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Janel Knight Trulear
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(617) 875-6581

The State of Small Business: Washington-Created Uncertainty is Squeezing Main Street

Statement by Small Business for America’s Future Co-Chair Shaundell Newsome, Founder of Sumnu Marketing in Las Vegas, on President Trump’s 2026 State of the Union Address

Washington D.C., Feb. 24, 2026 – “Tonight, the president stood before the joint session of Congress at the Capitol and painted a picture of a thriving economy. But for the 30 million small businesses that employ nearly half of America’s workforce, that picture doesn’t match what’s actually happening on Main Street. Small businesses are caught in a double squeeze, with costs rising on one side and customers spending less on the other. That’s not just an economic reality. It’s the result of poor policy choices made in Washington.

“The state of small business right now is one of deep concern. Seventy-four percent of small business owners recently reported that they are worried about surviving the year. No amount of stock market gains changes that for the small businesses powering our local communities. The numbers tell the story: the economy grew at just 1.4% at the end of 2025, the country added only 181,000 jobs over the entire year, the slowest pace since 2010, and the unemployment rate sits at 4.3%, up from 4% a year ago.

“Small businesses have survived recessions and a pandemic. We don’t need pep talks or stock market cheerleading. We need Washington to stop creating the problems we’re forced to overcome.

“That starts with a predictable trade policy that works for Main Street. The Supreme Court just ruled that the administration’s use of emergency powers to impose tariffs was unconstitutional. That was a good start, but the damage done by a year of erratic tariffs won’t disappear overnight. Small business owners paid those illegal tariffs from their own pockets, and 80% of affected businesses viewed them as existential or major threats. So instead of searching for workarounds to reimpose those same tariffs, we need lawmakers to find a way to pay back small businesses who operate on thin margins.

“We also need a tax code that levels the playing field and supports small business success. Right now, America has a two-tier tax system where large corporations benefit from massive rate cuts and loopholes while small businesses get left behind. Last year, Congress doubled down on that system, adding $3.4 trillion to the deficit while further cementing those corporate advantages. Round-tripping, which costs an estimated $7 billion a year while small businesses pay every cent they owe, is just one example of the corporate loopholes that need closing.

“And it’s not just taxes and trade policy draining the bottom line. Small businesses are also being squeezed by inflation and surging healthcare costs. When Congress let the enhanced ACA premium tax credits expire at the end of 2025, it pushed millions of small business owners and their employees off a healthcare affordability cliff. Policymakers need to restore those credits and protect Medicaid.

“Tariffs. Taxes. Healthcare. Inflation. It all adds up to an affordability crisis on Main Street. Small businesses employ nearly half the American workforce and bring economic vitality to every community in this country. Bringing down the cost of running a small business isn’t just good for owners, it’s an investment in the entire economy. We represent owners who wake up every day committed to their communities, their employees, and this country. Main Street is ready to work with anyone serious about solving these problems. We’re not asking for special treatment. We’re asking Washington to stop standing in our way.”



To request an interview with Small Business for America’s Future Co-Chair Shaundell Newsome, contact Janel Knight Trulear at janel@emccommunications.com or 617-875-6581.

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About Small Business for America’s Future
Small Business for America’s Future is a national coalition of small business owners and leaders working to provide small businesses a voice at every level of government. We’re committed to ensuring policymakers prioritize the nation’s 30 million small businesses to create an economy that works for them, their workers and their communities. Visit www.smallbusinessforamericasfuture.org. Follow us on Twitter and Facebook. #SmallBizAF.