Taxis and cars go past businesses on Canal Street in Chinatown in New York.Chris Hondros
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Immigrants are one-third of population, 48% of small-business owners
There's no doubt New York is a melting pot. And as one reflection of the importance of foreign-born people to the economy, a new study finds that nearly half of New York's small-business owners are immigrants, as reported by The New York Times.
The study, by the Fiscal Policy institute, found that, while immigrants make up just over a third of the city's population, they constitute 48 per cent of New York's small-business owners. That's about 69,000 business owners.
The study also found that immigrants in the labour force are somewhat more likely than U.S.-born workers to own small businesses.
They run businesses in every sector of the economy, representing a majority in many industries, including retail, transportation and manufacturing. They're also strongly represented in higher-skilled professions, including computer systems design, architecture and engineering businesses, the Times reported.
The largest share of foreign-born business owners hail from China, making up 9 per cent of the total, according to the study. That's followed by the Dominican Republic, Korea, India, Italy, Greece, Columbia, countries making up the former Soviet Union, Israel and the Palestinian territories and Jamaica.
Even so, the study found the top 10 groups make up just 45 per cent; another 55 per cent come from other places.
Still, the Times noted, "immigrant entrepreneurs must navigate a sea of obstacles beyond the normal challenges that all small business owners face."
One study it pointed to found that they were less likely than non-immigrants to own a business that had run for more than three and a half years, and more likely to have shut down a business within the last year.
A lack of access to capital needed to start or expand was one hurdle cited. Another was s confusion about the city's myriad business regulations.
The study defined small-business owners as self-employed people with incorporated businesses, excluding corporations and non-profits.
Small business confidence stabilizes
After plunging to a two-year low in August, confidence among Canadian small business owners stabilized in September, according to the latest monthly Business Barometer Index from The Canadian Federation of Independent Business.
The index rose to 62.7, up a point from the August reading of 61.7, but still below the normal range of 65 to 75 when the economy is growing, according to the CFIB. An index level above 50 means that owners expecting their business's performance to be stronger in the next year outnumber those expecting weaker performance, the CFIB explained.
"Although not a solid sign of improvement, it suggests that the economy is not accelerating downward," said CFIB chief economist and vice-president Ted Mallett in a release about the findings, based on 861 randomly sampled responses from CFIB members.
"Concern over fallout from the fiscal crises in the U.S. and Europe spreading to Canada is still with us, but, for the most part, small business operating plans and expectations are titled toward stability, if not modest growth."
There were differences in industries. Business owners in construction, retail and hospitality were the least optimistic, according to the CFIB. Businesses in natural resources, information, health and education were more optimistic.
Business owners said conditions related to new orders, overtime use and inventories were in generally better shape than at the same time last year. Employment plans and feelings about business performance were also on par. "The only real signs of cutbacks amid concern about the potential for an economic slowdown centre on capital expenditures," Mr. Mallett said. "Only about half of business owners" are planning to spend in the next three or four months, adding that owners "appear to be operating conservatively, conserving cash and focusing on keeping their businesses steady rather than making bets on future growth."
Surefire brainstorming killers
"The whole point of brainstorming is to let creativity emerge and shine," points out a piece in Inc.com. Yet, there are many ways to stifle that creativity, and Inc.com points out five types of behaviour to avoid.
Among them: Don't pass judgement or comment while ideas are flowing. Oh, and laughter isn't a mood lightener; it's an idea dampener. Other suggestions: Hold back on editing, don't leap to worries about how to execute an idea nor worry about "one right answer," and keep idea sessions from wandering off-topic.
EVENTS AND KEY DATES
Small Business Summit
Our very own Report on Small Business , in conjunction with Achilles Media, will be bringing you the Small Business Summit. Join us at the one-day event, geared to entrepreneurs, to kickstart your small or medium enterprise to the next level. It will offer specialized keynote speakers, including Maxime Bernier, minister of state for small business and tourism, along with workshops and networking opportunities. It takes place Nov. 8 in Toronto. For more information, click here.
Mentorship in the Valley
C100 -- a non-profit organization made up of Canadians mainly based in Silicon Valley who aim to support Canadian technology entrepreneurship and investment-- will be holding an event called "48hrs in the Valley." It's the group's flagship mentorship program put on in conjunction with the Canadian consulate of San Francisco and Palo Alto. Twice a year, it invites 20 of Canada's most promising startups to the Valley for two days of mentorship, workshops, investor meetings and networking. The next one takes place Dec. 5-7. For more information, click here.
Help for 'accidental entrepreneurs'
Are you an accidental entrepreneur: love the business you're in, but not so keen on doing the business it takes to make it pay off. You might want to check out a telesummit that will bring together 19 experts and advice to help with some of the basics: how to charge and get the right fees, attract clients and get new business. The summit takes place Oct. 17 to Oct. 21; sessions are free. For more details, click here.
EDITOR'S PICKS FROM REPORT ON SMALL BUSINESS
Best funding route to overseas expansion
Today's Challenge: Mobile app developer QuickMobile faces a choice on whether to raise smaller rounds or go for a large infusion as it aims to move into Europe and Asia.
FROM THE ROSB ARCHIVES
Another bust to brainstorming
Speaking of brainstorming, can group dynamics be another idea killer? Check out a March piece that looked at that very question for some answers.
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