Office of Government Contracting. 

Special thanks to Julia Lauve of the National Women’s Business Council who coordinated and 

compiled the submissions included in this Case Study. 

The National Women’s Business Council was created by the United States Congress to serve as 

an independent source of advice and counsel to the President and Congress on issues of importance 

to women entrepreneurs. The Council has provided the women’s business community with a seat at 

the policy-making table and has addressed cutting-edge issues of access to capital and access to 

markets that have posed the greatest challenge to women seeking to launch and grow their 

businesses. Additional information about the NWBC is available at www.nwbc.gov. 

The Interagency Committee on Women’s Business Enterprise is comprised of senior policy 

officials from Cabinet level Departments and agencies and is chaired by a senior White House 

official. The Interagency was established to ensure that an environment fostering women’s 

entrepreneurship exists throughout the federal government. The duties of the Interagency 

Committee consist of monitoring, coordinating and promoting the plans, programs and operations 

of the departments and agencies of the Federal government that may contribute to the 

establishment and growth of women’s business enterprise. The Interagency Committee reports 

directly to the President and Congress and works closely with its private sector counterpart, The 

National Women’s Business Council. 

ii 
Table of Contents
 

INTRODUCTION............................................................................................................................ 1
 

THE U.S. DEPARTMENT OF AGRICULTURE, RURAL DEVELOPMENT’S RURAL
 

DEPARTMENT OF COMMERCE, INTERNATIONAL TRADE ADMINISTRATION
 

THE PRESIDENT’S INTERAGENCY COUNCIL ON WOMEN AND THE VITAL
 

THE U.S. DEPARTMENT OF THE TREASURY, COMMUNITY DEVELOPMENT
 

EXPORT-IMPORT BANK OF THE U.S., MINORITY & WOMEN-OWNED
 

THE U.S. SMALL BUSINESS ADMINISTRATION, OFFICE OF FEDERAL
 

THE U.S. SMALL BUSINESS ADMINISTRATION, OFFICE OF WOMEN’S
 

THE U.S. SMALL BUSINESS ADMINISTRATION, SMALL BUSINESS
 

THE NATIONAL ASSOCIATION OF WOMEN BUSINESS OWNERS, PUBLIC
 

BUSINESS-COOPERATIVE SERVICE...................................................................................... 3
 

(ITA), WOMEN IN INTERNATIONAL TRADE INITIATIVE......................................... 11
 

VOICES GLOBAL DEMOCRACY INITIATIVE .................................................................. 17
 

FINANCIAL INSTITUTIONS FUND PROGRAM ............................................................... 25
 

BUSINESS OUTREACH INITIATIVE..................................................................................... 33
 

THE NATIONAL WOMEN’S BUSINESS COUNCIL.......................................................... 37
 

THE U.S. SMALL BUSINESS ADMINISTRATION, NEW MARKETS INITIATIVE.. 49
 

CONTRACT ASSISTANCE FOR WOMEN BUSINESS OWNERS................................... 53
 

BUSINESS OWNERSHIP............................................................................................................. 57
 

INVESTMENT COMPANY PROGRAM ................................................................................. 65
 

THE WHITE HOUSE OFFICE FOR WOMEN’S INITIATIVES AND OUTREACH . 69
 

FLEETBOSTON FINANCIAL, WOMEN ENTREPRENEURS’ CONNECTION........ 73
 

POLICY DAYS................................................................................................................................ 79
 

THE NATIONAL FOUNDATION FOR WOMEN BUSINESS OWNERS..................... 85
 

WOMEN’S BUSINESS ENTERPRISE NATIONAL COUNCIL ........................................ 91
 

iii 
iv
 
Introduction 

We are pleased to offer to the delegates to the 2000 OECD Conference on Women 

Entrepreneurs in Small to Medium Size Enterprises (SMEs) the United States Case 

Study: Successful public and private sector initiatives fostering the growth of women's 

business ownership. 

Women have played a significant role in the unprecedented prosperity we have 

enjoyed during a decade characterized by the longest economic expansion in our 

country's history. We credit the high degree of participation of women in the 

workforce and the dynamic increase in women's business ownership for the great 

strides made over the last eight years. As a matter of fact a study conducted by the 

Kauffman Center for Entrepreneurial Leadership affirmed that countries with high 

levels of economic activity and with the highest start-up business rates are the ones 

where women are well-engaged in entrepreneurial activity. 

We offer this Case Study as a tool for our colleagues around to the world to aid in 

fostering women's business ownership. While not an exhaustive catalog, this Case 

Study showcases programs that have been successful implemented by both 

government and private sector institutions. In implementing these programs, our 

leaders have recognized the strategic importance of investing in women's 

entrepreneurship over the long run. 

By sharing some of our most successful efforts, it is our hope that this Case Study will 

be more than just food for thought. Not taking women seriously as creators of 

wealth is a great opportunity lost. Countries that wish to ensure the health of their 

economy and increase the level of business development may make major gains by 

helping women to become more involved. 

1 
2
 
The U.S. Department of Agriculture, 

Rural Development’s Rural BusinessCooperative Service 

I. Description of Program 

The mission of the Rural Business-Cooperative Service (RBS) of 

the U.S. Department of Agriculture is “to enhance the quality of 

life for rural Americans by providing leadership in building 

competitive businesses including sustainable cooperatives that 

can prosper in the global marketplace.” The agency meets these 

goals by: 

¤ investing financial resources and providing technical 

assistance to businesses and cooperatives located in rural 

communities; 

¤ establishing strategic alliances and partnerships that leverage 

public, private, and cooperative resources to create jobs and 

stimulate rural economic activity. 

II. Program History 

The U.S. Department of Agriculture was founded in 1862 by 

President Abraham Lincoln. At that time, Mr. Lincoln called it 

the “people’s Department.” In Lincoln’s day, 90 percent of the 

people were farmers. Today, USDA continues Lincoln’s legacy 

by serving all Americans, the two percent who farm as well as 

everyone who eats, wears clothes, lives in a house, or visits a rural 

area or a national forest. The USDA serves all Americans 

through its variety of programs including the Rural BusinessCooperative Service. 

The business and industry loan guarantee program administered by 

the Rural Business-Cooperative Service has grown from less than 

$100 million in 1993 to over $1.0 billion during the Clinton 

Administration. President Clinton recognized that if rural areas 

were going to have the same opportunity to prosper in a growing, 

dynamic economy, particularly a technology based economy in 

which distance from market centers is no impediment, they had to 

have the same access to service and monies to accomplish this. 

Under Secretary Jill Long Thompson recognized that, due to the 

demographics and economics of rural areas, women were going to 

be the key source of talent available for the workforce and new 

businesses in rural areas began to encourage more use of business 

assistance programs by women owned businesses. 

The mission of the 

Rural BusinessCooperative Service 

(RBS) of the U.S. 

Department of 

Agriculture is “to 

enhance the quality 

of life for rural 

Americans by 

providing 

leadership in 

building 

competitive 

businesses 

including 

sustainable 

cooperatives that 

can prosper in the 

global 

marketplace.” 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

3 
� � � 

The USDA Rural 

BusinessCooperative Service 

was designed to 

address the need for 

funding 

development 

projects, and 

providing assistance 

to the rural 

American 

community. 

USDA Rural 

Development is 

forging new 

partnerships with 

rural America by 

funding 

development 

projects and 

providing technical 

assistance and 

information to create 

quality jobs, 

services, housing, 

and utilities. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

III. Issues Program was Designed to Address 

The USDA Rural Business-Cooperative Service was designed to 

address the need for funding development projects, and providing 

assistance to the rural American community. This is done to create and 

expand jobs, and to ensure services to rural communities nationwide. 

Within the overall objectives of the program, i.e., to stimulate business 

activity and the creation or retention of jobs in rural America, this 

particular initiative was part of the overall initiative to make Rural 

Development programs more accessible to minority populations. This 

objective is more difficult to achieve in business loan guarantee 

programs because the primary relationship is between the Agency and 

the lender seeking a guarantee. The Agency has little direct contact, if 

any, with the borrower. 

This is further complicated by the fact that the lending capacity of most 

rural banks is so limited, by the loan to asset ratios they must maintain 

for their regulators, that lending practices tend to be with existing 

customers. This issue is being addressed by helping lenders understand 

that the loan guarantee program can expand lending opportunities 

because the guaranteed loan can be sold in the secondary market and 

not count against their loan to asset ratios. The program exists not only 

to help stimulate business activity in rural areas, but to help small 

community banks pay a vital role in the economic activity of their 

community. 

IV. Successful Elements of Program 

USDA Rural Development is forging new partnerships with rural 

America by funding development projects and providing technical 

assistance and information to create quality jobs, services, housing, and 

utilities. Revitalizing rural America is vital if we are to ensure that rural 

citizens can participate fully in the global economy. As the department 

for rural America, we bring housing, modern telecommunications, safe 

drinking water and more to our country’s rural communities. 

USDA Rural Development is comprised of three agencies, but this 

Case Study will focus on the Rural Business-Cooperative Service. RBS 

provides help to rural areas that need to develop new economic 

opportunities, allowing businesses and cooperatives to remain viable in 

a changing economy. RBS works in partnership with public and private 

community based organizations to provide financial assistance, business 

planning, and technical assistance to rural businesses. RBS also 

conducts research into rural economic issues, including rural 

4 
� � � 

cooperatives, and provides educational material to the public. This 

truly public/private partnership is achieved through the RBS loan, 

grant and technical assistance programs. 

Business & Industry Guaranteed Loans 

The Business & Industry (B&I) Guaranteed Loans help finance rural 

business and industry projects that create employment opportunities 

and improve the economic and environmental climate in rural 

communities. Loans are limited to $25 million for any one 

borrower. Eligible purposes include construction/expansion of a 

business, purchase of equipment/machinery, start-up costs and 

working capital, processing and marketing facilities. 

In Fiscal Year 1999, RBS funded $40,819,858 in guaranteed loans to 

rural women businesses. Of this total amount, loans were used for 

business expansion, start-up businesses, refinancing, and equipment 

purchase. 

In Fiscal Year 2000, RBS obligated a total of $214,814,966 in 

funding for the B&I Guaranteed Loan Program to women. This 

is a total of 230 loans, or 6 percent of B&I funds that were made 

to women-owned businesses. 

Business & Industry Direct Loans 

The Business and Industry (B&I) Direct Loan Program provides 

loans to public entities and private parties who cannot obtain 

credit from other sources. Loans to private parties can be made 

for improving, developing, or financing business and industry, 

creating jobs, and improving the economic and environmental 

climate in rural communities (including pollution abatement). 

This type of assistance is available in rural areas (this includes all 

areas other than cities or unincorporated areas of more than 

50,000 people and their immediately adjacent urban or urbanizing 

areas). Eligible applicants include any legally organized entity, 

including cooperatives, corporations, partnerships, trusts or other 

profit or nonprofit entities, Indian tribes or Federally recognized 

tribal groups, municipalities, counties, any other political 

subdivision of a State, or individuals. Loans are available to those 

who cannot obtain credit elsewhere and for public bodies. The 

maximum aggregate B&I Direct Loan amount to any one 

borrower is $10 million. 

In Fiscal Year 2000, the Rural Development B&I Direct Loan 

program provided $1,689,250 in loans to rural women business 

owners for business expansion, start-up businesses, and renovation. 

The Business & 

Industry (B&I) 

Guaranteed Loans 

help finance rural 

business and 

industry projects 

that create 

employment 

opportunities and 

improve the 

economic and 

environmental 

climate in rural 

communities. 

The Business and 

Industry (B&I) 

Direct Loan 

Program provides 

loans to public 

entities and private 

parties who cannot 

obtain credit from 

other sources. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

5 
� � � 

The Business & 

Industry (B&I) 

Intermediary 

Relending Program 

(IRP) loans finance 

business facilities 

and community 

development 

projects in rural 

areas. 

The Rural Business 

Enterprise Grants 

(RBEG) program is 

for public bodies, 

nonprofit 

corporations, and 

Federallyrecognized Indian 

Tribal groups to 

finance and facilitate 

development of 

small and emerging 

private business 

enterprises located 

in areas outside the 

boundary of a city or 

unincorporated 

areas of 50,000. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

Business & Industry Intermediary Relending Program 

The Business & Industry (B&I) Intermediary Relending Program (IRP) 

loans finance business facilities and community development projects 

in rural areas. IRP funds must be used for community development 

projects, establishment of new businesses, and expansion of existing 

business. They may also be used for the purchase of land, business 

construction/expansion and the purchase of equipment. Loans are 

made to intermediaries, public agencies, private non-profit 

corporations, Federally recognized Indian Tribes, and cooperatives. 

In FY 2000, RBS obligated $38,256,965 in funding for the IRP. This 

funding resulted in a total of 68 loans and a total of $1,500,000 was 

awarded to women owned businesses. 

Rural Business Enterprise Grants 

The Rural Business-Cooperative Service (RBS) makes grants under the 

Rural Business Enterprise Grants (RBEG) Program to public bodies, 

nonprofit corporations, and Federally-recognized Indian Tribal groups 

to finance and facilitate development of small and emerging private 

business enterprises located in areas outside the boundary of a city or 

unincorporated areas of 50,000 or more and its immediately adjacent 

urbanized or urbanizing area. Costs that may be paid from grant funds 

include the acquisition and development of land and the construction 

of buildings, plants, equipment, access streets and roads, parking areas, 

and utility and service extensions; refinancing; fees for professional 

services; technical assistance and related training for adults; startup 

operating costs and working capital, providing financial assistance to a 

third party; production of television programs to provide information 

to rural residents; and to create, expand, and operate rural distance 

learning networks. 

Grants may also be made to establish or fund revolving loan programs. 

Eligibility is limited to public bodies, private nonprofit corporations, 

and Federally-recognized Indian Tribal groups. Public bodies include 

incorporated towns and villages, boroughs, townships, counties, States, 

authorities, districts, Indian Tribes on Federal and State reservations, 

and other Federally-recognized Indian Tribal groups in rural areas. 

Small and emerging businesses with less than 50 new employees and 

less than $1 million in gross annual revenues are eligible for assistance. 

Funds may be used to facilitate the development of small and emerging 

private business enterprises. Costs that may be paid from grant funds 

include the acquisition and development of land and the construction 

of buildings, plants, equipment, access streets and roads, parking areas, 

and utility and service extensions; refinancing; fees for professional 

services; technical assistance and adult training associated with technical 

assistance; startup operating costs and working capital, providing 

6 
� � � 

financial assistance to a third party; production of television 

programs to provide information to rural residents; and to create, 

expand, and operate rural distance learning networks. There are 

limitations as to what the grants can be used for. These limitations 

are designed so prevent overlapping of this loan program with 

other rural loan programs. 

Rural Opportunity Grants 

Rural Business Opportunity Grant funds provide for technical 

assistance, training, and planning activities that improve economic 

conditions in rural areas. Applicants must be located in rural areas 

(this includes all areas other than cities of more than 50,000 people 

and their immediately adjacent urban or urbanizing areas). 

Nonprofit corporations and public bodies are eligible. A maximum 

of $1.5 million per grant is authorized by the legislation. RBS is 

designing the program to promote sustainable economic 

development in rural communities with exceptional needs. 

Rural Economic Development Loans and Grants 

RBS provides zero interest loans and grants to Rural Utilities 

Service (RUS) financed telephone and electric utilities to promote 

rural economic development and job creation projects. Zero 

interest loans may be made, at the discretion of the Rural 

Business-Cooperative Service (RBS) Administrator, to any RUS 

borrower that is not delinquent on any Federal debt or in 

bankruptcy proceeding. RBS provides grants from the Rural 

Business-Cooperative Service (RBS) to rural communities through 

Rural Utilities Service (RUS) borrowers to be used for revolving 

loan funds for community facilities and infrastructure and for 

assistance in conjunction with rural economic development loans. 

Funds may be granted to any electric or telephone RUS borrower 

that is not financially distressed, delinquent on any Federal debt, or 

in bankruptcy proceedings. 

Cooperative Services 

The mission of Cooperative Services Program is to promote 

understanding and use of the cooperative form of business as a 

viable organizational option for marketing and distributing 

agricultural products. Cooperative Services helps improve the 

performance of the Nation’s cooperatives and promotes 

understanding and use of the cooperative form of business. By 

working together for their mutual benefit in cooperatives, rural 

residents are often able to reduce costs for production supplies 

and consumer goods, obtain services that might otherwise be 

unavailable, and achieve greater returns for their products. 

Rural Business 

Opportunity Grant 

funds provide for 

technical 

assistance, training, 

and planning 

activities that 

improve economic 

conditions in rural 

areas. 

RBS provides zero 

interest loans and 

grants to Rural 

Utilities Service 

(RUS) financed 

telephone and 

electric utilities to 

promote rural 

economic 

development and 

job creation 

projects. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

7 
The USDA’s Rural 

Development’s 

Rural BusinessCooperative 

Service’s goals 

include: 

¤	 investing 

financial 

resources and 

providing 

technical 

assistance to 

businesses and 

cooperatives 

located in rural 

communities; 

¤	 establishing 

strategic alliances 

and partnerships 

that leverage 

public, private, 

and cooperative 

resources to 

create jobs and 

stimulate rural 

economic 

activity. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

Since 1995 the volume of business and industry loan guarantees issued 

by the Rural Business-Cooperative Service has increased from 3 percent 

of total loans to 8 percent of total loans in the year 2000. 

Simultaneously the total volume of loans has grown from $424 million 

to $1.0 billion. 

V. Success Stories 

Eagle Aviation, Inc./Eagle Air Inc., incorporated by the State of 

Montana in 1991, is owned and managed by Patricia Ashby. The 

business is located at the Glacier Park International Airport in 

northwest Montana and provides a full service, fixed base operation at 

the airport. The business also provides bulk fuel distribution to 12 

western states and military bases that include the Air force, Army, and 

Navy. 

Eagle Aviation, Inc., provides bulk fuel deliveries, plane contracts, bulk 

fuel storage, and is a self-service faculty for airplane fuel purchase. 

Major airlines served by Eagle Aviation, Inc., includes Delta, 

Northwest, and Horizon Air. Eagle Air, Inc., provides aircraft repair 

and maintenance, flight instruction, aircraft rental, hangar rental, tie 

down rental office rental, and air carrier operations. 

Patricia Ashby is a Native American, thus qualifying her for Small 

Business Administration’s “8A Disadvantaged Business” status. This 

gives Patricia’s business an advantage for fuel purchase rates. 

The Rural Business-Cooperative Service approved a $490,000 Business 

and Industry (B & I) Guaranteed loan through the Valley Bank, 

Kalispell, Montana. The loan will be amortized over 20 years with a 

7.25 percent fixed rate on the guaranteed portion. The Valley Bank is 

in the process of closing this loan, after which the Loan Note 

Guarantee will be issued. The B & I Guaranteed Loan will be leveraged 

with a $180,000 loan made by the Northwest Montana Human 

Resources, Inc., Kalispell, Montana, which is an intermediary Relending 

Program (IRP) borrower. The IRP loan to Eagle Aviation, Inc./Eagle 

Air, Inc., has been closed; the loan is amortized over 15 years at a 7 

percent interest rate. 

The B & I Guaranteed Loan provided financing for the construction of 

a 19,200 square foot airplane hanger with an attached two story, 3,340 

square foot office space. 

8 
� � � 

VI. Lessons Learned 

Promoting a dynamic business environment in rural America is 

the goal of Rural Business-Cooperative Service (RBS). RBS works 

in partnership with the private sector and the community-based 

organizations to provide financial assistance and business 

planning. RBS helps fund projects that create or preserve quality 

jobs and/or promote a clean rural environment. RBS has found 

that its resources can often be leveraged with those of other 

public and private credit source lenders to meet business and 

credit needs in under-served areas. 

The RBS has learned that provision of its various services realizes 

its mission of building competitive businesses including 

sustainable cooperatives that can prosper in the global 

marketplace. 

For more information about the Rural Business-Cooperative 

Service program, please contact: 

United States Department of Agriculture 

Rural Business-Cooperative Service 

1400 Independence Avenue, SW 

Room 5050 South Building 

Washington, DC 20250 

Phone: (202) 720-1400 

RBS works in 

partnership with the 

private sector and 

the communitybased organizations 

to provide financial 

assistance and 

business planning. 

RBS has found that 

its resources can 

often be leveraged 

with those of other 

public and private 

credit source 

lenders to meet 

business and credit 

needs in underserved areas. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

9 
10
 
� � � 

Department of Commerce, International 

Trade Administration (ITA), Women In 

International Trade Initiative 

I. Description of Program 

The U.S. Department of Commerce created the Women In Trade 

Initiative to spread the word of its services to women-owned or 

managed companies throughout the U.S. It has led to programs 

created specifically for the needs of women-owned businesses. For 

instance, there is now a web site at www.usatrade.gov/womenintrade, 

providing links to women-in-business resources, financial resources, a 

trade events calendar, exporting advice and much more. The 

Department of Commerce has developed a Visit Industry Program 

(VIP), which provides a trade specialist to companies lacking personnel 

resources. The specialist will assist the company in developing an 

export program, which will prepare the company for international 

trade. 

II. History of the program 

The U.S. Department of Commerce’s Women in International Trade 

Initiative was launched on March 8, 1999 with an announcement made 

at the International Women’s Day Breakfast by former Secretary of 

Commerce, William Daley. “The fact is, the group creating more 

businesses and more jobs than any other group is women,” said Daley. 

“In the last decade or so, the growth of women-owned businesses 

outpaced overall business growth by nearly 2 to 1. If we want to grow 

our exports, we need this fast-growing segment exporting.” 

The Commerce Department’s ITA has a history of helping small to 

medium-sized enterprises (SMEs) by offering a wide array of programs 

and services to help SMEs compete and win in the global economy. 

We organize several hundred trade events yearly. To further support 

small businesses, the ITA’s Commercial Service operates numerous 

interagency Export Assistance Centers (USEACs), serving every region 

of the United States. At these-centers, small businesses can receive 

information on Federal export programs and financing assistance. 

SMEs can also call our Trade Information Center at 1-800-USATRAD(E) for many types of assistance including basic export 

counseling, regulatory requirements, and country and regional 

counseling. Through its “Advocacy Center,” ITA also leads the 

government-wide advocacy network to level the international trade 

playing field. 

The U.S. Department 

of Commerce created 

the Women In Trade 

Initiative to spread the 

word of its services to 

women-owned or 

managed companies 

throughout the U.S. 

The Commerce 

Department’s ITA has 

a history of helping 

small to mediumsized enterprises 

(SMEs) by offering a 

wide array of 

programs and services 

to help SMEs 

compete and win in 

the global economy. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

11 
� � � 

Studies have shown 

that although women 

now own 40 percent of 

U.S. export-ready 

companies, less than 2 

percent of them 

account for export 

sales. 

This initiative was 

created to increase 

that number, helping 

women to expand 

business and achieve 

the economic benefits 

provided by exporting 

and the increasing 

globalization of the 

economy. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

III. Issues Program was Designed to Address 

Studies have shown that although women now own 40 per cent of 

U.S. export-ready companies, less than 2 per cent of them account for 

export sales. This initiative was created to increase that number, 

helping women to expand business and achieve the economic benefits 

provided by exporting and the increasing globalization of the 

economy. 

There is an abundance of women-owned or managed business that 

can benefit from the DOC’s services. With these businesses 

contributing over $3.6 trillion to the economy, it is imperative that 

they be exposed to the unique advantages that the DOC can provide 

women entrepreneurs. “We’ve seen that women are often more 

willing to take risks,” states Elizabeth Sears, Deputy Assistant 

Secretary for Domestic Operations. “In business dealings, they are 

often more flexible and aware of the cultural aspects involved.” 

IV. Successful Elements of Program 

The initiative’s important outcome includes the development of 

strategic partnerships with women’s organizations such as the 

National Association of Women Business Owners (NAWBO) and the 

Business Women’s Network (BWN), as well as the Office of Women’s 

Business Ownership of the Small Business Administration and the 

White House Women’s Office. Through these partnerships, the DOC 

can better support conferences such as the Canada/USA 

Businesswomen’s Trade Summit 1999, in which 101 American women 

business owners from 31 states participated. 

Since 1995, the DOC has also been successfully coordinating Women 

In Trade Missions to regions throughout the world. These Missions 

match American executives with potential customers abroad, 

introducing a company’s products and services to foreign markets 

through pre-arranged one-on-one meetings. The missions are 

excellent opportunities for women-owned businesses to begin and 

develop their international exporting programs. Women In Trade 

Missions help women become proactive in increasing their export 

sales by meeting face-to-face with potential customers. Participants 

have reported more than $10 million in sales, as well as distributors 

and joint ventures in 12 different foreign cities. 

