Are Small Business Lines of Credit Shrinking?
There is no question that the country has been mired in economic turmoil over the past year. Despite the conditions, the market is still filled with entrepreneurs looking to launch a business and small business owners looking for a way to get ahead. Many of these individuals (including some of our readers) will be looking for assistance in the form of loans to get off the ground or expand. In the past, the logical source for these funds would be to turn to the country’s banking institutions; however the loan market for small businesses is quickly drying up. According to a recent CNN Money article, the Small Business Administration’s primary loan program has seen an 80% decrease in loans from 6,100 in FY 2008 to 1,250 during the 2009 fiscal calendar (see lending chart on the right). Despite this shrink, there is still credit available for small business owners. Instead of the traditional loan, banks are now steering would-be business lenders to credit cards. The downside to this is that
Related Questions
- I would like to move my AT&T Small Business Hosting account over to Interland now. Can I purchase a new plan from Interland and get a credit back from AT&T?
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