Small businesses have been dealt a tough set of cards during a pandemic era marked by shutdowns, labor shortages, and other challenges. Axios recently reported that as prices soar, and with labor and supply shortages unlikely to let up anytime soon, small businesses are navigating uncertain waters.
In the latest MetLife and U.S. Chamber Small Business Index, 85% of small businesses said they are concerned about rising inflation. More than half (51%) believe it will be at least six months until the small business climate returns to normal. Locally, while businesses are more optimistic than the national average, 55% of businesses are concerned about their ability to attract and retain talent.
Yet despite the challenges, there has also been a surge in applications to start new businesses. In the last two years, entrepreneurship has taken off at unprecedented levels, leading to the largest increase in new business applications in recorded history.
Recently, the US Chamber of Commerce unveiled a set of five principles in the Small Business Bill of Rights calling on elected leaders to ensure small businesses can grow and thrive through challenges and uncertainty. The Small Business Bill of Rights details what small businesses need from the government.
It’s important to keep in mind that 90% of Eagle County’s businesses have 20 or fewer employees – our community is truly driven by small businesses. Our small businesses are innovating, employing, and improving our community every day. Locally, we’ve seen a high level of awareness of this from our elected county leaders who are investing in housing, researching improved transit, investing in the Small Business Development Center, and looking at the needs of businesses in their decision-making.
Statewide and nationally, it is much more of a mixed bag. Our elected leaders must ensure that founders, entrepreneurs, and small business owners operate in an environment where they can:
I. Hire and Manage Employees
The government should not unduly burden a small business’s ability to establish their own employment policies nor interfere with their ability to fairly compete for talent, including using independent contractors and part-time workers.
II. Establish the Terms on Which They Do Business
Small business owners should be free to manage the daily operations of their business, including establishing terms of service and entering contracts without unnecessary government intervention.
III. Be Protected Against Frivolous Lawsuits
A small business has the right to operate without fear of profit-based litigation that uses the threat of lawsuits to extort payments.
IV. Benefit from their Business and Direct its Future
Small business owners should enjoy the return on the businesses they build and be free to determine the future of their business, including the ability to sell the business or leave it as an inheritance.
V. Be Free of Onerous Regulations
Small business owners have the right to be heard in the development of rules and regulations that affect their livelihoods, their employees, and their communities and for government to take into consideration the disproportionate impact regulations can have on small businesses.
Why does this matter? The principles outlined above would help create an environment where founders and small business owners have the freedom to hire and manage employees, establish the terms on which they do business, be protected against frivolous lawsuits, benefit from their business and direct its future, and be free of onerous regulations. This would strengthen small businesses, which leads to strengthened communities.
Chris Romer is president & CEO of Vail Valley Partnership, the regional chamber of commerce. Learn more at VailValleyPartnership.com