A survey released last month by the California Foundation for Commerce and Education found 87.7 percent of business executives in the state of California believe their state is a more difficult place to do business because of burdensome regulations and red tape.
California also leads the nation in small business bankruptcy filings and continues to struggle with a high unemployment rate. However, two national reports released Friday by the Labor Department and the National Federation of Independent Business may provide a degree of comfort to the state, or at least the nation.
First, the national unemployment rate fell to 8.8 percent in March - down an entire percentage point from last November - and second, the NFIB reported hiring by small firms maintained growth last month.
"Although the economy now produces more output than it did at its peak in 2007, it uses 6.8 million fewer workers to do it," Dunkelberg said. "This has resulted in good productivity numbers (output per worker) but stubbornly high levels of unemployment."
The Golden State may have a ways to go to reclaim its reputation as a haven of business activity and entrepreneurship, but until then officials and business leaders may need to work to encourage entrepreneurs to incorporate in California.
Tags : ca, incorporation news, small business management
Posted: Apr 1st, 2011