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Sunday, February 07, 2010

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TP

Dear President,
I agree that small businesses pay a big role. As they are struggling through these difficult times, one of the problems I see is the rent. I have seen 3 businesses fold in my complex as the landlord failed to give a hand in reducing the rent. If the revenues are going down, rents need to go down proportionately. I think some legislation is needed here to help small businesses. My 2 cents.

A small business owner.

Small Business Advocate

As an SBA lender trying to help as many small businesses as we can gain access to capital, we're receiving little to no response from leaders regarding two SBA programs, Patriot Express and Community Express! These two programs have helped more minority and veteran small business owners access capital than other SBA lending programs! Let's work together to make these programs permanent to continue the growth of ALL small businesses!

GB

@TP Landlords are business owners too, and in my area many are struggling to cover their expenses & mortgages during this difficult economy. Tenants contractually commit to rental payments, and the landlords depend on those promises to pay their obligations; mortgages, taxes & insurance, and covering maintenance needs. When asking a landlord to reduce rent from $1,000 to $900/month, consider the effect on your business if you reduced your prices by an equal 10%.

Frankly, if a business cannot cover their rental obligations, then they're very likely nearly gone anyway; rent is often a fraction of overall business expenses. Higher expenses are salaries, insurance, taxes, equipment, utilities, and maintaining sufficient inventories. No landlord wants a deadbeat tenant; someone seeking to continue occupying a space they'll never be able to cover the obligations on; if the 1st month is $900, 2nd is $1,800, 3rd is $2,700...how does the tenant, whom couldn't pay the $900, come up with $2,700 just three months later?

Asking landlords to cut into their often marginal profits is nothing more than seeking to fundamentally change not only the contract a tenant committed to, but it forces landlords into the difficult position of effectively subsidizing a tenant. Do you pay customers to walk out of your store with your products, or do you keep a small margin of profit to survive off?

I'm a landlord, the founder of an IT consulting business, and I too was caught in a 2009 layoff.

Peter

A lot of small businesses are in need of financial assistance to help maintain the business. Many small businesses are in need of new supplies, an upgrade of the old ones, and many other business expenses that pertain to the daily operations of the business. Although these may not add up to such large amounts, most small business owners don't have that extra $30,000 to $75,000 or whatever the costs may be.

Nancy

Small businesses are struggling to survive in this environment, causing the loss of more jobs. It is more difficult to get a small business loan today from banks and other financial institutions, leaving small business owners unable to expand, operate and even hire new help. If they cannot get a small business loan to keep their business operating and expanding, jobs will not be created. I also think that, in conjunction with the ability to obtain a small business loan, lowering taxes to business is equally important to improve our financial growth.

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