Survey: Small Business Owners Support MBL Increase (Misc News: January 31, 2012)
By a two-to-one margin, small business owners said they support giving credit unions the authority to increase member business lending, according to a poll by a small business trade group.
In addition, the survey shows that 90 percent of small business owners consider access to credit to be a major problem.
“Loans that will help small businesses grow and create jobs are harder and harder to come by,” said John Arensmeyer, founder and CEO of Small Business Majority. “With banks’ lending portfolios shrinking and small businesses’ dependence on credit cards growing, lawmakers need to look for smart ways to revamp the credit landscape.”
“Small businesses create 65 percent of the net new private sector jobs in America,” said David Brodwin, co-founder and board member of ASBC. “Our deregulated, damaged banking system isn’t providing the credit they need, and they are calling for change.”
The Internet poll of 500 small business owners nationwide was commissioned by the three groups and conducted by Lake Research Partners. The survey was conducted between Dec. 8, 2011 and Jan. 4, 2012 and has a margin of error of +/- 4.4 percent.
Banks testified in a hearing on MBL legislation in the House that banking industry witnesses said their small businesses are not experiencing a credit crunch.
CUNA testified that an increase in the credit union member business lending cap to 27.5 percent of assets would infuse $13 billion in new credit for small businesses and add 140,000 new jobs within the first year of enactment, at no cost to U.S. taxpayers.
Both of Michigan U.S. senators, Debbie Stabenow and Carl Levin, both Democrats, have signed on as cosponsors of legislation in the Senate to raise the cap on MBL. Eight of the state’s 15 members of the U.S. House have signed on to similar legislation in the House. The cosponsors are House Republicans Fred Upton, Thaddeus McCotter and Candice Miller and Democrats Sander Levin, John Conyers, Hansen Clarke, Dale Kildee and Gary Peters.
“Small business owners want action from Congress to boost the economy,” said Kelly Conklin, a small business owner from Bloomfield, N.J. and a leader with Main Street Alliance. “Invest in infrastructure to build the foundation for business success. Take serious steps to deal with the mortgage crisis and restore consumer purchasing power. Put teachers and firefighters back on the job serving our communities and boosting local economies. That’s what small businesses need.”