Small-Business Bankruptcy Filings Up 81%

[LargoWinch]

icm/bart/moogle/Finster & al.; you say when and I click "put".

ATLANTA, Aug. 10 /PRNewswire-FirstCall/ -- Commercial bankruptcies among the nation's more than 25 million small businesses increased by nearly 81% in June 2009 from June 2008, according to Equifax Inc. (NYSE: EFX) , which analyzed its comprehensive small business database for the study.

There were 10,339 bankruptcy filings in June 2009 throughout the U.S., up from 5,712 a year ago, according to the data.

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Full Article Here.

[doom&gloom]

Re: Small-Business Bankruptcy Filings Up 81%

shame they won't be around for that recovery just around the corner. I know
because Team O says so.

[metalman]

Re: Small-Business Bankruptcy Filings Up 81%

shame they won't be around for that recovery just around the corner. I know
because Team O says so.

ah, who gives a shit? who needs small biz?

How important are small businesses to the U.S. economy?

1. Small firms:
   • Represent 99.7 percent of all employer firms.
   • Employ about half of all private sector employees.
   • Pay nearly 45 percent of total U.S. private payroll.
   • Have generated 60 to 80 percent of net new jobs annually over the last decade.
   • Create more than half of nonfarm private gross domestic product (GDP).
   • Hire 40 percent of high tech workers (such as scientists, engineers, and computer
   workers).
   • Are 52 percent home-based and 2 percent franchises.

[tsetsefly]

Re: Small-Business Bankruptcy Filings Up 81%

As government intervention in the economy increases, the small-businesses are the most affected because they:

- Cant cover the cost of new regulations as well as big companies do (that is why they usually lobby for these regulations, to hurt competitors)
- Cant handle other cost increases such as medical care requisites, employee benefit increases, minimum wage increases etc.
- Dont receive government subsidies, bail out money etc. (great example of this is the farm industry where the biggest companies get the most amount of subsidy money)
- Dont have the lobbyist helping design and promote new legislation that the big companies have.

A staple of less free economies is the fewer small-businesses, or the permanent small businesses that are never allowed to grow...

[doom&gloom]

Re: Small-Business Bankruptcy Filings Up 81%

I sold my biz in 2007 with the idea of two years off & start something new.

Till I learn what the "new rules" are under this admin, there is not a snowballs
chance in hell I would risk my capital on a new business.

I have always said I could fight my competition, but I could never fight my
government.

[goadam1]

Re: Small-Business Bankruptcy Filings Up 81%

I sold my biz in 2007 with the idea of two years off & start something new.

Till I learn what the "new rules" are under this admin, there is not a snowballs
chance in hell I would risk my capital on a new business.

I have always said I could fight my competition, but I could never fight my
government.

You are "doom and gloom." I run my business just fine under the "new rules." It's a tough time but getting better. No really, it is. A business is always tough to run.

[goadam1]

Re: Small-Business Bankruptcy Filings Up 81%

icm/bart/moogle/Finster & al.; you say when and I click "put".

What are you going to short? These aren't listed companies. Many are one person real estate "firms."

Credit crisis fallout.