they want to learn how to be small business owners to lead productive lives when they get out of prison. how teaching entrepreneurship is a road to rehi billation for this inmates. that's coming up next on your education nation of "your business."

hi there, everyone. i'm j.j. ramberg. welcome to "your business" where we give you tips and advice to help your business grow. this week, nbc news is taking a closer look at the state of our education nation. since we are kicking off this week long series, we wanted to tell you about a unique educational service for entrepreneurs in the pacific northwest. this is no ordinary program and it's not for everyone. all of the students are women and they are all convicted felons currently serving time behind bars. at the coffee creek correctional

facility in wilsonville, oregon you will hear conversations like this. >> whether you are busy or not, is she an expense? >> expense. >> how come? >> welcome to live long information for entrepreneurs. it's a 32 session course teaching inmates how to start and run their own companies. >> effective communication involves active listening to understand what others are saying, feeling and needing. >> they have been convicted of attempted murder, assault and manslaughter, nobody cares what they did to get into prison, the focus is what they will do when they get out. >> i always liked to run things. i would like to be the owner of a business rather than an employee. i would love to employ people. >> she's a student of the life class. she and her fellow classmates

are learning everything you need to know to launch a company from the ground up. >> we cover balance sheet. we cover soft skills like communication, effective listening and speaking. we cover marketing. the class is built around being able to write a business plan. >> doug cooper is the assistant director of mercy corps. >> people that were incarcerated were coming out and it was going to be difficult to find jobs. being able to start your own business or be self-employed seemed like a viable option. >> after conviction of manslaughter, i didn't any anybody would want to hire me. the idea of starting my own business and being my own boss and still being able to make a living was very appealing to me. >> so far, 100 inmates completed the course and 5% to 10% of them

started businesses. michelle will soon join those ranks. she's just about to start her company, forgot me not cards and prints. she came up with the idea while enrolled in the life class. >> in prison, mail is a huge issue. people are disappointed when they don't get a birthday card. it seemed to me like a good thing to do if you could mail out cards for people and they wouldn't have to worry about it. >> after getting a $3,000 grant she was ready to go. >> it was exciting to actually sit down and write something up and figure out what the feasibility of the idea is and really pick it apart. >> actually starting a business right out of prison isn't the goal. creating the confidence so someone could start one is. >> we want them to be secure. have that as a means to rebuild

their lives and be successful and never come back. the name of the institution is correction alpha silty. if the implication is you are learning to do something better, that requires education. >> hey, there. >> hey, tonja. good to see ya. >> yeah. i felt so hopeless for so many years. i thought what is the point of going on. nobody is going to want me. people are going to judge me and criticize me for the rest of my life. >> she was one of the first students to ever take the classes while serving an eight and a half year sentence. >> i started to have a glimmer of hope that i don't have to be that person with a mark. >> while she hopes to one day open up her own business, the program helped her get a job when she was released. she works at marshalls where she

manages five other people. >> the skills they taught me about being a supervisor shows me to have more respect with my supervisors and how to interact with them. >> elizabeth says the class gave her a new attitude toward life. >> when i came here, i was lost. it made me feel like you don't have a lot of hopes and dreams. >> that was then. today, she's working on her second business plan after getting her feet wet with her first idea. >> this is my second time through on a beading company, which i implemented and made a bunch of jewelry and sent it home and actually have made money to help support myself and my mother while i'm in here. >> she is bursting with ideas. >> open up prison resources and photo print. small. nothing big. just small to help the women in here because they may not have

family. >> whether she opens up that shop or not, time will tell. for now, she and the other woman are taking what they are learning and turning their lives around. >> i refuse to come in and leave the same way i came in. that was my thing. i knew under everything else, there was a bigger person than what i portrayed myself to be. >> i think i have been most impressed by the women's desire to change and start a new life. consequently, it feels like we are doing a service by trying to give them a way for that to happen. >> this is real. this is real. you know, i feel like i can't be stopped. the life program is just one of many entrepreneurial education programs around the country helping people get a better life by learning how to be a small business owner.

