Brad Wardell's views about technology, politics, religion, world affairs, and all sorts of politically incorrect topics.
Published on January 2, 2011 By Draginol In Business

As we enter the New Year, 2011 has some hope in front of it but I’m not ready to predict anything too exciting.

For business owners, interest rates remain very low which makes capital for those with good credit ratings readily available.  3.25% interest rates are not uncommon right now for those who know how to obtain it.  Thus, it becomes a question of how certain you are to generate net revenue that exceeds what you borrow at the going interest rate.

Historically, I’ve disliked borrowing money in any way. The only times I’ve had to has been to cover accounts receivables and tax bills.  Because 2010 was a reasonably good year for my company, we aren’t likely going to have to borrow.  Our games unit underperformed this past year but the other two units made up for it.


Comments
on Jan 03, 2011

Companies have no reason to borrow if there is no increased demand for their products and services.  So far the only thing the clowns in DC have done right is done nothing!  The extension of the tax cuts was a do nothing that at least will not hurt.  Perhaps if the republicans in the house hold true to their word and stagnate the government, the private sector can start growing again.  We will see on that.

In a nutshell, I see most businesses maintaining a conservative approach to growth.  So it will be a slow growth year - at least the first half.  Good luck with your own future!

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