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From the monthly archives: December 2007

We are pleased to present below all posts archived in 'December 2007'. If you still can't find what you are looking for, try using the search box.

Houston - A World-Class City and Economic Powerhouse

Houston – the fourth largest city in the U.S. and the economic dynamo of Texas is also an international player in the future of global commerce. The economy of the Houston region is one of America’s largest. Its industries include oil and gas, aeronautical and space, medical research and healthcare, technology, manufacturing, logistics and shipping. The region includes America’s largest shipping port by international tonnage and the top rated logistics industry in the nation. International passenger carriers and commercial cargo carriers are positioning themselves with direct routes to Houston airports as the city gains importance in global commerce and travel. Last year, 6.4 million international passengers traveled through Bush Intercontinental Airport, a new record. The Houston Airport System expects the number of total passengers served by 2020 to be 80 million passengers a year. International patients are an important segment of Houston's increasing stream of world tr ...

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Houston Leads Future of Alternative Energy

Houston is the pacesetter in the race to a new-energy future -- Wind Energy, Biofuels, Hydrogen, Nanotechnology and Carbon-Free Energy. As investment in alternative energy surges, scientists and entrepreneurs throughout the U.S. are trying to brew up remedies for the world's so-called petroleum addiction. While it's too soon to say which of these efforts will thrive and which will wither, energy-industry veterans are increasingly confident they know where at least some of tomorrow's leaders in alternative energy will be: Houston, the home of big oil. In California, Gov. Arnold Schwarzenegger is pushing ahead with efforts to keep his state among the leaders in the development of green energy. The Midwest continues to explore new ways to exploit its competitive edge in ethanol. And Northeastern universities are pumping big money into energy research. While Houston's economy has been long known as a top producer for oil and gas, the oil industry is no longer the only energy star in town. Alternative ...

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Houston Economy - Manufacturing and Transportation Sectors

Ayn Rand's John Galt could not have built a better machine than Houston's sturdy economic engine of today. In her epic novel, "Atlas Shrugged," published 50 years ago, manufacturing and transportation were Rand's focal points in the plot to stop the engine of the world. Rand understood the importance of business growth, entrepreneurialism, and free market capitalism as the sparks that empower commerce and economic health of a society. The same precepts are true today and are alive and well in Houston. Houston's current standing as one of the "hottest cities for business in the nation" is due, in large part, to its business-friendly culture, its position as the No.1 manufacturing employer, having one of the most rapidly growing populations, and its strategic geographic location for conducting international commerce and transportation. Between 1990 and 2005, a time frame long enough to encompass an entire business cycle, Texas' overall factory output eclipsed all other major manufacturing states and is ...

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Texas Ranks In Top 10 Richest Economic States In The U.S.

Texas in top 10 best economic outlook rankings in the U.S. according to a new publication, Rich States/Poor States - State Economic Competitiveness Index 2007. This economic rating of the 50 states shows that those states with the lowest taxes, government spending, and regulatory burdens attract the most newcomers. Houston has long understood the precepts purported in this study. I found an interesting article published June 14, 1916 (yes, 1916!) by the New York Times, Houston Tax Plan Brings Prosperity. The article quoted J. J. Pastoriza, Tax and Finance Commissioner of Houston: "Never tax anything which is produced by the industry, enterprise, or ingenuity of man, because to do so will tend to decrease the sum and increase the cost of such products. The fewer restrictions, both as to taxes and regulation, which a city places upon business or products, the faster, greater, and wealthier will that city grow. The power to tax is the power to destroy as well as the power to build up. Houston decided ...

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Buying A Small Business - Get Prequalified For Financing

Get Reviewed and Prequalified For Financing So You Can Leverage Your Business Purchase. Getting prequalified for financing by lenders is very important for two specific reasons. 1) 90% of all small businesses sold have some form of financing involved. 2) One of the biggest reasons that deals falls through is because the buyer could not obtain financing. While some sellers are willing to provide partial financing to a qualified buyer, they would much rather the buyer be able to get third party financing so they can receive their cash up front at closing. Wouldn't you? The seller takes a considerable risk on a buyer he doesn't know too well and can only hope that the buyer will be successful in running the operation. The usual cash injection (down payment) required by SBA and other lenders in the purchase of a small business is generally around 20% to 30% and the rest is financed. This, of course, is based on your personal financial standing and background. You will need to submit personal fina ...

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Houston Banks On Small Business Strength

Houston-based banks feel less subprime pain -- Credit harm not as severe as in other regions By PURVA PATEL Dec. 5, 2007 Houston Chronicle National banks that were heavy into the mortgage market in parts of the country where the credit crunch has taken its toll have taken billions in write-offs related to loan defaults. Wells Fargo is taking a $1.4 billion fourth-quarter charge for expected losses related to home loans. Citigroup, Bank of America and Wachovia have also announced mortgage-related write-downs of $1 billion or more. But most Houston-based banks have been bolstered by the area's relatively strong economy and have been spared major damage from loans sold to people in the subprime market with weak or bad credit. That's because most of the banks focus on servicing small businesses. Some cutbacks -- Yet not all have escaped unscathed. A couple of local banks — Encore Bank and Franklin Bank — have cut staffs, and stock prices for some have taken hits by the overall marke ...

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Looking For A Business to Buy in Houston? Who Do You Call?

If you want to be successful in making a business acquisition, you want to work with a brokerage firm with a large inventory of businesses for sale and an experienced staff of professionals who are focused ONLY on selling businesses and have the training and experience to successfully close the deal.

While most first-time buyers may initially think it is a simple undertaking, they quickly find out that it is not. It is definitely not simple, and it is not similar to searching for a home. Except for the fact that there are Brokers to help you and market trends involved to assist in valuations, there is no comparison between buying a business and buying a home. So don't make the mistake of using a Real Estate Broker to buy a business.

Stick with a Business Broker to buy or sell a business. They are specifically trained in structuring business sales and have an extensive network of professionals, such as attorneys, accountants, and SBA and other lending institutions, who are experienced in business transfer transactions.

It is important that you have performed a self assessment and are aware of the sequence of steps involved in the process of buying a business before beginning the search. Try to concentrate your efforts on businesses that you can realistically afford to purchase and fit your specific needs and goals.

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Houston Economy is Predicted to Flourish for the Forseeable Future

Houston's economy will continue to flourish for the forseeable future, despite the nation's credit crisis (Houston Business Journal 11/19/07). The TrendLines report, researched by Transwestern affiliate Delta Associates, projects an average of 60,000 new jobs in the Houston area each year through 2009. Job growth will cause office vacancy to decline and office rental rates to increase through the end of 2008, the local commercial real estate firm predicts. On the industrial side, TrendLines shows demand for distribution and warehouse space will remain strong as the declining dollar helps boost exports. New industrial space will begin to accommodate demand, which will cause an increase in vacancy and the rise in rental rates to slow by year-end 2008. Chip Clarke, president of Transwestern's Gulf Coast and Mountain regions, said the growth in the energy sector and diversity among other sectors puts Houston in a good position to weather uncertainties in the financial markets. The TrendLines Group res ...

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