Small businesses are the backbone of the nation's economy. Everywhere you go, you see small mom and pop establishments with a few employees to larger scale companies with several hundred employees. On March 23rd, 2010, The Affordable Care Act which is known as Health Care Reform was enacted into law. All businesses will be required to have health coverage and get health insurance quotes for all employees. This will have an impact on small businesses in various ways.

Small businesses will benefit with Health Care Reform as it will help lower insurance costs and help them to remain or become profitable. Since most small businesses spend more per worker on health insurance than larger firms, this is understandable why most small firms don't have coverage. Under Health Care Reform, a small business will be able to get health insurance quotes via an "insurance exchange". This exchange will offer various insurance options which will give the business a myriad of choices so they can pick the plan that is right for their business, they will have lower prices and they can order a complete company plan or add a la carte services to their existing one.

Small businesses will receive tax credits which would be available immediately to help offset the cost of health care premiums. The tax credits will cover up to 35 percent of the premiums which will make it easier for a small business to keep their current health insurance, if they have it, or implement a high quality health coverage policy. These tax credits will make it easier for businesses to expand and add jobs to the economy. In 2014, the tax credit will jump to 50 percent of the premium cost, which is greatly beneficial to the viability of a small business. As long as the business provides health care to their workers, they will be eligible to all tax credits.

Health Care Reform for small businesses will make it easier to attract and to keep good workers, and lessen the risk for employee turnover due to the lack of insurance. Most workers want to work for a business that has health insurance and are very reluctant to leave the company to go elsewhere if they do. Many employees will stay at a company that provides health care benefits. Businesses with health insurance will see absentee rate decline and greater employee productivity.

The impact of Health Care Reform on small businesses will include tax credits, affordable healthcare and employee insurance security. Healthcare will also help small businesses to court better workers and encourage entrepreneurs to start businesses because of the health care incentives, which creates more employment opportunities for the nations economy.