The Federal Reserve shows no signs of slowing down its interest-rate hikes, with most economists expecting the Fed to reveal another rate increase in mid-December. That could spell trouble not just for would-be homebuyers but for small businesses looking to expand. "The most important piece of economic information that firms use when they're constructing investment plans is the cost of investment -- how much does investing cost now, and how much will it cost later," Gary Richardson, professor of economics at the University of California at Irvine, told CBS News recently. Unpredictable public policies is just one reason it pays to be careful when taking on debt for a small business. Loading up on debt is the biggest mistake most small businesses make, Frances Newton Stacy, director of strategy for Optimal Capital, told CBSN. It's a particularly easy mistake to make in boom times, when consumer spending is at a peak. "When businesses are growing and there's a lot of 'free money' in … [Read more...] about Why small businesses shouldn’t take on too much debt
Why small businesses are important
There was something very odd about sitting in the public hearing for the Small Business Jobs Survival Act (SBJSA) on Oct. 22, listening to all the testimonies and discussions about the implications of the bill. One can only listen to city officials repeat that they “fully share the goals” of SBJSA but raise concerns about its “unintended consequences” so many times before going numb. There were many bizarre things about the hearing, beginning with the numerous gentlemen in blue hats that began crowding the front steps of City Hall just before the hearing was about to start. “VOTE NO TO RENT CONTROL,” the caps read, sitting atop the bald heads of men in suits, or dressed in casual clothes but important shoes. “Would you like one?” James Wacht, a commercial real estate developer, asked me, pointing to his cap. “I’m okay, thank you,” I replied. “I have a feeling we’re not on the same side,” he said. … [Read more...] about The Small Business Jobs Protection Act Received a Hearing, What Next?
LOUISVILLE, Ky. – The next wave of cybersecurity threats are coming at small businesses with under 250 employees according to federal, national and regional statistics and activities. In fact, two-thirds of all businesses reporting an attack are small businesses, as shown in a recent CloudNexus infographic, compiled from current data. The federal steps for small business protections underscore the need to act as well. President Donald Trump signed the NIST Small Business Cybersecurity Act, S. 770 into law on Aug. 14 underscoring the issues that are being seen. It requires NIST to “disseminate clear and concise resources to help small business concerns identify, assess, manage, and reduce their cybersecurity risks.” “Knowing that even the federal government is going to jump on board to assist small businesses has begun to underscore how vulnerable small businesses are today to attacks. That’s why we are spreading the word that managed service … [Read more...] about Louisville-based CloudNexus sees increase in malware, cyber attacks on small businesses
The Supreme Court Building is seen in Washington. (AP Photo/J. Scott Applewhite) The small business community has a big stake in the outcome of a U.S. Supreme Court case called Janus v. American Federation of State, County and Municipal Employees, Council 31. In the case, the high court will decide whether to overturn a 1977 decision called Abood v. Detroit Board of Education that authorized states to compel public employees to fund union activities, regardless of whether they support those activities. Since the case dealing with the Detroit Board of Education was decided four decades ago, public employee unions have multiplied – aided in large part to state laws requiring compulsory financial contributions by public employees, irrespective of First Amendment objections. The echoes of these unions have shut out other voices, like that of small business. The Janus case could level the playing field for small businesses in states where organized … [Read more...] about Outcome of Janus case is a critical one, and the small business community will be watching
WASHINGTON - After getting a free pass in Tuesday's Democratic primary, Ohio Sen. Sherrod Brown will face a November election opponent in Jim Renacci who will contrast his background as a self-made businessman with Brown's many decades as a public official. The Democratic incumbent used his first post-election conference call with reporters to highlight his own efforts to help businesses with a free "Grow with Google" event he'll host in Cleveland on Friday. It will feature workshops, hands-on demonstrations and one-on-one coaching sessions for Ohioans hoping to further develop online skills and grow their business or individual careers. "Small businesses are the backbone of our economy, and that's why workshops and trainings like these are so important," Brown said of the event, which will take place from 9 a.m. to 6:30 p.m. on Friday at Cuyahoga Community College's Hospitality Management Center. Those interested in attending can register here. Ohio City ice cream shop owner … [Read more...] about Sen. Sherrod Brown to host small business event with Google at Tri-C on Friday