President Joe Biden’s administration has seen a surge in small business applications since he took office, with over 17 million new applications filed in the United States. This has been hailed as a “historic small business boom” by U.S. Small Business Administration head Isabel Casillas Guzman. The federal government reported that the average monthly new business applications have been at 440,000 during the first three years of the Biden administration.
In an effort to support minority-owned businesses, Vice President Kamala Harris announced that the administration aims to increase federal contracts for these businesses by 50%. This was made during an event in North Carolina focused on the growth of small businesses. The administration has also highlighted record job creation and efforts to combat inflation.
Recent data from the Bureau of Labor Statistics revealed that U.S. producer prices have increased by their biggest year-over-year amount since April of last year, indicating a consistent trend of rising new business applications. In fact, there was a record-breaking 5 1/2 million applications in the last year alone, bringing the total under the current administration to 16 million.
Census Bureau data shows that the number of Black-owned businesses increased by approximately 13% between 2017 and 2020, with their revenues jumping by 43% during the same period. The administration’s focus on supporting small businesses and increasing opportunities for minority-owned businesses has been a key priority since President Biden took office.
The rise in small business applications can be attributed to various factors such as low-interest rates and government stimulus programs aimed at helping entrepreneurs start or grow their businesses during the pandemic.
Despite this success, challenges remain for small business owners such as supply chain disruptions and labor shortages caused by COVID-19’s impact on global trade and workforce availability.
Overall, President Biden’s administration is committed to continuing its efforts to support small businesses and promote economic growth across all sectors of society.
