With profits soaring, prices rising, cutbacks on wages and benefits, and an American mindset that favors these collective actions (and talking points), why would business owners in this country ever hire again? The lack of hiring, as we will read about, and the fact that we refuse as a country to embrace sustainability and GREEN (where the NEW jobs are) does not bode well for real estate investors and places a tremendous amount of pressure on location investing and market timing and making the right choices.
Will business owners ever hire again? Not now, or not even in the future, according to a recent survey from Newtek Business Services, The Small Business Authority with a portfolio of over 100,000 business accounts. The findings of its monthly “SB Authority Market Sentiment Survey,” found that 69 percent of small business owners do not plan on hiring. Most business owners, it added, looking out on the horizon, are either pessimistic or neutral at best, regarding the overall business environment.
Note here another media and American sentiment overlook: Several business owners during the last 12 months have raised their prices or maintained them to fight off the effects of inflationary pressures eroding their margins. Business owners in an economy described as stagnant, need to improve their cash flows and bottom lines while continuing to look towards the only segment of their business where the market enables them to improve their cash flows. Really? Profits and stocks soaring, profitability and productivity up and less in payroll and health care outlays, and they need to raise prices? C’mon… as Michael Corleone said to Carlo, “don’t insult my intelligence.”
Will business owners ever hire again? Probably not unless we stop buying into the media hype, the talking points and spending our money on company products and services that do not support America and Americans.
Posted by Peter Mosca
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