There’s conflicting headlines out there when it comes to small business loans and small business optimism. On one hand Canadian small businesses feel optimistic about the future according to a February survey conducted by the Canadian Federation of Independent Businesses. On the other hand the Globe and Mail reports that business lending shows signs of cooling. Here’s one theory….
There are more financing options available to small business in Canada these days compared to 5 years ago. Merchant cash advances, invoice discounting, factoring, purchase order financing and other similar products are what is referred to as “alternative lending”. Maybe small business owners aren’t as reliant on the big banks anymore?