NFIB State Director Gregg Thompson says the state’s leading small business advocacy organization has joined other business groups in urging lawmakers to reject House Bill 13, warning that the bill would force many small businesses to pay higher credit card processing costs and face new regulations.

In a letter to House members, the coalition said the measure would cap certain credit card-related charges at 2%, even though many businesses pay more than that to process card transactions. Those fees are set by banks, credit card companies, and payment processors, not by small business owners. As a result, many employers would be left paying costs they cannot control or negotiate. Click here to read the letter.

“Small business owners are already facing higher costs for labor, supplies, insurance, and utilities,” Thompson said. “House Bill 13 would add to that pressure by forcing many businesses to absorb credit card processing costs that are outside their control. That may not sound like much, but for small businesses operating on thin margins, those costs add up quickly.”

The group also warned that the bill would create a new state system to regulate and enforce payment card transaction rules, adding mandates for businesses and fines for violations.

“North Carolina’s small businesses need less red tape, not more,” Thompson said. “This bill would increase government involvement in private business transactions and make it harder for small businesses to manage their costs. That’s the wrong approach when small business owners are working hard to grow, hire, and serve their communities.”

NFIB signed the letter alongside the North Carolina Retail Merchants Association, the North Carolina Restaurant & Lodging Association, the North Carolina Chamber, and the North Carolina Petroleum & Convenience Marketers Association.