Another successful program offered to women entrepreneurs in the 

U.S. is an export-training program held annually in 18 cities 

throughout the country entitled “Export Training Program for 

Minority and Women Owned Companies”. Firms are provided with a 

12 
� � � 

tailored export-training program, helping to ensure their success in 

transacting business in the global market. In addition, the DOC is 

also interested in the trade policy concerns of women-owned 

businesses. ITA obtains these concerns through a series of Federal 

advisory committees including the President’s Export Council (PEC), 

a CEO-level group that reports directly to the President, and 21 

industry sector and functional advisory committees that cover 

everything from footwear to steel to IPR to E-Commerce. These 

committees report their advice to the Commerce Secretary and the 

U.S. Trade Representatives. Women are well represented on all of 

these committees, and provide an invaluable contribution to the trade 

policy process. Through all of these programs and groups, the DOC 

is ready to assist any US women interested in doing business abroad. 

V. Success Stories 

Candy Bouquet International 

“You can’t be afraid,” said Margaret McEntire on the success of her 

business, Candy Bouquet International. “Women have to be a little 

bolder to see the opportunities that lie outside of staying at home 

with the kids.” Before founding Candy Bouquet, McEntire was the 

epitome of the American housewife. She was and still is a good 

mother and wife, spending time at home to manage household 

activities. But McEntire, like the other eight million women in the 

United States that either own or manage their own businesses, had 

the entrepreneurial drive that pushed her to seek dreams not limited 

by the front door of her home. In order to realize these dreams, 

outside assistance can prove most valuable for fledgling entrepreneurs 

like McEntire. The U.S. Department of Commerce has and will 

continue to be an important ally of these inspiring women 

entrepreneurs that are seeking to create business outside of the U.S. 

Starting with a big dream on a small budget of one thousand dollars 

was no easy task for McEntire, working out of the garage of her 

home in 1989. But with determination, Candy Bouquet, a franchise 

company that creates bouquets of wrapped gourmet chocolates and 

candies on a stem in place of flowers, came into existence. “Candy 

Bouquets will work anywhere,” says McEntire of her company. 

Everybody in the world loves flowers, and everybody eats candy.” 

Today, her company has 450 franchises worldwide in 30 countries 

with total franchise store sales at over $40 million. With the help of 

the U.S. Department of Commerce, her export sales are approaching 

$1 million. As a result of her success internationally, she was named 

by the Small Business Administration as the 1998 SBA Small Business 

Person of the Year and Exporter of the Year for Arkansas, and she is 

Director of Arkansas’ District Export Council. 

Since 1995, the DOC 

has also been 

successfully 

coordinating Women 

In Trade Missions to 

regions throughout 

the world. These 

Missions match 

American executives 

with potential 

customers abroad, 

introducing a 

company’s products 

and services to foreign 

markets through prearranged one-on-one 

meetings. 

One of the most 

successful initiatives 

is the Export Training 

Program for Minority 

and Women Owned 

Companies. Firms are 

provided with a 

tailored exporttraining program, 

helping to ensure their 

success in transacting 

business in the global 

market. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

13 
The initiative’s 

important outcome 

includes the 

development of 

strategic partnerships 

with women’s 

organizations such as 

the Business Women’s 

Network (BWN), as 

well as the Small 

Business 

Administration’s 

Office of Women’s and 

the White House 

Women’s Office. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

Even though McEntire has had success franchising internationally, 

surprisingly, she had no previous training on exporting. She found 

that she needed some assistance when contacted by a princess in the 

royal family of Malaysia. The princess wanted to franchise the 

company in Asia, but McEntire did not know how to handle the 

request. “Besides being a director of a school for the handicapped 

and a secretary for my husband’s oil and gas exploration company, I 

had had little business experience,” says McEntire. “So, I picked up a 

phone book and found the Arkansas Export Assistance Center (EAC) 

of the U.S. Department of Commerce. I had a hunch they could 

help.” Dennis Millard, International Trade Specialist at the Little 

Rock, Arkansas Export Assistance Center, took her call, and she has 

been a client ever since. “There are tremendous opportunities for 

people looking to take their business abroad,” he says. “Margaret is a 

very smart business person who needed some assistance on exporting 

which we were able to provide. It’s been a great synergy.” 

The Arkansas EAC has provided Candy Bouquet direct export 

consultations concerning international franchise regulation, intellectual 

property rights, export market strategic planning, country trade 

regulations and standards, market research reports, business and 

cultural insights and advocacy consultation. Also, McEntire 

participated in the 1999 “Women’s Economic Summit of the 

Americas” in Buenos Aires, which was sponsored by the U.S. DOC. 

Candy Bouquet’s participation in U.S. DOC-led Eastern Europe 

Trade Mission in 1997 and the Women In Trade Mission to South 

America in 1999 proved to be lucrative, resulting in franchise 

agreements with companies in Columbia, Austria and Hungary. 

“Dennis Millard and the Arkansas Export Assistance Center of the 

Department of Commerce have been wonderful,” McEntire says. 

“My father always told me ‘Quitters never win; winners never quit.’ 

He was right. All it takes is a dream, the belief that you can succeed, 

and outside assistance from people who really know what they’re 

doing.” 

MPL Corporation 

MPL Corporation, Buckhannon, WV is a developer and designer of 

computer information systems. The firm has been a client of the 

Charleston EAC for approximately six (6) years. Mrs. Linda Wellings, 

President, was referred to the Charleston EAC in June 1994 by 

Congressman Bob Wise's Office to obtain marketing information in 

preparation for a trip to Northern Ireland. While in Northern Ireland, 

she participated in discussions on information systems with 

community action groups such as Ledu (comparable Irish agency to 

U.S. SBA). As MPL's interest in Ireland increased, Mrs. Wellings 

registered to participate in the U.S. Department of Commerce's 

14 
AMBIT program. In addition, Mrs. Wellington participated in the 

White House Conference for Trade and Investment in Northern 

Ireland held in Washington, D.C. - May 24-26, 1995, the U.S. 

Conference for Trade and Investment in Northern Ireland held in 

Pittsburgh, PA - October 6-8, 1996, and Secretary Daley's Trade 

Mission to Northern Ireland and the Border Counties – June 7-11, 

1998. As a result of the Pittsburgh conference, MPL met an Irish 

company who has since through the AMBIT Program become MPL's 

joint-venture partner in developing software training CD's for school 

systems. A training CD was recently developed to be utilized by the 

school system in Scotland and is in the process of being rewritten for 

possible use in American schools. MPL's successful joint-venture 

partnership can be attributed to persistent efforts and participation in 

the above events. This is an excellent example of how our rural 

outreach effort and Women in International Trade Initiative have 

contributed to the success of a small business client. 

VI. Lessons Learned 

Women owned business entrepreneurs face many challenges if they are 

to be successful. “By exporting products and services to the 

international marketplace, women-owned businesses spread their risks 

and benefit from the potential of a much larger market” says Elizabeth 

Sears. “Exporting means they diversify their markets so they are less 

subject to season or economic fluctuations. They can spread their 

production costs to a larger base and get ideas about new products or 

different marketing and finance approaches. In the global marketplace, 

fifty-seven percent of women-owned businesses developed a new 

product or service compared to forty-four percent of those not in 

international trade. Since the U.S. market represents only about five 

percent of the world population, exporting can mean increased total 

sales and profitability. In other words, exporting is a sound business 

practice.” Women-owned businesses involved in international trade 

also have higher growth rates than those not involved in international 

trade. “As they work toward penetrating foreign markets and the 

exporting process, small and medium-sized U.S. women-owned 

businesses have a huge resource in the U.S. Department of Commerce. 

The Commerce Department’s Women in Trade Initiative focuses on 

helping this under-served group to succeed in the international 

marketplace” says Elizabeth Sears. “In effect, we have been successful 

at helping women do international business better.” As these success 

stories and many others show, the U.S. Department of Commerce is 

dedicated to helping every woman-owned business enjoy the economic 

benefits of exporting. 

“By exporting 

products and services 

to the international 

marketplace, womenowned businesses 

spread their risks and 

benefit from the 

potential of a much 

larger market. In the 

global marketplace, 

fifty-seven percent of 

women-owned 

businesses developed 

a new product or 

service compared to 

forty-four percent of 

those not in 

international trade. 

Since the U.S. market 

represents only about 

five percent of the 

world population, 

exporting can mean 

increased total sales 

and profitability. In 

other words, exporting 

is a sound business 

practice.” 

Elizabeth Sears 

Deputy Assistant Secretary 

for Domestic Operations 

Department of Commerce 

International Trade 

Administration 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

15 
“In the last decade or 

so, the growth of 

women-owned 

businesses outpaced 

overall business 

growth by nearly two 

to one. If we want to 

grow our exports, we 

need this fast-growing 

segment exporting.” 

Former Secretary of 

Commerce, William Daley at 

the International Women’s 

Day Breakfast, March 1999 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

For more information about the Department of Commerce’s 

International Trade Administration, please contact: 

Misty Dippel 

Outreach Programs Assistant 

14th and Constitution Ave., NW 

Room 3810 

Washington, DC 20230 

Phone: 202-482-1170 

Fax: 202-482-0687 

Email: Misty.Dippel@mail.doc.gov 

16 
 

� � � 

The President’s Interagency Council on 

Women and the Vital Voices Global 

Democracy Initiative 

I. Description of Program 

The Vital Voices Global Democracy Initiative of the President’s 

Interagency Council on Women is an ongoing global initiative that 

implements U.S. Secretary of State Madeleine Albright’s 

commitment to promote the advancement of women as a U.S. 

foreign policy objective. This initiative enjoys the active support of 

First Lady Hillary Rodham Clinton, honorary chair of the President’s 

Interagency Council on Women. The Department of Commerce, the 

Department of Justice, and the Department of Labor also participate 

in Vital Voices efforts. 

II. Program History 

President Clinton established the President's Interagency Council on 

Women in August 1995, on the eve of the United Nations Fourth 

World Conference on Women in Beijing, in order to “make sure that 

all the effort and good ideas actually get implemented when we get 

back home.” 

Since the 1995 mandate, the President's Council has coordinated 

implementation of the Platform for Action at the Federal level, and 

worked with individual agencies to develop crosscutting initiatives to 

further women's progress. The Council engages in outreach and 

public education that supports the goals of the Platform for Action 

goals that improve the status and well-being of women and their 

families, both domestically and internationally. 

On March 30th, 2000 The President's Council formally introduced 

the 2000 edition of America's Commitment, a comprehensive fiveyear review of U.S. government programs, policies, and initiatives 

that promote the advancement of women. The report measures U.S. 

government efforts against the goals of the UN Platform for Action, 

the final consensus document adopted by 189 nations at the UN 

Women's Conference. The Platform is the strongest statement of 

women's empowerment ever made by the international community. 

Among the programs promoted by the Interagency Council, The 

Vital Voices Initiative has been heralded as a premier initiative on 

women’s issues. The Vital Voices Initiative is directed by Theresa 

Loar, Director of the President’s Interagency Council on Women. 

President Clinton 

established the 

President's 

Interagency Council 

on Women in August 

1995, on the eve of the 

United Nations 

Fourth World 

Conference on 

Women in Beijing, in 

order to “make sure 

that all the effort and 

good ideas actually 

get implemented 

when we get back 

home.” 

Since the 1995 

mandate, the 

President's Council 

has coordinated 

implementation of the 

Platform for Action at 

the Federal level, and 

worked with 

individual agencies to 

develop crosscutting 

initiatives to further 

women's progress. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

17 
� � � 

The first Vital Voices 

Initiative was launched 

with the Vital Voices 

Conference in Vienna, 

Austria, in July 1997 to 

recognize and support 

the critical role women 

play around the world 

in building 

democracies, 

strengthening 

economies, and 

sustaining peace. 

U.S. Government, in 

partnership with the 

Inter-American 

Development Bank, 

the United Nations, 

the World Bank, the 

Nordic Council of 

Ministers, the 

European Union, and 

other governments 

coordinated Vital 

Voices Conferences 

throughout the world. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

The first Vital Voices Initiative was launched with the Vital Voices 

Conference in Vienna, Austria, in July 1997 to recognize and support 

the critical role women play around the world in building democracies, 

strengthening economies, and sustaining peace. 

U.S. Government, in partnership with the Inter-American 

Development Bank, the United Nations, the World Bank, the Nordic 

Council of Ministers, the European Union, and other governments 

coordinated Vital Voices Conferences throughout the world. These 

conferences launched regional initiatives to give women in emerging 

democracies and countries in transition, the skills, tools, and resources 

they need to empower themselves, their communities, and their 

countries. 

III. Global Impact 

The Vital Voices Democracy Initiative has had significant impact: 

¤ Vital Voices has brought together over 3000 emerging women 

leaders from over 80 countries. 

¤ 

¤ 

Vital Voices has created new US Government programs and 

policies to support the economic, social, and political 

advancement of women throughout the world. 

Vital Voices has leveraged private sector support in the form of 

in-kind political, media and leadership training, exchanges, 

internships, consulting, grants, and public service 

announcements. 

¤ Vital Voices has created unprecedented partnerships and has 

unleashed a growing global network of people and partners who 

support women building economies, strengthening democracies, 

and sustaining peace. 

IV. Successful Elements of Program 

Vital Voices: Women in Democracy—Vienna, Austria 

The Vienna Conference convened women leaders from the 

governmental and private sectors of central and Eastern Europe, the 

United States, and the European Union. Approximately 300 

participants explored ways to strengthen the role of women as 

democracy-builders through three tracks of workshops: law and 

leadership, politics and public life, and economics and business. The 

Conference, conceived by Swanee Hunt, then U.S. Ambassador to 

Austria, forged partnerships among women. As a result of this effort, 

U.S. government and private sector support for programs and policies 

directed towards the advancement of women and girls significantly 

18 
increased. First Lady Hillary Rodham Clinton affirmed the U.S. 

government’s support for women as democracy-builders and 

announced a U.S. government commitment of $3,000,000 for Vital 

Voices follow-up projects. At the Conference Secretary of State 

Madeleine K. Albright stated, “We know that we cannot build the 

kind of future we want without the contributions of women. And we 

know that around the world, women will only be able to contribute 

to our full potential if we have equal access, equal rights, equal 

protection and a fair chance at the levers of economic and political 

power. Advancing the status of women is the right thing to do; and, 

frankly, it is the smart thing to do.” 

Vital Voices: Women in Democracy—Belfast, Northern Ireland 

On May 7, 1998, President Clinton announced the Vital Voices of 

Northern Ireland Initiative to “showcase and support women’s role 

in the economic and political life of their society” as part of the U.S. 

government’s initiatives to support Northern Ireland’s Good Friday 

Agreement. He said, “The women of Northern Ireland – wives, 

mothers and daughters – have borne an enormous share of trauma 

of The Troubles. Now, their participation will be essential to build a 

future of peace and reconciliation.” 

Vital Voices of Northern Ireland was launched by First Lady Hillary 

Rodham Clinton in Belfast, Northern Ireland, at a regional 

conference held August 31 to September 2, 1998. The U.S. 

government co-sponsored this event with the Secretary of State for 

Northern Ireland and the First and Deputy First Ministers of the 

Northern Ireland Assembly. The Department of Justice’s violence 

Against Women Office, the U.S. Department of Labor, the U.S. 

Commerce Department, and the U.S. Small Business 

Administration were also part of the U.S. delegation. 

The Conference brought together 400 women and men from 

Northern Ireland, Ireland, Scotland, Wales, England, and the United 

States to establish new relationships, expand partnerships, and secure 

resources to strengthen the roles of women in democracy. The First 

Lady announced more than $2,000,000 in public-private partnerships 

to support Vital Voices of Northern Ireland. These partnerships 

include training, consulting, mentoring, internships, exchanges, and 

in-kind products and services for the following four objectives 

identified at the conference: support community organizations, 

expand child care services, provide assistance to women in business, 

and strengthen advocacy and leadership skills. 

Vital Voices: Women in Democracy—Montevideo, Uruguay 

The Department of State, the U.S. Agency for International 

Development, the United States Information Agency, and the 

“We know that we 

cannot build the kind 

of future we want 

without the 

contributions of 

women. And we know 

that around the world, 

women will only be 

able to contribute to 

our full potential if we 

have equal access, 

equal rights, equal 

protection and a fair 

chance at the levers of 

economic and 

political power. 

Advancing the status 

of women is the right 

thing to do; and, 

frankly, it is the smart 

thing to do.” 

The Honorable 

Madeleine K. 

Albright, Secretary of 

State 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

19 
� � � 

Vital Voices: Women 

in Democracy – 

Montevideo , Uruguay, 

was the first of its kind 

to bring together 

women from all over 

the hemisphere, was 

part of a global 

initiative of First Lady 

Hillary Rodham 

Clinton and Secretary 

of State Madeleine K. 

Albright to promote 

women in democracy. 

These women came 

together to examine 

the status of women 

and to develop 

strategies for 

advancing their role in 

democracy along three 

thematic tracks: law 

and leadership, politics 

and public life, and 

economic integration 

and business growth. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

Inter-American Development Bank sponsored the Vital Voices of the 

Americas conference, held in Montevideo, Uruguay, from October 1 

to 3, 1998. The Department of Justice’s Violence Against Women 

Office and the Small Business Administration also part of the U.S. 

delegation. This historic conference, the first of its kind to bring 

together women from all over the hemisphere, was part of a global 

initiative of First Lady Hillary Rodham Clinton and Secretary of State 

Madeleine K. Albright to promote women in democracy. The 

Montevideo conference brought together approximately 400 women 

leaders from Canada, the United States, Latin America, and the 

Caribbean. Women represented all social and political roles, including 

a former prime minister, a former vice president, current ministers, 

senators and congresswomen, labor leaders, heads of international 

corporations, and heads of non-governmental organizations and civil 

society groups. These women came together to examine the status of 

women and to develop strategies for advancing their role in 

democracy along three thematic tracks: law and leadership, politics 

and public life, and economic integration and business growth. 

Based on the strategies developed at the Vital Voices conference, U.S. 

embassies in the Western Hemisphere are working with delegates to 

help implement country-specific action plans. Proposals include 

developing training programs on how to run for political office and 

how to start a business; providing women greater access to 

microcredit; enforcing legislation to protect women (for example, 

domestic violence); and creating networks of resources and contacts. 

The Department of State has also facilitated follow-up meetings with 

Vital Voices delegates during stops in Mexico and Central America by 

First Lady Hillary Rodham Clinton. The State Department provided 

$100,000 in FY 1999 for four regional political training workshops in 

Guatemala, Brazil, Trinidad, and Bolivia and supported a follow-up 

Vital Voices conference in Trinidad September 29 to October 1, 1999, 

to examine issues specific to those small island nations. The State 

Department is also working with the Organization of American States’ 

Inter American Commission on Women and the Summit of the 

Americas process to incorporate Vital Voices objectives into those 

fora. 

Caribbean Vital Voices: Women in Democracy—Port-of-Spain, 

Trinidad 

The Department of State in partnership with the United Nations 

Information Agency co-sponsored a Caribbean Vital Voices 

Conference that was held September 29 to October 1, 1999, in Portof-Spain, Trinidad. The Conference provided a forum for establishing 

a sustainable culture of support for women in leadership in the 

Caribbean and focused on establishing a mentoring system for young 

20 
women. The Conference examined ways to address the culture of 

inequality, politically, economically, and socially; to create a 

mentoring system to ensure that skills and experience are transferred 

from one generation to the next; to create institutions to support the 

implementation of reforms to benefit women; and to promote 

women in business, labor, and politics. Officials from the 

Department of State and the President’s Interagency Council on 

Women attended. First Lady Hillary Rodham Clinton addressed the 

conference via video. 

Vital Voices: Women in Democracy—Reykjavik, Iceland 

The Department of State’s Bureau of European Affairs worked in 

partnership with the President's Interagency Council on Women to 

support a Conference on Women and Democracy in conjunction 

with the Vital Voices Democracy Initiative. The Conference took 

place in Reykjavik, Iceland, from October 8 to 10, 1999. Iceland 

hosted the Conference, with the U.S. government and the Nordic 

Council of Ministers co-sponsoring. First Lady Hillary Rodham 

Clinton attended and addressed the Conference. The Conference 

brought together women from governments, the media, business, 

non-governmental organizations, the legal community, academia, 

and elected officials from Russia, the Baltic countries, the Nordic 

countries, and the United States. Its goals were to promote regional 

cooperation, strengthen democracy, and bolster the role of women 

through the development of prosperous market economies. The 

Conference drew on the talents and initiative of the business and 

non-governmental organization communities, as well as 

governments, to develop and implement practical strategies to 

encourage the full participation of women in political and economic 

life. The Conference focused on developing women's potential for 

economic and political leadership, encouraging entrepreneurship, 

supporting networking and mentoring activities, encouraging 

participation in public life, honing learning and leadership skills, and 

making the best use of technology and the media to enhance the role 

of women in the region. 

The Conference was one of the flagship projects of the Northern 

European Initiative, in partnership with the Vital Voices Democracy 

Initiative. In 1998 the government of Iceland proposed hosting the 

Conference in 1999, in connection with its millennium celebrations 

and its commitment to democracy and equality for women. Iceland 

prides itself on being the oldest democratically oriented government 

in Europe and having the first democratically elected woman 

President. The government of Iceland funded the Conference, 

including travel and expenses by the Russian and Baltic participants 

Vital Voices: 

Women in 

Democracy – 

Reykjavik, Iceland, 

focused on 

developing women's 

potential for 

economic and 

political leadership, 

encouraging 

entrepreneurship, 

supporting 

networking and 

mentoring activities, 

encouraging 

participation in 

public life, honing 

learning and 

leadership skills, 

and making the best 

use of technology 

and the media to 

enhance the role of 

women in the 

region. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

21 
Out of the Vital Voices 

Conferences came 

many initiatives to 

promote women in the 

business and 

entrepreneurial worlds 

including a new 

program to provide 

credit to small 

businesses in Russia, 

with an emphasis on 

meeting the needs and 

developing the 

capacities of women 

entrepreneurs. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

to Iceland. The Nordic Council of Ministers also contributed 

financially to the Conference and to follow-up activities. 

The Conference relied on an innovative public-private partnership to 

implement strategies developed by women in the region. Such 

initiatives include providing internships and training opportunities for 

women, attracting new investment and credits for business start-ups, 

honing media skills, combating discrimination and promoting quality 

through legislative and other means, and increasing non-governmental 

organization effectiveness. 

As a follow-up to this conference, Podesta.com and the US State 

Department co-hosted a media, communications and leadershiptraining seminar in May 2000 in Washington, DC. The US State 

Department also coordinated an business mentoring conference in 

June 2000 in Estonia which matched women in small business in 

Russia and the Baltics with successful business women from the US 

and Nordic countries. The mentoring relationships forged at this 

conference have continued on-line via a list-serv. A follow-up 

conference is planned for the June 2001 in Lithuania to assess the 

results of the Reykjavik conference and progress on issues affecting 

women's political and economic status. The Icelandic Conference web 

site is at www.stjr.is/democracy. The Vital Voices Democracy 

Initiative web site is at www.usinfo.state.gov/vitalvoices. 

V. Success Stories 

First Lady Hillary Rodham Clinton captured a success story shared 

during one of the Vital Voices Conferences. The First Lady stated, “I 

remember one woman from Lithuania who got up and talked about 

how, when she was first running for office, a famous male doctor told 

her that he knew quite a lot about women’s hormones and could 

assure her that there was nothing for a woman to do in politics.” The 

woman then went on to tell the First Lady of how she did not accept 

the doctor’s caution and was elected to Parliament. She challenged the 

fears of her government to guarantee what the First Lady categorizes 

when she states that, “the vital voices of women must break this 

silence.” 

Out of the Vital Voices Conferences came many initiatives to 

promote women in the business and entrepreneurial worlds. U.S. 

Deputy Secretary of State Strobe Talbott announced October 8, 1999 

that the United States would donate one million dollars to establish a 

new program to provide credit to small businesses in Russia, with an 

emphasis on meeting the needs and developing the capacities of 

women entrepreneurs. 

22 
� � � 

Speaking at the conference “Women and Democracy at the Dawn of 

the New Millennium” in Reykjavik, Iceland, Talbott said the U.S. 

donation “is designed to match the generous commitment of the 

Nordic Investment Bank to similar projects in the region.” He added 

that the United States and its Nordic partners would soon launch a 

number of programs to help young professionals -- especially 

women -- from Estonia, Latvia, Lithuania, and Russia to work in 

Western companies to learn law, accounting, marketing and banking 

skills. 

Talbott noted that the transition from communism to democracy, 

from centrally planned economies to free market economies, has 

been particularly harsh on sectors traditionally employing women, 

and that women also have been disproportionately affected by 

increased crime and reduced health care. Finding ways to deal with 

these problems, he said, “will require sustained, multiple and 

mutually reinforcing efforts at every level -- from grassroots to 

global, from village councils to Federal parliaments to international 

organizations.” 

VI. Lessons Learned 

In a meeting at the White House during the first Vital Voices Global 

Exchange in February of 2000 the First Lady met with female 

leaders and government officials to boost the Vital Voices Initiative. 

Clinton spoke of her recent retreat with representatives from Russia, 

Ukraine, Cambodia, and India. Clinton told her guests, “They talked 

about how their women and girls were being lured away from their 

countries with the promise of economic opportunity, shipped like 

drugs by an international crime network and sold into slavery. 

