Lumber Liquidators tops best small biz list

Toano-based Lumber Liquidators  has been named the best small business in the country by Forbes in its annual ranking if the 200 Best Small Companies in America. The company makes and sells hardwood flooring. Toano is between Richmond and Williamsburg.

To be considered, companies must have shown sales and earnings growth, have an annual revenue between $5 million and $750 million, have been publicly traded for at least a year and have a stock price above $5.

The rankings are based on earnings growth, sales growth and return on equity over the past 12 months and over five years.

In the past 12 months, Lumber Liquidators has generated sales over $500 million and reported an income of $24 million. This is their first year on the list; the company went public in 2007.

You can find complete coverage of the list at Forbes.com.

For more on Lumber Liquidators, check out this profile that originally appeared on BizSense.

Businesses seek tourniquet for health care costs

Every cost is on the cutting board these days for small businesses, including health insurance for employees, which can run into the tens of thousands of dollars per employee per year.

In 2007, 7 percent fewer U.S. small business (defined as firms with less than 200 employees and less than $50 million in revenue) provided health insurance for employees compared with 1999, according to the Kaiser Family Foundation.

Insurance agents in Richmond who help businesses select plans say they are hearing from every one of their clients as the recession forces business owners to find savings. Read more

New businesses, where art thou

Businesses usually sprout during recessions – when laid-off workers give entrepreneurship serious thought – but the volume of new businesses in Richmond seems to be declining. Read more

Local duo zips up distribution deal

A local husband-and-wife design team will soon have their product sold through direct-response TV and at major retailers nationwide through a licensing agreement with Massachusetts-based distributor Harvest Direct. Read more

The key to success in 2009

This might just be the year of the small business, but buckle up: Things will likely get worse before they get better.

Economists often say that each high-paying job at a manufacturing plant or corporate headquarters creates three other jobs. After all, someone has to do the dry cleaning and cook the restaurant meals. So it stands to reason that each corporate layoff leads to three layoffs, which means about 3,000 local white-collar job cuts is really more like 12,000. That doesn’t include cuts to the blue-collar sector, which has suffered big losses in manufacturing and construction. Read more

Entrepreneurs coming out of woodwork

More people might be starting businesses now that major employers are laying off workers or curtailing raises and career advancement. The Virginia Department of Business Assistance reported that activity for the Business One-Stop website rose 30 percent in October compared with September.

Business One Stop helps potential business owners learn how to launch ventures in the state, in particular it helps with permitting and registration requirements and assists with partial completion of the necessary forms. That’s likely a reliable indicator, because the site takes a while to finish and requires users to create a login name, according to William Vehers, a spokesman for the Virginia Department of Business Assistance.

The site was launched in late spring.

State starts program to guarantee souring biz loans

Governor Tim Kaine has authorized the state to guarantee a total of $3 million in existing small business loans for Virginia businesses.

The Virginia Small Business Financing Authority quickly approved a new program to work with banks and guarantee existing loans of up to $500,000 on the condition that banks loosen some of the terms of the loans. It was announced at the end of last week. Read more

More SBA-backed loans in Virginia going into default

The number of delinquent Small Business Administration-insured loans in Virginia is rising.

Last week BizSense reported that bankruptcy filings for businesses and individuals is rising in Richmond.

The SBA could not provide statistics in time for that story, but we have them now for the state of Virginia.

Fiscal Year: $ of purchased loans # purchased
2008 $9.4 million 175
2007 $12.5 million 143
2006 $8.7 million 93
2005 $6.9 million 82
2004 $7.4 million 76
2003 $13.6 million 96