26 Oct Study: NTEC, Frisco’s Business Accelerator, Brings More than $117M into Regional Economy
The North Texas Enterprise Center, or NTEC, provides a total of $117,087,392 of economic output into North Texas according to a regional impact study released by Collin College. In the five north Texas counties (i.e., Collin, Dallas, Denton, Rockwall and Tarrant), NTEC was shown to bring a total direct impact of $55,216,263.
Clay Randall, an Economics Professor, and Sam Roach Endowed Chair in Business and Engineering at Collin College generated the report as part of an effort to help Frisco’s Economic Development Corporation (FEDC) examine whether their goal of enhancing “Frisco’s innovation culture through entrepreneurship” was being met and what role NTEC has played in meeting that goal.
The City of Frisco has established itself as a progressive city which continues to lure new business with exceptional infrastructure, strong leadership and quality commercial developments. In an effort to continue to offer a strong economy and diversification, the FEDC established NTEC, a business accelerator to foster community job creation, facilitate an entrepreneurial climate, and support businesses with a long-term future in Frisco. The study revealed that having a business accelerator not only fosters entrepreneurial pursuits within the community, but also provides a strong sense of community with its member companies and is a source of community pride for Frisco.
Using IMPLAN, (IMpact analysis for PLANning) data and the IMPLAN online modeling package, the following data was revealed:
- NTEC provides the equivalent of 213 full time jobs.
- NTEC’s 213 jobs are associated with 139 indirect jobs. The indirect effect can be considered business to business transactions.
- NTEC provides $23,019,690 in labor income which is the estimate of all forms of employment income, including employee compensation and proprietor.
- Several NTEC companies are primary employers for Frisco. In general, local economies grow, or decline, based on the number of primary employers in the area. A primary employer is one that imports wealth into the community by securing customers from outside the local economy. These companies contract with customers outside of the Frisco area and dollars flow from outside into the Frisco economy.
- Collin County has captured a growing share of Texas’ business establishments and employees, with 3.3% of Texas’ overall business establishments, and 3% of Texas’ employees with growth seen from 2001 to 2013.
In conclusion, a snapshot of the regional economy indicates this regional economy is growing in size and in quality. The overall result is that NTEC enhances Frisco’s stature significantly in Collin County, the 5 county North Texas region, and supports the Frisco EDC’s goal of providing a conduit for an “innovation culture through entrepreneurship.” NTEC’s outcomes and results help to produce both direct benefits in terms of jobs and spillover benefits onto the regional economy.