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View Full Version : Why Amish businesses don't fail



Toriach
May 10th, 2010, 11:01 PM
http://money.cnn.com/2010/05/04/smallbusiness/amish_business_success/index.htm


Want to find America's most successful entrepreneurs? Skip Silicon Valley and Manhattan; head to the rural Amish enclaves.Amish businesses have an eye-popping 95% success rate at staying open at least five years, according to author Erik Wesner's new book, Success Made Simple: An Inside Look at Why Amish Businesses Thrive.

GabrielWithoutWings
May 11th, 2010, 07:23 AM
There's an easy reason why Amish businesses thrive. They don't pay taxes, they take cash only unless a barter bargain is reached, and the quality of their work is exceptional in almost all cases.

Toriach
May 11th, 2010, 07:54 AM
There's an easy reason why Amish businesses thrive. They don't pay taxes, they take cash only unless a barter bargain is reached, and the quality of their work is exceptional in almost all cases.

Hi Gabriel,

Respectfully I wish to correct a couple of misassumptions you've made. They are both fairly common, so don't feel bad.

First of all your statement about them not paying taxes is partially correct. They do not pay into things like Social Security and Medicare but Amish running businesses do pay most other direct taxes, (B&O, etc.) This of course does vary from region to region. And Amish pay indirect taxes, (sales tax and the like).

Second of all not all Amish businesses operate on a cash only basis. The Amish run saddle supply shop (they also sold a number of other items as well) took both debit and credit cards. They just handled them in the older way of taking an imprint and mailing slips in to their bank.

Your third statement is generally true. While I am sure there is some slipshod Amish people out there, they are the exception and not the rule.

In my opinion the article (I don't now about the book it's based on as I've not read it, although I am curious to.) missed one of the most important reasons why Amish businesses succeed. The Amish have a much more reasonable metric of what constitutes "success" than do most of the English. That and the Amish generally think in long term gains rather than short term alone.

I found a site that looks fairly good (I will confess I skimmed but the sections I checked jibed with what I know to generally be true) called AmishFAQ (http://www.holycrosslivonia.org/amish/amishfaq.htm). One very important thing to keep in mind about the Amish is that what is permissible or not can vary greatly from group to group. The Amish, perhaps more so than any sub group in modern America cannot be viewed as being homogeneous except at the shallowest levels.

GabrielWithoutWings
May 11th, 2010, 09:13 AM
Okay. Maybe the ones that lived in my county were old-fashioned then, because they didn't take anything but cash.

Kaliayev
May 11th, 2010, 12:19 PM
Amish businesses also don't fail because of the global Amish conspiracy, which controls international finance. You didn't think Goldman Sachs were making all that money for themselves, did you?

Ariste
May 11th, 2010, 12:46 PM
meh amish construction does not automatically mean well constructed. If you are talking about a piece of furniture or something for horses then yes it's probably well made. However the ones that run contracting businesses are notoriously cheap and cut corners for speed.

ETA: and most "Amish Quilts" aren't made by the Amish. Atleast in Lancaster. The local Muong population actually makes them. If you want a real amish quilt hit a quilt hit a quilt auction at a firehouse. They have quilting bees with mostly Amish women to make those, though there are a few English women that participate, but it's more authentic, you'll pay alot less, and the money goes to the fire station

Toriach
May 11th, 2010, 06:46 PM
meh amish construction does not automatically mean well constructed. If you are talking about a piece of furniture or something for horses then yes it's probably well made. However the ones that run contracting businesses are notoriously cheap and cut corners for speed.

ETA: and most "Amish Quilts" aren't made by the Amish. Atleast in Lancaster. The local Muong population actually makes them. If you want a real amish quilt hit a quilt hit a quilt auction at a firehouse. They have quilting bees with mostly Amish women to make those, though there are a few English women that participate, but it's more authentic, you'll pay alot less, and the money goes to the fire station

hmm. Well I know that the Amish I've known in the Springs, PA area have referred to some of the Lancaster Amish as being a bit odd in some ways. To the best of my knowledge no Amish in Springs do construction.

As for the quilts that doesn't surprise me. Since the Amish generally don't do lawsuits, if leaves unscrupulous English free to apply the term to hand crafts and pseudo handcrafts, riding on the Amish reputation for quality.

memnoch
May 12th, 2010, 05:16 AM
I think a major aspect isn't so much whether or not they take credit, but the fact they tend to not use credit themselves. That is a solid start. They are also known for quality when it comes to their work...especially with furniture, food, quilts, and leatherwork.

