So many of you have probably followed the huge beef between the popular podcaster Joe Rogan and the CNN news network.
CNN
This conflict starts much earlier between Joe Rogan and Brian Stelter, and Brian thinking he can take on Joe Rogan and win, which is just a ridiculous thought to begin with.
Then from there is all escalates into CNN blaming Joe Rogan for endorsing horse dewormer.
Why would CNN do this?.
So we are seeing a battle between the most popular podcaster in the world, who does not back down from a fight with anyone.
And a dying TV network who have lied about Trump for the past 5 years time to the American viewers.
The problem for CNN is that they took on a guy who will throw down with them, and then they lost.
What was really interesting to see on the podcast with Joe Rogan when CNN:s medical expert Sanjay Gupta and Mr.Gupta had no excuse for why CNN lied about Joe Rogans treatment.
Nyc CNN
What is the takeaway for a small business owner from this conflict?.
It is actually quite simple, never take on an competitor by lying about there products or services if you know that you are lying.
And if you have a powerful competitor try and act as civil and diplomatic as possible so they do not come after you, and you having to defend your actions towards the market.
So in business less is more, when it comes to talking bad about your competition.
If you know that you are right and you can back it up with evidence then by all means you can use those facts to your advantage, but never lie about your competition.
It will come back to bite you later on, almost always.
We all understand that CNN has been able to get away with so much in the past 5 years time that was not true to begin with.
So they started to believe that nobody could touch them in the first place.
We call this believing in your own hype.
And boy did Joe Rogan show them and the hat of to Sanjay Gupta for actually sitting down with Joe Rogan for 3h.
Now hindsite is always 20/20, but Sanjay would never have sat down with Joe Rogan if we would have understood that he would be representing the whole CNN group in that podcast.
And this is the issue when Sanjay has had nothing but praise for the past 18 months time from the networks for whatever he has said and done.
Now when the glass house is coming down there are no where for CNN to run and hide, they get caught with their pants down every single week.
And it is very clear that the American viewers are fed up with lies and spins on every news article that comes out.
This is a big reason why Greg Gutfeld with Gutfeld has the best viewer rating of all late night shows on TV, and FOX is really kicking CNN:s ASS every day.
So to CNN we can say that you can run on for a long time, run on for a long time but sooner or later god is goanna cut you down!.
As always if you are a small business owner or a manager of a smaller or mid level company and you are looking for well prices business advice and consulting, look no further than the link here below.
So this one is something we get asked a lot about, so for that reason we will explain in detail what you should know prior to entering into an existing business.
If you are buying an existing business there are a few ground rules that you can not skip under any circumstances.
Any company you are buying or taking over will have challenges for the new owner.
Factory.
There are many reasons why a company is for sale, and the main reason often is that there are no family or relatives wants to take over the existing business when the old owner is retiring.
Then the company will be put up for sale by the owner, and many times the owner wants to preserve the jobs in the business so they are often willing to accept a below market value if the company stays put.
Most of all owners usually have a great history with the company, but it might not be very profitable as a business.
Often you will hear about a business being for sale in your town or city and you might be interested in taking it over, this is what you need to know.
NEVER EVER take over a business before you have done a proper due diligence on the company.
And this is regardless of the size of the company.
Of course if the business is a food truck that you will operate on your own then checking the truck and the paperwork is of most importance.
But if you are buying or taking over a company with employees or an existing lease or loans you have to be on top of things from the get go, because now you will become responsible for all these things as a new owner!.
Here are the 5 most important thing that your due diligence should cover.
No1: What is the current turnover and profit in the business.
And what has it been for the past 10 years time.
So let us say that a company has 1 million dollars in turnover today and makes 100.000 dollars in net profit then we know the current situation.
But if the turnover has been much higher in the past lets say 3-5 million dollars, why the decline?.
This could be a big red flag for you moving forward.
It does not have to be a red flag, there could have been big customers who have left many years ago and now the company is focusing on smaller customers and this can be the reason.
Trust but verify is the name of the game here.
No2: Are you personally interested in the products or service that the company offers?.
Because if not, do not take over the business, you will regret it over time.
Factory.
Because you should be interested in the products or services to really spend a lot of time learning the business.
No3: Will the staff stay put even when the old owner retires or will they start their own business or leave for a competitor?.
This is a very important fact to know prior to acquiring an existing business, because often people will end up staying working for the new owner.
