"We also fall into the category of "the rich" because our business profits pass-through to our personal income since we are a Chapter S small business corporation. President Obama's proposal is going to negatively impact our ability to reinvest and grow our business. So few people outside of small business owners really understand how Chapter S Corporations are taxed and President Obama has done a masterful job of convincing the public that what we are taxed on is what we actually make. I don't know why anyone would want to be an entrepeneur in this present business climate."
Cliff Laverty (Tulsa, OK) Total Radio, Inc.
"As owner of a small business that just turned 5 years old and is a Subchapter S, we've grown from 3 employees to almost 50 in the last 5 years. The growth has kept our income low, as we've invested back into the company in the form of additional jobs and equipment. We have always had to tax plan at the year's end because we've never seen a penny of what the company has made, with the exception of what we've had to pull out for taxes on the income we've not seen. Bottom line, raising our taxes means we'll quit growing, lay off people and stay under the $250K level for income. We are not the problem."
Steve Piechota (San Jose, CA) Netronix Integration
"I understand what the President is trying to do - I really do, but he is not going about it the right way. Small business is the backbone of our country and allows us to keep American's working. Since any profit is a pass-through on a personal tax return - it very seldom actually goes into the hands of the business owner. It allows the business owner to grow the business and expand - employing more Americans and increasing wages of those already working hard. If we have to take our profits as we have in the past and hand them over in the form of taxation - it will force companies like mine to keep wages lower and hire less people - or lay off those working for us to compensate for the taxes. It is not in the best interest of our country."
Gloria Cuerbo-Caley (Canton, OH) Media Resources, Ltd
"Our small business faces major uncertainty in three areas that are exacerbated by government policies. 1) As a defense contractor we face major uncertainty as to what the effect of the pending defense cuts will be next year. 2) As a "S Corp" the impact of higher taxes hits the business directly. Requiring the owners to take more cash out to pay taxes impacts our working capital, increases our borrowing costs and directly impacts our ability to invest in capital equipment. This required cash distribution in April has a major negative financial impact on our entire business. 3) The uncertainties surrounding health care implementation and increasing costs are also a major negative. Overall, we are hunkering down, trying to preserve cash and buying as little as possible, shedding all but core employees until things become more certain."
Gary Smith (Tustin, CA) Brandywine Communications
"This kind of taxation is what is hurting our small businesses today. We are forced by the Administration to jump hurdles that really should apply only to large businesses. We provide Health Care, Retirement Benefits and matching payroll funds to our employees like any other business does, but yet we are continually being over-taxed by the Government. Of course unemployment is running high, no one can afford to add employees at this time. We just work leaner with longer hours to get by and have less to show for it in the end. Wealthy - I don't think so."
Becky Hinkle (Kansas City , MO) Bears Printing, Inc.
"As an S Corp, we pay monthly taxes and then my business partner and I get hit hard with personal taxes at the end of the year. We did show a profit last year, but my business partner and I went without many paychecks during the year. We made about $15,000 less than the previous 10 years!!! And we still had to pay several thousand in taxes personally. If the taxes keep going higher, it won't be a profitable business anymore."
June Hawkins (Prescott Valley, AZ) Neumann High Country Doors
"As a small business owner who files taxes based on bottom line company profits, I am appalled that this administration is considering additions to my already outrageous tax bill. I reinvest a good majority of my bottom line earnings to grow my business and I can't continue hiring additional employees with these heavy tax burdens. If our President passes this ludicrous tax legislation (expiration of Bush tax cuts) it will cost me another 40K per year. That money could be put to better use by the company that earned it rather than the government who knows how to waste it."
Ken Smith (Mt Juliet, TN) Tracer Electronics LLC
"We are quite small... 5 people. We occasionally use consultants off site to help us through design crunches. This past year we have been blessed with more work than we can handle, but the prospect of crossing thresholds and the expectation of restrictions and compliance mandates have absolutely resulted in a hiring freeze and our postponement of new business endeavors. We are in this strange place because succession is an important issue at the moment. Not being able to look more than a few quarters ahead makes it impossible to attract capable leaders to take over a key position."
Dennis Beaver (St. Louis, MO) Dynic Labs, Inc.
Recognizing the importance of entrepreneurs’ feedback in the process of shaping the very policies that will help determine their business sustainability and growth, Chairman Graves launched Small Biz Open Mic in September of 2011.