[categories: Washington Bankruptcy Attorney]
When I was at the American Bankruptcy Institute, Western Leadership Conference, In Scottsdale, Arizona, in early December 2010 (for three days of intense classes and education about cutting edge bankruptcy issues) I came accross the following article about trouble financing small businesses. I recap the article here.
Small business is a major economic driver; so long as loans and financing remains tight for small business, it is very likely that the economic recovery will be very slow. So, thus, if you are facing financial dificulties, expect the economy to remain stagnant. I don’t think growth and increases in income are in the short term forecast.
December 11, 2010, The Arizona Republic, Saturday. Section D by Russ Wiles.
Russ Wiles reports on a conference, the Invest Southwest Capital Conference, recently held in Scottsdale, AZ, in early December 2010.
The financing climate has improved a little bit, but it is still very difficult to secure commitments for loans for capital acquistions and improvements.
"It’s better than it was last year," said Vaidy Iyer, chief executive officer and co-founder of SEAL Innotech, a Chandler, AZ company that develops mobile-phone applicatinos for large global companies. "But it’s still challenging, and it’s nothing close to where it was a few years ago."
Also cited as financing problems are a recent tightening of the federal rules governing "accredited" investors, making it harder for upscale individuals to qualify as investors in angel capital or venture capital funds.
"The climate for funding small businesses is in a crisis" said Terry West, CEO of Serious INtegrated, a Phoenix company that makes iPhone like touc panels for applications.