Showing posts with label business loans. Show all posts
Showing posts with label business loans. Show all posts

Thursday, January 22, 2009

Small business loans down

Small business loans are down, as much as 47% in some markets like north Florida which has also been hit hard by foreclosures. The freezing of the credit market is the root of the problem for business lending slowdown. Hopefully, the new Obama stimulus package will work to unfreeze the market making it easier for banks to lend to small business as well as sell loans to other investors. Regardless once conditions do improve, credit standards will be higher as is to be expected. There will be more requirements on projected income, costs, past income, etc. Small business is the lifeblood of the economy so the credit and lending slowdown needs improvement as soon a possible to help stimulate the economy overall.