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Clever Ducks Supports ‘Startup 3.0’ and Maintaining Small Business Expensing

Amy KardelThis guest editorial is by Amy Kardel, chief administrator officer of Clever Ducks, an IT service firm in San Luis Obispo, CA.

At Clever Ducks, we know our customers need to invest in new technology. However, during the economic downturn over the last few years, many of our clients haven’t been able to update their technology infrastructure, because they’ve had to make hard choices in their own businesses. Technology infrastructure needs to be replaced as it ages and much of today’s equipment used by small businesses has reached its maximum life. There’s a lot of pent-up demand that hasn’t been fulfilled.

Part of the problem has been inability to raise capital. That’s why we support “Startup 3.0,” legislation that offers straightforward solutions to some of the problems facing many small start-up companies, some of which are our customers. This legislation encourages capital investment in start-ups by providing a 100 percent capital gain exclusion for certain startup investments. It also incentivizes these businesses to perform research and experimentation by allowing an R&E credit to be offset again by payroll taxes. In addition to freeing up capital for these businesses, it also removes some of the barriers that currently limit access to the most talented workforce. We believe the Startup 3.0 legislation will provide both meaningful growth and a pathway to innovation for small- to medium-sized businesses (SMBs).

We also believe it is critical that SMBs make technology-related investments to improve productivity. So, in addition to the provisions of Startup 3.0, we also support the permanent extension of Section 179 small business expensing at its current level. Unless legislation is enacted this year, the small business expensing limitation will drop from $500,000 to $25,000 beginning in 2013. This will certainly stifle investments in new equipment and technologies needed by SMBs to remain competitive.

Our ultimate goal for Clever Ducks and our customers is to continue to grow and prosper. Clever Ducks and our clients sustain thousands of high-paying jobs for our communities. Accordingly, we need to be able to access both capital and the most talented workforce. That’s why we support both Startup 3.0 and a permanent extension of the small business expensing limitation.

We are proud to support CompTIA as it continues to lead in advocating for issues important to small tech businesses.

To learn more about Capitol Hill issues affecting small businesses, visit

Tune in to during SMB week, June 17 to 21, when we’ll share real life examples of policy issues confronting SMB technology companies and what we’re doing to help them be heard on Capitol Hill. And then join us and sign up to have your voice heard!