Small Business Labs

Our Updated Small Business Closure Forecast is More Optimistic, But Still Grim

Small Business Labs

   For more on the forecast scenarios and methodology, see our April 7th forecast article In early April, we released a 2020 small business closure forecast.

2020 169

75 Must-Know Statistics About Race, Income, and Wealth

Small Business Labs

  Key article quote summarizing these statistics: "On average, people of color experience significantly lower levels of income, retirement savings, and rates of homeownership than white Americans.

2020 152

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One Health Advantage of Work Autonomy and Control May be Less Risk of Dying

Small Business Labs

Key quotes from the Science Daily article Is your job killing you? Independent workers (freelancers, gig workers, independent contractors, etc.) consistently report a major benefit of being independent is the work flexibility, autonomy, and control it provides.

2020 185

The Growing Army of Freelancers Providing Services to Businesses

Small Business Labs

And as we pointed out in last week's article Staffing to the Valley's, Not The Peaks , the demand for independent workers - and especially those with specialized skills - will likely grow even faster post-pandemic.

2020 197

Number of U.S. Nonemployer Businesses Continued to Grow in 2018

Small Business Labs

  The Forbes article Growth Of Million-Dollar, One-Person Businesses Accelerates goes into detail on an even higher earning segment - those reporting revenue of $1 million plus.  According to the  U.S.

2020 178

Most People Want to Continue Working From Home, Just Not Full-Time

Small Business Labs

   The biggest reason for this is loneliness, which is why we wrote a Harvard Business Review article - Coworking Is Not About Workspace — It’s About Feeling Less Lonely - on this topic. Lots of work from home (WFH) surveys have been conducted over the past month. 

2020 157

Small Business Closure Scenarios

Small Business Labs

  (4) The scenarios are too long to fully cover in this article. Based on an industry by industry analysis (1), our base case estimate is 21% of U.S. employer small businesses will close in 2020 (2) (3).    This is about 1.2 million small businesses.  

2020 177

California's New Gig Law, AB5, Ignores the Growing Role of Remote Work

Small Business Labs

  As the article points out, this is already happening. Also echoing this comes from the LA Times article Opinion: California is making the writing life even harder.

2019 211

Tracking Our Unemployment Forecast Scenarios

Small Business Labs

  As we pointed out in our article on our forecast scenarios , the official unemployment rate may not reflect the actual unemployment rate during the pandemic. 

2020 165

America's Affordability Crisis Driving Growth of Gig Work

Small Business Labs

  Coincidently, last week the McKinsey Global Institute released The New Social Contract in the 21st Century , This report covers much of the same ground as The Atlantic article, but they report their findings more clinically.

2020 173

Community Lenders Creating Community Spaces - Credit Unions are Opening Coworking Spaces

Small Business Labs

CreditUnions.com's article 3 Ways to Connect Through Coworking Spaces provides an excellent example of how coworking is spreading across industry verticals and niche markets. The article highlights 3 credit unions that have opened coworking spaces.

2019 235

Why Independent Work and Coworking Increase Mental and Physical Well-Being

Small Business Labs

As the McKinsey article points out, a lack of social support is not good. As we said in our article  Coworking Is Not About Workspace — It’s About Feeling Less Lonely , coworking spaces provide social support. 

2018 265

GCUC 2019 - Coworking's Surge Continues

Small Business Labs

Allwork's articles GCUC 2019: What Coworking Members Really Want and GCUC 2019: Is the Coworking Market Saturated? The 2019 U.S. version of the Global Coworking Unconference Conference Series (GCUC) happened last week in Denver.

2019 236

The Pros and Cons of Working Remotely

Small Business Labs

" The pros and cons of remote work are well known, but the article chart below nicely summarizes them. Recode's How remote work is quietly remaking our lives provides a deep dive on the growing impacts of the shift towards working remotely.

2019 196

From Man’s Best Friend to Family’s Favorite Child

Small Business Labs

Chamber of Commerce's article The Pet Economy Kicks Into Overdrive. The article covers the growth of the pet economy. According to the article, "the U.S. Our favorite from the article is Nashville's BarkPark (pictured below).

