Fed money at work: Abilene shows how $1M grant helps small business

Greg Jaklewicz, Abilene Reporter-News
Updated ·6 min read

A pat on the back is nice. A million bucks is nicer.

The Abilene Chamber of Commerce in January 2022 was named one of 51 recipients of a grant from the Small Business Administration to establish West Texas Business Navigator, a program that benefits small businesses. About $100 million was allocated.

"We are super proud of Abilene," said Mark Madrid, associate administrator of the Office of Entrepreneurial Development in Washington, D.C. "I call small businesses the first responders to our economy."

Funding came from the Community Navigator Pilot Program, an American Rescue Plan initiative developed to help small businesses, particularly businesses viewed as underserved, to start, recover and grow after the COIVD-19 pandemic. Technical assistance is one aspect.

"Underserved," or "underestimated" communities within a community, as one official said, are business owners who are women, minorities, people with disabilities and veterans.

SBA regional administrator Ted James said the goal is create deeper business relationships in cities.

"More trusted relationships," he said.

The chamber, which applied for the grant, has partnered with the Abilene Black Chamber of Commerce, Cisco College, West Central Texas Council of Governments and HERU Community Development Corporation. With the chamber serving as a hub, these organizations are called "spokes” in the wheel of economic development. The focus is on providing training resources for entrepreneurs.

So, how's it going?

On Tuesday, SBA representatives met with chamber officials and others at the new DoubleTree by Hilton to hear and see how that million-dollar investment in the chamber is working out.

The site itself was not lost on visitors, who see the downtown hotel as an example that Abilene is growing. And, it was noted, it will take help from local small businesses to make the hotel operation run smoothly. For example, linen service.

SBA representatives included Madrid; Ted James, SBA regional administrator; and Calvin Davis, SBA district director.

The Small Business Administration this year is celebrating 70 years. According to its mission statement, the SBA "helps Americans start, grow and build resilient businesses."

The group talking Abilene business Tuesday included Mark Madrid, a Small Business Administration official from Washington, D.C. (second from right, seated) and Ted James (to his right), SBA regional administrator for Region VI, which includes Abilene. Another visitor was Calvin Davis, district director for the Lubbock region (fifth from left, back row).

It was created an an independent federal agency "to aid, counsel, assist and protect the interests of small business concerns; preserve free competitive enterprise; and maintain and strengthen the overall economy of our nation. SBA reviews congressional legislation and testifies on behalf of small businesses. It assesses the impact of regulatory burden on small businesses."

To celebrate locally, an SBA legacy award was presented Tuesday afternoon to Rentech Boiler Systems, which got its start with assistance from the Small Business Development Center at Texas Tech University in 1966. Its founder was Jack Rentz.

It was noted that successful small businesses are able to give back to the community, something that Rentz and his wife, Becky, have done. He served on the Abilene City Council and she on the Wylie ISD board of trustees. In 2014, they were honored together as Abilene Chamber of Commerce Outstanding Citizens of the Year. They have been honored by United Way of Abilene for volunteer involvement with that organization.

James: Abilene has energy

James was making his second visit to Abilene.

"It's definitely a community powered by small business," he said. He lives in Baton Rouge, La., and oversees 10 district offices in that state, Arkansas, Texas, Oklahoma and New Mexico. More than 500 counties or parishes, he said.

Abilene is part of the Lubbock district.

"I brag about Abilene and the collaboration here," he said. In some places, he said, people are tripping over themselves in trying to make business work. Here, he said, "there is a recognition of 'here is what I do and I do it well.' There is a very strong ecosystem here."

A local company, Ingram Cleaners, winning the laundry contract for the DoubleTree "is what we want to see," James said.

Rentech Boiler Systems received an SBA Legacy award Tuesday from the U.S. Small Business Administration. Pictured is Calvin Davis, district director for the SBA (left), Janea Jamison, regional advocate for SBA’s Region 16, Ted James, SBA regional administrator, Rentech President Mark Colman and Mark Madrid, associate administrator for the SBA.
Rentech Boiler Systems received an SBA Legacy award Tuesday from the U.S. Small Business Administration. Pictured is Calvin Davis, district director for the SBA (left), Janea Jamison, regional advocate for SBA’s Region 16, Ted James, SBA regional administrator, Rentech President Mark Colman and Mark Madrid, associate administrator for the SBA.

He has seen energy lead a resurgence in business here, he said.

"The level of the success stories we hear here, we don't hear in every community," he said.

James said Abilene's energy is driven in part by having to fend for itself because of geography. He said chamber director Doug Peters has stated that no one is going to come help us, so we have to do it ourselves.

"I see that spirit, and it something you don't see in every community," James said.

Davis: Partnerships are a 'win-win'

Davis said the Small Business Administration has four "tentacles:"

  • Contracting. SBA helps small business get a share of the billions of dollars the federal government spends. An example would be projects at Dyess Air Force Base. Connections have to be made, and oftentimes certifications met.

  • Capital access. Making sure small businesses know what loan programs are available and working with lenders to make the loans. These loans are long term and at a reasonable interest rate.

"A win-win for both," he said.

  • Counseling. That's where the Small Business Development Center comes into play. Technical training is essential, Davis said.

  • Partnerships. Locally, that would be working with the chamber to ensure that the small business community works together.

While Rentech, which started small but with SBA assistance has become a global business, was honored with an award Tuesday, recognition also has been given to Hartmann's Inc. Hartmann's specializes in "rapid prototype development," according to its website, for industries ranging from automotive to aerospace. It was founded in 1955.

Hartmann's received SBA support over the years. The SBA group toured both Rentech and Hartmann's.

Before that, they lunched at Grain Theory, a downtown business that also benefitted from the SBA.

It's important to spotlight local businesses that have succeeded, Davis said.

"Like Mark (Madrid) says, 'If you can see it, you can be it,'" he said.

Madrid: Connections matter

Madrid said it's important to stay connected in business, and stays connected to small businesses each week.

Here, he met Pete Leuja and Glen Pugh, both Air Force veterans, who launched Lone Star Tactical Services, a private security service and training school in Abilene. Both were part of Tuesday's conference.

Madrid said they had two people in their first training but the business has taken off from there. Now, they want to expand elsewhere in Texas and maybe beyond the state border.

"And they started during the pandemic," he said. "I think that's the embodiment of the work that we're trying to do here together."

Small business is responsible for half of the nation's workforce, he said. The pandemic forced small business to reach out for help.

"We have an obligation to support them," Madrid said. "They are the backbone of the nation's economy."

This article originally appeared on Abilene Reporter-News: Fed money at work: Abilene shows how $1M grant helps small business