Posted on 07/21/2022 2:37:39 AM PDT by RoosterRedux
Most of us have an innate fondness for small businesses for one reason or another.
*snip*
But aside from our subjective preferences, it's objectively true that small businesses function as the heart of our economy, on both a micro and macro scale. Why are small businesses so important? And how can you start one of your own?
Why Small Businesses Are So Important for the Economy
These are just some of the reasons why small businesses are so important for our economy:
Innovation and growth.
When businesses get large, bureaucratic, and complexly organized, they tend to slow down in terms of innovation and growth. Established companies would rather adhere to the formula they used to become so massive than experiment with something new, while new and small businesses are forced to innovate if they want a chance to compete. Because of this, a disproportionate number of new inventions and industry disruptions come from small businesses and startups. Large corporations also realize this;
*snip*
Supply and demand agility.
Having an economy with a large number of small businesses provides more economic agility than one with a small number of large businesses. If there is a supply or demand problem limiting our economic capacity, a small business owner can easily pivot to try and close the gap, while larger, more sluggish organizations struggle to adapt.
*snip*
Competition. Free markets depend on competition to spur innovation and push prices lower for consumers. Small businesses are healthy for a competitive environment, and for several reasons. New businesses are constantly emerging, providing a more diverse and more reliable stream of new competitors. They also periodically fail, which is important for a healthy economy; large, entrenched businesses, by contrast, are often the target of government bailouts whenever they run into trouble.
(Excerpt) Read more at americanthinker.com ...
New products are developed and made available directly to customers without having to market themselves first to large corporations.
From a personal perspective, I recently bought a small adventure motorcycle. It was priced right because it needs many accessories depending on how it is going to be used.
Nearly all accessories are provided by small operators, many from elsewhere in the world. I have communicated with suppliers from Australia, the UK, Germany, even some former eastern bloc counties. They are all hungry, aggressive, and customer service oriented.
Good article. Thanks. As someone moving from overseas and about to start a small business in the US this hits home.
Believe it or not, the US is still a great place for an entrepreneur. Not ideal under this junta but better than most IMHO.
Better than Hong Kong, where I am selling my small business because HK is now just another China backwater.
The guy who was helping me start the business died last month, so that sucks in a million ways. Mostly because he was my friend and died way too young.
The regulations in the US are not as onerous as free trade HK in my industry. I’ll be back next month after 20 years in Asia. Wish me luck.
If anybody has experience with a small broker/dealer, feel free to email me here. I’m scared shitless but optimistic.
Scared is good! Keeps you on your toes.
I spent much of my career in the securities business and even had a small M&A firm after I "retired." What's your angle re: broker/dealer?
I took over a small online retailer in Hong Kong who was using Shopify. They used Braintree for credit card processing.
I started selling high end Covid-19 rapid antigen tests. Totally non-regulated in Hong Kong. Within 2 weeks I was told that I was not allowed to sell them by Shopify, Braintree, Stripe, and PayPal.
I shut down for 6 months, watched hours and hours of Youtube. Relaunched with Wordpress. Found my own small credit card processor, rebuilt my website and was back in business.
One of the upsides is that I now consult small businesses on SEO and can build websites for companies.
That’s not even what I am looking to do with my new business, but I can implement a lot of what I learned out of being pissed off at the so called gate keepers of ecommerce.
If you plan on opening a small online business, don’t use Shopify or any of the big credit card processors. There are tons of small guys who will take a chance on you.
I’m taking over a small retail broker/dealer. We want to make it a fund raising business and have investors lined up. Basically I want to make it a high end boutique focused on fund raising and distribution.
Have a lot of international contacts and a few guys in US interested. My friend who passed away was gonna be the guy who knew how to run it. Now I have to be that guy.
Thanks for the well wishes.
I’m a former govvy bond trader myself.
Small business is what drives America. I was talking to a tenant at one of my rental units, and he was telling me about his new business - granted he was in jail for a year and he wants to contribute to society. I told him that he might succeed. He already has his website up. I wished him good luck.. Another one of my tenants is looking into 3D printers...
You go to a mom&pop, you’re likely to find yourself eyeball-to-eyeball with the founder, president, and chairman of the board.
That’s the short answer to the title.
I shopped around for the best price.
The best price I found by far was at a dealership run by the founder's son who had no salesmen. The owner personally handled all sales (thereby reducing the price of the bike).
It was by far the busiest dealership I found as well. In fact, it was the only dealership that had numerous potential buyers wandering around the showroom floor.
And it was in a 30+ year-old no-frills building.
.
I've worked for (several) small start-up tech companies,
and started one of my own (with 2 partners) -
and I've also been a consultant for large companies.
So I've seen a bit of both sides in my 38 years in
software / tech engineering & development.
The fun and excitement, freedom and room to create, learn and
grow in a small / start-up company is usually just not
THERE in a large organization. But stagnation and
'security' - either illusory or real - might be.
The huge monolithic organization frequently has trouble recognizing
and adapting to change - let alone innovating.
Smartly managed ones however, create small semi-autonomous
units where innovations can germinate, grow, flourish, and
prosper - free of the giant bureaucratic structure that all
to often stifles initiative an innovation - and is like
the Titanic unable to change course to avoid the iceberg.
But the start-up (usually) does not have the resources to
provide nearly the benefits as the monolith.
But the monolith has the resources to buy out the innovators
and has the resources to usually stay afloat long after
hitting the iceberg.
The alternative is a career track the "bleeding edge" of technology.
Both paths have benefits and drawbacks - severe ones.
A general rule of thumb: "Make it PAY - or walk away."
OWNERSHIP is a key - OWN as least part of what you create.
And get it in writing concretely.
In other words - place definite limits upon the suffering
you are willing to endure. And make sure to recognize that suffering -
and that appropriate action when needed.
In other words - very little is worth a heart attack, or whatever..
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