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Many smaller IT consulting companies are struggling to deal with boilerplate RFE’s and denials due to specialty occupation, employer employee relationship and non-computer science graduates education evaluations for H-1B employees. It is no longer cost effective to run an IT consulting company with less than 35 employees due to the payroll taxes like employer contributions to social security (6.2%), Medicare(1.45%), state unemployment taxes(1%), business liability insurance($18,000 for 5 million), utility costs, office rent, line of credit interest rate (4-12%) due to delay in vendor payments, invoice factoring (1.5% per month),vendors going bankrupt without paying the consulting companies etc.