Respondents let off some serious steam in Direct Capital’s recent Small Business Survey that focused on the value of the Small Business Jobs Act. To keep this interesting, we’ll shoot straight from the hip on the results. Don’t miss a few of the noteworthy responses below.
Incentives For Buying New Equipment. Survey Says…
75% said the new law’s incentives to stimulate new equipment purchases would NOT affect their decision to buy equipment or technology this year. These respondents sounded off on similar themes, saying they:
- lack customers and profits necessary to justify investment in equipment;
- are uncertain about the economy;
- don’t trust the current course of government and the regulatory environment;
- are not about to buy equipment just so they can get a write-off;
- feel the previous limit was enough;
- feel it is too little, too late; and
- really need working capital*, not equipment. (We can help on this, click here.)
A Few Responses Worth Sharing…..
- “I need credit not TAX credit!”
- “You have to have the work to pay for the equipment”
- “Banks are not loaning money unless you don’t need it!”
- “We have poor sales, new equipment won’t make customers buy our products”
- “Direct write-off expensing is already higher than we can use.”
- “We are a software company. While capital equipment is necessary to support our development efforts, uncertainty with taxes and health care costs will prevent us from acquiring additional capital this year.”
And then, our personal favorite…”I don’t care because I don’t pay taxes.” How do we all get into that tax bracket?
Photo credit to ProLife at http://www.sxc.hu/photo/578107
*Working capital not available in the following states: AK, DE, ND, VT