WASHINGTON, D.C. – U.S. Senator Jerry Moran (R-Kan.) led five of his Senate colleagues Friday in reintroducing Startup Act in the 114th Congress – the bipartisan jobs plan aimed at jumpstarting the economy through the creation and growth of new businesses. Startup Act – based on research and analysis by the Ewing Marion Kauffman Foundation out of Kansas City – modifies the tax code to encourage investment in new businesses, accelerates the commercialization of university research that can lead to new ventures, and seeks to improve the regulatory process. Research shows that for close to three decades, companies less than five years old have created almost all net new jobs in America – averaging about three million jobs each year.
“Startup Act is about creating jobs for Americans through the creation and growth of new businesses,” Sen. Moran said. “Entrepreneurs and the businesses they create are responsible for almost every net new job in America, but under our country’s current policies, new business formation and the rate of entrepreneurship among young people have reached historic lows. We must reverse these trends. Startup Act would reduce barriers to growth, encourage investment in new businesses, stem government overregulation, and accelerate the commercialization of university research that can lead to new ventures. Startup Act would also help make certain America remains the land of opportunity for innovators and entrepreneurs from around the globe. Under new leadership in the 114th Congress, I am hopeful Startup Act will no longer denied a vote.”
Startup Act also creates both Entrepreneur and STEM Visas for highly-educated foreign-born entrepreneurs who are in the United States legally so they can stay here and their talent and new ideas can fuel economic growth and create American jobs. Foreign-born entrepreneurs have a long history of creating businesses in America. Of the current Fortune 500 companies – including Apple, Google and eBay – more than 40 percent were founded by a first- or second-generation American. These American companies employ more than 10 million people. Both American and foreign-born entrepreneurs are needed to jumpstart the economy through the creation and growth of new businesses.
“In order for America to maintain its position as the most innovative and entrepreneurial nation, we must win the global battle for talent, increase access to capital for startups, and create pathways for fledgling startups to become iconic American businesses,” said Steve Case, Revolution LLC CEO and former member of the President’s Council on Jobs and Competitiveness. “The Startup Act encourages that by creating a visa for promising immigrant entrepreneurs and reforming the tax code to incentivize investments in startups and R&D.
The provisions in Startup Act have been endorsed by CEA, CTIA, Engine Advocacy, Computer and Communications Industry Association, the Greater Kansas City Chamber of Commerce, The Technology Council of Greater Kansas City, ITI and Information Technology Industry Council. Additionally, Startup Act is also supported by Technology Councils of North America (TECNA) and more than 25 regional technology groups.