New York SBDC Research Network

The mortality rate for small businesses is still scary. Approximately seven out of 10 new small businesses survive at least two years, half almost five years, a third more than 10 years, according to the most recent United States census... The reasons for the high mortality rate changes little year-to-year, according to the U.S. Small Business Administration. High on the list are insufficient funds, poor product or service, unqualified entrepreneurs, and lack of commitment. But the most important, yet seldom discussed, reason most small businesses fail is fear of failure... Read the rest of the Mark Cox article HERE .

I believe there are some really good aspects of the new health care bill. This is not one of them: Over-the-counter medications will require a prescription to buy them with flexible spending account funds next year under new health care reform regulations. "The health care reform law sharply restricts FSA reimbursements for OTC purchases such as nonprescription pain relievers, cold medicines, antacids and allergy medications." Insulin is specifically excluded from this ruling. Specifically, "the IRS says OTC reimbursements require a prescription, which it defines as a 'written or electronic order for a medicine or drug that meets the legal requirements of a prescription in the state in which a medical expense is incurred and that is issued by an individual who is legally authorized to issue a prescription in that state,'" whatever THAT means.

The majority (82%) of small business owners feel that their interests are typically overlooked by the government, according to a new survey by Regus. More than half (56%) in the U.S. believe banks should be forced to lend more to entrepreneurial ventures and small businesses. Seventy-five percent of U.S. entrepreneurs also stated that government venture capital funds should be available to support entrepreneurs and their business initiatives, indicating that maintaining cash flow continues to be of concern for businesses. More HERE .

A recent article in the Albany Business Review brought to my attention that New York State has set aside $25M for small business loans. The board of Empire State Development Corporation approved the funds Nov. 18. The money, in the form of a revolving loan fund, was included in the current state budget as an attempt to combat the problems small companies have had accessing credit during the recession. The lenders are to provide an equal amount of matching funds—generating $50 million for lending to small businesses, particularly minority- and women-owned firms, over the next two years. The low-interest capital will flow through 20 “alternative lenders,” such as credit unions and community development financial institutions. The money will support micro-loans of $25,000 and below, as well as larger loans of up to $250,000. To see a list of the financial organizations receiving the money and to learn more, click here .

Thanksgiving: thanks to the Census Bureau . The "event became a national holiday in 1863 when President Abraham Lincoln proclaimed the last Thursday of November as a national day of thanksgiving. Later, President Franklin Roosevelt clarified that Thanksgiving should always be celebrated on the fourth Thursday of the month to encourage earlier holiday shopping, never on the occasional fifth Thursday." We are thankful that FDR provided that extra shopping period. Otherwise, Thanksgiving would have been a week later in 2000, 2006 and 2007, and would be a week later in 2012, 2017, 2018, 2023, 2028, 2029... Seriously, I am thankful for all sorts of good things.

As supply costs in the food and beverage industry are inflating at alarming rates, now is a good time for effective food service managers to revisit their menus and develop some pricing strategies to position them for continued success in the marketplace. Quite a few operators are rightfully concerned about recent price increases. Still, this actually provides a nice window of opportunity to make some changes to menu prices and actually increase profit. While I would like to provide a tried and proven formula food service managers could use for pricing their menus, the fact is that menu pricing is more of an art than a science. There are just too many different factors that come in to play and probably one of the biggest mistakes managers make is to price their menu offerings based on formula rather than thinking about some of these factors.Any business that is considering their menu prices should not only consider their supplier costs, but also a competitive analysis and some form of ...

Succeeding in business is all about accurately analyzing information and then making smart decisions. Falling for BS is antithetical to both. But with the world awash in half-truths, partial distortions, aggrandizing exaggerations and out-and-out lies you’ll have plenty of opportunities to fall prey to other people’s bull. How can you protect yourself from being led astray by their nonsense? Read HERE .