The government can help by lowering interest rates, reducing regulatory burdens, facilitating customer and market research and through grants, loans and disbursements.
Lowering interest rates:
Maintaining low interest rates is one way governments seek to stimulate the economy, generate tax revenue and, ultimately, reduce the national debt. Low interest rates make it easy for individuals and businesses to borrow money. In turn, the borrowers spend that money on goods and services, which creates jobs and tax revenues. - Investopedia.com
Reducing regulatory burdens:
Relaxed trade restrictions and free-trade zones can allow local businesses to realize significant cost savings, allowing them to increase their bottom lines. The ability to outsource labor and manufacturing to lower-cost markets in addition to sourcing cheaper materials helps to increase profit margins, encouraging business expansion. - SmallBusiness.chron.com
Facilitate customer and market research:
Government agencies like Statistics Canada and the U.S. Census Bureau are invaluable resources for market researchers. If you're looking for information about a new geographic market, household spending patterns, or a particular market segment, start with the free research available from these organizations. - Waveapps.com
Grants, loans and disbursements :
Loans and grant programs offered directly to entrepreneurs are one way to use tax revenue to stimulate business activity. Another way, according to America.gov, is to fund agencies and programs such as the Small Business Administration, which provide assistance to startup entrepreneurs. - SmallBusiness.chron.com.
To learn more, see Government Assistance in Business from Chron.com