SILKIN MANAGEMENT GROUP: SMALL BUSINESSES ARE SLOW TO RECOVER DURING THESE TOUGH ECONOMIC TIMES

Silkin Management Group clients are all small business owners. The majority of our clients are private practice owners specializing in dental, veterinary and optometric medicine. Being small business owners they all have to deal with the adverse affects of this economic downturn.

On the whole, Silkin Management Group clients are continuing to grow despite this very rough economy. And, based upon surveys we’ve read in the past and posted on various Silkin Management Group blog sites, most small businesses, including many health care practices, are experiencing decreases in income rather than a continued growth.

Pertaining to this subject I just read an article in Bloomberg Business Week written by Malachi Mixon III, Professor of Entrepreneurial Studies at Case Western Reserve University that discussed why small business owners are still struggling economically. I suggest you read the full article which you can link to here: (http://www.businessweek.com/smallbiz/content/oct2010/sb20101015_444691.htm)

He makes the point that surveys and statistics show that conditions have gotten worse, not better for small businesses since the “economic recovery” began. He says the main reasons for this are:

• Declining home prices.
• Uncertainty about the effects of the new health care legislation and that rates are already rising for health insurance premiums.
• Marginal income tax rates that are high and rising.

Each of these points are discussed in detail in the article. Mr. Mixon also states, “Before investing and hiring, business owners are waiting to see what the current policy environment is going to cost them, and how much they're going to have left over for expansion.”

Due to the management consulting and training that Silkin Management Group delivers – the missing part of a doctor’s education – Silkin Management group clients are, for the most part, growing despite all the reasons why not. And despite many, many of their colleagues experiencing decreases in revenue.

If you are not experiencing growth and not sure what to do about it, you can contact Silkin Management Group at: info@silkinmanagementgroup.com or visit our website at www.silkinmanagementgroup.com. We can help.


Eric Korb
Silkin Management Group Consultant