The transition into a new year is always a good moment to reassess strategies for the last year and build for tomorrow. While savvy entrepreneurs are always on the lookout for new investments, the tumultuousness of the last few years can lead to some anxiety when looking forward. Here are a few items to consider as you think about your plans.
Much of 2021 saw strong performance in several markets, such as real estate and shipping. Crude oil saw an increase of nearly 80% over the last year. Additionally, the used car market was extremely profitable due to certain bottlenecks in new car manufacturing. But there are still several markets that have struggled the last year and are poised for a comeback:
- Food and entertainment
- Car production
At some point the world will move forward to the end of the pandemic, specific difficulties facing these industries should slowly resolve, and their performance may improve. Likely, it will be a slow, gradual upward trend that lasts for some time.
Uncertainty over government intervention
With markets soaring, there are several measures the federal government has enacted to contain growth. These interventions touch on all industries in a variety of ways, through:
- Environmental initiatives: Recently passed legislation includes many goals for green energy, which may cause instability in energy markets.
- Federal reserve policies: One of the main tools of the government to control growth is interest rates, which have been extremely low for a long time, but that may not last. However, the current reserve chair is considering expanding the playbook beyond interest rates.
- Global minimum tax rate: A recently agreed-on global corporate tax rate is set to be fleshed out over the coming year for implementation in 2023.
These issues are just a few of those you may need to incorporate into your plans.
Future steps require detailed legal analysis
You must keep your representation in the loop on your thoughts and concerns as you plan. They can offer you significant legal insight and analysis into any coming issue and offer you a thorough review of your current goals.