GSP has only been back in effect for a week, but we’re already hearing positive things from companies about the impacts.
Take Thompson Traders in Greensboro, North Carolina, which manufactures and sells hand-hammered copper sinks for kitchens and baths. GSP expiration hit at a terrible time: just as the small but growing company reached a positive cash flow.
This past January, Thompson Traders reported reducing payroll by 8 people because of GSP expiration. Those people accounted for 40 percent of Thompson Traders’ staff. Expansion plans were put on hold. Remaining employees in the profit-sharing plan were affected by lost bonuses and raises. Yet GSP renewal and refunds coming for the extra taxes is changing that.
According to Thompson Traders President Fred Starr, the company is initiating a major new product line in a new market. This is just one part of the company’s plan to reinvest all taxes returned through GSP reinstatement in new business opportunities – all of which means new jobs and higher pay possibilities for its workers.
About a 100 miles west down Route 40 in Hickory, North Carolina, Scott Ferguson of CCS USA is also optimistic. His company provides precision tooling and die parts to the aerospace industry. According to Scott:
“The reinstatement of the GSP program will save my company $2000 – $3000 or more per week. This will allow us to be much more competitive and build the business to the point that additional employees will be required.”
Down Route 85 from Greensboro, Strategic Sales Partners in Fort Mill, South Carolina saved $7,500 on the first day that GSP went into back into effect. The company works with manufacturers, both in the United States and overseas, to provide sustainable building products such as doors, decking, and fencing.
If your company is benefiting from GSP renewal, we want to hear from you! We love receiving detailed info like that from Thompson Traders (and Primetac and Kona Bicycle previously) and quick notes like those from CCS USA and Strategic Sales Partners alike.
It’s never too early to start building the case for GSP renewal in 2017.