Business Start-ups look to Installment Loans

The start-up business

New businesses are increasingly looking for installment loans to finance their start-up. In the past, hopeful new businesses could find venture capitalists to fund them. Investors were looking to join a promising business proposal from "the ground floor" and then take points off future earnings or share ownership. In today's market, these investors are quickly disappearing. People trying to start new businesses have to share a dwindling number of potential backers and competition is stiff. While networking and trade shows used to be a common place to find angel investors, nowadays that isn't the case.

Venture Investments fall

The AP is reporting that U.S. venture capital investments fell an amazing 61% during Q1 of 2009. This is the lowest it has been in 12 years and is a sure sign that the economy is shifting. Last year this time capital investments totaled $7.74 billion and this year that number is down to just $3 billion. Only 549 businesses were able to procure funding, down from 997 last year. Even web businesses only totaled $556 million in investments, which brought them down 58% within the past 12 months. The only industry that faired moderately well was software, which is mostly attributed to its ubiquitous need. John Taylor, Vice President of research for the National Venture Capitalists Association confirmed that investors are very choosy now and "the best ideas are getting funded but the marginal ones aren't." ... click here to read the rest of the article titled "Business Start-ups look to Inst allment Loans"