Obama-Small Business

Other prominent features of Barack Obama's Small Business Emergency Rescue Plan include: Increase access to capital - Obama will work to help more entrepreneurs secure both traditional and alternative means of financing, expand the network of lenders, make interest rates for SBA loans more competitive with the private sector, and simplify the loan approval process. Create public-private business incubators - Obama will support small businesses and spur job growth by creating a national network of public-private business incubators which will offer help designing business plans, provide physical space, identify and address problems affecting all small businesses within a given community, and give advice on a wide range of business practices, including reducing overhead costs. Reinvigorate the SBA - Since 2001, the SBA’s budget has been cut by the Bush administration more deeply than any other federal agency. Obama pledges to restore the SBA’s budget, strengthen its capacity, and ensure that the small business community plays a vital role in government policymaking. Promote small business ownership in communications industry - As president, Obama will support efforts to achieve diverse media ownership, particularly in an era of increased media concentration.

Obama has joined Sen. John Kerry (D-MA) in calling on the FCC to immediately address the issues of minority, women and small business media ownership before taking up a second review of wider media ownership rules.

Strengthen small business programs targeting Women, service-disabled veterans and minorities - Obama will strengthen programs that provide access to capital and contracting opportunities to minority- and women-owned businesses, support outreach programs that help minority, service-disabled veteran, and women-owned business owners apply for and are awarded loans, and work to encourage the growth and capacity of minority and women-owned firms.

Obama will also implement a Women-Owned Business contracting program to create greater opportunities for women business owners who would like to do business with the federal government – a program that was signed into law by President Bill Clinton, but has yet to be implemented by the Bush Administration.

NOTE - The source of this article is BARACK OBAMA AND JOE BIDEN: Small Business Emergency Rescue Plan. See that plan for additional details.

View the original article here

Obama-Small Business

On October 10, 2008, Democratic presidential candidate Barack Obama announced a Small Business Emergency Rescue Plan to quickly aid U.S. small businesses during the ongoing historic downfall of the American economy.

Per the Obama campaign, the purposes of this smart Small Business Rescue Plan are "to: help small firms obtain the loans the need to meet day-to-day operating expenses, make important short-term investments, and meet payrolls.""With small businesses responsible for more than two-thirds of new job creation, this plan is vital to stemming job losses and turning our economy around," observed Obama.

It's long overdue that the federal government stepped forward with a plan to support small businesses and owners, after all the billions given to bailout the largest U.S. corporations. The following are summarized specifics of Obama's plan.

BARACK OBAMA'S SMALL BUSINESS EMERGENCY RESCUE PLAN

Emergency SBA Lending Facility for Small Businesses -
Just as was done after 9/11 when businesses were facing economic injury, Obama is calling for the Small Business Administration to directly lend to small businesses that cannot access other sources of capital.

The facility will be run through the Small Business Administration’s (SBA) Disaster Loan Program, which is designed to offer affordable, fixed- rate loans to small firms to meet operating expenses, undertake needed short-term investments, or to refinance debt.

Expanding SBA Guarantees to Encourage Private Lending to Small Businesses -
Obama is calling for expanding the SBA’s key loan guarantee programs – 7(a) and 504 – by temporarily eliminating fees for borrowers and lenders and increasing the guarantee rate on private loans. These steps will give lenders new incentives to lend and help unlock credit for small firms.

Tax Incentives and Tax Cuts for Small Businesses -
Zero capital gains rate for small business - Obama will eliminate all capital gains taxes on investments made in small and start-up businesses. Unlike McCain, who wants to give $200 billion in new tax cuts to the largest and most profitable businesses, Obama wants to cut taxes for the small businesses that create jobs. Temporary tax incentives to encourage investment in jobs -Obama will give small businesses additional incentive to make investments and start creating jobs again by providing temporary business tax incentives through 2009. This will be accomplished, in part, by the extension of IRS code section 179 expense deduction to $250,000 which now expires in December 2008. New tax credits for employee health care costs - The Obama Small Business Health Tax Credit will provide a refundable credit of up to 50% on premiums paid by small businesses on behalf of their employees and to small businesses with no employees.

View the original article here