Quick – when you think of companies that drive the engine of our economy forward, which come to mind? Apple? Google?
Like we’ve said before, it may feel like big companies are behind the wheel, but small and medium-sized companies are pulling more than their weight when it comes to hiring and growing the economy, and they have been for some time.
Almost every new job created since 1977 has been created by a startup. Middle-market companies, in particular, have been doing well recently. One study shows middle market growth outpacing the S&P 500 almost every quarter for the past six years. Now that’s HUGE.
Presently, it’s an exciting season for business owners. Under the current administration, taxes on corporations have been slashed and regulations on businesses are being rolled back – all of this could mean big growth.
Will that continue to be the case? We are, after all, in a brave new political world: our economic policies are shifting under the new administration, but midterm elections could make the pendulum swing along a different axis entirely.
Despite the uncertainty, small and middle businesses are still a good bet for job creation and economic prosperity. Here are three reasons why:
Smaller companies can switch strategies faster than their behemoth counterparts. They can both ramp up and slow down operations more quickly than a company with twice the moving parts and are, as such, better suited to weathering the changing winds of policy with relative ease.
It’s never been easier for a small company to get the financing it needs to grow quickly. Because our world has become so connected, companies now have a bevy of options for getting a fresh injection of capital and are taking advantage of the opportunities.
Advances in technology, and how readily available those advances have become, have evened the playing field between small and large companies. The cloud’s computing tools can be downloaded by juggernaut and startup alike. Putting tech in the hands of a more agile workforce allows smaller companies to keep up with, if not outpace, similarly scoped work done by industry giants.
As discussed in greater detail in our Mythbusters-themed installment, growth is good. And close behind growth follows job creation – especially in this new economy.
Just over a year since President Trump has been sworn in is a good time to reassess this administration’s achievements against last year’s (initial) goals.
As per the Washington Post:
“Relative to the figure from January in each president’s first year in office (excluding those presidents who took office after a death or resignation), Trump saw one of the biggest percentage-point drops in the unemployment rate. The only presidents with larger drops were Bill Clinton in 1993 (a decline of 0.8 points) and Jimmy Carter in 1977 (down 1.1). Both of those presidents, though, ended their first years with much higher unemployment rates, both over 6 percent.”
Our political climate has been riddled with question marks since 2016, and this year is shaping up to be yet another that adds to the punctuation; nevertheless, even with this ambiguity, smaller companies are thriving in the current political climate, and show no sign of slowing down in 2018.
High-quality jobs (when performed by qualified talent) generally lead to strong business performance. As a business continues to grow, and greater investment goes back into the venture, the domino effect takes wing and the benefits of economic development continue in a not-so-vicious cycle.
Melody Ranch is once again suing Placerita Canyon Corp., a mutual-benefit corporation that owns and operates an electronic gate in Placerita Canyon to prevent thru traffic from entering the Newhall enclave.
The Los Angeles County Department of Public Health on Friday confirmed 20 new deaths and 1,296 new positive cases of COVID-19 in the past 24 hours, with 39 new cases reported in the Santa Clarita Valley.
Governor Gavin Newsom visited Valencia Friday to announce the opening of an innovative new laboratory built by PerkinElmer that will increase California’s COVID-19 testing capacity, reduce test turnaround time and create hundreds of new California jobs.
A Santa Clarita man and his Northridge-based business partner were arrested on federal charges Thursday in a relief fraud case alleging the two fraudulently obtained more than $1.95 million in Paycheck Protection Program loans.
The Los Angeles County Department of Public Health confirmed Thursday 19 new deaths, including the 74th death in the Santa Clarita Valley and 1,745 new cases of COVID-19, including 7,267 total cases in the Santa Clarita Valley.
The city of Santa Clarita will be holding a public hearing at the Tuesday, Nov. 10, City Council meeting to consider the transfer of 32,230 square feet of vacant land, at no cost, to Family Promise of Santa Clarita Valley (FPofSCV).
The California State University Board of Trustees has appointed Erika D. Beck, Ph.D., to serve as president of California State University, Northridge. Beck currently serves as president of California State University Channel Islands.
SACRAMENTO – Californians age 70 and older with a noncommercial driver’s license are now eligible to renew online or by mail, eliminating the need to visit a California Department of Motor Vehicles office.
The Los Angeles County Department of Public Health on Wednesday confirmed 20 new deaths and 1,351 new positive cases of COVID-19 in the past 24 hours, with 18 new cases reported in the Santa Clarita Valley.
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