Velazquez Offers Bill to Aid Small Firms in Exporting
House Small Business Committee Ranking Member Nydia Velazquez (D-N.Y.) recently introduced legislation aimed at facilitating the participation of small firms in international trade. The measure, Enhancing Exports through Entrepreneurship Act of 2012 (H.R. 3976) creates new opportunities for entrepreneurs looking to market their products abroad.
Many small businesses interested in exporting find it difficult to take the first steps—hurdles such as shipping expenses, market research and compliance costs often dissuade small companies from competing globally. H.R. 3976 assists companies with overcoming these hurdles by offering resources to start selling and marking their products internationally.
The measure offers tax credits to offset the costs of exporting to foreign countries. Specifically, under the bill, small businesses can qualify for tax credits worth up to 25 percent of such expenditures. It also provides new financing options through the Export-Import Bank and the Overseas Private Investment Corporation by expanding and building on their investment and lending to smaller firms.
In addition to assistance with revenue and capital needs, small businesses also would benefit from technical assistance provisions in the bill which would make export-related information available through local resource centers: Women’s Business Centers, SCORE Chapters and Veteran Business Outreach Centers.