Job cuts on Main Street

From Great Movers Inc

2004 and 2005 I did 1.5 mil is sales..I owned 3 moving companys with 49 employees, 21 trucks,44,000 Squ ft of warehouse space, 2 48 ft truck and trailers running 11 westeren states…

Today,,I fileing for bankrupsey,I have one truck left, one employee (myself), no car,no house to live in,no customers, no money left, all assets have been forfeted to the bank..
I do have a question for the goverment.. how do you expect me to spend money??

From Chuck, Harrisburg, PA

I lost my job a month and a half ago. No big deal at the time because I was a contracted employee. But where I'm having trouble is finding another job. I see a lot of entry level jobs but none that come close to the salary I was getting. I have 3 young children and finding a job to support them is next to impossible.

Chuck
http://theworkfromhome.biz

From Mary in Kennebunk ME

We own two service businesses. Yes, the economy is challenging, yes, the government is stupid to reward failure. I started my business with myself. I provided more than what the customer expected at a reasonable price. I "claimed" all my money even when customers handed me checks and said, "just cash it". I've been in business 11 years and have a waiting list yet never advertising. My husband started his construction business 6 years ago. I did the marketing and (legitimate) paperwork and he did the physical work. Within a few months, he hired his first employee. Thru the 6 years he and I have hired a couple dozen people. I could go on and on and on with examples…..but, I worked physically all week and am tired…..
To summarize….WHY THE HELL WOULD I WANT TO HIRE PEOPLE IN THIS DAY AND AGE?! We've treated everyone like family, taught them all we knew, tried to help them in every way possible. But, how many FAKE worker's comps. claims do we need, how many incompetent employees did we gently let go only to have them collect unemployment while working for cash… how many times do we wonder if our home will be taken by some phony liability claim. I know you all have your stories……
Too many ee's get comfortable and feel entitled to benefits they haven't earned. My motto…..I'll do it myself thank you! My customers and I are happier that way. IMAGINE when you have the rules of a 50+ organization. ie. Paying for their drug rehab, etc. NO ONE WANTS TO TAKE RESPONSIBILITY FOR THEMSELVES!!!!!!

From Wendy Roe, Flanders, New Jersey

I first opened my birth announcement and baby shower small business via MiracleMunchkins.com in 2000 and like many other small businesses we have also felt the downturn in the economy. What is getting us through is our repeat customers. Many large businesses forgot customer service and are now paying the price more heavily than some small businesses. As we all are parting with our money now a little more cautiously, I know I would rather spend my personal and business money on those businesses that remember that customer service is important. Small businesses do tend to remember that each customer is important.

It is important to remember that while the unemployment rate is quite enormous, 90% of the US is still employed. Yes that does mean a decrease in sales and profits for retailers but retailers with good quality products and good customer service should make it through. How else can you explain that the iphone, which is not inexpensive, is selling well.

Good luck to everyone, we will get through this.

From Mo Gayasuddin, Used to live in Downey, CA

I have a strange story. I staretd engineering division for my employer with 8 employees. As of Dec 2008 we were 52 employees, had exceptional growth all along. But now had to lay off 7 employees because we were not able to get new projects for the past two months. The reason, I can't get back to work. I am foriegn worker working in US on H1b and my visa is pending with department of state for more than 2 months now, this after living and working in USA for 9 years.
We build engineered products not just for USA but for Canada, mexico, South america, asia thus creating exports for the country. Its ironic that in our case we were not even given a chance to fight off the recession by US government.

From Thomas, Illinois

We are a small machine shop servicing industrial customers, making and repairing machines for their infrastructure. As all our customers have cut way back, we have had to cut several employees. Skilled Machinists are almost impossible to find in America anymore, and as we lose them, we are losing them permanently. The push to high tech as well as this struggling economy is crippling the ability of small U.S. industries to compete at all on a world wide basis. The high doillar jobs requiring skills are vanishing because no one is training these people any more. We have actually considered switching over to training mode as this problem persists. Any suggestions from "out there"?

From jeff meriden connecticut

i've always worked for small mom and pops garages and got let go twice in the last 2 years due to people not spending money on getting there car maintained or fixed. i would inspect several cars a day that would need at least 500 dallors worth of work to make it safe to even be on the road, and no one could afford. i thought being a mechanic be a bullet proof job. i guess not, even dealership are closing up. so how are small business suppose to be better then big business, when big business cant even saves themself. i honestly think if the media said the economeny is starting to improve, then people will go out and spend money vs. saving it cause there afraid.

