Category: Business Skills

Impact of US Tariffs on Small Business

Donald Trump’s push to expand tariffs—taxes on imported goods—could significantly impact small businesses by increasing the cost of raw materials and components, especially for those reliant on global supply chains. This would raise production expenses, squeeze profit margins, and potentially force small businesses to increase prices or reduce operations. Uncertainty surrounding trade policy may also deter business investment and disrupt consumer confidence, creating a more volatile environment for small enterprises. To read more about the impact of tariffs, check out this article in The Guardian.

Insights from the 2024-25 GEM (Global Entrepreneurship Monitor) Report

Entrepreneurial activity in the U.S. has bounced back to a historic high, with a diverse group—including veterans, immigrants, and underrepresented communities—actively launching businesses, though many are doing so out of necessity rather than opportunity.

Digital tools, AI, and sustainability are becoming increasingly important, especially among younger entrepreneurs, and women are making international strides despite persistent confidence gaps. Black and Hispanic individuals show especially high optimism and motivation for entrepreneurship, highlighting the need for targeted support to fuel inclusive economic growth.

To read more details from this report, see this link.

Why Women-Led Startups Outperform but Still Get Less Funding

Women entrepreneurs often face biased investor questioning, with men receiving promotion-oriented questions and women receiving prevention-oriented ones, contributing to female-led startups receiving only 2% of funding despite outperforming male-led counterparts.

Addressing this gap requires promoting women to decision-making roles in investment firms, raising awareness of unconscious biases, redefining success metrics, integrating women into existing networks, offering mentorship programs, and encouraging young women to pursue careers in investment to foster a more inclusive and balanced entrepreneurial ecosystem.

To read more on this topic, check out this article in Reuters entitled “Comment: Women entrepreneurs don’t need more confidence. They need more capital”

Small Business and Entrepreneurship in the US After COVID

According to this report issued by the US Department of the Treasury in September 2024, small businesses are thriving in the post-pandemic economy and playing an even bigger role in job creation than before. Since 2019, they’ve generated over 70% of net new jobs, with entrepreneurship surging—averaging 430,000 new business applications per month in 2024, a 50% increase from 2019. Business optimism is on the rise as inflation concerns ease, and more small business owners expect revenue growth in the coming year. Importantly, entrepreneurship is becoming more diverse, with record numbers of women and minority business owners entering the space.

However, challenges remain, particularly in securing credit, as lending conditions remain tight. Despite these hurdles, the data suggests that now is an especially good time to start and grow a small business in the U.S., with strong policy support and a resilient economic outlook.

Supporting Small Businesses Still Recovering After Helene

As news outlets focus on the tragic fires in Southern California, showcasing the heartbreaking destruction of residential and commercial properties, it’s crucial to remember that tragedy also struck Western North Carolina and Eastern Tennessee this fall. Businesses, homes, and critical infrastructure like roads, water, and electricity were lost.

While one disaster is not “worse” than the other, it’s important to recognize that the devastation felt by residents and small business owners in these areas endures long after the headlines fade.

If you’re based in or know others in Western North Carolina or Eastern Tennessee, here’s a list of resources that may provide help to those affected.

For those outside the area who want to lend a hand, consider “shopping local” to support small businesses recovering from this disaster. Your purchases can make a significant difference in helping these communities rebuild.

Entrepreneurship Can Be A Pathway Out of Poverty with the Right Support

In this article, Michael H. Morris, Professor in the Keough School of Global Affairs at the University of Notre Dame, highlights how entrepreneurship can help alleviate poverty by providing people with valuable skills and creating jobs, stability, and community benefits. Success for poor entrepreneurs doesn’t have to mean massive profits; even small ventures can improve lives and reduce poverty. With the right support—like training and mentorship—entrepreneurship can be a powerful tool for breaking the cycle of economic disadvantage. Check out the article to read more about Professor Morris’ thoughts.

Spreadsheet with funding resources for 2025

Each month, we send an email blast to students enrolled in the program with a list of funding opportunities and business resources. In between the monthly email blasts, we keep this spreadsheet updated daily with new opportunities that we find (the last column indicates the date when the item was added to the spreadsheet)

Here is a link to spreadheet:

https://docs.google.com/spreadsheets/d/1zU5SUCYBopz64FM4q_nqp2wvILmcdItq_PRWQRXFUB4/edit?usp=sharingMore

Three Lessons From A Successful Woman In A Male-Dominated Industry

This recent article in Entrepreneur shares one woman’s three takeaways from building businesses in male-dominated industries: the power of diverse teams to foster innovation, the importance of filling market gaps with unique solutions, and the necessity of managing growth and cash flow with discipline. Her journey highlights how resilience and strategic thinking can drive success, even in the toughest markets. Check out the article to read more!

Year-End Tax Planning Considerations for Business Owners

This article posted in Key Health highlights 10 smart tax planning tips for business owners to tackle before the end of 2024. It suggests revisiting your business structure, retirement plans, and wealth transfer strategies to save on taxes and prepare for the future. You can take advantage of options like bonus depreciation, expensing rules, and the qualified business income deduction to lower your tax bill.

It also reminds online sellers to prepare for updated 1099-K reporting requirements and encourages compliance with the new Corporate Transparency Act to avoid penalties. Plus, there are opportunities to explore energy-related and R&D tax credits for added savings. Whether you’re planning a business transition or just looking to stay ahead of tax changes, now’s the time to consult with your tax advisor and set yourself up for a strong start in 2025.

Evaluating LLC Services for Small Businesses

This article from CNBC reviews five top LLC formation services, highlighting their features and suitability for different business needs. Their review found:

– FileNow: Best for fast processing, offers 24-hour service and a free registered agent for a year.

-LegalZoom: Ideal for access to attorneys, provides extensive legal support and additional features like contract reviews and compliance guidance.

-ZenBusiness: Great for those needing a website, offering LLC formation and website-building tools.

-Northwest Registered Agent: Recommended for registered agent services with added privacy protections.

-Bizee: Best basic package, offering free registered agent service for a year and lifetime compliance alerts.

Check out the article for links to those sites and to read more details about thier findings.