Few can argue that the 2008 race for President captured the attention of even the most disengaged, political skeptic.
Invest in Women-Owned Small Businesses: Implement the Women Owned Business contracting program that was signed into law by President Bill Clinton, but has yet to be implemented by the Bush Administration.
Increasing Minority Access to Capital: Strengthen Small Business Administration programs that provide capital to minority-owned
businesses, support outreach programs that help minority business owners apply for loans, and work to encourage the growth and capacity of minority firms.
Promote Small Business Ownership in the Communications Industry: Support efforts to achieve diverse media ownership, particularly in an era of increased media concentration.
What exactly is considered a small business?
A small business is generally defined as a business with fewer than 100
employees.
In Washington, small business is consistently a hot item on the legislative
agenda. Lawmakers are urged to make it possible for small business owners
to focus less time and money complying with regulations and more time
expanding their businesses, which are the backbone of the economy.
Now that the election is over and Barack Obama has been elected President, how does the Obama Administration intend to help small business or entrepreneurs? Of the approximately 25.8 million businesses in the US, over 99% of all employers are small businesses. In fact, small businesses create 70% of the new jobs, according to the Small Business Administration.
In a recent interview conducted with Senator Barack Obama by “Home Business” magazine before the election, he acknowledged the important role that small business plays in the growth of a strong economy. If elected, Obama says that he plans to support small business owners by providing them with the tools they need to prosper. His agenda for helping small business owners under an Obama administration is explained in great detail.
Below is an abridged version of Barack Obama’s “Plan for Small Business.” The full version can be found on www.barackobama.com.
Lower Health Care Costs with a New Small Business Health Tax Credit: Reduce the burden on small businesses in our economy by offering a new Small Business Health Tax Credit to help small businesses provide quality health care to their employees. Obama’s Small Business Health Tax Credit will work alongside other aspects of his health care plan to lower costs and improve competitiveness for America’s small businesses, including:
• Access to a Low-cost National Health Exchange:
• Reduced Volatility and Lower Costs by Reimbursing Catastrophic Costs:
• Investment in Cost Reduction and Quality Improvement Strategies
Provide Zero Capital Gains and Other Tax Relief for Small Businesses and Start Ups: Eliminate all capital gains taxes on small and start-up businesses to encourage innovation and job creation.
Expand Loan Programs for Small Businesses: Will work to help more entrepreneurs get loans, expand the network of lenders, and simplify the loan approval process.
Support Innovation and High-Tech Job Creation: Double federal funding for basic research, diversify energy sources, expand the deployment of broadband technology, and
make the research and development tax credit permanent so that businesses can invest in innovation and create high-paying, secure jobs.
Support Local
Businesses Affected by Hurricane Katrina: In the
wake of Hurricane Katrina, Barack Obama introduced the Hurricane Katrina
Recovery Act to rebuild the Gulf Coast. This bill included language to
increase the government-wide goal for procurement contracts awarded to
small businesses owned and controlled by socially and economically disadvantaged
individuals for recovery and reconstruction activities related to Hurricane
Katrina.
Provide Emergency Relief:
Supported legislation to provide emergency relief to small businesses
affected by a significant increase in the price of heating oil, natural
gas, propane, or kerosene.
Support
Rural Small Businesses: Support entrepreneurship
and spur job growth by establishing a small business and micro-enterprise
initiative for rural America. The program will provide
training and technical assistance for rural small business, and provide
a 20 percent tax credit on up to $50,000 of investment in small owner-operated
businesses.
Promote Digital Inclusion: The lack of affordable, high-speed Internet access in rural, urban, and minority communities has created a digital divide between those who have access to the Internet and those who do not. Barack Obama believes we can get true broadband to every community in America through a combination of reform of the Universal Service Fund, better use of the nation’s wireless spectrum, promotion of next-generation technologies, and new tax and loan incentives.
A large part of President Obama's economic stimulus agenda is to eliminate the capital gains tax for small businesses.
A capital gains tax or CGT is a tax charged on capital gains, the profit realized on the sale of a non-inventory asset that was purchased at a lower price. The most common capital gains are realized from the sale of stocks, bonds, precious metals and property.
The plan also involves cutting corporate taxes for firms that invest and create jobs in the United States, and provide tax credits to reduce the cost of healthcare and to reward investments in innovation.
