Caring for Mom and Pop

Mom and Pop shops are a key ingredient to the secret sauce that makes America great. This nation empowers the individual and provides opportunity for any individual to pursuit their dream. Business ownership is the path that lead many individuals to success. Small businesses according to the Small Business Association are individual business with less than 500 employees. They make up the majority of businesses and are the foundation to our economy.


An individual must have a strong work ethic, a positive attitude and a high level of confidence but still be able to listen to customers, employees, mentors and leaders in the business to succeed.  The failure rate is high with only 50% of businesses surviving 5 years. Starting a business with a well thought plan increases the odds of success but there are perils all along the journey,

Payroll is one of the first areas a small business owner will cut to make ends meet. Political pressure to raise minimum wages will have minimum impact on Walmart and Costco but could drastically change the bottom line to the small business. 

The Affordable Healthcare Act has added increased burdens to small businesses.The Affordable Healthcare Act (ACA) Employer mandate requires businesses with 50 or more full time employees to provide healthcare for its employees. Traditionally small business owners would cancel their personal health insurance during tough times because they want their business to survive. Big box businesses can absorb the ACA costs until they manage to pass it on to the consumer.

Managers, assistant managers and other salaried employees run the business with the owners or upper management teams.  Any salaried employee making less then $24k is eligible for paid over time. The federal government is increasing that number to $50. This is affordable for large corporations.

These perils will force many Mom and Pop shops to reduce employee hours and work more hours themselves. They can also accept the increased costs and find ways to cut spending in their business or at home or be forced to close their doors.

A Non-employer is a business that has no employers other than the proprietors. Non-Employer businesses are on the rise. Employer businesses (businesses whose proprietors hire employees) have remained flat. Small Businesses started by young entrepreneurs is down 20%  

Mom and Pop shops are struggling under pressures from socialist objectives that are sweeping our nation. Objectives that can be met by traditional American values such as hard work, saving money, and living within one's means as opposed to demanding entitlements from hard working individuals.

Our education system is failing our young people. They enter adulthood without the tools and mindset they need to develop into strong individuals capable of managing their own lives.

Changes need to be made. Distributing entitlements doesn't necessarily help individuals succeed. Forcing small businesses to finance those entitlements hurts all of us. Remember we need to also take care of Mom and Pop.