As a result of the distressed economy, few commercial lenders are willing to invest in economic grow...

1. utf8_encode(Alternative Financing Can Protect The Small
Business Sector During Uncertain Economic Times)
As a result of the distressed economy, few commercial lenders are willing to invest in economic
growth due to the fear that we are in the midst of another recession. Subsequently, banks are
neglecting the small business sector and are mitigating their previous losses by tightening the
overall credit standards for small business loans and raising their loan rates. As a hedge against the
lack of interest that banks have shown to the small business lending marketplace, private lenders
have successfully provided both working capital and taking your small business online debt
restructurings on bank portfolio loans for small businesses thus demonstrating that they are both
advocates and allies to the small business owner and entrepreneur.
No matter what your political views are as to the cause of the recession of 2009, we can all agree
that the rules and standards that govern small business finance and lending have changed
dramatically in the last three or four years. Small businesses are finding it to be very difficult to
obtain conventional bank financing. Even when a business is successful at obtaining a conventional
bank loan, the terms and conditions of the loan can be very onerous. In addition, banks are trying to
shed their portfolios of small business loans by "calling" in these loans and thus creating an
adversarial relationship between themselves and their borrowers that places undue financial stress
on these businesses.
Since banks are reticent to fund small business loans, it has become very difficult for American
entrepreneurs to expand their companies and create new jobs for both the local and national
economies.
Intelligent and ambitious people who have solid new business ideas and models have become
somewhat "paralyzed" in terms of undertaking these new ventures because they cannot depend on
receiving proper funding from banks to pursue their dreams.
Private lenders have been able to choose fill this void that has been left vacant by the banks and
have provided capital for new business recommended accounts ventures that will act as the "fuel" to
drive the "engine" and maintain a flow of capital throughout our economic system. These lenders
have become an invaluable source for the entire small business community.

2. The private lending arena offers small businesses all different types of commercial loans including
short term working capital loans; commercial mortgages; SBA loans; equipment loans; term loans
and others. As commercial loans that are offered by banks continue to sputter, alternative and
private financing will continue to grow and more small businesses will seek alternative lenders for
their financing needs.
Business financing firms can also act as an intermediary between the borrower and the bank and
can provide the small business owner with expert negotiation skills in terms of restructuring the
small business' existing bank debt to ensure that the bank adheres to proper decorum and does not
act in an overzealous manner in the negotiations.
In many cases, a business financing firm can negotiate a debt restructuring in which the small
business borrower will be the recipient of much improved and less cumbersome loan terms and
conditions than the bank had previously offered. These improved terms can include a lower interest
rate; a longer term; a smaller monthly payment; less collateral and reduced legal fees.
Small businesses will need to continue to utilize the services of private lenders and business
financing firms in order to make sure that their funding requirements as well as their debt
restructuring and bank relationship needs are satisfied. Making sure that these needs are met will
be critical going forward for all small businesses to become and remain vibrant in this challenging
economy.
If you are looking for a business financing firm that can assist you with debt restructuring
alternative financing or any of the other services listed in this article, contact Worth Avenue Capital
LLC. You can visit their website at http://www.weclosecommercialloans.com