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Credit Crunch in 2008: How Do Business Owners Get Loans?
This year is starting off in a very rough way for many small business owners. Mid-size and large companies are all dropping proposed projects. The credit squeeze is on! Companies can't get the financing that they were relying on, deals aren't getting done, and the ones that really suffer are the small business owners that rely on the economics of the larger corporations.
Citi Bank just reported a $10 billion dollar loss. Other banks are in similar situations. Deals are just not going to be done the same way they were. (By the way, a $10 billion dollar loss is the equivalent to the ENTIRE economy of Iceland, or Jamaica. A $10 billion dollar loss is the equivalent to both the Republic of Congo and the West Bank being wiped out simultaneously.
So what are the small business owners doing to get out of this miserable downward spiral? How do you expand a business? Even hotter is the question on everyone's mind: how do you start a project or a venture? More and more, eyes and ears are turning to business credit. Not only the small business owners desperate for loans, but the financing companies themselves are turning to business credit. Dell Financial, for example, is the largest lender of custom computers to small business owners and they have started a major push in 2008 towards business credit based loans. Dell.com/bizcredit has published education material to help small business owners understand the importance of business credit and how to obtain credit lines under the business name.
Other major lending institutions are following Dell's footsteps and are joining alternative financing lenders in business credit based loans. If you are a business owner without a business credit profile, start now! This is the future to all lending, short term and long term.
Begin your search online for a business credit and business credit building service.
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How can you avoid a credit crunch?
To avoid a credit crunch, you can make sure to get your yearly free Credit Reports. This will allow you to monitor your credit effectively and make sure your report is error free. Balancing how much you spend with how much you make will also make it easier to maintain a good credit score and help you to avoid the credit crunch.
What year did the credit crunch start?
2007
Is a credit crunch related to my credit score?
A credit crunch is related to your credit score, because it means that banks are especially strict about who they will lend to. They are less likely than usual to extend credit to someone with a low credit score, so maintaining a high score is even more important than usual.
What caused the credit crunch?
the Jonas brothers and high school musical
What was the tragedy that happened to woolworths?
Woolworths had a credit crunch but now woolworths is a webby-site!
What is financial credit crunch?
A financial 'credit crunch' is when there have to be budget deficits and contingency plans in place (should there be a worst case scenario)
How can you avoid a credit crunch?
To avoid a credit crunch, you can make sure to get your yearly free Credit Reports. This will allow you to monitor your credit effectively and make sure your report is error free. Balancing how much you spend with how much you make will also make it easier to maintain a good credit score and help you to avoid the credit crunch.
Who planned the credit crunch?
No one planned it.
What year did the credit crunch start?
2007
Are countries helping the UK in the credit crunch?
hope not
Is hospital terrible have that it due fresh for the crunch you cancel credit the of vegetables to the to order. unjumble this sentence?
It is terrible due to credit crunch that we have to cancel order of fresh vegetables to the hospital.
Is hospital terrible have that it due fresh for the crunch you cancel credit the of vegetables to the to order unjumble this sentence?
It is terrible due to credit crunch that we have to cancel order of fresh vegetables to the hospital.
Credit Crunch for shopping affecting Nortern Ireland?
yes
Does credit have anything to do with economic crisis?
The economic crisis has severely affected the availability of credit. It is also termed as the credit crunch.
Is a credit crunch related to my credit score?
A credit crunch is related to your credit score, because it means that banks are especially strict about who they will lend to. They are less likely than usual to extend credit to someone with a low credit score, so maintaining a high score is even more important than usual.
Could the credit crunch have been prevented?
The credit crunch both from the private and banking sources deter smooth flow of finance in a company and thus a hindrance in its effective growth in the long run.
What bank came out top in the UK after credit crunch 2008?
The crunch isn't over yet. Check back next year.
