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Is The Small Business Sector Being Deliberately Targeted for Destruction?

October 9, 2021 23 Comments

This article was written by Brandon Smith and originally published at Birch Gold Group

The past 18 months have not been kind to small businesses. If you were unfortunate enough to live in a blue state during the onset of the covid lockdowns and you own a brick-and-mortar business then you have probably spent a large part of that 18 months closed, or struggling to stay open with a skeleton crew of employees. If you did manage to get a PPP loan from the government during shutdown you are now realizing that the 24-week grace period is running out and you will probably have to pay most if not all of that money back soon. Many who tried to get a PPP loan failed because the money was quickly chewed up by major corporations instead of being reserved for small businesses.

And this isn’t even the beginning of the list of troubles for small companies. I have to say, unless a large part of your business is handled online your chances of staying solvent are slim. This is not the fault of most business owners, though, it is a consequence of artificially created conditions and restrictions.

What do I mean by this? Well let’s look at some factors that many people might not be aware of…

Here’s why small businesses are suffering

For example, both state and federal governments have been offering some level of covid unemployment stimulus. In the case of federal programs this could amount to $300 extra a week on top of a person’s existing unemployment checks, even more if their state has a separate program. This has created a massive drought in the employee pool. No one wants to work when they can stay home, do nothing and make more money than they ever were before the pandemic. The reality is that there are jobs everywhere right now, but almost no one is applying.

This has led to major corporations and retailers offering unheard of sign-on bonuses in the range of $300 to $500. Some companies are offering to pay people just to put in an application. Many are offering incredible wage increases in the range of $15 an hour for unskilled labor.

But guess who can’t make offers like that? The majority of small businesses. Large corporate chains have enjoyed endless stimulus packages from the federal government and the central bank and as long as this continues they will always be able to outbid small businesses for employees. And though the federal covid checks are slowly winding down, there are still millions of people receiving regular unemployment for many months to come. In a bizarre twist, the jobless are now flush with cash and are in no hurry to rejoin the workforce. Small companies simply cannot compete and lure these workers from their covid vacations.

On top of this, we are now witnessing a dynamic which I have been warning would happen for years now – a stagflationary grind. That’s right, the debate that has been raging for a decade among alternative economists is finally over: It’s not a deflationary depression or a Weimar-style hyperinflationary collapse that is bringing America down, but a crippling stagflationary malaise. This means that U.S. GDP will continue to decline and certain sectors of the economy will continue to decline while prices on many products (primarily necessities) will continue to increase or remain very high.

This creates a conundrum for small business owners – Their overhead is rising and this is shrinking their profit margins. But, if they raise prices it makes it even harder to compete with large corporations that are able to keep prices lower for longer because they have government stimulus backing them up. So, not only are brick and mortar businesses unable to compete for employees, they also can’t compete in terms of prices as the cost of materials and goods spikes. It’s inevitable, they will have to close down. There were over 200,000 extra small business closures in the past year alone due to covid and the lockdowns.

With small businesses being hit with a perfect storm leading to mass closures, the end result will be that only major corporations will be left to offer services in the near future, and I’ve been wondering for the past several months now if this is not part of the plan…

Re-engineering the Great Depression

I am reminded of the situation that took place during the Great Depression involving small banks. In the 1920s there were thousands of small town and county banks across the country that were unaffiliated with major banks like J.P. Morgan or Chase National. It might sound strange to hear it but before the Depression many banks used to be small mom and pop businesses. By the end of the 1930s over 9000 small banks had failed, and the primary beneficiaries were the major corporate banks that absorbed all the assets into their portfolios for pennies on the dollar.