Because they feel comfortable working in the company, but you never know.
No4: How much assets and liabilities does the business have, this is something a CPA needs to look at in detail down to the nitty gritty stuff for you so you are walking in with your eyes wide open.
Because if you get the liabilities wrong you are in big trouble early on.
No5: Often it would be a good idea to ask the old owner to stay on for a year at least to guide you the new owner to all the secrets of the company, and of course the day to day operations.
And here it is always a red flag if the owner is healthy but not willing to stay on for a year and guide you true.
If he just wants the sale, you should be very careful, if there are no good reasons behind this quick exit.
We recommend all the new owners to buy the business on 50% cash upon closing and then 10% over the next 5 years time based on that the business keeps the existing turnover.
Here are the 5 most important things that you need to look at when buying an existing business.
Business.
It can save you a 10 year ride if you buy an existing company and many people rather manage than build a company, and this is then a good idea for you.
There can often be great deals when an owner wants to retire and there are no takers on the business, if you are sharp there can be great deals to be had.
A few final words to a person buying a business when it comes to managing personal and they are as follows.
Have a meeting with all the employees gathered together on the first day and tell them that you are open for any great ideas they might have, but you are trying not to rock the boat to much in the first year.
And also tell the staff that they can always come and talk to you in person if they have any ideas or issues.
If you can get the staff on your side the first year then very often the business will succeed, and if you fail with this task then you are in trouble.
Good luck with your new business.
If you ever need due diligence or advice then you can always contact us we offer this product to many companies globally.
So here we are in September 2021 and we have basically a world wide Covid-19 vaccine mandate in place as we speak.
Healthcare.
So here is our take on the mandated vaccine campaigns that are being promoted by almost all government world wide at the moment.
The issue with the Covid-19 Vaccine is that it is designed to help out with the virus that surfaced in January 2020.
Now we have Delta and other types of strains that are hitting hard.
So we see people that are fully vaccinated ending up back in the hospitals with the Corona virus.
And it is very clear when we study the reach that you need two shots each year and maybe even three shots to battled the virus.
There is clear science behind this statment that the first Covid-19 vaccines will not be very affiant after 4-6 months from your last shot.
So forcing people to vaccinate when we know that your immune system will be much better off if you catch Covid and your immune system fights it off, by its own.
You are 10 times better off if you catch Covid and your immune system battles true.
Battling Covid stress.
So to avoid a battle in our company we have made it optional for everybody who wants to take the vaccine and we do not look down on the others who have opted to trust their own immune system going forward.
Joe Rogan is a good example of a person who fought off the virus by not taking the vaccine.
You can hear Joe Rogan talking about this in his own podcast on YouTube or on Spotify.
In our offices everybody with a weight problem or an underlying health condition or who are over 60+ in age, has taken the shots.
Among our younger workers we have had half that has been vaccinated and half are choosing to trust their own immune system.
We are goanna have to live with this flu virus, corona is a flu virus for a long time and it will be seasonal as all other flu viruses has been for the past 100 years time.
The bigger problem is when governments are basically like Italy forcing all people that wants to work to get vaccinated.
SADNESS.
These mandates will cause depression and sadness in many people who understand that we have passed George Orwells 1984 by thousands of miles already during the past 18 months time.
Nobody would have believed in these lock-downs 2 years ago.
In our opinion most people regardless if they want the vaccine or not will have to take it to be able to live somewhat of a normal life in 2022.
We can see the line being pushed forward every single week.
Soon you will not be able to do anything outside your own home if you are not fully vaccinated.
The one thing we as business owners and people who consult hundreds of businesses globally every week, feel is that do not force vaccine on your employees, let them make up their own mind about it!.
If you do that as an employer you will hang on to all of your workers, rather than having 25% leave for this exact reason.
And that my friend will cause mayhem in your business.
No business can afford to lose 25% of its workforce within a few months time and still make money.
So the easy way around the mandate to vaccine people of the company has more than 100 employees is to start new LLC companies and re-hire them true that business instead.
So we would tell everybody who pushes these vaccine mandates on to people to take a chill pill!.
Let people make up their own mind about if they want to get on board with taking 2-3 shots each year for the forseeable future.
Take care out there all of our clients and readers.
If you need consulting for your business , check out or shop in the link here below.
So life is very hard for most people, and this is something that we need to recognize.
We had an interesting conversation with one of our clients this week who runs a subcontracting business for the metal industry.