scott gerber is the founder of young. he's owner of sizzle it.com. great to see you guys. i find that piece so nice and heart warming. particularly, a for the people who start businesses but more importantly for the confidence it's giving these women to know they could start a business. you deal with entrepreneurs, people studying to be entrepreneurs. do most of them end up being entrepreneurs? >> i wouldn't say the majority do. they get to see what it's like. even if you are not going to be an entrepreneur yourself, studyi studying entrepreneurship helps you. >> how many of these people studies it? >> it's a good question. a lot of people find the natural

calling. in my case, i went to film school. if you look at where i ended up at the end of the day, you are talking night and day. these are the thing that is shape you and will help you make decisions. if you put people with the right group of people, in the right setting, you can train an entrepreneurial mind. >> do you think it's something that has to be innate, in your blood, then you go to school and it helps shape you or can you be a corporate person and turn into an entrepreneur? >> i think there's a certain amount that has to be in you to be an entrepreneur. you can learn a lot about being an entrepreneur. >> what do you think? >> i would say that, but in times like these where the economy is not in the greatest situations, we are in a time and place where desperation is kicking in to become an entrepreneur because of the need for an income. there's mentorship.

there's a variety of peer groups. things that can help you. even if you weren't necessarily born with that hard core gene. >> the infrastructure is stronger for people who want to get into the practice. there's so much available online. it helps people who had a hard time getting through the entrepreneurial ups and downs. >> it can be cheap, depending on your company. >> you have software for service organizations. you can have a website for $5 a month. it's better than any local business. the tools are there. the infrastructure is there. it makes -- you really have to make sure you are starting a business within your means and local that makes sense. go out and give it what you've got. >> something you care about. something you are passionate about. that determines -- >> that's what helps you. anyhow, we turned this into a broader discussion but that was

aamazing piece. kudos to mercy corps. students need to learn the importance of the pitch. we are going to put a student to the test. jeff is a seen your at the school of business. he's already an entrepreneur. let's see if our panel warms up to him and gives his elevator pitch an a. >> hi, i'm jeff, co-founder of keep it warm. we are a socially responsible apparel company specializing in winter care. we will donate to someone in need fulfilling our motto one for one, one for warmth. this is our banner blanket sold in the villanova bookstore. the donations go to the people of south dakota who suffer devastating winters. as we grow, we are looking to extend our donation groups to

other groups as well. we are asking for $50,000 to expand our product offerings, market our story and hire a creative designer. we expect investors to receive 100% return on their investment. you can find us online or facebook. this is an exciting opportunity. join us on the movement and help keep it warm. >> that was so good. i don't usually put my input in. nice job but i am not the investor or potential investor. scott, what did you think of the pitch? >> flaw lsz. as a student, i'm impressed that people can pitch like you did. who creates your product? how do you make the story more compelling. there's situations in the united states and abroad where that will help you in your pitch and

add to the wow factor. i would like to know how you are going to get it out there. you have a cause and a school involved. i want to know how i'm going to get my money back. i love the product. >> think about distribution channels and how to get the feedback to the investors. how are you going to show them, case studies a youtube video? something to make it more exciting. get the human side involved? >> would you take another meeting? i think it's obvious. >> yes. >> i would. >> this is such a good story. it might get you to take another meeting and worry about the financials. >> hook us with who you are helping. show that image and you will win. >> all right. good luck with everything. you have a nice mission. hopefully great company. thank you for joining us, we appreciate it. thank you guys for everything today. >> pleasure. if any of you out there have a product or service and want

feedback just send us an e-mail. the address is yourbusiness@msnbc.com. send a summery of what your company does, how much money you are trying to raise and what you are wanting to do with the money. someone watching the show might be interested in helping you. business training courses online can be a great resource for entrepreneurs. here now are five free online business trading sights courtesy of melissa. sba online small business training offers a series of 30 minute courses on business basics. many of the courses include audio explanations, videos and podcasts. >> small business development center has training courses from sites like virtual adviser and custom programs from the pennsylvania sbdc network.