2019 196

Living as a Service and the Growth of Mobility

Small Business Labs

  Key quote from the founder in Crunchbase's article on the company : “We’re seeing a growing mobile workforce in need of more flexible living solutions that empower them to embrace opportunities as they arise–no matter where they’re located on the map,” he said.

2020 165

The 90% Economy

Small Business Labs

There's been a recent flurry of articles suggesting that the economic recovery will not be V-shaped or quick.    Instead, the articles suggest it will likely take 2-3 years to fully recover from the pandemic induced recession.  The Financial Times article Life after lockdown: welcome to the empty-chair economy covers the same ground. 

2020 130

The Great Risk Shift - and Economic Insecurity - Continues

Small Business Labs

Key quote from the article: " many Americans feel insecure. "Risk shift" is the trend towards economic and other risks - and the responsibility for risk management - being shifted from institutions to individuals. 

2019 222

What Control Means to the Self-Employed

Small Business Labs

Our article yesterday covered a study showing how work autonomy and control resulted in mental health benefits for the self-employed.    As a follow-up, the chart below (click to enlarge) is from the Freshbooks 2019 Self-Employment in America Report.

2019 197

The Positive Mental Health Effects of Self-Employment

Small Business Labs

  Key quote from The Mental Health Benefits of Self-Employment , an article written by the study's researchers:  Our preliminary conclusions point to the importance of autonomy in the workplace.

2019 198

Coworking Doesn't Need a New Name, But the Office Space Industry Does

Small Business Labs

  The recent Allwork article Why Coworking Needs a New Definition covers the new name side. Liz Elam, long time coworking space owner and founder of GCUC, responded to this with her article Coworking Does Not Need a New Definition.

2018 245

Coworking is Disruptive Innovation

Small Business Labs

  But as Christensen points out in his 2015 HBR article What is Disruptive Innovation : as incumbents focus on improving their products and services for their most demanding (and usually most profitable) customers, they exceed the needs of some segments and ignore the needs of others.

2018 247

A Look at Non-Employer Businesses from the SBA

Small Business Labs

  There's also a number of reasons why employer SMB numbers aren't increasing, but it's a longer story and we'll go into it in a later article.  The U.S.

2018 245

Study Says Over Half of Older Workers Suffer Involuntary Job Loss

Small Business Labs

  As the article chart below (click to enlarge) shows, most of the study participants (56%) experienced at least one employer driven job loss after the age of 50, with many (18%) experiencing more than one. 

2019 228

The VanLife App

Small Business Labs

The San Diego Union Tribune's Would you live in a van? Two San Diego women launch startup for boho traveler movement covers a new app - conveniently called The VanLife App - targeted at VanLife nomads.

2020 154

Deloitte on the Future of Work

Small Business Labs

Their recent article Redefining work, workforces, and workplaces is a good example. In a relatively short article, it nicely synthesizes and explains "multiple converging trends and how they are already fundamentally changing all aspects of work." "   As the article chart above shows (click to enlarge), they focus on three main areas: work, workforce and workplace. With this article Deloitte has done an excellent job simplifying it. 

2019 200

Podcasting Entering the Mainstream

Small Business Labs

But as the TechCrunch article Y Combinator Bets on the Booming Podcast Industry points out, revenues are expected to rapidly increase.  In case you hadn't heard, podcasting is booming. 

2019 209

The Stimulus Programs Gig Workers and Freelancers Qualify For

Small Business Labs

  See our previous article on this topic for more details.  Congress passed and the president signed the massive Coronavirus Aid, Relief and Economic Security Act (CARES Act) economic stimulus package last week.    The legislation contains a number of provisions aimed at helping independent workers (the self-employed, freelancers, gig workers, etc.) weather the economic storm caused by the coronavirus pandemic.

