Celebrating the 250th anniversary of the Declaration of Independence is a reminder of how important small businesses were and still are to the U.S. You could say that small businesses made America, so let’s celebrate.
Signers of the Declaration of Independence
As it says in the Declaration of Independence: “We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness.” Of the 56 signers of the Declaration of Independence, most were self-made men—merchants, lawyers, doctors. Most could be considered small business owners.
Innovation
Today, while many innovations are created in major corporations, such as Apple, IBM, and SpaceX, small businesses continue to flourish in the innovation sphere. About 20% to 25% of patents are awarded to small businesses. I knew one inventor (he’s famous but I don’t want to disclose his name) who had a workshop in his basement, with a workbench that wrapped around 3 sides of the room. On it were a number of inventions in various stages of completion.
Taking risk
Like declaring independence, starting a business is a risk, but more and more individuals are taking this risk. The U.S. Census Bureau noted that business applications are up. Business applications are a reflection of business formations, all of which start as small businesses.
Looking back, risk was undertaken by numerous companies. Many failed, but many succeeded. Business Daily has a list of the oldest companies in the U.S. (all of which started as small businesses) with brands still around today. The list includes:
- Baker’s Chocolate from 1765, which was before the Declaration of Independence (today it’s owned by Kraft Heinz).
- Jim Beam from 1795, which is still a family-owned business.
- J.P. Morgan Chase from 1799, which was founded as the Manhattan Company by Aaron Burr in New York City to lay waterworks.
- Crane Stationery also from 1799, which is now owned by a holding company. It’s reported that Paul Revere used Crane Stationery.
- John Wiley & Sons, from 1807, is a publishing company in which the Wiley family still owns a controlling interest and is involved in operations. Wiley publishes my tax books, and I attended the 200th anniversary of the company in 2007.
Staying small
Just like every person starts out as a baby, every business starts out as a small business. But some businesses never scale up. It’s possible to remain small and still vibrant. The U.S. Chamber of Commerce has a closeup of a number of long-time small businesses.
Final thought
Let’s celebrate the 250th anniversary of the Declaration of Independence, and the role that small business owners placed in this event…and building the country.
