Data World Population vs. Media Reporting Crunch the Numbers

TOP 10 MOST POPULOUS COUNTRIES 1. China 1,349,585,838 2. India 1,220,800,359 3. United States 316,668,567 4. Indonesia 251,160,124 5. Brazil 201,009,622 6. Pakistan 193,238,868 7. Nigeria 174,507,539 8. Bangladesh 163,654,860 9. Russia 142,500,482 10. Japan 127,253,075 How much of an impact can 195,000 have on 316 million??

Jobless About to Take a Big Hit From the Sequester

There are so many more people suffering and in a very bad situation, those numbers are just not accounted for; you bet your bottom dollar, over 300 million people in the United States, think about it.....195, 000 full or part time jobs, this is a complete joke! Jobless About to Take a Big Hit From the Sequester Published: Saturday, 6 Jul 2013 | 9:00 AM ET By: Jeff Cox | CNBC.com Senior Writer The 11.7 million Americans still unemployed are finding their wallets getting even lighter as the sequester federal spending cuts kick in. While the mandated decreases have been slow to trickle into the real economy, the unemployed are feeling perhaps the first big jolt. As of July 1, the average weekly benefit of $289 will fall by $43 a week, adding pressure at a time when the labor market is trying to find its bearings but has yet to generate the kind of employment that would indicate a strong recovery. Sharon MacGregor, a 43-year-old graphic designer by trade, lost her job about a year ago when the medical education company she worked for went under. Since then, she's struggled to find work and now has to contend with even less unemployment compensation. "It's horrible, I never thought it would be like this when I got let go," she said. "I've been laid off before and found a job in a couple of months. I thought I'd be fine." MacGregor joins the ranks of 120,100 unemployment insurance recipients in New Jersey who will see their average compensation drop 22.2 percent, according to the National Employment Law Project. The current typical unemployment insurance check for the Garden State runs $382, but will be reduced by $85. As she traverses the rough unemployment terrain, MacGregor finds herself bartering for services at the hair and nail salon and counting on her Christian faith to get her through. "I believe in God. I'm keeping my patience. For me, that's how I get by," she said. "Something definitely needs to be done." The cuts have come about as Congress debates how to handle the spending cuts mandated after it failed to reach a deficit-reduction deal last year. While the spending pullback has helped reduce the national budget deficit and has had only incremental effect on first-half growth, economists worry that the full effect will be felt in the final six months of the year. "They just don't care. The government is doing absolutely nothing to stimulate job growth," MacGregor said. "They've just swept this under the carpet." Some of the sequester effects on jobs appear to have turned up in the June non-farm payrolls report, which showed the economy added 195,000 jobs while the unemployment rate held at 7.6 percent. During the month, the number of workers holding part-time jobs for economic reasons swelled by 322,000 to the highest level since October. How that plays out nationally likely will depend on location. New Jersey and Maryland led the pack of states cutting back on benefits at 22.2 percent each, followed by Montana (19.6 percent), Connecticut (19.2 percent), and Arizona and Illinois, both at 16.8 percent. In states where the jobs picture is more robust, the cuts are lower. Texas, for instance, is reducing its typical benefit by 10.2 percent. The state has a 6.5 percent jobless rate—well below the national level—and has 118,500 on unemployment insurance. Jordan Douglas was one of those who relied on the benefit program while studying to get her licensed vocational nursing degree. Douglas, 25 and a single mother living in the small panhandle city of Pampa, lost her nursing job in February 2012 and how has three positions—one full-time and two part-time jobs she has thanks to a big demand in her field. "It's awesome and I couldn't have done it without unemployment," she said. "I literally got unemployment all the way up until April and I graduated in May. There just would have been no way I could have made it." For the jobless about to feel the sting of benefit cuts, then, Douglas' story at least provides some hope. "I don't know if it was the economy last year or what. Now that I have a different degree it was a littler easier to find a job," she said. "I got my first check and it was double for two weeks what I made in a month. It feels pretty good." Video: US Economy Adds 195,000 Jobs in June Randy Kroszner, University of Chicago, breaks down the better-than-expected employment numbers. And David Seaburg, Cowen & Company, and Patrick Legland, Societe Generale, share their thoughts on how jobs growth, turmoil in Egypt, Fed fears and a drop in gold are likey to impact the markets. _ By CNBC's Jeff Cox. Follow him @JeffCoxCNBCcom on Twitter.

