When an asset has a grossly inflated price, it is by definition an asset bubble. Does this apply to many small businesses in the US? Probably yes, in my opinion. Most small businesses have a balance sheet listing some assets; therefore they are subject to being part of a bubble. There is an estimated $10 Trillion in private business equity in the US, largely in the hands of the Baby Boomer generation, according to research by the Exit Planning Institute. If there is a large market of assets, but not enough buyers, that is what creates the potential for a bubble. What I am not sure of is whether this situation will burst like a bubble and cause the next financial crisis, or if this is more like a balloon with a slow leak, thereby creating a drag on the US economy for many years.





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Share your small business tips with the community!
Share your small business tips with the community!
Share your small business tips with the community!
Share your small business tips with the community!