Smaller lenders are chief credit sources for small business

03/12/2013 | SCORE Small Business Success Blog

In tough economic times, neither venture capitalists nor large banks are the chief sources of small-business loans, according to this SCORE blog. Instead, most small-business loans come from regional and community banks. Large nationwide banks reject about 90% of loan applications, for example, while smaller community-based lenders approve between 45% and 60%. In a recent survey, more than 90% of small-business respondents said availability of credit remains a problem.

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