Detroit City Wire

Today, Administrator Isabel Casillas Guzman of the U.S. Small Business Administration (SBA) and Federal Trade Commission (FTC) Chair Lina Khan discussed efforts to help small businesses compete with larger enterprises. The conversation highlighted ongoing collaboration between the SBA and FTC under the Biden-Harris Administration.

“Under the Biden-Harris Administration, the SBA, the FTC, and other federal agencies have worked to ensure equitable market opportunity, and discussions like today’s are a crucial part of our continued work together to prioritize competition and a level playing field for our small businesses,” said Administrator Guzman. “Equipping entrepreneurs with knowledge, networks, and resources to navigate federal agencies and regulation strengthens them so they can compete successfully in the marketplace.”

“A key part of the FTC’s work is making sure our markets are open, fair, and competitive so that small businesses and entrepreneurs have a fair shot,” said Chairwoman Khan. “The ability to start and run your own business is a core part of our American economic freedoms, and the FTC is going to keep using all of our tools to make sure small businesses and entrepreneurs can compete.”

During their discussion, Guzman emphasized SBA's initiatives in government contracting and lending aimed at boosting competition. Notably, 28.4% of all contracting dollars were awarded to small businesses in Fiscal Year 2023. Simplifications in loan programs have also resulted in a doubling of small-dollar loans under the agency’s 7(a) loan program.

The FTC's role includes enforcing antitrust laws critical for maintaining fair competition. Recently, it finalized a rule banning noncompete clauses which could lead to 8,500 new business startups annually if implemented.

This discussion occurred during the 2024 annual meeting of SBA’s Regional Regulatory Fairness Boards comprising 32 volunteer small business owners from across SBA’s 10 Regions. These board members provide advice on federal regulatory concerns affecting small businesses.

“The SBA and other federal agencies benefitted greatly from the advice and experience of each of the 32 Regulatory Fairness Board members who attended the 2024 Annual Board Meeting. As small business owners themselves, Board members made invaluable recommendations drawn from their diverse local communities and industry networks on how to help level the playing field between small and larger businesses,” said National Ombudsman Michele Schimpp.

Board Members also reviewed their engagements with over 4,000 participants nationwide discussing regulatory impacts on small businesses. Plans were made to enhance efforts by promoting regulatory compliance and ensuring fair treatment for these enterprises.