[quote=AN][quote=bearishgurl][quote=AN][quote=bearishgurl] . . . This is just ONE “SBA loan.”
Ask yourself who pays for all of this …. :=0[/quote]Not the tax payer. At least nothing like the kind of bail out we saw with the big banks recently. But if your argument is they’re the same, then EVERYONE is being bailed out. So, no point in complaining about bailout since we all will be bailed out.[/quote]
Is the SBA not a gubment organization? Who do you think pays to run it and for any “guarantees” it makes on small business loans??
http://www.sba.gov/%5B/quote%5D
Please tell me, did the SBA gave these small business more money when they fail so they can keep on operating their business?[/quote]
In a way, yes. These small businesses don’t necessarily “fail,” but they run out of capital to replace old and/or broken equipment and thus sometimes have to suspend operations because of that. The SBA has programs available to apply for funds to “grow” a business (or restart one that has temporarily been “suspended.”)
In addition, they have programs to prospective new biz owners who only have an idea and a business plan but little else.
In the smaller loans made by the SBA and participating lender (<$100K), there is almost never any collateral given.
Just like a student loan, the SBA lenders are relying on the "integrity, wherewithal and talent" of the applicant to be paid back on time and in full.