Others talked about what it’s like to be a destination country, home 

to sweatshops, prostitution rings, and domestic bondage that steal 

the freedom and dignity of women and girls.” She went on to say. 

“What became clear during the dialogue was that this is a global 

problem, that the U.S. and every country has a role to play.” The 

Vital Voices Initiative proclaims that no country can forage ahead if 

its women and girls are left behind. 

In a meeting at the 

White House during 

the first Vital Voices 

Global Exchange in 

February of 2000, First 

Lady Hillary Rodham 

Clinton met with 

female leaders and 

government officials 

to boost the Vital 

Voices Initiative. 

Clinton spoke of her 

recent retreat with 

representatives from 

Russia, Ukraine, 

Cambodia, and India. 

The Vital Voices 

Initiative proclaims 

that no country can 

forage ahead if its 

women and girls are 

left behind. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

23 
Vital Voices Global 

Partnership (VVGP) 

was incorporated as a 

non-profit 

organization. VVGP 

will work in 

partnership with the 

US Government’s Vital 

Voices Initiative by 

building upon this 

work and developing 

private sector support 

for this new dynamic 

public-private 

collaboration. VVGP 

will be officially 

launched in 2001. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

For further information about the Vital Voices Initiative, please 

contact: 

Theresa Loar 

Director of the Vital Voices Initiative 

U.S. Department of State 

2201 C Street, NW 

Suite 6934 

Washington, DC 20520-7512 

Phone: (202) 647-5440 

Fax: (202) 647-5337 

VII. Next Steps 

At the Vital Voices Global Exchange in February 2000, fifteen 

emerging women leaders from around the world who are leading Vital 

Voices projects in their countries came together to plan for the future 

of the Vital Voices Initiative. As a result of that historic gathering, the 

Vital Voices Global Partnership (VVGP) was incorporated as a nonprofit organization. VVGP will work in partnership with the US 

Government’s Vital Voices Initiative by building upon this work and 

developing private sector support for this new dynamic public-private 

collaboration. VVGP will be officially launched in 2001. For more 

information about the Vital Voices Global Partnership visit their 

website at www.vitalvoices.org or contact: 

Alyse Nelson 

Director 

Vital Voices Global Partnership 

1301 Connecticut Ave., NW 

Suite 500 

Washington, DC 20036 

Phone: (202) 452-8850 

Fax: (202) 452-8898 

Email: alysenelson@vitalvoices.org 

24 
� � � 

The U.S. Department of the Treasury, 

Community Development Financial 

Institutions Fund Program 

I. Description of Program 

The Community Development Financial Institutions Fund Program 

(CDFI Fund) was created to address the critical problems of urban, 

rural and Native American communities that often lack adequate 

access to capital. The Fund’s vision is an America in which all people 

have access to capital and financial services. The Fund’s mission is to 

promote access to capital and local economic growth by directly 

investing in and supporting community development financial 

institutions (CDFIs) and by expanding financial service 

organizations’ lending, investment, and services within underserved 

markets. 

The Fund makes investments in Community Development Financial 

Institutions (CDFIs). Through these investments, the Fund seeks to 

enhance the capacity of CDFIs to address unmet community 

development finance needs in distressed communities across the 

country. CDFIs are private, for-profit or nonprofit financial 

institutions with community development as their primary mission. 

They include community development banks, community 

development credit unions, nonprofit loan funds, microenterprise 

loan funds, and community development venture capital funds. 

The CDFI Fund represents a new direction in community 

development. The Fund's programs leverage limited public dollars to 

build the capacity of private sector institutions to finance community 

development needs, and the programs help forge partnerships 

between communities and mainstream financial institutions. The 

Fund's efforts are designed to turn dysfunctional markets into well 

functioning local economies. 

II. Program History 

The Community Development Financial Institutions Fund was 

established by the Riegle Community Development and Regulatory 

Improvement Act of 1994. The Fund, a wholly owned government 

corporation, is administered within the Department of the Treasury. 

The Fund's vision and its approach represent a true innovation as a 

Federal initiative. 

The Community 

Development 

Financial Institutions 

Fund’s (CDFI Fund) 

vision is an America 

in which all people 

have access to capital 

and financial services. 

The Fund’s mission 

is to promote access 

to capital and local 

economic growth by 

directly investing in 

and supporting 

community 

development 

financial institutions 

(CDFIs) and by 

expanding financial 

service 

organizations’ 

lending, investment, 

and services within 

underserved 

markets. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

25 
The Fund seeks to 

promote economic 

revitalization and 

community 

development through 

investment in and 

assistance to 

community 

development financial 

institutions (CDFIs) 

and through 

encouraging insured 

depository institutions 

to invest in CDFIs and 

increase lending, 

investment and 

services within 

distressed 

communities. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

Since 1996, the Fund has invested more than $427 million in 

communities throughout the country. In the Fund’s most recent 

round of awards, it provided more than $123 million to more than 

300 financial institutions across the nation – making this the largest 

funding round in the Fund’s history. To date, more than $1 billion in 

overall investment has been stimulated by the Fund’s awards. 

III. Issues Program was Designed to Address 

The Fund seeks to promote economic revitalization and community 

development through investment in and assistance to community 

development financial institutions (CDFIs) and through encouraging 

insured depository institutions to invest in CDFIs and increase 

lending, investment and services within distressed communities. The 

Fund's programs are built on several key principles: 

¤ Stimulation of private markets is critical for rebuilding 

economically distressed areas. 

¤ Building the capacity of community based institutions is critical for 

providing localities with the tools necessary to serve many 

underserved communities. 

¤ An initiative that promotes private sector strategies to achieve 

public policy goals must be based on performance and maximizing 

impact. 

The Fund has four programs that collectively address these principles: 

Its two main programs - the Community Development Financial 

Institutions (CDFI) Program and the Bank Enterprise Award (BEA) 

Program; and its other initiatives, the Native American Lending Study 

Program, the Training Program, and the Presidential Awards for 

Excellence in Microenterprise Development. 

Access to capital is an essential ingredient for creating and retaining 

jobs, developing affordable housing, revitalizing and maintaining 

neighborhoods, building local economies, and enabling people to 

realize their hopes and dreams. There are significant capital gaps in 

distressed communities, and this market niche is not often recognized 

or well understood. This makes it difficult for conventional sources of 

capital to effectively serve low-income people. 

Despite the great strides that have been made as a result of a 

strengthened Community Reinvestment Act in promoting access to 

Credit in underserved neighborhoods, market imperfections still keep 

capital out of these communities. Today, low income communities are 

faced with many challenges -- such as moving families from welfare to 

work, providing basic financial literacy skills, and training unskilled 

26 
� � � 

workers to become job ready. Credit in underserved neighborhoods, 

market imperfections still keep capital out of these communities. 

Today, low income communities are faced with many challenges -­

such as moving families from welfare to work, providing basic 

financial literacy skills, and training unskilled workers to become job 

ready. 

IV. Successful Elements of Program 

The Fund's mission is to promote access to capital and local 

economic growth by directly investing in and supporting community 

development financial institutions (CDFIs) and expanding banks' 

and thrifts' lending, investment, and services within underserved 

markets. 

Currently, the CDFI Fund pursues its mission primarily through six 

initiatives: the CDFI Program, which includes the Core, Technical 

Assistance and Intermediary Components; the Bank Enterprise 

Award (BEA) Program; the Training Program; the Presidential 

Awards for Excellence in Microenterprise Development; the Native 

American Lending Study and Action Plan; and our Policy and 

Research Programs. The CDFI Fund also administers a Certification 

Program for community development financial institutions. 

Community Development Financial Institutions Program 

The Community Development Financial Institutions (CDFI) 

Program uses limited Federal resources to invest in and build the 

capacity of private, for-profit and non-profit financial institutions to 

provide capital and services to underserved people and communities. 

The Fund invests in CDFIs using flexible tools such as equity 

investments, loans, grants, and deposits, depending upon market and 

institutional needs. 

These needs are demonstrated by the applicant CDFI in its business 

plan and in its ability to raise comparable non-Federal matching 

funds, both requirements of the application process. The Fund 

evaluates each applicant CDFI in a manner similar to a private 

investor determining the investment-worthiness of an institution, 

including assessing financial performance, management capacity, and 

market analysis. Thus, the Fund is able to effectively assist these 

organizations to enhance their ability to meet community needs, 

develop, and grow. 

The Fund's mission is 

to promote access to 

capital and local 

economic growth by 

directly investing in 

and supporting 

community 

development financial 

institutions (CDFIs) 

and expanding banks' 

and thrifts' lending, 

investment, and 

services within 

underserved markets. 

The Community 

Development 

Financial Institutions 

(CDFI) Program uses 

limited Federal 

resources to invest in 

and build the capacity 

of private, for-profit 

and non-profit 

financial institutions 

to provide capital and 

services to 

underserved people 

and communities. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

27 
The Bank Enterprise 

Award (BEA) Program 

recognizes the key role 

played by traditional 

financial institutions in 

community 

development lending 

and investing. It 

provides incentives for 

these regulated banks 

and thrifts to invest in 

CDFIs and to increase 

their lending and 

provision of financial 

services in distressed 

communities. The 

BEA Program supports 

the community 

reinvestment efforts of 

these financial 

institutions. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

The CDFI Program has three separate components: 

¤	 Core Component - is the Fund's main program under which 

CDFIs, or entities proposing to become CDFIs, may apply for 

financial and technical assistance. 

¤	 Intermediary Component - is created specifically for 

intermediaries who focus primarily on the financing of other 

CDFIs. 

¤	 Technical Assistance Component - was designed to better meet 

the unmet capacity needs of CDFIs, or entities proposing to 

become CDFIs, who have significant potential for increasing their 

community development impact. It provides resources to CDFIs 

that are typically used to gain expertise through the use of 

consultants, train staff or buy technology for more efficient and 

effective operations. 

In addition to the CDFI funding programs, the Fund administers a 

CDFI Certification Program. The Fund will certify an organization as 

a CDFI if the organization meets each of six eligibility tests set forth 

in the CDFI Program regulations and certification application. These 

tests relate to the organization’s primary mission of community 

development, target market, financing activities, provision of 

development services (training and technical assistance activities), 

accountability to residents of its target market(s), and status as a nongovernmental entity. CDFI certification increases the credibility of 

community lending organizations in the eyes of potential funders and 

investors. An organization that is certified is better able to attract 

private sector investments from local banks, corporations, 

foundations, and individuals. The Fund has certified over 400 

organizations in 49 states, plus the District of Columbia, Puerto Rico, 

and the Virgin Islands. An organization may apply for CDFI 

certification at any time. 

Bank Enterprise Award Program 

The Bank Enterprise Award (BEA) Program recognizes the key role 

played by traditional financial institutions in community development 

lending and investing. It provides incentives for these regulated banks 

and thrifts to invest in CDFIs and to increase their lending and 

provision of financial services in distressed communities. The BEA 

Program supports the community reinvestment efforts of these 

financial institutions. 

Through the first five rounds of the BEA Program, the Fund has 

awarded $134.3 million to banks and thrifts. This $134.3 million 

actually reflects investments in CDFIs and underserved communities 

of $2.97 billion, over 20 times the amount of the Fund’s investment. 

28 
� � � 

To date, banks and thrifts receiving awards have provided $471.9 

million in equity investments and financial support directly to CDFIs, 

and $2.53 billion to distressed communities in the form of direct 

loans, investments and services. 

Training Program 

The Training Program is an element of the Fund’s efforts to build the 

organizational and technical capacity of community development 

organizations to respond to the needs of their Target Markets for 

credit and investment. Through the Training Program the Fund has 

contracted with four training providers to design and deliver 

curriculums tailored to the capacity building needs of CDFIs. The 

Fund has sought to minimize issues related to accessing of training, 

to that end some of the training provided under contract will be 

delivered in a web-based format. Tasking advantage of distance 

learning methodologies reduces the cost and time involved in 

receiving training. Training will be provided through 2002 under the 

training contracts in place. To date the Fund has invested $1.25 

million in training for CDFIs and other community development 

lenders. The Fund anticipates issuing additional contracts in 2001. 

The Training Program, which provides resources to the suppliers of 

training, is a complement to the SECA (formerly TA) Component of 

the CDFI Program, which provides resources in response to the 

demand for training. 

Presidential Awards for Excellence in Microenterprise 

Development 

The CDFI Fund designed and implemented in 1996 a non-monetary 

award program to bring wider attention to the important role and the 

successes of domestic microenterprise development in enhancing the 

economic opportunities of disadvantaged individuals across America. 

Through the first two rounds, a total of 13 organizations have been 

recognized for their work assisting individuals to become successful 

entrepreneurs. The Presidential Awards were created as one of the 

commitments made by the United States at the United Nations 

Fourth World Conference on Women, held in Beijing, China in 

September 1995. 

Native American Lending Study and Action Plan 

The CDFI Fund is conducting a study on lending and investment 

practices on Indian reservations and other lands held in trust by the 

United States. Input is being solicited through a series of regional 

workshops throughout the United States from tribal leaders, economic 

and financial planners, bankers, Federal agencies, secondary market 

organizations and state agencies. The participants in these workshops 

To date, banks and 

thrifts receiving 

awards have provided 

$471.9 million in 

equity investments 

and financial support 

directly to CDFIs, and 

$2.53 billion to 

distressed 

communities in the 

form of direct loans, 

investments and 

services. 

Through the Training 

Program the Fund has 

contracted with four 

training providers to 

design and deliver 

curriculums tailored 

to the capacity 

building needs of 

CDFIs. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

29 
The Community 

Development Financial 

Institutions Fund is a 

wholly owned 

government 

corporation within the 

U.S. Department of the 

Treasury. Its vision: an 

America in which all 

people have fair and 

equal access to capital 

and financial services. 

Its mission: promote 

access to capital and 

local economic growth 

by directly investing in 

and assisting in 

community 

development financial 

institutions and 

expanding financial 

service organizations’ 

lending, investment, 

and services within 

underserved markets. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

are identifying barriers to lending and investment on Native American 

lands; describing the impacts of the barriers; and developing strategies 

and action plans for eliminating the barriers. The findings will assist 

the CDFI Fund in developing a report to the President and Congress 

that will include policy, statutory and regulatory recommendations 

designed to increase private investments on Native American lands. 

V. Success Stories 

The Fund's investments are making a difference in communities. For 

example: 1996 CDFI Program Awardee, Cascadia Revolving Fund, 

made a loan to Nancy Stratton of Port Haddock, WA to open a day 

care center in her home. Nancy knew that her previous credit 

problems and lack of business experience would prevent her from 

obtaining financing through traditional sources. Cascadia worked with 

Nancy to refine her business plan and make a loan to help her start a 

now successful business. 

A 1996 BEA Program Awardee, Central Bank of Kansas City, was 

awarded $99,869 for increasing its deposit-taking activities and 

consumer and commercial real estate, housing, and business loans in 

distressed neighborhoods. During the first six months of 1996, this 

bank provided more than $8.3 million in loans and services. In 

addition to facilitating neighborhood redevelopment through its 

single- and multi-family housing activities, the bank made a significant 

loan to help a major manufacturer and employer remain in the 

community. 

VI. Lessons Learned 

The Community Development Financial Institutions Fund is a wholly 

owned government corporation within the U.S. Department of the 

Treasury. Its vision: an America in which all people have fair and equal 

access to capital and financial services. Its mission: promote access to 

capital and local economic growth by directly investing in and assisting 

in community development financial institutions and expanding 

financial service organizations’ lending, investment, and services 

within underserved markets. 

Although the program is not designed exclusively for women, the 

Fund provides financial and technical assistance to many organizations 

owned or operated by women and organizations that serve women 

and other people lacking adequate access to capital, credit, and other 

financial services. 

30 
For more information about the Community Development Financial 

Institutions Fund, please contact: 

Department of the Treasury 

CDFI Fund 

601 13th Street, NW 

Suite 200-South 

Washington, DC 20005 

Phone: (202) 622-8662 

Fax: (202) 622-7754 

Email: cdfihelp@cdfi.treas.gov 

Web site: www.treas.gov/cdfi Although the program 

is not designed 

exclusively for 

women, the Fund 

provides financial and 

technical assistance to 

many organizations 

owned or operated by 

women and 

organizations that 

serve women and 

other people lacking 

adequate access to 

capital, credit, and 

other financial 

services. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

31 
32
 
Export-Import Bank of the U.S., Minority 

& Women-Owned Business Outreach 

Initiative 

I. Description of Program 

Export-Import (Ex-Im) Bank is an independent Federal government 

agency that finances the export of U.S. goods or services when 

private sector financing is unavailable. The Bank’s mission is to 

sustain and increase U.S. jobs through exporting. Last year, the Bank 

implemented a Minority & Women-Owned Business Outreach 

Initiative to increase awareness of Ex-Im Bank’s export financing 

opportunities for minority & women-owned businesses. The 

Initiative’s vision is to make every minority & women-owned business 

aware of the Bank and its services, and to increase the number of 

minority & women owned businesses that export U.S. goods and 

services by providing financing support for their export sales. 

Benefits of Export Credit Insurance 

The ability to offer financing or credit terms is often the most critical 

element in competing for, and winning, export sales. Increasingly, 

foreign buyers expect the U.S. supplier to offer "open account" or 

unsecured credit terms rather than pay by letters of credit which may 

be expensive or cash in advance. Using the Ex-Im Bank to insure 

open account payment terms will often be the most attractive payment 

option for foreign customers. Short-term interest rates are quite high in 

many foreign markets so the ability to offer customers U.S. dollar 

credit in interest rates of single digits can mean a dramatic increase in 

sales to these customers. These customers are now in a position to 

pass on this attractive credit to their customers to increase sales. 

With Ex-Im Bank insuring the credit, the U.S. exporters’ banks 

typically charge interest rates ranging from 1.5 percent -2.5 percent 

over the London Interbank Offered Rate to the U.S. exporter to 

finance the credit. The “LIBOR” is currently 7.00 percent so the 

financing that can be offered to the customer is in the range of 8.50­

9.50 percent. Compare these rates to those in Mexico where interest 

rates range from 30-40 percent. Open account credit is also much 

more attractive to foreign customers than requiring payment by letter 

of credit. In addition to the high fees charged by foreign customers’ 

banks to open a letter of credit (L/C), some banks in emerging 

markets such as Venezuela also require buyers to put up more than 

100 percent collateral to open the L/C. some banks in emerging 

markets such as Venezuela also require buyers to put up more than 

100 percent collateral to open the L/C. 

The Export-Import 

Bank’s Minority & 

Women-Owned 

Business Outreach 

Initiative mission is to 

make every minority 

& women-owned 

business aware of the 

Bank and its services, 

and to increase the 

number of minority & 

women owned 

businesses that export 

U.S. goods and 

services by providing 

financing support for 

their export sales. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

33 
� � � 

Although the Initiative 

is still in its infancy 

(launched in October 

1999), the results to 

date are impressive: 

the number of 

minority & womenowned businesses 

using export credit 

insurance has 

increased from 60 to 71 

a percentage increase 

of 18 percent and 

working capital 

guarantees provided to 

women-owned 

businesses increased 

to $14.5 million from 

$1.1 million. 

Currently, the 

Initiative is focusing 

its efforts using four 

outreach strategies: 

Association and 

Organization 

Partnerships; Bank 

Sponsored Seminars; 

Publications and 

Direct Mail. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

It is important to note that Ex-Im Bank has no minimum transaction size. 

II. Program History 

Congress has mandated that Ex-Im Bank increase its outreach efforts 

to minority and women-owned businesses. As a direct response from 

this mandate, Ex-Im Bank launched the Initiative in October 1999. 

Although the Initiative is still in its infancy, the results to date are 

impressive: the number of minority & women-owned businesses using 

export credit insurance has increased from 60 to 71 a percentage 

increase of 18 percent and working capital guarantees provided to 

women-owned businesses increased to $14.5 million from $1.1 

million. 

III. Issues Program was Designed to Address 

The Initiative seeks to provide minority & women-owned exporters, a 

traditional underserved segment of the business community, similar 

export financing support enjoyed by other U.S. exporters. The initial 

focus was building awareness within the minority and women-owned 

business community because the Bank recognized that women-owned 

business did not have access to sources of export capital and that their 

transactions were often too small to interest commercial lenders. 

IV. Successful Elements of the Program 

The Initiative’s mission is to increase the number of minority &
 

women owned businesses that export U.S. goods and services by
 

providing export credit insurance for exporters and guarantees to
 

lenders that finance export sales. Currently, the Initiative is focusing
 

its efforts using four outreach strategies:
 

¤ Association/Organization Partnerships;
 

¤ Bank Sponsored Seminars;
 

¤ Publications, and
 

¤ Direct Mail.
 

Association/Organization Partnerships 

Although the Initiative has limited resources, the Bank maximizes its 

efforts through partnerships with trade and business associations by 

offering their members information essential to competing 

successfully in the global marketplace. In addition, our partnerships 

with bank associations have increased the number of financial 

institutions that are providing export-financing services to help 

minority & women-owned businesses. 

34 
� � � 

As part of the Initiative, the Bank offers seminars to minority & womenowned businesses offering a wealth of information concerning how to 

find a foreign buyer and how to finance your foreign buyer. 

The Bank publishes a quarterly awareness building newsletter directed 

at minority & women-owned businesses. The newsletter identifies any 

changes that have occurred within the Bank and the Initiative and 

includes information on the type of transactions that minority & 

women-owned business have successfully completed. 

V. Success Stories 

The Initiative is making a difference within the minority & womenowned business communities. For example: Maria de Lourdes 

Sobrino, President & CEO, LuLu’s Dessert and Fancy Fruit was 

able to win a contract with Nueva Wal*Mart De Mexico, S.R.L. De 

C.V. by offering her buyer credit terms. Maria has an insurance policy 

with Export-Import Bank, which covers her payment from the buyer 

against default. 

Maria stated, “she can sleep comfortable at night knowing that 

Ex-Im Bank is taking the risk of non-payment and not her company.” 

Wildflower Inc. is a small women-owned company in Santa Fe, New 

Mexico. Wildflower exports telecommunication equipment, corrugated 

products and medical supplies. Wildflower uses short term insurance 

to offer “open account” credit terms to foreign buyers. They have 

been able to expand sales in countries across the globe including, 

Mexico, Thailand, Greece and Turkey. Kimberly DeCastro, 

President & CEO. Wildflower Inc. states, “When my company 

started exporting, we simply described ourselves as a foreign trade 

company. Ex-Im Bank’s Export Credit Insurance recently enabled us 

to win a $150,000 sale to a buyer in Israel. Our ability to finance the 

foreign buyer is the tool that most often delivers us to success.” 

I. Lessons Learned 

Although this Initiative is not designed exclusively for women, the 

Initiative provides financial and technical assistance to many businesses 

owned or operated by women and organizations that serve women that 

are interested in the export market. The Initiative has been in existence 

for one year and is fast evolving into a more comprehensive effort to 

fulfill the Bank’s underserved market mandate. 

As part of the 

Initiative, the Bank 

offers seminars to 

minority & womenowned businesses 

offering a wealth of 

information 

concerning how to 

find a foreign buyer 

and how to finance 

your foreign buyer. 

The Initiative has 

been in existence for 

one year and is fast 

evolving into a more 

comprehensive effort 

to fulfill the Bank’s 

underserved market 

mandate. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

35 
The Export-Import 

(Ex-Im) Bank is an 

independent Federal 

government agency 

that finances the 

export of U.S. goods or 

services when private 

sector financing is 

unavailable. The 

Bank’s mission is to 

sustain and increase 

U.S. jobs through 

exporting. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

For more information about the Export-Import Bank Minority & 

Women-Owned Business Outreach Initiative, contact : 

Export-Import Bank of the U.S. 

811 Vermont Ave, NW 

Suite 927 

Washington, DC 20571 

Phone: (202) 565-3900 

Fax: (202) 565-3931 

Email: bdg@exim.gov 

Web site: www.exim.gov 

36 
� � � 

The National Women’s Business Council 

I. Description of Program 

The National Women’s Business Council (NWBC), an advisory 

panel of the United States government, was created by the United 

States Congress in 1988. The Council must report to Congress 

annually and its charter is reviewed every three years. Congress 

made modifications to the charter in 1994, 1997 and 2000. The 

Council was created to serve as an independent source of advice and 

counsel to the President, the Congress, and the Interagency 

Committee on Women’s Business Enterprise, its public sector 

counterpart in addressing issues of importance to women business 

owners. In the twelve years since its inception, the Council has 

remained focused on addressing the challenges and opportunities 

faced by women business owners and communicating to our elected 

and appointed officials the policy agenda, perspectives, 

recommendations and realities faced by women business owners. 

The Council has targeted its efforts on increasing access to markets, 

capital and business development assistance for women-owned 

businesses as well as raising the visibility of this most dynamic 

market segment. 

