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Tractor Talk Discussion Board

Re: OT---Lehman, Merrill Going Down


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Posted by dhermesc on September 15, 2008 at 11:43:51 from (24.248.193.103):

In Reply to: Re: OT---Lehman, Merrill Going Down posted by rrlund on September 15, 2008 at 07:27:47:

I've always been a believer in a lot of small entities instead of one big one. It allows you to be diversified and even if one goes down you have several that won't.

We have several medium sized contractor jobs, if one goes bad the other 8-9 will cover it. If we only had one huge job and it went South it would take the company with it.

My dad used to be in custom cutting, hogs, cattle, grain, and hay on the assumption that they couldn't all go bad at once (though every once in the while they did) but it also kept him from getting to big in any one area.

Kansas used to have over a 100 school districts each with their own tax base and budget system. The state took it over and now it distributes funds based on an impossible formula per student. In past years a school district or two would screw the pooch and over run their budget but the the rest would be fine. Now if the state runs short on funds every school district in the state feels the pain.


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