Great business ideas

Amelia Turner asked:


The credit crunch and stock market crash will have an impact on households’ income and their ability to pay for college. The tuition fee, room, books, travel and other college expenses are continuing to soar while the economy has worsened. With today’s economy situation, it will be much more difficult to obtain a student loan. Parents are looking for alternative education options for their children and online education has came out to be the best education option that meets the tight education budget of the parents.

Prior to this economy crisis, students who choose to pursue their degree online are mainly enjoying the benefits of online education that give them flexibility study environment, but with economy downturn that leads to a recession, cost effectiveness of online degrees may become the key factor that divert many of pro campus-based parents and students to opt for online education.

Getting a degree through online education program can be a good option in the recession period. As the online education enable students to logon to the classes from their home or any location at their convenient, it eliminates the hassle of traveling to and from the college, while helping to save in term of traveling cost. Students who study at campus-based college that is far away from their home may need to relocate by renting a room and a house that close by; this additional cost can be saved by pursuing the same degree offered through online education.

Most learning materials used in online degree programs are in digital format that can be downloaded from the online learning system of the school. Although the online colleges may add some charges to the downloadable online learning materials, it still a saving if compare to the cost needed to purchase those printed books and references required by campus-based colleges.

Another key advantage of online education to be the best education option for those who have tight education budget is the online students can choose to work while pursuing their degree. Most online degree programs have some sort of flexibility that allows the students to plan their own pace of study. This advantage enables the students who are working for extra income to plan for their study time that fit into their working schedule. Moreover, the students who are working do not need to rush to college after work; instead, they can go home and take a bath and nice dinner before they logon to the online class from their comfort home.

Summary

In the bad economy situation, education for children still needed to be invested for their better future. But, with online education, parents have a better education option that can meet their children education requirement while fulfilling their tight budget plan.

Michelle Kour asked:


An investment property is becoming a more popular choice for those seeking to create a revenue stream and also achieve capital growth through the investment property value increasing over time.

This can also be part of a strategic financial plan and should be considered by investors as part of a diversified portfolio. When considering an investment purchase you should also source the best investment loan structure for you. With any investment your investment loan can make a difference to your return. If you are negatively geared through an investment loan the cost to you of that investment loan can effectively be reduced.

If you purchase wisely, once there has been capital growth in the investment property over time there is the option of using this built up equity to move into another investment property, take out another investment loan and thereby continue to further increase your investment portfolio.

Aside from the traditional belief that tax advantages are the key driver for taking out an investment home loan there are many other factors to consider when purchasing an investment property.

Below are some key points for your reference, by using these points as a guide in conjunction with a detailed discussion with your accountant or financial planner you will be in a better position to ensure your investment purchase and investment loan is a financially sound decision for the long term.

In relation to property enquiry therefore, you should consider:

* What is the infrastructure like in the area? Are there enough schools, hospitals, shopping centres, doctors and dentists, freeways or main roads?

* What has the historical capital growth been in the area over the last two decades?

* Is the local council planning to increase housing density or add a new road to increase traffic flow?

* If you are purchasing in a new subdivision, are there more new land blocks and house and land packages planned nearby. New developments can impact on the value of your home as purchasers often prefer a new home to one that might be 2 or 3 years old in the same area.

* What length of time will the investment be held? And will this tie in with planned infrastructure development which will in turn accelerate capital growth?

There has been recent press to suggest that investment and home property values in Sydney have a potential capital growth of 18% over the next 3 years so buying off the plan as an investor may be an attractive option in the current market. If you find a good property development, suitable for investment, which has a completion date in say 2010 – 2011 then you can exchange contracts with either a 10% cash deposit or a deposit bond (as a guide the cost of a deposit bond of around $86500 for say settlement September 2011 will cost you approximately $9000- $9500 (significantly less than the interest you would pay over the period if you borrow $86,500 at current interest rates of 9% p.a). The general feeling is that direct investment into property as opposed to into managed property funds is a better way to go – you are in control of your investment and avoid the high management fees so often charged by share and property investment funds.

Do some research on the internet to see which areas have the greatest potential for capital gains – remember if you are looking for an investment property you should invest with your head not your heart. An investment property needs to be well located to transport and other facilities so that those renting can easily access these services.

