On September 27, 2020, the U.S. Small Business Administration celebrated the 10th anniversary of the State Trade Expansion Program (STEP). This initiative has been pivotal in helping small businesses achieve global success. Over the past decade, STEP has awarded 302 state grants with an average funding of over $518,000 to all 50 states and U.S. Territories, totaling more than $156 million and generating nearly $1.8 billion in exports.
Established by the Small Business Jobs Act of 2010, STEP partners with U.S. states and territories to assist small businesses in entering and expanding into international markets. Expanding a business often involves finding more customers, and in today’s global economy, businesses that operate internationally tend to thrive. Data shows that small businesses that export perform better than those that don’t, leading to increased sales, higher wages, and more employment. However, only a small percentage of U.S. small businesses export, despite 95 percent of the world’s customers living outside the United States.
STEP helps small businesses tackle the challenges of exporting by offering grants that cover the costs of entering and expanding into international markets. These grants can be used for participation in foreign trade missions, market sales trips, services from the U.S. Department of Commerce and other federal agencies, designing international marketing products and campaigns, and attending export trade shows and training workshops.
The SBA provides grants to help small businesses capitalize on international opportunities. STEP grants offer direct support to businesses aiming to boost their international sales.
A notable example is WCCO Belting, Inc., a North Dakota-based manufacturer of specialized custom rubber belting for various industries. With STEP’s help, the company created new virtual promotional materials for an international audience, participated in trade shows in Germany, Brazil, and Italy, and conducted sales trips and a trade mission to Australia. They also redesigned and translated their website, which resulted in their expansion into Germany, Italy, Brazil, and Australia, generating over $2.25 million in sales since 2012. WCCO Belting, Inc. continues to seek new global opportunities.
As we mark the 10th anniversary of STEP, the SBA is proud of the small businesses we’ve helped and looks forward to assisting more entrepreneurs in reaching their global potential. We hope to see your business succeed in the international marketplace soon. For more information about STEP and other export resources, visit the SBA’s business guide to exporting products.
