How the “Sunflower State” Raised the Bar for Statewide Entrepreneurial Ecosystem Development

Atlanta Should Look to Kansas for Inspiration & Replicable Models

On February 5, 2025, TruFund Financial Services (TruFund), a leading community development financial institution (CDFI) held its Annual Ecosystem Breakfast, bringing together more than 30 key stakeholders from Atlanta’s entrepreneurial and small business ecosystem. A diverse mix of participants, representing traditional banks, CDFIs, quasi-governmental agencies, business support organizations, and private-sector investors, contributed to a lively, generative discussion on the challenges and opportunities within the ecosystem. In the room alone, there was a diverse “asset base” to build around, each bringing financial, intellectual, social, political, and cultural capital to the table.

Georgia has a tremendous opportunity to build a stronger, more connected entrepreneurial ecosystem by leveraging the lessons from Kansas. To replicate this success, Georgia-based organizations must prioritize collaboration, engage diverse stakeholders, and leverage impact investing to drive business growth and infrastructure development. Keep reading to see what we could learn from the “Sunflower State.”

Playbook for Entrepreneurial Ecosystem Development

Indicators of Highly-Functional Ecosystems

If you want to understand something as complex as a strong entrepreneurial ecosystem, it helps to look for common signs of success. In other words, what makes an ecosystem “high functioning?” These indicators give you a way to measure what’s working and where there might be gaps. They also make it easier to compare different places, spot trends, and focus efforts on what actually helps businesses and communities thrive.

Due to the tireless combined efforts of the National Center for Economic Gardening, National Commission on Entrepreneurship, Kauffman Foundation’s Center for Entrepreneurial Leadership, Corporation for Enterprise Development (once CFED and today Prosperity Now), the Center for Rural Entrepreneurship, and the Federal Reserve Bank of Kansas City, practitioners today have the language to define high-functioning entrepreneurial ecosystems. These ecosystems are often characterized by seven key indicators.

  • ①

    Strong & Collaborative Networks

    Active partnerships between startups, investors, universities, and government entities that enable knowledge-sharing and resource access

  • ➁

    Access to Capital

    A robust pipeline of funding sources across all business stages, including grants, venture capital, and non-traditional financing mechanisms.

  • ➂

    Inclusive & Diverse Participation

    Equitable opportunities for underrepresented founders, ensuring all entrepreneurs have access to mentorship, capital, and support.

  • ➃

    Talent & Workforce Development

    Entrepreneurship education, skills training, and retraining initiatives that prepare individuals for new business ventures

  • ➄

    Policy & Infrastructure Support

    Business-friendly regulations, broadband access, transportation networks, and affordable co-working spaces.

  • ➅

    Industry Clusters & Market Demand

    The presence of anchor institutions, key industry hubs, and demand-driven market opportunities

  • ➆

    Culture of Innovation & Risk-Taking

    A community that celebrates entrepreneurship, embraces failure as a learning opportunity, and fosters continuous experimentation

Pillars of Thriving Entrepreneurial Communities

The Kauffman Foundation’s Entrepreneurial Ecosystem Playbook 3.0 outlines six key pillars essential for building and sustaining thriving entrepreneurial ecosystems – Talent, Density, Connectivity, Culture, Capital, and Infrastructure. Talent focuses on developing skilled entrepreneurs through education and training. Density emphasizes creating concentrated hubs where entrepreneurs and resources intersect. Connectivity ensures strong relationships between ecosystem players, fostering collaboration. Culture promotes risk-taking, innovation, and inclusivity. Capital provides entrepreneurs with accessible funding options, from early-stage investments to growth financing. Infrastructure supports long-term ecosystem growth through policies, physical spaces, and digital access. Together, these six pillars create a holistic framework for fostering dynamic and resilient entrepreneurial communities.

Kansas has cultivated a robust environment for small business and entrepreneurship growth. It’s impossible to tell the story of Kansas’ success without focusing on the ways in which statewide leaders created and leveraged “Strong Networks and Collaboratives” to create pathways for tackling these six pillars. Kansas’ coordinated entrepreneurial ecosystem is producing real impact and outcomes in communities across the state. See for yourself! Check out the tabs below for descriptions of these programs, investments, and more.

  • Entrepreneurial Blueprint Initiative: Kansas State University and NetWork Kansas partnered on the K-State 105 Entrepreneurial Blueprint Initiative to support entrepreneurship and small business development through the K-State 105 Entrepreneurial Blueprint Initiative.  The initiative provides hands-on support through workshops, mentorship programs, and funding opportunities tailored to the needs of Kansas entrepreneurs. It connects participants with K-State faculty, industry experts, and business development resources to refine business models, improve financial planning, and scale operations. Additionally, the program fosters regional collaboration by encouraging partnerships between local businesses, economic development organizations, and community leaders to create a thriving entrepreneurial ecosystem across the state.
  • The Kansas Micro-Internship Program: This initiative, supported by the Kansas Board of Regents and the Kansas Department of Commerce, connects businesses with college students through short-term, paid professional projects. By facilitating these micro-internships, the program enables students to gain practical experience and build professional networks, while providing businesses with access to emerging talent. This collaboration not only addresses immediate workforce needs but also fosters a sustainable talent pipeline to support the state’s economic growth.
3 Roles for Georgia’s Impact Investors
  • Grow the Capital Base:

    Georgia’s financial institutions, foundations, and anchor institutions, government agencies, and private investors have an opportunity to intentionally grow pools of locally controlled capital, like NetWork Kansas’ E-Communities, to meet the flexible funding needs of early and growth-stage entrepreneurs. Georgia already has strong organizational assets, such as Invest Atlanta, Access to Capital for Entrepreneurs (ACE), NewTown Macon, Small Business Majority, Albany Community Together, and many others, that support small business financing. Those organizations need flexible, impact-first investments to grow their financing programs. Moreover, those organizations need investors who are excited to pilot new capital solutions and products. Financial mechanisms like interest-rate buy-down programs and credit enhancement funds, similar to the Georgia Resilience and Opportunity (GRO) Fund, can make financing more accessible for small businesses, particularly in rural and BIPOC communities.

  • Invest in the Success of Entrepreneurial Infrastructure:

    There’s an opportunity for Georgia to support dense entrepreneurial hubs by investing in shared workspaces, incubators, and commercial real estate that enable small businesses to scale. The state is home to successful models like The Russell Innovation Center for Entrepreneurs (RICE), Atlanta Tech Village, and Make Startups in Macon, which provide crucial support for emerging businesses. Strengthening these efforts and expanding access to affordable co-working spaces and business resource centers in regions beyond metro Atlanta will help entrepreneurs statewide thrive. Additionally, broadband expansion efforts by the Georgia Department of Community Affairs can ensure digital infrastructure keeps pace with entrepreneurial needs.

  • Cultivate a Culture of Investment Risk-Taking:

    Most importantly, we need to cultivate a culture of investment risk-taking by creating strategic partnerships that de-risk lending and encourage mission-driven capital to flow into local businesses. Programs like the Partnership for Southern Equity’s Just Opportunity initiative, the Community Foundation for Greater Atlanta’s GoATL Fund, and the Center for Civic Innovation’s Civic Impact Loan Fund demonstrate how Georgia is already activating capital for social good. Expanding these models and aligning efforts with economic development groups, philanthropies, and private investors will create more opportunities for historically underserved entrepreneurs.

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