Senator Coons calls for new R&D tax credit for innovative small businesses

From Roll Call: Senator Chris Coons, a member of the Senate Budget Committee and Congressional Manufacturing Caucus, authored an op-ed that appeared in Tuesday’s edition of Roll Call on the need for an R&D tax credit for innovative start-up businesses.

Over the past three decades, the research and development tax credit has helped tens of thousands of successful American companies create jobs by incentivizing investment in innovation. There is little doubt that it has strengthened our economy and deserves to be made permanent. But with America’s global manufacturing competitiveness at stake, it’s time Congress shows the same type of support for entrepreneurs and young companies.

Small and startup businesses are driving our nation’s economic recovery and creating jobs by taking risks to turn their ideas into marketable products. Over the past few decades, firms that were younger than five years old were responsible for the overwhelming majority of new jobs in this country.

There are plenty of federal programs designed to help traditional small businesses — retail stores, service providers, restaurants and others — grow from employing one person to employing 10 people, but how do we help the “gazelle” companies reach their potential and grow from employing five people to employing 50? Or 500? Or 5,000?

For these innovators to grow and create jobs, we have to support them in their critical early stages.

Click here to read the op-ed in Roll Call.

Click her to learn more about Chris’ work to support job creation.