Ariste
May 12th, 2010, 07:44 PM
hmm. Well I know that the Amish I've known in the Springs, PA area have referred to some of the Lancaster Amish as being a bit odd in some ways. To the best of my knowledge no Amish in Springs do construction.

As for the quilts that doesn't surprise me. Since the Amish generally don't do lawsuits, if leaves unscrupulous English free to apply the term to hand crafts and pseudo handcrafts, riding on the Amish reputation for quality.


Well Lancaster County is where most people go when they want to see Amish. A big part of our industry here is tourism. Maybe that has affected our local Amish some LOL.

Nox_Mortus
May 12th, 2010, 07:45 PM
I think a major aspect isn't so much whether or not they take credit, but the fact they tend to not use credit themselves. That is a solid start. They are also known for quality when it comes to their work...especially with furniture, food, quilts, and leatherwork.

Of course they tend to have very strong community support and keep property and whatnot in thier families, which helps a lot with this in terms of not needing loans to buy/rent property and tools and whatnot.

Vampiel
May 13th, 2010, 01:18 AM
Hi Gabriel,

Respectfully I wish to correct a couple of misassumptions you've made. They are both fairly common, so don't feel bad.

First of all your statement about them not paying taxes is partially correct. They do not pay into things like Social Security and Medicare but Amish running businesses do pay most other direct taxes, (B&O, etc.) This of course does vary from region to region. And Amish pay indirect taxes, (sales tax and the like).

Second of all not all Amish businesses operate on a cash only basis. The Amish run saddle supply shop (they also sold a number of other items as well) took both debit and credit cards. They just handled them in the older way of taking an imprint and mailing slips in to their bank.

Your third statement is generally true. While I am sure there is some slipshod Amish people out there, they are the exception and not the rule.


Well in that case its obvious they should keep up with times and adhere to the rest of the "progressive" world and pay full into all of those taxes so they can have the same fail rate of the "progressive" advances we have made over the years.

They are doing such a good job they obviously need some regulation to keep things fair. That is "progress" after all.

Ariste
May 13th, 2010, 01:45 AM
They don't pay into social security and medicare because they do not use those programs. The Amish community takes care of their own disabled and elderly without government assistance.

Vampiel
May 13th, 2010, 01:46 PM
They don't pay into social security and medicare because they do not use those programs. The Amish community takes care of their own disabled and elderly without government assistance.

Millions of other Americans pay into them and will never use either of them, whats makes them special? Can I get an opt-out option?

*see avatar

Ariste
May 13th, 2010, 02:28 PM
Most Americans do receive social security and medicare benefits unless they are unfortunate enough to pass before they are eligible for them. The Amish NEVER receive benefits.

OpenHands
May 13th, 2010, 04:46 PM
They don't pay into social security and medicare because they do not use those programs. The Amish community takes care of their own disabled and elderly without government assistance.

Funny, I was just discussing this with my co-workers the other day. It's true that they don't use the federal programs. Interestingly though, some Amish do use state medicaid services for disabled children. My company delivers medical supplies to Pennsylvania medicaid patients and we have a handful of Amish in the system. They also occasionally seek out therapy services for their kids. It's rare though and it seems to depend very much on which community they belong to. I suspect not all elders allow this, but I don't know for sure.

(Oh, and we've found that the quality of Amish construction depends on who you use. Many of them are very reputable and do a fine job, but I've heard complaints occasionally that certain Amish will eyeball measurements or not complete a job, etc. Just like anybody else, I suppose.)

Shanti
May 13th, 2010, 05:08 PM
Its the lifestyle that makes them successful.
None of them own anything...it belongs to all of them.
If one family's house burns down they dont have to worry about their insurance paying out and the cost of rebuilding.
They all chip in, material and labor. The home is rebuilt as it is the property of all the Amish in the group.

Food, wood, supplies, they all contribute. They have their own transport systems to move their needs such as cattle from one farm to another across country.
Our Amish down the road are a main breeding facility for the working horses. They (all the Amish) have an entire trucking system they all own and run to move those horses all over the country.
There are various sectors of Amish and they all stay connected in many ways to provide for their sector.

Dont be fooled that todays modern Amish dont use modern ways. They may not on many farms but to stay connected to the Amish network and move supplies, they are very modern. Unless you live near an Amish hub, you may not realize just how modern they are.

They dont have their own money, money belongs to all. When they prosper, they all prosper. When they hurt they all hurt.

