A Governor's Guide to Strengthening State Entrepreneurship Policy

This report provides policy guidance and best practices for governors and state leaders to develop or improve policies that support entrepreneurship. The first section focuses on the importance of entrepreneurship to economic vitality, considers why entrepreneurs matter to governors and states, and seeks to explain their increasing interest to state leaders. Section two discusses how entrepreneurship is often poorly served by present economic development policies and what entrepreneurs need from states. Section three identifies policy and program areas that governors and states can influence to enhance their entrepreneurial climate; these include diversity in sources of capital, an enabling culture, strong local networks, supportive infrastructure, and "entrepreneur-friendly" government. Section four identifies five strategies governors can use to achieve a more entrepreneurial environment: (1) integrate entrepreneurship into state economic development efforts, (2) encourage the education system to nurture and encourage future entrepreneurs, (3) incubate entrepreneurial companies, (4) invest in diverse sources of risk capital for the state's entrepreneurs and growth companies, and (5) "get out of the way" through regulatory reform and streamlining. Throughout, the publication describes numerous best practice examples of innovative state policies that can make entrepreneurship more robust and successful