In today’s economy, the business owner who knows how to manage their own cash flow will always be able to stay alive. We need to be aware of ways to find creative financing should we need this to expand our business, increase our credit lines or need working capital. As we all know, banks have been severely affected in the shaky economy. Below are some alternative sources for getting working capital, should you need it.

1. Credit Unions. Credit Unions still offer more flexibility and have a willingness to work with small business. Make sure you have an updated business plan you can present to the Credit Union so they have a “buy in” to your capital requirements.

2. Community Banks. These smaller banking institutions are looking to make commercial and business loans in the neighborhood. They are looking for good business relationships to help them get more exposure to the business community. They have not run into the difficulties that the big boys have faced due to making more conservative and smaller loans, and in many cases, no residential real estate loans.

3. Government-funded Nonprofit. Look at your local or state government to see if they make loans to businesses who create or retain full time jobs in the region. Economic Loans benefit all parties. Also, could look to the SBA and see what their lending requirements are.

Though the banking industry has experienced a rough ride, this may not apply to our businesses. Check it out, cash is still available!

This entry was posted on Wednesday, July 30th, 2008 at 5:00 am and is filed under Investing. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.