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Despite High Failure Rate, U.S. Remains Supportive of Small Business
Published on Jul 12, 2011
Read 'Despite High Failure Rate, U.S. Remains Supportive of Small Business' at 'Time to Start Up,' the small business blog by BizFilings.
In the true American spirit of never giving up, entrepreneurs are as active as ever when trying to start a business. In a recent study done by the Organization for Economic Co-Operation and Development (OECD), the U.S. scored highly in the creation of small business, exclusively in construction, retail, and professional services.
Although small businesses continue to pop up, the failure rate remains high. Bankruptcy rates are believed to be adding a negative connotation to entrepreneurship. However, 73 percent of Americans surveyed still see entrepreneurship in a positive light.
“Going forward, small business will be a very important mainstay of the American economy. We believe that businesses can still thrive with the right preparation and support,” said Phil Holland, founder of My Own Business, Inc.
A new study from the U.S. Chamber of Commerce shows that many small business owners appear to blame the government, in large part, for the high failure rates. Seventy-nine percent of small businesses across the nation want the government to decrease regulations, and 85 percent would like more economic certainty.
Economic uncertainty prohibits 55 percent of small business owners from hiring more employees. That uncertainly puts the future in a cloud of doubt, with only 20 percent of small business owners believing the country’s best days are ahead.