State of Small Business Support: Small Business Owners Give Low Marks to Government Programs
- 92% of survey respondents say it’s important to comprehensively modernize the Small Business Administration
NEW YORK, March 7, 2024 – As President Joe Biden prepares to deliver his State of the Union address, Goldman Sachs 10,000 Small Businesses Voices is releasing new survey data showing the “State of Small Business Support.” In a telling reveal of how small business owners feel about the programs currently offered by the federal government, 63% give the federal government a “C or below” letter grade on the effectiveness of programs, services and tax credits available for small businesses, and 71% percent give the federal government a “C or below” letter grade when it comes to the job it does marketing and communicating about the programs, services and tax credits available to small businesses. Only 34% of small business owners say they have a good sense of what federal programs, services and tax credits are available to them.
Small business owners have a clear directive to fix the problem: 92% say it’s important for Congress to comprehensively modernize the Small Business Administration (SBA) – an agency that has not been reauthorized by Congress since 2000.
At the same time, personally, 75% of small business owners report they are optimistic about their financial trajectory in 2024. Furthermore, 57% expect to create jobs this year, 62% are projecting an increase in profits before the year concludes and 28% rate the economy as good or excellent – a 9% increase compared to three months prior.
“Leaders in Washington often talk passionately about their support for small businesses and praise small business as the backbone of the American economy, but small business owners would like to see that talk turn into action by having Congress prioritize modernizing the Small Business Administration,” said Janice Jucker, Co-Owner of Three Brothers Bakery in Houston, TX and an alumna of the Goldman Sachs 10,000 Small Businesses program. “Congress has not reauthorized the Small Business Administration since 2000, which means the programs, resources and charge of the agency are rooted in a bygone economy. Small business owners will be watching the State of the Union–and the election year campaign to follow–hoping to hear candidates and elected officials prioritize the modernization of the Small Business Administration.”
Examining specific programs offered by the federal government:
- Only 18% say the federal government does an “excellent” or “good” job offering procurement assistance and support;
- Just 29% say the federal government does an “excellent” or “good” offering assistance in accessing capital;
- Only 34% say the federal government does an “excellent” or “good” job offering technical assistance and entrepreneurial development; and
- On a high note, 50% say the federal government does an “excellent” or “good” job offering disaster assistance or relief programs.
Other key findings from the “State of Small Business Support” survey dataset include:
- 91% say they will “definitely vote” in the 2024 presidential election;
- 84% say a candidate’s small business policy positions will be an important factor in who they vote for in the 2024 presidential election; and
- Only 7% think elected officials keep their promises to small businesses all or most of the time.
The survey data is a result of responses by 1,453 Goldman Sachs 10,000 Small Businesses alumni in a survey conducted by Babson College and David Binder Research from January 15-19, 2024. The survey included small business owners from 49 U.S. states, Washington, D.C., and Puerto Rico.
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About 10,000 Small Businesses Voices
Goldman Sachs 10,000 Small Businesses Voices, which in April marked its three-year anniversary, builds on Goldman Sachs 10,000 Small Businesses and organizes program participants to advocate for policies that matter to them. Learn more at www.gs.com/10ksb-voices
About Goldman Sachs 10,000 Small Businesses
Goldman Sachs 10,000 Small Businesses is an investment to help entrepreneurs create jobs and economic opportunity by providing a comprehensive business education program and access to capital and business support services. To date, 10,000 Small Businesses has served over 14,000 small businesses across the United States. The program has reached businesses from all 50 states, Puerto Rico, and Washington, D.C. Learn more at www.gs.com/10ksb.
About Goldman Sachs
The Goldman Sachs Group, Inc. is a leading global financial institution that delivers a broad range of financial services to a large and diversified client base that includes corporations, financial institutions, governments and individuals. Founded in 1869, the firm is headquartered in New York and maintains offices in all major financial centers around the world.