As per CNNMoney.com – Business owners feel so bad during the current financial crisis, they even can’t afford a respectable salary or reasonable heath insurance for their employers, and they ask what should they do? So they decided to ask Obama for money.
With the sharp decrease in spending and almost frozen bank lending, it seems it won’t be worse to manage their business unless if Washington put the plan to save the nation and help the business owners.
“It’s killing us right now. We can’t expand, we can’t buy inventory; we’ve had to do everything on credit cards because the banks won’t even look at us,” said Amy Rhodes, owner of A-2-Z Scuba in Puyallup, Wash. “Every single dime of our $40,000 in profit last year we sunk right back into the business. Now sales are down, and we’re making ends meet out of our own money – which makes it more difficult to pay our mortgage.”
In the mid of October Obama said that he will arrange a rescue plane to save small business owners, “A credit crunch has dried up capital and put these jobs at risk,” Obama said at the time. “If we don’t act, we’ll be looking at scaled-back operations, shuttered shops, and laid-off workers.”
In October, Obama proposed temporarily suspending the fees the Small Business Administration changes for participation in its flagship loan-guarantee programs, which insure banks against losses on a portion of the money they lend to qualifying small businesses. But he also suggested making direct loans available through the SBA’s Disaster Loan Program, which traditionally assists natural-disaster victims.
news release keywords: bank loan, obama plan, small business loan, small business owner
