I’ve been trumpeting it for a long time, and now you have even more evidence: there are once-in-a-generation opportunities to create wealth in these “interesting” economic times for business owners who are smart enough to recognize them and take action.
This month, the 20-year fixed interest rate on SBA 504 loan projects fell to 5.24% — the lowest in the 22-year history of the program. This news comes on the heels of fee reductions included in the Stimulus Bill and the announcement that the SBA would ease restrictions on using 504 loan funds for the purposes of refinancing. I firmly believe that the 504 loans are the single most powerful tool for owners of small and mid-sized businesses who want to truly create wealth and increase their net worth. These recent developments only sweeten the deal.
The vast majority of Americans remain glued to their TV sets, and are therefore too scared-stiff by the nightly news to take any real action and actually contribute to our nation’s economic recovery. The doom-and-gloom reports have everyone hunkering down, waiting for “the end.” You and I, acting as contrarians, must do everything we can to 1) capitalize on the opportunities that exist all around us, and 2) help others recognize that all is not lost.
There IS a crisis of credit in the financial markets, but we (Mercantile Capital Corporation) are still lending. Loans are still getting approved, deals are still getting closed, and businesses continue to earn profits . . . even during this changing economy.
What do you think about all this? What advice or encouragement would you give to other business owners during these interesting times?