II. Program History 

The Women's Business Ownership Act of 1988 [PL 100-533], which 

established the National Women's Business Council, was created by 

Congress and signed into law by President Ronald Reagan on October 

25, 1988. This landmark legislation was the product of a series of 

hearings, initiated by women business owners and presided over by the 

Chairman of the U.S. House Small Business Committee earlier that 

year. The hearings, the proceedings and findings of which were 

integrated into a document entitled "NEW REALITIES, The Rise of 

Women Entrepreneurs," told the story of women guided by 

entrepreneurial spirit, but frustrated by cultural bias and stereotypes 

that restricted their ability to compete fairly and equally with their male 

counterparts. Testimony given by women business owners during the 

hearings underscored the need for greater recognition of women 

business owners through a more accurate profile of their contributions 

to our nation's economy and through the creation of an independent 

entity within the Federal government that would advocate for women’s 

full participation in the economy. 

With the passage of this legislation, the National Women's Business 

Council was established and charged with working with Federal 

agencies, women entrepreneurs and women’s business organizations to 

The National 

Women’s Business 

Council (NWBC), an 

advisory panel of the 

United States 

government, was 

created by the United 

States Congress in 

1988. 

The Council was 

created to serve as an 

independent source of 

advice and counsel to 

the President, the 

Congress, and the 

Interagency 

Committee on 

Women’s Business 

Enterprise, its public 

sector counterpart in 

addressing issues of 

importance to women 

business owners. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

37 
� � � 

The members of the 

Council are prominent 

women business 

owners and leaders of 

business organizations 

nominated by 

members of Congress 

and appointed by the 

President. 

The mission of the 

Council is to promote 

bold initiatives, 

policies and programs 

designed to support 

women’s business 

enterprises at all stages 

of development in the 

public and private 

sector marketplaces. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

assess the growth of women's entrepreneurship nationwide and to 

identify the barriers that remain. The council was directed to report its 

findings to the President and to the Congress annually with 

recommendations to remedy inequities and to remove discriminatory 

policies and practices. 

Since its inception, Congress has reviewed the Council’s charter several 

times and has acted to restructure, improve and expand the membership 

and functions of the National Women's Business Council to assume an 

even greater advocacy role on behalf of women entrepreneurs. Together 

with its public sector counterpart, the Interagency Committee on 

Women's Business Enterprise, the interests of the women's business 

owner constituency too long ignored are well represented. 

The members of the Council are prominent women business owners 

and leaders of business organizations nominated by members of 

Congress and appointed by the President. Its public sector 

counterpart, the Interagency Committee on Women’s Business 

Enterprise, is comprised of senior officials from 9 Cabinet level 

Departments and agencies. The Chair, appointed by the President, is 

a senior White House official. 

III. Issues Program was Designed to Address 

The mission of the Council is to promote bold initiatives, policies and 

programs designed to support women’s business enterprises at all 

stages of development in the public and private sector marketplaces. 

The Council and the Interagency Committee on Women’s Business 

Enterprise have effectively established a public/private sector 

partnership to promote an economic environment conducive to 

business growth and development for women-owned businesses and 

have focused on four key areas of program and policy development: 

¤ Expanding public and private market opportunities for womenowned business; 

¤ Expanding the financial resources available to women’s business 

owners and ensuring access to them; 

¤ Promoting leadership initiatives, research and data collection to 

create a comprehensive profile of the women’s business sector and 

public awareness of this profile; 

¤ Strengthening the training, technical assistance and networking 

infrastructure that serves the women’s business sector. 

38 
� � � 

IV. Successful Elements of Program 

Access to Markets 

Beginning in the late 1970s, several official inquiries were made into 

the challenges faced by women business owners seeking to sell 

goods and services to the Federal government. In 1985, it was 

estimated that $200 billion was spent annually by the government for 

goods and services but that less than 1 percentage of those contracts 

went to women owned businesses. When the Council was formed, 

developing initiatives that would increase women’s access to 

contracts was a top priority. The Council’s recommendations led to 

the following actions: 

¤	 1994: the passage of a Federal government-wide, 5 percent 

contracting goal for women. 

¤	 1995: public hearing hosted by the Council led to establishment 

of two non-government women’s business certification 

organizations. 

¤	 1996: Summit hosted by Council established consensus policy 

agenda with identified access to market opportunities as top 

priority. 

¤	 1998: Second Summit hosted by Council, identified existing 

model programs and successful outreach initiatives that have 

increased women’s participation in these markets; and envisioned 

an infrastructure that will enhance the competitiveness and 

viability of women as contractors and suppliers. 

¤	 1998: Council prepared report analyzing 11 years of government 

statistics detailing contract awards to women business owners. 

¤	 1999: The NWBC and the Leadership Council of the Women’s 

Economic Summit presented to the President and Congress the 

Master Plan of Summit ’98. The Master Plan outlined “actions 

that make a difference” and established a blueprint for public 

and private sector strategies to accelerate women’s access to the 

public and private markets. 

¤ 1999: NWBC released the NWBC Best Practices Guide: Contracting 

with Women which profiles model programs from the public 

(Federal, state and local) and private sectors that have been 

successful in increasing contract awards to women-owned firms. 

The Council found that the most successful programs 

incorporate a combination of the following elements: (1) 

Commitment from the top, (2) Focused outreach, (3) Targeted 

solicitation, (4) Mentoring, (5) Certification, (6) Accountability, 

and (7) Community Partnership. 

¤	 Spring 2000: Council organized a coalition of women’s business 

advocates and organizations to work with the White House to 

outline a substantive program designed to increase Federal 

In 1985, it was 

estimated that $200 

billion was spent 

annually by the 

government for 

goods and services 

but that less than 1 

percentage of those 

contracts went to 

women owned 

businesses. When 

the Council was 

formed, developing 

initiatives that 

would increase 

women’s access to 

contracts was a top 

priority. 

In 1994, the United 

States Congress 

supported the 

Council’s 

recommendation 

and passed a 5 

percent Federal 

contracting goal for 

women-owned 

businesses. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

39 
� � � 

In 1992, the Council’s 

annual report reported 

that access to capital 

was the “foremost 

barrier” to successfully 

launching and growing 

women’s businesses. 

That year in 

collaboration with the 

Federal Reserve, the 

Council hosted the first 

of a series of access to 

capital Expert Policy 

Workshops. 

The dramatic increase 

of women in the 

workforce and the 

heightened awareness 

of women’s vital 

contribution to the 

marketplace effected 

fundamental changes 

in financial 

institutions’ lending 

practices. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

contracting opportunities for women-owned businesses. On May 

23, 2000, President Clinton issued Executive Order No. 13157 

that underscores the Administration’s commitment to meeting 

the 5 percent women's procurement goal and outlines strategies 

for increasing competitive contracting opportunities. 

¤	 Fall 2000: The Council and the IACWBE, teamed up to develop 

WomenBiz.gov, the official web site for women-owned 

businesses selling to the government. WomenBiz.gov streamlines 

access to the contracting marketplace by providing 

interconnectivity among the 1,000s of .gov sites that offer 

information on and access to Federal procurement opportunities. 

¤	 Winter 2000: Council releases report detailing the experiences 

and suggestions of over 5000 of the most successful women 

contractors. 

Access to Capital 

In 1992, the Council’s annual report reported that access to capital 

was the “foremost barrier” to successfully launching and growing 

women’s businesses. That year in collaboration with the Federal 

Reserve, the Council hosted the first of a series of access to capital 

Expert Policy Workshops. The Council invited lenders, investors, 

government officials, and woman business owners to share their 

views and ideas in an open forum. Subsequent workshops yielded a 

wealth of insight into the changing world of financial institutions and 

business development. 

In the eight years since the Council’s Federal Reserve project was 

initiated, the United States has experienced one of the greatest 

periods of economic expansion in history. And the surge in women’s 

business ownership was a key factor in stimulating and sustaining 

high levels of growth in the economy. The dramatic increase of 

women in the workforce and the heightened awareness of women’s 

vital contribution to the marketplace effected fundamental changes in 

financial institutions’ lending practices. We are now seeing 

substantial evidence of greater access to credit for women-owned 

firms. 

Since 1992, the Small Business Administration has nearly tripled both 

the number and dollar value of loans to women and their women’s 

micro-enterprise lending market is also thriving. Between October 1, 

2000 and June 30, 2000, over 600 microloans (loans in amounts up to 

$25,000) worth about $6.6 million were made to women business 

owners. Yet, even with these new initiatives and lending programs 

designed to close capital gaps, lending to women business owners has 

not kept pace with their demand for capital nor matched their rate of 

growth in numbers and size. 

40 
� � � 

According to the National Foundation for Women Business 

Owners, the number of women-owned businesses in the United 

States doubled since 1988 and, representing a measure of maturity, 

their businesses increased employment fourfold and revenues 

fivefold. While recent reports show that access to credit has eased 

considerably as the supply of capital increases, accessing both debt 

and equity capital is one of the most significant unmet needs of 

women business owners. 

Just as landing a bank loan was the answer to the dreams of women 

hoping to start their own business twenty years ago, the equity 

markets are now the new frontier for women entrepreneurs seeking 

to launch and grow high-growth potential businesses. Since 1995, 

investments in high-growth potential businesses have increased 

dramatically. According to Venture One, venture capitalists invested 

over $78 billion in young companies during that time period. 

Corresponding investments in women-led businesses have not been 

nearly as impressive. In 1995, investments in companies that had a 

woman CEO represented less than 2 percent of all venture capital 

investments, totaling $210 million. The most recent annual statistics 

(1999) showed that women-led firms received 6 percent of the 

investment dollars - $1.9 billion out of $37 billion invested. 

While investments in women-led companies have risen slowly over 

the last few years, the trends are very promising. Venture One 

estimates that 6 percent of companies that received venture capital 

during the first half of 2000 had a woman CEO. The money raised 

by these companies is almost double that raised by women led firms 

in all of 1999. A closer look at the Venture One numbers reveals the 

potential for investments in women-led firms to spike in the next 

few years. Between 1998 and 1999, investments in companies with 

at least one woman on the senior management team jumped from 21 

percent to 41 percent. With the next generation of women CEOs 

expected to come from these management teams, it is logical to 

conclude that a greater percentage of high-growth businesses will be 

women-led in the near future...IF they have the access to the capital. 

The Council has hosted the following summits, forums, and 

workshops and released reports, findings and recommendations in 

an effort to accelerate women’s access to debt and equity capital. 

¤ 1996: Council hosted Summit ’96 which identified access to 

capital as number one policy agenda item. 

¤ 1997: Council hosted Expert Policy Workshops in ten U.S. cities. 

The findings were released in a report entitled Growing Women’s 

Businesses. The workshops, attended by leading bankers, 

The equity markets 

are now the new 

frontier for women 

entrepreneurs seeking 

to launch and grow 

high-growth potential 

businesses. 

In 1995, investments 

in companies that had 

a woman CEO 

represented less than 

2 percent of all venture 

capital investments, 

totaling $210 million. 

The most recent 

annual statistics (1999) 

showed that womenled firms received 6 

percent of the 

investment dollars ­

$1.9 billion out of $37 

billion invested. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

41 
Economic Prosperity, 

Women and Access to 

Credit (NWBC and the 

Milken Institute), 

examines best 

practices initiated by 

government, nongovernmental and 

financial institutions to 

address the demand 

for credit by womenowned businesses. A 

number of innovative 

recommendations that 

would channel 

increased capital flow 

to the smaller growthoriented businesses are 

also included in the 

report. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

investors, regulators and women business owners, examined 

barriers and obstacles created by legislation and regulation and 

made recommendations to Congress and the President, many of 

which have been successfully implemented. Recommendations 

included: development of a small business master plan; creation of 

incentives to encourage small business investments; effectively link 

“lending and learning;” recognition of service-based businesses; 

and redefine work to value self-employment. 

¤	 1998: Council hosted Summit ’98 which set forth action items to 

accomplish access to capital policy recommendations. 

¤	 1999: Council and the Milken Institute convened a roundtable of 

over 50 experts to discuss the lending landscape in which business 

is now conducted and to identify model programs that have been 

successful in increasing access to capital for women-owned 

businesses in the non-collateral based services, retail and 

technology sectors. 

¤	 2000: Council released Economic Prosperity, Women and Access to 

Credit. This report examines best practices initiated by 

government, non-governmental and financial institutions to 

address the demand for credit by women-owned businesses. A 

number of innovative recommendations that would channel 

increased capital flow to the smaller growth-oriented businesses 

are also included in the report. 

¤	 2000: Council, in collaboration with leading entrepreneurial and 

business organizations, key technology partners and sponsors, 

launched a series of venture capital forums - SPRINGBOARD 

2000 - showcasing women entrepreneurs in technology and life 

science companies. These forums are designed to increase equity 

investments in women-led firms and facilitate new deal flow to 

investors. 

Promoting Research and Developing the Statistical Profile 

To address the needs of this dynamic business sector, in 1995 the 

Council and the Interagency Committee on Women’s Business 

Enterprise prepared a catalog of Federal programs and initiatives 

created to address the business development needs of women 

business owners. The findings were released to the President, the 

Congress and the public along with the results of the 1992 U.S. 

Census Bureau’s Survey of Women-Owned Business Enterprises 

(SWOBE). This Survey is conducted every five years as a part of the 

Bureau’s Economic Census and is the only source of national data on 

selected economic, demographic, and sociological characteristics 

among all businesses. Policymaking officials of the Federal, state and 

local government rely on this data to track economic activity and 

direct economic resources and program assistance to businesses. 

42 
These data are also the foundation for research conducted by nongovernmental organizations and academic institutions whose work 

has led to a greater awareness of the contributions and market 

potential of women. The impact of this research has been significant 

for women owners, leading to the establishment of targeted lending 

and diversified market programs aimed at the newest entrants into 

the marketplace: women business owners. 

¤	 1995: Council hosted first research agenda meeting- released a 

report entitled National Research Agenda for Women’s 

Entrepreneurship which identified topics that warranted new or 

further research on women’s business enterprise. 

¤	 1996: Council and Interagency Committee issued 1992 census 

survey results. 

¤	 1997: Council recommends to OECD that an international data 

collection effort be undertaken to mirror the statistics available 

on women business owners through the US Bureau of the 

Census. 

¤	 1997: Council works with Congress and the Small Business 

Administration to ensure annual funding for the Census SWOB 

survey. 

¤	 1998: Congress provides Council with budget to support and 

conduct research. These funds have served as a catalyst for 

attracting funding from other sources and institutions to support 

research on women business ownership. 

¤	 2000: Council supports on going research effort into women’s 

entrepreneurship conducted by consortium of women professors 

- the Diana Group - from several prominent academic
 

institutions.
 

Leadership and Advocacy 

The mission of the National Women’s Business Council is to 

represent the interests of women business owners before the 

President and Congress and to serve as a strong voice within the 

government, advocating for the views and perspectives of this 

constituency. The Council has been on the forefront of creating 

coalitions and encouraging private sector initiatives that would 

advance the interests of women business owners. 

¤	 1996, Council hosted the first-ever Women’s Economic Summit 

to examine the critical issues facing women business owners. 

The event brought together hundreds of experts, leaders and 

advocates in the women’s business community and produced an 

eight-point agenda that would inform future policies and 

initiatives. 

The Council, in 

collaboration with 

leading 

entrepreneurial and 

business 

organizations, key 

technology partners 

and sponsors, 

launched a series of 

venture capital forums 

- SPRINGBOARD 

2000 - showcasing 

women entrepreneurs 

in technology and life 

science companies. 

These forums are 

designed to increase 

equity investments in 

women-led firms and 

facilitate new deal 

flow to investors. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

43 
The mission of the 

National Women’s 

Business Council is to 

represent the interests 

of women business 

owners before the 

President and 

Congress and to serve 

as a strong voice 

within the government, 

advocating for the 

views and perspectives 

of this constituency. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

¤	 1998: Council hosted its second women’s economic forum, 

Summit’98 and, together with the Summit’s leadership council, 

released a Master Plan of actions to accelerate and propel the 

growth of women-owned businesses into the 21st century. The 

plan, which was presented to Congress and the President in March 

1999, serves as the blueprint for building the infrastructure to 

support women in taking their businesses to the next level. 

¤	 1999: Council partnered with several women’s business 

organizations and corporations to launch the first Entrepreneurial 

Action Day: It's Our Business on June 3, 1999. Entrepreneurial Action 

Day, a leadership initiative conceived at Summit ‘98, involved a 

series of coordinated events in state capitals and cities across the 

U.S. highlighting the impact of women-owned businesses on state 

and national economies and supporting investments in womenowned-businesses. 

¤	 2000: The NWBC launched a State Economic Networks initiative 

that addresses ways to maximize the involvement of women 

business leaders in state and local public and private sector 

organizations. The NWBC has a plan to work with business, 

elected and appointed leaders in each state to develop and 

implement programs that will work to create an infrastructure to 

support women’s business enterprise and provide women business 

owners with a voice in the development of economy policy 

decisions. 

V. Success Stories 

ACCESS TO MARKETS: Presidential Executive Order 13157 

(May 23, 2000) 

The United States government spends over $200 billion dollars 

annually for good services making it the largest purchaser in the world. 

And while women’s business ownership is the fastest growing small 

business market sector, women face inherent obstacles accessing the 

procurement market and consequently are awarded the smallest 

percentage of government contracts annually. Since the inception of 

the Council, our greatest challenge has been to break down the 

barriers that exist for women-owned businesses in the procurement 

market and open the doors of opportunity. 

Certain small business sectors have enjoyed great participation in the 

procurement market as a result of established Federal programs 

providing contract set-asides, certification, specialized training, and bid 

price adjustments. Participation in these programs are governed by 

Federal legislation allowing for certain ethnic groups to be presumed 

“socially and economically disadvantaged” for the purposes of 

participating in these contracting programs. While women-owned 

44 
� � � 

businesses are not excluded from these programs, they are not 

considered a presumed group and consequently are subject to a 

rigorous process of proving socially and economic disadvantaged 

business status. 

In 1999, the Council was asked by several of the nation’s leading 

organizations representing women business owners to convene a 

discussion about increasing access to contracting opportunities and 

develop solutions. This discussion led to the filing of a legal petition 

in September 1999 with the Small Business Administration asking 

the agency administrator to grant women-owned businesses the 

“disadvantaged” status needed to freely participate in contract 

assistance programs. 

The Small Business Administration looked to the Council to identify 

recommendations based on the petition and provide solutions that 

would satisfy all parties involved. One such recommendation was an 

official action from the President reaffirming the importance of 

increased access for women to procurement opportunities. This 

recommendation, supported by the national women’s organizations 

that filed the legal petition was presented to the Interagency 

Committee on Women’s Business Enterprise (IACWBE) and well 

received as a much needed action. 

Over the course of three months, the Council worked with the 

Administration, members of the IACWBE and the women’s 

organizations to develop solutions for increased access to contracts. 

Additionally, we challenged all parties involved to advocate for 

leveling the playing field for women’s business ownership in the 

contracting arena. 

On May 23, 2000, President Clinton signed Executive Order 13157 

that called for all Federal departments and agencies to establish a 

participation goal of 5 percent for all prime contracts and 5 percent 

for all subcontract awards to women-owned businesses. It set forth 

a number of new initiatives to be taken by the Small Business 

Administration including establishing an Office of Women’s 

Contracting Assistance. The Executive Order also called for the 

implementation of a “remedial” action plan by those Federal 

departments or agencies that fail to meet the 5 percent goal. 

This Executive Order is a milestone in the history of women’s 

business ownership in the United States. For the first time ever, a 

President has acknowledged that women-business owners are 

integral to the Federal procurement process and that increased 

access to opportunities are necessary. Four months have passed 

On May 23, 2000, 

President Clinton 

signed Executive 

Order 13157 that called 

for all Federal 

departments and 

agencies to establish a 

participation goal of 5 

percent for all prime 

contracts and 5 

percent for all 

subcontract awards to 

women-owned 

businesses. 

This Executive Order 

is a milestone in the 

history of women’s 

business ownership in 

the United States. For 

the first time ever, a 

President has 

acknowledged that 

women-business 

owners are integral to 

the Federal 

procurement process 

and that increased 

access to 

opportunities are 

necessary. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

45 
The Council is the 

host of a series of 

venture forums -­

Springboard 2000 -­

showcasing women 

who lead high 

technology or life 

sciences businesses 

and making valuable 

connections for them 

with investors. Forum 

presenters are 

provided extensive 

coaching by investors, 

lawyers and 

accountants before 

presenting their 

businesses to an 

audience of several 

hundred investors. 

One thousand women 

applied for a total of 

100 presenter slots at 

the three forums held 

in 2000. To date, 

Springboard 2000 

presenters have raised 

over $250 million. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

since the Executive Order was signed and already results have been 

achieved. The Small Business Administration has established its 

Office of Federal Contracting Assistance for Women-Owner 

Businesses and a new internet web site, WomenBiz.gov, was launched 

to serve as a comprehensive source of information on and access to 

contracting opportunities for women. Additionally, women business 

owners are calling for similar administrative actions to be issued by 

their state and local leaders. Armed with the Executive Order, 

women’s business organizations are at the doors of department and 

agency procurement officials requesting that governors and mayors 

sign orders to underscore their support for assistance for women in 

accessing local contracting opportunities. 

ACCESS TO CAPITAL: Springboard 2000: Women’s Venture 

Capital Forums 

The equity markets are the new frontier for women entrepreneurs 

seeking to launch high growth businesses. Success is dependent upon 

not only what you know but who you know and your ability to interest 

investors in your business. The Council is the host of a series of 

venture forums -- Springboard 2000 -- showcasing women who lead 

high technology or life sciences businesses and making valuable 

connections for them with investors. Forum presenters are provided 

extensive coaching by investors, lawyers and accountants before 

presenting their businesses to an audience of several hundred 

investors. One thousand women applied for a total of 100 presenter 

slots at the three forums held in 2000. To date, Springboard 2000 

presenters have raised over $250 million. 

The hallmark of these forums is the platform to enhance visibility for 

these companies as well as the connections made during the coaching 

process. Companies selected to present at a Springboard 2000 forum 

participate in an intensive six-week coaching program. The program 

is launched at an Entrepreneur Bootcamp at which time the presenters 

are provided business development expertise unique to high growth 

enterprises. Presenters are assigned coaches selected from the 

community who work with the entrepreneur to refine their 

presentation and make valuable business connections, in some cases 

even before they make their presentations at the forum. 

Many Springboard 2000 presenters make key connections with 

investors and other business development specialists who not only 

help them prepare for their presentations but may also become 

investors or lead the business to the investors. Nancy Curtis, CEO of 

Infoseer, was fortunate to make those valuable connections prior to 

the forum enabling her to quickly secure the funding she needed to 

build her company. Springboard 2000 forums have also provided 

46 
� � � 

presenters with an outstanding opportunity for the visibility so 

important to a company just starting out. Laura Henderson, CEO of 

LevelEdge, became the subject of several major media stories right 

after the forum, which triggered the interest of over 70 investors 

who called to ask to meet with her. Ultimately, she received double 

the amount of funding she had originally sought. 

VI. Lessons Learned 

More than any other arena today, business ownership allows women 

to thrive, both financially, and as leaders and decision-makers. 

Entrepreneurial women have proven time and again that women’s 

achievements have no boundaries. Indeed, business ownership is the 

one economic endeavor that can be a great equalizer for women as 

innovators, job creators and wealth builders. 

As the old barriers and stereotypes fall away, the challenges now 

facing women business owners are more ephemeral in scope. Having 

unlocked the gates of opportunity, women-owned firms still generate 

only 18 percent of all small-business gross receipts, and they are 

dramatically underrepresented in the nation’s two most lucrative 

markets: government/corporate purchasing and the equity markets. 

While access to capital for a women business owner has improved, 

the assets of women-led service and technology businesses are still 

undervalued. Breaking into the exclusive networks of equity and 

venture capital investors and the lucrative public and private sector 

contracting marketplaces is essential to building fast-growth 

companies. Women are still sorely underrepresented in public 

offerings and on the stock exchanges; and they still receive fewer and 

smaller contracts than their male counterparts. 

The Council envisions playing a continuing and integral role in 

promoting greater opportunities for women-owned businesses in the 

marketplace for private capital, contracts, business development 

training, and leadership positions. 

In its capacity as advisor to the President and Congress, the Council 

will play a continuing and integral role in promoting greater 

opportunities for women-owned businesses in the marketplace for 

private capital, contracts, business development training, and 

leadership positions. The Council envisions its role as: 

¤ Advocate for the vision, priorities and interests of women 

business owners. The Council will advocate on behalf of the 

women's business sector for the adoption and implementation of 

programs designed to benefit women-owned businesses both in 

More than any other 

arena today, business 

ownership allows 

women to thrive, both 

financially, and as 

leaders and decisionmakers. 

Entrepreneurial 

women have proven 

time and again that 

women’s 

achievements have no 

boundaries. 

As the old barriers and 

stereotypes fall away, 

the challenges now 

facing women 

business owners are 

more ephemeral in 

scope. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

47 
The women’s business 

community has 

emerged as a powerful 

constituency with a 

unified goal: to 

participate in the new 

economy and build a 

stronger, healthier 

economy for all 

Americans by 

accelerating the 

growth and stability of 

women’s businesses. 