SBA: National Small Business Week

SBA US Small Business Administration

Small And Growing Businesses Are A Key To Our Job Problems

Samantha Smith, Contributor Entrepreneurship and Innovation 24/7. Government and Policy Matter. 6/13/2013 @ 2:37PM Small And Growing Businesses Are A Key To Our Job Problems In both developing and mature economies, small and growing businesses (SGBs) struggle with three problems —access to industry, small initial capital, and strong human resources. In my own research I’ve found this, and ANDE’s latest impact report confirms this and more. SGBs can be defined as businesses able to grow beyond a small business meant for livelihood and able to employ staff upwards of 200 or more. With so much talk about economic growth and recovery, startups, and microfinance, focusing on supporting SGBs is one of the most effective ways to create jobs and serve communities. The ANDE network is made up of over 181 member organizations across 150 countries focused on serving SGBs in developing countries. Combined they have worked with over 60,000 SGBs. ANDE member services are doubly important given much of the SGBs they serve are in countries that have twice as many hurdles— from government issues, to lack of infrastructure, and unskilled workers. The success of SGBs can contribute to the 400 million jobs we’ll need globally over the next decade just to retain current employment levels. Targeting the financing issue directly, 293 funds committed to serving SGBs each have on average $52 million in assets, and 40 of those 293 funds co­-identified with GIIN are in the ANDE network. The point of ANDE is to unite the sector, share insight, and promote the mission of serving entrepreneurs in emerging markets towards the aim of ultimately lifting countries out of poverty. Impact investment institutions source their capital from financial development institutions, high network individuals, foundations, and some are open to any accredited investor. Some organizations like KIVA, the BID Network, and Trilinc Global are working to democratize impact investing, too. On the larger, institutional front, Deutsche Bank has the Essential Fund and Goldman Sachs is working to build out the number of investable women businesses with their 10,000 Women initiative. Both the Clinton Global Initiative and the World Economic Forum have launched working groups to promote impact investing, with a focus on small business entrepreneurs. CONTINUE READING ARTICLE

Study: Small-Business Credit Conditions Rebounding

Study: Small-Business Credit Conditions Rebounding Thursday, May 30, 2013 by Brian Shappell Credit conditions for U.S. small businesses made a solid leap in the first quarter of the year despite the threat of heavier tax burdens and sequestration spending cuts, according to a study unveiled this month by Experian and Moody’s Analytics. But that’s not to say such an improvement should be relied upon during the middle of this year. The latest Experian/Moody's Analytics Small Business Credit Index climbed 5.7 points in Q12013 to 109, up from 104.3 in the previous quarter. Much of the improvement, characterized as a “welcome surprise” to the authors, was driven by lower delinquency rates and stronger consumer spending. However, even analysts involved in the study themselves warned to not get overly exuberant…not just yet anyway. “Conditions are improving, but only slowly and unevenly across the country,” said Moody’s Analytics Chief Economist Mark Zandi. “Much further progress this year will be difficult given the likely fallout from the sizable tax increases and government spending cuts, but conditions are expected to improve next year once these fiscal headwinds begin to fade.” In addition, the study illustrated that improvements in credit quality are tied less to real improvement in U.S. businesses and more toward managing, “keeping a tight lid on,” labor costs. Within the statistics, increases in delinquent balances were particularly noticeable among the smallest companies, those with fewer than five employees, and the eastern portion of the country appears to be struggling more than other regions because of the weak employment situation, lack of import demand in the European Union and the federal cuts emanating out of Washington, DC. Experian and Moody’s added that the full effect of federal spending cuts likely wasn’t felt fully in the Q1 statistics, and that it could come during the next two quarters. -NACM staff

Looking Beyond Banks for Financing

CEO Tech Guide to Creative Financing Looking Beyond Banks for Financing By Verne Kopytoff February 05, 2013 Entrepreneurs starting businesses drains their savings, mortgage their homes, and hit up friends for cash. After landing some customers, they bring on investors to fund an expansion. It’s a path taken by countless startups. For many, it’s a road to frustration. Access to financing is among the toughest challenges entrepreneurs face. Not everyone has deep pockets or connections with investors. Banks—the most obvious source of money—were already reluctant to make loans to untested, unprofitable businesses with limited collateral and then pulled back on lending during the recent recession. Small business loans fell by half during the depths of the crisis, according to the Thomson Reuters/PayNet Small Business Lending index. Lending has since recovered somewhat, but it is still down nearly 25 percent from its peak at the end of 2006. However, nascent companies—and even some mature ones—have a growing number of alternatives they can tap for capital. Crowdfunding, peer-to-peer lending, microlending, and further options have gained traction in the past several years. “It’s really encouraging,” says Todd McCracken, chief executive of the National Small Business Association, an industry trade group. “We’re starting to see a real renaissance in small business financing.” Few methods of obtaining startup capital have received more attention lately than crowdfunding, by which companies ask the public to make donations, investments, or loans. The best-known contribution-based crowdfunding sites are Kickstarter and Indiegogo. Jimmy Buchheim, founder of StickNFind Technologies, in Davie, Fla., listed his first campaign on Indiegogo recently as a last resort. He had pitched two large companies on developing his idea—Bluetooth enabled stickers that help people track their lost keys, shoes, or cat using a smartphone—but got nowhere. So he decided to forge ahead and build the product himself. Lacking connections with investors and averse to pitching to banks, he took his idea directly to the public. Buchheim’s idea was a hit, raising more than $900,000 from more than 16,000 people. The show of support encouraged him to increase his planned production to 200,000 units, far more than he would have done without the pre-orders he received as part of his Indiegogo campaign. He’s using the money he raised to hire engineers and cover the cost of manufacturing. “As an inventor, it’s been truly amazing,” Buchheim says. Not every business is a good fit for Indiegogo or its rivals, Buchheim says. Companies without experience delivering a project on time risk damaging their reputations, while those who want to keep their plans under wraps may have their ideas stolen, he cautions. Slava Rubin, chief executive of San Francisco-based Indiegogo, says that his website is a useful tool for any company looking to gauge consumer interest in a product and to collect customer e-mails. Making the most of it, however, requires some forethought, he says. Listings for tangible products, particularly those that are further along in development, usually attract more contributions. Campaigns with a video do better than those without one, he adds. Another version of crowdfunding involves companies soliciting the public for investment rather than for contributions. The Jobs Act, signed into law last year by President Obama, paved the way by loosening restrictions on who can invest in private companies. Federal regulators have yet to finalize the rules, so websites that were planning to serve as crowdfunding investment hubs are on hold. Some are getting around the logjam by trying to serve wealthy clients, known as accredited investors, who have always been able to invest in start-ups. “It is certainly a pain for us because we built something that we think is pretty incredible,” says Ryan Feit, chief executive of SeedInvest, a crowdfunding site that is stalled by the regulatory delay. “Regardless, it’s not the worst thing in the world to work with accredited investors.” Another method, peer-to-peer lending, leaves financial institutions out of the picture. Borrowers list the size of their desired loan and its purpose online. Lenders—a mix of regular people and investment firms—decide the amount they want to fund, based on the interest rate offered and their calculation of the risk. In one example, a bait-and-tackle-shop owner in Michigan listed a three-year, $6,500 loan on Prosper, a San Francisco-based peer-to-peer lender whose rivals include LendingClub and SoMoLend, to buy inventory for the spring fishing season. The appeal, which offered lenders a 15.79 percent yield, received a warm reception on the site. After three days, lenders had already funded 70 percent of the loan. CONTINUE READING HERE

