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Political parties differ on how to grow small businesses


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Reported by: Dustin Barnes
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Updated: 7/11/2012 6:48 pm Published: 7/11/2012 5:38 pm
LITTLE ROCK, AR -- FOX16 News took a tour of Arkansas Flag & Banner, a nearly forty-year-old business that continues to grow.  Owner Kerry McCoy says she's succeeded -- thanks to Small Business Association loans that allowed her to buy a building and equipment.

"She's a poster child for what President Obama in terms of creating that economy that's built to last, an economy built on middle-class values," said Marie Johns, deputy administrator of the Small Business Administration.

SBA Deputy Administrator Marie Johns said President Obama wants to help small businesses even more by giving tax credits and cut down on the bureaucracy.  It's now the focus on Capitol Hill.

"Do we see this passing in an election year?" I asked.

"Shame on Congress if they don't pass it. The other thing, President Obama has done is not to politicize issues. The stakes are too high," said Johns.

But Republicans argue businesses can't profit under an Obama administration, mainly because the president wants to increase taxes for those who make more than $250,000 a year.

"A lot of small businesses are in that category so you're looking at a tax increase on small business. If they do well they have to pay more in taxes," said Doyle Webb, chairman of the Republican Party of Arkansas.

Arkansas Democrats say Congress should look at how things are run here to get things done.

"A lot of what we see in Washington right now is the inaction of a Republican Congress essentially.  People have looked to see they're engaged in partisan bickering. We need less of it in Washington and certainly don't need it here in Arkansas," said Candace Martin, spokeswoman for the Democratic Party of Arkansas.

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ArkansasYankee - 7/12/2012 10:42 AM
2 Votes
wpsark; as usual, you are correct. Tariffs and outsourcing of jobs doesn't come from business though; it comes from our Federal "employees" that we vote into office, getting their hands greasd by big corporations. Ford truck and Harley motorcycle; American made baby! No Jap crap for me. Where is the Continental Army and the Minutemen when you need them!

wpsark - 7/12/2012 9:11 AM
0 Votes
jdburn, that's why we need a flat tax and we need a huge penalty on corporations who outsource labor, higher tarrifs on certain imports and I could go on and on..these days, big business gets big b/c of the savings on outsourced labor..It's also up to us to be sure to give our business to the local guy, even if it means we have to pay a few cents more, for those of us who can pay a few cents more.

wpsark - 7/12/2012 9:04 AM
1 Vote
Smoke & Mirrors..I bet Obama would take credit for starting up the SBA...The SBA is already in place, private lending firms are in place for businesses that should stay afloat. You can even find investors if your business is a marketable and profitable concept..But there's that investment tax that would prohibit a wise investor from investing in a small business. The tax imposed wouldn't be worth the risk.. And then there's the fact that; Sometimes a small business just fails b/c of poor management and the tax payers do not need to be forking out dollars to a small business that is just a money pit..Like obama wants done..More waste.I work for a small business and this year is our 5th year. Great management and we are an honest company, the profit is rather small but it is a profit that we all can live on. That's how a small business survives, not with obama throwing tax money at a business who fails b/c of bad management, not with Obama forcing a small business to provide health insurance to it's employees, not with higher taxes on $250k earners etc.."too big to fail" is also a bunch of crap and so is throwing money into a lost cause. I suspect that Arkansas Flag & Banner has good management and has stayed open b/c the SBA and other lenders recognize that it's profits are greater than it's losses, not because of anything Obama has or wants done.

Tired - 7/12/2012 6:43 AM
2 Votes
the democrat/socialist president...is responsible for the success of a bunch of capitolist's...thats a bunch of horse$#^%...silly ^%$ is trying to take credit for something again...November hurry up, we can't take much more

ArkansasYankee - 7/11/2012 8:29 PM
2 Votes
Arkansas Flag and Banner has been around almost 40 years; and Obama is responsible for their success; PLEASE!

jdburn - 7/11/2012 7:55 PM
0 Votes
Is there any small business in the world that does not pass on the cost of taxes in the price of their goods and services? As long as taxes are proportionally equal for all business, small and large, the cost will always be passed on to the consumer and have no impact on the business, small or large. I contend that the biggest challenge to small business is capitalism itself. The big box stores and corporations are driving out small business because they get better pricing for goods and services (bulk discounts on products, reductions in taxes and utilities, etc.)and they can sell their product for less than the small business. That's the nature of capitalism and if you don't like it, don't stay in the US. As long as we have capitalism in the US, small business will continue to be pushed out by the big box stores and corporations. The small business owners really need to fight the tax breaks given to the large corporations, because if they don't pay the same tax proportionally, there is no way small business will ever be able to compete. But if you fight to tax the large corporations and big box stores to even the playing field for small business, then you have socialism. Hmmmm.
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