When considering which investment loan would suit you best take the following into account:

1. Does the investment loan allow you to split it into a number of investment loan accounts. This is a good feature to have in an investment loan because you are positioning yourself for the future – if you use the investment property at a later date to gear into another investment purchase then you can split the account so that the investment loan portion relating to the new purchase is clearly identified. This allows you, and your accountant, to easily track the costs associated with the new purchase.

2. If you use your home property (with an existing home loan) as security for the investment loan then it is imperative that you do not mix any home loan debt with your investment loan borrowings. The ATO in Australia requires you to apportion any additional repayments to a loan where the borrowings are “mixed”. You want to apply any additional repayments to your home loan before your investment loan. You are paying your home loan off in after tax dollars – whereas you can deduct the interest you are paying on your investment loan against the income form the investment property.

3. Does the investment loan allow you to capitalise interest? It is always a good idea to include a capitalising feature as a part of your investment loan to protect you against any unexpected costs in relation to the property. It also means that instead of subsidising the investment costs and interest shortfall on your investment loan you can capitalise these and make additional repayments to your non-deductible home loan debt.

4. If you have sufficient equity in your home then you may be better to consider a 100% + costs investment loan for the investment acquisition and use any savings you intended for the investment purchase to pay down your home loan debt.

If you consider all these points your investment loan will be working in your favour at all times.

William Smith asked:


Investing can be defined as the resources with the expectation of some satisfaction or profit in return by putting forth an effort. By Investing we will invest more into our future, not just as a state but also as a society.

Investing money is different from saving money, as in that money that is invested is committed for a period of time with a sure risk for the purpose of earning a financial return. The concept of saving money merely means to put it aside as a store or reserve.

Your goal in Investing could be to make the greatest return possible resource within the shortest period of time without losing any of the principle amounts you have originally invested.

Many people are afraid in Investing their hard earned money because one of the most leading reasons for this fear is ignorance. People should understand that the more they learn and understand the better equipped they will become to make wise decisions as a money manager for Investing.

Why Investing can be Important?

While Investing one of your key responsibilities is not only to provide for yourself and your family, but resource within the short term but also to trait within the long term. Unlike saving money, Investing will always be associated with a risk factor.

The degree of risk is dependent on the Investing option you choose and is typically proportional to the potential return of the investment. The old saying, “If it sounds too good to be true…” it typically is. Each person has a different tolerance for risk. You would never be Investing in things that make you lose sleep at night.

Mainly due to the negative effects of inflation, it is the opinion of many people that making the choice not to invest is the greatest risk you can most defiantly make with your savings. Inflation is the single greatest threat to your future financial well being in Investing. It results trait within the constant, steady erosion of money’s value.

When to start Investing?

To start Investing, time is your greatest asset element within the accumulation of wealth. You could begin to invest as soon as possible but not until you have built a solid financial foundation for yourself. Investing requires a long-term commitment.

The money you allocate to would not be money that will be required for many years. To trait within the event of a major depressing financial situation, you definitely wouldn’t want to be forced to withdraw money that has been allocated in a long-term investment to meet the requirements of a short term need.

Thus, it is imperative that, no matter what may come, your financial foundation must be strong. As a minimum, you would eliminate all of your consumer debts like the credit cards, student loans, furniture loans, auto payments, etc and build an adequate cash emergency account.

In many cases, for Investing if you or someone that understands and has the expert knowledge to start your investment program while you still have existing consumer debts then it is similar in effect as to borrowing money to make your investments. The greatest risk free return will always be to pay off the existing consumer debts before committing your money to Investing needs.

Where can Investing be done?

Usually, there are an unlimited number of Investing opportunities. The investment selections would include a moderate level of risk in exchange for a reasonable rate of return keeping in mind the maximum degree of diversification. It is most important to understand if you are ready to begin Investing, then your first plan could be one that is qualified by the IRS.

The Qualified savings plans are those that are designed by the IRS (government) with sure tax advantages to encourage citizens to participate in a long-term savings program. The basic qualified plan that is available to all the people that have earned income is the Individual Retirement Arrangement (IRA).

An IRA can consist of many numerous styles of Investing plans. It can either be a mutual fund, a certificate of deposit (CD) at a local bank, or a number of other options. An IRA comes in three different forms:

1. Long-established Deductible IRA

2. Most common Nondeductible IRA

3. Roth IRA

Investing today, has given a wide range of choices like the stocks, bonds, mutual funds, treasury securities which include savings bonds, options, commodities, commodity futures, real estate investment trusts, also known as the REITs, variable annuities and many more.

