But small businesses in the wrong sector will fail.
My husband works for a small business. It’s gone from 17 full time employees a year ago. Today they have 5 part time employees. Mandatory part time. Why? Not because they aren’t good at what they do – but because they’re in the wrong sector. They’re architects who do non-residential work… NO ONE is hiring architects to build new commercial buildings, hospitals, schools, etc. Very few tenant fit-outs happening right now. Companies are cutting costs – including on facility improvements. No one is investing in new construction. The AIAA has been reporting the decline in billable hours for a while now.
Unless you start or continue a small business in a sector that has potential short term growth, tax cuts aren’t going to help.
Most people who start a business do so in an industry or sector that they have the skills for. When things are good – service industries grow and thrive, even for less educated business owners… you can start a home cleaning business, or personal shopping, etc. But that doesn’t work if everyone is cutting back and counting pennies.
Being a small business isn’t enough to guarantee success.
