Most of the United States is enjoying a robust economic recovery, with job growth and productivity increases spurring record gains in economic activity. The Washington economy, while showing signs of improvement, continues to stagnate, suffering from restrictive policies adopted by local, state and federal government that create unnecessary barriers to business success. Recent statewide debate has focused on ways to attract and keep large businesses like Boeing and Microsoft.

The health of large businesses is vital to economic recovery, but small businesses are also a catalyst for job growth and revitalization. The state’s small enterprises provide over 55 percent of private sector jobs, make up more than 95 percent of all businesses and are a vital part of the state’s growing knowledge-based economy. It is in the best interest of state leaders to create a business climate that encourages the growth of small business and reduces barriers to their success.

To help improve prospects for small business, Washington Policy Center (WPC) launched the Small Business Project in fall 2001. In the first phase of the Project, WPC held fourteen small business roundtables in every region of the state. We also formed an important partnership with more than sixty statewide and local business organizations. The result of our Phase One research is a study released in March 2002 entitled, “The Small Business Climate in Washington State,” identifying the state’s major barriers to small business success.

Read the full Policy Brief here