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Well there is new data out today showing small business owners in particular are losing confidence.
In our economy by continuing to shy away from investments.
How Long Will the answered they continue here with insights William Palin president of -- that that's a research firm that tracks loans to small business.
Welcome back to show -- it's good to see you we see that these loans are down some 3% small business lending in March.
Which surprised me because I.
Are we were on the path to recovery what's going on here well actually these are the alpha dog risk takers of the economy these -- the people that -- Doris a small business owners they're not afraid of risk I wouldn't bet against him.
And -- we've seen three months consecutive months of just you know and no investment.
By these millions of small.
-- so when you say no investment.
These folks are not going to the bank for the -- it's not necessarily that they're getting turned down dare not wanting to take on the risk they don't wanna get the extra money why is that.
Well that's you know it's it's uncertainty I think you know there's uncertainty in the economy right now and in I think that's been expressed by these millions of small companies and what we see is just really flat index for the last three months and actually as you mentioned was down 3% so that's you know obviously not moving in the right direction.
And he grew 17% year over year last year so you know we're literally.
And I -- -- it really is a sea change in surprising a little bit.
He says there are bright spots in your research where you find that small business owners are more optimistic and taking out -- Well these Federal Reserve districts like Chicago Minneapolis Kansas City these are areas where there's a lot of expansion Chicago in 19% year over year so I really growing there.
And manufacturers coming back the warehousing for trucking.
The it's -- natural distribution area for the for the country and then you know Kansas City obviously that the -- the -- that'd be a cash means farmer.
Is doing really well right now these are the guys that are producing a lot of cash -- to be shipped over to India and China for the middle class.
And then -- obviously Minneapolis is doing extremely well the gas shale exploration is doing.
Gangbusters right now and so you see very low risk in expansion in these fed regions.
And Atlanta you say is one of those hot beds of -- activity.
Let -- -- -- pretty tight right now is pretty and I it is soft right now but you know it certainly has a long ways to go a lot of lot of potential for expansion.
Average investment right now 75000 dollars I guess that's what they're taking the loans out for is at higher levels.
That's about average right now in these are for your investments which is why this data so interest -- because it really means that they're making a bet for a long period of time.
They're betting with her pocketbook they're not afraid to go on -- -- And so we see these numbers with the index actually decreasing in this economy it really is signaling something about -- their investment decisions.
What should small business operators who might be watching the show right now which they take away from this from these numbers in this information it's a high checking of American small business they're really investing heavily high tech servers routers computers Telecom.
And they're not investing as heavily in the yellow -- type things and so that high tech is important is springing back productivity to their business.
So I think an issue go on warn about high tech issue learn how to work -- into the business -- to get more productivity into the business and maybe take cattle well.
Well let me help so.
Yeah not get this economy moving in.
Getting people hired to get when you thanks for coming on the show again it's always great to see you your numbers are fascinating bank.
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