The Council will 

continue to guide this 

change by promoting 

bold initiatives that 

foster the growth of 

women’s business 

ownership. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

the public and private sectors. 

¤ Facilitator for the active participation of women business owners 

in the development and implementation of their government's 

economic development policies and programs 

¤ Source and one of the principal purveyors of information about 

the growth and development of women-owned business and the 

government policies that affect them. The Council will expand its 

historic role by promoting greater gender identification in Federal 

research and reports and facilitating implementation of the 

research projects identified in the National Research Agenda for 

Women's Entrepreneurship. 

¤ Investor in the development of an infrastructure that fosters the 

growth and development of women's business enterprise. In 

addition to building the nationwide network of women business 

leaders and advocates, the Council will invest in model programs 

that promote entrepreneurial skills development, economic selfsufficiency through self-employment, access to capital and credit, 

and other innovations and initiatives that support women's 

economic development. 

The women’s business community has emerged as a powerful 

constituency with a unified goal: to participate in the new economy 

and build a stronger, healthier economy for all Americans by 

accelerating the growth and stability of women’s businesses. The 

Council will continue to guide this change by promoting bold 

initiatives that foster the growth of women’s business ownership. 

For further information about the National Women’s Business 

Council, please contact: 

NWBC 

409 Third Street, SW 

Suite 210 

Washington, DC 20024 

Phone: 202-205-3850 

Fax: 202-205-6825 

Web site: www.nwbc.org 

48 
� � � 

The U.S. Small Business Administration, 

New Markets Initiative 

I. Description of Program 

In 1997, the U.S. Small Business Administration (SBA) launched its 

New Markets Initiative in an effort to increase access to its programs 

and services to an increasingly diverse small business community. 

SBA recognizes that the face of small business is changing. 

Minority-owned and women-owned firms are growing faster than all 

other firms. The Census Bureau found that the number of minorityowned firms grew at a rate of 62 percent while all firms grew only 26 

percent over the 1987-1992 period. Women-owned firms grew at a 

rate of 43 percent. These minority- and women-owned firms 

represent new, emerging markets for SBA, yet statistics show that 

gaps exist in the distribution of business ownership. African 

Americans, for example, comprise 12.6 percent of the population 

but represent only 3.6 percent of business ownership. Women own 

approximately 34 percent of all businesses but comprise over half of 

the general population. 

Additionally, there are small businesses located in low- and 

moderate-income (LMI) rural and urban areas that are not meeting 

their full potential. SBA defines all of these prospective customers – 

or New Markets – as minority-, women- and veteran-owned 

businesses, businesses in rural and inner city communities, including 

HUBZones, and newer, smaller businesses. These New Markets 

reflect the changing face of small business in the 21st century, and 

will remain a focal point of SBA outreach. 

SBA’s New Markets Initiative is part of the Clinton-Gore 

Administration’s New Markets Initiative, a sweeping public/private 

partnership designed to boost business opportunities in rural and 

inner city communities that are LMI areas. The Clinton-Gore New 

Markets Initiative focuses existing and proposed Federal programs, 

including SBA’s, on spurring economic growth in these geographical 

areas through proposed tax cuts, venture capital companies, 

technical assistance and mentoring programs. 

II. Issues Program was Designed to Address 

America is experiencing the longest peacetime economic expansion in 

history, marked by record low unemployment rates and tremendous 

business growth. Yet there are still pockets of the country that have 

been left behind, particularly inner city and rural areas. In addition, 

In 1997, the U.S. Small 

Business 

Administration (SBA) 

launched its New 

Markets Initiative in 

an effort to increase 

access to its programs 

and services to an 

increasingly diverse 

small business 

community. 

Women own 

approximately 34 

percent of all 

businesses but 

comprise over half of 

the general 

population. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

49 
� � � 

The New Markets 

Initiative was 

conceived and 

designed to reach out 

to segments of the 

business population 

that have experienced 

barriers in the 

marketplace yet 

possess great untapped 

potential. 

New Markets Venture 

Capital Companies 

(NMVCs) will operate 

in a manner similar to 

Small Business 

Investment 

Companies, however, 

the NMVCs will 

combine equity 

venture capital 

financing and 

technical assistance to 

smaller businesses 

located in low- and 

moderate-income 

areas. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

segments of our population such as women and minorities, which 

represent the fastest growing groups, are not getting adequate access 

to capital and credit. The New Markets Initiative was conceived and 

designed to reach out to segments of the business population that 

have experienced barriers in the marketplace yet possess great 

untapped potential. 

Also included in this group are newer, smaller businesses that have not 

been able to take full advantage of SBA’s current programs. For 

example, the Small Business Investment Company (SBIC) program 

typically makes investments that range between $300,000 and $5 

million. SBA realized that there was a need for even smaller sized 

investments in the $50,000 to $300,000 range, for businesses located 

in LMI areas. The New Markets Venture Capital program will 

provide the vehicle for these smaller sized investments in LMI areas. 

SBA’s role in the Clinton-Gore Administration’s New Markets 

Initiative includes: 

¤ Low-and Moderate-Income (LMI) Investments 

This new funding mechanism provides regulatory and financial 

incentives to encourage SBICs and Specialized SBICs to expand 

their current investments in LMI areas. 

¤ New Markets Venture Capital Companies (NMVCs)* 

Operating in a manner similar to SBICs, NMVCs will combine 

equity venture capital financing and technical assistance to smaller 

businesses located in LMI areas. 

¤ BusinessLINC Program* 

A partnership between SBA, the U.S. Department of the Treasury, 

and the business community (Business Roundtable) 

BusinessLINC encourages large businesses to work with small 

business owners as technical advisors and mentors – especially in 

America’s rural areas and inner cities. 

¤ Program for Investment in Micro-Entrepreneurs (PRIME) 

PRIME will provide microenterprise technical assistance through 

competitive grants to microenterprise development organizations 

that focus on very low-income entrepreneurs. The program will 

be managed by SBA’s Office of Financial Assistance. 

¤ HUBZone Empowerment Contracting Program 

Established by the Small Business Reauthorization Act of 1997, 

this program promotes community empowerment, economic 

development, and job growth in “historically underutilized 

50 
� � � 

business” zones, by making Federal contracting incentives 

available to small firms that are located in, and employ residents 

of, such communities. 

¤	 One Stop Capital Shops (OSCS) Initiative 

The focus of this initiative is to provide small business services 

in partnership with Empowerment Zone (EZ) communities. 

Each OSCS is located in an economically distressed community, 

and targets untapped markets. There are currently 31 EZs. 

¤	 Microloan Program 

The Microloan Program makes loans up to $750,000 to 

intermediaries who in turn make very small loans ($25,000 and 

under) to entrepreneurs. These entrepreneurs traditionally have 

been considered “unbankable,” due to inexperience with credit, 

lack of assets, or the need for on-going technical assistance. 

Additionally, SBA’s involvement in the New Markets Initiative will 

be closely aligned with two other Federal Agencies’ legislative 

proposals: 

¤	 America’s Private Investment Companies (APICs)* 

APICs are modeled on the Overseas Private Investment 

Corporation (OPIC) and SBA’s SBIC program. APICs will 

provide private capital and government-backed funding to 

finance equity capital investment for the creation or relocation 

of large-scale businesses in inner cities and rural areas, and will 

be administered by the U.S. Department of Housing and Urban 

Development (HUD). 

¤	 New Markets Initiative Tax Credit* 

The New Markets Initiative Tax Credit will be administered by 

the U.S. Department of the Treasury and will be worth up to 30 

percent for investments in a wide range of investment vehicles 

serving New Markets communities, including NMVCs, APICs, 

community development banks, and other targeted investment 

funds. 

III. Successful Elements of Program 

The New Markets Initiative is a fairly new initiative; in fact, some of the 

proposed programs under the Initiative are still awaiting authorization by 

Congress. One component of the Initiative, however, merits discussion 

on its tremendous success in reaching a growing segment of the business 

population – the microborrower. 

One Stop Capital 

Shops (OSCS) 

Initiative focuses on 

providing small 

business services in 

partnership with 

Empowerment Zone 

(EZ) communities. 

Each OSCS is located 

in an economically 

distressed community, 

and targets untapped 

markets. 

The New Markets 

Initiative Tax Credit 

will be administered 

by the U.S. 

Department of the 

Treasury and will be 

worth up to 30 percent 

for investments in a 

wide range of 

investment vehicles 

serving New Markets 

communities. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

51 
 

The SBA’s Microloan 

Program offers very 

small loans (up to 

$25,000) for start-up, 

newly established, and 

growing small 

businesses. Lending is 

integrated with 

business based 

technical assistance 

designed to fit the 

microborrower's 

needs. The program 

is targeted to women, 

low-income, and 

minority entrepreneurs 

and others with the 

capacity to operate 

small businesses, as 

well as those 

individuals in areas of 

economic downturn. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

SBA introduced the Microloan Program as a demonstration program 

in 1992, and the program has grown steadily every year since its 

introduction. The Microloan Program offers very small loans (up to 

$25,000) for start-up, newly established, and growing small businesses. 

Lending is integrated with business based technical assistance designed 

to fit the microborrower's needs. The program is targeted to women, 

low-income, and minority entrepreneurs and others with the capacity 

to operate small businesses, as well as those individuals in areas of 

economic downturn. In FY 2000, SBA’s program recorded over 

2,050 microloans amounting to more than $22.5 million. Since the 

program began in 1992, its nonprofit lenders have made more than 

11,000 microloans totaling more than $115.1 million dollars. Of those 

loans, approximately 46 percent have been made to businesses owned 

by women entrepreneurs. Each microloan creates or retains about 1.6 

jobs. 

For further information about the New Markets Initiative, please 

contact: 

Small Business Administration 

New Markets Initiative 

409 Third Street, SW 

Washington, DC 20024 

Phone: (202) 205-6600 

* Awaiting the United States Congress to pass authorizing legislation 

for these programs. 

52 
� � � 

The U.S. Small Business Administration, 

Office of Federal Contract Assistance for 

Women Business Owners 

I. Description of the program 

The newest U.S. Federal government program initiative targeting 

women business owners is the establishment of the Office of Federal 

Contract Assistance for Women Business Owners (CAWBO). This 

office was established in May 2000 by Executive Order of the 

President. Executive Orders (EO) are official directives from the 

President to the heads of executive departments and agencies on 

important administrative and policy issues. These directives remain in 

force regardless of whether the President who signed the order is still 

in office. 

CAWBO operates under the auspices of the U.S. Small Business 

Administration, which provides a portfolio of programs created to 

foster small business development. The mission of the office is to 

implement the provisions of the President’s Executive Order and to 

work directly with each Federal department and agency that has 

procurement authority to expand competitive contracting 

opportunities for women-owned small businesses (WOSB). CAWBO 

will assist each agency to establishing contracting goals as well as 

program and outreach efforts. Furthermore, CAWBO will monitor, 

evaluate and report on the progress of the agencies in meeting 

contracting goals. We anticipate an increase in the number, dollar 

volume, and percent of contract awards to women business owners as 

a result of this initiative with a target of 5 percent of all government 

contracts awarded going to women business owners. 

II. Program History 

The U.S. Federal government purchases approximately $200 billion in 

goods and services from suppliers and vendors each year. Mindful of 

the importance of the contribution of small businesses to the 

economy, the Federal government has established certain targeted 

goaling and outreach programs to encourage officials responsible for 

procuring goods and services to seek out small businesses. The 

government awards approximately 23 percent of its contracts to small 

businesses. Women-owned small businesses received only 2.5 

percent in FY 1999. 

The low participation rate for women-owned small businesses in the 

Federal procurement market prompted Congress to pass 

This office was 

established in May 

2000 by Executive 

Order of the 

President. Executive 

Orders (EO) are 

official directives from 

the President to the 

heads of executive 

departments and 

agencies on important 

administrative and 

policy issues. 

CAWBO operates 

under the auspices of 

the U.S. Small 

Business 

Administration, which 

provides a portfolio of 

programs created to 

foster small business 

development. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

53 
� � � 

The U.S. Federal 

government purchases 

approximately $200 

billion in goods and 

services from suppliers 

and vendors each year. 

The government 

awards approximately 

23 percent of its 

contracts to small 

businesses. Womenowned small 

businesses received 

only 2.5 percent in FY 

1999. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

legislation in 1994 that established a 5 percent goal as a way to 

increase competitive contracting opportunities for women business 

owners. 

Since then contract awards to women has increased, albeit much too 

slowly to assure achievement of the 5 percent goal in the near future. 

Overall there has been a 50 percent increase in contract awards to 

women and individual departments and agencies have pioneered 

programs which have been successful in significantly increasing the 

number of women responding to contract solicitations. In response 

to the request by the Federal departments and agencies for further 

direction and clarification of rules and regulations and suggestions for 

how to achieve these goals, President Clinton issued an Executive 

Order that reaffirms the government’s commitment to achieving the 5 

percent goal, and directs departments and agencies to take specific 

steps to increase opportunities for women. Executive Orders (EO) 

are official directives from the President to the heads of executive 

departments and agencies. Among the many provisions and 

commitments included in that EO was a provision establishing an 

Office of Federal Contract Assistance for Women Business Owners 

(CAWBO). The mission of the Office of Federal Contract Assistance 

for Women Business Owners is to implement the spirit and letter of 

Executive Order 13157 to increase Federal contracting opportunities 

for women-owned small businesses (WOSBs). We strive to be the 

premier source of information and procurement assistance for our 

customers. 

III. Issues Program was Designed to Address 

The President issued the EO to reaffirm the Administration's 

commitment to increase the participation rate of WOSB in Federal 

procurement to at least 5 percent of all contracts awarded to small 

businesses and to identify certain initiatives and strategies that would 

assist Federal agencies in increasing competitive contacting 

opportunities for women business owners. The EO outlined specific 

responsibilities for CAWBO, including: 

¤ working with each agency to increase Federal contracts to 

WOSBs; 

¤ advising agencies on ways to increase the participation of WOSBs 

in Federal procurement; 

¤ evaluating the achievement of prime and subcontract awards to 

WOSBs; 

¤ preparing a report to the President regarding achievements in 

awards to WOSBs; 

¤ providing a program of training and development seminars and 

conferences for WOSBs; 

54 
� � � 

¤	 developing an interactive electronic commerce database that 

allows small businesses to register their businesses and capabilities 

as potential contractors for Federal agencies; and 

¤	 working with existing women-owned businesses organization, 

State, and local governments, to promote an increase in contracts 

to WOSBs. 

IV. Lessons Learned 

The office has developed an implementation plan to ensure that 

contracts going to WOSB increase annually. We will be working 

closely with the senior procurement executives in each Federal 

department or agency and where goals are not met, we will develop 

and negotiate plans specifying particular actions that the agency will 

undertake to increase WOSB participation. We will be just as active 

on the supply side. Agencies need to know how to reach WOSB 

suppliers and vendors in each industry sector. CAWBO will build 

that bridge by providing support for both agencies and WOSB, 

including: 

1.	 providing information and access via the womenbiz.gov website; 

2.	 developing a national database where firms can self-certify that 

they are WOSB and contracting officers can search for firms by 

industry; 

3.	 providing reliable statistics about the WOSB by industry and 

location; 

4.	 offering on-going training and education. 

With over 9 million WOSB in the U.S., the share of Federal contracts 

awarded to women could be significantly greater. The establishment 

of CAWBO as a program resource and business advocate within the 

Federal government represents a major step forward in connecting 

women to business opportunities in this lucrative government 

marketplace. 

For further information on the Office of Federal Contract Assistance 

for Women Business Owners, please contact: 

Sheryl J. Swed 

Assistant Administrator 

Office of Federal Contract Assistance for Women Business Owners 

U.S. Small Business Administration 

409 Third Street, SW 

Washington, D. C. 20416 

Phone: 202-205-6413 

Fax: 202-481-5593 

CAWBO will be 

working closely with 

the senior 

procurement 

executives in each 

Federal department or 

agency and where 

goals are not met, we 

will develop and 

negotiate plans 

specifying particular 

actions that the 

agency will undertake 

to increase WOSB 

participation. 

The establishment of 

CAWBO as a program 

resource and business 

advocate within the 

Federal government 

represents a major 

step forward in 

connecting women to 

business opportunities 

in this lucrative 

government 

marketplace. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

55 
56
 
The U.S. Small Business Administration, 

Office of Women’s Business Ownership 

I. Description of Program 

The U.S. Small Business Administration’s Office of Women’s 

Business Ownership (OWBO) fosters the start-up and expansion of 

women-owned businesses. OWBO’s programs address businesstraining and technical-assistance needs, access to credit and capital, 

and access to marketing opportunities, including Federal contracts. 

OWBO reaches out to women business owners through a number of 

programs that are coordinated by women’s business ownership 

representatives in each of the SBA’s 77 district and branch offices 

nationwide. 

Chief among these programs is the Women’s Business Center 

program established by Congress in 1988. Administered by OWBO, 

this program provides long-term training, counseling, networking and 

mentoring to potential and existing entrepreneurs through grants to 

grassroots economic-development organizations. These women’s 

business centers (WBCs) have developed curricula which addressed 

the business development and training needs of women business 

owners, with a special focus on socially and economically 

disadvantaged populations. 

II. Program History 

The Office of Women’s Business Ownership was established in 1979 

under an Executive Order issued by President Carter. This 

Presidential order was implemented as a result of the findings 

included in a report produced by the Federal Interagency Task Force 

on Women’s Business Enterprise. The report, “The Bottom Line: 

Unequal Enterprise in America,” documented the barriers women 

face in starting and expanding businesses and called for a government 

effort to remove those barriers. For the next 8 years, OWBO served 

primarily as an advocate for women-owned businesses. OWBO’s 

main initiative was to orchestrate a series of well-attended educational 

conferences for women entrepreneurs, producing and distributing 

various useful business-development guides. 

The Women’s Business Ownership Act of 1988 gave OWBO, for the 

first time, program responsibilities beyond advocacy. The Congress, 

recognizing that many women, especially those who were socially and 

economically disadvantaged, faced unique issues that other SBA 

resources were not fully equipped to address, allocated $2 million for 

a new program that would provide seed funds to establish a network 

The Office of 

Women’s Business 

Ownership was 

established in 1979 

under an Executive 

Order issued by 

President Carter. 

This Presidential 

order was 

implemented as a 

result of a report by 

the Interagency 

Task Force on 

Women’s Business 

Enterprise 

documenting the 

barriers women face 

in starting and 

expanding 

businesses and 

called for a 

government effort to 

remove those 

barriers. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership 

57 
� � � 

OWBO’s programs 

address businesstraining and technicalassistance needs, 

access to credit and 

capital, and access to 

marketing 

opportunities, 

including Federal 

contracts. 

In 1994, OWBO 

initiated the Women’s 

Prequalification Loan 

Program, a unique 

program to assist 

women in securing 

bank financing by 

providing banks with 

that assurance. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

of local women’s business training centers. These centers were to 

provide long-term training and counseling to potential and existing 

women entrepreneurs, including a representative number of socially 

and economically disadvantaged women. The centers were required 

to match the Federal funding they received with private-sector and 

local government funds. 

By 1997, the number of centers funded through this program 

increased to 71 in 43 states, the District of Columbia, Puerto Rico, 

the Virgin Islands and American Samoa. In addition, an Online 

Women’s Business Center was established to address the 

information, business development and training needs of women 

business owners who do not have access to a physical center. The 

Online Women’s Business Center can be found on the world wide 

web at www.onlinewbc.org. 

Women’s Prequalification Loan Program 

Access to capital has always been a major challenge for small 

business enterprises. Lending institutions have been reluctant to 

finance new businesses, especially service businesses, without some 

assurances that the bank will be able to secure that loan. The SBA 

works with banks by providing them with that assurance in the form 

of loan guarantees, however, without some indication that the SBA 

would guarantee new business loans, many banks refused to approve 

these loans. In June 1994, OWBO initiated a unique program to 

assist women in securing bank financing by providing banks with that 

assurance. This program, the Women’s Prequalification Loan 

Program, encouraged women to submitted their loan applications 

directly to the SBA and then, if approved, they would received a 

‘prequalification’ letter from the SBA guaranteeing 90 percent of the 

loan — a strong incentive for banks to make the loan. The SBA 

based their approval on character and the ability to repay — not on 

the availability of collateral. In addition to this letter of 

prequalification, SBA also provided these new businesses with 

connections to education and business development resources. The 

program was an unqualified success and in 1998, it was expanded 

nationwide as the Loan Prequalification Program and is now available 

to all entrepreneurs who qualify for this kind of assistance. Between 

June 1, 1994, and the end of fiscal year 2000, the Loan 

Prequalification Program resulted in 1,621 loan approvals to women 

valued at more than $150 million. 

Women’s Network for Entrepreneurial Training 

The Women’s Network for Entrepreneurial Training (WNET) was 

established in 1988 as a one-on-one mentoring program for women, 

matching experienced, successful women entrepreneurs with women 

58 
� � � 

entrepreneurs ready to expand their businesses. Although successful, 

the program was highly labor-intensive and not easily replicated. In 

1996, OWBO restructured the program as a series of monthly 

mentoring roundtable meetings. 

Interagency Committee on Women’s Business Enterprise 

In 1997, Congress passed legislation establishing an Interagency 

Committee on Women’s Business Enterprise (IACWBE). The 

mission of the IACWBE was to work across government agency lines 

to foster the growth and development of women’s business. The 

President appoints a senior White House official to chair this 

Committee which is comprised of senior officials from nine Federal 

Departments and agencies. Other offices within the Federal 

government participate in the programs and deliberations of the 

IACWBE. The IACWBE works jointly with its private sector 

counterpart, the National Women’s Business Council, a bi-partison 

panel whose mission is to provide advice and counsel to the President 

and Congress on issues of importance to women business owners. 

The Associate Administrator for the Office for Women’s Business 

Ownership serves as the Vice Chair of the IACWBE. 

III. Issues Program was Designed to Address 

All of the SBA’s programs and services are available to women, and 

some were designed exclusively for women or in response to their 

requests. Services are provided through district and branch offices 

nationwide, as well as through Small Business Development Centers 

(SBDCs)— nearly half of whose clients are women — the Service 

Corps of Retired Executives (SCORE), One-Stop Capital Shops, 

Business Information Centers, Tribal Business Information Centers, 

disaster assistance centers, and Women’s Business Centers. The 

Office of Women’s Business Ownership, however, brings special 

focus to meeting the sometimes unique needs of women 

entrepreneurs, and to promoting and advocating for the 9.1 million 

women-owned businesses in the United States. These businesses — 

nearly 40 percent of all U.S. small businesses — employ 27.5 million 

people, generate $3.6 trillion in revenues annually, and are vital to the 

U.S. economy. 

Training, Counseling and Mentoring 

Women’s Business Centers — The WBCs provide long-term 

business assistance and training in finance, management, marketing, 

government contracting and the Internet, as well as addressing 

specialized topics such as home-based businesses, venture capital, and 

welfare-to-work. All centers provide individual business counseling 

and access to the SBA’s programs and services. What makes this 

program unique and so successful is that each WBC tailors its 

In 1997, Congress 

passed legislation 

establishing an 

Interagency 

Committee on 

Women’s Business 

Enterprise 

(IACWBE) for the 

purposes of working 

across government 

agency lines to 

foster the growth 

and development of 

women’s business. 

The Office of 

Women’s Business 

Ownership brings a 

special focus to 

meeting the 

sometimes unique 

needs of women 

entrepreneurs, and 

to promoting and 

advocating for the 

9.1 million womenowned businesses in 

the United States. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

59 
Chief among OWBO’s 

initiatives is the 

Women’s Business 

Center program 

established by 

Congress in 1988. The 

WBCs provide longterm business 

assistance and training 

in finance, 

management, 

marketing, 

government 

contracting and the 

Internet, as well as 

addressing specialized 

topics such as homebased businesses, 

venture capital, and 

welfare-to-work. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

programs to the needs of its individual community. For example, 

many offer programs and counseling in two or more languages. With 

$9 million in program funding for fiscal year 2000, the number of 

funded centers grew to 71, and the number of clients served swelled 

from just over 14,000 in 1998 to 24,800 in 1999. Funding for this 

program is expected to increase annually. 

Training on the Internet — In January 1998, OWBO launched the 

Online Women’s Business Center on the Internet. The Online WBC 

immediately built a large audience for its interactive training and 

counseling services that assist women in starting and growing 

businesses. Recent additions to this free, interactive Web site include a 

segment for young entrepreneurs, information for military spouses on 

transportable businesses, disabilities information, and how to start a 

childcare business. Although developed primarily for women in the 

United States, the Online WBC quickly reached women in more than 

100 countries around the world and garnered numerous prestigious 

awards. 

To encourage a global marketplace and assist immigrant Americans, 

major portions of the site have been translated into Spanish (1998), 

Russian (1999), Chinese, Japanese, and Icelandic (2000). French and 

Arabic versions are also in development. The Online Women’s 

Business Center receives approximately 2 million hits a month from 

over 100,000 users and sends a monthly newsletter to approximately 

10,000 women entrepreneurs. 