In other words, the banking industry and the massive power it holds today was consolidated in the wake of the economic collapse of the 1930s, and nothing was ever the same again. This beneficial crisis was helped along by the Federal Reserve, which had artificially lowered rates through the 1920s, only to rip rates higher in the late 1920s and the early 1930s. In an address to economist Milton Friedman on his birthday, former Fed Chairman Ben Bernanke admitted that the Fed was essentially responsible for the disaster of the Great Depression, stating:

“In short, according to Friedman and Schwartz, because of institutional changes and misguided doctrines, the banking panics of the Great Contraction were much more severe and widespread than would have normally occurred during a downturn.

Let me end my talk by abusing slightly my status as an official representative of the Federal Reserve. I would like to say to Milton and Anna: Regarding the Great Depression. You’re right, we did it. We’re very sorry. But thanks to you, we won’t do it again.”

It’s interesting to me that the collapse that the Federal Reserve “accidentally” caused just happened to be the same collapse that allowed their good friends in corporate banking to centralize financial power for decades to come.

Today, we may be seeing a similar scenario unfolding. Look at it this way – The lockdowns were completely unnecessary. They didn’t stop infection rates and thus they didn’t save any lives anyway. In fact, the states with the harshest lockdowns and strictest mask mandates also had the worst infection spikes.

The covid unemployment programs are mostly unnecessary and only justified by the pointless lockdowns. And the stagflationary conditions have been mainly inflamed by the trillions in stimulus that the federal government and the Federal Reserve printed from thin air to pay for the unnecessary covid response programs and unemployment. The covid checks and loans have conjured a workforce calamity, but they have also fueled a retail buying spree which is mostly enriching manufacturing hubs like China, triggering exploding shipping demand and shipping costs, straining the supply chain, jamming up cargo ports and raising overall prices by leaps and bounds.

Every single element of this crisis has been engineered. And I would suggest the possibility that, like in the Great Depression, major corporations are once again in a convenient position to devour the small business sector and become the only game in town for all retail and services.

Not only do corporations benefit from the death of small business, but so does the Biden Administration in its relentless pursuit of covid vaccine mandates. Consider for a moment that small businesses are the antithesis to covid controls. Why? Because they offer people who refuse to take the experimental vaccines an alternative to major retailers that might demand to see their vax passports. Small businesses are much more likely to defy the draconian mandates, so Biden also wins by removing competition to the corporate oligarchy that support his controls.

Even if a small business complies with the passport mandates it will not save them, because the amount of extra costs involved in enforcement will be too much for most of them. Constantly policing customers and employees for up-to-date vaccine cards will become a full time job. Any slip up could mean a $70,000 to $700,000 fine, and because they have already submitted to the passports those businesses will have no backup from the community if they try to refuse to pay. They will ultimately close down anyway.

Without liberty minded small businesses, the only options left for the unvaxxed will be self employment (which will also be made more difficult over time), or barter and black markets.

Ironically, it is this threat that also creates an opportunity for small business owners. If they band together within their communities and let their communities know that they absolutely will not enforce the vaccine passports on employees or customers, then they could actually have a way to compete with and defeat the big box stores. They would have far more potential workers applying for jobs so their employee pool would grow at this critical time, and, they would gain all the customers in their area that also refuse to comply with the jab. Unless they are operating in a blue county, they will likely gain considerable business.

All the incentives are there. Small businesses will succeed and local communities will have options for defiance of medical tyranny. Will it anger the overlords? Yes, but who cares. They want to put you out of business anyway, so why not take a risk and fight back? The choice is to make a stand now, or live under the heel of a boot for the rest of your days. That’s all there is.

However, these measures need to be taken now before it’s too late. I also expect that as stagflationary pressures mount smaller businesses and the communities around them will have to start considering alternatives to the U.S. dollar. Precious metals are one option, along with barter and trade or local scrip as long as it is backed by commodities. There is much to be done. It is time for small businesses to accept the possibility that they have been targeted for destruction; they can do nothing and wait for the hammer to fall, or they can take measures to protect themselves. I suggest the latter.

