Friday, May 04, 2012

Small Businesses Need Help With Regulations More Than With Taxes

Sanders Daniel, a reader of the blog, sent me the results of a survey of small-business owners that his company,, did across the country.

The most interesting main finding, I thought, is this:

Small businesses care almost twice as much about licensing regulations as they do about tax rates when rating the business-friendliness of their state or local government.

This confirms something that my small business friends say - tax cuts will make no difference in whether they create jobs.  Tax cuts are really the hobby horse of rich individuals, not of actual job creators.

The survey also found that what helped businesses think that a state was friendly to them, and made them feel optimistic about the future, was if the state provided training in how to meet its regulations.  The government service of regulations - which benefits consumers, but is a pain to business owners - can be aided by the further government service of training owners in how to meet and manage the regulations.

And on training, alas, Kentucky rates a grade of F. 


Anonymous said...

Thanks for sharing this story - appreciate it!


pop said...

How about government not making overly complicated rules.