Kabbage Expands Its Cash Advances to Brick-and-Mortars

Financing Kabbage Expands Its Cash Advances to Brick-and-Mortars By Patrick Clark May 14, 2013 Since 2011, Kabbage has advanced money to successful Amazon.com (AMZN) sellers, EBay (EBAY) merchants, and others who do business online but have a hard time getting bank credit. By crunching applicants’ transaction history, user feedback, and social media interactions, Kabbage assesses their riskiness and offers financing in a matter of minutes. Kabbage isn’t just targeting online sellers anymore: The Atlanta-based 100-employee company today announced it’s using QuickBooks data to make cash advances to brick-and-mortar businesses. Chairman Marc Gorlin says the company will take advantage of Intuit’s (INTU) popular accounting software, which has more than 4 million small business users, to analyze sales, payroll, and other data with “eyes wide open.” Many factors, such as a company’s hiring history and the number of vendors it works with, help inform Kabbage’s financing decisions. “It’s not any one data point; it’s tying it all together,” says Gorlin. Gorlin says Kabbage’s average financing is for about $18,000. Kabbage doesn’t lend: It makes cash advances. In return, clients pay from 2 percent to 18 percent on the advanced amount, and Kabbage pulls payments directly out of its customers’ accounts. Kabbage, backed by investments from Stephens Inc. Chief Executive Officer Warren Stephens and TPG Capital founding partner David Bonderman, is the latest in a series of alternative financing businesses to promote plans to expand. On May 1, On Deck Capital announced that Google Ventures, PayPal (EBAY) co-founder Peter Thiel, and others had invested $17 million in On Deck, which uses electronic cash flow records to underwrite working-capital loans to small businesses that banks usually avoid. The next day, Lending Club said Google (GOOG) was leading a $125 million investment into the company, amid news that the peer-to-peer lender was getting ready to start offering small business loans. Last week, startup Funding Community unveiled its site for crowdfunding small, short-term business loans. One factor propelling all these new spins on alternative financing geared at small businesses: tight credit. While there are signs that banks’ small business lending standards have loosened a little, difficulty obtaining credit is often blamed for the gap in hiring at small businesses and larger corporations. How wide is the gap? Here’s what Steve Matthews reported in Bloomberg News last week: Companies with fewer than 20 workers increased employment by 3.8 percent from February 2010 to April 2013, while the largest companies—with more than 1,000 on their payrolls—expanded their workforces by 8.6 percent, according to data compiled by Moody’s (MCO) and ADP Research Institute. Part of the problem, as Matthews reports, is that the community banks that have traditionally provided the large part of small business lending have been slow to recover from the financial crisis, despite a Treasury program intended to get small banks lending again. This is difficult partly because even small banks aren’t equipped to provide the kind of short-term financing in small amounts that alternative funders like Kabbage specialize in. Gorlin thinks banks could take advantage of Kabbage’s technology to increase their financing options. “We want to bring automation to the banks,” he says, “whether it’s through a white-label product or they do it through Kabbage.” Clark is a reporter for Bloomberg Businessweek covering small business and entrepreneurship.