Opening a business in today’s climate can be a test of endurance. With credit lending companies getting more and more strict on loans, an entreprenuer needs to be a little more creative in obtaining financing for his/her startup business. The coffee industry is no exception. Your dreams of opening a coffee cafe can come to fruition, even in tough economic times. This article from Entreprenuer.com addresses ways you can get creative in securing funds for your project.
By Asheesh Advani
Startup Financing During the Credit Crunch
Creativity goes a long way when it comes to financing your startup during tough economic times.
The credit crunch that began with mortgages has now spread to consumer loans and small business financing. Banks have tightened their lending criteria and business owners will need to look elsewhere for financing. This shouldn’t be a surprise to readers of this column because I’ve often complained that banks tend to ignore startups even during normal market circumstance. The credit crunch has resulted in rising defaults for revolving credit in addition to mortgages; this could translate into higher fees and tougher underwriting standards if you plan to finance your business with credit card debt or home equity lines of credit. It’s time to look for alternatives. Read the article
Following your dreams to the end will undoubtedly be a journey of perseverance, but being creative can see those dreams bear the fruit of your endurance.
