Small Business Economic Trends

Rarely do I get to see such an honest account of small business conditions. This report is startling, never in our life times have conditions been so hostile to small business.

I took the liberty of breaking a few of the charts out of this report for you. Let’s start with Sales, Expected versus Actual. Here you will find that expected sales jumped tremendously since the beginning of the year, almost like you would guess they are by listening to CNBS, but just look at how different reality turned out. Now look over at the left scale at that reality figure! That’s right, it says down almost 40%. My critique here is that we don’t get to see the raw data and so we don’t know what the baseline is. Still, there have obviously been many months in a row of decline without a like recovery:

Next is Small Business Earnings, again take a look at the percentage declines:

And this is the table form of presenting their earnings data, 2009 is at the bottom:

Note that Increased Costs is not as big a problem as it was two years ago, now Sales Volume is the problem, which reflects a debt saturated consumer who is 70% of the economy:

The next chart shows Credit Conditions via loan availability – DOWN:

All in all, a fairly bleak report. I would like to see them report some raw numbers, but otherwise it seems relatively honest and worth a good look-over (ht idoc)…

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About Nathan A. Martin 121 Articles

Nathan A. Martin is President of Wingman Investments, LLC, and author of the book Flight to Financial Freedom – Fasten Your Finances. He sees people, both young and old, facing a new era where they are forced to be responsible for their own financial success or failure. His message is clear; become financially literate or be a victim of the external forces that are impacting everyone. Nathan possesses an undergraduate degree in Professional Aviation and Business as well as a Master’s degree in Aviation Management and Operations.

A former Air Force and retired airline pilot, his flying took him the world over participating in many operations including the invasion of Panama, and combat time during Operation Desert Storm. Experience has come over 26 years of flight - logging more than 12,000 flight hours both civilian and military, and as the owner of a corporate aviation management company whose focus was aircraft efficiency.

Influenced by his parents entrepreneurial activities, Nathan began his business and investment training early in life and has used that knowledge every step along the way... from business school to his own corporations and personal investments.

Visit: Nathan's Economic Edge

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