There is no Business without Profit

August 11, 2010 by Taylor Studios in Other

Today’s post was written by guest blogger, Rob Meier. Rob is a licensed Social Worker with 20 years experience and currently works in healthcare as a diagnostic imaging consultant.

The core of our American way of life is the small business. Small business is driven by profit. Profit is what builds the personal wealth of owners and his/her employees. However, in today’s environment, the profiteering entrpeneur is frowned upon as our national financial system came close to collapse. We look upon the “owner class” of small business America with disdain. Some may feel that their successes are due in large part to skimming the cream off the labor of their employees and so we discount them as greedy and heartless when in fact the exact opposite is the case.

America’s heart is still small business and at the core of small business is the man or woman that risked all in order to make a better life for themselves and those who they rely on. While building their future they took many people along with them to success. We look to large multi-billion dollar companies that were started as mom and pop operations in basements and garages. For example, Hewlett & Packard, Cook Medical, Eli Lilly, Dell and Apple Computer, Nordstrom, Mattel and Starbucks are just but a few companies that started from literally nothing. They were birthed by one or two folks that wanted a better life for their families. These people risked everything they owned to start something in hopes it would amount to a better life. Behold, organizations were born that gave thousands jobs with benefits and a means by which to build their own personal wealth, families and lives.

Benjamin Franklin once said, “industry need not wish.” The entrepreneur assesses the risks against consequences and makes decisions that not only affect themselves but family members and employees as well as their customers. Their industry drives them. The object of the risk is PROFIT and profit drives industry. Profit is the nourishment from which business feeds. Profit is not necessarily money; it is not greed; it is not negative. Profit is in fact growth and with growth comes greater prosperity. Prosperity encourages even more investment (risk) in hopes of yet greater profit so the growth cycle can continue. Profit is in fact a good thing. All of us benefit from profit.