Rural Entrepreneurial Venture Update 2023

Montgomery is part of the Rural Entrepreneurial Venture (REV) program sponsored by the Southern Minnesota Initiative Foundation and supported by the Blandin Foundation, Region Nine Development Commission, and the University of Minnesota Extension.

The intention of the program has been to find and ignite existing entrepreneurs in our community by adopting a “grow your own” approach to business development, helping create a more vibrant community by growing from within. The program has focused on a range of groups, from business startups to existing businesses that want to grow and worked to encourage youth to remain or return to the community.  Some of the activities the group has completed include providing small business workshops, conducting a Civic Summit to bring our different civic groups together, work with TCU to support their STEAM Initiative, and conduct one-on-one interviews and focus groups with our local businesses. 

As the program approaches the end of its three years, the REV group is transitioning to a subcommittee of the Economic Development Authority in order to continue the ideas, programs, and initiatives it started and continue to work to assist the area businesses and entrepreneurs.  They would also like to share some of the results of the one-on-one interviews. 

Over half of our business owners think Montgomery is an above average or excellent place to do business.  Only 12% believe that Montgomery is below average or a poor place to do business. 

The interviews started during the pandemic and continued through the period of recovery.  Even through this difficult time, our entrepreneurs think the business climate in Montgomery has either stayed the same or gotten better. 

Half of our entrepreneurs are over the age of 50, with 19% being close to or over retirement age.  As our entrepreneurs get closer to retirement, we need younger people to take over for them.  This can be by starting a new business to fill the void left by the retiring business owner, or by purchasing and taking over an existing operation. 

Over three quarters of business owners in the community have no plan in place to direct how to continue their business in the case something happens to them or how they will transition into retirement.  These plans can address assessing and selling a business when the owner is working to retire or how things should be run in their absence.

Finding motivated or skilled employees continues to be an issue for many of our entrepreneurs.  Some of our employers need skilled individuals that already know what they are doing.  Also, about half of our businesses are looking for unskilled labor.  Some businesses do not necessarily require skilled labor and thus thought this less important.  There may have also been some confusion by grouping skilled and motivated workers together; a motivated unskilled worker can have more of an impact than an unmotivated skilled laborer. 

Below are some items our business owners have identified as ways to strengthen and help our businesses or are issues that need to be addressed.

• There is very limited parking downtown.  Work needs to be done to improve city parking lots and increase parking for the public.   
• Attract additional businesses to draw people into town. People often come to town to visit multiple businesses and will go elsewhere if they are not available.
• Montgomery needs to continue to grow to support our businesses, bring in new residential developments.
• There are issues dealing with old and historic buildings. Improvement grants and loans can go a long way to help businesses maintain their structures.
• Positive word of mouth, referrals, and letting people know what businesses are available in town can go a long way to support businesses in the community. 
• Show your support for our small businesses.  Do your business and shop locally.  If you do business with local businesses, many businesses are happy to give back to their community. 
• Help to build a general culture of supporting entrepreneurs and the community for businesses. 
• The community groups need to work together and cooperate to help develop a strong, local business community.
• Help create a vision the City can work towards with a strong, local business community. 
• Do business in town-at least give folks in town the opportunity to earn your business-including banks, lenders, attorneys, shops, etc.
• Support improvements to our streets, sidewalks, and alleys.  
• Support the development of a business park and create additional areas for commercial development. 
• Work to add and improve walking/biking paths and connectivity with neighboring communities.