Representatives of the Obama administration were in Little Rock on Wednesday to promote the president’s plan to help small businesses and encourage hiring.
U.S. Small Business Administration Deputy Administrator Marie C. Johns toured the offices of Arkansas Flag & Banner of Little Rock, which has received three SBA loans over the years.
The visit came a day after the Democrat-controlled U.S. Senate approved, on a 80-14 vote, the president’s plan for a 10 percent small-business tax break for companies that expand payrolls.
The measure would also extend a provision allowing small businesses to write off 100 percent of the value of new capital investments this year, up from 50 percent under current law.
Johns said the president’s plan to offer small businesses tax credits and incentives for capital investments will help the economy and encourage hiring.
"The way to get our economy moving again is by supporting small business," Johns said. "They are the job creators, and that’s why [there’s] a tax cut for small businesses who add to their payroll – give them a boost so they can continue to do more."
Arkansas Flag & Banner, owned by Kerry McCoy, received a $500,000 loan through Arkansas Capital Corp. of Little Rock in 2003. Its most recent loan was in 2011, when the flag and banner manufacturer and retailer received a $205,000 loan from Centennial Bank to help the company grow its online operation and redesign its website.
The company has 30 employees and about $3 million in annual sales.
Obama’s proposal heads next to the Republican-led House, where GOP leaders are expected to use the bill as a vehicle to force votes on extending Bush-era tax cuts to all Americans, including top earners. Obama has said he wants end the Bush-era rates on taxable household income above $250,000 or single taxpayers earning more than $200,000 a year.
(The Associated Press contributed to this report. Arkansas Business video by Trent Ogle.)
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