Meet the company that sells bear market insurance, how Bill Gates-backed Republic Services turns trash into big money, and more for small business owners
IInflation continues to hit small businesses hard. Some 85% of small business owners surveyed expressed concern about inflation, while 67% raised prices in response to inflation, according to data from MetLife and the US Chamber of Commerce.
While fears of a recession have persisted for some time, Forbes Contributor Rohit Arora writes that inflation is always present, so small business owners need to be prepared. Here’s how Main Street can survive rising costs and a looming recession.
Many companies are cutting unnecessary expenses and thinking of new ways to generate sales. Sometimes, however, the best time to sell stuff is when the world is falling apart. That’s true for Simplify Asset Management, which sells bear market insurance. Paul Kim and David Berns co-founded Simplify Asset Management, which markets exchange-traded funds that protect portfolios from disasters like stock market crashes and interest rate spikes.
While the 23-employee company is not yet in the dark, Kim expects it to be soon. “ETFs are like a movie studio,” Kim said. Forbes. “Looking for a blockbuster to fund the business.” He won’t admit to praying for a catastrophic bear market in stocks or bonds much worse than what we’ve had, but such an event would likely produce this blockbuster, writes Forbes main contributor William Baldwin. Learn more about the company here.
Spotlight on History
How Bill Gates-backed Republican Services Turn Trash Into Big Money
Garbage was the quintessential commodity business until a young McKinsey consultant figured out how Republic Services could turn itself into a profit machine by pricing all kinds of junk at full price. He is now CEO of the outperforming scrap metal giant, which made $11.3 billion in revenue in 2021 from its 198 landfills and 71 recycling centers and collection lanes in 41 states.
Key quote: “Waste is worth so much more than we thought.” – Jon Vander Ark, CEO of Republic Services
Signs are mounting of an economic slowdown on the horizon: the Fed hiked interest rates again last week, the economy contracted in the second quarter and, in the face of it all, funding for startups has decreased considerably. That makes it all the more impressive for companies that keep rolling. Take B2B payment software Balance, for example, which boosted its valuation to $356 million after a recent equity funding round that raised $56 million.
A little-known CEO of Goldman Sachs-backed logistics software company Slync.io was living well just weeks ago, flying his private jet to exclusive golf tournaments and buying luxury cars. But now 34-year-old executive Chris Kirchner has been suspended from his post following a Forbes investigation which revealed that some employees had not been paid for nearly two months and had been fired after asking questions about company funds.
According to a report released last month by the National Foundation for American Policy, authored by Forbes contributor Stuart Anderson. In fact, 64% of America’s unicorns — private companies valued at $1 billion or more — were started by immigrants or children of immigrants.
If you’re looking to grow your small business customer base, you need to make sure you build a strong profile on Google: Over 60% of customers check Google reviews online before starting a business. . Here’s what you can do to get your reviews big and strong.
About 100 black-owned vendors set up shop in the nation’s capital on a Sunday afternoon last month for the city’s first-ever “Black on the Block” celebration. In keeping with a tradition that began in Los Angeles last year, the movement’s takeover of Franklin Park, in partnership with Buffalo Bills catcher and DC native Stefon Diggs, drew about 5,000 people. Learn more here.