The SBA also offers “online classrooms” via its homepage at 

www.sba.gov. 

Counseling — The Service Corps of Retired Executives (SCORE) is 

the SBA’s key resource partner for counseling. Comprised of more 

than 12,000 volunteers from across the country with expertise in 

virtually any field of business (and no longer all retirees), SCORE 

provides SBA clients with guidance and mentoring, free of charge. In 

1996 the Service Corps of Retired Executives started the Women’s 

Initiative. Under the joint leadership of OWBO and SCORE’s 

management, this major effort placed the first women to ever serve on 

SCORE’s national Board of Directors and strove to increase the 

number of women volunteers to 25 percent by 2000. Three women 

board officers were named in 1996, and in 1997 the Women’s 

Advisory Committee was formed, which is still in place. As of the end 

of fiscal year 2000, women volunteers represented 18 percent of the 

organization. 

60 
Mentoring — The Women’s Network for Entrepreneurial Training 

provides mentoring for current and emerging women business 

owners through WNET roundtables. Groups of mentors and 

protégées meet regularly to provide assistance, support and 

networking opportunities. Sponsors include women’s business 

centers, small business development centers, local business leaders, 

government representatives and SCORE. In 1998 OWBO facilitated 

the publication of Mentoring Programs that Work: The Women’s Network 

for Entrepreneurial Training, a guidebook for individuals or groups that 

want to start mentoring roundtables. Currently, approximately 185 

roundtables operate nationwide; some even “meet” on the 

OnlineWBC. 

Access to Capital and Credit 

Since FY 1992 SBA-guaranteed loans to women have tripled in 

number and dollar value Between FY 1992 and FY 2000, the SBA 

backed nearly 84,460 loans amounting to nearly $13 billion to 

women-owned businesses. In fiscal year 2000 alone, the SBA backed 

10,842 loans to women entrepreneurs worth $2 billion. 

In 1998 the SBA licensed the first three women-owned venture 

capital funds under the Small Business Investment Company (SBIC) 

Program. These funds target their investments to women-led 

companies. The new SBICs have made some $80 million of new 

venture capital available to help small, women-owned high growth 

companies launch their businesses. OWBO also produced a booklet 

entitled “New Sources of Private Equity Capital for Women 

Entrepreneurs” to assist other women in forming similar investment 

companies. 

The SBA has also developed several pilot loan programs that are 

especially helpful to women entrepreneurs: 

¤ SBA LowDoc is a simplified process for those seeking smaller 

loans of up to $150,000. It reduces the SBA application to one 

page (front and back). 

¤ SBAExpress makes loans of up to $150,000 available, including 

revolving lines of credit. At the lender’s discretion, loans to 

qualified borrowers of up to $25,000 may be unsecured. 

¤ The Loan Prequalification is a nationwide program that helps 

entrepreneurs develop successful loan application packages and 

secure bank loans with pre-approved SBA loan guaranties. In FY 

2000 women received 240 “Prequal” loans worth $22.3 million. 

Since the program started in 1994, women have received more 

than 1,600 Prequal loans valued at nearly $153.7 million. 

In 1998 the SBA 

licensed the first 

three venture capital 

funds specializing 

in target their 

investments to 

women-led 

companies. Under 

the Small Business 

Investment 

Company (SBIC) 

Program. These 

funds have made 

some $80 million of 

new venture capital 

available to help 

small, womenowned high growth 

companies launch 

their businesses. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

61 
In May 1999 OWBO 

and the SBA’s Office 

of International Trade 

coordinated the firstever women’s trade 

mission to Canada. 

Led by SBA 

Administrator Aida 

Alvarez, 125 American 

businesswomen from 

several industry 

sectors participated in 

this tri-lateral initiative 

among the SBA, the 

U.S. Department of 

Commerce, the 

Ministry for 

International Trade 

and Industry Canada. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

¤ Since it premiered in 1992, women business owners have received 

nearly half of all SBA loans under the MicroLoan Program. This 

program provides loans of up to $25,000, as well as management 

and technical assistance, to help ensure success of these very small 

businesses. 

Advocacy 

In addition to the services provided directly by SBA personnel and 

indirectly through our resource partners, SBA hosts a very successful 

internet program – www.sba.gov. The OWBO homepage, which is 

found at www.sba.gov/womeninbusiness, was designed to direct users 

to vital information on the SBA and Online Women’s Business Center 

Web sites: www.sba.gov and www.onlinewbc.org. 

In order to communicate regularly with the women’s business 

constituency, OWBO developed a vast database that can be instantly 

accessed to send electronic messages via the internet. Used to 

distribute its monthly newsletters and other important announcements, 

the internet has become an invaluable addition to the office’s 

communications tools. 

Promoting International Trade 

International programs for the SBA fall under the auspices of the 

Office of International Trade (OIT). In May 1999 OIT and OWBO 

coordinated the first-ever women’s trade mission to Canada. Led by 

SBA Administrator Aida Alvarez, 125 American businesswomen from 

several industry sectors participated in this tri-lateral initiative among 

the SBA, the U.S. Department of Commerce, the Ministry for 

International Trade and Industry Canada. During the Canada-U.S.A. 

Businesswomen’s Trade Summit in Toronto, members of the U.S. 

delegation were matched with women business owners from Canada, 

establishing trade and joint-venture partnerships; some deals were 

reportedly worth several million dollars. A letter of intent, signed by 

both governments’ principals, pledges to continue cooperating to 

increase women-owned business trading across our border. 

Following discussions held during the summit, the SBA, the Embassy 

of Canada, the Ministry for International Trade and Industry Canada 

agreed to establish links on their respective agency Web sites to direct 

women business owners to procurement opportunities from the U.S. 

and Canadian governments. Attempts will be made to establish similar 

links with the Mexican government to further promote primary and 

subcontracting opportunities throughout the Northern Hemisphere. 

As a follow-up to the Canada-U.S.A. Businesswomen’s Trade Summit, 

OIT and OWBO initiated the SBA’s first-ever-virtual trade summit. 

Since 1996, under the auspices of OIT, the SBA has led U.S. small 

businesses on trade and investment missions to Ireland, Mexico, 

62 
South Africa and Egypt. Three SBA-sponsored reverse trade 

missions have also taken place between U.S. and Mexican, African 

and Irish small businesses. Women-owned businesses constituted 

between 25 and 30 percent of the firms participating in these 

missions. The participants have reported extremely positive results 

from these missions, including sales and joint-venture relationships 

worth several millions of dollars. 

To help women export their goods and services, OIT developed 

SBAExport Express, addressing the immediate financing needs of 

exporters. With this new program, plus SBA’s existing Export 

Working Capital Program and International Trade Loan Program, 

small business exporters have better access to the capital necessary to 

compete in the global marketplace. 

Women represent only 2 percent of the approximately 205,000 U.S. 

small business exporters. The SBA’s offices of Women’s Business 

Ownership and International Trade continue to work together on 

special outreach initiatives to increase the numbers of women 

business owners taking advantage of global trading opportunities. 

IV.	 Successful Elements of Program 

OWBO takes pride in the successful implementation of the 

numerous program elements previously discussed, such as the 

Women’s Business Center Program, the Online Women’s Business 

Center, the Women’s Network for Entrepreneurial Training Program 

and outreach to the women’s business community. OWBO also 

works with private-sector organizations to promote women’s 

entrepreneurship. OWBO continually strives to implement new and 

more effective communication tools for its network of women’s 

business centers, women’s business ownership representatives at 

district offices, and “friends” of women and business. 

V.	 Lessons Learned 

Since January 1993, the SBA and its Office of Women’s Business 

Ownership have made great strides in helping women start and 

expand their businesses. Our success can be attributed to a number 

of factors: 

¤	 Devising technical assistance programs especially for women, 

which take into account language difficulties, family 

responsibilities and different cultures. 

OWBO takes pride 

in the successful 

implementation of 

the numerous 

program elements 

previously 

discussed, such as 

the Women’s 

Business Center 

Program, the Online 

Women’s Business 

Center, the 

Women’s Network 

for Entrepreneurial 

Training Program 

and outreach to the 

women’s business 

community. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

63 
OWBO’s success can 

be attributed in part 

to capturing the 

combined power of 

national women’s 

organizations, and 

being responsive to 

their issues and 

concerns, in order to 

broaden OWBO’s 

outreach to women – 

especially those 

outside the economic 

mainstream – and to 

further OWBO’s 

mission of helping 

women achieve selfsufficiency through 

entrepreneurship. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

¤	 Devising capital- and credit-assistance programs that meet the 

special needs of women. 

¤	 Taking SBA programs and services to the Internet, especially 

for home-based business- women and those occupied during 

“work hours” with family and professional responsibilities. 

¤	 Using the success stories of local women’s business centers to 

educate the Congress on the benefits of the Women’s Business 

Center Program — of jobs created, women who have gotten 

off welfare through entrepreneurship, and sales and revenues 

added to local and national economies. 

¤	 Using individual success stories of women assisted by the SBA 

to educate the press, Congress and the public about the SBA’s 

programs and services. 

¤	 Using the data generated by the U.S. Census Bureau, and 

extrapolated by the National Foundation for Women Business 

Owners, to convince the press, Congress and the public about 

the growth of women-owned businesses and their contribution 

and vital importance to the national economy. 

¤	 Capturing the combined power of national women’s 

organizations, and being responsive to their issues and 

concerns, in order to broaden OWBO’s outreach to women — 

especially those outside the economic mainstream — and to 

further OWBO’s mission of helping women achieve selfsufficiency through entrepreneurship. 

For more information on the Office of Women’s Business 

Ownership, please contact: 

Small Business Administration 

Office of Women’s Business Ownership 

409 Third Street SW. 

4th floor 

Washington, DC 20416 

Phone: 202-205-6673 

Fax: 202-205-7287 

Email: owbo@sba.gov 

64 
� � � 

The U.S. Small Business Administration, 

Small Business Investment Company 

Program 

I. Description of Program 

The Investment Division within the Office of Capital Access, the 

Small Business Administration (SBA) administers the Small Business 

Investment Company (SBIC) program. The SBIC program is a 

unique partnership of public and private funds in which the SBA 

supplements the capital of private venture capital investment firms. 

So long as the SBICs operate within the regulations under which SBA 

licenses them, these investment companies are controlled by their 

private owners and managers who make all the investment decisions. 

Since program inception, SBICs have invested over $30 billion in 

more than 123,000 separate financings to over 68,000 small 

businesses. 

II. Program History 

In 1957 the Federal Reserve Bank of Boston released a study which 

identified a major gap in capital markets for long-term financing of 

smaller growth-oriented businesses. In response to this identified 

need, the Congress passed the Small Business Investment Act of 

1958. This Act established the SBIC program. The Small Business 

Equity Enhancement Act of 1992 substantially modified the program 

and significantly increased its popularity and impact. 

Prior to the Small Business Equity Enhancement Act of 1992, 

funding was provided to SBICs in the form of debentures, which 

required the SBICs to make periodic interest payments on the 

debenture. Their investments in portfolio companies needed to 

recognize this requirement. Therefore, the portfolio companies had 

to be able to service some debt, which prevented them from 

reinvesting cash back into the company since some had to be 

conserved to service the periodic interest payments. Therefore, most 

investments took the form of subordinated debt with some current 

pay requirements on the part of the portfolio companies. The 1992 

changes authorized participating securities. Participating securities 

still require that periodic interest payments be made to the purchasers 

of the debentures; however, under this form of the program SBA 

agrees to make these periodic interest payments unless the SBIC has 

achieved cumulative profitability. This allows the SBIC to make true 

equity investments because there is no need to service the debt in the 

earlier years. 

The Small Business 

Administration’s 

Small Business 

Investment Company 

(SBIC) program is a 

unique partnership of 

public and private 

funds in which the 

SBA supplements the 

capital of private 

venture capital 

investment firms. 

Since program 

inception, SBICs have 

invested over $30 

billion in more than 

123,000 separate 

financings to over 

68,000 small 

businesses. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

65 
� � � 

The SBIC program 

was designed to 

improve growthoriented small 

businesses access to 

long-term capital. 

This lack of capital 

access was the finding 

identified by the 

Federal Reserve Bank 

of Boston study in 

1957, and it holds true 

today. 

Total SBIC financing 

extended to small 

businesses in Fiscal 

Year 2000 was in 

excess of $5.6 billion. 

This is an increase of 

25 percent from the 

previous fiscal year, 

and an increase of 250 

percent from fiscal year 

1996. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

III. Issues Program was Designed to Address 

The SBIC program was designed to improve growth-oriented small 

businesses access to long-term capital. This lack of capital access was 

the finding identified by the Federal Reserve Bank of Boston study in 

1957, and it holds true today. Although the amount of venture 

funding has increased significantly in the past few years, it is not 

sufficient to fund all new fast growing businesses. 

Additionally, the supply of funds is not evenly spread throughout the 

United States and across all industry sectors. Much of the funding is 

committed to high tech businesses and to specific geographic areas. 

For example much of venture financing is concentrated in four states; 

California, Massachusetts, New York and Texas. 

Finally, venture financing is increasingly being made in larger amounts, 

which has the effect of leaving less financing available for businesses 

seeking lesser amounts of funding. The average size of venture 

financing is approximately $15 million. Many small businesses do not 

need this amount of funding. There appears to be a significant gap in 

the funding available in the range of $300,000 to $5,000,000. 

The program has enjoyed tremendous success, particularly, since the 

1992 changes, in providing capital to small businesses. Total financing 

extended to small businesses in Fiscal Year 2000 was in excess of $5.6 

billion. This is an increase of 25 percent from the previous fiscal year, 

and an increase of 250 percent from fiscal year 1996. Total capital 

resources available or committed in the program now exceed $15 

billion, or 2.5 times the amount at fiscal year end 1996. 

Approximately 2,000 small businesses are assisted each year by SBICs. 

IV. Successful Elements of Program 

As indicated above, the SBIC program is designed to fill a gap not 

currently being met by traditional lenders and/or venture capitalist. 

This is a gap occupied by small businesses; particularly those not 

located in the high tech sector of the economy and those not needing 

large (on a relative basis) sums of money. Although we believe the 

gap exists, the SBIC program is fulfilling its mission of providing longterm capital to small businesses who need funding in the $300,000 to 

$5,000,000 range. It is doing this on a more geographically dispersed 

basis and on a more diverse industry basis than traditional venture 

capital funds. 

Increasingly, however, women and minority entrepreneurs are creating 

small businesses. The SBIC program was not created or designed to 

66 
reach a group of businesses based upon its identification as a group. 

However, the program must be able to fulfill its mission for all 

entrepreneurs regardless of race, ethnicity or gender. Traditional 

venture capital funds have not historically made a significant portion 

of their investments in companies owned by women or minority 

entrepreneurs. This is also true of the SBIC program. However, the 

program must ensure that these groups enjoy equal access to the 

funds available through SBICs. 

Much of the venture capital industry, including access to venture fund 

managers, is built upon networks. Opening access to these networks 

is critical to increasing program participation with women and 

minority entrepreneurs. One way to assist in this effort is to license 

qualified management teams with women/minority managers or 

those focused on women and/or minority owned businesses. 

In this respect the SBA as a whole has increased its focus on what has 

been referred to as New Markets. These are businesses owned by 

women and minorities or located in low or moderate-income (LMI) 

areas. The SBIC program has also increased its attention on these 

new markets. In 1999 the SBA hosted a series of workshops on the 

SBIC program with one goal of increasing awareness in the investor 

community to the business opportunities in LMI areas. A significant 

effort was made to target the banking community as an audience and 

to increase their participation in funds that would focus their 

investment opportunities on LMI areas. We encourage qualified 

women and minorities to become active as mangers in SBICs. We 

believe women and minority managers would have more effective 

networks in reaching women and minority entrepreneurs. 

Although all SBICs can and do make investments in women and 

minority owned businesses, the SBA has in the past two years 

licensed three women managed SBICs that will focus primarily on 

women entrepreneurs. Additionally, we have licensed a 

women/minority-managed firm that will focus on investments in 

LMI areas. The three women managed firms are Capital Across 

America, Women’s Growth Fund, and Viridian Capital. The 

women/minority managed SBIC is Bon Secours Community 

Investment Fund. SBIC financing to women-owned small business 

has more than tripled from $31 million in Fiscal Year 1998 to $104 

million in Fiscal Year 2000. 

V. Lessons Learned 

Women and minority owned businesses face the same capital needs as 

all small businesses. However, the venture capital industry is very 

Much of the venture 

capital industry, 

including access to 

venture fund 

managers, is built 

upon networks. 

Opening access to 

these networks is 

critical to increasing 

program participation 

with women and 

minority 

entrepreneurs. One 

way to assist in this 

effort is to license 

qualified management 

teams with 

women/minority 

managers or those 

focused on women 

and/or minority 

owned businesses. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

67 
As increased numbers 

of women and 

minorities enter the 

venture capital 

industry as principals 

of funds, one may 

expect an increase in 

the number of 

businesses owned by 

women and minorities 

to receive venture 

funding. As venture 

capitalists recognize 

the increasing market 

opportunity afforded 

by these investment 

opportunities, the 

number of transactions 

can also be expected to 

increase. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

much built on relationships. To the extent these businesses do not 

have the relationships with venture capitalists, they do not possess the 

same access to this source of funding. As increased numbers of 

women and minorities enter the venture capital industry as principals 

of funds, one may expect an increase in the number of businesses 

owned by women and minorities to receive venture funding. As 

venture capitalists recognize the increasing market opportunity 

afforded by these investment opportunities, the number of 

transactions can also be expected to increase. The SBA needs to 

continue to promote the SBIC program to potential women and 

minority managers and to promote the opportunity afforded by 

businesses in these communities. 

For further information about the Small Business Investment 

Company program, please contact: 

Harry Haskins 

Deputy Associate Administrator for Investment 

Small Business Administration 

409 Third Street, SW 

Washington, DC 20024 

Phone: 202-205-6694 

Fax: 202-205-6013 

Email: harry.haskins@sba.gov 

68 
� � � 

The White House Office for Women’s 

Initiatives and Outreach 

I. Description of Program 

The White House Office of Women’s Initiatives and Outreach 

contributes to the development of Administration policy as it relates 

to women and families, often by bringing the concerns of outside 

experts and constituency groups into the policy-making process. 

Inside and outside the White House, the Women’s Office advocates 

for issues important to women, including women’s business 

initiatives, procurement, domestic violence prevention, health care 

reform, reproductive rights, and balancing work and family. 

The Women’s Office serves as a liaison between the White House 

and the women’s community to advance the interests of women and 

families. We are a valuable source of information on the 

Administration’s initiatives and on the vast array of programs and 

resources for women and families across the Federal government. 

Information on the Administration’s support for women and families 

agenda is available on our web site at WhiteHouse.gov/women. 

II. Program History 

The Women’s Office was established in June of 1995 by President 

Clinton and has been extremely active in working with women’s 

organizations across the country and developing policy initiatives 

which address their issues and concerns. Prior to the establishment of 

the Women’s Office, no formal vehicle existed for the White House 

to communicate directly with national and local women’s 

organizations. The Women’s Office is the focal point within the 

White House for other Federal agencies and offices targeting the 

interests of women. These agencies include the National Women’s 

Business Council, the Office for Women’s Business Ownership, the 

Women’s Bureau at the Department of Labor, the President’s 

Interagency Council on Women and the Interagency Committee for 

Women’s Business Enterprise. 

III. Issues Program was Designed to Address 

The Women’s Office was designed to address all issues of importance 

to women and families. Since its inception, the Office has worked 

tirelessly to highlight women’s business procurement, women’s 

business enterprise, the President’s New Markets Initiative, as well as 

domestic and international family planning, women’s health and many 

Inside and outside the 

White House, the 

Women’s Office 

advocates for issues 

important to women, 

including women’s 

business initiatives, 

procurement, 

domestic violence 

prevention, health 

care reform, 

reproductive rights, 

and balancing work 

and family. 

The Women’s Office 

is the focal point 

within the White 

House for other 

Federal agencies and 

offices targeting the 

interests of women, 

including the 

National Women’s 

Business Council. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

69 
� � � 

The White House 

Women’s Office has 

been instrumental in 

inviting national 

women’s organizations 

to the White House for 

briefings pertaining to 

issues of their interest. 

Between FY 1992 and 

FY 1999 the SBA 

approved nearly 73,000 

loans, amounting to 

more than $11 billion, 

to women 

entrepreneurs under 

the 7(a) and 504 loan 

programs. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

others. We accomplish these goals through briefings, events, 

distributing information about the Administration’s policy, and 

Coordinating other women’s offices within the Administration. 

Briefings 

The Women’s Office has been instrumental in inviting national 

women’s organizations to the White House for briefings pertaining to 

issues of their interest. Through briefings with senior level 

Administration officials, national grassroots organizations are able to 

obtain current information concerning policy issues most important to 

them. 

Events 

The Women’s Office hosts numerous events highlighting the 

successes moving the women’s agenda forward. 

Dissemination of Information 

The Women’s Office provides daily updates of Administration policy, 

announcements, and briefings. Through e-mails, conference calls, 

newsletters, mailings and our web site, Administration information is 

distributed on a vast number of subjects in a timely and efficient 

manner. 

Policy Initiatives 

By coordinating meetings with Administration policy staff and 

grassroots organizations, concern on issues supporting women and 

families are brought to the policy table. 

IV. Successful Elements 

Through the partnerships that the Women’s Office has formed, the 

Administration has achieved the following goals: 

¤	 Tripled the Number of Small Business Loans to Women 

Entrepreneurs. Between FY 1992 and FY 1999 the SBA 

approved nearly 73,000 loans, amounting to more than $11 

billion, to women entrepreneurs under the 7(a) and 504 loan 

programs. In FY 1999 alone, the Small Business Administration 

granted 10,244 loans, worth $1.85 billion, to women small 

business owners, triple the number of loans granted in 1992; in 

FY 2000 to date the SBA has approved 3,612 loans worth $711 

million dollars. [As of 2/00] 

¤	 More Women Starting Businesses. Women are starting 

businesses at twice the rate of all businesses and staying in 

business longer. There are an estimated 9.1 million women70 
� � � 

owned firms today, employing 27.5 million people and 

contributing $3.6 trillion in sales and revenue to the U.S. 

economy. The Small Business Administration’s Office of 

Women’s Business Ownership is working to foster this 

growth. 

¤	 Expanded Small Business Opportunities for Women. 

The Administration expanded the women’s business center 

programs from $1 million for 20 centers to $12 million for 

100 Women’s Business Centers, which provide resources to 

foster increased entrepreneurship among women. In his FY 

2001 budget, President Clinton has proposed to expand the 

Women’s Business Center network budget to $12 million, an 

increase of 33 percent. Today this network includes more 

than 80 women’s business centers, including an Online 

Women’s Business Center. 

¤	 Presidential Executive Order Signed. In May 2000, 

President Clinton issued the President’s Executive Order for 

Women’s Business Procurement, an executive order 

requiring departments and agencies to develop long-term 

comprehensive strategies to expand opportunities for 

women-owned small businesses, including mentor-protégé 

programs to include women-owned firms and industry-wide 

-- and industry-specific – outreach, training, and technical 

assistance programs for women-owned small businesses. 

Through understanding the needs of women’s business 

organizations, this executive order secures a mandatory 5 

percent of government contracts directed to women owned 

businesses [Executive Order 13157, 5/23/00] 

¤	 Interagency Committee on Women's Business 

Enterprise. The Committee is comprised of policymaking 

officials from various Federal departments and agencies. 

The Committee develops public sector initiatives designed to 

foster women's business enterprise, consults with the 

National Women's Business Council, and reviews public 

sector programs relating to women-owned businesses. 

V.	 Lessons Learned 

Over the past five years the Women’s Office has contributed 

substantially to policy development, initiatives and outreach at the 

White House. By providing women’s organizations a voice and a 

place at the table, we have assured that our issues are heard and that 

women are part of the decision-making process. 

The Administration 

expanded the 

women’s business 

center programs from 

$1 million for 20 

centers to $12 million 

for 100 Women’s 

Business Centers, 

which provide 

resources to foster 

increased 

entrepreneurship 

among women. 

On May 23, 2000, 

President Clinton 

issued an Executive 

Order for Women’s 

Business 

Procurement, 

requiring departments 

and agencies to 

develop long-term 

comprehensive 

strategies to expand 

opportunities for 

women-owned small 

businesses. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

71 
By providing 

women’s 

organizations a voice 

and a place at the 

table, we have 

assured that our 

issues are heard and 

that women are part 

of the decisionmaking process. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

For more information about the White House Office for Women’s 

Initiatives and Outreach, please contact: 

The White House 

Office for Women's Initiatives and Outreach 

Room 15 

Eisenhower Executive Office Building 

Washington, DC 20502 

Phone: 202-456-7300 

Fax: 202-456-7311 

Email: women's_office@who.eop.gov 

72 
� � � 

FleetBoston Financial,
 

Women Entrepreneurs’ Connection
 

I. Description of Program 

FleetBoston Financial has set an example in its efforts to establish 

strong customer relationships with women business owners. Its 

profit-driven strategy to seek out new growth markets led it to the 

women’s business market, which it found to be large, profitable and 

untapped. In 1997, the bank sought to create an internal business unit 

that would reach out to women business owners, identify their capital 

needs, provide referrals for technical and educational support and 

match the bank's financial products to their current stage of business. 

