Healthcare reform and healthy company formation

As Americans weigh the effects the recently passed healthcare reform will have on their medical fees, many in the business world are trying to discern the legislation’s broader economic implications.

The Business & Media Institute reports that Mad Money host Jim Cramer said that the healthcare bill might present uncertainty to entrepreneurs. Cramer believes that paying for the reform will take money away from small business funds that could be used to start a corporation. He also thinks it might lead to higher taxes that will make higher barrier for climbing stock prices and potentially scare off investors.

On the other hand, the Council of Economic Advisors believes the healthcare new system will reduce the cost of providing healthcare for workers, making it easier for small businesses to make new hires and offer medical coverage.

The council also suggests that the reform will bring certain tax incentives for small businesses that might spur entrepreneurial activity and lead to increased business incorporation.

While the consequences of the bill and small business costs are unclear, some things are clear about business incorporation. For one, the practice offers tax credits to company owners that can help alleviate any tax burdens that might come from the new legislation. Moreover, business formation is needed for a healthy economy – healthcare aside.ADNFCR-3052-ID-19703871-ADNFCR

Melissa Clark
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Melissa Clark

Head of Content & Customer Marketing at Incfile
Melissa sets the vision for Incfile's content marketing and customer relationship management. Melissa has more than 10 years experience in various marketing roles, and a passion for supporting small businesses as they incorporate and grow. She loves sharing information that will help business owners maximize their LLCs, Corporations and Nonprofits. In her spare time, Melissa is an active member of The Junior League and enjoys running half marathons.
Melissa Clark
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