IOUs spell uncertainty for California small businesses

Business consultant Katrina Kennedy has taken her young son out of preschool and put a family vacation on hold. Dairyman Mike O’Kelly is wondering whether he is going to have to let employees go.

The problem? They rely on contracts with state agencies for much of their business and, cash-strapped California may start sending them IOUs instead of money until the state has enough cash to cover all payments.

Full Story: http://www.usatoday.com/news/nation/2009-07-03-california-small-businesses_N.htm