HolyCoast: 1 in 5 California Small Businesses Won't Be in Business in Three Years

Monday, March 19, 2012

1 in 5 California Small Businesses Won't Be in Business in Three Years

We can thank the last several governors and the Democrat majorities that have controlled the state for years for this mess:
More than one in five (21%) of California small firms won’t be in business in this state in three years, according to their owners. That’s one finding of the 8th annual small-business survey by Small Business California.

Furthermore, 65% of respondents said that California is headed in the wrong direction, while just 20% said it’s headed in the right direction. Here’s what passes for good news in the survey: That result is much improved from 2008 when almost 90% of small-business owners said the state was headed in the wrong direction.

“Despite growth in the U.S. economy as a whole, many small-business patrons in California are still not very optimistic about the future,” said Scott Hauge, president and co-founder of Small Business California. “It’s difficult to grow the economy when the chief job creators among us feel restricted.”

Only 3% of respondents rated the state’s economy as good (none rated it “very good”) while 46% rated it poor and 23% very poor.
And chances are most of them that quit won't be replaced because the business and regulatory climate is so bad and starting a business so expensive that many people simply won't go to the trouble. If they really want to start up something new they'll go to a more friendly state...like any of them that border California.

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