Excerpt from THE BALTIMORE SUN - Baltimore needs a more robust financing system to help small businesses grow and to attract new companies.
That’s the conclusion of a new report by the Johns Hopkins University’s 21st Century Cities Initiative, which evaluated access to venture capital funding and loans for startup companies and more established Main Street small businesses.
The report also found that growth among traditional small businesses may be lagging because of insufficient access to loans.
While lending to small businesses in Maryland has trended upward since the recession, loans to Baltimore-based companies have lagged, in part because of consolidation among community banks that traditionally have been a key source of financing for local businesses.
Local banks are more likely to provide bigger working capital loans than national banks, which often focus on credit card loans, according to the report.
SourceFunding.org provides businesses, entrepreneurs and nonprofits with access to financing through our Responsible Finance Network™ of community banks, credit unions, CDFIs and state and local economic development finance initiatives. We connect businesses to the high-quality, low-cost financing that they need to grow and create jobs. To learn more, click here.
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