Let’s talk about what will lead the country into a recovery. As most of you know, housing has led most all recoveries in the past. Not this time. This recovery will not be led by big business, exports, and it will not be led by another failed attempt at a stimulus by our Government or more monetary easing. This recovery will be led by small business. It will led by our country’s entrepreneurial class.
It will take place one job at a time by individuals taking risk with their own capital, whether human or cash. No difference in the form, sweat equity is what this country was built on. It is true; our small businesses use our countries infrastructure to conduct there day to day operations. However, maybe we should consider moving these government services into the private sector for better efficiency. An example of course is our postal service.
How can our government help this important segment grow as it leads the recovery? How about for every penny an entrepreneur raises in capital our government matches it. How about for every dollar put into a classified small business the investor gets a tax benefit. How about no payroll taxes for a period of time to allow cash to remain in the company for growth.
The point is, rates are at a record low. However, no one is releasing this money to the segment which can most affect the recovery, small business. Our government leaders should facilitate the loosening of funds to small business by considering offering a government backed guarantee for a period of time.
Bottom line, let’s not demonize small business and entrepreneurs, let’s recognize they are the answer to this recovery and support them through governmental initiatives.