Kentucky Lt. Gov. Jenean Hampton of Bowling Green launched this week an effort to increase the number of entrepreneurs in the state.

“I want Kentucky to raise home-grown entrepreneurs,” Hampton said Monday in unveiling the first Lieutenant Governor’s Entrepreneurship Challenge during a news briefing in Frankfort.

“Small business is the backbone of the American economy,” Hampton noted on the new program’s website. “It is critical for students not only to learn about and experience entrepreneurship but also for them to see themselves as the next generation of small business owners,” Hampton noted.

Among the 5.4 million U.S. firms with paid employees, 481,981, or 8.9 percent, had been in business for less than two years in 2014, according to findings released Thursday from the U.S. Census Bureau’s inaugural Annual Survey of Entrepreneurs.

In contrast to the employer firms that had been in business for less than two years, there were 167,917, or 3.1 percent, that had been in business for 16 years or more. More than four in 10 employer firms – 2.4 million, or 44.1 percent – have been in business between 11 and 15 years, the survey said. 

Hampton’s inspiration for the challenge – which is backed by more than $80,000 in scholarship awards from the private sector — came after meeting with small business owners across the state.

“I marvel at the number of Kentuckians who decided to start their own companies in a variety of industries: packaging, bedding, marketing, food service, machining, printing, retail, fashion and beauty, micro-brewing and more. Owners were young and old, but they all shared certain traits: passion for their product/service, desire to work for themselves, vision to serve others,” she said.

“The goal of the LGEC is to get entrepreneurship in front of students as an exciting educational experience and as a viable path to a rewarding career,” Hampton said in a release.

The LGEC consists of a business plan proposal and live pitch competition. It will include two components: a regional competition and a state competition. Locations for the regional competitions will be determined and announced early next year.

The state competition will take place April 29 at the Gatton College of Business and Economics’ Kincaid Auditorium at the University of Kentucky. The LGEC will be conducted in partnership with Junior Achievement and is supported by the Kentucky Innovation Network.

All high school students from public, private and homeschool settings are eligible to participate. The deadline to submit intent to compete forms is Feb. 1 and all business plans are due March 1. Teams will then do a pitch presentation at their regional competition during the week of April 10-13 with the top two teams advancing to the state competition.

Student teams will be required to work with two adult advisers – teachers, business owners, for example – who can help coach and guide the team as they develop their business idea. Teams will be evaluated on both their written business plans and pitch presentations by a panel of judges at the regional competition. The state competition will follow the same format but with only 10 teams –the top two winners from each regional competition.

Gov. Matt Bevin said at the news conference that the challenge rewards budding entrepreneurs “in a real and tangible way.” Organizers plan to make the challenge an annual event.

— Follow business reporter Charles A. Mason on Twitter @BGDNbusiness or visit bgdailynews.com.