Everyone pays attention any time political change unfolds, but no one pays more attention than small business owners. A political change can alter the way a small business operates and grows. Both local and national laws can vastly impact what businesses can and can’t do from a financial and legal perspective. If you’re planning on starting a small business, such as a structural engineering company, knowing what’s in store over the next four years or so is critical to get started on the right track.
Economics
Since the dominant political party in the United States will shift in January, structural engineering businesses have to study up on trends. Tax rates will likely change and vary from business to business. It could mean your business and your customers have more money to spend or it could mean the exact opposite. If economic policies change to the point where consumers have less money to spend, it could trickle down to small businesses since banks will be less likely to offer the loans they need.
Labor Laws
Structural engineers look at labor laws closely, especially if they want to start their own business or currently have one. Anything from taxes, terms of employment, insurance or minimum wage could be affected by political change. Changes in labor laws affect small businesses more than larger ones since any sort of cost increase cuts into the profitability of the company. Small businesses have to adjust accordingly to stay ahead and be able to turn a profit.
Assistance for Small Businesses
While there are many negative aspects to political change for small businesses, there are also some positives. A structural engineering business, along with any other small business, has access to insured loans, tax breaks, grant funds and even some advisory services. Many of these services are offered free of charge or at a low cost. Any political change will have an impact on the amount of these types of services offered, whether it be an increase or decrease.
Political changes will affect any company, large or small. However, small businesses tend to feel the impact more since they usually have less capital. For more information on how political changes could affect you from a structural engineering business perspective, contact us.