 

 

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You can contact Brandon Smith at:

brandon@alt-market.com

Brandon Smith

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23 Comments

  • Derek October 9, 2021 at 8:09 am

    Great points,
    In my local area, small businesses have mostly just decided to do their own thing and ignore the “mandates”, but go one step into a bigger city and its like 2020 still. Sooner rather than later businesses will have to either choose to submit to ever changing rules or just say fuck it and ignore them. The local police aren’t enforcing any types of covid measures and they never did, so businesses have been able to keep going as normal this whole time, which has brought people from Minnesota over the border into our small Wisconsin towns to drink and go to restaurants.
    https://linktr.ee/doublethoughtdimension1

  • K Floyd October 9, 2021 at 11:17 am

    *** Another bait and switch blow to Businesses, was the Stimulus Check thing. Biden’s Group sent “Debit Cards”, which never arrived. There was no way to prove or report that you DIDN’T get them, so the recourse was to enter them on your Tax Return for a Credit.

    THEN the IRS declines the Credit and also FINES you for owing that Credit amount and not having sent it in on time. We just got hit with this circle jerk. We won’t be claiming any more non-existent “Stimulus” payments, which is what also suits the Biden Group.

  • Sweettea October 9, 2021 at 9:18 pm

    I’m more of a libertarian, but I wish there was some way to limit the size of these corporations.

    • Brandon Smith October 9, 2021 at 10:16 pm

      The problem is that many libertarians wrongly believe that corporations are part of a free market; they are not. Corporations can only exist because of government charter and government protection, and corporate monopolies are born through government partnership. Heck, corporations today are also endlessly stimulated by government and central bank dollars. Thus, corporations ARE SOCIALISM, not free market capitalism. They should be abolished.

      • Oracle October 10, 2021 at 1:54 am

        Spot on Sir. 25 year corporate veteran – this is exactly how they operate.

        Tow the line, get promoted and more money, offer a counter argument – get fired or demoted.

        This is where we are.

      • 253045 October 10, 2021 at 8:53 pm

        All in the State
        The State in All
        Nothing outside the State

        Benito Mussolini

    • B Wilds October 10, 2021 at 5:14 pm

      Small businesses employed 60.6 million people or 47.1% of the workforce in 2017. Sadly, the state of these businesses is poor and for most little help is on its way. The sad reality is that a road trip through America’s struggling cities and towns underlines the fact that small independent businesses remain under assault from every side. More on this subject in the article below.
      https://Road Trip Through Cities And Towns Raises Concerns.html

      • 253045 October 10, 2021 at 9:00 pm

        Nothing can be repaired until the fake money is destroyed. Refuse to use it, try real money such as gold and silver coins. Do not use these to pay taxes. A second economy needs to rise, having NO regulation. That is the way to block the special interests.

      • Paul October 25, 2021 at 11:57 am

        This was done to facilitate a Rel Estate collapse so the Deep $tate and Big Corpses can acquire most of the productive land under the auspices of the Gubernance! Capitalism only works when the tools of production are in private hands. do you need further proof that the last so called election was a Coup de tat for Global Communism!

  • Barry October 9, 2021 at 9:29 pm

    This has been obvious since Obama’s 2nd term- their war on the conservative middle class. But now that he’s got an idiot fall guy to take the heat (just give him 10%) it’s ramped up to warp speed. They want two classes- them (the minority rulers) and us (the majority subjects). Anything in between thwarts their plan, giving the subjects an escape. They are also smart enough to recognize the communist model will not support them hence the corporate behavior incentives providing an obedient, fascist society which they rule. And of corse, covid was not an accident but an attack, most likely with high ranking Democrat/RINO approval.

    • Paul October 25, 2021 at 12:00 pm

      The war on the middle class is only necessary due to them owning firearms. The real goal of their destruction is dis-armanance.

  • dipdooo October 10, 2021 at 2:19 am

    Burger joints paying $18.50 STARTING WAGE around here.

