Obama’s words on Small Business

In his State of the Union address, President Obama put forward several proposals for stimulating the small business sector, and spoke about the role of small businesses in job creation.

“The true engine of job creation in this country will always be America’s businesses”, he said, “but government can create the conditions necessary for businesses to expand and hire more workers”, he continues. With that, he proposed a new small business tax credit that is applicable to businesses that hire new workers. Two thumbs up!

President Obama also addressed the difficulty small business owners’ face in finding financing, despite larger companies having increased access to credit facilities. He also proposed the elimination of capital gains tax on all small business investments.

John Tozzi of Business Week gives a critical analysis of what Obama had to say about small business.