Small business loans could go a long way in overcoming unemployment thus creating more leaps in the recovery of the economy as a whole. However, a problem comes in the form of banks being unwilling to lend at the present and it is this issue, among others that President Obama seeks to address in his speech on Tuesday.
One aspect of the solutions for solving the jobless problem in our nation is lending to small businesses. Small businesses always have room to grow and growth means employment. Unemployment has been the anchor that has held back economic growth over the past year or so and small business loans would be an excellent way to help reverse the growing numbers of unemployment.
Some banks are advertising small business loans for existing and potential businesses but the majority are keeping their money locked up. The problem with that is that our economy is build on spending and cash flow and since there is little of that going on due to unemployment a small business loan can create jobs and other opportunities for struggling, unemployed citizens.
President Obama and Congress are rumored to be looking into such things as pressing banks to lend more to small businesses and provide tax incentives for employers who hire new workers, but as always, there is dissention between the parties that may slow down the process.
However, making money available to small businesses through small business loans is sure to help the economy when we are at a point where something major needs to be done to press our economic growth onward rather than watch as it slips back into a recession. Many small businesses in the state of Connecticut are looking for loans. Luckily, the FDIC insures 52 banks that can help these small businesses.
Please come back to rwbpress.com for more information on the unemployment problem and President Obama’s speech this week.