Small Businesses Face Difficulties Yet Succeed
Small business is no doubt a very important issue of the 2012 Presidential race. Businesses are bogged down due to economic uncertainty, regulatory pressures and the continuing difficulty in securing loans. President Barack Obama and Republican Mitt Romney are debating on all the problems being faced by small businesses.
Small Business Loans
In-spite of having a good business and personal credit score,business owners are still not able to secure loans. The reasons behind this are tough regulatory norms, high underwriting norms, difficult eligibility criteria and so on. This far exceeds the expectations of small business owners and so they normally fail to get loans. Low income people cannot secure loans as they find it difficult to become eligible. Only the wealthy get richer as they can open up new businesses.
Health Care Expenses of Small Businesses
The government’s new healthcare insurance policies further limits the hiring plans of small business owners. They simply can’t afford to offer health insurance to their employees. The government needs to make some relaxation in this regard to help small business owners increase hiring.
Political Uncertainty Prevails
Economic uncertainty is not all that a business faces. There is also political logjam in Washington which has led to policy impasse and no new laws being passed and continuing uncertainty on extending tax cuts and issues concerning debt ceiling.
Inspite of all these difficulties faced by small business owners, small business sector is growing and moving forward. Obama stabilized the economy and brought Republicans and Democrats together to work for the growth of the small business sector. The President also signed the Small Business Jobs Act and introduced SBLF and similar programs.
This article was submitted by Raj Tulshan, Director of Business Development of Biz2Credit. Biz2Credit is a small business marketplace that connects entrepreneurs with financing options and advice to grow their business. Send all questions to email@example.com