I will reply to this post to clarify (although I will be responding to several).
"Living wage" in my area is $40/hr. That is just to live, not thrive or gain.
Rent prices have gone insane [1], which in turn have drove up COGS. Since COGS have gone up the real estate investors have raised their prices on rents/housing to make up for the increase. The feedback loop has gone on too long...I am concerned the only option is collapse and for a lot of investors to lose money. This will feedback into the system even more...it will not benefit either the renter or the investor.
As they say..."the market can stay irrational longer than you can stay solvent".
I run a very small company that is largely bootstrapped. I fix all my own machines, do my own setup, move my own equipment. Personally, I work on every step from design through packaging (janitor>CEO). There is not enough money to pay a living wage for others...so I end up doing everything myself. 70hr weeks are not uncommon. (I also cook my own meals, fix my own car and bake my own bread...otherwise I would not make it)
If you have not been a renter for the last 10 years you may not have noticed. Building more is not helping since the only things being built are done so they can set them to the new "normal" price. It is to the point where they consider an "affordable home" as $400k (in my area they literally named this development as "Miracle on Britton"). Meanwhile the average renter makes <$40k/year.
I have not been outsourcing more due to this. Just working harder myself...but even so I barely get by. 5 years ago I gave up the hope of ever buying in this area [2], currently I am just working to stay here long enough to take care of family. If I did not have that I would be long gone.
Doing what I can to bring back manufacturing to the area, but I am a small fish working mostly in Opensource Hardware. If the project starts making money again very likely it will be cloned to the point where there will be no way to make profit (already happened once).
"Living wage" in my area is $40/hr. That is just to live, not thrive or gain.
Rent prices have gone insane [1], which in turn have drove up COGS. Since COGS have gone up the real estate investors have raised their prices on rents/housing to make up for the increase. The feedback loop has gone on too long...I am concerned the only option is collapse and for a lot of investors to lose money. This will feedback into the system even more...it will not benefit either the renter or the investor. As they say..."the market can stay irrational longer than you can stay solvent".
I run a very small company that is largely bootstrapped. I fix all my own machines, do my own setup, move my own equipment. Personally, I work on every step from design through packaging (janitor>CEO). There is not enough money to pay a living wage for others...so I end up doing everything myself. 70hr weeks are not uncommon. (I also cook my own meals, fix my own car and bake my own bread...otherwise I would not make it)
If you have not been a renter for the last 10 years you may not have noticed. Building more is not helping since the only things being built are done so they can set them to the new "normal" price. It is to the point where they consider an "affordable home" as $400k (in my area they literally named this development as "Miracle on Britton"). Meanwhile the average renter makes <$40k/year.
I have not been outsourcing more due to this. Just working harder myself...but even so I barely get by. 5 years ago I gave up the hope of ever buying in this area [2], currently I am just working to stay here long enough to take care of family. If I did not have that I would be long gone.
Doing what I can to bring back manufacturing to the area, but I am a small fish working mostly in Opensource Hardware. If the project starts making money again very likely it will be cloned to the point where there will be no way to make profit (already happened once).
[1] https://www.zillow.com/rental-manager/market-trends/coeur-d-... [2] https://www.zillow.com/home-values/136166/coeur-dalene-id/