BILL NUMBER: S4575

SPONSOR: MAY
 
TITLE OF BILL:  An act to amend the economic development law, in
relation to establishing a program to provide education and training to
individuals fifty years of age and older regarding the transition to an
entrepreneur and small business developer

 
PURPOSE:

The purpose of this bill is to encourage and increase participation in
small business development by individuals age 50 or older.

 
SUMMARY OF PROVISIONS:

Section 1: adds a new subdivision 47 to section 100 of the economic
development law instructing the commissioner to develop education and
training for individuals 50 years of age and older regarding transitions
into life as an entrepreneur and small business developer. The bill
provides that such training will be made available in each economic
development region of the state and that information about the training
              

will be made available on the department's website.

Section 2: Establishes the effective date. Allows for immediate addi-
tion, amendment, or repeal of rules or regulations necessary for imple-
mentation.

 
JUSTIFICATION:

While entrepreneurship commonly is viewed as a young person's pursuit,
survey data in recent years shows a growing trend among those aged 50
and older of starting their own business or entrepreneurial venture. In
fact, the Ewing Marion Kauffman Foundation in 2014 found the same
.percentage of new businesses were started by older entrepreneurs-those
age 60 and up-as by those between 18 and 29. The Kauffman Foundation
also reports that over the last two decades, the share of new entrepre-
neurs between 55 and 64 nationwide increased more than for any other age
range; this share of new entrepreneurs in this age group grew from less
than 15 percent in 1996 to more than 25 percent in 2016. In New York
City alone, chambers of commerce and other groups that work with aspir-
ing business owners report that city residents over age 50 have grown
from a very small slice of their clientele to one-quarter or more.

Seniors who start their own businesses often have several advantages
over their younger counterparts, including significant years of work
experience and deep networks. Their start-ups create new jobs, open up
previously held jobs to younger applicants, boost the economy and gener-
ate new tax revenue. Studies show "encore entrepreneurship" also can
promote good health and delay the need for seniors to tap into tax-fund-
ed social support systems. As our population statewide continues to age,
the trend toward encore entrepreneurship will likely become even more
pronounced. Yet no formal programs or services are in place to support
aspiring senior entrepreneurs' unique needs, which can range from the
most basic "how-tos" to expanded technology skill sets. This bill would
require development of programs and services geared to supporting those
age 50 and older-many of whom may have spent decades working for
others-who want to transition into starting up their own business
venture.

 
LEGISLATIVE HISTORY:

New bill FISCAL IMPLICATIONS:

To be determined

 
EFFECTIVE DATE:
90 days after enactment