2020 139

The Rise of "Wealth Work"

Small Business Labs

For example, Atlantic's recent article The Servant Economy is, no surprise given the title, quite negative on this trend.  Quartz's Life coaches are the new personal trainer highlights a trend we've been tracking since 2008 , the growth of personal services. 

2019 214

"The Venture Capitalizaton of Belonging"

Small Business Labs

The article starts by pointing out the long decline in the membership of traditional clubs. " The broader point of the article is that the new wave of clubs need to charge high prices because they are ventured backed, have lots of amenities and high costs. Fast Company's Social clubs died out in America. Now, venture capital is bringing them back provides an interesting look at the changing landscape of American social clubs.

2019 196

40% of Americans Say They Struggle to Pay Bills

Small Business Labs

The reason, according to the article, is this expansion has been weaker and its benefits distributed far more unevenly than in previous growth cycles, Key article quote: This is a “two-tier recovery,” said Matthew Mish, head of credit strategy at the investment bank UBS.

2019 183

What Independent Consultants Want

Small Business Labs

The Forbes article Breaking The Faustian Pact: What Motivates Professionals In A Gig Economy World? As the article chart below shows (click to enlarge), there are big differences.

2019 195

Each Year a Lot of Americans Start and Stop Being Freelancers

Small Business Labs

  We'll have our recession outlook in another article in the near future. One of the more interesting findings from the 9 years of data from the MBO Partners State of Independence study series is how many Americans enter and exit independent work.

2019 172

"Job Crafting", Independent Work and the American Dream

Small Business Labs

  The New York Times article How to Make Work Better covers job crafting and suggests greater use of it by those with traditional jobs would make work much better. 

2019 206

Flurry of Articles on Micropreneurship

Small Business Labs

 Articles include: Why People Want to Be Micro-Entrepreneurs :  From Fast Company Co.Exist, this article covers a survey by micro-task site Fivvr on why people want to be micropreneurs. Why Micropreneurship May Be the Key to Job Creation :  A Huffington Post article that interviews the CEO of Task Rabbit, a micro-job site.

2012 145

Kauffman Foundation Indicators Show U.S. Entrepreneurship Near 20 Year High

Small Business Labs

We'll explain why in a future article.  The Kauffman Foundation recently introduced the Kauffman Indicators of Early Stage Entrepreneurship.    The indicators cover: Rate of new entrepreneurs : The broadest measure possible for business creation by population.

2019 197

Small Businesses Worried About Corporate Concentration - and Especially Amazon

Small Business Labs

Key quote from their article on the study : Many public policy decisions in recent years have fueled market concentration and favored their big competitors. The Institute for Local Self-Reliance recently released its 2019 Independent Business Survey.

2019 169

More on the Changing Nature of Retirement

Small Business Labs

There's been a recent flurry of articles on retirement, mostly focusing on older people staying in the workforce longer than prior generations. It covers the fact that the world is rapidly getting older, as is shown in the article chart below.

Funding for Education Technology Startups Continues to Boom

Small Business Labs

  The article chart below (click to enlarge) shows some (but not all) of the bigger Edtech funding rounds in 2018. The article also references a prior Crunchbase article, China’s Education Startups Continue To Pull In Massive Funding Rounds.

2018 192

Does It Pay to Be a Writer? Yes, But Not Well For Most

Small Business Labs

The Pay Survey 2019: What 1,400+ Freelancers Get Paid to Write study surveyed writers of all types, with most writing articles and blog posts.   The article has a number of suggestions on how writers can increase their earnings.

2019 187

What Highly Skilled Independent Workers Want

Small Business Labs

The global accounting and professional services firm EY has developed GigNow , an external online talent platform. 

2018 204

FROGs, WFA and Remote Work

Small Business Labs

  Two recent articles also point this out and add several new buzzwords to our remote work vocabulary. The article goes on to cover examples of productivity gains associated with remote work. 

2019 152

Ride Sharing Continues Rapid Grow

Small Business Labs

  But as the article chart below shows, ride sharing use is common across most age, income and educational cohorts. Pew Research recently did a study on the use of ride sharing services by Americans.

2019 191