Jun 22
Steve RhodeHunting for Business Credit M&T
As bankers and federal lawmakers wrestle with how to boost lending to small businesses, community banks in Western New York are showing that they have a role to play.
M&T Bank Corp. remains by far the largest participant in U. S. Small Business Administration loan guarantee programs in the Buffalo and Rochester markets, dominating the rankings.
But most of the loans in the five months that ended in February were made by community or small regional banks, according to the agency’s latest statistics. And the vast majority of the lenders, including four of the six largest, were smaller banks or even credit unions, such as Five Star Bank, Evans Bank and Genesee Regional Bank.
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Originally posted 2010-03-22 08:58:55. Republished by Blog Post Promoter
Jun 22
Steve RhodeHunting for Business Credit
The U.S. Treasury Department is concerned the steady pace of bank failures could keep many small businesses from gaining access to new credit as the economy rebounds and companies seek to expand.
Assistant Treasury Secretary Alan Krueger said small and medium bank failures are disrupting long-standing business relationships that drive lending to small businesses.
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Originally posted 2010-03-16 09:25:16. Republished by Blog Post Promoter
Jun 22
Steve RhodeAsk a Question father co-signed, father cos-gned, father cosigned, losing the farm, lost the farm, used farm as collateral
Q: My father co-signed on a line of credit for my business and used his farm property as collateral. (valued at $325,000) .
I did not complete the payments and he bailed me out to the tune of $20,000 and told me NEVER to risk the farm again!!
I did not close out the line of credit and have subsequently amassed a debt of $220,016.66—not telling him that I did this. The bank is calling the loan.
The loan is in my business’ name. My business is now going bankrupt.
If I do not pay the loan by May 2, the farm will be in foreclosure.
Yes, I have royally screwed up.
My question is, is there any way to prevent foreclosure?
Can another party or my dad (refinancing and Repurchasing his farm) pay off the loan and have it out of the bankruptcy of my business?
I need a solution and FAST.
Linda
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Originally posted 2010-03-22 14:15:09. Republished by Blog Post Promoter
Jun 22
Steve RhodeBlog, Hunting for Business Credit direct loans, government backed business loans, government backed small business loans, SBA, Small Business Administration
Small businesses are asking for help to access loans to grow their businesses. A recent Wall Street Journal article quoted Steve Gordon, founder of Instant Off, Inc. as saying he supports direct government business loans to help the small business he owns.
New legislation would allow the Small business Administration to directl fund small business credit and loans if no other lender was available. And we all know how tough it is to find lenders willing to lend.
Legislators in Washington, DC, from both parties, are concerned about this proposed legislation. They are expressing a concern that the government is going to be left holding the bag for defaulted business debt and that’s just not popular right now.
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Originally posted 2010-03-09 14:36:56. Republished by Blog Post Promoter
Jun 22
Steve RhodeHunting for Business Credit business credit card
The Credit CARD Act of 2009, which took effect Feb. 22, 2010, won't help owners of small-business credit cards. The new law applies only to consumer credit cards.
As many as 59 percent of small businesses in a spring 2009 survey reported that they used credit cards to finance their firms during the previous year, according to the National Small Business Association, or NSBA.
Like consumers, many small firms that use credit cards have already seen negative changes to their accounts. The NSBA survey found that 63 percent of respondents reported that their interest rate increased in the past year, and 41 percent said their credit limit was reduced.
The law offers no protection from the practices banned or restricted under the law, such as rate hikes on existing balances. Issuers may or may not choose to extend the same rules to their business credit cards.
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Originally posted 2010-03-17 09:05:32. Republished by Blog Post Promoter
Jun 22
Steve RhodeHunting for Business Credit business plan, corporation, limited liability company, LLC, personal credit
Excerpt from a post by Johnny Simms on how to start your quest for business credit.
When you are first thinking of starting your own small business it would be a smart idea to form the business as a separate entity. By registering your company as a corporation or Limited Liability Company you are allowing your personal credit to be separate from your business credit. This is doubly as important if your current personal credit is less than perfect. You certainly would not your poor credit history to affect your business’ ability to grow and thrive.
You will also want to have a well written business plan when starting a new small business. By thoroughly writing out your business plan and how the day to day operations are going to take place you will be able to prove to any potential lenders without hesitation that your new company will succeed.
When you have a well thought out business plan lenders will be much more likely to loan you money without a lengthy credit history. When you do secure these small business loans it will also be a great way to start building a positive credit history by repaying the loan in a timely fashion.
Making sure you have enough funds to run your business when it first forms is also a very important step to help build your credit. Most likely your new business venture will not be profitable in the first few months of operation.
via How to build small business credit | Loans – Credit – Debt – LoanSafe.org.
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Originally posted 2010-03-12 12:45:18. Republished by Blog Post Promoter
Jun 22
Steve RhodeHunting for Business Credit access to credit, business credit, Michigan, small banks
Thomas Harrison, chief executive of Michigan Ladder Co., has a plan that would contribute to the U.S. economic recovery: Expand the 108-year-old company, adding at least 20 jobs in the process. His chances of getting the loan of $300,000 or more he needs to do so, though, depend in part on what happens to folks like home builder James Haeussler.
Both are customers of the same community bank, the Bank of Ann Arbor. Mr. Haeussler is struggling to repay $8.3 million he and a partner borrowed to build a residential community in nearby Saline, Mich. In this economic environment, the bank doesn't want to take a chance on what it sees as a risky new loan to Mr. Harrison.
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Originally posted 2010-03-16 09:31:33. Republished by Blog Post Promoter
Jun 22
Steve RhodeBlog starting a business
As a really good reason why you should think twice about launching your new small business on credit, consider the first year failure rate of 20%.
A 20% Failure Rate. Of course, starting a business — and keeping it afloat — isnt easy. On average, 20% of start-ups fail within their first year, according to the Ewing Marion Kauffman Foundation, a nonprofit focused on entrepreneurship.
Read the full article Starting Over Solo.
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Originally posted 2010-03-21 13:58:53. Republished by Blog Post Promoter
Jun 22
Steve RhodeHunting for Business Credit CDFI, Community Development Financial Institutions, Goldman Sachs, Seedco Financial
Lesia Bates Moss knows opportunity when she sees it. Shortly after she became president of Seedco Financial, a New York-based nonprofit lender with balance-sheet assets of $55 million, in March 2009, she sought new sources of capital to expand Seedco's lending to small businesses in low-income neighborhoods. Among Moss's top prospects were mammoth financial institutions like Goldman Sachs (GS) that had converted to bank holding companies in late 2008 to access federal aid. These bailout recipients would now face federal ratings under the Community Reinvestment Act on how well they serve disadvantaged neighborhoods—and Moss thought Seedco Financial could help.
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Originally posted 2010-03-18 06:54:57. Republished by Blog Post Promoter
Jun 22
Steve RhodeHunting for Business Credit business credit cards, CARD Act
In addition, blending personal and business purchases on a consumer credit card can create accounting issues. "If you keep all your business purchases on one card, you likely can deduct the interest and the fees for that card," says Detweiler. "Once you start commingling personal purchases, any accountant will tell you it gets pretty hard to distinguish how much of the balance is due to personal purchases and how much is due to business purchases."
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Originally posted 2010-03-16 08:02:17. Republished by Blog Post Promoter
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