Bank Loans in Short Supply; Bank Finance Is Often the First Thought for Finding Funding to Grow a Business. Have the Recent Economic Conditions Changed This? Julie Harrison Examines the Situation

The Journal (Newcastle, England), February 19, 2010 | Go to article overview

Bank Loans in Short Supply; Bank Finance Is Often the First Thought for Finding Funding to Grow a Business. Have the Recent Economic Conditions Changed This? Julie Harrison Examines the Situation


BANKS have been in the firing line over the past couple of years. After several years of readily available and cheap money, supply is limited and the cost has gone up.

Banks are heavily regulated businesses with depositors and investors to consider. They are being required to hold a greater percentage of capital against lending as an asset base, money is in short supply and has a cost.

If a business proposition is seen to be risky, funding it will be more expensive and if it is perceived as too risky it may not be fundable by a bank at all.

Nonetheless, bank funding is still available and is used by 29% of businesses.

The Government is trying to help with the Enterprise Finance Guarantee scheme which runs until March 2011. This is giving pounds 1bn of government guarantee to support pounds 1.3bn of loans from pounds 1,000 to pounds 1m to eligible SMEs.

While there is a cost, with a premium payable on top of normal interest costs, and personal guarantees or a charge over a specific business asset can be required, the scheme is being used successfully. It is more incumbent than ever for businesses to produce good quality financial information when looking for bank funding. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

Bank Loans in Short Supply; Bank Finance Is Often the First Thought for Finding Funding to Grow a Business. Have the Recent Economic Conditions Changed This? Julie Harrison Examines the Situation
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.