Entries in Small Businesses (5)


Small Business Owners Stand with President Obama on Taxes

Official White House Photo by Pete Souza(WASHINGTON) -- Small business owners emerged from the White House Tuesday confident that President Obama is committed to ending tax cuts for the wealthy and preserving tax breaks for the middle class as he works toward a deal to avert the “fiscal cliff.”
“What grows jobs in America are consumers spending money.  And the average person needs that two or three thousand dollars in his pocket to help drive the economy,” Lewis Prince, co-founder of the Vintage Vinyl record store in St. Louis, Mo., told reporters after his meeting with the president. “Saying that tax breaks for the rich drive consumers lower down to spend is like saying… you can start your car by pouring gasoline on the hood. There is nothing – this is no proof, there is no factual data to support it and it’s completely a sham to say that.”
The president met Tuesday with over a dozen entrepreneurs, the first in a series of outreach meetings he is holding this week as he makes the case for a “balanced” deal to reduce the deficit before the looming “fiscal cliff” of mandatory spending cuts and tax increases kicks in on Jan 1.  
“I was very encouraged by the meeting,” said Chris Yura, founder of SustainU, a sustainable clothing company in Morgantown, W. Va. “[The president] really delivered a message of confidence in moving forward with what I feel is the right direction to extend the [middle-class] tax cuts.”
“There was a lot of talk in the room about certainty,” reported Texas crop duster manufacturer David Ickert. “Small business wants certainty so they can plan, strategically look at how we move forward.”

Copyright 2012 ABC News Radio


Cutting ‘Red Tape,’ House GOP Pushes for Small Businesses

Alex Wong/Getty Images(WASHINGTON) -- With the national unemployment rate stagnant around 8 percent, House Republicans this week are taking to the floor to loosen “job-killing” regulations they say hurt small businesses.

“The House remains focused on jobs,” House Speaker John Boehner told reporters on Capitol Hill today. “These bills that we’ll be moving this week will cut through the red tape and freeze new regulations until unemployment is at or below six percent.”

House Republicans are championing the Red Tape Reduction and Small Business Job Creation Act, which would limit government regulations for businesses until the unemployment rate falls to six percent. Boehner and other House leaders today pointed to a Small Business Administration study that found regulations cost employers $10,000 per year per employee, adding that 78 percent of small business owners believe regulations stand in the way of new hiring.

Republican leaders attacked President Obama’s administration for imposing 400 new business regulations since he took office, costing more than $100 million a year, they said.

“The president’s out there talking about being there for small business, trying to respond to the economy, but his actions don’t necessarily meet his words,” said House Majority Leader Eric Cantor.

“If we want to do something about jobs, we go right to our job creators and try and help them create more opportunities for more people,” he continued. “That’s what we’re doing this week: We’re removing the red tape, we’re acting to try and make it easier for entrepreneurs to invest and create jobs.”

Republicans were also quick to seize the president’s comments on the campaign trail July 13, in implying his stump line “you didn’t build that” was meant as an attack on U.S. business owners.

“You talk to any small business person in America … the first thing they say is, ‘With all due respect, Mr. President, I built this business. You didn’t,’” said Rep. Jeb Hensarling, R-Texas, adding that the Obama administration has seen a 53 percent increase in business regulations. “‘And Mr. President … not only did you not build this business — you’re hurting this business.”

Next week, House Republicans will act to extend all current tax rates in an attempt to tackle the so-called “taxmageddon” which experts say could plunge the economy into another recession, before many provisions of the tax code are set to expire at the end of the year.

“The uncertainty looming on these tax hikes needs to be erased,” Cantor, R-Va., said. “That is the opposite of what Americans want. We’ll continue to try and deliver on the promise to get this economy back on track.”

Boehner said Democratic leaders need to step up with their own plan if they do not like the GOP’s proposal.

Copyright 2012 ABC News Radio


Which States Hate, Love Small Businesses?

Ryan McVay/Photodisc/Thinkstock(NEW YORK) -- What are the friendliest places to launch a small business? According to 6,022 small entrepreneurs and job creators, Idaho and Texas will roll out the welcome wagon for you. But if you happen to call California, Vermont or Rhode Island home, you might want to think about moving.

Such are the findings of a recent survey conducted by, an online marketplace for local services, in partnership with the Ewing Marion Kauffman Foundation. In addition to questions about friendliness, the survey, which was conducted over two months, explored six different measures of a state’s friendliness to small businesses, including: ease of starting a business, hiring costs, regulations, training programs, networking programs and current economic health.

