Signs of Economic Recovery in Southwest Florida

Despite the Numbers, Sarasota Business Thrived in 2009

Oct 6, 2009 Roxanne Blanford

Was the glass half empty or half full? When it came to interpreting signs for business growth in Florida's Gulf Coast for 2009, it all depended on perspective.

On September 26, 2009, new numbers for home sales and industrial business production were released by the federal government, and September’s demoralizing national unemployment figures revealed the jobless rate had risen to 9.8%, up from the previous month’s 9.7%. In Sarasota, Florida, the unemployment rate reached double digits during the same period.

As economists continued to assert a belief that the recession was over (or, that the nation had turned a corner and things were just not as bad in all the ways they had been before), employment was still lagging in September 2009 as an indicator of recovery.

Even with predictions that businesses would show actual signs of expansion sometime around Q2 of 2010, the public was well advised to hold off for a little while longer on popping that celebratory cork.

Economic Indicators Told Mixed Story

Nationwide, reports in late 2009 showed that construction jobs had fallen by 64,000, and service sector companies had cut more than 145,000 jobs. Conversely, Commerce Department figures pointed to a .7% increase in new home sales with some industrial businesses having stepped up production gradually. University studies and polls suggested that consumers were becoming slightly more optimistic about the economy’s general progress.

These ‘see-saw’ economic indicators all seemed to say one thing: The economic recovery touted by the new administration was not yet going full speed ahead. At most, it was going sideways and backwards while taking tentative, baby steps forward.

Recovery Zone Funding for Sarasota Businesses

The economic news of September 2009 was similarly perplexing for those living in Sarasota, Florida and, yet, seemingly far from dire. According to market statistics available for Sarasota County in August 2009, a total of 19,095 members of the civilian workforce were unemployed that month. But, as a recipient of more than $25 million dollars in stimulus money from the Federal Economic Recovery Program, Sarasota County was, at the time, simultaneously positioned to benefit from government funding earmarked specifically for new construction and for the development of new business opportunities. Surely, this had to bode well for Sarasota businesses that were seeking to re-staff depleted human resource stores.

Looking Back at 2009

The year of 2009 was one which saw Florida car dealerships closing one after the other. In the housing market, foreclosures were routine. However, Walgreens, the nation’s largest drugstore chain with over 800 retail stores in the state of Florida, already had more than 20 stores in the Sarasota/Bradenton area. The behemoth retailer was fast building more stores and expressed it was focused on expanding throughout Florida. The good news was that the retailer was not alone in its push for business growth during the 2009 Recession.

Sarasota Continued to Attract New Businesses

Despite the negative numbers of 2009, and in spite of a reality of businesses on Sarasota's once-vibrant Main Street putting up 'For Sale' signs, business was conversely thriving on the Southwest coast. Sarasota, Florida seemed ready to embrace the challenge of seizing opportunity from the jaws of defeatism by continuing to build, grow, and hire new workers.

One had only look at the statistics on new building permits to attest to a replenished, albeit tentative, faith new businesses had in investing their hopes in Sarasota. Despite the economic downturn, numerous businesses, from software consultancies and manufacturers of wireless communications, to repair shops and restaurants, were flocking to Sarasota before, and all throughout, the latter part of 2009. Some, such as the start-up company, IntegraClick/Clickbooth, were in the middle of a hiring frenzy in the late part of the year.

Statewide Economic Growth in Florida?

Across the state of Florida, mainstay industries such as health care services and retail trade were expecting an annual growth rate of more than 3%, according to projected 2010 data from the Agency for Workforce Innovation.

While the recovery was not palpable everywhere in late 2009, there were some small signs of reinvigoration. In 2009, it was just a matter of perspective. From the way things looked going into the end of Fiscal Year 2009, the southwest Florida region, and the city/county of Sarasota in particular, was right on course to be in the catbird seat once the true economic recovery finally took place.

The copyright of the article Signs of Economic Recovery in Southwest Florida in Business Management is owned by Roxanne Blanford. Permission to republish Signs of Economic Recovery in Southwest Florida in print or online must be granted by the author in writing.

Economic Indicators for Sarasota

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