At The Crossroads: Are we headed for a recession
We wanted to drop in on business owners unexpectedly all on the same day - Feb. 1 - to get a snapshot of the local economy and to see if the media hype on the dreaded "r word" was warranted. We figured we'd get a lot of "don't let the door hit you on the way out" responses.
We prepared ourselves for rejection.
But much to our surprise, we found most business owners - and we won't name names on the exceptions - to be extremely welcoming and willing to tell their stories.
And you'll find a lot of their stories in the pages of this special edition of the Worcester Business Journal.
The Message
The overwhelming takeaway message I got from this little "on the road" experiment is that the closer a business is to the energy or housing industries, the more likely its felt a slowdown. If you are a home heating oil dealer, you're facing customers who are less able to pay, thanks to record-high prices.
And by "close to the housing industry" I'm not just referring to home improvement retailers or home builders. Take the Ware Gun Shop (profile page 22). The world of gun retail seems far removed from the slowing housing sector.
But according to the shop's owner, most of his customers are in the trades, so when their paychecks slow, they're less likely to buy a new hunting rifle. And in January, his sales were down a worrying 15 percent.
But the other message I heard loud and clear from business owners was a sense of optimism, which really shouldn't be a surprise. To last as an entrepreneur, I think you have to have an inherent sense of optimism.
That certainly was the attitude of Robert Evans, founder and chairman, of FMG Financial Services. His agency has been located in Worcester at the intersection of Routes 9 and 12 since 1972.
And from his position at the crossroads, he's not feeling the heat from a slowed economy, partly because he contends he's in a "recession proof business."
His agency provides financial management and is a broker of 401(k) and group benefits for businesses. And he says, no matter what the economy is doing "firms will have to provide benefits, so they all need advice and counsel on how to do that." As for the local economy, he said, "I wouldn't say that it's vibrant, but I wouldn't say that it's in trouble either."
And I would guess that most business owners would agree with that sentiment. But don't take my word for it. Flip through the pages of our special focus, and read their stories for yourself.
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