I’ve been reading a range of coverage related to President Obama’s credit plan for small businesses, announced March 16. The Associated Press offered the following bullet points summarizing the plan — but I wonder: Will managed service providers (MSPs) benefit from the strategy?
According to AP, the small business plan aims to get small business credit flowing by:
- offering $15 billion in federal funds to ease credit
- reducing lending fees
- Increasing loan guarantees
- Easing tax burdens
Also, under the programs, the AP says businesses may:
- Claim losses for the past fie years in the current tax year (for businesses with up to $15 million in earnings)
- Reduce estimated tax payments to 90 percent of the previous year’s filing
- Take larger depreciation deductions with the first year of property purchases
- See 75 percent of capital gains excluded for those who invest in small businesses
Of all the items above, I particularly like the last bullet: I think entrepreneurs and those who invest in small businesses should be rewarded for their efforts. But it’s a tricky situation: Not all small businesses will survive, and some small business plans are full of holes — so should entrepreneurs be rewarded with tax breaks for investing in pathetic businesses?
Another area I’d like to hear more about: Health care in small businesses. I’m not seeking government handouts, but health care costs often prevent small businesses from (A) making new hires or (B) investing in other areas, such as R&D.
I remain convinced that innovative entrepreneurs — with or without the government’s help — are going to lead the US out of the recession. And frankly, I’ve learned to focus on our business plan rather than government assistance plans.
But I’m curious to know if MSPs are keeping tabs on President Obama’s small business credit plan.
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Posted In: Finance
Tags: Managed Services Credit | managed services financing | Managed Services Tax Breaks | President Obama Small Business Plan | Small Business Credit Plan | Small Business Tax Incentives
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President Obama inherited quite a mess. I’m focused on my own business and I won’t hold my breath for government help but the President does deserve time (even though time isn’t a luxury in this economy).
Voting: You sound a lot like me. Sometimes I get so consumed with our own internal business priorities I fail to see the bigger picture. Until I tune in Jon Stewart.
I have a small business as well (with my family in fact), and I hope to God that Obama’s plan to help small businesses can benefit it. Besides, I think small businesses, no matter how small, are significant in helping the economy.