Life is hard for most people, what to we mean by that?.
So what we really mean by this is that most people are not born into a good country, some are but most are not.
So then the conversation start that if you are growing up in Africa or in Afghanistan, you do not have the same opportunities like you have growing up in Western Europe or in the US.
Start of life
If we are lucky we grow up in a stable family environment, and we get the possibility to educate ourselves along the way towards a good life as an adult.
But many of us do not get that luxury and we are not born into a well off and a stable family.
What our client mentioned this week was that he grew up in a family that was very unstable with a father who suffered from alcoholism and a mother who had mental issues.
He has one sister one year older than him, and they both left home at the age of 16, when they where old enough to both work jobs, while still attending high-school.
Our client started working in factories and at the age 26 he started his first company who did very well in the 1980s and he lost that business in the early 90s crisis.
Family business
Then he started over in 1995 together with his young son and they where doing very well 10 years later so in around 2005 they where thriving and making good money at the time.
Then 3 years later in 2008-2009 they lost their subcontract business due to the financial melt down of September 2008 to September 2009.
Now in 2010 he started up again and built a good solid business that was once again thriving in the years 2016-2020, then he got hit with Covid-19 and all the jobs dried up.
So now for the third time in 30 years he has lost his business due to outside circumstances that is completely out of his control.
Here we see the fact that life is really hard for most people, and it is really difficult to plan your life, and the best laid plans can get derailed by an ever changing world.
Depressed.
So he has maid the very hard decision not to build up a business for the 4th time, he has accepted a position as a factory floor manager for a 500+ size company.
And he told us that he can not take another hit to a new company, 3 hits are enough for him.
So when we talk about life being hard, then we also have to recognize that life is even harder for small and medium sized business owners.
We can also clearly see when we look back 50 years in time, that business owners that are making less than 10% net profit in the good years, have a 10x bigger chance of losing their business in a down year or in a global event that affects there business.
So if you are a business owner be very clear that you need to make sure that your net profit EBITDA is over 10% in those good years, to offset those bad years that will show up sooner or later.
We are clear on that life is hard for most people and we need to recognize that, and stop just believing that all the people window dressing on Instagram and Facebook that this is more often than not the reality.
Specially now in these high inflation times, your salary is the same as before, but all prices have gone up around 20%.
Always make sure that you use a good business adviser when you are starting up a company, or when you are finding yourself struggling with your existing business.
We are here for you if you need assistance.
Life is very hard for most people!.
Check out our store for the best advise options for you, see the link here below.
So there is very sad situation going on in the world today among business owners when it comes to the suicide rate.
We have seen that there has been an enormous spike in suicides during 2020 and 2021 in the small business owner communities around the world.
Depressed
So let us look at why this is and why we do not hear about it from the main stream media.
The number one problem with the lock-downs during the worst part of the Covid-19 pandemic was that small business owners had almost no income coming in for a very long period.
And in far away places like Asia the suicide rate is even higher than it has been the US or in Europe.
Because people pretty much lost everything in the tourist sector and other sectors.
In America and in Europe there has been certain rescue packages in place to support the workers mainly, and very few rescue packages have been offered direct to small business owners.
We have all heard about the extra 600 dollars a week in the US to workers and that is why the media keeps talking about a worker shortage at the moment in low paying jobs all across the US.
Free money
But for the small business owner community this has not been the case, very few dollars if any have arrived in aid packages to this community.
Many smaller business owners where struggling to stay open or just breaking even for the past few years.
So when a pandemic like this hits the world, and no money is coming in , but the bills need to be paid it is not easy.
The cold hard truth is that mos business owners had to borrow even more money than ever before and use all credit cards that could be found to stay afloat.
Credit card
And the thing with credit cards and loans is that the bills have to be paid at some point with usually a pretty high interest to go with it!.
So when you get into financial trouble as a business owner the first thing you do is to borrow money to try and stay open.
And this is exactly what small business owners did in 2020 and during this year 2021.
But for many business owners the cold hard fact today is that they can not borrow anymore money at the moment they are so called Maxed out.
And what happens next is that they will lose their business and most likely also their home that has been put up as collateral for the loans and credits, taken out during this period and in the past.
So then we have arrived at the ugly truth and that is that many small business owners do not see any other way out from this mess than to commit suicide as an end result.
There are a few aspects that drives small business owners to commit suicide.
SADNESS
Sadness is a big driver in this and because you see everything that you have worked so hard for crumble in front of your eyes.
