Small business, a struggle for survival in a prolonged recession

Washington has worked hard to keep big business afloat.

We have heard the term” too big to be allowed to fail”, used in conjunction with G M , Goldman Sachs, AIG, et al.

How about small but too numerous to be allowed to fail.

The medium to small business community is the  heart beat of the economy.  This deepening recession/ depression has put many of these vital employers into near  cardiac arrest.

The entrepreneurial spirit of the United States and the creation of new jobs and new ideas is a vital contribution of the Small Business community(SBC).

A trip to many industrial parks shows a depressing number of Available, For Sale, or For Rent signs.

Small businesses have been failing in clusters, and the struggle for the remaining to survive is difficult, with no help in sight.

With the Obama administration focused on a larger agenda, it appears that they have deliberately ignored or possibly overlooked the smaller business community.

Perhaps because they are too numerous and too small to be controlled.

Perhaps the courage and intelligence to start something new makes the entrepreneur a poor candidate to economic socialism. 

In order to survive, the SBC has attempted to keep afloat by drastic cost cutting and layoffs, selling off inventory without restocking, and often being forced into skipping rent or mortgage payments or negotiating drastic reductions as a move of practical desperation.

This is a troubling  move that portends problems going forward for the commercial real estate markets.

The upcoming Holiday season could possible be the final blow to many of the Nations small businesses.

Normally the economy gets a major boost during the Thanksgiving to New Years holiday shopping season. Economists are quick to allocate 70% of our economy to consumer spending, and Black Friday is a term dedicated to the day after Thanksgiving as the launch of Christmas shopping season, and the day when many retailers go from red to black, signaling their profitability

The deepening recession, which is sliding into a serious Depression is reinventing consumer spending habits, and I believe that excessive spending and impulse lavish gift giving is not part of our national psyche this year.

Those businesses that are holding on, hoping for that holiday breath of life, may be seriously disappointed this year.

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