Small-business owners support 'A plus' rating for Delaware

Chad Miller guided a couple in his store filled with toys, treats and grooming supplies to find a dog food that's high in nutrients and low in byproducts.

The owner of Pet Wants on Rehoboth Avenue had just finished up a successful Sea Witch Festival weekend and its pet parade, which brought about 100,000 people to the city.

His store opened in May, and working in Delaware is easy, he said, with its favorable business conditions, leading him to pick Rehoboth Beach over other seaside towns.

"I would say the easiness of getting your business license, getting up and running ... we really opted to basically open our store here rather than Ocean City or another coastal town because of this," he said.

"Friendly business, low taxes, they make it very easy to open up a (limited liability company), and for me it's very friendly."

Delaware recently received an "A plus" rating and has been ranked the second best state in the 2017 Small Business Friendliness Survey by Thumbtack, a web and phone application for small businesses.

For the sixth year, the company surveyed more than 13,000 small-business owners in each of the 50 states as well as 80 cities to determine how state government makes it easier to start, run and expand a small business.

“Thumbtack’s study confirms what people living and working in Delaware see every day," said Gov. John Carney in a release. “This state is a great place for entrepreneurs and small business owners to succeed. We continue to work to make Delaware an even better home for small business."

Delaware was ranked high because of the ease of starting a business, business-friendly regulations, health and safety, employment, labor and hiring regulations, tax regulations, licensing requirements, environmental rules and government websites, for which the state received "A pluses."

And Delaware business owners agree.

Miller said the resources available to businesses, such as ones found on Delaware's website, make it easy to run a business because all the information he needs is there.

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In the release, Carney said since taking office, his team has focused on making Delaware more small business-friendly by creating the Division of Small Business, Development and Tourism, which he said will increase the state's support for small businesses and entrepreneurs.

“The ranking reflects Delaware’s previous and continuing efforts to have a direct and immediate impact on small businesses through close working relationships with owners and entrepreneurs,” said Cerron Cade, director of the Division of Small Business, Development and Tourism, in a release. “This is gratifying feedback from the community, and we are looking for even more as we continue to improve our approach to economic development.”

The only state to best Delaware in the rankings was Wyoming. Fellow Delmarva states Maryland and Virginia were ranked 33rd and 13th, respectively.

But not everyone said they use the resources provided to them by the state.

Lisa Falzarano has owned and operated the Mercantile at Milton, a place where vendors can sell antiques, since it opened three years ago.

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She said it was easy to open her business in Delaware, but she doesn't have any employees because of the way her business operates as a place for people to sell goods, so she never uses what resources are offered by the state.

"I just don't look to utilize them," she said.

But she recommends people open businesses in Delaware because businesses are able to revitalize a town, similar to what Milton experienced several years ago.

One aspect of Delaware small business that allows them to open and thrive is taxes, particularly low taxes that have to be paid by businesses and tax-free shopping.

"People like tax-free shopping," said Victoria DeSilver, owner of the Avenue Apothecary and Spa in Rehoboth Beach. "So that really encourages people to come here just specifically for shopping, especially like summertime, holidays, things like that."

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It's because of these taxes that Sara Timmons, a sales associate at Tidepool Toys and Games in Fenwick, would recommend opening a business in Delaware.

And the tax-free shopping is what lures a lot of people into the stores, boosting sales.

"Tax-free shopping is a big thing," she said.

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