[Homestead] Bailout floundering
lurine at softcom.net
Tue Sep 30 02:47:00 EDT 2008
I think their definition of "small business" might not be the same as some
of ours. We owned a business. Well, more than one, and we never took out
loans to make our payroll. Nor did the cousins who owned a business.
In fact, I'm thinking they're talking more about businesses that are more on
the mid-size end of the spectrum that are started up on spec.
----- Original Message -----
From: "Akka Homestead" <akkabhomestead at yahoo.com>
I keep hearing about how small business gets loans to make payroll. Where I
used to work, I think that was probably true. We had bank visits once a
month at least. Perhaps I am generalizing from my old employer to every
small business, but IMO, if the company is not solvent enough, doesn't have
enough of a buffer, to make payroll before all the receivables are in, then
something is amiss anyway and perhaps those companies need to scale back and
buckle down, make those hard spending cuts, and turn things around. Only
once in my life have I taken out a loan to specifically pay off other debt.
It certainly wasn't habitual, and if I had to do it over again, I'd probably
file bankruptcy instead of getting the loan. If you and I have to tighten
our belts, why should small business be any different? Where I worked, some
people made outrageous incomes considering what duties they performed. It
was all upside down. I know this is true at other
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