Today Bank of America has pledged to increase lending to small- and medium-sized businesses. The amount designated over 2009′s is at least $5 billion in 2010. This The pledge made by the bank’s Chief Executive Officer Kenneth D. Lewis was made to President Obama at a White House meeting of key bankers. Bank of America is already in the process of delivering $1.5 trillion over 10 years to low- and moderate-income businesses and households.
Bank of America extended more than $12 billion in credit to small businesses with a revenue of up to $20 million, during the first three quarters of 2009, and helped 49,000 small business clients improve their cash flow. During that same period the company also originated more than $215 billion in commercial non-real estate loans.
Everyone agress small and medium sized businesses are the lifeblood of the U.S. economy. But many businesses are still struggling, and have not been able to get small business loans. Many of these firms have been using a strategy known as invoice factoring to make ends meet and be able to make payroll, until the economy improves.
For more information on factoring, contact The Interface Financial Group. (http://www.ifgnetwork.com)
This is a step in the right direction. Now we need all the other large banks to follow suit, and to start increasing their lending to small businesses.
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