The Waterbury Democrat., 1942-08-06

Washington, D. C., Aug 6-War conditions have increased enor- mously the problems of the small business man and have led to the growth in the government of com mitteeS and agencies devoted to aiding such businesses to weather one of the crucial periods of their history.
 Second in importance to winning the war is preservation of the American system of free enterprise. The backbone of this system is the small business concern. Census re- ports reveal that for every large company in the United States there are eleven small companies engaged in production, distribution and serv- ice. In the manufacturing indus tries about Seventy-two percent of all establishments have fewer than 20 employees. These small businesses are the best custmoreS of big busl- ness and their disappearance after the war would threaten the founda- tion of the national economy.
 Govt. Awake to Problem
 The administrative and legislative branches of the government are thoroughly awake to the problems of the small business man. They realize that small business is more susceptible to failure in times of severe crisis than large corporations, that are better equipped to with stand financial strain. The United States Senate has Special Com mittee to study and Survey Prob lens of Small Business Enterprises, which considers problems of small business primarily to determine how such business can make the greate.5 possible contribution to the war effort. Secondarily, the con- mitttee is studying how problems of small business can best be met to assure survival. The House of Rep- resentatives, also, has Select Con- mittee on Small Business which is making similar studies. Two other committees - the Senate Special Committee to Investigate the Ma tional Defense Program and the House Select, Committee Investigat- ing National Defense Migration = consider small business problems.
 Tn the executive departments and war agencies concerned with mili- tary and war production, small bus mess receives considerable attention in order that its facilities may be used to the utmost in the war effort The War and Navy Departments are interested in small companies that are sufficiently well organized to un- dertake prime contracts. The War Production Board is conducting studies to see, first, how small man. ufactlring facilities can be con- verted to war production and sec- ond, to utilize unconverted plants in making essential goods for civ- ilian supply. The Smaller War Plants Corporation has been set ur by Congress within the War Produc- tion Board to take prime contracts from the armed services, break them down into subcontracts and allocate such work to small companies. Il also has DO CT to make loans tc small businesses for converting plants and providing necessary equipment and working capital. Tn the Office of Price Administration the impact of OPA regulations or small business, especially in the dis. tributive field, Is being watched with care.
 Dept. of Commerce Active
 Within the Department of Com merce, the Small Business Unit oi the Bureau of Foreign and Domes. tic Commerce devotes its efforts ex. clusively to small business problems This unit has no regulatory power; neither does 1t assist small com panies in obtaining war contracts bank loans and capital. It does act as advisor to Congress, officials oi other federal agencies, trade associ- ations, Chambers of Commerce and private organizations which seek sound econmic solutions to problems of small business as a part of the total economy of the country. Own CTS or executives of small concerns are free to present their problemi to the Small Business Unit at tht Washington oface or to the bust