The USA is a state built on the principles of free enterprise, which undoubtedly moves and develops the country. Therefore, government business support programs in the United States are very diverse. The United States, both at the level of the Federal Government and at the level of the Government of individual states, actively supports entrepreneurs in programs:
- concessional financing, subsidizing and crediting;
- the provision of various infrastructures for the promotion and development of products and services;
- reducing the tax base for the purchase of equipment, real estate, land.
In the USA, there is a state organization that unites entrepreneurs in various fields. There are certain benefits in the import-export area.
Support programs for small and medium-sized businesses can be of a general direction and targeted. Target programs are constantly changing. They depend on a specific sector, which at the moment, according to the Government, requires support. The Federal Government has its own opinion on this, and the state Governments have their own.
For example, a state on the west coast of the United States may consider that an information technology industry requires support. While the state in the central part of America believes that support is needed to increase the number of pigs or bulls. The Federal Government, in turn, has its own views on this and is also based on some of its own data and development strategies of the country. Recent hot topics that have been actively supported by the US Government:
- alternative energy sources;
- transportation rehabilitation of drug addicts;
- alternative modes of transport.
The official website of the Federal government (SBA) provides up-to-date information on the support of the US government for small businesses. Each state has its own department with similar functions, for example, the state of New York or SBA loans Ohio.
In addition, it is possible for private companies to receive certain grants from the state in various fields. The process of applying for a grant, for the most part, is quite simple and straightforward, and it can be done without the help of third-party specialists. Grants are mainly provided by the Federal Government. It is best to get information about grants on official government websites such as Grants.gov and USA.gov.
How to get a SBA loan Ohio for a start-up business?
In the USA, it is quite easy to get a SBA loan Ohio for a start-up business if its owner has a good credit history. To do this, there are certain types of loans that are carried out through financial organizations, which are a little easier to get, since they are in some way guaranteed by the Government, and financial organizations themselves are much more willing to issue loans on favorable terms. There is such a structure as SBA (Small Business Administration) – an agency under the Government that deals with:
- support of small and medium-sized businesses at the level of events, networking, infrastructure;
- the execution of agreements with financial organizations on the provision of various financial conditions.
Favorable terms are discussed between the financial institution and the SBA. The Government’s guarantee in this case means that if a financial institution issues a loan to a certain young company, which does not repay this loan in the future, then the Government guarantees payment on the loan to this financial institution.
Below there are the 3 largest US banks describing their tight integration with the SBA: Bank of America, Chase, CITI.
Government business support programs in the USA: for foreigners
If the business is owned by people permanently residing in the United States (even if they are not US citizens), then all small and medium-sized business support programs apply to these companies. Moreover, there are special areas of support for businesses whose employees are immigrants. In addition, there are special incentive programs for hiring employees and diversifying the staff. That is, if a company hires a mixed staff, including representatives of different races and peoples, then it is quite possible to get encouragement for this:
- both in the form of tax deductions;
- in the form of financial support from the Government.
Companies that are established and managed by foreigners permanently residing in the United States are conditionally entities for assistance from the state.
The state will certainly be less interested in providing business support if the company is owned by foreigners who:
- do not have any connection to the United States;
- do not have a residence permit and documents for residence in the United States;
- also do not plan to receive the above documents.
In the USA, there is also a relatively simple procedure for participation in obtaining tenders for state contracts. There are two centralized resources:
- Federal Government website for civil contracts;
- website for defense contracts.
Of course, it will be much more difficult for a company owned by foreigners or non-citizens of the United States to participate in obtaining state contracts in the defense sector. Although this is also possible. As for participation in tenders for obtaining civil state contracts, there is a fairly simple procedure.