The first Plantagenet king of England, Henry II, is important to contemporary small business owners because he’s considered the founder of a legal system to which entrepreneurs owe their freedom to be.

Ambitious and highly intelligent, Henry’s attempts to consolidate all of the 12th century British Isles under his rule created the need for order. And while the subsequent reforms were intended more for his own political expediency than to empower the people, they actually gave birth to a body of law, now known as English Common Law, which replaced elements of the feudal system that included such enlightened practices as trial by ordeal.

Six centuries after Henry’s death, the legal and cultural tide of personal freedoms and property rights that evolved from his reforms were being established across the Atlantic. In the colonies, a group of malcontents, now called America’s Founders, envisioned, created and fought for a new interpretation of Henry’s legacy. Their plan was different because it was sans kings.

In The Fortune of the Republic, Ralph Waldo Emerson wrote, “We began with freedom. America was opened after the feudal mischief was spent. No inquisitions here, no kings, no dominant church.”

In Origins of the Bill Of Rights, Leonard W. Levy noted that, “Freedom was mainly a product of New World conditions.”

Those conditions, as Thomas Jefferson so artfully wrote in the Declaration of Independence, were, “…life, liberty, and the pursuit of happiness.”

These were 18th century words for freedom and embryonic conditions for which the 56 signers of Jefferson’s document put their lives and liberties at risk on July 4, 1776.

But America’s founding documents weren’t perfected until they perpetuated rights that were, as John Dickinson declared a decade earlier in 1766, “…born with us, exists with us and cannot be taken from us by any human power without taking our lives.”

By definition entrepreneurs take risks. But only freedom to enjoy success can make those risks acceptable. Thank you, Henry II.

Research shows that there is a direct connection between the rate of new business start-ups and economic growth. And the American experiment has demonstrated that a healthy entrepreneurial environment fosters national economic well-being. Thank you, Founders.

Without their vision, courage, passion and sacrifice, it’s doubtful that entrepreneurship as we know it would exist today. And if capitalism is the economic lever of democracy, entrepreneurship is the force that renews the strength and reliability of that lever for each new generation.

We began with freedom. Freedom to dream and to try; to succeed and to fail; to own and to enjoy; to accumulate and to pass on to the next generation.

We began with freedom and entrepreneurship was born. We began with freedom and capitalism was made to flourish.

We began with freedom. Happy Independence Day, America.