you can find online courses that cover your office and productivity needs at hp learning sernter. microsoft office training has more advanced training to get more out of the application. training presentations and workbooks can be down loaded. my own business incorporated has a business course that covers topics for anyone starting or operating a business. still to come, we answer your education related small business questions including one about how to market to high school and college students. and a unique program in detroit. a nonprofit that teaches people the skills they need to be entrepreneurs. sam: i'm sam chernin. owner of sammy's fish box.

i opened the first sammy's back in 1966. my employees are like family. and, i want people that work for me to feel that they're sharing in my success. we purchase as much as we can on the american express open gold card. so we can accumulate as many points as possible. i pass on these points to my employees to go on trips with their families. when my employees are happy, my customers are happy. vo: earn points for the things you're already buying. call 1-800-now-open to find out how the gold card can serve your business. what happens when you mix classes for entrepreneurs with the possibility of getting funding? you get business u.

they teach present and future small business owners how to get a company up and running. last year, we found out how some businesses get start-up cash as well. >> any type of way i could help detroit would be great for me. >> i have a deep and profound love for detroit. >> they want to give something back to their hometown. they have returned to the motor city and now they are in a new kind of school. >> when i came back, i needed to find a job. i couldn't find one. i couldn't even get a job at the gap. so, i had to do what most people probably should do, try to create an experience for myself. >> i guess i have always been an entrepreneur, all the way through college and leading up to this. >> this is bizdom u.

this 3-year-old program gives them a hands on program inside and outside the classroom. >> we can train great employees. they create jobs, commerce and wealth. >> this is the creator of dan gilbert, owner of the cleveland cavalie cavaliers. with honest coaching and mentoring, the coach is that participants will help revitalize detroit. >> we are going to be there with you every step of the way to get the business up and running. if that isn't one to get you up and running, we'll help you switch. >> it's a free, full time gig. students get a stipen to offset the cost of lifing. >> they come from leaving the automotive industry to, you know, leaving the mortgage industry. the only requirement is you have to be at least 18 years old with

a high school diploma or ged. >> it's not just for anyone. you need to have a thick skin and the right mind set. >> we work on behaviors of the entrepreneurs. we think their idea is secondary and important. we think if we get the right person and we engrain in them the right behaviors, if the idea doesn't work, they will go open another business. >> long hours are the norm. classes are held five days a week and assignments on nights and the weekends. selling memberships to the detroit zoo and taking part in trust building ropes courses. >> it's demanding. entrepreneurship is demanding. this is not the place you are going to come in, read a book and take a test. >> they fund some of the businesses the students pitch. some owners get as much as $100,000.

>> 33% ownership in the business and bizdom takes 66%. once that is all paid back, now the ownership flips, the entrepreneur is 66% owner and bizdom is 33%. >> they are encouraged to be online ventures. >> we are focused on businesses that are scaleable and we feel can grow. >> one is post e gram. >> it's a facebook application that connects families. we put news and photos into beautiful full-color newsletters and send them to your mom or grandma. typically people 65 and older. >> the idea was born out of a bizdom discussion. it was somewhere near the bottom of the list.

>> people oftentimes come up with ideas and stop after five. let's come up with the best five ideas. oftentimes, after you come up with the obvious ideas, the fresh ideas come. >> with some ideas in mind and funding in their future, they are ready to take on the entrepreneurial possibilities that await them. >> i thought it would be like "the apprentice" everyone is trying to get the funding at the end. really, everyone has a piece of the pie. it's up to you if you are going to get it. >> having the conversations and what people want to do and have done. i'm supposed to be here. everybody in this room is supposed to be here. it's time to answer some of your business questions. scott and lawrence are with us once again. the first question is about getting an education while

running a business. >> what do you do if you have built up a really successful business, but two years into it, straight out of college, you've realized what you are interested in doing may have to be in a different industry. do you recommend pursuing a masters or mba in that while still growing your business? >> if you can do it, it's fantastic. make all the contacts and the information you need. pivot your career while getting your mba. you can network and put time into something else and make the change. if you can keep it running and get your mba, go for it. >> keep it running, keep it growing and do the same thing you do to build your first business. find people outside your social circles. i don't think you should dedicate a significant amount of resources in that part of your career. >> skip the mba?

