Small fly in the Small business..

Small business does create jobs, but loses them too

Small businesses are just that small. They do not expand quickly most of the time. What people do is start new small businesses all the time. These new businesses need to hire employees when they start. This is job growth.

What most people forget is that most small business do not stay in business for many years. This is job lose. I am sure the net job grow is close to even in good times and a net lose in bad times.

Also, if a small business grows to more than 50 employees (25 in some states) it is no longer a small business and stops being counted in small business job growth.
 
Yes, your statement ...

is pretty much an abstract of the findings in the studies. There is a giveth with one and taketh away with another process that ends with net job loss in the bad times as you say.

The other issue too is that while 'small business' accounts for slightly more than 60% of all jobs it accounts for only slightly less than 50% of all wages and salaries. I'm not sure that the stats on this take every conditonal into account but it strikes me as correct that small businesses are involved in lower value added sorts of actitvity and consequently pay lower wages.
 
Did not read the article, I live the article

I have worked or owned small businesses for the last ~40 years. Sm,all businesses pay the going rate for the job in the area that are not union. I think the problem is small businesses tend to be non-manufacturing companies. It is hard to do real manufacturing as a small company. A lot of small companies are service companies and service industry pays less than manufacturing for the small skill level.

I would be interested what employees in small companies with college degrees earn against large company employees with similar degrees. As a small business owner educated employees are much harder to replace and therefore earn extra to stay. I know this sounds elitist, but it is true.
 
i am a

small business owner and own a flooring company , about 10 years ago i had step away from a $2,000,000 contract i spent almost 2 years doing estimates cause architects were changing products and floor plans . when all was set and done i found out the job went union i could not afford to do the job with the union wages which meant i also had to hire shop stewards and other extra wages involved . i now have received a bid proposal for new york city for $7,000,000 which i am turning down cause i know i takes over 90 days to get paid for whatever work you have completed every time i have bid on city contracts i ve come in third while i would only be making pennies on the cost of material and labor
 
Very interesting question....

Not sure how to tease out that kind of data. It would seem on the face of it that a lot of professions are conducted as small business-doctors, lawyers, civl and structural engineers, architects, accountants...etc. So all of those would be pretty college degree heavy. But then for each of those there is the dry claeaner, the oil change place, the shop, the hairdresser, the upholsterer ....:hmm::hmm:
 
Are city contracts prevailing wage deals?

They always have been in the two cities I've worked in. I mean are you being forced to pay union wages even though you are set up as a business to not pay union wages? The non-union contractors I used to do work with were in that boat and just got tired of bidding public projects because if they got them they lost money on the labor and usually they didn't get them because they did not know how to play the game very well.:(:(
 
What an odd statement you make UTSA.

Small business has to pay prevailing wage or face the lack of experience/talent that they pay for.

I do agree, there is an in and out revolving door of business that comes and goes, but businesses that have been in operation for 2+ years have better potential than those just started.
 
Can you clarify that?...

I don't understand what statement you are talking about.

I used 'prevailing wage' in its very narrow sense where involved with public contracts that generally do not allow non-union contractors to pay less than what amounts to union wages for the work contracted to public entities. Or at any rate that is my general understanding of the nature of it. My experience with this is peripheral as an architect involved in the public projects not central to the contracts so my understanding of the niceties of the 'prevailing wage' idea may be in error.

Or are you talking about something altogether different.
 
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