The U.S. Government Accountability Office (GAO) has issued its findings on why the Small Business Lending Fund (SBLF) passed by Congress in 2010 turned into an abysmal failure in promoting loans to small businesses. Only 332 of the 935 community banks applying for the extremely low interest funds to be used for the loans were […]
Treasury’s failure hurt small businesses Read More »
Here are two good articles that talk about the lack of lending to small businesses. The first issue is the problem with regulators, not regulations. We have heard numerous complaints of inconsistency of regulators in how they deal with financial institutions regarding small business lending. Some banking regulators are overzealous when it comes to the
Issues on Small Business Lending Read More »
Last Friday I told you that the U.S. House overwhelmingly passed a bill that would allow small businesses to solicit investment capital of up to $1 million with a $10,000 maximum per individual contribution without having to do all the expensive and time consuming paperwork registering with the Securities and Exchange Commission. The concept is
Update on crowdfunding legislation Read More »
If your feet felt cold this morning, it’s because Hell has frozen over. Last evening the U.S. House passed overwhelmingly (407-17) a piece of President Obama’s American Jobs Act. While the Senate Republicans yesterday blocked the transportation part of the jobs bill, House Republicans and Democrats solidly supported changing Security and Exchange Commission (SEC) regulations
Hope for bipartisanship and small business? Read More »
“Banks start to make more loans” That was the heading of a New York Times Dealbook story today. But if you’re in the market for a small business loan or line of credit, don’t get your hopes up. According to the story, “Loan growth is still modest. And it remains heavily weighted toward the strongest
Maybe I’ll start drinking coffee Read More »
The news story below is a sad tale of how partisan politics, lack of administrative focus and regulatory slowness turned what should have been a boost for small business into a failed effort. Nobody supported the Small Business Lending Fund more than I did. I even participated in a press conference at the Capitol with
Small businesses failed once again Read More »
The pretender small business organization is at it again representing the interests of its real patrons—big business and the wealthiest Americans. The National Federation of Independent Business (NFIB) has hired former Democratic Arkansas Senator Blanche Lincoln to be the front stooge of its latest publicity stunt, Small Businesses for Sensible Regulations. Lincoln’s job is to
NFIB buys a Lincoln Read More »
Consider this headline from a Reuters story on June 30, 2011: U.S. Small Business Borrowing Rises By Record 26 Percent In May Now consider this headline from the Wall Street Journal on the same day: Smaller Businesses Seeking Loans Still Come Up Empty Read the stories carefully and figure out how both stories could be correct? Hint: How
Small business lending reports confusing and revealing Read More »
Last week at my meetings in DC with representatives of the Administration’s economic development team and key staff of the U.S. Senate Small Business Committee I expressed concern that possibly up to half of the $30 billion Small Business Lending Fund established last year would not be claimed. The fund was to encourage community banks
Billions still waiting for lending to small businesses Read More »
The country’s biggest banks have taken a lot of criticism about small business lending since the great recession began. Obviously, they don’t agree with their critics. In a recent interview with Robb Mandelbaum of The New York Times, Marc Bernstein, one of the top two small business lending executives at Wells Fargo addressed the issue
Small business access to capital Read More »
