General Motors isn't a going concern - Deloitte & Touche

In the last few days, Deloitte & Touche, a third party consulting firm, gave a report on the viability of General Motors. The consulting firm indicated that they have substantial doubt about General Motors future and their capability to generate a profit in the near future.

I give General Motors all the credit in the world for their fighting spirit, however, what does it take to bankrupt this company?

If they're not making money, then by the definition of free enterprise, they should be left to reorganize and downsize themselves to a point where they can start making money.

Here's what bothers me about their bailout...

We Lived on $60 per week in groceries - family of four (1993)
When I was first starting my business in 1992, our revenue was pretty light as you can imagine... we lived on $60 per week for grocery money. One week we were pretty desparate so I called social services and asked them if they could help out. Social services told me that I would have to sell my house, because that would provide me with cash!!

I needed money then to feed the family. I was furious at that reply. Here I was ... working 7 days a week, trying to feed the family and had genuinely asked for help. I was refused !! At that point, I said, NEVER AGAIN, would I ask for help from the federal government.

The Federal Government is giving Welfare money to GM
The federal government is now giving bailout / welfare money to people who make $50-$60 per hour. That doesn't seem right, in my opinion.

Is this the alternative to having these families on Employment Insurance? I'm not sure..

This situation is completely wrong IMO.. General Motors should be left to fend for itself. That is the painful choice, however it will be better in the long run, in my opinion.

I've been self employed since 1992.. This means that I've earned money the real way.. creativity, hard work and sacrifice. I've made money , and I've lost money. My family has experienced the severe highs and lows of being self employed. However, we've never asked for a dime since those start up days.

We've had to adapt to our situation as it has happened. We've learned to deal with expanding the business and contracting the business. It's been painful and in some cases it's taken years to do. That's the nature of business.

If you have to down size, then you get back in the saddle and innovate. You create enough value that your customers will start to buy from you again. Again.. some times this takes years, however, you need to do what it takes.

End of rant..

Good luck General Motors, your workers, your suppliers etc!