Election 2024: What a Second Trump Presidency Would Mean for Small Businesses

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Former
President
Donald
Trump
has
been
scarce
on
sharing
his
vision
for
small
businesses
during
his
2024
campaign.
In
a
recent


podcast
appearance

with
Dave
Ramsey,
he
pointed
to
letting
small
business
owners
create
jobs
by
“letting
them
do
what
they
have
to
do,
but
we
still
have
to
give
them
a
playing
field,”
and
then
quickly
pivoted
to
discussing
China
and
his
emphasis
on
trade
tariffs. 

Despite
scant
details,
more
small
business
owners
feel
that
a
second
Trump
presidency
would
net
them
a
better
outcome.
In
the
CNBC
SurveyMonkey
Small
Business
Confidence


Index
Q3
2024,
half
of
small
business
owners
think
Donald
Trump
will
have
a
positive
impact
on
their
business,
compared
with
only
32%
for
his
opponent. 

Here’s
what
you
need
to
know
about
how
a
Donald
Trump

2024
presidency

could
affect
your
small
business. 

Rolling
Back
Existing
Policies 

The
Biden
administration
has
been
hammered
with
lawsuits
from
business
groups
claiming
government
overreach
into
the
private
sector.
From


reclassifying
independent
contractors

to


banning
noncompete
clauses,
there
has
been
a
slew
of
government
intervention
in
the
private
sector.

 

What
this
means
for
SMBs:
A
Trump
administration
will
mean
a
suspension
or
reversal
of
many
of
the
Biden
administration’s
labor
regulations.
This
could
benefit
industries
that
rely
on
contract
workers
like
those
in
private
events,
warehousing,
and
transportation.
Additionally,
businesses
that
use
noncompete
agreements
like
creative
designs,
portfolio
managers,
and
those
with
exclusive
client
relationships
would
be
able
to
retain
their
exclusive
relationships
if
and
when
employees
leave. 

No
Taxes
on
Tips,
Overtime 

Trump
was
the
first

US
presidential
candidate

in
this
race
to
propose
the
idea
of
no
taxes
on
tips.
Harris
followed
closely
behind,
adopting
one
of
the
few
common
policy
goals
between
the
two
candidates. 

Pundits
have
dubbed
this
as
a
way
for
both
candidates
to
appeal
to
those
in
the
service
sector,
particularly
in
Nevada,
a
swing
state.
This
potential
policy
has
drawn
mixed
reactions
across
the
board,
especially
for
restaurant
operators. 

A
recent


Eater
article

highlights
one
of
many
potential
issues
that
could
come
from
this
policy:
“This
plan
will
create
resentment
between
the
front
and
back
of
the
house
in
my
workplace,”
says
Ned
Baldwin,
owner
of
Houseman
in
Hudson
Square.
“In
this
plan,
cooks
will
pay
taxes
on
their
income
but
the
servers,
largely,
will
not.
The
plan
seems
arbitrary
and
unfair
to
the
restaurant.”
Additionally,
Trump
has
touted
potentially
ending
taxes
on
overtime
wages.
This
imbalance
could
possibly
force
operators
to
pay
non-tipped
employees
even
more. 

What
this
means
for
SMBs:
For
business
operators
with
workers
who
earn
tips,
this
could
bring
a
significant
dynamic
change
inside
your
business.
For
businesses
with
hourly
workers,
this
could
potentially
raise
employee
costs
across
all
sectors
as
more
hourly
workers
push
for
overtime
wages. 

Bring
Manufacturing
Back
To
The
U.S. 

One
of
former
President
Trump’s
largest
election
stances
has
been
to
put
pressure
against
companies
outsourcing
labor
and
goods
away
from
the
U.S.
He
wants
to
reverse
that
trend,
and
disincentivize
imported
goods
with
significant
tariffs
through
a
“manufacturing
renaissance.” 

At
a
recent
rally,
he
said
he
envisions
“a
mass
exodus
of
manufacturing
from
China
to
Pennsylvania,
from
Korea
to
North
Carolina,
from
Germany
to
right
here
in
Georgia.” 

What
this
means
for
SMBs:
If
your
small


business
is
in
the
manufacturing

or
labor
sector,
this
could
be
a
significant
benefit
to
your
operations.
However,
if
you
import
goods
that
would
be
subject
to
this
significant
tariff,
it
would
be
a
substantial
increase
in
costs. 

Trump
Restricting
Credit
10%  

Consumers
are
reaching
record
levels
of
credit
card
debt,
and
interest
payments
have
soared
into
the


hundreds
of
billions.
And
as
the
Federal
Reserve
has
hiked
interest
rates,
rates
on
credit
cards
have
risen
in
tandem. 

In
response,


former
President
Trump
proposed
capping
credit
card

issuers
to
charging
10%
APR
on
their
products.
This
is
a
long
fall
from
the
current
average
APR
of


21.76%,
according
to
the
Federal
Reserve
Bank
of
St.
Louis. 

What
this
means
for
SMBs:
If
this
were
to
make
it
through
Congress
and
pass
(which
experts
highly
doubt),
this
could
cause


access
to
credit
to
dry
up.
This
means
that
business
credit
cards
for
small
business
owners
could
become
more
difficult
to
be
approved
for,
and
consumers
may
not
be
able
to
get
credit
as
easily
for
their
own
purchases. 

Some
of
the
former
President’s
ideas
could
have
a
significant
impact
on
your
business
operations
if
he
is
elected

president
in
2024.
You
can
read
more
about
his
various
proposals


here. 

We’re
here
to
give
you
the
facts
of
the

US
presidential
candidates

and
their
respective
small
business
policies
to
make
the
best
voting
decision
for
you
and
your
business.