01 Dec 2008
In the past month the government has given away billions of taxpayers’ dollars bailing out huge corporations that are in danger of collapsing under the weight of corporate greed, wasteful spending and the sheer stupidity of the leaders of these organizations. Meanwhile, small businesses are going under at an alarming rate.
As a technical assistance provider, I am on the front line of identifying loan programs for small business owners and each day brings a new set of challenges.
For small businesses, the economic downturn started in early 2007 and what we are witnessing today is the peak of the storm, although it feels more like a tsunami.
Now that we have a new administration coming into power, agencies like the Small Business Administration and others will have to justify their lack of action in providing assistance to the small business communities.
The SBA had the ability to make bridge loans available through the disaster loan program, which could have provided immediate help to small businesses since the government would disburse the loans directly. Four weeks ago, I contacted the SBA in Washington, DC and inquired about the Disaster Loan Program and was told that the state of the economy was not considered a disaster. Hmmm, so why are bailing out the large corporations!
Fortunately for the small business community, Sens. John Kerry and Chuck Schumer are taking proactive steps to get an Emergency Rescue Package plan in place.
In the meantime, banks are starting to fund small business loans and funding is also available through a few local Community Development Financial Institutes (CDFIs) throughout the D.C. metropolitan area.
If small businesses could sustain a little bit longer, our bailout is on the way!
Source: http://www.examiner.com/x-1796-Baltimore