Florida small business loans are awarded below the national rate, despite the state having higher rates of planned growth. Only 33 percent of businesses who applied in Q1 2015 were awarded a Florida small business loan, compared to 41 percent nationally, according to the Private Capital Access Index* from Pepperdine University and Dun & Bradstreet Credibility Corp. The lack of access to capital is troubling for these businesses, considering the rates at which they plan to grow. Florida small businesses are not only planning to hire above the national rate, but they also need financing due to experienced or planned growth more than the rest of the nation. Florida small business loans are in short supply, and it’s causing small businesses to feel restricted: 54 percent of those surveyed feel their growth opportunities are restricted and 46 percent feel their ability to hire is restricted as well.
Without better access to small business loans, Florida business owners may have to make up the loss themselves, just like they did in Q4 2014 when almost half of Florida small businesses surveyed dipped into their personal assets to fund their business needs. If loans continue to be elusive, more businesses may find themselves relying on personal assets to fund their growth, and if they can’t turn to their personal assets, they may not be able to grow or succeed.
Need help finding funding options and resources? Visit accesstocapital.com for help.