Strategically located within the bank's small-business division, the 

mission of the new department was to leverage the bank’s available 

resources, marketing them to existing and prospective women clients. 

Its goal was to become the bank of choice for women entrepreneurs. 

II. Program History 

The bank’s experience and research revealed that women business 

owners were a growing business sector but that their demand for 

capital was not being met by lenders. The research also showed that 

women highly valued access to information resources. While there 

were a multitude of resources available to entrepreneurs, women were 

having difficulty identifying and accessing them. In 1998, BankBoston 

developed a comprehensive program to market their connection to 

capital, information and resources both inside and outside the bank to 

women entrepreneurs and to those women aspiring to business 

ownership. After the merger with Fleet Bank in 1998 the Women 

Entrepreneurs’ Connection (“The Connection”), a targeted smallbusiness capital access program that offered women business owners 

access to a spectrum of products and services geared to their business' 

needs was launched throughout New England, New York and New 

Jersey. 

III. Issues Program was Designed to Address 

The program was initiated to assist small women-owned businesses in 

gaining access to capital, information, advocacy and other resources 

essential for launching and growing healthy, profitable companies. 

The effort involved both an internal and an external education and 

FleetBoston Financial 

has set an example in 

its efforts to establish 

strong customer 

relationships with 

women business 

owners. Its profitdriven strategy to seek 

out new growth 

markets led it to the 

women’s business 

market, which it 

found to be large, 

profitable and 

untapped. 

In 1998, BankBoston 

developed Women 

Entrepreneurs’ 

Connection, a 

comprehensive 

program to market 

their connection to 

capital, information 

and resources both 

inside and outside the 

bank to women 

entrepreneurs and to 

those women aspiring 

to business 

ownership. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

73 
Fleet recently 

earmarked $2 billion as 

a financing initiative to 

support the growth of 

women-owned 

businesses. The bank 

found that many 

women were utilizing 

more expensive credit 

instruments, like credit 

cards, to finance their 

businesses either 

because they were 

turned down for loans 

or were unaware of the 

options. The 

Connection team was 

set up to function as a 

partner with women 

business owners 

during the loan 

process. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

marketing effort. First, The Connection worked throughout the bank 

to build relationships across lines of business. Second, The 

Connection built relationships with a variety of women's organizations 

and other partners to support and sponsor programs for women. The 

Connection actively works with women entrepreneurs to guide them 

to the appropriate resources within the bank and to maintain that 

relationship as their businesses grow and their needs expand. 

IV. Successful Elements of the Program 

Fleet recently earmarked $2 billion as a financing initiative to support 

the growth of women-owned businesses. The bank found that many 

women were utilizing more expensive credit instruments, like credit 

cards, to finance their businesses either because they were turned 

down for loans or were unaware of the options. The Connection team 

was set up to function as a partner with women business owners 

during the loan process. For instance, The Connection works with 

Fleet’s Community Development Group to review loans rejected on 

the basis of credit scoring and, under some circumstances, aids in 

getting a loan approved through reconsideration under a special 

purpose loan program known as a “second look.” The Connection 

may also open channels to equity financing in situations where women 

are burdened by debt but poised to grow, and introduces women-led 

high growth companies to the banks’ venture capital managers. The 

Connection has also facilitated bank investments in venture funds, 

which in turn make equity investments in women-owned businesses. 

At each stage of development and for each type of business, Fleet 

Boston Financial's Women Entrepreneurs Connection is there to 

provide their services to women business owners. 

Beyond educating lenders within the bank, The Connection team also 

acts as a conduit to resources within the community that provide 

women entrepreneurs with information, technical assistance and 

networking opportunities. One such resource partner is the Center 

for Women and Enterprise, a women's business development 

educational center in Boston, Massachusetts providing a range of 

programs and mentoring services for women entrepreneurs. The 

Connection encourages the use of advisory boards and tries to 

facilitate networks from which they may be drawn. By creating the 

kinds of networks that male business owners have traditionally 

benefited from, women can also build connections to alternate 

sources of funding. Through these educational resource partners, bank 

clients receive education about appropriate lending products and are 

offered advice regarding cash flow, managing profitability, or other 

business finance topics. At every level, borrowers are provided with a 

“road map” to success. 

74 
� � � 

The Connection has enabled the bank to act as an advocate for 

women seeking to move their businesses forward. 

To further solidify its relationships in the community, Fleet's Women 

Entrepreneurs' Connection sponsors, supports research and 

participates in many events throughout the year produced for and by 

women business owners. The Connection assists its partners within 

the women's community by broadcasting these events on the bank's 

web site. 

V. Success Stories 

Diane Durkin, owner of the Loyalty Factor in Massachusetts was 

unhappy with Fleet bank, her small business bank. She was just not 

going to go through one more merger to feel lass valuable as a small 

business customer. Diane met Sidrah Jackson a seasoned member of 

the WEC team at a women business owner networking group. 

After listening to her, asking questions about the Loyalty Factor plans 

for growth, Sidrah suggested Diane become a member of a women’ 

business owner organization where she could attend monthly a peer 

to peer mentoring group and networking opportunities to develop 

her business. 

Diane was pleased with the personal service and connections to 

resource she remained a customer of Fleet and within six month 

sought additional financing of $250,000 to grow her business. No 

only did the Connection retain a customer, but also Diane’s husband, 

a local attorney, referred other women owned businesses to the bank. 

Valeria Gersten a young MBA graduate and owner of a three year old 

high tech firm was ready to grow her business. She had everything in 

place except capital to grow her dot.com business. A valued Fleet 

small business customer she saw the announcement of WEC 

$2Billioon credit and equity initiative and she decided to call her bank 

as well as seek outside venture capital. 

Through the connection she was introduced to Fleet Development 

Ventures, an internal development company within the bank. She 

was also encouraged to apply to Springboard 2000 – a new venture 

forum for women. Valeria has following through on both, seeking 

one to two million dollars. She is hopeful and she appreciated having 

an advocate in the Connection who assist in connecting her to the 

capital she needs to grow her company. 

The Connection 

works with Fleet’s 

Community 

Development Group 

to review loans 

rejected on the basis 

of credit scoring and, 

under some 

circumstances, aids in 

getting a loan 

approved through 

reconsideration under 

a special purpose loan 

program known as a 

“second look.” 

The Connection has 

enabled the bank to 

act as an advocate for 

women seeking to 

move their businesses 

forward. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

75 
The Women 

Entrepreneurs’ 

Connection provides 

more than the basic 

business products that 

small businesses need. 

The ‘Connection’ to 

resources – financial, 

business and personal 

is key to sustaining 

their growth. 

Connections to 

resources may be 

found both inside and 

out of Fleet. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

VI. Lessons Learned 

¤	 Women business owners need to know that they have a 

partnership with their financial institution, not just a place to 

transact their business. 

¤	 The Women Entrepreneurs’ Connection provides more than the 

basic business products that small businesses need. The 

‘Connection’ to resources – financial, business and personal is key 

to sustaining their growth. Connections to resources may be 

found both inside and out of Fleet. 

¤	 Women business owners’ need for capital, information and 

networking support change as their businesses develop. 

¤	 The Internet will soon become a viable and reliable source of 

connecting women to information and resources quickly, easily 

and at the time they choose to access it. 

¤	 Women business owners need to have a better understanding of 

leverage and how their vision for growth will determine their capital 

needs. 

¤	 Younger women business owners tend to have higher educational 

degrees, and a better understanding of how debt and equity can 

fuel their business growth. 

¤	 Women want to be viewed and treated as business owners first 

and foremost. By learning what women business owners want or 

expect from their financial partners, you can understand their 

specific needs and respond to them, developing loyalty in the 

process and acquiring or retaining business. 

¤	 In comparison with all businesses and all women-business owners, 

women of color are not taking advantage of the financial resources 

available to them. These businesses tend to bootstrap their 

companies longer before seeking out financing from a bank thus 

limiting their growth potential and risking the long term health 

and success of their business. 

76 
¤	 This is a dynamic and evolving market that is in the early stages of 

accessing capital, information and resources. To capitalize on the 

economic engine that women business owners represent, there 

must be continued focus from government, corporations and 

education to provide opportunities and programs that will sustain 

their growth. 

For further information about FleetBoston’s Women Entrepreneur’s 

Connection, please contact: 

Teresa Cavanagh 

Sr. Vice President 

FleetBoston Financial 

Director of the Women Entrepreneurs' Connection 

100 Federal Street, MA DE 10007C 

Boston, MA 02110 

Phone: 617-434-5226 

Email: teresa_cavanagh@fleet.co 

Women want to be 

viewed and treated as 

business owners first 

and foremost. By 

learning what women 

business owners want 

or expect from their 

financial partners, you 

can understand their 

specific needs and 

respond to them, 

developing loyalty in 

the process and 

acquiring or retaining 

business. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

77 
78
 
� � � 

The National Association of Women 

Business Owners, Public Policy Days 

I. Description of Program 

The National Association of Women Business Owners (NAWBO) 

represents the interests of the more than 9 million women business 

owners in the United States. This group generates $3.6 trillion in 

sales per year and employs 27.5 million workers. NAWBO’s vision is 

to propel women entrepreneurs into economic, social, and political 

spheres of power worldwide. The organization’s mission is to 

strengthen the wealth-creating capacity of its members and promote 

economic development; to create innovative and effective change in 

the business culture; to build strategic alliances, coalitions and 

affiliations; and to transform public policy and influence opinion 

makers. 

II. Program History 

The National Association of Women Business Owners was formed in 

1975 by a group of women business owners in the Washington, DC 

area. These visionary women realized they needed to network with 

one another to share insights and experiences. They met informally 

for several months. These meetings eventually formalized and 

NAWBO received its articles of incorporation and Federal tax status 

in July of 1975. 

NAWBO became much more than a networking group. The 

organization became a powerful, non-partisan grassroots advocacy 

organization. Within a couple of years, NAWBO formed chapters 

across the country and gained recognition as a professional business 

women’s association. Today, NAWBO has over 80 chapters across 

the United States and another 13 chapters in formation. 

NAWBO’s founders, including Susan Hager and Gillian Rudd, 

understood the need for a powerful advocacy organization 

representing women business owners. In 1977, NAWBO began its 

successful path of active participation in influencing policy changes 

on the Federal level by testifying before the Senate Small Business 

Committee. 

As the leaders of NAWBO learned how effective the organization 

was in causing change in public policy for the benefit of women 

business owners, expanded advocacy efforts began to train members 

on the importance of their voices as women business owners. 

The National 

Association of Women 

Business Owners 

(NAWBO) represents 

the interests of the 

more than 9 million 

women business 

owners in the United 

States. 

The National 

Association of Women 

Business Owners was 

formed in 1975 by a 

group of women 

business owners in the 

Washington, DC area 

who realized they 

needed to network 

with one another to 

share insights and 

experiences. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

79 
NAWBO’s mission is 

to strengthen the 

wealth-creating 

capacity of its 

members and promote 

economic 

development; to create 

innovative and 

effective change in the 

business culture; to 

build strategic 

alliances, coalitions 

and affiliations; and to 

transform public policy 

and influence opinion 

makers. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

NAWBO’s platform of public awareness and training for members to 

become effective advocates began in 1983 when NAWBO held its 

first Public Affairs Days, chaired by Virginia Littlejohn, in 

Washington, DC. During Public Policy Days NAWBO educates its 

members on key issues impacting women-owned businesses, 

continues training on advocating small business issues before their 

Congressional delegations, and brings Congressional leaders to the 

events to brief attendees on current legislation, political initiatives and 

future policy trends. 

III. Issues Program was Designed to Address 

NAWBO’s process for identifying issues of primary concern to 

women business owners is spearheaded by the organization’s Public 

Policy Council and involves several consensus-building stages before 

issues are presented to the Board of Directors for approval. 

NAWBO’s Vice President of Public Policy is an elected position for a 

term of two years. In 2000, each region of the United States was 

assigned a Public Policy Coordinator to work with chapter 

representatives in their geographic areas to keep all members advised 

on the state of policy issues and pending or enacted legislation. The 

Public Policy Council develops position papers on each of its policy 

initiatives along with key messages and statistics that can be used to 

communicate with policymakers. 

In 2000, NAWBO has focused on six major policy issues. They 

include: 

¤ Association Health Plans 

¤ Education and the Workforce 

¤ Procurement 

¤ Taxation 

¤ Technology 

¤ Social Security 

Each year, NAWBO publishes the position papers with updated 

information for distribution during Public Policy Days. The position 

papers are also posted on the Association’s web site, www.nawbo.org. 

A continuous process of updating information and notifying members 

of the need for political action ensures year-round involvement of all 

NAWBO members in the public policy process through the use of a 

unique phone messaging system, email, monthly newsletters, and its 

nationwide network of public policy officials. 

80 
IV. Successful Elements of Program 

The Public Policy Days event has become known as the annual 

launch of a renewed and retooled effort to affect change in the 

American policy debate on issues that affect women business owners. 

The event’s success stems from the integration of several elements 

designed to meet the needs of both veteran and new policy advocates. 

Those elements are: 

¤ Overview session describing current policy status and legislative 

actions. 

¤ In-depth briefing session on each policy issue led by experts in 

both the private and public sector. 

¤	 Presentations from representatives of the current Administration 

and members of both the House of Representatives and Senate 

that comprise the American legislature. 

¤	 Orientation sessions for attendees new to public policy and 

constituent advocacy. 

¤	 Current, factual materials and guidelines for communicating with 

legislative officials as well as individual chapter members on the 

importance of each public policy issue to women business 

owners. 

¤ Meetings of NAWBO state delegations with their elected officials 

in both the House and Senate. 

¤ Feedback and evaluation process on meetings and overall event. 

V. Success Stories 

NAWBO’s Public Policy Council has galvanized women business 

owners from around the nation in a concerted effort to implement 

legislation that creates a level playing field for all women 

entrepreneurs. Those efforts have resulted in several significant 

achievements. 

NAWBO’s greatest achievement in effective advocacy work was its 

leadership in driving the 1988 congressional hearings that resulted in 

the passage of HR 5050. HR 5050 was a monumental piece of 

legislation that NAWBO’s late Past National President, Gillian Rudd, 

plus Hope Eastman and Virginia Littlejohn, helped to spearhead on 

NAWBO’s behalf. NAWBO recognized the need for women 

entrepreneurs to be acknowledged as a driving force in the U.S. 

economy and demanded the attention of the United States 

government. HR 5050 created the Office of Women’s Business 

Ownership’s Women’s Demonstration Sites within the U.S. Small 

Business Administration, and the National Women’s Business 

Council (NWBC). The Demonstration Sites became the Women’s 

During Public Policy 

Days NAWBO 

educates its members 

on key issues 

impacting womenowned businesses, 

continues training on 

advocating small 

business issues before 

their Congressional 

delegations, and 

brings Congressional 

leaders to the events 

to brief attendees on 

current legislation, 

political initiatives 

and future policy 

trends. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

81 
� � � 

The Public Policy 

Days event has 

become known as the 

annual launch of a 

renewed and retooled 

effort to affect change 

in the American policy 

debate on issues that 

affect women business 

owners. 

In 2000, NAWBO has 

focused on six major 

policy issues. They 

include: Association 

Health Plans; 

Education and the 

Workforce; 

Procurement; 

Taxation; Technology; 

and Social Security. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

Business Centers, and the NWBC has catalyzed Springboard 2000, the 

phenomenally successful women’s venture capital fairs. The 

Presidential appointees to the Council, including NAWBO, have 

worked together to help thousands of successful and aspiring women 

entrepreneurs to realize their dreams. One of the largest contributors 

to NAWBO’s success in affecting economic policy is through the 

statistics provided by its affiliated foundation, The National 

Foundation for Women Business Owners (NFWBO). Susan Hager, 

Gillian Rudd, and Laura Henderson, were instrumental in creating the 

Foundation. NFWBO performs research both within the U.S. and 

also internationally. They provide government officials, community 

leaders and members of the academic community with research and 

statistics revealing the dynamism and strength of the women business 

owner segment of the economy. 

NAWBO leadership seeks to maintain a visionary focus. In 1984, 

recognizing the growing importance of international business and the 

global economy, NAWBO joined as the U.S. representative to Les 

Femmes Chefs d’Entreprises Mondiales. This affiliation resulted in 

NAWBO’s participation in trade missions to London, Frankfort, 

Madrid, Tokyo, and Mexico. NAWBO was one of the few business 

organizations to advocate for NAFTA, ahead of many of the other 

small business groups. 

In 1986 and 1995, NAWBO mounted a grand showing of forces at 

the White House Conference on Small Business, and had more 

delegates than any other association. In preparation for the 1995 

White House Conference, NAWBO held two Think Tanks with its 

members, authorities and pioneering practitioners in such fields as 

technology, human capital, labor law, community development, 

procurement, access to capital, and regulatory reform. From this 

Think Tank NAWBO garnered the best recommendations and 

amalgamated them with the ideas from leading futurists to create the 

organization’s 2020 Vision: Entrepreneurial Policies for the 21st Century. It 

was, and continues to be, NAWBO’s hope that these policy 

recommendations would spur debate and contribute to the White 

House Conference on Small Business. NAWBO urged its 

member/delegates present at the Conference to be bold and 

innovative. NAWBO was a leader in the policy development and 

subsequent implementation efforts of both Conferences. The 

organization has special appointees to all ten of the task forces such as 

tax reform, technology, and procurement. NAWBO is still actively 

involved today in bringing to fruition the recommendations of the 

1995 White House Conference on Small Business. 

82 
� � � 

NAWBO representatives have often testified before the Committee 

on Small Business on the issues of women business ownership, 

procurement, and the 5 percent goals program in the Federal 

government for procurement contracts to women owned businesses. 

Currently only 2.3 percent of all Federal contracts are awarded to 

women business owners. NAWBO finds this an unacceptable level 

and is actively advocating that the Federal government consider more 

women in procurement opportunities. 

Very recently NAWBO has reactivated its Political Action Committee 

(PAC). This separate but allied group seeks to identify and support 

candidates of any political party that are sympathetic with NAWBO’s 

public policy positions. Another mission NAWBO and the PAC 

both support is the election of NAWBO members and other women 

entrepreneurs to political office at every level of government. 

VI. Lessons Learned 

During its first 25 years, NAWBO members have recognized how 

critical sound and equitable public policy is to the creation, 

sustainability and success of women owned businesses. They also 

recognize that a well-defined strategy of continuing efforts is essential 

to keep pace with the changes affecting global businesses of the 

future. 

NAWBO has learned that a strong and continuing voice and vision 

for women business owners within the economic, social, and political 

communities is not only possible, but very effective. NAWBO public 

policy activities have developed leadership capable of creating a 

business climate that realizes “the integration of values, profits, 

technology, and people” – the cornerstone of its mission statement. 

For further information about the National Association of Women 

Business Owners, please contact: 

National Association of Women Business Owners Headquarters 

1411 K Street, NW 

Suite 1300 

Washington, D.C. 20005 

Telephone: (202) 347-8686 

Fax: (202) 347-4130 

Email: national@nawbo.org 

NAWBO has learned 

that a strong and 

continuing voice and 

vision for women 

business owners 

within the economic, 

social, and political 

communities is not 

only possible, but very 

effective. 

NAWBO public policy 

activities have 

developed leadership 

capable of creating a 

business climate that 

realizes “the 

integration of values, 

profits, technology, 

and people” – the 

cornerstone of its 

mission statement. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

83 
84
 
� � � 

The National Foundation for Women 

Business Owners 

I. Description of Program 

The National Foundation for Women Business Owners (NFWBO) is 

a non-profit research institute, whose mission is to support the 

growth of women business owners and their enterprises by 

conducting research, sharing information and increasing knowledge. 

NFWBO has come to be recognized as the premier source of 

information on women business owners and their firms worldwide. 

NFWBO provides original research and analysis to document the 

economic and social contributions of women-owned firms; 

consulting services to maximize the benefits of this knowledge; and 

leadership development for women who own growing enterprises. 

II. Program History 

The NFWBO was formed in the mid 1980s by members of the 

National Association of Women Business Owners (NAWBO) with 

which NFWBO is affiliated. The NFWBO has been active as a 

research, consulting and leadership development organization since 

1989. While affiliated with NAWBO, the NFWBO has a separate 

Board of Directors and operates with independent funding, derived 

mainly from research project underwriting and corporate and 

individual support. It is a 501(c)(3) non-profit organization. 

III. Issues Program was Designed to Address 

The main activity of the NFWBO is designing and conducting 

research to document the economic and social contributions of 

women-owned businesses. The NFWBO also consults with 

corporations, policy-makers, financial organizations and educational 

institutions to assist them in interpreting and using NFWBO 

information to more effectively understand, communicate with and 

support women business owners. In addition, the NFWBO offers 

leadership development for women who own and lead growing 

businesses through its annual Gillian Rudd Leadership Institute. 

Research 

The NFWBO has conducted and published over two dozen studies in 

the past eleven years, covering such diverse topics as employee 

benefits offered by women-owned firms, the use of technology in 

based women-owned firms, management and decision-making 

The National 

Foundation for 

Women Business 

Owners (NFWBO) is 

a non-profit research 

institute, whose 

mission is to support 

the growth of women 

business owners and 

their enterprises by 

conducting research, 

sharing information 

and increasing 

knowledge. 

NFWBO has come to 

be recognized as the 

premier source of 

information on 

women business 

owners and their firms 

worldwide. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

85 
� � � 

NFWBO provides 

original research and 

analysis to document 

the economic and 

social contributions of 

women-owned firms; 

consulting services to 

maximize the benefits 

of this knowledge; and 

leadership 

development for 

women who own 

growing enterprises. 

The NFWBO has 

conducted and 

published over two 

dozen studies in the 

past eleven years, 

covering such diverse 

topics as employee 

benefits offered by 

women-owned firms, 

the use of technology 

in based womenowned firms, and 

management and 

decision-making 

women-owned firms. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

women-owned firms, the characteristics and contributions of home 

styles of women and men business owners, and profiles of 50 leading 

women entrepreneurs worldwide. In addition to a body of U.S.-based 

research, NFWBO has conducted or collaborated on research studies 

in a number of countries outside the United States – Argentina, 

Canada, Ireland, Mexico, Russia and the United Kingdom among 

them. The NFWBO has also worked with international economic 

policy organizations, such as the Organization for Economic Cooperation and Development (OECD) and Asia Pacific Economic 

Cooperation (APEC) in analyzing the state of women’s 

entrepreneurship internationally. 

Consulting 

To help corporations, financial institutions and other organizations 

better understand what these recent trends in women’s 

entrepreneurship mean, and how they can be turned into market 

opportunities, the NFWBO also consults with these organizations in 

the area of communications (both with respect to maximizing the 

reach and visibility of its study announcements and in a broader 

market-wide context) and in marketing/sales strategy development 

and implementation. 

Leadership Development 

To assist established women business owners in dealing with issues of 

growth and organizational development, the NFWBO offers an 

annual leadership development program. Now in its ninth year, the 

Gillian Rudd Leadership Institute offers women who lead growing 

businesses the opportunity for reflection, learning and evaluation in a 

retreat-like setting. The Leadership Institute is held each fall and is 

limited to 20 attendees. Sessions conducted by leading management 

and consulting professionals discuss new ideas and trends in business 

leadership, and attendees grapple with a real issue in their business in 

“board of directors” sessions. 

IV. Successful Elements 

Although NFWBO conducts research, provides consulting services, 

and offers leadership development for growth-oriented women 

business owners, it is known most widely for its successful efforts in 

conducting and disseminating research-based information on the 

economic and social contributions of women business owners and 

their enterprises. 

86 
NFWBO’s programs have been a success because: 

¤	 The studies it publishes are written in a clear, understandable and 

actionable format; 

¤	 Economic and statistical information are published so as to fill in 

the gaps between economic census years, which provides policy 

makers and others with more timely and up-to-date statistical 

information; 

¤	 The research NFWBO conducts goes beyond “the numbers” to 

reveal the challenges faced by women entrepreneurs, as well as 

the social contributions women business owners make to the 

fabric of their communities; 

¤	 The consulting services NFWBO provides are grounded in 

research-based information and insight; 

¤	 NFWBO reaches out and communicates its findings with a wide 

variety of people and organizations, including women business 

owner organizations, other non-governmental organizations, 

public sector departments and agencies, the press, policy-makers, 

corporate leaders, and the educational community. 

V. Success Stories 

NFWBO has catalogued several policy and programmatic successes 

that have been attributed directly to the research information 

provided by NFWBO. In general, the impact of NFWBO’s research 

has been to put women business owners “on the map,” meaning that 

policies and programs have not only been more mindful of their 

impact on women business owners, but that specific initiatives have 

been formulated for women business owners and their enterprises. 

