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This is bad news for business borrowers. While small business owners won’t get the level of service at big banks that they received at smaller banks, they will choose safety over service every time. Although the worst fears of small business owners may not be warranted, their confidence in the banking system has not been fully restored — and it may not return for a while. This hurts lending, and it is why small businesses are now experiencing a credit crunch.decreased in March to 90.
The NFIB also found that small business owners continue to invest in their companies. The study said 57% of owners surveyed reported capital outlays in the next six months. Of those making expenditures:11% improved or expanded facilities,6% acquired new buildings or land for expansion.