Tag Archives: small business

What Obama doesn’t understand about the American entrepreneur

Our President bemoans those with means. Unfortunately, he doesn’t even understand what “means” means or what a “job” really is.

When was the last time our commander-in-chief decided not to cash his own paycheck so that his employees could cash theirs? I did that just two weeks ago and will likely do it again in the near future.

When was the last time the President paid a plumbing company to clear out an old sewage system so that his customers had functioning bathrooms while holding off on cashing that paycheck too?

Running a business looks nothing like the hired-in, vogue-hair, Armani suit things you see on television. Small business is down-in-the-weeds, making sacrifices, trying to make payroll and “hope that check cashes” kinda stuff.

Anyone that has ever run a small business with employees knows what it means. It isn’t luck – it’s sacrifice. Something the Obama’s know nothing about with their celebrity bashes, all-star parties and tax-payer funded vacations. Small business owner’s don’t get any of that, we just get bills, responsibilities, regulations and taxes.

Entrepreneurs have to navigate federal tax forms, state tax forms, unemployment insurance forms, worker’s compensation applications, insurance audits, EPA permits, OSHA inspections, ATF audits, city permitting and more.

America was built on the idea that we could risk it all and become so much more. Obama believes that by some miracle, no one should have to risk anything but should be gauranteed success – that’s just not realistic, common sense or any other term he tends to use to push his nonsensical initiatives.

Unicorns don’t exist Mr. President, it’s time to realize that we’ll all need to actually work to make our wishes come true and to make our nation stronger.

Most of the pile of crap small business owners deal with on a daily basis has NOTHING to do with selling their products. The government makes everything you buy cost more because store owners have to expend resources to deal with this stuff. It is “common-sense” math – government costs too much.

President Obama doesn’t understand the American economy because he’s never had to be a part of it – not as an employee and certainly not as an employer. If we want to see the employment situation get better, we should probably have someone else leading us. Until then, anyone that voted for him should just hang their heads and say “I’m sorry” to those of us actually sacrificing every, single day.

CEO Nat’l Black Chamber of Commerce: Obama Bad for Country

CEO of the National Black Chamber of Commerce Harry Alford spoke to Stuart Varney of Varney and Co. on Fox Business News. In a revealing interview Alford shares why be believes President Obama’s policies are bad for the economy.

It is too bad that Alford and other Black businessmen did not realize Obama’s first four years would only be amplified in the second term.

The National Black Chamber of Commerce is “dedicated to economically empowering and sustaining African American communities through entrepreneurship and capitalistic activity within the United States.”

In Deep With Michelle Ray – You Can’t Build That

When: Thursday, February 7th, 10pm Eastern/7pm Pacific

Where: In Deep with Michelle Ray on Blog Talk Radio

What: Join Social Media Director of ConservativeDailyNews.com, Michelle Ray (@GaltsGirl) as she discusses the issues that impact America.

Tonight: Join me and @AiPolitics, host of the CDN Radio show “Married to the Game“, to discuss the barriers to entrepreneurs and the changes in perception of small business in the information age. And, whatever else we manage to get into.

Listen to internet radio with CDNews Radio on Blog Talk Radio

Mr. President, This is Small Business America

Returning to campaigning President Obama held a rally at a small business, promoting his tax the rich agenda. But one doesn’t have to travel far to find other small businesses who are struggling with the uncertainty that such tax increases may cause.

From Speaker Boehner’s Office: Majority Whip Kevin McCarthy’s (R-CA) office sat down with Jerry Gorski of Gorski Engineering, who said, “our company has figured out how to survive in this economy and the first thing we want to do with any income I have is tax it? That’s uncertainty.” Watch it here.

Nearly one million small businesses would be impacted by the president’s tax rate hike, and thousands of jobs would be lost. Instead of raising tax rates and hurting our economy, Republicans have outlined a balanced, popular framework for averting the fiscal cliff by cutting spending and reforming our tax code.

“Campaign-style rallies and one-sided leaks in the press are not the way to get things done here in Washington,” said Speaker Boehner. “Without spending cuts and entitlement reform, it’s going to be impossible to address our country’s debt crisis, and get our economy going again, and to create jobs.”

It’s easy for most of us to just agree with the president’s ‘tax the rich’ proposals because many haven’t heard how this will directly affect many small businesses.

Watch this short clip and share it with your friends.

Insulting Small Businessmen Everywhere

In a speech July 13, 2012 at a Roanoke, VA fire station Barrack Obama shared a key reason many are in disagreement with this president. In less than one minute he defines the difference between those who still believe in the American Dream (where if one works hard enough with the right ideas one can be a success) and those who believe that all good things come from others; particularly the government.

