Small businesses are vital for nation’s economic growth. SBA report proves that, small businesses created new jobs and outperformed large firms by 75 percent especially when it came to job creation from 1992 through 2010.
Several small business organizations got funded through Community Development Financial Institutions (CDFIs), microlenders and faith based organizations doing lending. Lenders under the community advantage programs made loans to businesses either to start or grow. So, when businesses were refused loans by banks, they could find grants from other financers operating under the community advantage programs.
Then there are also other programs like the ‘Patriot Express Loan’ through which people can secure loans. The ‘Patriot Express Loan’ program is just another example of making credit flow available to business organizations. Small-business success and credit union loans stories are extensive. Credit unions and small businesses can work together and do wonders.
There is also the Small Business Lending Enhancement Act – a bipartisan legislation meant to help small businesses gain access to credit. It is done by raising cap on member business lending and making more loans available to small business members. The Treasury Department and National Credit Union Administration signed this common-sense measure meant to spur $13 billion in new lending and create 140,000 new jobs.
This article was submitted by Raj Tulshan, Director of Business Development of Biz2Credit. Biz2Credit is a small business marketplace that connects entrepreneurs with financing options and advice to grow their business. Send all questions to firstname.lastname@example.org