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             23 October, 2019
 

    
Category:  Articles » Business » Entrepreneurialism

 

Why Startups Should Be Our Number One Priority for Job Creation

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         Views: 1380
2010-10-03 08:06:48     
Article by Austin Rolling

On September 27 President Barack Obama signed a small business jobs act worth 17b meant to spur job creation. In the bill you’ll 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 bill’s 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 world’s most powerful brands and has permeated all sectors of online marketing. If we’re looking to revitalize our country we must start by establishing a climate conducive for growing startup companies, while not ignoring the special needs of established small businesses and corporations.

Specialized in: Entrepreneurship Development - Entrepreneurial Opportunities - Nuprenu
URL: http://www.nuprenu.com
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