And in many cases to no fault of your own, in the sense that the pandemic and the draconian lock Downs where not anything you could foresee.
Then sadness turns into depression, and the feeling of hopelessness fighting all these big windmills at once.
When you have lost everything financially and you are on the brink of homelessness then comes the feeling of shame, you have nowhere to go and no one can help you.
So now we are dealing with sadness and depression and on top of all severe financial problem’s you deal with.
If we now also add some self medicating into the mix we have a perfect storm brewing.
There has been certain rescue packages from the federal governments side to states ear marked for small business owners and land lords.
But many of them have gotten stuck in a bureaucratic nightmare of fund distribution.
So for most companies it is already too little to late.
Have you ever wondered what happen to that shop or store owner on the high street that is now gone.
For some business owners it is just a closing and a bankruptcy but there is light at the end of the tunnel for them.
But for a few % there is no light at the end of the tunnel and there is no hail Mary pass to throw that someone will catch.
It will be all over, no business no home and sometimes no family after a financial disaster.
Pets
Here is where you have to lean on support organisations that are out there for you, you have to actively look for them and also lean on the emotional support of a cat or a dog.
We see this all the time when people go under financially, that the next few steps are so important to take to make sure that you can at some point get back up again from being knocked down.
Here is the blueprint to how to survive a financial meltdown.
If you have been a business owner you have many skils for the labor market, take as many jobs as you can get so you get out the house if you have one left!, and out from your own head space.
Staying busy helps a lot with your mental stability.
The second thing to do is to call up everybody you ever did a favor for, and if possible go meet them in person and be brutally honest with them about your current situation.
So for instance if you done someone a lot of favors over the years and you know they have a bigger house with a lot of rooms or an attached annex on the property ask to live there for free for a years until you get back up again.
And really press if they are in doubt that i did you a lot of favors now i am in need of one, so tell them to show some compassion for you.
But now is the time to collect on all those debts owed to you over the years when you are down for count.
And yes having to ask someone to stay there for free for awhile is not the most pleasant thing to do, but you have to do it, this will keep you moving forward.
So know if you have landed a few jobs 12h+ a day 6 days a week and a place to stay then we do recommend that you attend church on Sundays.
This will give you some strength from being in the lords house and you can make some valuable contacts along the way.
Even if you do not feel that you are super religious this is something we do recommend our clients to do on their road to a better place in life.
These 3 things done in a combination will help you move forward and avoid those suicidal thought that many people do get after a financial meltdown.
We are also very upset that still in 2021 the main stream media does not want to cover the real life and hardships of small business owners world wide, because it does not fit their narrative, they believe all business owners gets checks with direct deposit into the business account from the government.
As business consultants we often come in vey late in a process to help struggling business owners and many times there is not much we can do from a financial standpoint to help the client out, we are quite frankly brought in one or two years to late to the process of turning a business around.
So what we do in those cases when we are taken into late to advice ,is that we give these struggling business owners that we know will fail this 3 step blueprint rescue plan for their upcoming life.
So new jobs, a new place to stay, attend church on Sundays and get emotional strength from the love of a pet.
And one more very important thing is to stay healthy by no self medicating what so ever.
As always try and find help for your business before it is too late.
So if you take in a proper business consultant before you take on big loans and investments it is usually the best way to go.
We offer several well priced packages from Mrlifeadvise in our shop see the link in here below.
So after having gone over a lot of opinions on different sides of the aisle during the past few months time, the answer is quite clear for most experts on this topic.
Nyc.
So the big apple has the biggest problem finding people wanting to work for 15 dollar an hour.
And yes the benefits provided by the government plays a role in this, but it is not the full story.
The biggest problem is the cost of living in New York compared to what you can make in a coffee shop or a restaurant.
Very often a restaurant worker will bring home 1600 dollar after taxes in salaries and with maybe a 20 dollar tip to take home each day 20 days a month, we are at 2000 dollars in total take home pay.
Florida.
You can live on 2000 dollars a month in Florida, but the NYC if a very different story for most pepole.
In New York city the average rent is 2200 dollars for an apartment and almost everybody making minimum wage or close to the minimum wage has a room mate or lives with family, and these are quite shitty apartments to begin with.
Let us the run the numbers quick here together so we see what we are talking about.
Your rent is 1200 dollars before utilities, then comes the utilities for 100 dollars a month.
