Small Business/City Business

By Cheri Rae

Addressed to our small, family publishing business, the letter was signed by the city’s Economic Development Manager. Unfortunately, it wasn’t from anyone promoting business development in Santa Barbara but in Henderson, Nevada. He wanted to know if we would consider relocating, bringing our business with us.

I’m sure Henderson is a nice place to live—and certainly cheaper to do business—but, for the record I wouldn’t want to live there. Santa Barbara is our home, even though most of our publishing colleagues have moved far away in order to keep their businesses thriving.

A few years ago, it was officials in a small town in Colorado making the same kind of offer, including favorable tax rates, negotiable rents and plenty of official assistance. It was very tempting to think about trading in the Pacific Coast for the Rocky Mountains, but in the end, we decided to stay where our roots had been planted for years.

Back here at home though, the only communication our business has ever received from anyone in the City of Santa Barbara—where we have operated for more than two decades—is an annual invoice for our business license and a tax bill for our computers.

A quick comparison between the websites for Henderson and Santa Barbara reveals a real difference in the two cities’ approach to businesses. The Henderson website—which interestingly features the Mayor striding across the screen while offering a very pleasant video welcome—indicates a very business-friendly, strategic approach from the Economic Development/Redevelopment Manger. That’s right—the same guy who’s responsible for the Redevelopment efforts is also the one who heads up their Economic Development efforts.

Now that Redevelopment is passé in California, it’s a bit of a moot point, but considering all the organizations that benefited from the millions and millions of RDA funds, I don’t remember hearing much of anything about the City making investments in the local business community, assisting local small business owners, or attracting others to bring their businesses here.

In fact, we got just the opposite. Our city’s economic development plan seems to have been focused on supporting a wide array of non-profits that serve the down-and-out. If there has been a proactive effort to entice small business owners to relocate to encourage economic diversity and vitality, I sure missed it.

Back to the websites: a careful look at Santa Barbara’s website reveals the first line of the business section, “Starting a business is a difficult decision at best.” Not exactly encouraging. It then proceeds to list a bunch of information about taxes, permits, zoning, regulations and licensing. Information about assistance to local businesses is sparse at best—and there’s no sense at all that the city has a business outreach program of any kind.

Henderson’s, by contrast, offers information about city-sponsored programs that link local businesses with representatives from City Council—including opportunities for visitation by them, and several other business incentives.

Of course, housing costs and tax rates between the two cities are not comparable—and Henderson is much bigger than Santa Barbara. But still, there’s something innovative, interesting and very instructional about a municipality getting to work by spreading the word that it’s open for business, and pretty friendly about it, too

About Cheri Rae

Cheri Rae is the senior editor and columnist. Known for her civic activism and insightful chronicles of the local scene, Cheri has a hard-won reputation for writing about issues that other Santa Barbara-based writers are reluctant to tackle. Cheri shared her unique citizen’s eye view of the region as a columnist for the Santa Barbara Daily Sound. In 2009, her work was recognized by the California Newspaper Publishers Association, which awarded her first-place honors in the Best Newspaper Column category.

4 Responses to Small Business/City Business

  1. el_smurfo August 17, 2012 at 7:16 am #

    Seriously? Computer tax? Do they maintain and repair them as a service for this fee?

    Santa Barbara is like the trust fund baby who resents his parents even though they pay all the bills. They will be very shocked when they drive all business out of town and get “left out of the will”, with no money for their stupid utopian programs and public employee welfare programs.

  2. Tangled Web August 17, 2012 at 8:20 am #

    You have made an important point – it is time for the city council to review their website presentations regarding business development and how it also encourages continued social blight at the same time. If you look at the website you understand why Homeless Inc has been SB’s only recent city-enabled growth industry

    When the city agrees to take HUD monies, they come with heavy strings (chains?) attached to the local decision making process creating this city’s dystopian social agenda that has only increased, not decreased local social problems.

    Both larger topics need council investigation – (1) how to encourage small business enterprise to thrive that supports the city tax base, and (2) how to limit outside funding that requires outside control of our local social agenda which works to the detriment of both local residents and local businesses.

  3. Anonymous August 17, 2012 at 11:36 am #

    Why would the list that on their website?

  4. Anonymous August 17, 2012 at 11:37 am #

    Business is Great for Santa Barbara and Santa Barbara is Great for Business!!!

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