>> i say skip the mba. >> you are shaking your head. >> no, it's great. people have different opinions. this is about targeting a young customer base. >> i'm a young entrepreneur trying to reach other entrepreneurs. how do you market to high schoolers? >> this is a set up for scott. >> exactly. >> i say you have to know your target market. research them, know who their gate keepers are. the ways to distribute regardless if it's high school or college or anybody else. who are those folks and who are those around them? >> one of the easy ways if you want to start small is go to the high school newspapers around you. >> there are a lot of resources here. there are high school guidance counselors. you can see where the great entrepreneurs are coming from. use social media, facebook. look online. you can start one yourself.

>> yeah. if you can grow your twitter base, you will probably get a lot of people following you and schedule a meet up with. >> absolutely. thank you so much for all this advice. very much appreciated. if any of you have a question for our experts go to our website, the address is openforum.com/yourbusiness. submit a question for our panel. again, openforum.com/yourbusiness. or, if you would rather, e-mail your questions and comments. the address is yourbusiness@msnbc.com. scott and lawrence had really helpful advice about how to improve your business. now, let's get great ideas from small business owners just like you. >> my tip is to be creative and not just strategic. use graphic designers and tools

out there to help outsource your company and get your company the leads you are looking for. >> my great idea in efficiency is using dragon speech dictation on my mobile device. it will dictate everything i say and provide a written copy to e-mail, text or send to my colleagues away from the office. >> my step is to get help. often as a first time business owner, we try to do everything ourselves. but you need help. set aside money in your budget, your business budget for an assistant whether it's physical or virtual. get the help you need. it's time now for your favorite game show, the "your business" biz quiz. we have two students with hands on their buzzers.

we picked to mba students. santiago and aleck are both entrepreneurship counselors. ready, guys? >> thank you for having us. >> you guys are friends, right? this is going to get heated. >> rivals. >> rivals today. okay, the first question, what is the most common form of employee training immediately after hire? a, a series of seminars, b, let employees learn on their own, c have shadow an experienced employee. santiago? >> shadow an experienced employee. you got it. number two. which of these costs is deductible as a business expense. advertising, business travel. home office. employee compensation or all of the above.

alec? >> all of the above. >> you got it. 1-1. has small business lending, increased, decreased or not changed in the first quarter of 2011. santiago? >> increased? >> well -- guess what, you are wrong. aleck you get a chance to steal. >> i'm going to say decreased. >> you got it. now for the win or the tie, we are seeing who is buying drinks tonight. according to the princeton review, which is the best graduate entrepreneurship program in the nation. babson college. ar university of chicago, university of houston? >> santiago? >> babson college.

in the end, santiago two, alec, two. go buy drinks for each other. >> thanks for having us. >> thanks. are you looking to offer online training for your employees but don't know where to start? check out our website of the week. mi mindflash.com. options include the use of pdfs, power point and videos. trainees are quizzed after reports and it shows you who may need more training. it's free if you have ten trainees or less. services are $80 to $400 a month for larger companies. to learn more, click on openforum.com/yourbusiness. there's more information to help your business grow. don't forget to become a fan of

the show on facebook. we love getting your feedback. you can also follow us on twitter. next week, if at first you don't succeed, a resolute entrepreneur who had two failed businesses finds success with a unique product line for babies. >> we didn't put a lot of money into the business, but wu put a lot of vision to the category. >> find out how learning from failure leads to business success. until then, i'm j.j. ramberg. remember, we make your business our business. shazi: seven years ago, i had this idea. to make baby food the way moms would. happybaby strives to make the best organic baby food. in a business like ours, personal connections are so important. we use our american express open gold card to further those connections.