November 18, 2019
By Steve Frazier
...According to the Congressional Research Service, (click here) since 2011, small establishments have created 2/3rdof net employment gains in the U.S. economy. With that, those surviving more than five years created the largest numbers. If stronger labor market participation and sustained job growth are the end goals, it is essential to help these businesses compete with their larger counterparts and survive with their expanding ideas and emerging economies. We need to help those looking to create.
For starters, clarity in trade, reduction in small employer healthcare pricing and a sensible cost of higher education could help with new business formation and their prospect of longer-term success.
According to the U.S. Small Business Administration, small business exporters decreased from 2018 to 2019 while net numbers of new businesses grew. Clarity in trade could help reverse this trend, giving confidence for our entrepreneurs involved in manufacturing to expand their customer base and new ideas to markets outside the United States....
March 24, 2018
By Brock Blake
...One of the most high-profile changes (click here) is that under the Tax Cuts and Jobs Act, C-corps (Wall Street - Large Corporations) are taxed at a flat rate of 21%—a cut from the previous range of 15%–35%. If your small business is structured as a C Corporation, generally, your taxes will go down. If your business is not structured as a C Corporation, this change will not affect you....
That is the end of the good news of the Trump Tax Cuts.
...Solopreneurs can’t catch a break
This is a 2012 study. It shows the wave that took place with the Millenials.
The year 2012 was marked by entrepreneurial optimism in the United States. (click here) An increasing proportion of the U.S. population believed there were good opportunities for starting businesses, and Total Entrepreneurial Activity (TEA) hit its highest level since the GEM survey started in 1999. Entrepreneurship in the United States exhibited diversity in age, gender, immigrant status and other characteristics, presenting distinct profiles across individual states. While many entrepreneurs endeavored to grow their businesses, they also displayed various examples of closeness, such as operating at home, raising money from personal, family, and friend sources, employing relatives, and rarely selling outside United States borders.
America is often described as a land where people can live their dreams. In 2012, that dream was entrepreneurship.
March 24, 2018
By Brock Blake
...One of the most high-profile changes (click here) is that under the Tax Cuts and Jobs Act, C-corps (Wall Street - Large Corporations) are taxed at a flat rate of 21%—a cut from the previous range of 15%–35%. If your small business is structured as a C Corporation, generally, your taxes will go down. If your business is not structured as a C Corporation, this change will not affect you....
That is the end of the good news of the Trump Tax Cuts.
...Solopreneurs can’t catch a break
There is another catch. If your small business generates revenue through the professional services of one individual (think physicians, dentists, nurses, lawyers, accountants, actuaries, performing artists, athletes, consultants, individuals providing financial services and any trade or business where the principal asset is the reputation or skill of one or more of its employees) your eligibility for this deduction phases out for income between $315,000 and $415,000....
...According to a recent survey, 79 percent of startup entrepreneurs say they had no support from government to launch their companies, and 60 percent believe that government doesn't care about businesses like theirs. Ouch.
So, what’s the real impact on the average small business owner?
- If your business is structured as a C Corporation, and your taxable income is more than approximately $90,000, your average tax rate will go down.
- The new pass-through deduction should provide tax savings for many noncorporate taxpayers.
- New bonus depreciation rules should provide tax savings and corresponding cash flow benefits for taxpayers purchasing new equipment.
This is a 2012 study. It shows the wave that took place with the Millenials.
The year 2012 was marked by entrepreneurial optimism in the United States. (click here) An increasing proportion of the U.S. population believed there were good opportunities for starting businesses, and Total Entrepreneurial Activity (TEA) hit its highest level since the GEM survey started in 1999. Entrepreneurship in the United States exhibited diversity in age, gender, immigrant status and other characteristics, presenting distinct profiles across individual states. While many entrepreneurs endeavored to grow their businesses, they also displayed various examples of closeness, such as operating at home, raising money from personal, family, and friend sources, employing relatives, and rarely selling outside United States borders.
America is often described as a land where people can live their dreams. In 2012, that dream was entrepreneurship.
Anxiety can drive success. But, when one is the sole proprietor of a business, teh fear of failure lingers for years.
...Fear of Failure. This measure continued to inch upward. While one-fourth of those who saw opportunities felt
constrained by fear of failure in 2008, one-third felt this way in 2012. The U.S. rate, however, remains below the average
among the 24 innovation-driven economies....
Entrepreneurial Activity. The jump to high TEA levels in 2011 was followed by a slight tick upward to 13% in 2012, the
highest level recorded in the United States since the survey started in 1999. This represents the highest TEA level among
the 24 innovation-driven economies. Entrepreneurial intentions also continued to increase, more than doubling the 2009
rate, when this indicator, along with many others, plummeted during the recession. While the ratio of discontinuances to
business starts and ownership matched those in other innovation-driven economies, tthe United States displayed
two-thirds more stops proportionately stemming from difficulties obtaining finance.
Business Profile. U.S. entrepreneurs participate in the business services sector to a higher degree than those in other
economies, but the majority of entrepreneurs nonetheless operate in the consumer sector. More than two-thirds start at
home, yet many established business owners also continue to operate out of their homes (59%). More than one-fifth of the
entrepreneurs stated they employed at least one of the following types of employees: family, unpaid/volunteer, and parttime. Thirty percent outsource some of their business activities....
The Millenials are not being afforded the support they need to attend to their lives with confidence. There is too much uncertainty for them.
Minorities and especially minority women are not leading the pack in achieving their own businesses.
November 14, 2019
By Paula Jones
Baton Rouge - According to The National Association of Women Business Owners, (click here) a 2017 analysis revealed that 11.6 million U.S. companies were owned by women. These businesses employed nearly 9 million individuals and generated over a trillion in sales.
While this statistic indicates a coup for female entrepreneurs, a regional study reveals that though women and minorities who own Baton Rouge-based businesses abound, most aren't receiving the same community support as their more socially privileged counterparts.
Analysts with Keen Independent Research, an Arizona and Colorado-based economic research and policy analysis firm, were hired to spend a year analyzing the success of Baton Rouge-based businesses owned by women and people of color.
The Advocate reports that on Wednesday night, Keen’s researchers presented their findings to the Metro Council and the picture they painted left much to be desired.
Keen’s findings revealed that though 40% of the companies in the capital city are owned by women and minorities, these businesses are being underutilized for the city-parish’s purchases and contracts.
According to the study, a shockingly small 4% of the approximately $2.4 billion in city-parish contract dollars between Jan. 2013 through Sept. 2017 went to minority- and/or women-owned firms. Besides this, only 1% went to veteran-owned businesses....
This level of discrimination is not contained to the south or Louisiana. The lost 4 fo 5 percent of contractors is a common number in the USA.
By Mark Hallum
The city doled out more than $20 billion in contracts (click here) to private businesses this fiscal year — but just 4.9 percent of those deals went to minority- or women-owned businesses, City Comptroller Scott Stringer announced Sunday.
Stringer revealed that figure in an audit of 32 city agencies that casts doubt on the de Blasio administration’s commitment to keeping the tax dollars local.
According to the report, the city had awarded $20.5 billion in bids this year, but only $1.007 billion of that went into the hands of companies with diversity at the core, or M/WBEs.
Believe it or not, this accounts for progress in city government, Stringer noted....
The tend in spending for all levels of government has to be mandated to include percentages of women and minorities. Small businesses and local economies will drive the change necessary to accomplish good health care, living-wage jobs and a future for our children and grandchildren.
We can do this!
