In this economic climate, everyone is looking for ways to save money.

Last month, Connecticut's office of the Secretary of the State reported nearly 3,500 businesses closed in Connecticut. That was just between January and March.

Other states know this-- and that is why they are aggressively pursuing Connecticut businesses.

Russ Hayden knows this first hand.

He is proud to be a connecticut business owner-- with 50 employees at his Shelton-based company: ECA, or Eelectri-Cable Assemblies.

Running a business in this climate, he'll tell you hasn't been easy.

"Certainly this year has been tough," Hayden said.

When representatives from South Carolina asked to meet with him-- to talk about the money he could save if he moved his company south, he agreed.

"I can tell you, the group that came here to talk about this-- they were well prepared about what was going on in the state of Connecticut," Hayden said.

For example, leasing their building... roughly 35,000 square feet and about 6 dollars a square foot costs $200,000 each year.

In South Carolina, those costs would be cut in half. Then there are utilities-- also, 60 percent lower. The total savings tally added up to nearly $250,000 each year. "I was surprised at the amount of money that could potentially be saved in another state," Hayden said.

It gave him pause to think--

Hayden't family and friends, his employees' family and friends-- are here, in the nutmeg state.

He doesn't want to leave-- but nor can he afford to ignore the facts.

Hhe's now talking to lawmakers-- asking them to re-think what they ask of businesses.

And State Senator, Republican Dan Debicella says he is listening.

"We'd love to give all sorts of benefits, but at the end of the day, somebody has to pay for it," Debicella said.

Hayden points out, "The gap between doing business here and in another state is widening. And how wide it gets will determine whether you want to take your company somewhere else or not."

ECA has been contacted by several southern states.

The representative from South Carolina were in town for a full week.

The Governor of Virginia has invited him to a meeting to discuss this further at the St. Regis Hotel in New York City.