From Chris, Ivyland, PA

Rob in Denver said that small businesses should save in a good economy to have the cash to muster through in a bad economy. Sounds all well and good and on a peronal level, I subscribe to this whole heartedly. However, the governement does not allow businesses, especially small ones, to keep cash on hand for a rainy day or even for R&D or development. I can only speak to my own states taxing principles of course, but we have tried to be prudent with cash in the past with adverse affects. Case in point, a few years ago we had several large orders that we know would carry our year that were shipped and paid in the beginning of our fiscal year. Rather than simply earn a low savings account rate, we placed the money in a very safe tax-free muni fund for a better interest rate. Sounds smart and prudent, but not to the government who then wanted to tax us as an investment company (we are a small manufacturer who actually exports to China)! I am only talking about a couple hundred thousand for a matter of months. Unfortunately, it would seem that the squeaky (and larger) wheel gets the grease so as large corporations get bailouts, low interest loans, special taxation rules, and other special considerations, small businesses must struggle and have no ability to even plan for more than a year at a time without being punished. During our good years it would make a lot of sense to save for the years where business will be less. Unfortunately it does not make government sense.

From Nan G, Mountlake Terrace, Washington

I am a small business owner who has reduced expenses, cut my salary to nothing for months like everyone else. It is a sad situation when all of us Americans work hard for the American Dream only to not take our salaries, cut employees and work harder than ever to bail the banks. They (the banks) new their bottom line just like we did. I am shocked that CEO's can take bonuses and lavish trips knowing their bottom lines. We struggling have no-one to turn to but our bottom line and when it is nothing or NEGATIVE in their situation you do not get a darn thing!!!!.

America needs a wake up call on greed and coruption and people in powerful positions need to take a long look in the mirror. If the money is not there you do not get it you do not borrow it from hard working tax payers!!!!.

We all want to survive, grow and hire, but in these hard times it is just enough to hold on and stay alive while the wolves are at the door!!!!.. So remember when you go deposit that big time bonus you did not earn it nor do you deserve it and I feel you should look within your community at all the hard working businesses and unemployed and divided it up with them they paid you and their unemployed or struggling now.

From Ron Carroll, Chicago, Illinois

I feel so bad for all of the businesses that are having problems. I know it must hurt to lay off people and see your dreams put on hold – or derailed. I’ve had that happen to me after the dot com bust. I started Get a Grip America Inc. (Getagripamerica.com) in 2004 as a social club for urban professionals to get a better grip on life (Get a grip on life). We have six different clubs designed to help people with everything from starting a business, managing money, getting a job, going back to school, picking up a hobby, sports, getting fit and more. I think that our business will do well in a good or bad economy, and we have experienced double-digit growth every year. We plan to double our membership base this year, but will continue to work on cost-cutting strategies while improving the quality of our programs. GOOD LUCK!

From Anonymous

I have been in business for 20 years perfect track record. Oh yes i have had a loss before, banks would work with you if you help with your cash and they would help in long term loan say five years. Ladies and gentelman not today. The banks them self are a mess and they are cutting off lines of credit to small business snap of a finger. When there world is perfect no problem loaning money, guess what there world is a mess and so be it, all of our worlds are a mess. As far as the goverment goes why should small business be subject to such harsh treatment since it's all our tax money anyway. Many small business can make it with a little help from the bank not free money just work with long term customers with great credit. Goeverment WMBE, WEBE AND GARBAGE. WHAT HAPPENED TO HONESTY INTEGRITY AND THE RIGHT TO WORK AND WIN THE WORK FOR WHO YOU ARE NOT FOR YOUR RACE, GENDER ETC. ALL THIS DOES IS CREATE CHEATERS LIERS AND BAD BUSINESS PRACTICES. In closing i find it insane to think of all our tax dollars given to the banks and the bank not working with small business that have strong track records, long term realationships and good credit but are having trouble due to what the banks them selfs created. There decision to loan money irresponsibly for the last four years. The banks must work with small business to help stimulate the economy. So what do you think about that. I am not upset only with goverment and there waste but banks thems selfs they should be discusted with them selfs. Oh yea my spelling isn't that good. In closing there is only really one thing i have to say the banks better help there long term customers not shoot them in the head point blank. To all good luck.

From Simmone

I agree with Rob Denver, I am also managing a few small businesses in Malaysia and whatever economic problem US is facing is spreading across Asia like a domino flu effect. Most of the Malaysian Chinese Entrepreneurs are very conservative. It is their culture to save hard and analyse every angle before investing; but we are mostly keeping and feeding our staffs and workers at this moment, if the financial crisis continues, we will implement pay cut or reduced working days; last hybernation period. Sales has plummeted as many big factories are closing down and retrenching workers. We will solve the problem as our ship sails. Actually, this is the best time to shop if a person has the CASH. Everything is extremely cheap. Retailers are suffering over here too and the dead mall symptoms can be felt.

