Clinton lays out plans for small biz

Democratic presidential nominee Hillary Clinton on Tuesday unveiled a sweeping plan to boost small businesses in a move that targets both a key voting bloc and an engine of the economy.

She says her proposals would make it easier for small firms to launch, borrow money, file taxes and offer worker health coverage.

On a conference call with 500 small- business owners, Clinton noted her father owned a drapery fabric plant and said she’s seeking “common- sense policies that make life a little easier” for the firms. “You’re the unsung heroes of our economy.”

The nation’s 28 million small businesses, broadly defined as those with fewer than 500 employees, account for 54% of U. S. sales and create about two- thirds of new jobs, according to the Small Business Administration.

“At first glance, Secretary Clinton’s small- business proposal hits on some key issues, namely tax complexity, a major problem for small businesses,” says Molly Day, spokeswoman for the National Small Business Association.

But the National Federation of Independent Business was disappointed the plan doesn’t trim tax rates. Republican Donald Trump has called for cutting the personal

and eye- popping,” says Dan Marcec, director of content at Equilar. “It has much to do with how the company was paying the CEO in the first place.”

The largest that has yet to deploy is a $ 358.1 million estimated payment to Steve Wynn, who founded his namesake casino empire in 2002. If he were to lose his job because of a change in control at the company, Wynn would be awarded an estimated $ 358.1 million. Wynn stands to be awarded $ 240.2 million if he is terminated without cause.

Typically, executives’ golden parachutes are much larger when triggered by changes in control, rather than termination without cause. For instance, David Simon, CEO of Simon Property group, would be awarded a golden parachute of $ 302 million after a change in control, 163% more than what he would receive if terminated without cause.

Termination without cause can be lucrative, too. CBS CEO Leslie Moonves would be awarded an estimated $ 225.3 million if terminated without cause, while his golden parachute in case of a change in control is $ 92.4 million.

Periodically, shareholders bristle. Last week, more than 60% of Johnson Controls’ shareholders voted against the company’s payment to CEO Alex Molinaroli, triggered after the merger with Tyco. Molinaroli’s payment from termination after a change in control was estimated at $ 39 million as of the last proxy.

While these payments catch attention, most investors typically accept them, Marcec says. A vast majority of large firms have golden parachutes, and most win shareholder approval, he says. Equilar found 91% of golden parachute packages it studied in 2015 passed.

Says Marcec: “If ( investors) are com- fortable with how CEOs are being paid in the first place ... they are OK with golden parachutes as structured in their tenure.”