Now we have 700 dollars left to work with for the monthly budget.
200 dollars will go towards food and 200 dollars towards basic medical coverage.
Now we have 300 dollars left to work with, then comes transportation which will cost at lest 50 dollars a month in New York, and this is taking into consideration that you bike and walk some of the days each month.
So now to have some kind of joy in your life, you need broadband internet access and a mobile phone now another 50 dollars is taken out from the budget.
Then you will have some kind of social life for 50 dollars a week, and now the last 200 dollars are gone.
So this conversation that some people want to get to that you can save 200-300 dollars a month on a 2000 dollars take home pay in New York is just flat out a ridiculous statment unless you do not pay for health insurance.
Not enough money left in the end of the month.
So always being broke at the end of the month, just to have the pleasure of living in New York city is not okay for a lot of people in 2021.
In Florida you can live way better on 2000 dollars in take home pay each month.
You can rent with a room mate a much better place in Florida for 500 dollars each per month, and the food cost is also lower as so many other costs also are compare to the big apple.
New york has never been a cheap city to live in and over the past 30 years that cost has just increased for each year.
There is also one more thing that has really opened the eyes of young adults in these Covid-19 times and that is that you need to self-reflect more than ever on your life and on your future.
And most people have come to the conclusion that New York city is not worth the pain that it takes to be able to actually be able to reside in the city.
So now this is a huge problem for a lot if mom and pop restaurants and this is also one of the reasons why 40% of the NYC restaurants that was open in 2019 will not open ever again.
This labor shortage affects a lot of businesses, but restaurant work has always been a low paying job and you have been forced to also survive a lot on tips.
When the unemployed benefits runs out in September, there will be a spike in people going out to look for a job and some companies will find enough workers for now.
But many workers have also left the state for greener pastures and will not be heading back to the city ever again!.
So while some experts on the right want to blame the unemployment benefits as the main villain in this story.
The actual reason is that people have been willing to struggle for years to stay in the big cities and while the cost of rent and other necessities have gone up in price every year, the wages have not.
So there will be labor shortages for the next 3 years at least in many businesses.
This can also be a good thing for the people making minimum wage that some benefits will be offered by employers to get and to keep staff working.
But for a lot of small mom and pop restaurant’s and establishments this will be the end of their run, because they can nit pay benefits to their workers and still satay open with the absolutely ridiculous rents that we still see for commercial properties in New York city.
So you all take care out there.
And if you need business advice from experience business advisers feel free to check out our shop in the link here below.
So we have the mayor race going on in the NYC at the moment. and a lot of people are thinking about the different candidates, and who they should vote for.
Curtis Sliwa is the only candidate for NYC:s small and medium business owners to vote for.
The people that know the New York city history back from the 70s,80s and even the 90s are very familiar with this man.
If you ever have had the pleasure of meeting him, you know that he loves to save animals and he is a no-nonsense guy.
He is also the founder of the guardian angels in the late 70s in NYC which is a unarmed crime prevention group.
There is a lot to say about this man, but the only thing you as a voter really need to know is that if you vote for him and he becomes the next mayor of NYC, he will clean up the city from the massive crime wave that we are seeing sweeping over the city at the moment.
NYC-SUBWAY
You are no longer safe in the subway when the city has cut the plain closed division down, and crime is ramping up like in the 70s and in the 80s.
For small business owners the only choice is to make sure that your business survives is to vote for Curtis Sliwa.
A city in 2021 that is not safe will see a lot of taxpayers move out and with them they take tax revenue and also buying power for local smaller business owners.
The example of a city completely out of control is the bank robber that was released 3 times in a week!.
So this no cash bail BS is goanna destroy the city over time.
NYC has had it share of horrible mayors, but nobody can deny that this last one is the worst by any measure that you use to compare mayors over time.
Rudy Giuliani is considered the best mayor of NYC , and most people would agree with that, if you where living in the city in the years he was in office.
We like to look at the individual candidates from Mrlifeadvises side rather that which party they belong to.
And we strongly advise you to do the same.
The big difference between New York city and the rest of the country is that most people are renting their apartments due to the sky-high real-estate costs in the city.
So a lot of people can just wait for their 12 months lease time to run out, and then just pack up and leave the city.
This has already happen and will start to happen more frequently when the high crime rates continue to rise even higher from todays levels.
A 4 million dollar apartment is selling for 2 million in many cases, and rent on the same apartment has gone down from 11.000 dollars to 6.000 dollars in many buildings.
