Can Businesses, Especially Small Businesses Borrow Money Yet?



Today’s economy has shown signs of growth now for the last twelve months or so.  The stock market has grown nicely, in fact ahead of the economy, and housing starts are creeping up.   As well, other economic trends such as manufacturing are finally starting to trend upwards as well, especially in the bell-weather automotive industry.  These are all good signs. However, if you are a business owner, especially a small business owner and have tried to crack the wall of bank lending, you can still find areas in the economy that aren’t where you would like or need them to be.

Thanks to many factors, including billions of dollars in bad loans, banks and other lending institutions are still being tight with their funds. While not an impossible task, borrowing money today is still a tricky proposition.  All in all, with good credit and a solid proposal as reflected in a business plan, especially those backed with tangible assets such as real estate, money is actually available.  However, don’t expect the process to be simple or quick as lenders are paying much closer attention to the details of a loan application than ever before.   In short, banks are looking for credit-worthy borrowers that can demonstrate through their business plan that the new loan can be serviced and that the funds will yield new dividends for the borrower.

Business consultants such as those with Vision Economics, located in the Camarillo CA area can help you decide if, and when, you need to pursue a lending opportunity to take your business to the next level.  While today’s economy is slowly moving in the right direction, business consultants can help you make sure your business is ready to take that next step with a bank loan.  Give us a call and we will walk you through the process and connect with a banker who is interested in your business.

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