What do small businesses need to know about the One Big Beautiful Bill Act (OBBBA)?

The One Big Beautiful Bill Act (OBBBA) presents certain opportunities and threats to enterprises in the United States.

Small businesses in particular should be aware of:

Cuts to certain healthcare programs: deep reductions in Medicaid funding, termination of ACA marketplace premium subsidies, and stricter eligibility rules could result in higher healthcare costs for businesses and employees, particularly at smaller businesses offering coverage.

Reduced consumer protection enforcement: The bill cuts funding to the Consumer Financial Protection Bureau (CFPB)—which may weakening safeguards that small businesses often rely on when obtaining financing, potentially exposing them to predatory lending.

Tariffs & energy credit rollbacks: roll‐backs of clean energy credits and renewed tariffs on imports (e.g. steel, electronics) may indirectly raise costs or disrupt supply chains.

What can you do?

Work with a tax advisor: Create 2025 “what‑if” projections factoring in things like bonus depreciation, R&D expensing, QBI enhancements, benefit credits, and possible changes in interest deductibility.

Reassess healthcare options: given Medicaid and marketplace subsidy cutbacks, explore alternatives such as group plans, Health Reimbursement Arrangements (HRAs), or cooperative purchasing.

Update payroll, reporting, and compliance systems: given changes to thresholds for contractor and third party payment platform reporting, now may be the time to revaluate your payment and tracking systems.

Have further questions?

MBCB stands ready to help with your business’s unique legal needs. Contact us today with questions about how the OBBBA may impact your future plans.