Report Outlines Jobs, Economic Activity Tied to Valley Incubators
YOUNGSTOWN, Ohio – The heads of two Mahoning Valley business incubators are touting the findings of a study regarding their business services, which show a combined total economic output in excess of $630 million and jobs created and retained totaling more than 4,400.
The data came from the appendix of a study by Silverlode Consulting LLC of the economic and fiscal impact of three partners to JumpStart Inc., a venture development firm based in Cleveland. The appendix covers the impact of Brite Energy Innovators in Warren and the Youngstown Business Incubator in Youngstown, as well as the Bounce Innovation Hub in Akron, in 2023.
Northeastern Ohio companies supported by YBI’s Evolve Technology Entrepreneurship Program generated $396 million in total economic output and created or retained 3,017 direct, indirect or induced jobs.
“Our numbers are toe to toe with the larger collaborators,” said Barb Ewing, CEO of YBI. Though YBI serves a smaller market and has “a relatively modest budget within it,” the incubator is “still doing great things and generating a whole lot of economic activity for northeast Ohio,” she added.
Companies assisted by Brite’s business assistance programs generated total economic output of $236 million and supported $1,417 direct, indirect and induced jobs statewide, according to the report’s appendix.
“First and foremost, it shows the value that our organization has to the state of Ohio and the economic impact that we generate,” said Rick Stockburger, Brite president and CEO. He also pointed out the data doesn’t include results from its services to larger employers like Ultium Cells in Lordstown.
It also shows the hard work and talent of the Brite team and of “hard-working Ohio founders that are building amazing things,” he said.
YBI’s economic activity data include an estimated $59 million generated by companies led by women, $19 million generated by companies led by Black entrepreneurs and $2 million generated by companies led by Latino/Hispanic entrepreneurs.
Brite’s economic activity numbers include an estimated $21 million generated by companies led by women and $36 million from companies led by Black entrepreneurs. Companies led by Latino/Hispanic entrepreneurs did not provide sufficient data to estimate their economic impact.
Of the 3,017 jobs generated by companies supported by YBI’s programs, 510 were connected with economic activity of companies led by women, 199 with companies led by Black entrepreneurs and 33 with Latino/Hispanic companies. Jobs supported by YBI programs and funding had approximately $256 million of associated annual labor income, including benefits, and sustained and estimated 2,039 households.
The jobs generated by companies with Brite’s support included 179 connected with economic activity of companies led by women.
Companies supported by YBI generated an estimated $22 million in state and local taxes and $56 million in federal taxes. Brite-assisted companies generated $10 million in state and local taxes and $25 million in federal taxes.
Ewing emphasized that the jobs and economic activity reported are not all directly generated by the companies themselves but also their supply chain partners, landlords and others. Anyone who is looking only at the 65 small businesses that YBI is working with at any given time is “not seeing the larger picture,” she said.
Brite receives about $1 million annually from Ohio’s Third Frontier program Stockburger said.
“It’s just a very clear validation of the value of our organization and the return on investment of state and federal dollars,” he said. “I think any investment portfolio would be unbelievably happy with the result from that standpoint.”
He also pointed out this data comes from Silverlode and JumpStart making inquiries to its affiliated companies to gather data regarding how they have benefited from Brite’s assistance, and not Brite reporting the data.
Copyright 2024 The Business Journal, Youngstown, Ohio.
