Contact Information: Contact: Lloyd Chapman President American Small Business League Email Contact (707) 789-9575
New Hampshire Small Businesses Could Lose Millions With New SBA Policy, Says American Small Business League
| Source: American Small Business League
PETALUMA, CA--(Marketwire - May 31, 2007) - The following is a statement by the American
Small Business League:
A Small Business Administration Policy proposed by Administrator Steven
Preston is set to go into effect June 30th and could cost New Hampshire's
31,593 businesses with less than 500 employees millions of dollars over the
next five years.
The proposed policy would call for the five-year re-certification of small
business status for all firms who have been awarded a federal small
business contract based on that standard. The policy will allow Fortune
1000 corporations and their subsidiaries to continue to collect on existing
federal small business contracts through the year 2012.
"Five-year re-certification will cost New Hampshire small businesses
millions," American Small Business League President Lloyd Chapman said.
"Annual re-certification is the best, most reasonable and prudent method of
removing Fortune 1000 corporations and their subsidiaries from America's
federal small business contracting program."
Without annual re-certification, U.S. firms will loose more than $60
billion a year, or more than $300 billion over the next five years. This
could translate to huge losses for New Hampshire small businesses through
2012, Chapman emphasized.
In recent years, the SBA, the SBA Office Inspector General, the Office of
Federal Procurement Policy, the Office of Management and Budget and the
Senate Committee on Small Business and Entrepreneurship have all endorsed
an annual re-certification.
The Preston policy could force legitimate small businesses in New Hampshire
to compete with some of the largest businesses in the country for even the
smallest federal contracts. Groups like the American Small Business League
are pledging to rally the support of small businesses around the country
and even take legal action if necessary to stop the policy from going into
effect.
"The proposed SBA policy is bad for small business and it is bad for New
Hampshire," Chapman said. "New Hampshire's small businesses supply more
than 305,000 jobs in the state; annual re-certification for all firms with
existing federal small business contracts will only protect those employers
and their employees."