Today, U.S. Representative Stephen Fincher (R-Frog Jump) and House Majority Leader Eric Cantor (R-VA) released the following statements highlighting the broad coalitions, including small and large businesses, startups, and entrepreneurs, supporting the Jumpstart Our Business Startups (JOBS) Act. The JOBS Act has received support from the U.S. Chamber of Commerce, American Bankers Association, Financial Services Forum, the Small Business and Entrepreneurship Council and the Independent Community Bankers of America. In addition, the Biotechnology Industry Organization, Burroughs & Chapin Company, CONNECT, Gate Technologies, Mesirow Financial, NASDAQ OMX, National Taxpayers Union, National Venture Capital Association, NYSE Euronext, OTC Markets Group, SIFMA, Silicon Valley Bank, TechAmerica, TechNet, and SecondMarket have offered support for provisions within the JOBS Act.
Fincher said, "The JOBS Act is an effort to help small businesses across the nation get access to the capital they need to expand their operations and create new jobs. The heartbeat of America is in the heartland of America, not here in Washington. On average, 92% of a company's job growth occurs after an IPO. It is imperative we reduce regulations to help these small companies create private jobs for Americans. The best thing our government can do to get our economy moving again is to create an environment in which the private sector is once again the leader of new ideas and start-up companies have the chance to grow and succeed. I am pleased to see broad support from so many coalitions."
Leader Cantor said, "We need to make sure that America remains a country of opportunity, growth and success, where small businessmen and women have the opportunity to succeed. The JOBS Act, sponsored by Representative Fincher, makes it easier for these entrepreneurs and small business owners to get off the ground, grow, and create jobs. I am proud these common sense proposals to restore our free market economy have the support of President Obama and from business leaders and entrepreneurs. I am hopeful that we can work together to send this to the President's desk. Our goal must be to spur economic growth and job creation."
The JOBS Act is a legislative package that will jumpstart the economy and restore opportunities for America's real job creators: small businesses, startups, and entrepreneurs. The base bill of this package is Fincher's H.R. 3606, the Reopening American Capital Markets to Emerging Growth Companies Act, which reduces the costs of going public by phasing in certain regulations over a five-year period, or until the company reaches $1 billion in revenue. This allows companies to go public sooner and access much needed capital, resulting in more job creation within the company.