The Real Deal: Want to start a business? Consider the stats on startups
Many people dream of quitting their jobs and starting their own businesses. However, inflation has many asking if now is the right time to try.
Caleb Silver, of Investopedia, says some entrepreneurs have been willing to take the leap.
“Despite a very challenging year for the economy, a very challenging year across the country and in the state of New York, we did see a lot of business formations in the past year. There are 5.2%. That shows you that people are still willing to start a new business,” he said.
Factors like fuel costs, rent and higher wages make it difficult for many business owners to cover a high payroll.
“Of those companies that are planning to start new businesses, we've seen a 7.5% drop in those with planned wages. That means they don't intend to hire many workers with their new company. It's not a great sign for the future of employment in the state of New York,” said Silver.
Experts advise aspiring entrepreneurs to research their industry of interest and determine if people will pay for those goods and services before starting a plan.