Bicycle Shop Bailout Plan Debated in Congress

This is a headline you won’t see anytime soon. Obviously the big story is the financial crisis hitting our country. But there is something to my headline. From one source, about 30% of bike shops in the U.S. have closed in the last 5 years.

I have not studied the problem facing these retailers. So I can’t go into detail on that here. But here is what I think. Bicycle shops are small businesses. Big industry, but small business. Nobody is watching out for small business owners. We are on our own. These shops are also spread out. There might be one or two shops in any town or neighborhood.

Banks are big business. To some degree, banks are in the business business. They provide the gasoline for the economy. They are clearly more important than bike shops. Or corner bakeries. Or (gasp) print shops. So, banks and investment firms get government bailouts. Small business owners don’t get a “do-over.”

This is sad to me. As a small business owner I feel for these shop keepers. As a lifelong biker I am a sad customer. Bike shops and book stores are two of my favorite places to visit. Don’t get me started on book stores. They all but disappeared about 7 years ago.

I understand that the big banks need to be protected. They are too tied into our economy. However, I have not seen anything about consequences. Unless there is clear evidence of theft or fraud, I would not be happy seeing bankers put in jail. But having to pay back their ill gotten gains? Perhaps. But business survival has to make economic sense. Poorly managed businesses should fail or be bought out by smarter business people. Bike shops—the market is speaking. Investments banks—your time has come too. What do you think?