Contacting Government
• Small-business owners are considerably more likely to see the demanding or negative face of government than the collaborative or positive side, even when owners initiate contact.
• Fifteen (15) percent of small-business owners initiated contact with government “many times” over the last three years to learn about or clarify government requirements or obligations. Thirty-eight (38) percent reported no contacts for that purpose. Of those who made any contact to inquire about a government requirement or obligation, two-thirds were primarily interested in licenses or permits.
• Over the last three years, 1 percent extensively explored possible public assistance for their business. Another 18 percent made at least one inquiry about financial, management or other small business support programs. Eighty (80) percent made none.
• Five (5) percent of small employers indicated that they had received financial assistance in the form of a loan, loan guarantee, grant, bond, etc., from government during the last three years. That amounts to about 100,000 per year. Three (3) percent obtained publicly subsidized consulting, advisory or management help over the same period.
• Twenty-one (21) percent won one or more government contracts in the last three years. A non-mutually exclusive 15 percent won a contract to support a government contractor (effectively becoming a sub-contractor). Among those doing any business with government, the average proportion of government sales is 18 percent of total sales. Most (64%) now selling to government would like to increase their government sales.
• Seventy-two (72) percent made no direct or indirect sales to government in the last three years. Eighty-four (84) percent of that number does not intend to compete for a government contract in the next three years. The primary reason these owners have no plans to compete is that they believe the goods and services they produce are not purchased by government.
• Seventy-eight (78) percent have not attempted in the last three years to find information government produces or houses that is of direct commercial value.
• Over the last three years, 10 percent of small-business owners contacted an elected public official(s) “many times” to complain about a government rule or to express a view on potential legislation or regulatory activity. Fifty-seven (57) percent did not contact any public official for these purposes over the last three years.
• Nine (9) percent of small businesses received “many” on-site visits from one or more government officials to inspect the business, check records, etc., over the last three years. Forty-four (44) percent did not receive a single visit. Those employing 20 people or more are almost twice as likely to have received at least one visit as those employing fewer than 10.
• When initiating contact with government, small-business owners are usually most likely to do so by telephone or in person regardless of the contact’s purpose. They are less likely to use mail and the Internet.
• Small employers initiate contact at all levels of government. However, more appear to focus on state government than on any other level. The fewest focus on the federal government.