From Rob, Denver, CO

I quote Warren Buffett "When the economy is good, save your money. When the economy is bad, spend your money." As relates to small business, the last few years small businesses should have been saving everything during the good times. As a result, you would now have extra to spend for whatever purpose necessary now during the bad times such as keeping your employees, buying inventory, or marketing. Can you imagine having a ton to spend on marketing right now? You could dominate an industry at all time low advertising costs. Warren is one smart cookie. Think about it.

From Denver

My partner and I own a women's clothing boutique in Denver. We anticipated the economy weakening so we did downsize our employees and now we are just working a bit harder. In fact our sales have actually increased during 2008 our second full year in business. We are in an industry that is very customer relationship oriented and we have gone the extra mile to ensure we retain current customers and keep them coming back. When normal walk in sales are low you have to create sales by fostering relationships with customers and providing extra services like wardrobe and closet cleanout, free social events, etc. within our industry. This ultimately results in more sales as customers tend to be loyal to one or two stores where they can get undivided attention and help. So yes, we are working hard but it is definitely worth it and when the economy does recover we will be one of the stores that really prospers.

From Anonymous

I have a small company and I'm closing the doors…not worth the hastle anymore…

From sinking

We have owned a small plumbing company for the last 20 years, and we are sinking fast in this downturn in the economy. We began to feel it here, back when the whole subprime mess just got cranked up, back in 2006.

Always undercapitalized and operating on a shoestring, we did what you aren't supposed to do. Borrow on cc's.

Of course, the economy has only worsened, severely, since then. CC's all maxed and behind, not enough business to keep up.

Folks just aren't spending money these days to remodel their homes, or certainly not to build new ones. Folks aren't investing in opening businesses, thus no need for trades-people to provide services for same.

There just isn't enough work. I'm with the other poster, bring back the 50's, without the segragation.

From Kelly Bramble, Atlanta GA

I own and have operated a small engineering consulting and publishing organization for the last eight years. I have noticed a reduction in RFQ's, as well as slow pays on existing invoices from large organizations. Business is still good, however I have chosen not to hire much needed help due to uncertainties in my business climate. I have managed my overhead very carefully and will likely survive this down turn. I only hope the best for all small business operators.

From gate..

We are fast becoming a nations of consumers….. all our goods are made overseas.I recently purchased a small 5 lb. hammer The Handle was made in Tawain and the hamer head in Thiland.and assembled in Mexico…WOW.

AS CONSUMERS ONLY WE HAVE ON JOBS AND NO INCOME TO PURCHASE ANYTHING…THE MIDDLE CLASS IS ABOUT GONE.I CANT BUY A $34,000.00 CHEVY FORD AN GEM PRODUCT ANYMORE. AND I OWN MY OWN BUSINESS. ITS ONLY GOING TO GET WORSE..ITS GONE TO FAR DOWNHILL NOW…WE ARE BACK TO SQUARE ONE…. IT SO SAD TO SE THE U.S. BECOME A THIRD WORLD NATION REAL SOON.
i LONG FOR THE 1950S.WITHOUT THE SEGERATION……IT WAS A GREAT DECADE.

THANKS FOR READING THIS.

From Alex, Honolulu, Hawaii

First time doing this, and don't know why. Maybe someone will read this and is helped in some way. Well I am truly a small business owner. I own a small salon and have no employee's. The one thing I got going for myself is I have little over head. My biggest bill would be my rent for the business. I worked for a barber shop in the mall where i live for six long years. All it was is long hours and paying a crap load of taxes. When I first started work there i worked 6 days a week 11 hours a day, after working for one year there I relized that if i took one day off a week, which means i worked 4 day less in a month I got paid the same when it comes to take home pay. I worked 4 day in a month for a whole year for free, for whom you ask the biggest gang of them all "Government". So Listen to my advice the more you work the more you get taxed, I rather go fishing.

From Alex Media

I have been in the software business for 10 years and have been developing software for call centers in the Mortgage & Finance sector. Yes, we took a big hit on sales. We have moved our focus and now market to other industries such as debt collections, and Loan Modifications. As a small business owner we are able to adapt rapidly and make the necessary changes to stay competitive in today's uncertain economic state. For all negative there is a positive somewhere, we just have to some how find it whether its in our business; family or personal health. No matter what living hear in America should make us appreciate the "material" things that we still have or had :) such as multi-vehicles, cool cell phones , flat screen TVs in at least one room in the house and of course the occasional weekend excursions. So rough it out a little and make it humbling experience and spend more time with your loved ones and yes and don't forget to smile, laugh and joke around, its not the end of the world ..

