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American Small Business Is Literally Dying
Breitbart News Network ^ | 28 Jan 2015 | Mike Flynn

Posted on 01/28/2015 9:34:29 PM PST by george76

When small and medium-sized businesses are dying faster than they’re being born, so is free enterprise,” writes Jim Clifton, Chairman and CEO of Gallup. “And when free enterprise dies, America dies with it.”

For six years, the number of small businesses closing has exceeded the number of businesses starting. The number of business deaths exceeded births in 2008 for the first time in US history and has gotten worse in the ensuing years. Since 2010, the rate of small business closures has increased.

In the 1980s, the number of new businesses exceeded those closing by more than 100,000 every year. Today, 70,000 more businesses die than are started each year. This somber fact goes a long way to explaining the current weak job market. Two-thirds of all new jobs are created by small businesses.

...

A few years ago, I had an idea for a small business. It wasn’t a flashy tech start-up or a potential billion dollar idea, but I thought it would meet a need in the marketplace. Things were preceding well until I met with lawyers. The amount of regulatory and legal clearance that was required convinced me to bury that idea deep in the ground and never speak of it again.

I doubt my experience is unique.

...

All the rhetoric out of the White House or the halls of Congress can’t arrest this American decline. Small business is literally dying in the United States. By the time the media or the political class notices, it will be far too late.

(Excerpt) Read more at breitbart.com ...


TOPICS: Business/Economy; Extended News; News/Current Events
KEYWORDS: business; businesses; freeenterprise; smallbusiness
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To: george76; All
Added to their burden, new tax rules ergo "Section 3115".

I posted this days ago, no one see's it or gets it (See link below).

My CPA friend is wigging, it will be a nightmare for them and small business and be barrier for even thinking about opening one...

http://www.freerepublic.com/focus/f-news/3249083/posts

61 posted on 01/30/2015 2:38:52 AM PST by taildragger (It's Cruz, Pence or Walker, anything else is a Yugo with Racing Stripes....)
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To: Hugin
Then K Mart replaced Sears as the biggest retailer, and people said that about them. Where are they now?

Sears owns them.

K-Mart blew it with Martha Stewart's line of housewares and Rosie O'Donnel, imho. The former had limited appeal (ugly colors, for one), the latter alienated a huge customer base by jumping all over Tom Selleck over the NRA. Gun owners boycotted, and that meant a huge revenue loss (K-Mart was the largest retailer of firearms at the time). People, being creatures of habit, once they don't go in to your store for a reason, will likely not be back for quite a while, if ever.

62 posted on 01/30/2015 2:39:11 AM PST by Smokin' Joe (How often God must weep at humans' folly. Stand fast. God knows what He is doing.)
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To: Awgie
Good Bye to the once great American middle class.

Which has been the Marxists' objective from the start. The poor are malleable dependents, and the wealthy can be broken using obscure regulations if they fail to toe the line.

63 posted on 01/30/2015 3:13:09 AM PST by Smokin' Joe (How often God must weep at humans' folly. Stand fast. God knows what He is doing.)
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To: Pollster1
Also, Amazon is a big factor. Almost all many products are cheaper with no storefront, and people window shop in start-up businesses and then buy from Amazon.

Amazon isn't as sure-fire savings as it used to be. For one thing, even when you pay for prime shipping (supposedly free) the items are priced at what non-amazon sellers are selling at including their shipping. I've seen plenty of items in the last year or so cheaper in stores than on Amazon. What Amazon is doing for some of us is making goods available that no longer are in the rural areas.

The big problem with all businesses is lack of demand, because people don't have disposable income. All those companies reporting great earnings quarter after quarter? If you look closely, you'll see most are reporting 'ex-items' - excluding items that are costs, supposedly non-recurring. It used to be illegal to report earnings 'ex-items' without also reporting actual earnings (often negative). Now, no one cares about the law - the news media just wants to report happy news, to keep those Keynesian Animal Spirits up. Very few businesses are doing well at any level, unless they get government to force their competitors out of business through regulation...

64 posted on 01/30/2015 4:04:49 AM PST by Kay Ludlow (Government actions ALWAYS have unintended consequences...)
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To: 21twelve; Alberta's Child
I think the idea isn't that the entrepreneur is the one having a “job” - it is that the entrepreneur hires 2-20 people for his business. 100,000 new businesses (back in the 80’s) means 200,000 to 2,000,000 new jobs. And of course it goes the other way when 70,000 businesses close.

I've no disagreement with that. But (if I may) I think Alberta's point was that, at least in the short term, the loss of small business jobs (including both small business owners and employees) can be "made up for" in the U1 stats by hiring by big business or gov't. What doesn't show immediately is the dynamism in the economy that having many small businesses brings, and even more so, the "character" of the country.

Perhaps I am not stating this well - Alberta probably can say it better than I can, early in the morning & still a bit groggy! :-)

65 posted on 01/30/2015 4:38:39 AM PST by Paul R. (Leftists desire to control everything; In the end they invariably control nothing worth a damn.)
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To: Alberta's Child

“I wonder how many businesses out there (I’m leaving drug dealers out of the mix) are doing most or their business through black-market and gray-market transactions.”

Well, its kind of hard to tell. They don’t advertise. A couple of articles I found:

http://www.breitbart.com/big-government/2013/03/19/america-black-market-growing/

http://www.economywatch.com/in-the-news/infographic-the-black-market-the-second-largest-economy-in-the-world.18-01.html


66 posted on 01/30/2015 3:20:39 PM PST by RKBA Democrat (The uniparty: celebrating over 150 years of oligarchy and political control!)
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bump


67 posted on 01/30/2015 5:00:57 PM PST by foreverfree
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To: OneWingedShark

For a crazy woman who couldn’t write according to so many of her critics she sure nailed it didn’t she?


68 posted on 01/30/2015 7:01:10 PM PST by RipSawyer (OPM is the religion of the sheeple.)
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To: george76

“Things will likely get even worse.”

I hate to be so cynical, considering that over thirty years ago I was one of those who was optimistic enough to start a small business and it provided my living for twenty years or so until technology changes killed it but I honestly cannot think of one good reason to disagree with you.


69 posted on 01/30/2015 7:28:25 PM PST by RipSawyer (OPM is the religion of the sheeple.)
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To: RKBA Democrat
And its mostly regulation free and largely anonymous. While I wouldn’t argue that its making up for all of the loss in the brick and mortar economy, its picking up some some part of the slack.

It won't matter if out Krazy Kongress Kabuki puts up a big fuel-tax like they're talking about and the fuel prices go back up.
In fact, if diesel hits $5/Gal [Avg] we can kiss our shipping goodbye — and we'll see the prices of needful items skyrocket.

70 posted on 01/30/2015 8:11:15 PM PST by OneWingedShark (Q: Why am I here? A: To do Justly, to love mercy, and to walk humbly with my God.)
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To: Awgie
Good Bye to the once great American middle class


71 posted on 01/30/2015 8:32:08 PM PST by Stand Watch Listen (When the going gets tough...the Low Information President Obola (LIPO) goes golfing)
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To: OneWingedShark

Its over $6.50 a gallon in Britain right now. And thats a lot less than it was. But your point is well taken. The scumiticians will tax the hell out of fuel. Because they can. And because its easier to chase down.

Taxes are really whats driving the amnesty thing as well. Here we have a population living on the edge of the economy that seems to be doing just fine. The scumiticians want to tax them. So they want to give them an incentive to be part of the official economy. Hence amnesty.


72 posted on 01/31/2015 9:56:47 AM PST by RKBA Democrat (The uniparty: celebrating over 150 years of oligarchy and political control!)
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