In her testimony ahead of the U.S. Home Committee on Compact Small business Subcommittee on Financial Development, Tax, and Capital Access, Holly Wade, the Executive Director of the NFIB Study Center, discussed the financial challenges that modest firms are at present facing. She highlighted many crucial problems, like the increasing price of financing, burdensome regulatory specifications, and the upcoming expiration of the 20% Compact Small business Deduction.
Wade emphasized the value of generating an atmosphere that enables modest firms to develop and thrive. She noted that these firms are grappling with several financial headwinds such as higher inflation, disruptions in the provide chain, and widespread workforce shortages. All of these components contribute to a difficult competitive landscape for modest firms nationwide.
Furthermore, Wade highlighted how modest small business owners are hindered by the unprecedented development of burdensome regulations and red tape, specifically below the Biden Administration. She also drew interest to the impending expiration of the 20% Compact Small business Deduction, which is set to happen at the finish of 2025. These components build uncertainty and limit the capability of modest firms to expand and operate effectively.
To mitigate the financial challenges facing modest firms, Wade urged Congress to present relief from burdensome regulations and get rid of the prospective threat of tax increases. She emphasized the want for certainty in order for modest firms to make investments, develop, and thrive. Wade expressed her gratitude to the committee for the chance to testify on behalf of modest firms and conveyed her hope that Congress will address their issues.