Although national lending indexes show that small business owners are borrowing less during the lagging economy, there are still a variety of funding opportunities available to small businesses. Some funding options include applying for Small Business Administration (SBA) loans and wooing would-be investors. Small business owners can also leverage free or inexpensive online functionality and revamp marketing campaigns to grow their businesses without taking on more debt or other financial risks.
Locating Funding Opportunities
According to the Thomson Reuters/PayNet Small Business Lending Index, the volume of small business lending in the U.S. dropped earlier this year, indicating that borrowing to fund small business growth has slowed. While many small business owners may be playing it safe in an unpredictable economy, there are still ways to expand or start-up small businesses without too much risk. One option that was sparse a few years ago, but is back in full force with a $30 billion coffer, is applying for SBA loans to purchase equipment or increase staffing.
Another in-house option if your expanding an existing business is to refocus collection efforts to recover money owed from customers or clients for products or services already rendered. This could prove an inexpensive, but effective way to use current resources to grow future business.
Leveraging Growth Strategies
There are many ways for small businesses to grow without breaking the bank, including free or inexpensive online resources for small businesses to leverage. Small businesses can use online-based services like HTML-based email subscriptions and social networking sites to reach more customers on a daily basis.
Step Up Now
The time is definitely ripe for the small business owner, or entrepreneur, to step up and get the funding needed to grow. With so many options, the most difficult task is to research and analyze which option is the best for a particular company. Going out and getting the funding to support small business expansion is not only important for the owners and employees of that business, but also for the local and national economy as a way to create jobs, forward innovation and help boost the struggling economy out of the ongoing recession.
Whether you are a current or potential small business owner, you should consult a business law attorney about the implications of starting or growing your small business. Contact a local lawyer with proven experience in guiding entrepreneurs to bigger and better places for legal advice related to your small business today.