Those who have thought to invest must investigate before and remember that every single investment involves some degree of risk. These securities are not insured by the federal government if they fail, even in general speaking, if you or someone that understands and has expert knowledge purchase them through a bank or credit union that offers federally insured savings accounts, then make sure you have answers to all of these questions before you actually start Investing.

Jullie Harvard asked:


Nowadays, pursuing a degree through online education is common, and the value of online degree from a proper accredited university or college is equally weight than the traditional campus-based degree. With both campus-based degree and online education you have more options to choose from if you want to earn a degree for you career advancement. Online education has many advantages that can benefit its students, but it may not be a good option for all students; then what makes online education a better option for you?

Here a 5 signs that an online education might be a better option for you:

1. You want to continue your current job while pursuing a degree

In order to success in both work and study, you need to have a good time management that helps you to stay focus in both tasks. Online education will make it easier for you if you are the person who does not want to give up your paycheck while earning a degree for better career future. The advantages of online education that allows it students to have the most flexible learning environment can benefit a working individual and plan your times that best fit into both work and study.

2. You are managing multiple time commitments

Online education helps to cut down wasted time in traveling to and from school while providing flexible scheduling that can enables you to fully utilize your time. If you are a person with full of time commitments with multiple working around obligations, you will appreciate the anytime, anywhere access of the virtual classroom. Online education will be a better option for you if you have such working obligations while you study:



Frequent traveling for job assignment

Unfixed working schedule / work on shift

Involve in project-based work that need long working hour

Need to take care of your children after work hours



3. You are a visual learner

Traditional campus-based learning style is more emphasis on auditory activities such as lectures and oral discussions while online education learning style is mostly in visual learning format that involves reading, writing with various visual aids found in virtual classroom. Hence, if you prefer to “read and learn” than “listen and learn” type of style, an online education learning environment will be a better option for you.

4. You are self-motivated “Self-motivation” is the key factor to a success online study.

Online classes allow you to logon to the class at anytime and remain in the online class for the duration you prefer, nobody will push at your back to urge you complete you projects or assignments. You may move through the material at your own pace, passing quickly on the area you already familiar with and spending more time to understand new concepts. If you equip with a good “self-motivation” characteristic, then you should have no problem in completing an online education program which makes it a better option for you.

5. You are interest in a specialized degree not available locally

One of the most compelling reasons to opt for online education is you can earn your dream degree offered by any of university in the world as long as the university offers online degree programs. Distance is not an issue for online education because you can reach it with mouse clicks no matter how far it is located from your place. The online education will become a better option for you when the degree you are interested in is not available locally.

Summary

Earning a degree online can have many advantages over the traditional campus-based education. It will become your better education option if the advantages of online education can benefit you while helping you to achieve your education goal in a better way.

Jimmy Cox asked:


Would you join a safe stock market investment club where you met regularly with friends to have a good time, learn something, and hopefully make some money? If you said yes to that statement, you might want to consider joining, or starting your own, investment club.

An investment club is simply a group of people who share an interest in the stock market pooling their resources into one large investment. Investment clubs are long-term commitments. They are a wonderful way to get to know the stock market, have a good time, and, over time, make some money. But making money should not be the primary reason to join an investment club - since investing is always, even in a shared setting, a risky venture.

Generally, an investment club has between 10 and 40 members, though many seem to settle around 16 as a good number. Decisions on investing are made democratically, either in a one person, one vote fashion; or with weighted votes, where each person`s voting strength is determined by the amount they have invested in the safe stock market investment club. Safe Stock Market Investment Clubs can be partnerships, or corporations, though partnerships are more common. They can meet monthly, or twice monthly. They set up different committees, they research stocks in different ways, they each have their own investment goals.

Investment clubs are as individual as the investors that make them up. What they have in common is a desire to get to know the ins and outs of the stock market. To come together with like-minded people to realize more from your investment capital, over the long-term, and to enjoy yourself while you are doing it.

Enjoyment is a key part of an investment club. If you`re not having fun while you are participating in the safe stock market investment club, it`s probably not the safe stock market investment club for you. And it should go without saying that if you are looking to make a quick profit, an investment club is not the place to be.

