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Small business, big problem
Smaller firms have far fewer choices. Too puny to be able to tap capital markets, they are at the mercy of the banks. America’s large firms get 30% of their financing from the banks; its smaller enterprises rely on them for 90% of their financing needs. In Europe small companies are in a similar bind. Bank lending to businesses in the euro zone fell by 1.2% year-on-year in October. True, lower lending volumes reflect weakening demand for bank credit as well as constrained supply.
Submitted by
etfguy
12/10/2009
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etfguy
12/10/2009
etfguy is playing it
KRE
Short
12.96%
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