American small businesses are on the decline, and many people blame the Obama’s Administration for that. However, historical data shows that the decline has started since a long time ago. We are not going to talk about politics, as I have zero US politics knowledge. But let’s talk about it from a fellow small business owner’s point of view.
Today, American small businesses are merely surviving, “thanks” to the laws and regulations which are deemed as non-small-business-friendly. Self-employed and independent business owners alike are declining in numbers and impacts.
And do you know what happen when less and less small businesses exist? That’s right: Less job opportunities, as we know that – whether you like it or not – small businesses open more opportunities for many for employment.
Many SMB experts and leaders accuse that Obama’s Administration is anti-small business. They mentioned that the decline in small business ownership and self-employed will bring The US into the great depression.
So, what’s going on, really?
Well, the best source you can go to for such important matter is a small business leader. This time, the insights are offered by Lloyd Chapman, President and Founder of American Small Business League (ASBL) – brought to you by InfoWars.com – about Obama’s Administration’s war on small business:
Some highlights
From the video we can learn that:
1. Small businesses drives 90 percent of net new job creations in the US (Fortune 500 companies created the 10 percent) and responsible for half or US’ GNP.
2. 20 percent of Americans are self-employed, and the figure is declining significantly.
3. More people will depend more on Government jobs. Sounds good? No, according to Lloyd Chapman. It’s the opposite of what Americans want: More Government involvement in US citizen’s life – plus rising tax.
4. 1977-2010: A decline is small business and self-employment in the US is 53 percent.
5. Small Business Administration’s already minimum budget will experience more budget cut by the Obama Administration.
Further reading
Interested to learn more about the declining figure of self-employment (and small business in general)? Here are some of them:
U.S. Self-Employment Rate Predicted to Decline
Scott Shane explained in his article that the declining self-employment is a natural trend as economies develop. He called it the “Walmart effect”: Due to efficiencies of scale, Walmart replaces many small, independent business, resulting in fewer people running their own business and more working for others.
Death of small business: Number of self-employed Americans at all-time low
The unemployment rate in the United States is at a four-year low, but another labor stat is shrinking in not such a favorable way: a decline in the number of self-employed Americans suggests the personal business will soon be a thing of the past.
Fears about the environment for small businesses — such as what is happening with the new health care legislation or income tax rates — may also be affecting self-employment entrepreneurship rates.
The Decline of Self-Employment and Small Business
Charles Hugh Smith explains that small business is the incubator of employment. As it declines, so too do opportunities for first jobs, second chances and economic independence.
Photo credit: Stemack Street
