Dave Brown, Partner at Foundation Finance, excels at helping clients get beyond the limitations of current financial conventional wisdom and take control of their own economic future. Today, Dave has written a guest blog for us about the financing options for SMBs:
Any small business owner who took the time to research the outlook for obtaining financing in 2013 would most likely get opinions as varied as the sources consulted. Such a forecast depends on many variables – the state of the overall economy; the state of the local economy; the potential sources of financing; and, the overall credit-worthiness of the applicant, to highlight just a few. While these are clear starting points, things can start to get somewhat murky once we begin to drill down on the subject of potential sources of financing.
As we continue to deal with the impact of the 2008 financial meltdown, it's impossible for anyone to not still feel ramifications of it. So even though you might not have had a need for financing in 2010 or 2012, just know changes that were set in motion during the backlash of the last few years might very well have an impact on your efforts to obtain financing in 2013. This goes beyond the obvious truth that applicants should expect to spend more time and manpower jumping through the lender’s hoops in order to prove they are worthy of the financing help. We must also be aware of any potential impact on the actual pool of lendable capital in the marketplace.
As part of the Journyx webinar series, in How To Shield Your Business from the Next Financial Downturn , we discuss just how critical the availability of financing is to the entire global economy, along with how the traditional sources of financing have been impacted and the resulting rise of “alternative” financing. We also discuss the impact of government regulation, how one government action can contradict another, and how the influence is felt at the local level. Finally, we explore the possibility of being less dependent on external sources of capital in order to maintain greater flexibility and control in any economic environment.
This webinar will next be presented on Thursday, Feb 21, at 2 p.m. CST. I hope you'll join us. Please write down any questions now that you have on this topic and I'll do my best to answer it during the webinar's Q&A section.