If You're Anti-Business, You're Anti-Small Business

There are just over 6 million businesses in America, the vast majority of which are small businesses. About half of all private sector employees in the U.S. workforce work for businesses with 500 or fewer employees.

Politicians and talking heads sometimes make it seem like American capitalism consists entirely of huge corporations. But there are only about 18,500 big businesses, with only 1,000 of those employing 10,000 employees or more. At the same time, small firms with fewer than 500 employees represent 99% of the total number of U.S. businesses.

So, when elected officials make decisions, or simply utter remarks, that are seen as "anti-business," it probably comes across to these millions of small-business owners as anti-small business. Over-regulating or disparaging business isn't good for America, because it probably causes uncertainty among small-business owners and that uncertainty just might lead them to not grow or hire.

In my view, one of the reasons our economy is stalled is that small businesses are scared. Small business is the most important part of the total capitalist ecosystem. So goes U.S. small business, so goes desperately needed job creation and America's standing in the world.

Now, small businesses are, in fact, just like big businesses and even private equities. They exist to maximize profits. This is how they get paid and how they have money to hire.

Like all other businesspeople, small-business owners aren't building strategies to hire people or create jobs. No business of any size in the world is doing that. They are building strategies to win new customers and maximize profits -- hiring and job creation follow.

According to a study of small-business owners from the University of Chicago, what many of them want is to be their own boss -- which, of course, is usually only possible if you're making healthy profits. They launch companies because they love and demand total freedom in their lives. Not so much because they are trying to become insanely rich or build something massive; small-business owners with those aspirations do exist, but they are the minority.

Something Washington should know: Small-business owners compose one of the most trusted and admired of all American institutions, second only to the military. Americans know and respect small-business owners because half of us in the corporate world work for small businesses and depend on them for our paychecks and career advancement.

Maybe we should start treating small-business owners like American heroes. They're actually highly admired patriots and the only ones that can truly jump-start the U.S. economy and job creation. The public knows this. It would be great if all of our elected officials did, too.