Then they have the added benifit of no taxes and such. They are exempt from the Obama care laws even though they can use doctors outside of their network, and do. They, IMO, have to many perks and, IMO, are nothing but a very big legal commune that gets away with breaking laws we have to follow. Abuse has been known to be a problem in some communities along with insest. But the victims are trapped because the law cant snoop around. They have been known to keep members of the communities under control through fear and ignorance. They have their own rules outside of the rules we all have to live by.
If Wacco would of been Amish, none of the things that happened would have.

The worse side of all, IMO, is you are borg and have no say in how you live your life.

Just my opinion. You dont have to agree with it as opinions are just that, an opinion. Everyone has one. :weirdsmil

Ariste
May 13th, 2010, 07:11 PM
Meh, i mean yeah people have a slanted view of the Amish, but to a degree I understand. They have a very strong sense of community and family life. I don't know ANY Amish at all that drive any sort of vehicle other than a buggy. (well i do but will adress that in a minute) They will ride in vehicles though. While there is no electricity in the house, often times there is a generator in the barn. They don't have phones in their houses, but many of them have cell phones. Around here atleast they do still all use horse drawn farming equipment. Though I have seen one use a weed wacker on their lawn.

They do have drug problems. Many times there's pot growing in the middle of a cornfield. If you see discarded beer cans laying along the side of the road often time's it's come from a buggy. The girls will dress as english and attempt to get pregnant by an English man often times shortly before marrying, to expand the gene pool. (if you see a red headed Amish kid it is either adopted or the result of one of these liasons)

As for being all borg, they do have Rumschpringe, which is a period before baptism that they don't have to follow the laws of the church. Many of the boys get licenses and buy sports cars. I see alot of the youth take advantage of it, but most of them do end up returning to the church.

As for abuse, I haven't personally seen it. They do believe in strict discipline. As for incest, again i haven't seen it other than cousins marrying. The unfortunate thing is that if you are Amish you are pretty much related to all other Amish, and it is quite a small gene pool.

The Amish aren't perfect, but they feel that technology takes the focus off God and family. In a way I can totally respect that. The Amish life isn't for me, but I've learned not to judge them so harshly.

memnoch
May 14th, 2010, 01:06 AM
Its the lifestyle that makes them successful.
None of them own anything...it belongs to all of them.
If one family's house burns down they dont have to worry about their insurance paying out and the cost of rebuilding.
They all chip in, material and labor. The home is rebuilt as it is the property of all the Amish in the group.

Food, wood, supplies, they all contribute. They have their own transport systems to move their needs such as cattle from one farm to another across country.
Our Amish down the road are a main breeding facility for the working horses. They (all the Amish) have an entire trucking system they all own and run to move those horses all over the country.
There are various sectors of Amish and they all stay connected in many ways to provide for their sector.

Dont be fooled that todays modern Amish dont use modern ways. They may not on many farms but to stay connected to the Amish network and move supplies, they are very modern. Unless you live near an Amish hub, you may not realize just how modern they are.

They dont have their own money, money belongs to all. When they prosper, they all prosper. When they hurt they all hurt.

Then they have the added benifit of no taxes and such. They are exempt from the Obama care laws even though they can use doctors outside of their network, and do. They, IMO, have to many perks and, IMO, are nothing but a very big legal commune that gets away with breaking laws we have to follow. Abuse has been known to be a problem in some communities along with insest. But the victims are trapped because the law cant snoop around. They have been known to keep members of the communities under control through fear and ignorance. They have their own rules outside of the rules we all have to live by.
If Wacco would of been Amish, none of the things that happened would have.

The worse side of all, IMO, is you are borg and have no say in how you live your life.

Just my opinion. You dont have to agree with it as opinions are just that, an opinion. Everyone has one. :weirdsmil

While they are very community oriented I have found most of that to not be true at all...and we have plenty of Amish communities not too far from us. Other than assisting in building houses and barns I've found little of the rest to be true. They each have their own property, which is why they trade amongst each other.

Shanti
May 14th, 2010, 01:50 AM
While they are very community oriented I have found most of that to not be true at all...and we have plenty of Amish communities not too far from us. Other than assisting in building houses and barns I've found little of the rest to be true. They each have their own property, which is why they trade amongst each other.
Well if thats the case for some, not the ones here, they should be paying full taxes and abiding by all the ordinances and such because they are living independently from their church.

Here their church, aka, the group of people, own all the properties.