Unfortunately, it`s often difficult to join an established investment club. Many of them have been operating for years, even decades, with the same members and they aren`t likely to grow. Which leaves many hopeful club members with the option of starting their own safe stock market investment club. This is a great option, but it should be considered carefully. Make sure that you fully understand what needs to happen for your safe stock market investment club to be successful, and be sure you are starting for the right reasons. Here are a few points you might want to consider: . Are you being realistic? If you`re starting an investment club to make a large profit in the stock market, you`ll likely become very disappointed. The goal of an investment club is to learn more about the stock market, and to have fun. If you have dreams of becoming rich you`ll be starting the safe stock market investment club for the wrong reasons. Remember, joining an investment club means joining for a long period of time.

Are you willing to be an amateur? Starting an investment club won`t make you an expert in the stock market overnight. In fact, an investment club is ideal for a group of amateurs who want to learn about how the stock market works and what it can do for them. An investment club is a safe environment in which you can invest without the worry of losing a large amount of your hard earned dollars when something unexpected happens.

You can start with a little. Don`t think that you need a lot of money to start an investment club. You can set a minimal fee for each month`s contribution that will fit into your budget. You can determine what that minimum monthly contribution should be when you have your first meeting of the investment club.

There is strength in numbers. On your own you may not have enough money to invest in the stock market in a way that will let you realize a reasonable profit. However, when you combine your investment dollars with the dollars of others in the safe stock market investment club you`ll have a significant amount of money to invest in the stocks that you think may be successful. Keep in mind that just as there is strength in numbers there is also a shared sense of security when you`re not investing alone.

Do you like democracy? One thing that you should keep in mind is that your voice will be part of the larger group and you may not always get your way. If you`re unable to sit back when you`ve been outvoted on a favourite stock, and let another investment choice be made, then an investment club might not be for you.

Can you be satisfied with a learning experience? You should be prepared to never realize a profit from the stock market. One of the key parts of an investment club is the benefit of studying the stock market with other people with the same interests as yourself. If you never make a penny you should still be happy with your participation as part of an investment group.

Investment clubs are great ways to get to know the stock market in a safe, supportive, and fun environment. Starting your own investment club will make sure that you have a safe stock market investment club that will closely reflect your interests, though there will be compromises in any group setting. Friends, fun, a chance to study something you are keenly interested in, and a chance to make money. An investment club can be the best of all worlds.

Amy Nutt asked:


A Guaranteed Investment Certificate, or GIC is a type of Canadian investment in which the rate of return is guaranteed over a fixed period of time. Guaranteed Investment Certificates are relatively low-risk investments, and thus yield smaller returns than that of stocks, bonds and mutual funds. GIC’s are typically offered by banks or trust companies. These safe and secure Canadian investments earn interest at a fixed rate, variable rate, or based on a market-based index. Many Canadians view Guaranteed Investment Certificates an excellent choice for an investment portfolio that requires a measure of safety.

How do Guaranteed Investment Certificates Work?

With GIC’s, you will invest an amount of money (determined by you) for a period of time that is determined by the specific type of Guaranteed Investment Certificate that you choose. Typically these periods of time vary greatly and can tend to range anywhere from 1 day to 10 years. GIC’s with longer terms will earn more interest than short term ones. When your Guaranteed Investment Certificate reaches the end of its term (otherwise known as ‘maturity,’) you will be able to access not only your initial investment, but the earned interest as well.

Some Canadian Guaranteed Investment Certificates require that the amount of money you invest initially remain ‘locked in’ for a minimum period of time (30 days for example). Other GIC’s will allow you to access your money before the investment matures. There are even Guaranteed Investment Certificates that allow you to add to your initial investment amount by making weekly, biweekly or monthly contributions.

Redeemable vs. Non-redeemable

Guaranteed Investment Certificates can be redeemable or non-redeemable. As aforementioned, there are some GIC’s which allow you to access your cash during the term. This is referred to as ‘redeemable.’ With a redeemable investment, you will be able to withdraw your cash before maturity. Some redeemable GIC’s specify that you will earn less interest if you cash out prior to maturity.

Non-redeemable Guaranteed Investment Certificates do not allow withdrawals before the maturity date. Non-redeemable GIC’s may offer higher interest rates than redeemable ones.

Interest

Guaranteed Investment Certificates in Canada can be offer either fixed or variable interest rates.

Fixed Rate GIC’s

With a fixed rate GIC, your investment will earn interest at a set rate. That is, the interest that your investment earns will be consistent throughout the term of the investment. The benefit of fixed rate GIC’s is that you can predict exactly how much your investment will be worth on the maturity date.

