Small businesses around the country are anxiously watching President-Elect Donald Trump to determine what impact he will have on them. Will Trump dismantle Obamacare, leaving them with no choice other than to stop providing healthcare for their employees? And what if the small business owner is an immigrant, who under the EB-5 visa program created a business in America and created more than 10 jobs, but happens to be a Muslim? What effect would a proposed new tax code have on their business? What happens with minimum wage? While many small business owners have concerns that they feel political leaders aren’t addressing, most feel favorable about a Trump administration.
Business Confidence in the USA is High
Sage, a market leader for integrated accounting, payroll, and payment systems, conducted a survey surrounding small business leaders’ thoughts following this year’s presidential election. In a year of political instability and changes across the globe, research revealed that small business owners generally feel ignored by their countries’ political decision-making. The findings showed that red tape and lack of access to funding are still the main barriers to growth.
According to survey results from more than 500 small to medium size business owners, 63% of small businesses globally said they were unaware of government efforts to fight in their corner or felt under-represented by politicians. What’s more, business confidence is high in the U.S.—62% feel confident about their businesses’ prospects over the next six months, compared to a global average of 52%. In fact, only 38% believe the results of the U.S. election will have a negative impact on their business, while 51% believe a Trump administration will have a positive impact.
Small Businesses are the Backbone of America
According to the Small Business Administration, 28 million small businesses in America account for 54% of all U.S. sales. They provide 55% of all jobs and 66% of all net new jobs since the 1970s. Since 1990, big businesses eliminated 4 million jobs while small businesses added 8 million new jobs.
The Sage survey revealed that 43% of U.S. small businesses believe that the government can best help them through business support e.g., export opportunities, grants. U.S. small businesses are concerned most about living costs, with 46 % saying this has the biggest impact on their business. Other findings: 37% of small businesses believe the economy is more stable than six months ago, and 23% believe it is the same.
As a result of the research, Sage announced the launch of a ‘Forum for Business Builders’ in the New Year, providing entrepreneurs and business builders all over the world with a platform to get their views heard, along with insight on business barriers and policy support for entrepreneurs as they navigate uncertainty and turmoil following the election.
Stephen Kelly, CEO of Sage, said in a statement: “Business builders are the heroes of the economy—working night and day to create two-thirds of all new jobs in most developed economies. But so often, when the world’s policy makers discuss the economic picture, these entrepreneurs are excluded from the discussion.”