Adios AndiamoWhile the old conventional wisdom that "half of all start ups fail in the first year and by the 5th year 90% have failed" turns out to be false, it is safe to say that half of all small businesses fail by year five--perhaps as high as two thirds. And restaurants and health clubs certainly make the short list as usual suspects when it comes to a high failure rate.
Thus making sane folks who like the safety of steady employment working for someone else think twice about starting their own business. Although in this economy, there seems to be no such thing as safe, steady employment.
12 comments:
Amazing how many small businesses fail in Amherst. One would think lenders would've shut the tap 20 years ago...
And we have so few of them to begin with.
At least come down on the rental space! Give a man a chance in this town! Unless you have a million in reserves, why bother trying to run a business here?
Next to payroll that is the number one expense
And considering a lot of small business owners pay themselves less than minimum wage (sometimes nothing) oftentimes rent IS the number one expense.
Also the number one reason why 'The Leading Edge' will not reopen.
Come down on rents? How would they afford those sweet organic mangoes down at Whole Foods?
There are a lot of assumptions being tossed around. Do more small businesses fail in Amherst than anywhere else? Are there fewer small business here than in comparably-sized towns? Why exactly did Andiamno close? Is retail space rent in Amherst really high compared to other locations?
I have never once eaten there but have picked food up from Sibie's a hundred times. I wonder what type of resturant will occupy the space and how it will affect Sibie's and the Chinese place across the street sales.
Anon 3:19
"Why exactly did Andiamno close? Is retail space rent in Amherst really high compared to other locations?"
Your NOT local are you? LOL. With the highest property taxes in Western Massachusetts and apartments 1 & 2 bedroom going for more than a $1,000/month + utilities....Dah, yeah, store front rents and properties are cha ching to every Ebenezer Scrooge in Amherst.
Actually I am local. Do you have actual citations to back up your claims? Also is it a one-bedroom or a two-bedroom apartment that goes for $1000/month? What makes you think that $1000/month for a two-bedroom apartment is expensive? Are you aware of the national average? The state average? It's not 1975 anymore and Amherst is not Springfield. I don't think anyone wants it to be.
Actually I am local. Do you have actual citations to back up your claims? Also is it a one-bedroom or a two-bedroom apartment that goes for $1000/month? What makes you think that $1000/month for a two-bedroom apartment is expensive? Are you aware of the national average? The state average? It's not 1975 anymore and Amherst is not Springfield. I don't think anyone wants it to be.
October 22, 2010 8:00 PM
U my friend sound like an absentee property owner who rents to students and reaps in the cash...eh? Ebenezer?
Andiamos had mediocre food and high prices. I'm surprised they lasted as long as they did. It's not the rent, it's the business model. Sibies is doing just fine at the same location.
all conjecture. No facts.
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