These programs have resulted in improved access to capital, access to 

training and technical assistance and access to markets — in the U.S. 

and beyond. 

The following achievements have been made with the assistance of 

NFWBO research: 

¤	 Access to Capital Dramatically Improved: Wells Fargo 

launched first a $1 billion loan fund and then a $10 billion loan 

fund for women entrepreneurs; the first Small Business 

Investment Companies (SBICs) focusing on women-owned 

firms were licensed by the U.S. Small Business Administration. 

The impact of 

NFWBO’s research 

has been to put 

women business 

owners “on the map,” 

meaning that policies 

and programs have 

not only been more 

mindful of their 

impact on women 

business owners, but 

that specific initiatives 

have been formulated 

for women business 

owners and their 

enterprises. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

87 
At United States 

Senate Small Business 

Committee hearings 

on women-owned 

businesses, Senators 

cited NFWBO data as 

the impetus for the 

hearings and their 

concern; the U.S. 

Bureau of the Census 

secured continued 

funding for the Survey 

of Women-Owned 

Business Enterprises 

(SWOBE) with input 

from NFWBO. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

¤	 Training and Technical Assistance Expanded: Federallyfunded training and technical assistance programs expand to 

more than 90 sites over a ten-year period; the U.S. Small 

Business Administration established its Online Women’s 

Business Center web site to provide information and technical 

assistance to women business owners. 

¤	 Public Policy Addresses the Needs of Women Business 

Owners: At Senate Small Business Committee hearings on 

women-owned businesses, Senators cited NFWBO data as the 

impetus for the hearings and their concern; the U.S. Bureau of 

the Census secured continued funding for the Survey of 

Women-Owned Business Enterprises (SWOBE) with input 

from NFWBO. 

¤	 Education Included Women Business Owners as Success 

Models: Harvard Business School established a $1 million 

project to develop case studies which featured successful 

women as protagonists, especially women entrepreneurs. 

¤	 International Recognition of Women Business Owners as 

an Economic Force: The Organization for Economic Cooperation and Development (OECD) in Paris established an 

initiative to develop standards for collecting data on small 

businesses with a gender component and to encourage its 29 

member nations to collect this information; Asia Pacific 

Economic Cooperation (APEC) conducted a regional 

evaluation of the state of women’s entrepreneurship in the 

Pacific Rim; the Canadian government launched a bilateral 

Canada-U.S. effort to expand international trade opportunities 

for women entrepreneurs. 

VI. Lessons Learned 

Over the past 11 years, the NFWBO has done more than any other 

organization to bring attention to the economic power of womenowned enterprises and to provide information to others who have 

used NFWBO’s research to provide programs and services, advocate 

in public policy arenas, and empower women business owners. This 

success can be attributed to several factors: 

¤	 The vision and commitment of a core group of women 

business owners and other “champions,” who provided startup direction and seed capital for the organization; 

88 
¤	 Conducting methodologically sound, independent research. In 

the face of low levels of awareness and some skepticism, it is 

critical to stake an initial claim with research that is unassailable, 

fact-based, nd free of a particular point of view. And it will likely 

take a series of studies and reports before a critical level of 

visibility and awareness is achieved. Research should focus not 

only on the numbers (the who, what, where of women-owned 

firms – a critical first step in gaining attention), but also on the 

differences (comparing characteristics and concerns of women 

and men business owners), and the reasons why these issues are 

important; 

¤	 Information dissemination and interpretation is as important as 

conducting good, sound research. Summarizing the research in a 

clear, understandable manner is important, as is widespread 

dissemination of knowledge. It is also important to realize that 

the audience for such studies are not only the news media, but 

public policy makers, educational institutions, the business and 

financial community, and women business owners themselves; 

¤	 NFWBO’s success could not have been achieved without the role 

that other organizations have played in helping to support and 

utilize the research. It appears – based on experience in the 

United States and from women entrepreneurial leaders in other 

countries – that the following are prerequisites for an 

organization such as NFWBO to succeed in other countries: 1) a 

strong women’s association network and other non-governmental 

organizations that can take advantage of the research 

information; 2) corporations and financial organizations that will 

recognize women business owners as a market, and 3) public 

sector organizations that can coordinate efforts to address the 

needs of women business owners; 

¤	 Financial support for ongoing activities is as important as support 

for research. The NFWBO plays an important role as a 

clearinghouse for information, fielding inquiries worldwide from 

the media, government officials, non-governmental organizations, 

corporate decision makers, and women business owners. Such 

activities are not directly funded by the cost of research projects, 

so it is important to have support for organizational “overhead.” 

Corporate support has been a very important element of the 

funding for these activities; 

¤	 Finally, it should be pointed out that much can be accomplished 

by a small number of committed and dedicated people. As an 

organization, NFWBO is relatively small – with a staff of nine 

full-time employees and 2 part-time staff, and a budget of just 

over $1 million USD. At its inception in 1989, NFWBO had just 

one full-time employee, and as late as 1995 it had just three. 

Over the past 11 years, 

the NFWBO has done 

more than any other 

organization to bring 

attention to the 

economic power of 

women-owned 

enterprises and to 

provide information to 

others who have used 

NFWBO’s research to 

provide programs and 

services, advocate in 

public policy arenas, 

and empower women 

business owners. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

89 
� � � 

The NFWBO was 

formed in the mid 

1980s by members of 

the National 

Association of Women 

Business Owners 

(NAWBO) with which 

NFWBO is affiliated. 

While affiliated with 

NAWBO, the NFWBO 

has a separate Board of 

Directors and operates 

with independent 

funding, derived 

mainly from research 

project underwriting 

and corporate and 

individual support. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

For further information about the National Foundation for Women 

Business Owners, please contact: 

The National Foundation for Women Business Owners 

1411 K Street, NW 

Suite 1350 

Washington, DC 20005-3407 

Phone: 1-202-638-3060 

Fax: 1-202-638-3064 

Email: info@nfwbo.org 

Web site: www.nfwbo.org 

90 
� � � 

Women’s Business Enterprise National 

Council 

I. Description of Program 

The Women’s Business Enterprise National Council’s (WBENC) goal 

is to foster diversity in the world of commerce. Its programs and 

policies are designed to expand opportunities and eliminate barriers in 

the marketplace for women business owners. WBENC works with 

representatives of corporations to encourage the utilization and 

expansion of supplier diversity programs.1 WBENC advances the 

visibility and credibility of women business enterprises through its 

advocacy and public relations activities. 

II. Program History 

The Women’s Business Enterprise National Council (WBENC), was 

created in early 1997 to meet the need for access to a nationally 

recognized standard of certification for women’s business enterprises. 

Endorsed by corporations that recognize the benefit to their 

communities of eliminating market barriers, WBENC utilizes the 

networks and expertise of a coalition of local organizations whose 

collective mission can best be described as serving the business 

support needs of America’s women-owned and operated small 

businesses. These local organizations, in addition to providing access 

to WBENC’s certification process, help women to write business 

plans, obtain capital for growth and seek out new markets for their 

products and services. 

III. Issues Program was Designed to Address 

Our affiliate women’s business organizations, currently 15 in number 

located throughout the United States, provide access to a nationally 

recognized standard of certification for women business owners and 

provide training and other resources – such as access to capital - to 

assist women’s business enterprises (WBEs) to become more 

competitive.2, 3 Through WBENCLink, an Internet accessible 

comprehensive database of these certified WBEs, WBENC provides 

a sourcing tool for corporations and government agencies looking for 

women-owned suppliers. WBENC assists its organizational partners 

through training and the provision of replicable programs such as 

B2B training for business owners. 

WBENC also strives to eliminate stereotypes concerning women 

owned firms as well as increase their visibility and credibility by using 

data collected on corporate contracting practices. WBENC believes in 

The Women’s 

Business Enterprise 

National Council’s 

(WBENC) goal is to 

foster diversity in the 

world of commerce. 

Its programs and 

policies are designed 

to expand 

opportunities and 

eliminate barriers in 

the marketplace for 

women business 

owners. 

The Women’s 

Business Enterprise 

National Council 

(WBENC), was 

created in early 1997 to 

meet the need for 

access to a nationally 

recognized standard 

of certification for 

women’s business 

enterprises. 

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WBENC works with 

representatives of 

corporations to 

encourage the 

utilization and 

expansion of supplier 

diversity programs. 

WBENC advances the 

visibility and 

credibility of women 

business enterprises 

through its advocacy 

and public relations 

activities. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

providing positive recognition to corporations that do a good job at 

inclusion, WBENC encourages other firms to begin or improve their 

supplier diversity programs resulting in more business for womenowned firms. 

IV. Successful Elements of Program 

Certification 

WBENC is a resource to its partner organizations, providing 

comprehensive certification procedures and procurement training 

materials as well as training for local staff and volunteers to carry out 

the certification process in an effective manner. WBENC is the 

nation's leading third-party certifier of women's business enterprises 

(WBEs). A nationally recognized and respected standard certification 

is the first key element in the WBENC program. The certification 

committee of WBENC has produced the certification standards and 

procedures manual that is available for review at the web site ­

www.wbenc.org. Women anywhere in the U.S. can easily apply for 

certification through the web site’s interactive application. 

Certification by WBENC through its national network of women 

business organization partners (WBOPs) offers the following benefits: 

¤ Opportunity to play an instrumental role in increasing awareness 

of the pivotal position held by America's 9.1 million womenowned businesses in the U.S. economy, and the importance of 

WBEs achieving equity in procurement opportunities by 

expanding marketing opportunities for businesses 51 percent 

owned and operated by women and certified through WBENC. 

¤ National recognition by more than 400 major U.S. corporations 

and state and local government agencies as a certified WBE. 

¤ Access to a current list of supplier diversity and procurement 

executives at more than 400 major U.S. corporations and other 

entities that accept WBENC's certification. 

¤ Automatic inclusion in WBENCLink, WBENC's Internet 

database of certified WBEs, which is accessible to WBENC's 

corporate members and selected government agencies. 

¤ Use of the WBENC member seal on marketing materials, 

which identifies the women's business enterprise as certified 

through WBENC's national network. 

¤ Eligibility to nominate corporations, women business owners, 

government agencies and individuals for the WBENC Applause 

Awards, which recognizes "barrier breakers" who expand business 

opportunities for women business owners with a significant, firsttime ever contribution that furthers the mission of WBENC. 

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¤ Eligibility to nominate a corporation for participation in 

WBENC's Search For America's Top Corporations For Women's 

Business Enterprises (WBEs). 

¤ Eligibility to participate in annual surveys that track the changing 

environment for WBEs. 

¤ Eligibility to participate in e-mail information network. 

¤ Eligibility to participate in WEBuy@wbenc.org a B2B trading 

program. 

¤ Eligibility to exhibit at national and regional business expos. 

The WBENC Board of Directors, Leadership Council, Women's 

Enterprise Leadership Forum members and staff participate in 

training programs throughout the country that provide information to 

groups of women business owners on how certification can validate 

the credibility of their firms and provide them with new marketing 

opportunities. 

Corporate Participation 

WBENC's corporate partners are responding proactively by 

implementing new programs and strengthening existing programs 

that provide opportunities for WBEs. These corporations are the 

driving force behind WBENC and have partnered with experienced, 

professionally administered women's business organizations 

throughout the country and WBEs who represent the strengths of 

women-owned businesses as well as present their needs and 

challenges. 

WBENC is a strong and diverse coalition whose governance structure 

is grounded on these three legs: the corporations that hold 2/3rds of 

the seats on the board of directors and provide insight into the needs 

of corporate America; the Leadership Council that represents the 

women's business organizations that have pledged to use the 

WBENC standards and submit to annual reviews of their procedures 

and results; and the Women's Enterprise Leadership Forum, 

representing the certified WBEs from around the country. Corporate 

members and certified businesses have unlimited access to 

WBENCLink, an Internet database of certified women-owned 

businesses. Through WBENCLink, WBENC provides a valuable B2B 

resource for WBE suppliers and corporate purchasers. 

Committees of the Board are working to extend outreach, increase 

visibility, refine procedures and train partner organizations to 

effectively implement certification and business enhancement 

programs. WBENC actively invites participation in this progress. 

WBENC has come a long way in its short history and continues to rely 

WBENC is a resource 

to its partner 

organizations, 

providing 

comprehensive 

certification 

procedures and 

procurement training 

materials as well as 

training for local staff 

and volunteers to 

carry out the 

certification process in 

an effective manner. 

WBENC is the 

nation's leading thirdparty certifier of 

women’s business 

enterprises (WBEs). 

Women anywhere in 

the U.S. can easily 

apply for certification 

through the web site’s 

interactive application. 

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Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

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WBENC's corporate 

partners are 

responding proactively 

by implementing new 

programs and 

strengthening existing 

programs that provide 

opportunities for 

WBEs. 

WBENC has fifteen 

fully operational 

Women Business 

Organization Partners 

(WBOPs), that have 

pledged to use the 

WBENC standards 

and submit to an 

annual review of their 

procedures and results. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

on the expertise and suggestions of its corporate members to improve 

programs and processes. Eighty-five corporations now participate as 

active WBENC members. More than 400 accept the WBENC 

certification for participation by WBEs in their supplier diversity 

programs. 

Organizational Support 

Currently, WBENC has fifteen fully operational Women Business 

Organization Partners (WBOPs), that have pledged to use the 

WBENC standards and submit to an annual review of their 

procedures and results. These WBOPs provide certification, offer 

programs to enhance women business enterprise procurement 

opportunities and participate in the Leadership Council. WBENC is 

eager to expand its network of WBOPs and encourages local 

nonprofit organizations that wish to offer WBENC certification to 

women business enterprises within their communities to seek 

affiliation. 

Eligible partners are nonprofit organizations that may currently exist 

with a client base of women entrepreneurs; or they may be new 

organizations formed specifically to seek WBENC affiliation. All 

organizations that are accepted for WBENC partnership must agree to 

a Memorandum of Understanding specifying their acceptance of 

WBENC Standards and Procedures and the guidance of WBENC 

staff on the implementation of programs and training for local 

program staffs. WBENC also provides the training for local 

certification and appeals committee. 

Advantages gained by WBENC affiliation are: 

¤ Start-up assistance and training for staff and volunteers. 

¤ Access for local clients to a nationally recognized and accepted 

certification. 

¤ Participation in allocation of funding from national corporate 

WBENC members. 

¤ On-line interactive WBENC certification application. 

¤ Recognition of organization on the WBENC website. 

¤ Access to WBENCLink, WBENC's online database of certified 

WBEs. 

¤ Participation in the Leadership Council. 

¤ Opportunity for local WBEs to participate in the national 

Women's Enterprise Leadership Forum. 

¤ Greater national exposure for local programs. 

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The executives of WBENC's women’s business partner organizations 

form the Leadership Council. Providing a forum for discussion, the 

Leadership Council serves as a creative hub for sharing ideas and 

initiates policy recommendations to be considered by the Board of 

Directors. 

Leadership Forum 

The Women's Enterprise Leadership Forum (Forum) represents women's 

business enterprises (WBEs) and provides insight into the needs and 

challenges of the women business owners served by WBENC. The 

mission of the Forum is to promote, translate and advocate the needs, 

issues and benefits of women's business enterprises and to facilitate 

corporate and supplier business opportunities for WBE members of 

WBENC. 

Through their representative women business owners from across the 

country, the Forum will provide practical information and policy 

recommendations to the Leadership Council and the Board of 

Directors. The Forum will conduct surveys to analyze the needs of 

WBEs and recommend replication of programs that WBENC 

partners have implemented to enhance and promote business 

opportunities for WBEs. 

Membership in WBENC's local Women's Enterprise Leadership 

Forum offers the opportunity to: 

¤ Collaborate with other women's organizations to pool power and 

build a broader power base from which to impact positive change 

in the business community. 

¤	 Access to regional and local corporations and local offices of 

national corporations with inside information on how to do 

business with Corporate America. 

¤	 Provide input to WBENC's National Women's Enterprise 

Leadership Forum on local issues and topics of importance to 

women's business enterprises. 

¤ Provide input to corporations about supplier diversity "Best 

Practices." 

¤ Network with other successful WBEs. 

¤ Work with corporate representatives and other WBEs on 

mentoring programs. 

Membership in WBENC's National Women's Enterprise Leadership 

Forum offers to opportunity to: 

¤	 Have your name and corporation included on WBENC's Web 

Site. 

The Women's 

Enterprise Leadership 

Forum (Forum) 

represents women's 

business enterprises 

(WBEs) and provides 

insight into the needs 

and challenges of the 

women business 

owners served by 

WBENC. 

The mission of the 

Forum is to promote, 

translate and 

advocate the needs, 

issues and benefits 

of women's business 

enterprises and to 

facilitate corporate 

and supplier 

business 

opportunities for 

WBE members of 

WBENC. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

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On October 2, 2000, 

WBENC named 16 

companies as 

America's Top 

Corporations for 

Women's Business 

Enterprises (Top 

Corporations). This 

marks the second 

consecutive year for 

the Top Corporations 

list, which is based on 

WBENC's annual 

survey and analysis of 

corporate best 

practices in supplier 

diversity programs for 

women's business 

enterprises (WBEs). 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

¤ Attend quarterly meetings where you will work closely with 

WBENC's Board Members and Board committees on policies and 

programs. 

¤ Receive a monthly mailing on current procurement and 

certification issues. 

¤ Hyper-link from the WBENC Web Site to your corporate Web 

Site. 

Best Practices and Research 

WBENC has been examining best practices in corporate America, 

since its inception, that lead to increased opportunity for business 

owned and controlled by women. 

On October 2, 2000, WBENC named 16 companies as America's Top 

Corporations for Women's Business Enterprises (Top Corporations). This 

marks the second consecutive year for the Top Corporations list, 

which is based on WBENC's annual survey and analysis of corporate 

best practices in supplier diversity programs for women's business 

enterprises (WBEs). 

Five “Best Practices” were highlighted in the survey: (1) leadership 

from the CEO, (2) outreach to an expanding pool of WBEs, (3) 

training of supplier diversity personnel, (4) policy structures that 

provide access to the corporation for WBEs, and (5) dissemination of 

information on the program and its results. Questions were grouped 

to elicit information on the scope of implementation in each of these 

five areas. 

The "Search for America's Top Corporations for Women's Business Enterprises" 

continues the work of WBENC to examine best practices in corporate 

America that lead to increased opportunity for businesses owned and 

controlled by women. In February of 1998, WBENC was asked by the 

Women's Economic Summit to begin a year-long investigation of 

strategies for enhancing market opportunities for women-owned 

businesses. The research conducted as part of that project formed the 

basis for the survey. An Advisory Council comprised of 

representatives from corporations, government agencies as well as 

women business owners, provided input for the study. Its results have 

been used by WBENC to craft its programs and policies. 

V. Success Stories 

While the survey was based on specific best practices, WBENC 

learned that responding companies also attributed new and specific 

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notable practices to driving results. WBENC, therefore, promotes 

these “Best Practices” as providing guidance to other companies 

eager to enhance their own Supplier Diversity Programs. A few 

examples follow: 

In the past two years, Motorola has done business with over 3,000 

women-owned businesses and fourteen of them have received over 

$1 million in business just in the first six months of 2000. In its effort 

to spend 5 percent of its procurement dollars with WBEs, Motorola 

offers “Quest for Quality” daylong workshops to women’s 

organizations and also provides training scholarships to Motorola 

University. 

At SBC Communications, the 1999 WBE spending goal was 5 

percent of the company’s purchasing base, WBEs actually received 10 

percent, or $772 million, of that base. This represents a staggering 34 

percent increase from the previous year. In addition to 25 dedicated 

supplier diversity staff led by the Executive Director, Supplier 

Diversity Programs, Joan Kerr, SBC’s Chairman and CEO, Ed 

Whitacre, Jr. is personally involved with this important initiative. In 

addition to receiving weekly reviews from his direct reports that 

include supplier diversity accomplishments and to ensuring that all 

key officers receive monthly written feedback on their organization’s 

WBE performance, Mr. Whitacre also participates in the annual 

Procurement Supplier Partner Program that recognizes the company’s 

top suppliers – this year including nine WBE companies. In addition 

to mandatory supplier diversity training and mandatory third party 

certification, SBC goes the extra mile by providing scholarships for 

WBEs to attend top-rated programs at UCLA and other universities 

to enhance their competitiveness and position them for growth. The 

company also offers an impressive mentor- protégé program further 

ensuring that WBEs are given the opportunity to participate in SBC’s 

business. 

VI. Lessons Learned 

¤ The Women’s Business Enterprise National Council created 

specifically to provide a service to corporations and women 

business owners – a nationally accepted certification – has become 

a well-respected advocate for increased opportunities for women 

business owners in both the private and government sectors. 

¤ By expanding its programs to research of corporate best practices, 

WBENC is affecting change in corporate purchasing behavior. In 

just its second year, the corporate survey is producing behavioral 

changes in corporate supplier diversity practices and we have seen a 

significant increase in best practice implementation this year. As 

In the past two years, 

Motorola has done 

business with over 

3,000 women-owned 

businesses and 

fourteen of them have 

received over $1 

million in business 

just in the first six 

months of 2000. In its 

effort to spend 5 

percent of its 

procurement dollars 

with WBEs, Motorola 

offers “Quest for 

Quality” daylong 

workshops to 

women’s 

organizations and also 

provides training 

scholarships to 

Motorola University. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

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By expanding its 

programs to research 

of corporate best 

practices, WBENC is 

affecting change in 

corporate purchasing 

behavior. In just its 

second year, the 

corporate survey is 

producing behavioral 

changes in corporate 

supplier diversity 

practices and we have 

seen a significant 

increase in best 

practice 

implementation this 

year. 

United States Case Study : 

Successful public and private sector 

initiatives fostering the growth of 

women's business ownership. 

with the work of the National Council created specifically to 

provide a service to corporations and women business owners – a 

nationally accepted certification – has become a well-respected 

advocate for increased opportunities for women business owners 

in both the private and government sectors. 

¤	 By expanding its programs to research of corporate best 

practices, WBENC is affecting change in corporate purchasing 

behavior. In just its second year, the corporate survey is 

producing behavioral changes in corporate supplier diversity 

practices and we have seen a significant increase in best practice 

implementation this year. As with the work of the National 

Foundation for Women Business Owners, the wide-spread 

dissemination of research results has proven to be as important 

as the research itself. 

¤	 While trying to assess the current state of best practice 

implementation, WBENC was, in fact, also describing a model 

program. Therefore, many corporations implementing supplier 

diversity programs or adding women business owners to 

programs designed to reach out to minority-owned businesses, 

could use this model as a guide. Indeed, at least three major firms 

are utilizing WBENC’s corporate best practices to launch 

programs. 

¤	 WBENC’s strength and rapid growth can be attributed to the 

dedication, commitment and work product of our partners – 

corporations that support and accept the certification and the 

women’s organizations that provide the programs and services 

throughout the country. 

¤ Focused use of technology resources has allowed for rapid 

expansion and availability of programs. From its inception, 

WBENC has relied on the Internet to promote its objectives and 

deliver its programs. An interactive application allowed us to 

reach business-owners throughout the country while we were 

building and training our network of “on the ground” affiliates. 

The Internet database of certified businesses provided a “B2B” 

sourcing tool before that term had even come into general 

useage. E-mail list serves have provided the opportunity for an 

exchange of ideas throughout the network, not just the 

leadership. Each certified business owner and corporate member 

has the ability to provide input and share challenges and 

suggestions. The list serve is now providing a platform to widely 

disseminate requests for proposals and other business 

opportunities. These same tools are allowing women business 

owners to expand their markets. Those companies that may have 

98 
only done business locally, can now market their products and 

services throughout the United States, and, in the case of our 

international corporate members, throughout the globe. 

For further information about the Women’s Business Enterprise 

National Council, please contact: 

Women’s Business Enterprise National Council 

1120 Connecticut Avenue, NW 

Suite 950 

Washington, DC 20036 

Phone: (202) 872-5515 

Fax: (202) 872-5505 

Website: info@wbenc.org 

Notes: 

1.	 “Supplier diversity” programs in the United States date back to the early 1970s 

and were originally initiated to provide increased opportunities for growth for 

minority owned businesses. As women owned firms increased in number in the 

late 1980s and they began to experience some of the same barriers to entry as 

had been experienced in the minority community, many corporations added 

women-owned firms to their existing programs. 

2.	 A “Women’s Business Enterprise” is a company that is 51 percent owned, 

managed and controlled by one or more women. 

3.	 Inclusion of women-owned firms in these special programs necessitated the 

implementation of a certification program to assure corporations that the 

businesses participating were those in the “class” intended to receive this 

consideration. 

WBENC’s strength 

and rapid growth can 

be attributed to the 

dedication, 

commitment and 

work product of our 

partners – 

corporations that 

support and accept 

the certification and 

the women’s 

organizations that 

provide the programs 

and services 

throughout the 

country. 

United States Case Study : 

Successful public and private 

sector initiatives fostering the 

growth of women's business 

ownership. 

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