Small Business Organizations Urge Congress to Prevent Shutdown

Dear Speaker McCarthy, Leader Jeffries, Majority Leader Schumer and Leader McConnell,

We write to you on behalf of the undersigned organizations, which represent millions of
businesses, to express our deep concerns regarding ongoing negotiations to fund the federal
government beyond the end of the 2023 fiscal year.

We collectively represent millions of small business owners and entrepreneurs who stand to
suffer severe consequences to their livelihoods in the event of a government shutdown. We urge
Congress to take swift action to reach a bipartisan solution to fund the government and avoid a
shutdown that would cause unnecessary harm to small businesses that continue to grapple with
rising costs and a challenging post pandemic economy.

Aside from the broader economic ramifications, the effects of a government shutdown would be
felt by small businesses immediately; whether they are engaged in government contracts, receive
federal loans or assistance, or if they rely on federal data for day to day activities. The 2018
government shutdown delayed over $2 billion in federal loans to small businesses as the Small
Business Administration was unable to make new loans. Delays such as these disrupt not only
the day to day operations of small businesses, but they put budgets in limbo, resulting in business
owners putting off necessary purchases or hiring additional staff. The impacts of government
shutdowns are especially damaging for small businesses because they don’t have the same
resources as large companies to absorb even short term losses. Most small businesses operate on
tight, carefully planned budgets and even minor disruptions can threaten stability.

In addition to the pain that government shutdowns inflict, bad faith, partisan negotiations to
resolve the budget also harm businesses. Unresolved budgets make it difficult for small business
owners to prepare and plan ahead, and to collaborate with the federal government. It also places
immense pressure on businesses who need to apply for federal relief, certifications, licenses, and
any other service that requires the assistance of the federal government. For several years,
Congress has relied on Continuing Resolutions (CR) as a quick fix to fund the government when
a budget can’t be agreed upon. While this strategy can work for temporary relief, it cannot be a
long term solution.

With that being said, we strongly urge Congress to work expeditiously to reach a bipartisan
solution to both fund the government and avoid a shutdown. We also encourage Congressional
leadership to work with Appropriators to pass all Appropriations 12 bills and stop the practice
using CRs for a long term funding strategy.

We thank you in advance for your consideration and continued support of America’s small
businesses.

Sincerely,

Angela Dingle
Acting President and Chief Executive Officer
Women Impacting Public Policy (WIPP)

Keith Hall
President & Chief Executive Officer
National Association For The Self Employed (NASE)

Chiling Tong
President & Chief Executive Officer
National Asian/Pacific Islander American Chamber of Commerce and Entrepreneurship
(National ACE)

Dr. Janis Shinkawa Chair-Elect
National Association of Women Business Owners (NAWBO)