  • nick October 10, 2021 at 4:34 am

    I’m a commercial lender and I deal with small businesses every day – Brandon, you are 100% correct in your analysis – small business is without question under attack. I would offer one more example from the SBA stimulus program called EIDL. Many of my clients were “approved” for large sums of stimulus loans with incredibly attractive terms, much better that any private lender could possibly offer which hurt my business in particular. However many, many of those loans haven’t FUNDED now for 7-8 months. One really good way to destroy a small business is to “approve” them for say, $150,000 and then take forever to fund them. The business owners thinking they would get their “approved” funding in a reasonable time have extended themselves and now, 8 months later in some cases the funds are still pending. Clearly there are some bureaucratic reasons for the delay’s but, as you correctly point out, the “mistakes” somehow always benefit the large players.

  • Nick Granite October 10, 2021 at 6:39 am

    If it walks like a duck….

    If they are not targeting small business, then they have me completely fooled.

  • 1776 October 10, 2021 at 7:34 am

    Its been nice living in Florida. Many of these problems have not materialized, and most small businesses are ignoring the ferrel rogovernment as though they were from a different nation. Unfortunately though, as our last governor election pointed out, we are ONE ELECTION away from a total communist dictator turning all of this upside down. We better plan on doing a lot more than finding ways around this, and start finding ways to FIGHT it, and without FORCE being removed from the table, because as history has shown time and time again, dictatorships ALWAYS seek complete control, and this one is no different.

  • Capt Hank October 10, 2021 at 9:30 am

    The government has now dropped the hammer on the airlines. Simply put, ANY employee that is not FULLY vaccinated by Dec 8th will no longer be an airline employee.

    • 253045 October 10, 2021 at 9:11 pm

      The FMM [fake money mafia] has now dropped the hammer&sickle on the airlines

  • JustOneGuy October 10, 2021 at 10:29 am

    Of course the small business sector is being deliberately targeted; the entire of Big Business has captured every regulatory mechanism within governance and they do not LIKE competition. Aside from that consider…IF the totality of businesses existant can be pared down to just a few Mega-Concerns, then effectively the consumer is living in a closed economic ecology and the power which can be exerted over us becomes immeasureable. We are fast approaching the point where a Kinetic response is absolutely required…and yet we can not, must NOT throw the first punch; it is a conundrum to be sure. However, quoting Herbert here “He who destroy a thing, controls a thing.” Mu’adib, addressing the Royal Court and Fremen.

    JOG

  • Thomas Yole October 11, 2021 at 5:21 pm

    But I’ve been told that “red states” including Wyoming haven’t done anything like this.

    Wyoming honor student arrested after refusing to wear a mask on school property

    https://thepostmillennial.com/wyoming-honor-student-arrested-after-refusing-to-wear-a-mask-on-school-property

    • Brandon Smith October 11, 2021 at 7:21 pm

      Albany County is one of the few blue counties in Wyoming and is Democrat controlled. There are blue slave counties in every red state, but they are the exception, not the rule. One arrest in one blue county in one red state – Compare that to the mass oppression going on in multiple blue states with vaccine passports. Cherry picking one headline out of the context of the bigger picture is is not a good way to educate yourself on the situation.

  • Gauntlet33 October 12, 2021 at 4:50 pm

    Yes, I totally believe that the released gas will not in any way be toxic: https://www.cryptogon.com/?p=62500

  • Gauntlet33 October 12, 2021 at 5:08 pm

    Also, check out the “pilot”, who is obviously reading from the teleprompter, instead of speaking from first hand knowledge. Predictive programming for the shutdown of global trade and break in the supply chains as the IAF has been warning? https://theexpose.uk/2021/10/12/airline-pilot-warns-president-biden-about-whats-to-come-in-response-to-mandatory-covid-19-vaccination-policy/

  • Gauntlet33 October 12, 2021 at 5:35 pm

    And I think Brandon will prove to be right that we’ll get stagflation instead of a massive deflation or hyperinflation which I see is defined as: persistent high inflation combined with high unemployment and stagnant demand in a country’s economy.

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