The American Dream is not living life on the dole; the handouts from the government. It is the opportunity presented to those who are here to move beyond their circumstances and improve life for their family. If you still believe in this dream you need to help change the path on which we currently are headed.

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You can watch the whole speech on C-Span by clicking here.

These comments are insulting to business men and women everywhere. No one disputes that there are many who work hard at their job. But…People still come to America believing that they can start their own job, work 12 hours a day, 7 days a week and grow into a successful enterprise.

We’ve come a long way from Ronald Reagan’s belief and promotion of small business.

RI Senator- Tax Rates Don’t Affect Small Businesses

Tax policy was the subject of a panel, titled 98 to 2: Raising Taxes to Invest in America and Promote Fairness, held in Washington last month. The panel was associated with former Obama administration official and radical Van Jones’s Take Back the American Dream Conference, which basically aims to advance progressivism.

The panel consisted of several prominent progressive activists and politicians, among them Rhode Island Democratic Senator Sheldon Whitehouse, of Tea Partiers are racists and part of white supremacist militias fame.

The main goal of the panel was finding the best way to sell tax increases to the American people and to counter the Republican idea that taxing the rich hurts jobs, since the rich are  usually job creators. Amidst the debate, Senator Whitehouse chimes in with the stunning statement that he isn’t aware of a single small business in Rhode Island that is affected by tax rates.

“What works well for me at home, I don’t have this, you know, poll-tested…I say, look I don’t know a single small business in Rhode Island that is going to be made or broken by tax rates.  What’s going to make or break small business is whether people are actually coming through the door to spend money, whether they have customers.”

What Senator Whitehouse’s ridiculous statement fails to take into account is a recent meals tax proposal that caused an uproar among small businesses in his state. The proposal to add a 10% tax to all meals caused an aggressive campaign against the proposed tax, lead chiefly by restaurants. Cities like Newport, which rely on money tourists bring in, through restaurants especially, complained that the tax would crush them. It would force them to raise prices, which would drive away business.

Rhode Island is the smallest state in the nation, and has some of the highest taxes on small business in the nation. Unemployment is well above the national average, about 11% in May, and every year, more and more businesses leave the state because of the high costs Rhode Island’s high taxes cost business owners.

Maybe Senator Whitehouse should spend a little less time participating in panels sponsored by communists, and a little more time amongst his constituents.

 

Sixty-Nine Percent of Business Owners Do Not Plan on Hiring Within the Next Year

NEW YORK, Aug. 31, 2011 /PRNewswire/ — Newtek Business Services, NASDAQ: NEWT, The Small Business Authority’s Authority Market Sentiment Survey, a monthly window into the concerns of independent business owners. Based on a poll of approximately 1,100 respondents, one of the key findings from the August survey was that 69 percent of small business owners do not plan on hiring.  Two other questions in our survey support the findings of business pessimism.  Most business owners, looking out on the horizon, are either pessimistic or neutral at best, regarding the overall business environment.  Several business owners during the last 12 months have raised their prices or maintained them to fight off the effects of inflationary pressures eroding their margins.  Business owners in an economy described as stagnant, need to improve their cash flows and bottom lines while continuing to look towards the only segment of their business where the market enables them to improve their cash flows.

Selling Ice to Eskimos

A Georgia company that makes chopsticks is not only growing rapidly, but is exporting chopsticks to foreign countries.

Georgia Chopsticks is located in Americus, Georgia, just a couple of hours south of Atlanta. The owner, Jae Lee, said that his company is producing about two million chopsticks a day and is exporting them to China and Japan in huge numbers.

The poplar and gum trees that Lee uses in his chopsticks is popular with overseas and domestic consumers.

Imagine that – selling chopsticks .. to the Chinese.

Government Regulation Kills Entrepreneurial Spirit – Again

Midway, Georgia Police shut down a one-day old small business siting a lack of permits. The enterprising young entrepreneurs had decided that instead of working for someone else, they would open a business and make their own way – their way.

The business was a lemonade stand run by three girls trying to save up for a trip to a water park The cost of the licenses required to run the stand – $50.00 per day. It would be nearly impossible for the enterprising young ladies to raise the money required for their excursion with the weight of the local government holding their profits hostage.

One girl, 14-year-old Casity Dixon, says the three had to listen to police and shut down.

The girls are now back to performing tasks for their parents to earn their money, realizing that government regulation has effectively strangled their enterprise when it had barely a chance to get started.

Estate Tax to Return – Right to Property Threatened

Obama and his liberal cronies in Congress are bringing back the Estate tax.  This tax does most of it’s damage to family farms and businesses – it may very much threaten a key to Americas economic strength and what is certainly the last natural right that progressives have been unable to deface – the individual right to property.

