Why health insurance remains the most challenging issue for small businesses in Ohio and the nation?

For nearly four decades, small business owners across the country in Ohio say the cost of health insurance is the top chronic problem they face.

It will remain the No. 1 issue in 2024 after the National Federation of Small Businesses released the 11th edition of its Small Business Issues and Priorities report, which has been conducted every four years since 1982.

The national study includes 40,000 NFIB members, and Ohio data is derived from a sample of 1,500 members to obtain statewide data.

Overall, the report shows that Ohio businesses face nearly the same challenges as other companies across the country.

"This data clearly shows lawmakers: Ohio's small business owners are overwhelmed by rising costs and lack confidence in the future of their businesses," said NFIB Ohio Director Chris Ferruso. "The small business economy is determined to recover, but costly state regulations and taxes are making that task more difficult."

While the cost of health insurance has topped the list of challenges facing businesses in Ohio and across the country since 1986, this year it was followed by federal taxes on business income, energy rates, the cost of supplies and inventory, and finding qualified employees.

According to the report , uncertain economic conditions, fuel costs, finding and retaining qualified employees, unreasonable government regulation, and uncertainty about government actions topped the top ten.

Some employee issues seem more challenging in Ohio than in the rest of the country. Employee turnover ranked 26th in importance in the state and 42nd in the nation. Also, employee management ranked 34th in the state and 43rd in the nation.

"Over the past four years, small business owners have struggled with historic inflation, tax pressures at all levels of government and uncertainty about what comes next," said NFIB Research Center Executive Director Holly Wade. "This survey helps the public understand the issues affecting the small business sector. Small businesses employ nearly half of the private sector workforce, and this release makes clear where lawmakers should focus their attention to strengthen Main Street and every community in which they operate."