Part 4MICROENTERPRISES

Section § 18000

Explanation

This law defines what a "microenterprise" is in California. It's a small business that can be a sole proprietorship, partnership, LLC, or corporation with five or fewer employees, including the owner. These businesses often have difficulty accessing financial resources like loans or equity. It also describes a "microenterprise development provider" as a nonprofit or public agency that helps people start or grow these types of small businesses by offering training, advice, and microloans.

(a)CA Business and Professions Code § 18000(a) For purposes of this part, “microenterprise” means a sole proprietorship, partnership, limited liability company, or corporation that meets both of the following requirements:
(1)CA Business and Professions Code § 18000(a)(1) Has five or fewer employees, including the owner, who may be part time or full time.
(2)CA Business and Professions Code § 18000(a)(2) Generally lacks sufficient access to loans, equity, or other financial capital.
(b)CA Business and Professions Code § 18000(b) For purposes of this part, “microenterprise development provider” means a nonprofit organization or public agency that provides self-employment training, technical assistance, and access to microloans to individuals seeking to become self-employed or to a microenterprise seeking to expand its current business.
microenterprise self-employment training business expansion microloans part-time employees full-time employees nonprofit organization public agency financial capital access sole proprietorship partnership limited liability company corporation technical assistance small business finance
(Amended by Stats. 2014, Ch. 101, Sec. 1. (AB 674) Effective January 1, 2015.)

Section § 18001

Explanation

This law encourages cities and counties in California to support small business growth, particularly microenterprises. These are small-scale businesses that can provide jobs and income to people with low to moderate income. Communities and local agencies are urged to make microenterprise development a key part of their economic plans and to work together to invest in these small businesses.

(a)CA Business and Professions Code § 18001(a) Every city, county, and city and county is encouraged to access microenterprise development in order to create new jobs and income opportunities for individuals of low and moderate income.
(b)CA Business and Professions Code § 18001(b) Every city, county, and city and county is encouraged to include microenterprise development as a part of their economic development strategy.
(c)CA Business and Professions Code § 18001(c) California communities and the public agencies that serve them, such as workforce investment boards, community colleges, and local economic development agencies, are encouraged to promote local partnerships that invest in microenterprise development.
microenterprise development economic development strategy job creation income opportunities low income individuals moderate income individuals workforce investment boards community colleges local economic development agencies local partnerships small business growth California communities public agencies investment in microenterprises economic plans
(Added by Stats. 2004, Ch. 87, Sec. 2. Effective January 1, 2005.)