The Small Business Administration has been providing guarantees on small business loans made through various lenders. Small business owners have been asking for more access to money and credit in order to grow and expand their business. Many people are looking to the small companies to create more jobs and help the economy get back to its full strength.
Lenders have been accused of being hesitant to make small business loans as many employers have complained that they cannot get a small business loan which they need to hire new workers, buy equipment, or expand into new markets and locations. This, obviously, is detrimental to the job market and economic growth, so the Small Business Administration have been allowed to guarantee a higher percentage of small business loans.
While small business owners have said that lenders are unwilling to lend, banks are saying that many small businesses are not borrowing. There are obviously concerns, for any small business, over their ability to repay small business loans during a time where many people still see the economy as standing on unsure footing.
However, the Small Business Administration has been guaranteeing more and more loans over the past few months and is continuing to do so through a variety of lenders across the nation. Small business owners that are in need of a small business loan are being advised to visit the SBA website in order to not only get information about guaranteed small business loans, but also advice and resources that can help their company grow.
It should be noted, even if a small business owner is able to obtain a small business loan, it should only be done if the business owner knows that they are going to be able to afford the costs of repaying their loan. It’s understandable that a small business will want to grow and become more successful, but borrowing should only be done in cases where a small business knows that they are going to be able repay their loan rather than default.