Larger Banks are becoming a poorer source of capital for small business loans. Generally speaking, if you have a small business or an entrepreneurial enterprise, you best resources for financing are either small banks, non-bank alternatives (asset-based and transaction-based financiers, factors, discounters and the like), credit unions, angel investors, venture capitalists and major suppliers or major customers which may have a knowledge of your business and a symbiotic need to see you succeed.
Please take a look at the following report, hit the BACK button on your browser, and return for some actions which you can take to get your business financed:
- Big banks approved fewer small-business loans in March
Large banks' approval of small-business loans reached 10.9% last month, compared with 11.7% in February and 11.6% in March 2011. Meanwhile, the Biz2Credit Small Business Lending Index shows that small banks' loan approval stagnated at 47.6%. Small Business Trends
Welcome back to the InfoSphere Business Alerts And Intelligence Blog.
If you are an habitual Googler, search under SMALL+BUSINESS+FINANCE+SOURCES. That will produce a string of leads to prospective financiers.
If you want to be more creative and proactive, start investigating factors, purchase order financing, receivables financing, equipment leasing, accredited angel investors, and then examine your own suppliers and clients for non-traditional private sources of loans or other types of capital infusions which would serve their interests (their own motivations and concerns) as well as those of your company.
The harsh assumption you should make in your thinking and creative processes...
"No one would want to finance my business for a mere return on investment or because of a passion for what we've built -- how will investing in or lending to my business help them to achieve their own business, emotional or other needs and objectives?"
Douglas E. Castle