With 2016 well underway, Business News Daily reported on challenges likely to be faced by business owners this year, including finding and keeping employees, and the availability of capital.
One challenge reported is the difficulty in finding good employees. During the recession, many people were searching for employment, and so applicant pools were large. Since the end of 2015, applicant pools have been decreasing in size as the job market continues to improve. U.S. News University Directory reported that since 2010, around when the recession came to a close, 2.9 million higher-wage jobs have opened up. The U.S. Bureau of Labor Statistics reported that unemployment is at a low 4.9 percent, down almost 2 percent from two years ago.
Business News Daily goes on to report that employees have higher expectations now as well. For one, younger employees are more skilled in working from any location due to advances in technology. This seems to be a factor in job searching because young professionals seek a more flexible work environment. New hires also look for development and advancement opportunities within businesses. Business strategist and adviser Carl Seidman, stated, “CEOs need to focus on engagement, development and fostering a flexible environment for people to work optimally.”
It is important when starting a business to have appropriate employment agreements, incorporation documents, and funding. In addition to finding valuable employees, structuring employment agreements which includes benefits is vital to the structure and workings of a new company. Business News Daily describes how wages are increasing in many fields, and employees are seeking better benefit packages. One cause for this is that larger companies are offering many incentives smaller companies are unable to afford. What’s more, new start-up businesses may find it more challenging to obtain capital. Although it is reported that there is enough investment money to fund new businesses, markets are becoming more constrained, and so the time it takes to receive capital is lengthier than before.
If you are starting a new business, or if you already own a business and would like to stay current on profitable structuring and various business agreements, the advice and counsel of an experienced business law attorney is often vital. Contact the experienced attorneys at Blodnick, Fazio & Associates, P.C. for a free consultation by calling (516) 280-7105.