President Barack Obama recently sent his 2015 budget proposal to Congress, an article in the Washington Post reports. The new budget requests large amounts of spending to help the economy recover.
What are some of the proposed changes? The article outlines several that could significantly impact your small business:
- $56 billion more in economic stimulus spending. Last year, the House and Senate settled on a last minute deal to keep the government from shutting down, and potentially a huge rift striking throughout our economy. That deal called for $1.014 trillion in spending to get the economy back on track. The current proposal asks for an additional $56 billion to be spent on top of that. Some of the funds would help early education and job training programs grow their operations.
Many small businesses are having a difficult time filling some of their positions, so it’s possible this spending could result in more people being available to take them.
- Reduced funding for the SBA. In 2012, the SBA had an operating budget of $919 million. The current proposal from the president requests $710 million. For some smaller loans, the organization will completely waive the associated fees. It’s a mixed signal for small businesses.
- Some consumers will have increased spending power. Entitlement programs, like social security, would have used a more conservative method for measuring inflation under the budget deal last fall. However, Obama rescinded that offer in this current budget proposal.
Also, he proposed the earned income tax credit, which helps low income earners stay out of poverty, be expanded to include workers who receive low wages but do not have children. They’d have more disposable income to spend in the economy.
So that’s what the president is currently requesting in the 2015 budget proposal. Who knows how it will work out? But, the point is that he’s trying to help rejuvenate the economy, giving small businesses what they need to begin operating effectively once again.
Does Your Business Have Access to the Capital it Needs?
You do not need to go through an elaborate process to receive the funding you need to grow. If you attempt to use traditional bank financing, that may be the case.
However, at Reliant Funding, all your business needs to do to access the financing it needs is make $10,000 per month in sales, be successfully operating for at least 12 months, and have no open bankruptcies. You simply fill out a single page, get up to $500,000 per physical location, don’t pledge any assets as collateral, and you can get the funding in as fast as 3 business days.
We specialize in financing restaurants, bars, auto repair shops, health care organizations, and retailers. Learn more about our Small Business Loans.