Press & News |

Press Release: Harlem Businesses Benefit from Pilot Pro-Bono Aid Initiative


The William J. Clinton Presidential Foundation, management consulting firm Booz Allen Hamilton, New York University’s Stern School of Business, National Association of Minorities in Communication (NAMIC) and the National Black MBA Association (NBMBAA) will hold a summit today on progress made in a pilot program designed to help individual small businesses in Harlem thrive in a challenging economic environment.

Launched nearly two years ago, the Harlem Small Business Initiative (HSBI) is a pro-bono partnership of private sector companies, community leaders, small businesses and a business school that provides the best technical and managerial assistance possible to the owners of small businesses in Harlem. Teams led by members of the NBMBAA New York Chapter and Booz Allen consultants and staffed by MBA students from NYU Stern were formed to help position individual and family-owned businesses to better compete in an expanding marketplace. In addition, NAMIC provided computers and computer training to the business owners. The initiative, the most comprehensive and extensive of its kind, has funneled over 44,000 pro-bono man hours, worth over $8 million in professional services fees, and nearly $20,000 in donated out-of-pocket expenses into Harlem.

The ten businesses selected for the pilot – six established businesses and four start-ups – have received assistance on such practical and important business functions as marketing plans and Website development, applying financial management systems, lease negotiations, computer technology and training, creating operating manuals, development of renovation plans, completing applications for funding, and making staff placements. The program’s organizers are now planning the next phase of the program, and hope to expand it to other New York communities and nationally.

Examples of how business have benefited from the program include:

  • The owners of Harlem’s Heaven Boutique, a millinery shop located on 7th Avenue near W. 148th Street, had experienced profit losses of 9% and 4% in the two years prior to its involvement with HSBI. Since then, the business has grown to profitability of 7% and 9.5% in FY02 and FY03. Revenues grew by 14%, and customers increased 6%, allowing the owners to continue their business and plan for the future.
  • Katrina Parris Flowers, a start-up business, found office space on 7th Avenue near W. 112th Street. The florist has far exceeded expectations; its revenues grew three times more than projected from FY02 to FY03. Profits grew 50 times more than projected, and customer base and revenue per customer growth also far surpassed expectations. Katrina Parris Flowers is now positioned to reach beyond Harlem to target greater Manhattan in the commercial sector.
  • Before Ken Taylor Plumbing joined the HSBI, its revenues grew just 6% from FY00 to FY01. After joining HSBI, revenues increased to 38% the following year, and customer base and revenue per customer also grew incrementally. The business hired a professional office manager and applied for and received minority business status, which will allow access to bidding on highly profitable government contracts.

President Clinton said: “The Harlem Small Business Initiative is the best thing I’ve been associated with in 25 years of working on economic development issues in underserved areas. I’m proud of all that’s been accomplished, especially during a time when the economy has been struggling.”

“These two years have delivered significant benefits and a set of key learnings to the business owners,” said Reggie Van Lee, Senior Vice President at Booz Allen Hamilton. “They have become more stable and profitable, and enhanced their business understanding and technical expertise, which enables them to make sound decisions and set goals for the future. We have been very gratified to have contributed our expertise to the small businesses that are the lifeblood of Harlem’s present and future.”

“As an educational institution so closely engaged with New York City, we are excited that our MBA students have had the opportunity to give back to the community by applying what they’re learning in the classroom to help small businesses in Harlem flourish,” said Thomas F. Cooley, Dean of NYU Stern. “It’s gratifying to see such an immediate impact, and we’re honored to be part of this innovative partnership.”

# # #

Learn more about our work at https://www.clintonfoundation.org/about, on Facebook at Facebook.com/ClintonFoundation and on Twitter @ClintonFdn.

INFORMATION ON PARTNERS

Booz Allen Hamilton has been at the forefront of management consulting for business and government for more than 85 years. Booz Allen combines strategy with technology and insight with action, working with clients to deliver results today that endure tomorrow. With 13,000 employees on six continents, the firm generates annual sales of $2.2 billion. Booz Allen provides services in strategy, organization, operations, systems, and technology to the world's leading corporations, government and other public agencies, emerging growth companies, and institutions. To learn more about the firm, visit the Booz Allen Web site at www.boozallen.com. To learn more about the best ideas in business, visit www.strategy-business.com, the Web site for strategy+business, a quarterly journal sponsored by Booz Allen.

New York University Stern School of Business, located in the heart of Greenwich Village, is one of the nation’s premier management education schools and research centers. NYU Stern offers a broad portfolio of academic programs addressing graduate and undergraduate levels, all of them informed and enriched by the dynamism, energy and deep resources of the world’s business capital. For more information on NYU Stern, visit www.stern.nyu.edu.

The National Association For Multi-Ethnicity In Communications (NAMIC) is a 1200-member 501(c)(6) trade association. NAMIC was founded in 1980 as “The National Association of Minorities in Communications.” NAMIC's mission is to educate, advocate, and empower the operators, programmers, hardware suppliers and new media professionals and entrepreneurs. NAMIC envisions a telecommunications industry that values and demonstrates diversity in leadership, employment, procurement, programming and ownership.

The National Black MBA Association has been a unique presence in the business world since 1970. The Organization seeks to simultaneously service black MBAs, prospective black MBAs, employers, and government in order to service the larger Black community. The non-profit organization consists of 6,000 minority members who are MBAs, business professionals, entrepreneurs and MBA students. These members work in both the private and public sector in 39 United States chapters as well as the United Kingdom. All members share a concern for education and business.