“The best cities in the survey frequently had two things in common: easy-to-understand professional licensing regulations and well-publicized training programs,” said Thumbtack co-founder Sander Daniels. “In fact, businesses cared almost twice as much about licensing regulations as they did about tax-related rates and regulations.”

This was also clear in the city rankings. For example, even though small businesses in Oklahoma City weren’t the most robust in the nation, the area’s simple professional licensing regulations and well-publicized training programs launched the city into the top spot nationwide. It was the same situation for Dallas, San Antonio, Austin and Atlanta. (Los Angeles, San Diego and Sacramento were at the bottom.)

There was little difference across the political spectrum in terms of how respondents rated states’ friendliness towards small business. But there were substantial differences within states. In California, for instance, conservatives were 30 percent less likely than liberals to view the state as supportive of small business, while independents were 15 percent less likely than liberals to have that view.

Also of note:

  • Idaho, Nevada and Delaware had the most small business-friendly tax codes; California and New Mexico had the least-friendly tax codes.
  • Nebraska small business owners were the most optimistic about their business improving during 2012, while Iowans were the least optimistic.
  • The South was the most small business-friendly region of the country, while New England was rated the least small business-friendly.
  • Women business owners were 9 percent more likely than their male counterparts to give high marks to their state government for business support.

Copyright 2012 ABC News Radio


House Passes Small Business Tax Cut

iStockphoto/Thinkstock(WASHINGTON) -- The House of Representatives voted Thursday to pass a $46 billion small business tax cut that Republicans hope will lead to economic growth by enabling entrepreneurs to deduct 20 percent of their income. Democrats condemn the cut as another giveaway for the richest American taxpayers.

By a mostly ideological vote of 235-173, the House approved the cut, which was a top priority for Majority Leader Eric Cantor and Ways and Means Chairman Dave Camp. Just 18 Democrats crossed the aisle to vote with the GOP majority, although 10 Republicans voted against it.

House Speaker John Boehner, R-Ohio, said the cut takes “the opposite approach of the stimulus” by empowering employers to make decisions on how more of their hard-earned money is spent. The bill faces a tough road ahead, with overwhelming opposition in the Democrat-controlled Senate. Still, Boehner called on President Obama and Senate Majority Leader Harry Reid to get behind the legislation, instead of “pushing for higher taxes to fuel more government spending.”

“This week, Democratic leaders in the Senate demonstrated their desire to continue the spending binge that’s hurting our economy by punting on a budget for the third straight year,” Boehner stated. “With millions of Americans still asking, ‘Where are the jobs?,' I hope the president and Senate Democrats will relent and work with Republicans to find common ground so we can help the private sector put people back to work.”

Most House Democrats voted against the measure, decrying the measure for providing further breaks to the wealthy and adding to the deficit.

“You have to give [Republicans] credit. They are consistent, and they stick with the guy that [brought] them to the dance, and that’s the wealthiest people in America,” House Minority Leader Nancy Pelosi, D-Calif., told reporters at a news conference following the vote. “Fifty-six percent of this tax giveaway goes to the top three percent earners in our country. It gives an average of $58,800 -- $58,800 to the 125,000 millionaires, and they don’t have to create one job. They can create them overseas.”

Copyright 2012 ABC News Radio


Obama Urges Congress to Act On Small-Business Tax Breaks

Official White House Photo by Pete Souza(WASHINGTON) -- President Obama on Tuesday urged lawmakers to act quickly on bipartisan legislation to expand tax cuts for small businesses and unlock capital for startup companies.

“My expectation and hope is that they will get a bill together quickly, that they will pass it and get it on my desk. I will sign it right away. And I would like to see that bill signed this year,” the president told reporters at the start of a Cabinet meeting at the White House.

Earlier Tuesday the president sent Congress his “Startup America Legislative Agenda,” which would eliminate taxes on capital gains in investments in small businesses and provide a 10 percent income tax credit on new payroll to promote hiring, among other measures.

Calling for an “all-hands-on-deck approach” to promote small business growth, the president also directed the members of his Cabinet to put forward their own initiatives to “enhance the ability of entrepreneurs to get up and running.”

Obama also noted a new face at Tuesday’s meeting. SBA Administrator Karen Mills was in attendance for the first time as a new official member of the Cabinet.

“It is a symbol of how important it is for us to spur entrepreneurship, to help startups, to move aggressively so that we can assure more companies that create the most jobs in our economy are getting a leg-up from the various programs that we have in our government,” Obama said.

Copyright 2012 ABC News Radio

ABC News Radio