Small businesses find markets overseas p1 - Military - Start Your Own Business - Military Times Edge

In a powerful trend that is reshaping the economic landscape, a rising wave of U.S. small businesses and start-ups are going global, selling hundreds of billions of dollars in goods and services to Asia, Canada, Latin America, Europe and Africa.

While big corporations dominate global business news, small companies are charging into overseas markets at a faster pace. From 1992 through 2007, exports by U.S. small businesses soared nearly four-fold to $400 billion, according to a preliminary estimate by economist Harvey Bronstein of the U.S. Small Business Administration.

“Exports are the under-recognized opportunity for many American small businesses,” said SBA Administrator Steve Preston.

As the global economy grows, half of U.S. small businesses will be involved in trade by 2018, predicts a report by the Institute for the Future think tank and software company Intuit.

A confluence of forces, including more open markets, is feeding the trend, according to consultants, business professors and government officials.

Other forces: Free trade is opening more markets for small businesses, which the SBA defines as firms with less than 500 employees. Millions of immigrant entrepreneurs, from mom-and-pop chains to technology firms, are selling in their homelands. The Internet and stronger transportation and banking networks make it easier for small companies and consumers to hook up.

“The timing has never been better for small businesses to get out of their backyards and become global players,” said Laurel Delaney, founder of GlobeTrade.com, a consulting firm for small businesses.

Of course, U.S. small business owners and analysts say going global isn’t as easy as setting up shop in the local neighborhood, so entrepreneurs interested in selling abroad should do serious research into potential markets.

(Originally published Aug. 4, 2008.)