Variable Rate GIC’s

Variable rate Guaranteed Investment Certificates are either linked to the Canadian prime interest rate or to stock-market performance. With interest-rate linked GIC, you are guaranteed that your money will grow, but you will not know at which rate until maturity. With market-linked GIC’s, you can earn more interest if the stock market does well, but your initial investment will be protected either way.

Benefits of GIC’s

The most important benefit offered by this type of investment is safety and security. Your initial investment will be protected. With fixed-rate GIC’s you can also enjoy guaranteed growth and an easy way to project value at maturity. GIC’s are also known to offer excellent interest rates. Finally, GIC’s are typically pretty flexible investments. You can enjoy flexibility in length of term as well as how often you receive payments.

If you live in Canada and are interested in investing your money in a safe instrument, a Guaranteed Investment Certificate may be right for you. To find out more about what is available in your area, visit your local bank.

Mary Jackson asked:


The ability to obtain an online education degree has opened the educational doors for many students who cannot afford to attend school on campus as a full-time student.  Distance learning courses definitely provide some advantages over the traditional college education. But, because of the methods of delivering and receiving the material, students must consider the 7 things necessary in approaching an online education successfully.

1. Choosing the best education online institution - Make sure the institute for higher education chosen has adequate resources and accreditation recognized by the proper authorities.  Unless authenticity can be verified, find another school.  Sadly, unscrupulous degree mills offer degrees with short-term or no real education. Thus, the diplomas are bogus and absolutely worthless. Find a school that provides solid education, ample student support, and the facilities necessary to succeed in your distance learning.

2. Evaluate the cost and benefits - Generally, obtaining an online education is a costly venture. Most people do not realize the cost is often more than a traditional education.  So, it is important to evaluate the desired online education degree, and determine whether the benefit of future income opportunities will offer the reward for gaining an online degree.

3. How do employers view an online education degree? - There are many instances where employers were skeptical about the legitimacy of online education degrees. With so many “diploma mills” out there, it’s warranted for employers to be cautious. Although an online education degree might be legit, it would be very helpful to the employer if you provided the type of accreditation your college has beforehand to avoid any misunderstanding. By letting the employer know in advance that your institution was accredited by an institution that is recognized by CHEA and US department of Education, you will be a step ahead in qualifying for that dream job.

4. Discipline, determination, and time - First time distance learning students are often surprised by the amount of discipline necessary to stay on task and complete the online assignment.  It takes unfaltering determination to achieve an online education. In addition, without regularly scheduled classes, it is essential to exercise good time management skills. To keep focused, without the physical presence of educator and peers, it is important to establish communication with other students to have another push toward success in your education degree online

5. Utilize all the facilities provided - Online courses generally provide online lectures and email correspondence to ensure a means of communication with instructors, tutors, and fellow students.  Take advantage of every opportunity to utilize these resources of motivation and encouragement, as well as establish a sense of connection with the college or university.

6. Make use of credit transfers - Many online education degree colleges allow students to transfer their credits from courses they took in previous colleges, whether online or traditional. By doing this, it means students don’t have to repeat courses they learnt before. For this to be effected, it’s important for a student who intends to pursue an education online to make sure they get transcripts and results from their previous universities or colleges and make them available to their accredited online college so they can be passed as transfer credits.

7. Make use of the educational technology - Accredited online universities offer a plethora of opportunities for doing necessary research and other facilities to ensure adequate completion of the course.  Normally, the cost of virtual libraries, the programs to access online lectures, and even student online access and e-mail accounts are factored into the cost of the course. Therefore, it only makes sense to use all the technology available to make the most of the educational opportunity in achieving an online education degree.

Raghav Khanna asked:


Investing !! What’s that?

Judging by the fact that you’ve taken the trouble to navigate to the Learning Center of website, our guess is that you don’t need much convincing about the wisdom of investing. However, we hope that your quest for knowledge/information about the art/science of investing ends here. Sink in. Knowledge is power. It is common knowledge that money has to be invested wisely. If you are a novice at investing, terms such as stocks, bonds, badla, undha badla, yield, P/E ratio may sound Greek and Latin. Relax. It takes years to understand the art of investing. You’re not alone in the quest to crack the jargon.

To start with, take your investment decisions with as many facts as you can assimilate. But, understand that you can never know everything. Learning to live with the anxiety of the unknown is part of investing. Being enthusiastic about getting started is the first step, though daunting at the first instance. That’s why our investment course begins with a dose of encouragement: With enough time and a little discipline, you are all but guaranteed to make the right moves in the market.