The inventory is at all time high in new construction, and this combined with high crime rates and generally high living costs in the city will affect the real-estate market’s for years to come.
Central park.
Living in a concreate jungle as the city is , has always been a challenge, specially in the hot summer months where it is difficult to sleep due to the heat.
But also due to all the noises that the summer brings with it, when kids are out of schools and the crime rate is always higher even during safer times.
Central park is then that place you can go to meet up with friends and hang out, or go for an evening jog.
BUT the park is not safe anymore, we are back to the 70s and 80s crime spree in the park.
And this is something that we had hoped to never see again.
NYC will survive it always does!.
But the the big Elephant in the room that people are not talking about when it comes to why real-estate prices are going down due to the high crime rate is that the interne is so much faster today than it was even 10 years ago.
In the 70,80s and in the 90s, you had to live in the city if you where working in finance,fasion,news,insurance,real-estate and many other businesses.
New-York city was the place to be in.
You had to be there period!.
Now in 2021 you can sit in Dallas and work for a NYC finance company, that was not possible in the past.
So working in a city where you are afraid to go out and enjoy your evenings and nights, and having to pay 4000 dollars for 2 bedroom with your partner, when you can buy a home in Texas or Florida and feel much saver and pay of a mortgage with the same money.
This is a no-brainer for a lot of younger people.
So there is maybe a 2 year window for the city to fix its high crime rate and if the city does not manage to do so, we will have a very different city in 2024.
And it will be a very unsafe city, and you will see a lot of empty store front, even compared to this day July the 3th 2021.
Because if you walk around the city today you can see the empty storefronts and for lease signs everywhere.
Yes the online stores are booming, but you need brick and mortar stores in a city like New York, there is no way around that fact.
So regardless if you are a democrat or a republican there is only one candidate that will actually start cleaning up the city and that is Mr.Curtis Sliwa.
One way to verify a persons character is to see if they are animal lovers, and if they work with shelter animals.
If they do, then you know that they are about giving back to the community and spending their free time and money on helping animals that can not fend for themselves.
This truly speaks volumes about a persons character and should not be overlooked.
A vote for Curtis is a vote for the city, never forget that.
You will find his campaign site in the link here below.
We said this to all clients along time ago that market corrections on the stock market is not that bad, maybe it drops 20-30% and then it bounces back over time.
But dealing with inflation is a completely different beast!.
Inflation very short for you guys who do not know what it is, is that prices goes up and some prices goes up a lot and fast.
So basically everything you buy gets more expensive.
Let us give you a few examples here on what inflation really means in our everyday lives.
Lumber.
So for instance lumber has gone up almost 3x in from January 2020 to June 2021 and that will add on around 30.000 dollars for a single family home.
The lumber price makes it more expensive to build the house.
Because property has been seen as an inflation proof investment by a lot of people, so then people are out bidding each other for houses these days unseen.
And this is just flat out scary when you know that houses needs to be well inspected before making an offer on it from the buyers side.
Usually when we talk about inflation proof items we talk about things that can not be replicated easily, like land, houses, gold ,silver and similar items.
The biggest problems will come for everyday people when these basic item will go up in price and it will truly affect everyday people that are struggling and living paycheck to paycheck.
Gallon of gas.
So what happens to your finances if the price of a gallon of gas goes up to 10 dollars.
If gas prices triple in a 2 years time that will really affect hardworking American families who have two cars and have to drive a bit to get to work.
This is no joke, there is a real possibility that gas prices can triple in 24 months time, it is political suicide for what ever party is in charge because regular people will suffer a lot from a price hikes like this.
Closing down pipeline projects does not boost confidence into the energy sector to keep gas prices at a reasonable level.
So all of you that now will reply that why are they not taking the bus or the subway to work like we do?.
Wake up big city people, if you live in a rural town you might have 1h to work and 1h from work.
Since there are no public transportations or at least very limited ones, you are really not left with any other option than drive to work.
Milk
And there is a risk also that a gallon of milk can trippel in price over the next few years time.
Once again it will be hardworking Americans that have to foot the bill for these price hikes.
If you are rich you do not care if the gas costs 10 dollars a gallon or if the milk is 10 dollars a gallon.
But when you are living paycheck to paycheck you are goanna feel the pinch very quickly.
