Poll: Gov't Regulation Tops Concerns of Small Business Owners
In a poll of small business owners, compliance with government regulations was mentioned most often as the most important problem they face.
The Oct. 3-6 poll, conducted by Gallup/Wells Fargo, asked 604 small business owners, “What do you think is the most important problem facing small business owners today?”
The most common answer (22 percent) cited compliance with government regulations, followed by consumer confidence (15 percent), lack of consumer demand (12 percent), lack of credit availability (10 percent), and poor leadership from the government or the president (9 percent).
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The poll also asked, “What would you need to see in order to feel that your business will thrive in 2012?”
The most common answers were growth and sales increases (15 percent), job creation (14 percent), and fewer government regulations (12 percent).
The poll also includes the “Small Business Index,” which measures the current financial situations and future expectations of small business owners. The index “tends to be a precursor of future economic activity,” according to Gallup.
The index peaked in 2007, then saw a steady decline in 2008 leading up to the October 2008 financial meltdown. It has remained low since then.
Currently, there is a debate between President Obama and congressional Republicans on the best way to stimulate job growth. Republicans tend to favor reducing government regulations and taxes on businesses, and deregulation has been a major theme among Republican presidential candidates.
Obama has begun an effort to reduce some government regulations. Republicans have described this effort as too little and too late.
Obama's primary proposals for job growth have been increased government spending on infrastructure and unemployment benefits, and a continuation of the payroll tax cut, which would be paid for by increasing taxes on upper-income wage earners.
The poll included owners of businesses having less than $20 million in sales or revenue. The sample was weighted to be representative in size of all U.S. small businesses. The margin of error is +/- four percentage points.
