SBA and Kauffman Foundation studies both indicate that entrepeneurship trended down in 2008.   Business starts were down 14% in the third quarter of 2008 versus the same period a year earlier, Brian Headd, an SBA economist told the WSJ online.  According to Robert Fairlie, a University of California, Santa Cruz, economist, working with the Kauffman […]
After Comfort Restaurant in Hastings-on-Hudson was denied more traditional financing needed to move into a bigger space on the other side of Warburton Avenue, chef owner John Halko successfully tapped his loyal customers for about $25,000 of precious capital, by selling them V.I.P cards, good for discounted meals for up to two years. As a […]
Manhattan icon Tavern on the Green filed for bankruptcy under chapter 11 earlier this month, with chief executive Jennifer Oz LeRoy citing “extreme financial distress brought on by the current financial crisis and the City of New York’s decision not to renew our lease, as the dual factors behind the decision.” Described as “more spectacle […]
When Sam Zell completed an $8.2 billion acquisition of the Tribune Company with an equity investment of only $315 million, he was described alternately as “reckless” and a “genius” by the financial press. Zell’s main strategy was to sell assets and deleverage his position, but plans to sell the Food Network fell through, while plans […]
According to “Rock&Roll Daily”, Muzak had nearly $500 million in debt but its assets totaled only $50,000, leading to its Chapter 11 filing in early 2009. Hard to believe, Muzak was founded in 1934! Lesson learned: When the market you compete in changes, it’s probably time to change your business plan.
Telecommunications equipment maker Nortel’s market capitalization reached a peak of $250 billion in 2000, giving it the financial wherewithal to lay out $15 billion for the acquisition of switch makers Bay Networks and Alteon WebSystems.  But the company failed to leverage its acquisitions, and did not keep up with changing technology in its core markets. […]
David@RudofskyAssociates.com
Phone: 1-914-216-3566
Based in New York City. Doing business nationally.
