This Day On The Street
Continue to site right-arrow
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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Small Businesses Struggle With Obamacare

Instead it will be forced to "plow more money into employees' benefits," Jerdonek says. "Insurance companies have additional requirements put on them. The costs are passed onto the consumer and in this case the consumer is the small-business owner. That's the pressure it puts on me. That money has to come from somewhere. The price elasticity for our clients isn't very stretchy."

Jerdonek says offering excellent health coverage and benefits is a major factor in retaining employees, so it's not something to be toyed with. "We are in a highly competitive industry ," he says. "We have to attract and retain really smart people and in order to have the really smart people we have to do more than other firms are willing to do. And one of the things we do is we pay a substantial amount of our employees' health- care premium."

Visiting Angels CEO Larry Meigs said the message the in-home senior care franchise is sending to franchisees is encouragement to grow instead of trying to avert the law.

"We're working hard to encourage to all of our franchisees to grow their way out of this as opposed to pulling back," Meigs says. "If you pull back to have only part-timers you're really going to be limited to provide your services. In our case the employees are the service themselves."

The in-home senior care franchise has roughly 450 offices that employee about 50,000 caregivers. Meigs says about 40% of his franchisees would meet the employer mandate.

That said, the company has pulled back on education and planning suggestions for its franchisees.

"Now what we tell them today might be outdated six months from now," Meigs says. "Even at our conference in Baltimore two weeks ago, we had three different attorneys give workshops on health care reform and every one of them qualified their remarks. We have similar workshops scheduled for the remainder of the year -- we're retooling the events to be more generic. We don't want to be handing out a lot of information that's going to become prehistoric six months from now."

-- Written by Laurie Kulikowski in New York.

To contact Laurie Kulikowski, send an email to:

>To submit a news tip, email:

Follow TheStreet on Twitter and become a fan on Facebook

Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.
3 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

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

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs