Huizenga Introduces Bipartisan Bill to Boost Next Generation of Small Business Entrepreneurs, Reduce Red Tape, Save Jobs
This week, Congressman Bill Huizenga (MI-02), Ranking Member of the Investor Protection, Entrepreneurship, and Capital Markets Subcommittee, introduced H.R. 935, the Small Business Mergers, Acquisitions, Sales, and Brokerage Simplification Act. This bipartisan bill helps preserve small business jobs, promote the next generation of small business ownership, and reduce costs for small businesses by simplifying the securities registration system for mergers and acquisition brokers who help transfer the ownership of small, privately held companies.
“Today’s one-size-fits-all regulatory structure treats the sale of a privately owned family business the same as if an investment bank were buying a publicly traded company. Currently, compliance costs can exceed $150,000 in the first year while adding an additional $75,000 per year after that at the federal level. These massive regulatory costs pose a serious threat to the future of family-owned businesses and the jobs they have created.
“As baby boomers continue to retire, it is estimated that $10 trillion in privately held small businesses will either be sold to the next generation of entrepreneurs or close. The pandemic has ravaged small businesses forcing a significant number of these sources of economic activity to close their doors for good. Now more than ever, the federal government must embrace a pro-active approach to support small business entrepreneurship. By implementing this West Michigan inspired solution, we can work in a bipartisan manner to reduce regulatory costs, save jobs, and support the next generation of small business entrepreneurship.”