Leaders devised a potential new model for operating the Dan River Business Development Center after a significant loss of funding and the departure of its president.
Danville City Manager Joe King assures tenants and the public that the center will remain operational despite challenges.
The business incubator opened 10 years ago as a joint venture between Danville and Pittsylvania County as a way to grow start-ups and attract businesses to the region. Tenants spend a few years in the center and then grow to provide investment and jobs in the region.
Danville and Pittsylvania County both contributed equal funding for the center. However, because of budget cuts in both the city and county this year, the center’s funding decreased by $60,000, making it impractical to fully staff and operate it independently, King said.
Former president Linda Green had left to work for Rep. Robert Hurt’s office in January. While Angie Walker has been serving as the interim head, she is leaving by the end of August to take another job.
The center’s board of directors met Wednesday about replacing Walker and how to continue operations with a seamless transition, said board chair Buddy Rawley. King and Pittsylvania County Administrator Dan Sleeper had been working up a plan.
The new concept calls for moving the center under the umbrella of the Danville-Pittsylvania Regional Industrial Facility Authority, another joint economic development effort, King said. That’s contingent upon approval by City Council, the board of supervisors and the RIFA board.
For immediate needs, the board authorized hiring a temporary, part-time receptionist. The plan calls for hiring a “facilities manager,” who would manage the center and work on other RIFA projects, King said. That person would work closely with city and county economic development offices and report to the RIFA board.
The economic development directors would be responsible for attracting new tenants to the center and graduating tenants out, King said. The city and county would share maintenance responsibilities.
Tenant François Chenard, president and founder of IRflex Corp., expressed concerns to economic development officials during a tech forum last week.
“For me, what attracted me here was the opportunity to start a small business with the incubator. That’s very important,” Chenard said, adding most job creation comes from small companies.
Rawley agreed, adding many companies employing people in the region today, like EIT South, started in the incubator.
“It’s a really critical partnership between the city and county,” Rawley said.
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