In 2013, President Obama raised minimum wage to $9/hour, as previous wages were so low that families were unable to afford living costs. Today, states are raising wages even higher, with California being the first state to adopt the legislation that will gradually raise minimum wage to $15/hour. This increase is a positive one for workers, but what does this mean for small business owners like you? Well, it could mean that jobs might need to be cut if employers are expected to pay higher rates. We could also see an increase in prices (up to 4.3%) as well, as employers will need to make more money to pay a higher wage.
As an architect, contractor or engineer, you’re expected to be an expert in your field who delivers quality work. However, your educational pursuits and years of on-the-job experience working for someone else probably didn’t prepare you to own and operate your small business. You are a pro in CAD software, but a novice when it comes to accounting programs.
The truth is running a business is never as easy as costs versus profits. To help your small business grow, you’ll need to brush up your small business management knowledge.
Mike Budd works in International Sales at Triad Speakers Incorporated and completed the 2014 International Trade Small Business Management program at SBDC.
David Jensen is past President at Acumed LLC . He has been a PCC SBDC business advisor and has also been a client of the PCC SBDC.