This is our weekly roundup of small business news, courtesy of BizEngine.
Break The Regulatory Shackles
You’ve really got to take a few minutes and listen to this Harvard Business Review podcast, which discusses the value of loosening regulations on small business owners as a way to help them.
I’ve always had mixed feelings on lifting regulations. While they do often encourage business growth, they also make it easier for those who want to abuse the system to do so. In this environment and keeping in mind that these are small businesses without the means to wreak havoc on the economy like some giant corporations did in a loose environment, I think there’s a lot of sense in rolling some of those regulations back.
Also important in the podcast is that idea that individuals should and perhaps even must be involved in influencing policies. The argument that you’re never too small to make a difference is not a new one, but it’s particularly important in an era where social media allows you to reach a wide audience with relative ease.
Export Financing On The Rise
The Wall Street Journal points out one of the newest trends in small business, with an increasing number of businesses adding export financing to their working capital*, equipment financing and other financing in their portfolios.
The effort to get export financing to small businesses is being backed by some powerful players in politics and economics, including President Barack Obama. The effort appears to be paying off, if volume of lending is any indication:
“Our economic recovery is dependent in large part on the success of our small businesses,” Ex-Im Bank Chairman and President Fred Hochberg said in a statement. “Our efforts to encourage more companies to export are paying off.”
With foreign markets such as China and India growing all the time, it makes sense that more businesses are moving in this direction. It’ll be interesting to see just how profound this move toward exports ends up being over the next few years.
States Where Small Businesses Go To Die
CNN has a report about which U.S. states have the worst failure rates for small businesses. The worst states were California (69 percent higher than the national average for failure), Nevada (65 percent), New Hampshire (38 percent), Tennessee (36 percent) and Colorado (35 percent.
The best state was North Dakota, which seems to be cleaning up in small business polls and surveys every time I see a new one come out. They clocked in at a failure rate 67 percent lower than the national average, which is a compelling case for choosing that state to start a business in.
Small business news you want to share? Leave links in the comments!
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