Then for people that are on a fixed income, inflation is very bad because if you are living on a fixed income, that will not be raised more than 3% a year to correct against inflation and if the inflation rate are in the double digits you are in trouble.
If you do not have cash to invest in land or gold you are kind of out of luck.
You will have to ride the inflation train and hope that it will stabilize itself in the next few years.
The FED is Printing money like there is no tomorrow and we can not really go to negative interest rates.
We are as close to zero interest rates as we can be on many markets.
Overpriced homes
So starting to buy overpriced homes is not really a good solution if you have some money to invest at the moment.
The best thing would be to buy gold, silver and some well priced land to sit on for awhile.
But buying a 1.5 million dollar home that will be worth a million after a few years, because you overspent in a bidding war is a great way to destroy your personal finances.
We have seen inflation numbers of 4.5% in April and 5.1% in June of 2021 and these are dangerous numbers even in this V-shaped economy that we are currently living in.
The feeling is that we will see a market correction on the stock market up to a 30% drop over the summer.
So inflation is always very tricky and trying to rap your head around it, IT is very complicated as a market aspect.
Inflation rising
For most US workers that are living from paycheck to paycheck there is not much you can do, other than role with the punches so to speak.
So we have a shaky road ahead of in the upcoming two years.
If you are a small business owner and you are looking for business advisers please feel free to contact true our shop where we have different packages that we can offer you.
So a lot of people thought that when the summer 2021 was around the corner that the rentals would go up in price, they went down in price for the first time in 20 years.
NYC
For us who have followed the NYC real-estate market closely for the past 25 years time, this is no surprise to us that the apartments are getting cheaper and cheaper by every month that goes by.
Now to be honest NYC is still very expensive compared to other parts of the country, and very few places are worth the money even in May 2021.
If you are younger you do not remember the 70s,80s,90s and that is a good thing, becuase New York city was really ruff back then.
They Mayor Rudy Giuliani really cleaned up the city with the broken window policy and efficient policing.
And if you where in the NYC in 1995 and in 2005 it was like a complete different world to move around in.
The biggest issue for the city is that compared to LA your are walking much more around the city.
In LA you drive down from the Hills or from Brentwood into top restaurants in West Hollywood, you do not walk OR take the subway like you do in the NYC.
And if the city is not safe and there is gunfire on the streets again like in the 80s and 90s then you and your family do not feel safe.
So paying 5000 dollars in rent in Manhattan for a 1 bed room is not that much fun anymore if you can not enjoy all that the city has to offer.
Because you are afraid of the violence and gang activity picking up again.
A lot of real-estate brokers likes to point to the massive amount of inventory which is very true why the prices has plummeted in the past 18 months time.
But safety concerns are very much a real problem again in the city.
If we look at 1br apartments in the city they have gone down half in rental price in many building in less than 2 years time.
So a 5000 dollars 1BR can be 2500 dollars today, simply becuase you can offer that and the landlord will accept your offer.
So you do not see a 5000 dollar 1BR advertised for 2500 dollars but rather for 3800 dollars, but if you offer 2500 dollars in many cases your offer will be accepted.
Broadway
NYC is a vibrant concrete jungle with the best theater plays each week and a massive amount of great resturants in all price brackets.
You have the central park as a great recreation area, are and there is always something to do in the city and a lot of it, is actually free to attend.
So when you do not have everything open in combination with high crime rate stats from each boroughs, then there is no surprise that the real-estate prices have gone down on both the rental and sales side.
And Jamie Dimon from JP Morgan can complain all he wants about benefits for unemployed but the real reality is that a lot of families even those who work as JP Morgan wants out from the city.
There is no doubt that the life quality for the middle class and working class has been a challenge due to rising real-estate prices in the past 20 years time in the city, and it is not a cheap city in other aspects either to live in.
And people are waking up to a new city in 2021-2022 and a lot of people feel now that it is not worth the hassel to live in the city with a family.
If you are single you can make good money if you can work a lot, but for a family a move to South Dakota, Florida or Texas is alluring.
The reality is starting to sink in for a lot of families that the city will have a lot of problems to deal with over the next 3-5 years time, and if there ever was a good time to leave the city, it is now in 2021.
The big issue is also that the budget for the city will be slashed in the next upcoming few years, this will just make things worse.
Stockmarket
People who had money in the stock market has made a killing in the past 12 months time, this is a cold hard fact.
