Small banks and credit unions are making loans to small business again, but not the big banks. The big boys got all of that stimulus money because they were "too big to fail" and spent it to buy little banks. They're more interested in globalization and the money crisis in Europe than they are in making loans to produce income for Americans in America.
Supposedly even new business ventures are finding small banks and credit unions more receptive to making a loan. Naturally, applicants must have some personal assets to pledge since a new business would have little. But if you're fortunate enough to have a small bank or credit union left in your town, try them for a loan.
Large banks approved a little over 9 % of their loan requests last year while small banks approved better than 40% of their applications. Credit unions were the bright spot with an approval rate of more than 55%. These are very good reasons why business owners should do their banking with a small bank or credit union if one is available.
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