Small Business Bankrolls Big Business

President Barack Obama

The White House
1600 Pennsylvania Avenue NW
Washington, DC 20500

 

Dear President Obama:

 

In your address to Congress on September 8, 2011, you said:

 

“My administration can and will take some steps to improve our competitiveness on our own.  For example, if you’re a small business owner who has a contract with the federal government, we’re going to make sure you get paid a lot faster than you do now.”

 

I just want to let you know what a good job your administration is already doing in paying small business.  I am a sole proprietor in business since 2009 working collaborating with other sole proprietors.  I began a multiyear contract in 2011 with NASA to conduct training for their managers, supervisors and influence leaders.  My first and second invoices for work done against this contract were paid in eight and ten working days, respectively, from the date I dropped the invoices in the mailbox. Those funds went directly into my account with my local bank, First Northern Bank of Dixon.  I then made payment to my colleague and subcontractor in Greeley, Colorado, whose husband has been looking for work for 19 months and to my other colleague and subcontractor in Novato, California.  These quick payments have stimulated, in their own way, three local communities.  So I want to acknowledge the great service of the NASA/Shared Services Center FMD Accounts Payable unit.

 

The real problem with contract payments to small business is with Fortune 1000 companies.  As reported in the Washington Monthly and The Colbert Report by Jeffrey Leonard, CEO of the Global Environment Fund, Corporate America has adopted a Net 60 -120 policy making it possible for it to defer payment to businesses for 60-150 days depending on the date of the invoice.  Please refer to the attached website:

http://www.washingtonmonthly.com/features/2011/1101.leonard.html#Byline.

This is during a time when big business has large cash reserves and small business and the people it supports are struggling.  Small business should not have to bankroll big business.

 

If it’s not already in your plan, please do something to get Corporate America to pay its bills on time.  Perhaps the federal government could decline to do business with businesses that don’t have a corporate policy of Net30 or better.  In my estimation, the federal government is a model in this area.  Now, more than ever, we need Corporate America to step up and do its part.

 

Thank you for considering this request and for being an example of how big business should reimburse small business.

 

Sincerely,

 

Originally signed,

 

Judith B. MacBrine, Owner

The Mirror Group

 

cc:

NASA/Goddard Space Flight Center

Representative John Boehner

Representative Nancy Pelosi

Senator Harry Reid

Senator Mitch McConnell

Representative Cory Gardner

Representative Lynn Woolsey

Representative Mike Thompson

The Colbert Report

No Labels

11 Responses to “Small Business Bankrolls Big Business”

Leave a Reply