Small business still hurting
If you’ve caught the business news in recent days, you know there have been some positive signs. Home prices and sales, employment and other indicators are looking better, possibly meaning a bottoming out of the downturn.
But when it comes to small business and credit, it’s still a mess, reports CNNMoney.com: “Bank lending is down, credit card interest rates are up, and the country’s largest small business lender, CIT Group … is hanging by a thread.” Not good news for owner-operators, who even in good times often rely too much on credit, and many of whom struggle with trying to escape a bad credit rating.
The article reviews President Obama’s promises and programs intended to help small business survive the recession, such as passage of the credit card reform bill and increased lending by the Small Business Administration.
– Max Heine