🔒A bigger voice in Congress for New England small businesses

Small businesses are the bedrock of New England's economy. That's true not only in my home state of New Hampshire — home to just 1.3 million people but more than 130,000 small businesses — but all across the region. Small businesses account for nearly 96 percent of our employers.

That's why it is critical for New England's congressional delegations to play an active role as advocates for federal policies to help our small businesses stay competitive and grow. As the lead Democrat on the Small Business Committee, I am reaching across the aisle to advance the priorities of our region's small businesses: spurring innovation, boosting export opportunities, expanding access to credit, and addressing the high cost of energy.

For New England to thrive, we need to support small businesses in the high-technology and advanced-manufacturing sectors, which are now the leading drivers of our region's economy. Small businesses in these sectors are wellsprings of innovation nationwide, employing nearly 40 percent of America's scientists and engineers, and producing more than 14 times more patents than large businesses and universities.

However, unlike large companies, small businesses often find that the risk and expense of ambitious research and development efforts are beyond their means. That's why I am working on a bipartisan basis to reauthorize and improve the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs, which set aside a percentage of federal agencies' extramural research and development budgets for contracts with small companies. These programs make it possible for small businesses to compete on a more level playing field with much larger businesses, while leveraging the entrepreneurial spirit of small companies to meet pressing federal needs.

Another way to keep New England's economy competitive is by helping small businesses penetrate growing and emerging international markets. Ninety-five percent of the world's consumers live outside the U.S., yet only 1 percent of small and medium-sized businesses sell into those markets, compared to 40 percent of large businesses.  To help close this gap, we passed legislation creating the State Trade and Export Promotion (STEP) program, which provides direct assistance to companies for counseling, market intelligence, and access to foreign markets. To date, STEP has helped 1,949 small businesses in the region, supporting nearly $57 million in sales. I'm working with Sen. Susan Collins (R-Maine) to reauthorize this successful program so that it can continue to help our small businesses compete globally.

In addition, all 12 U.S. Senators from the six New England states oppose misguided efforts to defund the Export-Import Bank. Nearly 90 percent of the bank's transactions directly support small businesses, and the bank has supported more than $3.7 billion in export sales by New England businesses since 2007. It makes no sense to approve a broad new trade agreement with Asian nations, and then shut down the institution that helps to provide capital so American businesses can compete with their Asian rivals. 

Energy costs in New England are the highest in the nation, and energy efficiency is the fastest, cheapest, most readily available path to reducing those costs. To keep our small businesses competitive, we need to encourage businesses to put energy efficiency innovations front and center in their operations. Smart technology can dramatically reduce energy consumption, but typically it is too expensive for smaller manufacturers. I'm working with Sen. Lamar Alexander (R-Tenn.) to advance the Smart Manufacturing Leadership Act, which directs the Department of Energy to focus on making the advantages and savings of smart technology available to small and medium-sized manufacturers with limited expertise and resources.

We've come a long way from the Great Recession, when credit all but dried up, but small business entrepreneurs still struggle to secure credit and capital.

A recent Harvard Business School working paper by former Small Business Administration Administrator Karen Gordon Mills found that small business loans are down about 20 percent since the financial crisis. That's why it's critical that Congress continue to provide support for small businesses to get access to credit so they can grow.

SBA lending plays a vital role in helping small businesses throughout New England, and senators on the Small Business Committee want to ensure that SBA continues to be an option for obtaining credit. We are working now to pass the Commercial Real Estate and Economic Development Act to expand small businesses' access to credit by extending SBA's 504 refinancing program for five years.

Earlier this year, President Obama signed into law our bipartisan Veterans Entrepreneurship Act, which permanently waives thousands of dollars in fees on Patriot Express loan guarantees for veteran-owned businesses.n

U.S. Sen. Jeanne Shaheen is the lead Democrat on the U.S. Senate's Committee on Small Business and Entrepreneurship.

Read more

Accounting firms deepen benches for truncated tax season

Small businesses urged to consider exporting for growth