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Home Depot co-founder Bernie Marcus on how the economy and lack of lending is hurting small businesses.
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Business.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- Someone made money -- the traders the other because of trade was given diner but but it indicates of a lot of the public money we've seen.
Wasted away here.
We're just deeper in in debt as a result no one's no one's winning on that and that I guess it dad begs the question as to.
Whether this is beginning to resonate whether we're seeing it now.
In steadily weakening odd jobs numbers and retail sales numbers and it what I was mentioned -- the consumer confidence numbers in the factory numbers and and and and greater reflections of companies pulling in there warns a -- for example pulling out of Europe.
Other companies that -- pulling back on their expansion plans is hanging on to cast that.
Some -- This speaks have a recovery that that could be -- the other way.
Well he could and and I need a lot of people who business I've read a lot of big companies.
And and you're right about one -- number one.
They are keeping their cash they're buying back their stock.
They're not investing and when they don't invest they don't create jobs when they don't create jobs this economy doesn't turn around.
And if that's the big business not take the small business you have the same thing those guys are hanging in by the females and by the way they're getting killed by the regulations.
-- getting killed by things like Dodd-Frank.
If you look -- -- very interesting statistic that and then not not sure you talked about it.
You know that the bank's loan warm -- less money last year this coming year than they have before in the previous year so we -- they had the -- You've bailed the banks out and the banks aren't loaning money now who's a recipient all that who gets punished there's a small business guy he can't borrow money from the banks anymore.
In other words.
Yellow JDG into gene can borrow money Home Depot we go out -- two million dollars -- it's a very easy thing they've decided -- evident then.
But a guy goes no bank in these 50000 dollars for his you know to to carry them over to pay his bills.
He's gonna have a lot of trouble and he is having trouble because the regulators are not approving it so.
What happened this and I spoke to bankers about it deal.
The bankers of pulling back there really not loaning money because the regulators don't like the loans.
And that's part of this whole regulation issue which is gone crazy in America.
Periodic big companies -- at least that's what teams of lawyers and lobbyists to shield them and guide them through this whole regulatory elaborate but they're not -- small business.
I just -- YSE it it.
You you know the market is just coming off a lousy month of may down about 6% for the Dow worst -- of appearance -- two years.
There's a concern that the markets sort of you know turning over here that that is a worrisome.
Barometer now markets -- tickled -- follow is you've often reminded me but the trend is not our friend isn't.
Now -- -- I loved I don't know I didn't understand why the market went up in the first place I don't understand why.
If you had this growth that it did you know few weeks back of the sort of the growth.
I have to believe that everybody out there is very skittish on -- market the only thing the only thing going for in this country is that.
-- is falling apart.
And money has to come in here into this country.
I notifying you they're buying government bonds I know they're they're doing a lot of that.
But hopefully some of that is gonna go with the stocks.
And they'll be buying some stocks on the market or investing in businesses here in the United States.
Europe is not safe anymore and if we continue do what we're doing.
This country won't be safe anymore anyway I don't know where we're gonna go.
I think if in fact this economy doesn't turn around -- right around this is the longest lasting recession we've ever had.
So the president gets up -- talks about well things are getting better it's not getting better the debt is something -- that's totally out of that the space.
We're not going to be able -- solve it.
I don't know I don't know whether Romney is going to be able -- do it over purity time but I think he's more -- He's better and better able to do it.
Been robbed and Obama who's really surrounded by people who demonstrated.
They don't have a clue about the economy they really don't -- -- college professors Harvard Business School did there there there are Ph.D.s in the economy they -- nothing about.
The world as it is the business that citi's and they've demonstrated and we're here today because they're so I -- -- -- Harvard business growth.
Oh yeah but he ran a business but you know what he ran a business.
Listen deal -- if I had the if -- if I had a million dollars to invest a what I give it to rob Leo what I give it to Obama.
You you name it -- -- that's let's face it.
I'd certainly not the ideas you do you do for a million dollars to invest.
But I'll leave that aside Bernie it's always a pleasure my friend thank you very much all right.
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