The Bright Side
Terry O’Neill, Lake Geneva resident, and former alderperson
Why do so many new businesses in the downtown area fail, and why are there always vacant stores fronts in the downtown area?
Well, things don’t just happen, they are the result of events that preceded them. Anyone who has watched the turnover of the downtown businesses will notice that over the years there is an abnormally high, and almost constant and predictable, failure of new businesses in the downtown area. A new business starts up, and within a couple of years they close their doors and are replaced by another new business that repeats the same cycle. Investigating about why this high failure rate occurs has led to the conclusion that business turnover in the downtown district is the result of four things.
One: The repressive city ordinances;
Two: Those who continually increase rental rates for maximum profits.
Three: Supportive action by those who benefit from the turnover.
Four: Those in authority of groups, organizations, non-profits, and businesses that selectively steer visitors, members and residents to certain places or away from others.
New small start-up businesses need to attract tourists as they pass by, but Lake Geneva’s asinine restrictions on signs, excessive concern for bland esthetics, and muted colors prevents new businesses from attracting attention and drawing customers to their locations. It is like requiring a burka on a pretty woman and then wondering why no one notices or is attracted to her. Rental properties bring in maximum profit when rates are raised until some vacancies begin to occur, so rental rates are raised until there are vacancies which means some businesses must fail which then cause others to follow.
Real estate commissions occur on the transition of real estate or the transition of occupancy, so of course, those agents support and encourage business turnover which requires a business to fail or leave because it is no longer profitable. Perhaps, some people could learn from Homer Simpson, who, would hit himself on the head and say “DUH” as he acknowledged that he (not someone else) was the cause of the problem. Most likely they will remain like Mr. Potter and smile and enjoy the benefits of the failures that they are causing.
After all, for them, “failure is not an option, it is the goal.”
Cartoon of the Week
by Terry O’Neill