Mish has a interesting article on small businesses in USA, compared in some respects with others around the world. It claims many small business owners took no pay last year (meaning net profits?) and many burned through their pensions to keep the biz afloat. He does good job slicing and dicing the presumptions.
As to assumptions, a peer on this list notes that among those who are now unemployed would never have been employed unless there was a boom. People who would have been retired or at school or some such were pulled into the labor market, and in the bust left.
The article claims USA is one of the best top 5 places on earth to start a business. This is wrong and devious. It is wrong because every place on earth starting a business is exactly the same: get a customer. That is no easier or harder than anywhere else.
It is devious because the criteria is how hard is it to go through the paperwork until you are legitimately registered to do business with the tax collectors. Yes, on that score USA is relatively easy, but once you have those documents, the same agencies make life very hard for the small business person.
So in many countries it is difficult to get the paperwork up front, then easy afterwards, and in USA the reverse.
What should be ranked is where is government light before and after the paperwork is settled.
Feel free to forward this by email to three of your friends.
As to assumptions, a peer on this list notes that among those who are now unemployed would never have been employed unless there was a boom. People who would have been retired or at school or some such were pulled into the labor market, and in the bust left.
The article claims USA is one of the best top 5 places on earth to start a business. This is wrong and devious. It is wrong because every place on earth starting a business is exactly the same: get a customer. That is no easier or harder than anywhere else.
It is devious because the criteria is how hard is it to go through the paperwork until you are legitimately registered to do business with the tax collectors. Yes, on that score USA is relatively easy, but once you have those documents, the same agencies make life very hard for the small business person.
So in many countries it is difficult to get the paperwork up front, then easy afterwards, and in USA the reverse.
What should be ranked is where is government light before and after the paperwork is settled.
Feel free to forward this by email to three of your friends.
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