(Newswire.net — March 04, 2013) Los Angeles, California – – In 2012 a small business owner had to jump from one bank to another to secure a small business loan for a start up or to fund their growth.
Securing an appointment with a bank’s loan officer is no guarantee that the owner will be able to secure a loan. Only one out of 10 owners of small and medium enterprises end up getting approved, especially during the height of the financial crisis caused by the mortgage bubble.
Thanks to government initiative and emerging alternatives to traditional lending, it is becoming easier for small business owners to obtain the loan they need.
“This is probably the easiest time in years that small business owners can take out loans for their business,” says Antony Bradshaw, owner of SmallBusinessLoans4U.com. “If you own a small enterprise, you don’t have to rely on one set of options anymore. You have a number of choices you can explore when it comes to funding your business.”
One factor Bradshaw cited that is contributing to the ease by which SME owners can take out loans is the growing recognition the US federal government is giving SMEs.
On September 8, 2011, US President Barack Obama proposed the American Jobs Act, a set of bills designed to create more employment for the American workforce by encouraging the growth of small businesses.
“The federal government is finally acknowledging the fact that small businesses do play a large role in giving Americans work to do,” states Bradshaw. “Small-to-medium enterprises have indeed been responsible for the creation of more than two-thirds of the jobs in the United States since the 1970s.”
While Congress has never enacted the American Jobs Act into law, White House efforts to ease up lending for SMEs have begun to take fruit.
The Bank of America recently reported a 28% rise in small business loans issued in 2012. Other major lenders such as Citigroup and JPMorgan Chase have also noted increases in their lending, 21% and 58% respectively.
The percentage of loans given to small businesses is expected to increase by 2013.
Bradshaw added that small business owners have begun to find more feasible alternatives to traditional lending. One such option is crowdsourcing.
In crowdsourcing, lenders ask people within their network to help them fund their ventures with the understanding that the amounts borrowed will be eventually returned.
“The economy may still be on the rebound, but things are definitely looking up for the small business owner. They will not have to jump past so many hurdles in order to get the funding they need,” said Bradshaw.
SmallBusinessLoans4U.com is a company that provides resources and assistance to small business owners who are seeking loans to fund their startups or expand their enterprise.
More information is available at http://www.smallbusinessloans4u.com.