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Why Startups Should Be Our
Why Startups Should Be Our

Number One Priority for Job Creation

On September 27 President Barack Obama signed a small

business jobs act worth 17b meant to spur job creation. In the bill youll

find everything from tax cuts, tax credits, funds allocated to the Small

Business Administration for purposes of loan distribution, and of course bank

loan guarantees. With the November mid-term elections around the corner there

is no surprise that this administration is doing everything it can to look

productive, but many skeptics question the bills potential to do what it is

set out to do create jobs.

The

bill, at first glance, may appear to have legs to the untrained eye. However,

there are a number of things to consider. First and foremost, will the entities

most likely to create jobs actually receive financing? According to research by

the Kauffman Foundation in their Neutralism

and Entrepreneurship report,

businesses that are most likely to create an increase in new net jobs do so

between the early ages of 1-4. In fact, businesses in existence 5 years

and below contributed to 34% of the new jobs created in 2005. Moreover,

there is one implicative truth that we cannot ignore about startup companies.

They traditionally do not receive financing from banks or the SBA, but usually

through venture capitalists, angel investors, or personal assets. This gives

way to questioning a jobs bill that in many ways overlooks a major source of

job creation.

Entrepreneurship Development has

always been a cornerstone contributor in the building of the United States

beyond merely job creation. In the landscape of business evolution, innovation

has always led the way of change. Change via inflow and turnover of products,

businesses, and industries. Much of this innovation is birthed from the nuprenu. Once upon a time Google was a

startup, is now one of the worlds most powerful brands and has permeated all

sectors of online marketing. If were looking to revitalize our country we must

start by establishing a climate conducive for growing startup companies and entrepreneurial opportunities,

while not ignoring the special needs of established small businesses and corporations.

by: Austin Rolling, nuprenu

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