This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

3 Things You Should Know About Small Business: May 4

NEW YORK ( MainStreet) -- What's happening in small business today?

1.Census data shows the U.S. business startup rate fell below 8%. The nation's business startup rate fell below 8% for the first time in 2010, the most current year of data available, marking the lowest point on record for business launches.

New firms -- as a percentage of all firms -- continued a steady downward trend in 2010, going from a high of 13% in the 1980s to just under 11% in 2006 before making a steep decline to 8% in 2010, according to U.S. Census Data analyzed by the Ewing Marion Kauffman Foundation.

The reduced numbers of new firms means fewer job created by small businesses. From March 2009 to March 2010, U.S. private-sector firms created a net negative 1.8 million jobs. The 394,000 companies that began operations in 2010, however, created 2.3 million jobs, in spite of the anemic economy, Kauffman says.

Young firms -- those five years old or younger -- now comprise less than 35% of all firms, down from nearly 50% in the early 1980s.

Startup decline was seen in all states, although some fared better than others. While the report does not break out state-by-state formation, those that experienced the largest declines were primarily those in which young businesses had the highest new business activity in the 1980s. These states typically were in the West, Southwest and South -- the regions hit hardest by the recent recession.

2. What to do if you have two different customer demographics? Denise Lee Yohn, QSR Magazine's marketing expert, shares tips on how to appeal to two very different, but profitable, demographics, after a reader asked Yohn how to brand his year-round "rock bar and restaurant" so that it would also appeal to families that go to the seasonal amusement park across the street.

While Yohn typically recommends against it, because it presents too many challenges, she offered two options: "craft an overarching brand platform that works for both audiences and tailor messaging to each, or use a linked brand to create separate brand identities for each part of your business," she writes.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
AAPL $132.54 0.00%
FB $80.54 0.00%
GOOG $540.11 0.00%
TSLA $247.73 0.00%
YHOO $43.48 0.00%

Markets

DOW 18,232.02 -53.72 -0.29%
S&P 500 2,126.06 -4.76 -0.22%
NASDAQ 5,089.3620 -1.4320 -0.03%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs