In the News: Main Street Lending Rates Tell of Unsure Economic Future
We saw more signs this week that the economy may be slowing down a bit. And it’s getting a little tougher to keep your business going.
For instance, a new report from Lending Tree saw a reduction in the amount of borrowing among Main Street businesses.
Perhaps the recent prolonged government shutdown had some impact on that figure, but it matches with reports in previous weeks. The economy may not be going downhill but it definitely looks to be leveling.
The lack of borrowing may be an issue when employers confront the recent trend of higher wages. New data from ADP this week shows U.S. wages grew 2.8% at the end of 2018 over the previous year. That’s likely to continue in 2019, too.
If you’re diverting funds to pay higher wages, it’s more likely you’ll need to borrow to grow your business.
So, it looks like it’s time to get strategic. Remember, successful businesses can be immune to most economic conditions. If you see this downturn happening, start planning a way to keep your business ahead.
Your time is money and if you’re forced into being more pennywise, you can ill afford to lose nearly three full work weeks in meetings.
from – Smallbiztrends.com