The Economy and Business Growth
Anyone who reads the newspaper or listens to the news knows that the economy, after a promising move forward at the beginning of the year, is slowing down drastically. This is partly owing to the lack of job growth but is also linked to the situation in Europe, whose various economies (most notably Greece and Spain) are taking big hits. Add to this the fact that growth in China’s economy is also slowing, and that US export figures dropped like a lead balloon. Fortunately, there is a light at the end of the tunnel and it doesn’t look like an oncoming train. The Feds have promised to step up to the plate, and Mario Draghi, President of the European Central Bank has also promised to “do what it takes” to get Europe’s economy back on track.
Granted this isn’t an instant solution to economic ills, but it is a start. We can hopefully look forward to an increase in employment leading to an upsurge in buying power and a need for more goods and services to be available to not only to the nation, but also for export to Europe and China as their economies expand again. Of course, to accomplish this, businesses will need to begin thinking about expanding to a) make room for new employees and b) make room for additional equipment as companies need to increase their production to meet expanding goals. Companies may also find they need to replace older, outdated equipment to be more competitive in their fields. Then too, since the Supreme Court upheld the legality of the PPACA, the medical profession – including private doctors, nurses and clinics – should experience a major influx of new clientele requiring expansion in this industry as well.
Unfortunately for a variety of reasons, banks aren’t as prone to lending as they once were. Although there are SBA loans available, the SBA like the banks are looking at credit scores as a measure of pay-back power. Regrettably, owing to the rotten economy, most small business owners have sustained blemishes to their credit.
Hope is in sight, though. There are alternate lending institutions that grant loans based on cash flow not credit score. These funding sources can offer Working Capital Loans, Leasing and Financing, Merchant Cash Advance and much more. If you would like to find out more about your alternate financing options contact the Financial Specialists at: