Bill Overview
Title: Supporting NEW BUSINESSES Act
Description: This bill requires the Small Business Administration to annually provide awards recognizing three state or local governments that implement innovative and effective policies or tools to streamline processes related to the formation of small business in their communities.
Sponsors: Sen. Cortez Masto, Catherine [D-NV]
Target Audience
Population: Individuals involved in starting and operating small businesses worldwide
Estimated Size: 33000000
- The bill focuses on small business formation, impacting individuals involved in creating and operating small businesses.
- Innovators and entrepreneurs may see improved conditions for starting new businesses due to supportive state and local policies.
- The emphasis on streamlining processes will likely affect those engaged in or seeking to engage in business startups by reducing bureaucratic challenges.
- States and local governments receiving awards might adopt better practices, benefiting entrepreneurs in their respective regions.
Reasoning
- The policy will primarily affect individuals engaged in or planning to start a small business. It targets reducing bureaucratic hurdles, which should improve entrepreneurial conditions, leading to positive outcomes in business creation and possibly personal wellbeing.
- Simulating a range of impacts helps assess diverse scenarios based on occupation, location, and current bureaucratic challenges faced by would-be entrepreneurs under different local policies.
- Not everyone will be directly affected due to the location-specific nature of the awards. Thus some variability in impact magnitude and wellbeing changes is expected.
Simulated Interviews
aspiring entrepreneur (Austin, TX)
Age: 34 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 12/20
Statement of Opinion:
- Streamlining the process would save lots of time and energy. A less bureaucratic environment means I can focus more on my product.
- If my state wins an award, it could really encourage others to get started too, creating a stronger entrepreneurship community.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 7 | 5 |
small business owner (San Francisco, CA)
Age: 42 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 10/20
Statement of Opinion:
- The recognition of innovative policies could push my local government to make it easier to open new locations.
- If policy influences decrease in red tape, it might make expansion more feasible.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 6 |
| Year 20 | 6 | 6 |
graduate student (Tuscaloosa, AL)
Age: 29 | Gender: other
Wellbeing Before Policy: 5
Duration of Impact: 20.0 years
Commonness: 8/20
Statement of Opinion:
- Struggling with local permitting and licensing, anything to smoothen that process is welcome.
- This policy might create opportunities sooner than expected.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 7 | 5 |
| Year 5 | 8 | 5 |
| Year 10 | 9 | 5 |
| Year 20 | 8 | 4 |
consultant (Raleigh, NC)
Age: 50 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 10.0 years
Commonness: 14/20
Statement of Opinion:
- Policies like this could help my clients reduce their setup time, leading to more work for me in a thriving environment.
- If my area wins an award, networking benefits could ripple throughout the community.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 9 | 8 |
| Year 5 | 9 | 8 |
| Year 10 | 9 | 8 |
| Year 20 | 8 | 7 |
freelance designer (Portland, OR)
Age: 40 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 11/20
Statement of Opinion:
- Simplifying the registration process could finally push me to register as a business.
- State recognition might encourage me beyond freelancing.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 5 |
| Year 20 | 6 | 5 |
chef (Chicago, IL)
Age: 37 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 9/20
Statement of Opinion:
- If the policy creates an efficient permit system, it would fast-track my project.
- It might spotlight areas that need improvement in our city's business setup.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 8 | 5 |
| Year 5 | 8 | 5 |
| Year 10 | 8 | 5 |
| Year 20 | 7 | 4 |
digital marketer (New Orleans, LA)
Age: 26 | Gender: female
Wellbeing Before Policy: 4
Duration of Impact: 20.0 years
Commonness: 7/20
Statement of Opinion:
- The removal of archaic tax rules could aid in the faster setup of my online store.
- Recognition of streamlined state processes could spotlight and eliminate common hurdles.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 4 |
| Year 2 | 6 | 4 |
| Year 3 | 7 | 4 |
| Year 5 | 8 | 4 |
| Year 10 | 8 | 3 |
| Year 20 | 7 | 3 |
real estate agent (Omaha, NE)
Age: 55 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 15/20
Statement of Opinion:
- If local bureaucracy can be efficient, it opens doors for new business opportunities in real estate.
- This policy may inspire sensible changes quicker than expected.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 8 | 7 |
| Year 20 | 7 | 6 |
software developer (Seattle, WA)
Age: 31 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 13/20
Statement of Opinion:
- Facilitating easier startup registration would help many of my peers transition into ownership.
- The state's policy innovation might influence my timeline for going solo.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 8 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 7 | 5 |
retail store manager (Miami, FL)
Age: 45 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 12/20
Statement of Opinion:
- If regulations simplify setting up a store, it may be worth pursuing the boutique sooner. Current regulations are a barrier.
- The policy could prompt my state to take action that benefits local retail.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 7 | 5 |
| Year 5 | 7 | 5 |
| Year 10 | 7 | 5 |
| Year 20 | 6 | 4 |
Cost Estimates
Year 1: $5000000 (Low: $4000000, High: $6000000)
Year 2: $5000000 (Low: $4000000, High: $6000000)
Year 3: $5000000 (Low: $4000000, High: $6000000)
Year 5: $5000000 (Low: $4000000, High: $6000000)
Year 10: $0 (Low: $0, High: $0)
Year 100: $0 (Low: $0, High: $0)
Key Considerations
- Administrative costs are a significant portion of the program's budget.
- Long-term economic benefits through improved small business ecosystems at state and local levels may result in indirect savings.
- Effectiveness depends heavily on state and local governments' initiative to streamline processes using the awards.