FACT: Productive, innovative, competitive economies require smart and simple regulations to prosper.
Federal regulation is estimated to cost the American economy as much as $1.9 trillion per year in direct costs, lost productivity, and higher prices. For every one law Congress passes, the federal government issues 16 new regulations.
the complexity of the federal regulatory system creates disproportional cost burdens on small businesses:
- 99.7%: Percent of U.S. companies that are SMBs
- $11,700: Average yearly regulatory cost per employee for SMBs
- $40B: The regulatory costs of federal economically significant rules to SMBs per year
In the past 22 years, federal agencies have published more than 88,000 final rules, of which 15,458 have been identified by federal agencies as having a negative impact on small businesses.
The costs to smaller businesses with 50 employees or fewer are nearly 20% higher than the average for all firms.
Increases in per capita regulatory expenditures are directly correlated with decreases in the number of small firms that employ between one and four persons.
Percentage Increase, 2000-2016
The system must be fixed
Americans respect our system of checks and balances as outlined in our constitution, and we deserve a regulatory system that does, too. Without that system, rules are unfair, impractical, costly to businesses of all sizes, and they fail to protect everyone’s rights. We must listen to America’s small businesses.
In short, the federal regulatory process must be reformed to ensure that agencies implement the will of Congress and that the courts uphold the constitutional principle of separation of powers, so our country can get back to work without the undue, unchecked burden of overregulation.
What can we do about it?
Join Small Business Nation today and join the fight to change how major rules are created in this country. Small Business Nation is a project of the U.S. Chamber of Commerce, founded specifically to help startups and small businesses succeed. We're dedicated to ensuring that regulations don’t impose an unnecessary burden on business owners or stifle economic growth and job creation. Our nationally recognized team of lobbyists and policy experts will fight for your interests every day on Capitol Hill, in the courts, before the White House, and in federal regulatory agencies.
Your contribution is an investment in:
Accountability. Federal agencies need to show that the costliest rules are truly needed and are written to use the least costly option available to achieve their objective.
Transparency. Agencies must be open about why and how they make key decisions to regulate, and avoid making those decisions in secret under pressure from special interest groups, entirely outside of the normal rulemaking process.
Participation. Agencies should be required to inform the public of pending regulatory decisions on high-impact rules early in the process, share their data and economic models, and allow those who will be affected adequate time for public input.
Members also receive:
- Access to SBN toolkits, webinars, and our resource library
- Subscription to our weekly email newsletter, The Startup Rundown
- Discounts with FedEx shipping
- Discounts on leading Chamber publications and events
- Access to U.S. Chamber of Commerce web sticker and window decal
We have strength in numbers. Every single dollar makes a difference.
Membership is just $250 per year.
Or you can call toll free 800-638-6582
Contributions to the U.S. Chamber are not tax deductible as a charitable contribution. For 2018, 25% of contributions relate to lobbying and are not tax deductible as a business expense; 75% may be deductible as a business expense. The U.S. Chamber does not solicit or accept funds earmarked for political purposes.