Opinion: I’m Counting on Senator Cruz to Fight for Texas Small Businesses

During every election, we get the chance to carefully consider how candidates will represent us and affect our lives if they are elected. As a small business owner, I always think about how candidates will promote policies or oppose unneeded regulations that will impact my local economy and my ability to grow my business. The United States Senate campaign in Texas is especially interesting because, if Republicans take control of the U.S. Senate, Senator Ted Cruz will be in line to lead the powerful Committee on Commerce, Science, and Transportation. Already a supporter of Texas’ businesses, Senator Cruz has the chance to make an even bigger difference for small businesses in that role as chair.

Small businesses are crucial and power both the U.S. and Texas economies The Lone Star State has 3.2 million small businesses, and over 70% of them use online marketplaces to sell products to customers. Small businesses like mine that use online marketplaces are an increasingly important force in the American economy. According to Forbes, experts forecast that over 20% of retail purchases will be online in 2024, accounting for $6.4 trillion globally. This is partially because of how easy it is to set up an online business, given that marketplaces have pre-existing infrastructure and logistical tools that allow sellers to set up shop and get to work.

According to the Department of Commerce’s Census Bureau, total e-commerce sales for the first quarter of 2024 were estimated at $289.2 billion. Here in Texas, after a devastating pandemic that closed over 700,000 small businesses in the U.S., our economy is still reeling from sky-high inflation. Like many others, my business is still recovering from years of severe financial strain. From proposed increased taxes and energy costs to small employer mandates and labor regulations, our economy is a mess by any measure. Everything costs more for me to provide services to my customers. The one place where I’ve been able to cut costs is through my partnership with online marketplaces. The last thing small businesses need is more red tape and bureaucracy to make running a business even more difficult.

The Senate Committee on Commerce, Science, and Transportation has the power to take steps to set things right for hard-working business owners. I am counting on my representatives in Washington to fight for our economy, especially the ability of small businesses to leverage online marketplaces to find success.

On that committee, legislation will surely come across Senator Cruz’s desk that can make or break my and other business owners’ ability to maintain or grow our businesses. For example, my business’ most pressing concern is finding workers who share our values, especially after the COVID-19 pandemic. Workforce development, coupled with pro-business employment regulation, is crucial to economic growth. 

Government overreach resulting in excess red tape is a continual threat for businesses like mine. The COOL Online Act specifically targets sellers using online marketplaces and would force those sellers to apply additional labels on their products’ packaging explaining where each component of every product they sell comes from. This is in addition to pre-existing country-of-origin labeling regulations and adds another layer of useless red tape for sellers to work through, potentially leading to higher costs for consumers.

Congress is also considering changes to the de minimis standard which would change how products are imported into the country. Many small businesses rely on materials from other countries and the increased cost of importing these materials by changing de minimis could be devastating. Sellers will be forced to pass along those increased costs to their customers, further exacerbating the pains of inflation.

As a principled, pro-business conservative, Senator Cruz must continue to support entrepreneurs and their employees. I hope that as he meets with small business owners on the campaign trail, he will ask them how to best support Texas businesses and take those real-world insights back to his work in the Senate – especially as he may become Chairman next Congress. Texas small businesses and their millions of employees are relying on him.

About the Author

Greg Brown is President of W.W. Cannon LLC, a Dallas-based small business founded in 1938 that has distinguished itself as a leader and innovator in the material handling and storage equipment industry, offering best-practice solutions with quality products and expert procurement, design, integration and installation services.