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Noncompetes, SBA lending and the other federal rules that could impact small businesses in 2023 - Dallas Business Journal

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Noncompete bans, contractor worker changes and the other changes that could affect employees in 2023.

The rule would affect about 30 million workers, with the FTC saying such agreements, which typically restrict a worker's ability to work in their industry for a certain amount of time or in a certain geographic location, are exploitative and violate the Federal Trade Competition Act. The rule would apply to independent contractors and anyone who works for any employer, paid or unpaid, according to the FTC.

The agency bills the new rule as part of an effort to cut down on fraud, money laundering and the funding of terrorism that could run through anonymous business entities. FinCEN even cited in its rule recent cases of Paycheck Protection Program fraud as examples of how the rule could curb illegal activity.

In a 2016 adjustment, the agency increased fees by an average of 21% after estimating it would have an annual budget deficit of $560 million. In 2020, the agency attempted to raise fees again by an average of 20% but was stopped by the courts.

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