From J.D. Bryant Spokane,WA

If the government went to a nation sales tax so every employee would receive their full paycheck without taxes taken out. Suddenly each person would have up to 25% extra each month to spend or save as they see fit.

From J.D. Bryant Spokane,WA

I also own a business for last 27 years, but to blame any President of either party for the economic downturn seems to be the current mantra of the day. Sales are down for our company also, but to place blame does not help you change the trend, only analyzing the market and alter your business plan accordingly.

I will not blame just change to meet the new market conditions. The only thing government can do for my business is to get out of the way and do not hinder my success with more taxes, which cut into my ability to hire more employees.

Hope you put aside your anger and work harder and smarter.

From David Frantz

The bottom line in AmeriKA is it is no longer worth it anymore! Got out of total debt & I have cut way back on my business to no less than 80 percent! I will not expand or purchase ANYTHING nor will I Hire anyone. I keep all of my old equipment running I work one or two days a week……. if even that! I am 52 now more or less semi retired I live well well below my means, drive second hand cars, I do not live in a big bad ass home only to be SCREWED & PUNISHED for PRODUCING by the local tax man. I play most of the time now….. enjoying life If you are a PRODUCER in ameriKA your allowing yourself to be made a fool of plain & simple. WAKE UP! In ameriKA you are now paying : 30 % PLUS in federal tax, even MORE with alt min tax! 15 % in FICA, then another 6 % or MORE in state income tax then another 8 % in other 'Money grab' taxes such as : FUTA,SUTA, use taxes, sales taxes on asset purchases, then sales taxes on asset upkeep and repairs, use taxes, fuel taxes Gov't permitting fees & regulatory fee's you name the Gov't tax money grab and you pay it! It's THERE look and see Folks that's almost 60 % TAKEN from YOU! You do all of the work & risk taking and the Gov't walks off with 60 % of YOUR efforts! It's no wonder we're sinking & fast! with that 'incentive' why should I PRODUCE????? and I DON'T!

See ya" I am going Deer hunting for the rest of this month & December

From Tom, San Diego, CA

I am sure Mr. Obama and Co. will find ways to jump start the economy! Though I am a republican, one has to admit, you can't fix stupid…and stupid has been in the White House long enough, LoL!
Our business, financing green development, is doing very well, problem is-most of the people we do work for are not paying their bills. We suffer, our staff suffers and our banks suffer. When the developer develops stuff no one can buy, no one wins. I don't worry about higher taxes…You have to make money to pay them…

From JB Annandale, VA

A cyclic economy is what makes small businesses risky. Service businesses are especially risky during bad economic times. There is no solution other than to prepare for down times by setting aside during the good times. Taking on too much risk during good times can spell bankruptcy during an economic downtimes. If you are not able and or willing to deal with economic risks, then you shouldn't be involved in small business. That's why its foolish for economists to believe that small businesses should be the logical successors to large manufacturing corporations. By exporting manufacturing overseas, the engineering and infrastructure supports jobs went with them. Now we are stuck and the national economy is even more volatile due to dependence on small businesses who have extreme difficulty weathering the bad times. The only thing small companies can do is batten down the hatches and cut costs even if it means reducing employee benefits or laying people off. People who who are employed by small companies accepted this risk when they chose to work for a small company. The only way to stabilize the national economy is to bring back large highly-technical manufacturing corporations that require an educated workforce to perform the work. This won't be easy, but it's the long term solution. For example, building nuclear power plants is one manufacturing industry that will stabilize our economy and reduce dependence on foreign oil. Cheap electricity is also important for electric powered vehicles such as the Chevy Volt. The U.S.'s plane manufacturing, vehicle manufacturing, railroad building, and shipbuilding industries are high tech areas that the Govt. needs to support. These are the industries where the U.S. can build the highest quality products at lower cost due to techical manufacturing superiority and the requisite educated workforce. Then, these manufactured goods can be exported world-wide in the global econmoy. Our exports have to be more value for the money to shift us to a next exporter. The small companies fit in because they can support nich requirements for these industries and the people who work in these industries. This is one reason why a bailout of the U.S. domestic car industry is a must.

