Small Businesses at a Crossroad - American Management Services, Inc

Small Businesses at a Crossroad

American Management Services, IncPress ReleaseSmall Businesses at a Crossroad


ORLANDO, FL — October 16, 2012 — We read almost daily that “small business confidence is up”… then “it is flat,” then “down,” then “up.” The perpetual yo-yo impact on small business owners is life threatening. What happens when interest rates do begin to rise? What will be the impact on the cost of money on small businesses?

Both presidential candidates tout the importance of small business to the economy. Job creators, economic engine, growth are all fancy buzzwords bantered about during a political season. But seriously, what is ever done to assist small business owners such as, the restaurant you and your family visit, the florist you drive by daily, the independent printer you buy from? Where is the help and understanding they need? Does anyone care? Does anyone think about it?

So now, in addition to their years of struggling to survive, these small business owners (THE ECONOMIC DRIVERS) are being rewarded with the additional cost of mandated health insurance! Now let me be clear, the concept of all Americans having health insurance is extraordinary. Nevertheless, the concept of how to pay for it can and I expect will be an owner’s nightmare. Where is the four million dollar machine shop with 55 employees going to come up with an extra twenty, forty or one hundred thousand dollars to fund this burden? And I ask, who thought this through, bureaucrats? Big insurance companies?

It seems to this writer three things are for sure:

  1. Big business, the insurance companies, will get richer as an additional 30 million Americans will be added to insurance rolls.
  2. Small businesses will have to bear the brunt of this and almost every small business owner we speak to cannot even understand how this program is to work and how they can afford it.
  3. When our politicians tell us that the added costs will be offset by the medical savings the system will provide (eliminate waste, fraud, etc.) we chuckle that Washington thinks Mainstreet America buys into any of this. Small business costs will go up and big business will be the beneficiary. Does anyone care?

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