The Rhetoric of Small Business

If I hear any of our political leaders say again that this country was built on the backs of small business, I think I’m going to just implode!

It’s such an insult to the intelligence of small business owners and operators everywhere to hear the same rhetoric over and over. At the same time, they know by personal experience that they are being treated exactly the opposite by the majority of the lenders in the financial community. Even the most well-prepared business plans are of no use.

It’s also ironic that the banks and the Small Business Administration (SBA) are playing ping-pong with the country’s small business entrepreneurs, as well. Why do banks tell small business clients they choose not to lend to that they can go to the local SBA office, when they know that SBA loans are funded by the banks?

While all of this is happening, small business owners with existing loans at the banks, especially those that chose to take TARP funds, are under attack. These financial institutions continue to more than double interest rates at loan renewal, modify loan parameters to include interest plus principle, or demand 80% to loan value immediately, and all of this with very little notice.

The reality of all of this flies in the face of all the rhetoric! Why continue to talk about lending to small business with the knowledge that absolutely nothing has been, will be, or can be done to force any of the lending institutions (including the SBA) to comply?

Truth Be Told, I guess because it has been, is now, and will always continue to be politically expedient to do so!

Published by The Leadership Consortium

Maxie Carpenter was formerly Vice President of HR & Talent Development for Wal-Mart Stores. After a 27-year career, he began to pursue a number of other interests, which included alternative education, nonprofits, consulting, writing and public speaking.

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