From Homer, Princeton NJ

The clinic approach seems to be making a comeback. The cost sliding scale is also appropriate as alot don't have health insurance. One slant on the overall picture…you get what you pay for (or atleast advertised) with an amazing % off sale – what a deal.

From JK Alexandria, VA

Patty,

Before you said anything about being hopeful in regards to Obama, I knew you were a Democrat.

Congratulations, you have had 8 years of someone else to blame for your own inability to thrive. Whatever will you do now if you have a hard time with your biz? Blame it on weather, season, number of people who drive hybrids?

There will always be obstacles in any endeavor. As I was taught in the army, adapt and overcome.

Be thankful that you have had that opportunity (being in the US), now use it instead of blaming others.

Good luck to you, your employees and God Bless America.

From John Russell Victorville, Ca

I no longer use fun and business in the same sentence…hard work and tough decessions, will prevail! Maintaining a positive attitude will be price less!

From Dr Tim Lowenstein, Port Angeles, WA

Well here is a great irony. We run a business stressmarket.com that supplies educational materials and equipment to monitor stress and learn scientific methods to relax. In this time when over 80% are reporting feeling stressed, we have had to scale back marketing and be careful about inventory because our sales are sluggish. Even though the need is great schools, corporations and the general public are not spending money on getting real help to cope with this crisis.
Sadly, many turn to drugs and alcohol to numb themselves and get lost for even a little while. It is not a good solution. This is not a time when you can afford to be sick or function poorly.
If anything, it is the best time to build up your physical and psychological health so you can survive healthily no matter what happens. Get good sleep, eat good foods and talk with friends and family. Take time to relax, release that pressure.
Be Well.

From Phillip Underhill, videasa.com, New York, NY

Demand for our web video production services seems to be steady, though I am prepared to recalibrate our operations and messaging to absorb the impact.

I have experienced multiple economic cycles and have learned that I am responsible for my company's success – not the president, Congress, God or the devil.

From Ryan Andry, Dallas Texas

Fortunate for Texas, we have not been as hard hit as most areas of the country. We have big business as well as the gas and oil boom keeping us going. When the telecom bust of 2001 hit, our company almost went belly-up. What it did for our company was invaluable. We did over $100 million in 2001 with over 220 employees and lots of debt. This year, we will do over $100 million with 125 employees, no debt, and money in the bank. Point is, learn lessons and live by them. My wife and I made many changes personally and financially and are now in a position where we do not live in fear. We have lived disciplined financial lives and live virtually debt free. I am a living example of that it can be done. Good luck and God Bless!

From Pete Morel, Austin, TX

That's funny Lena, you have just used your techniques to advertise for yourself.

From Leonard Henry, Atlanta, Georgia

My name is Leonard Henry, the Founder/CEO of iPDA Mobile Technologies, LLC.

We are Federal Information Technology/Assurance, Training and Staff Augmentation professionals.

Recently, I had to close one of our offices locations in Atlanta because the work was just not there. Our revenue dropped off 90% for five months.

The banks are just not lending Working Capital unless you have 100% credit and collateral to invest due to the Finanical Crisis.

I had to reduce my cost, take major losses that I invested and move on with operating my business the best I can.

The sacrifices are breath taking…. and I have not been able to hire the staff that I need.

I strongly believe that small businesses such as ours should have more consideration for our investment and loss.

It would improved the economy faster, if small businesses could get the needed financing to jump start this economy.

I believe that small business owners have the vision and the committment to get this economy back.

From Patty, Miami, FL

We did everything right for 8 years and are now paying a heavy price for the Bush Administration's thievery and mismanagement of America.

I feel like the last 8 years of my life counted for nothing.
If McCain had been elected, I was going to close my doors November 5th. It had become not worth it.

With Obama at the helm, I feel hopeful. I feel that the sacrifices we have to make now are part of a healthy vision for the greater good rather than a scam to line the pockets of the beasts.

From J Kim Tyrone, GA

I am an integrative medicine physician providing comprehensive wellness solutions to medical problems instead of relying solely on medication and surgery. Since we do not take insurance, we feel the effects of economy.

Since complementary and alternative medicine is not a covered benefit for most insurance companies, and taking insurance increases my costs, we have created a community CAM clinic where the cost of care is comparable to what patients pay in co-pay on the weekends.

Depending on how the overall economy, the "Walmart approach to medicine" may become our main business.

From Lena L. West, xynoMedia, New York, NY

We're doing well.

We help companies use social/new media effectively and what we're finding is smart companies continue to market in challenging economic times and social/new media is a more cost-effective and results-generating option than traditional ad spend choices.