I have been reading many posts over the last few weeks about the impact of the "tax increases" on small business. Its really so much more involved than that. Anyone who has started a business and seen the unbeliveable amount of red tape it takes just to get the doors open, and then to keep them open, can readily understand. Its not easy to be in business, and to make the 250k net after all the roadblocks is not an easy task.
As someone who fought thru over 20 yrs of owning businesses with hundreds of employees over this time, I can honestly say that I would have been better off taking my skills into a corporate job that would have paid me salaries, benefits, and retirement funds.
Now, there is a thought that says my employees would have had to have gotten a job somewhere else, all my years of community involvement, charitable contributions, et all, would have gotten by somehow,,someone else would have done all that our companies provided.
Or would they not... Actually, since I sold or closed several businesses, only one has been maintained. As the governmental agencies made it more and more difficult to remain in business, I had less and less of an incentive to keep them all going. Taxes are just a small part of it.
So, as unemployment in the sectors of 50 or less employees continues to rise, try to think beyond taxes. My garbage rates were 5 times home rate, electric and other utilities were more than 3x..We had to pay for inspections, weird fees, business lic, state lic, fed lic, county permits, taxes on my furniture, computers, and even had to pay taxes on my uncollected accounts, Yes, if someone owed me money I had to pay tax on that as well.
Employees, workmans comp, unemployment, non stop insurance premiums that would cancel you if you did anything other than pay the premiums, it went on and on and on. Oh yeah, I had to pay accountants, lawyers, and CPAs just to keep the books straight, and a lot more than what I have taken the time to write here....We have way to many partners in business that do nothing but stand there with thier hand out and just charge more if you resist.
In my humble opinion, these are the real reasons businesses are closing...its a conspiracy of non stop government squeezing the life out of old fashioned entrepreneurs. No, the small business won't make over 250k per year, because it gets raped all the way to the bank.
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