Small business owners seeking policy solutions descend on D.C.

Small business owners from 16 states descended on Washington, D.C. Thursday and called on Congress to improve access to capital, address workforce challenges, expand affordable child care, and reduce regulatory burdens to unlock opportunity.

Goldman Sachs‘ “10,000 Small Businesses Voices” brought 60 small business owners from rural communities to the nation’s capital to deliver a message that they’re ready for growth but need Congress to address the persistent challenges faced by entrepreneurs in America’s heartland. Rural small business owners participated in more than 35 meetings on Capitol Hill and brought policy proposals directly to their lawmakers to prioritize growth, innovation and opportunity.

“Rural small businesses are engines of economic growth and job creation, and that’s why it’s critical for policymakers in Washington to understand the challenges they face,” David Solomon, chairman and CEO of Goldman Sachs said in a statement. “If we can create a favorable operating environment and policy landscape, small businesses will thrive and communities across America will benefit.”

According to a release, the small business fly-in to Washington is an extension of Goldman Sachs’ effort to elevate the issues facing rural communities and promote policy solutions to increase economic vitality across the country. Rural small businesses spur economic growth in their communities, operating over 84% of establishments in rural counties and collectively employing more than half of the local workforce, per the release.

A recent Goldman Sachs survey of rural small business owners revealed that 74% have plans to grow, and 45% expect to create new jobs in 2025.

The survey showed the following:

• 76% of rural small business owners are concerned about their ability to access capital.
• 66% of rural small business owners believe the tax code should be simplified for small businesses.
• 63% of rural small businesses say their business is being held back by regulatory red tape.
• 54% of rural small business owners say they would like the federal government to address inflation.
• 38% say increasing access to capital would help them grow their business.
• 38% say they want support in offering more competitive benefits to their employees.

The survey also showed that rural small businesses face the following challenges in their communities:

Workforce Development

• 70% of rural small business owners say attracting workers to live and work in the community where they do business is challenging versus 42% in suburban areas and 45% of small business owners in urban areas.
• Rural small businesses are also more likely to say that a lack of affordable child care is a challenge to attracting workers to live in their community (47%) versus suburban (24%) or urban small businesses (33%).

Innovation & Opportunity

• Only 52% of rural small businesses are using AI vs. 63% of suburban small businesses and 61% of urban small businesses.

“Small businesses are the backbone of America’s economy, and in rural America, we’re also the community’s heartbeat,” said Jenny Steffensmeier, president of Steffensmeier Welding and Manufacturing in Pilot Grove, Iowa, and member of Goldman Sachs Leadership Council. “While many small businesses face similar challenges, the solutions can’t be one-size-fits-all. From the Farm Bill, to expiring tax provisions and far-reaching regulations, Washington has ample opportunity to help unleash rural small business growth in 2025.”

Goldman Sachs in 2023 announced a $100 million “Investment in Rural Communities” across America. The program has launched a leading business education program in 10 states with sizeable rural populations and unlocked $37 million in support for Community Development Financial Institutions. The initiative has plans to reach 20 states in five years.