Each week, I share a short small business thought; a new idea, a big upcoming event, or a question to consider during the current week.
What does it mean to start a business in a strong economy?
The “Great Recession” constricted the American economy. Market uncertainty froze lending. Businesses could not access the capital needed to survive, leading to layoffs.
8.7 million jobs were shed from February 2008 to February 2010, and GDP contracted by 5.1%, making the Great Recession the worst since the Great Depression.
In fact, at one point during the Great Recession, more businesses in the U.S. were closing than opening.
Last week, I wrote a review of the latest monthly jobs report; the last of President Obama’s Administration. The contrast between the President Obama’s first monthly jobs report in February 2009 and the January 2017 report is striking.
8 years ago, the U.S. economy lost 598,000 jobs and the national unemployment rate was 7.6 percent.
The January 2017 report showed that 156,00 jobs were added to the U.S. Economy in December 2016 bringing the unemployment rate to 4.7 percent.
Beyond the jobs figures, wages have finally started to rise for employees, and — although the U.S. Fed raised rates in December 2016 — rates are still near historic lows.
This data may point to new opportunity for small businesses… Read more here….