As this post at Heritage.org states:

Estates that consist largely of family-owned businesses are the most vulnerable to the death tax. Family-owned businesses and the families that own and operate them are synonymous for purposes of the death tax. The value of the portion of a business owned by a deceased person, including the business’s assets, such as equipment and property, is included in their estate. The high value of these assets is the cause of the problem for family-owned businesses.

The business’s assets make the estate appear valuable on paper and can raise the value of the estate above the threshold over which the estate is subject to the death tax. Just because the business’s assets are worth enough to push the value of the estate above the threshold does not mean the family has enough cash available to pay the death tax.

First I ask, why tax this at all?  Wouldn’t the IRS reap more benefits from the growth of the business as the heirs take over?  If the dying owner is forced to hide assets (which he will) and preserve cash to prevent his children from taking the hit (which he will), the business will have far fewer resources before and after the hand-over with which to grow.  How does this make sense?

As much as a 55% penalty will be assessed on private property, worth more than $1 Million that is passed down to heirs.  At first glance, this looks like the usual progressive/socialist play to take from the wealthy and give to those they feel deserving.  In reality, it destroys private companies and kills job creation.

The Heritage.org article continues:

The death tax slows economic growth, destroys jobs, and suppresses wages because it is a tax on capital and on entrepreneurship. Capital is any resource that individuals or businesses use to generate income. Like anything else, when the income accruing to capital is taxed, its price rises and less of it is purchased. Less capital means slower productivity growth, lower wages, and fewer jobs. As such, taxes on capital should be minimal or nonexistent. In fact, there is a general consensus among economists that there should be no taxes on capital. The death tax:

  1. (1) Discourages savings and investment. For those Americans who think that their estates may one day be subjected to the federal death tax, the tax sends a signal that it is better to consume today than invest and make more money in the future. Instead of putting their money in the hands of entrepreneurs or investing more in their own economic endeavors, Americans are encouraged to consume it now rather than pay taxes on it later.
  2. (2) Undermines job creation. Because the death tax discourages saving and investing, it also undermines job creation. Resources that otherwise would have been available for businesses to use to expand their operations and add new workers are consumed by people who deem it wiser to spend the money now than invest it knowing their inheritors will have to pay the death tax later. Furthermore, resources that businesses otherwise would have used to add jobs are diverted to protect families from the death tax.
  3. (3) Suppresses wages and productivity. Since the death tax lowers saving and investing, there are fewer resources available for businesses to purchase additional tools and equipment or replace old and worn-out pieces with new ones. That means less capital their workers can use, and therefore the workers’ productivity does not increase as much as it would have in the absence of the death tax. If the business cannot replace worn-out capital, the productivity of its workers declines. Wages are a function of a worker’s productivity, growing more slowly when productivity slows, and declining when productivity decreases.

And to see how this applies in the real world, a fox news blog post demonstrates the absolute destruction of capitalism that this new tax represents:

For generations, Anthony Timberlands, Inc., has been family-owned, but John Ed Anthony says if the estate tax rate is still 55 percent when he dies, his heirs will have to sell off the business. “What the estate tax will do to us at the time of my death is my son will have a visit from an IRS agent who will simply tell him, ‘Your $50 million dollar mill requires $20 million dollars,’” Anthony worries. He says the land where the company’s timber grows and its mills would have to be sold off in order to pay the tax. “When the estate tax strikes the industry in a small town,” Anthony warns, “[that impacts] everyone that’s in the community, everyone that is employed, all the peripheral businesses that make their money off the company.”

While a bi-partisan measure has been put forth, Harry Reid could kill the effort by simply not allowing it to see the Senate floor.  Considering the current socialist-tint to all of dirty Harry’s moves, he may seek to solidify his base by sticking it to those wealthy business owners.    Others in Congress are playing that card already as the blog post reports:

Senator Bernie Sanders, I-Vt., is floating an estate tax proposal that will bring in more revenue to government coffers than the Lincoln-Kyl measure. Sanders says, given the country’s current financial situation, this is no time to give “the rich” a break.

If privately-owned business are forced to pay these oppressive taxes, they will be forced to close down or sell-out.  Imagine owning a family business worth $5.6 Million at the time of your death.  If you hand it to your heirs, they get a $3.1 Million bill from the IRS. Do we want profitable enterprises to have to keep 50% of their assets in cash to handle this eventuality?  No.

This level of taxation will force private companies to conserve cash they would have invested in expansion, purchases, job creation, growth.  This is one more free-market killing idea from an administration and Congress bent on the death of capitalism.  The only one this benefits is the government.

Socialism is the state ownership of means of production.  Tax these entrepreneurs  into a position where the IRS is owed their assets and well, you know.

Estate taxes are nothing more than a tax on assets simply because the owner is changing.  It is a jobs killer, an economy killer, and it threatens the property rights of successful Americans.  It’s time to repeal the death tax permanently.

Remember in  November.