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Statement of the Hon. Marie Gluesenkamp Perez Rural Entrepreneurship: Examining the Challenges and State of Rural Small Businesses

Thank you, Mr. Chairman, for holding this important hearing. As a rural small business owner, the importance of supporting our rural entrepreneurs is an issue close to my heart and vital to our economic prosperity.

Too often, when we think of places with robust entrepreneurship, rural areas are left out of the discussion. Yet, small companies are the foundation of our rural economies, delivering essential services to residents, fostering job creation, and stimulating economic growth. Unfortunately, rural businesses often face disproportionate challenges when starting and scaling their operations.

In my home county, Skamania County, and many others across the country, rural businesses lack the capital that is easier to obtain major cities, the high-speed broadband connections that keep them competitive, the clean water that keeps them healthy, and the workforce to grow their enterprise.

My husband and I own one of these small businesses, an auto repair shop, and faced many of the same issues. From accessing the resources available to us to navigating a complex and opaque system, numerous obstacles undermined our ability to thrive.

The disparities in rural areas extend beyond just entrepreneurship. From access to health care to neglected infrastructure to food and banking deserts rural communities are consistently at a disadvantage.

Often, being rural literally means being far away from some essential services, which makes the small and local businesses that much more important.

If your car breaks down or your phone’s screen shatters, most people can’t go two or three hours into the city to the nearest dealership or Apple store. Instead, you have to rely on your local mechanic or electronics shop. And yet, manufacturers are trying to stop the ability of these shops to provide basic services to rural residents, which is why I came to Congress supporting right-to-repair legislation.

Despite existing resources, rural towns may lack the support to navigate complex grant programs or interact with federal agencies. And that basic infrastructure is invaluable to nurturing an entrepreneurial ecosystem that creates economic growth and resilience.

It’s our obligation here in Congress to meet the needs of our rural entrepreneurs and unleash the potential of our federal programs and investments.

And we are taking significant steps to do that: with historic funding for broadband, fiber, and water system projects under the Bipartisan Infrastructure Law, energy modernization with the Inflation Reduction Act, and shifts in focus to place-based, local strategies. Democrats are leading the way to a brighter future for rural America.

But our work is far from over. My partners on both sides of the aisle and I are working hard to make sure that the BIL and IRA are implemented effectively, and that rural areas get their fair share. I am especially proud to cosponsor the bipartisan Supporting Small Business and Career and Technical Education Act of 2023, which would empower hardworking Americans to join the trades and train them to start their own small businesses.

As we move forward with landmark investments in our communities, I remain committed to ensuring that rural America isn’t left behind.
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