July 30, 2018
By Bob Coleman
Editor, Main Street Monday
Main Street Monday — Main Street Lending Reaches New Heights
Says Thomson Reuters/PayNet in its latest Survey
Its Small Business Lending Index reflects new highs, a 10% growth compared to figures from one year ago.
Continuous growth and expansion in the small business sector plays a large part in the overall solid growth the U.S. economy has experienced in the first half of 2018.
According to a survey conducted by the by the NFIB Small Business Optimism index, one out of three small business owners reported that current positive economic conditions make now a good time to expand.
In another recent survey by TD Bank, it is reported that almost half of small businesses plan to apply for credit in the next year. This is more than double the percentage reported in the 2017 survey.
Although the anticipated federal interest rate may be encouraging small business owners to borrow now versus later to avoid higher interest rates down the road, credit demand may moderate in upcoming months.
In summary, the outlook for small business lending is very positive. The increased lending activity trend experienced during the last 6-9 months shows no signs of slowing down.