BUT only 53% of all Americans own stocks and if you are paying 5000 dollars a month in rent for a run down apartment in the city you will not be able to invest much over time on a normal family income.
So will it get worse before it gets better?, we would say that it will get much worse until it will start to get better.
But our estimation is that it will take at least 10 years until we get back to the 2019 level of living standard.
So if you are thinking of leaving the city with your family, now in 2021 there are a lot of opportunities job wise around the country.
We understand that Florida and Arizona and Texas are hot spots for a lot of familes due to the warm wheater.
But North, South Dakota and Montana are underrated places to raise a family in.
Also remember that you can make that first move to a new city and always rent for the first two years time , so if you do not like it you can move again without the hassel of having to sell a property.
But anybody trying to convince you that the New york city property market will recover in the next 4 years time is flat out lying to you.
And if you are young and thinking of moving to the city in 2021 make sure you start on day one to train martial arts and be very clear that you are walking into a jungle like in the 80s and 90s.
And you will have to protect yourself as much as possible in the subway and out on the streets.
If you are a small business owner and you need business advice, you can always contact us on the link here below.
So we can see that the economy is coming back somewhat at least around the world in May 2021.
But let us not fool ourselves that all is back to normal, it is not.
And as business consultants we have a first row seat to the show and it is not pretty at the moment.
So we can see first hand that even if a lot of smaller shops and restaurants are re-opening again, 35% are not.
Brick and mortar stores might be able to switch online for some of their business.
But lets face it, many brick and mortar stores survived for years due to loyal customers and a good amount of foot trafffic.
Going online also means that you are competing with Amazon and other online retailers, and that is very tough unless you have a superior product for a better price point.
And restaurants and coffee shops can not go online.
Empty restaurant
So what we hear from many clients that have been forced to close their doors that they are unsure where to go from here
Covid killed your business, what next?.
First of all you will have to deal with the closing of your business and it is for most people like a death in the family.
All the hard work, sweat, tears ,time and money that you put into it, is all gone.
And now you are stuck with a bankruptcy and all the fallout from that.
We are sad to say that most business owners are on the hook personally also for business loans.
Because it has been common practice for over 30 years now that you have to guarantee the business loan personally with your home as equity or otherwise.
This process usually takes up to a year to sort it all out, and then you will know where you stand after that financially.
But this is also then an opportunity to maybe go after your dream job or dream move.
Maybe you have lived in New York all of your life and you have always dreamed about moving to Florida to the sunshine state.
This can then be that opportunity for a fresh start that you might have always dreamed of.
Florida sunshine.
Now we want to make this very clear to our readers, usually there is that 12 month period after you lost your business where you will have to make your move, if you are looking to make that change.
Because there is a lot of research on this topic that says that if you stay in the same place where you lost your business, you will not move for a long time if you stay longer than 12 months after your business closed.
And this is due to you then having found another local job and you have your friends and family and the move will not happen.
Because now you are committed to staying put again, before it was your own business, now it is your new job that keeps you in that old familiar place.
We are not saying that it is a bad thing to stay put and find a new job and move on with your life in that familiar area that you are from.
But after a business has closed its doors usually this is then the perfect time to sit down and take inventory of your life.
What is working for you?, and what is not working for you?.
Changes are always hard to make, but sometimes for your own well being you at least owe it to yourself to give it a try.
Let say you go to Florida for a two year stint and you miss home, you can then always go back.
Never let anybody tell you that you can not go home, or go back.
You can always go back and you should go back if you feel that it is something you want to do.
People are way to often afraid of what other people might think when they turn back home again.
These are usually people who have never left their community or town, so who are they to judge?.
But make sure you give it a real go, if you decide to leave your town or city for greener pastures.
Green grass
If you try one other city and you do not like it, try one more, and then after 2 years turn back home.
At least you then know that the grass is not always greener on the other side.
As always if you need business consulting for a good price check out our different options in our shop.
And here you can have a look at our company on Youtube.
So take care out there.
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mrlifeadvise is a company that specilizes in supporting smaller and medium sized company owners and CEOs who need busines advise from a company with a track record dating back over 60 years.
And mrlifeadvise has created over 10000+ lasting jobs during that time frame.
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About This Site
mrlifeadvise is a business consulting company specializing in smaller and medium sized companies.
We have 60+ years of experience from building companies, and we have created over 10000+ lasting jobs during that time frame.
We will help your business with good advise, regardless of what business branch you belong to and regardless of what part of the world you are active in.
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