Patience and the willingness to pepper your savings across a portfolio of securities tailored to suit your age and risk profile will propel your revenues at the same time cushion you against any major losses. Investing is not about putting all your money into the "Next Infosys," hoping to make a killing. Investing isn’t gambling or speculation; it’s about taking reasonable risks to reap steady rewards. Investing is a method of purchasing assets in order to gain profit in the form of reasonably predictable income (dividends, interest, or rentals) and appreciation over the long term.

Why should you invest?

Simply put, you should invest so that your money grows and shields you against rising inflation. The rate of return on investments should be greater than the rate of inflation, leaving you with a nice surplus over a period of time. Whether your money is invested in stocks, bonds, mutual funds or certificates of deposit (CD), the end result is to create wealth for retirement, marriage, college fees, vacations, better standard of living or to just pass on the money to the next generation. Also, it’s exciting to review your investment returns and to see how they are accumulating at a faster rate than your salary.

When to Invest?

The sooner the better. By investing into the market right away you allow your investments more time to grow, whereby the concept of compounding interest swells your income by accumulating your earnings and dividends. Considering the unpredictability of the markets, research and history indicates these three golden rules for all investors 1. Invest early 2. Invest regularly 3. Invest for long term and not short term While it’s tempting to wait for the “best time” to invest, especially in a rising market, remember that the risk of waiting may be much greater than the potential rewards of participating.

Trust in the power of compounding Compounding is growth via reinvestment of returns earned on your savings. Compounding has a snowballing effect because you earn income not only on the original investment but also on the reinvestment of dividend/interest accumulated over the years. The power of compounding is one of the most compelling reasons for investing as soon as possible. The earlier you start investing and continue to do so consistently the more money you will make.

The longer you leave your money invested and the higher the interest rates, the faster your money will grow. That’s why stocks are the best long-term investment tool. The general upward momentum of the economy mitigates the stock market volatility and the risk of losses. That’s the reasoning behind investing for long term rather than short term.

How much money do I need to invest?

There is no statutory amount that an investor needs to invest inorder to generate adequate returns from his savings. The amount that you invest will eventually depend on factors such as:

Your risk profile

Your Time horizon

Savings made

What can you invest in?

The investing options are many, to name a few

Stocks

Bonds

Mutual funds

Fixed deposits

Others

Whether you are new to investing or have been investing for a while, our online courses can help you learn how to invest better and smartly. The courses are comprehensive yet simple and easy to understand. It has been our endeavor to empower our customers and the learning module is a step in this direction.

The courses include modules on:

Equities

Futures

Options

Mutual Funds

Tax

ULIP Vs Mutual Funds

So start now… Becoming a smarter investor has never been easier!

Jonathon Hardcastle asked:


Everyone agrees on a broad level that small businesses are vital to the American economy. However, most people would be surprised to know just how important. The United States Small Business Administration keeps records and statistics on small business in the United States and some of their findings are surprising.

First, the typical perception of a small business as a mom and pop operation with just a few, if any, employees is not the entire picture. The Small Business Administration defines a small business as an independently business with less than 500 employees. There are an estimated 23 million businesses in the United States that meet that classification. In some smaller towns in the United States, these businesses represent a major source of employment.

In fact, small businesses as defined by the Small Business Administration represent 99.7 percent of all the employers in the country and employ half of all private sector employees. More than 45% of the private sector payroll is generated by small business. Over the last decade small businesses have accounted for 60 to 80% of all new jobs created on an annual basis.

Although a large percentage of small businesses are in the retail and service sectors, small businesses are rapidly making gains in the technology sector. 41% of high tech workers like engineers, scientists and computer programmers are employed by small businesses. Employees at small businesses produce 13 to 14 times more patents than those employed by larger companies.

The Small Business Administration also offers some interesting observations on small business survival. Two-thirds of small businesses survive for at least two years declining to 44% after four years. Most of the factors that support a small business surviving are well known, such as access to capital and owner’s education level. However, a lesser known factor in small business survival is that the business is large enough to have employees.

Similarly, barriers to starting a small business include lack of access to start-up capital and lack of education. However, the number one barrier to small business start up and a primary concern of existing small business owners is access to private health insurance. Individual health insurance for sole proprietors is much more expensive than receiving coverage through an employer. If a small business owner is able to offer health insurance to its employees, the administrative and premium costs are often much higher than those for larger businesses.