STEP Grant Helps Baker Drivetrain Expand Overseas

Thinking of taking your local company to the next level? The Pure Michigan State Trade Export Promotion (STEP) program allows regional companies to apply for financial assistance for export-related activities. As part of the Michigan Economic Development Corporation’s strategy to support the growth of Michigan-based
companies, STEP was developed to provide direct reimbursements of up to $25,000 in assistance.

Financial assistance is available for opportunities including overseas trade mission and trade show participation, foreign market sales trips, subscription to U.S. Department of Commerce services, foreign language translation services for export marketing materials and website assets.

A STEP grant was recently awarded to Baker Drivetrain—a motorcycle drivetrain company based in Haslett, Michigan. The company started with Bert Baker’s personal invention 14 years ago, which is now a transformational product sold throughout the world. Armed with a mechanical engineering degree from Michigan
State University, a history in the motor cross circuit, and a mind for transmission construction, Bert developed the BAKER OD6—a 6-speed overdrive that transformed the H-D market.
 
The news of Baker’s invention spread across America and soon there was a high demand for his BAKER OD6. Baker’s creativity and technical engineering skills, coupled with his wife Lisa’s talent for engineering and management, led to the development of Baker Drivetrain, with Baker as Chief Engineer and Chief Executive Officer and Lisa as President and Chief Operating Officer. Baker Drivetrain dedicates its focus to the American motorcycle drivetrain and remains the authority
on V-Twin drivetrain to this day—using materials, labor and creativity only from the U.S.A.
 
Baker Drivetrain soon established successful  export channels in Australia, Canada, and several European countries, and is continuously looking for further expansion into foreign markets. This year, Baker Drivetrain received a STEP grant in the amount of $5,629.66 to help fund its trip to the 2012 Cincinnati V-Twin International Trade Show this past February. This show is the biggest international event within the motorcycle industry and brought together thousands of visitors
including international distributors and dealers.
 
The STEP grant was used to create an elaborate trade show display and for travel costs, as well as seminars relative to Baker Drivetrain’s product line.
 
“The MEDC was extremely helpful, especially since we had never applied for grant money or assistance in the past,” said Baker. “Laura Deierlein, international trade development manager at MEDC, helped us navigate through the necessary paperwork.”
 
The Cincinnati show proved successful for Baker Drivetrain as they had discussions with representatives from two major distributors in Japan and the Netherlands.
 
“It has paid off already. When we informed our current distributor in Germany that we had spoken to the major distributor in the Netherlands, they stepped up their orders to us in an attempt to show us that they can handle the European market,” Baker said.
 
Baker’s next steps are to travel with a sales associate to Japan and Europe to meet with prospective dealers and distributors and to gain a deeper understanding of their markets.

“Companies should really take advantage of the MEDC opportunities, including the STEP grants,” he said. “There is big potential for overseas sales and we must cultivate it.”
 

For more information about the STEP program, visit www.lansingchamber.org/step-program-0 or contact Laura Deierlein at 517.487.6340 or at deierleinl@michigan.org.