The Dow Jones Newswire quotes Rep. Charles Rangel, Chair of the House Ways and Means Committee, as saying that he does not favor retroactive estate tax legislation (to January 1, 2010). The same article quotes Rangel’s Senate counterpart, Sen. Max Baucus, Chairman of the Senate Finance Committee, as saying he wants retroactivity.  What’s an estate planner to do?  I’m advising my clients to plan for both sets of laws – estate tax and the modified carryover basis rules.

Credit Cards – General Info

Modern world is truly severe and it does not spare the weak people. If you want to be a winner nowadays, you have to be strong and ready to take risks. You know, we have to deal with so many challenges nowadays that we really need to be iron to overcome some of them. Modern lifestyle does not give you a single minute to stop and have a rest. You have to keep going, doing business, earning money, meeting people, keeping you families and travelling all around the world. If you want to become rich and successful, you have to work much and if you want to work much and be successful, you need to have a good health and strong will. T

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The long-awaited divestiture by the government from the debt-ridden sugar millers entered a crucial phase on Wednesday with the release of a privatisation report that gives farmers more say in the management of the industry.

The state-run Privatisation Commission’s report whose highlights were released to the press, guarantees farmers a 30 per cent shareholding in each factory. Of the stake available to them, farmers will be given up to three years to fully take up the shares if they are unable to raise the necessary capital at the time of privatisation.

A strategic investor identified through competitive sourcing will hold 51 per cent while the government will retain 19 per cent, but this will be sold later through an Initial Public Offering (IPO). T

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As it is always the case with a new year, there are new predictions for the year that do their best job of guessing how business will act which is like trying to win the lotto. Still many of us try it, including me. Some times we nail it and look like visionaries and at other times we look like complete idiots. Some think major brands will disappear this year and others think social media will radically change, again. While many predictions posts are focused on technology predictions, we are taking a small business focus and where it involves technology it has to have a small business impact.

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There have been a lot of media reports lately about the SBA and its lending programs.  Two stimulus packages and a new plan by President Obama’s Administration to increase lending to small business have all happened in the last 18 months.

With all the changes it can get very confusing and hard to keep up to date.   

I’ll do my best to give an overview of what’s happening and available for the small business owner.  First, if you want to obtain a SBA loan there are programs that don’t require mountains of paperwork.  If you are looking for loan sizes greater than $50,000 you will be subject to paperwork.  However, if you apply for the community express or micro loan the amount of paperwork isn’t as daunting. 

The SBA 7(a) has several programs including the community express and micro loan.  These programs are easier for small businesses to apply and qualify for.  Even if you are a start-up you may still have a chance at obtaining one of these loans.  You still need a good personal credit score to get approved, most of the time better than a 680.

The current status of the SBA stimulus programs:

·         Increase the 7(a) loan limit from $2 million to $5 million

·         Increase the 7(a) loan guaranty to a maximum of $4.5 million (90%)

·         Increase the SBA 405 loan limit from $1.5 million to $5.5 million

·         Allow the 405 loan program to refinance short-term commercial real estate loans

·         Extend stimulus one to 90% 7(a) guaranty and waive borrower fees through December 2010

·         Increase the loan limit on microloans from $35,000 to $50,000

·         Allow 7(a) loans to be sold to the secondary market in $500,000 increments

The Obama administration’s small business plan calls for $30 billion to be taken from the $787 billion TARP program and infused in the SBA loan programs.  The intent is to increase the lending to small business.

With all the changes and additional provisions my hope is that banks will want to lend more.  If the government is backing 90% of the 7(a) loans now I can’t see why banks would be afraid of lending these types of programs.  Especially when not too long ago they were offering ridiculous mortgages at 100% of the value of the home while prices were dropping.

If you have any experiences in obtaining SBA loans let us know in the comments section below and provide feedback on any lenders or programs you applied for.  We would love to share your stories.

David Gass
Founder, Business Credit Services, Inc. &
Earn.com Expert Advisor

The stimulus plan created for small businesses the America’s Recovery Capital or ARC loan program. With $255 million of funds, it is geared to help businesses who have an existing loan with their loan payments.

1. The business seeking an ARC loan must have outstanding business debt.

The ARC loan program was designed to help “viable” as defined, small businesses who are suffering “immediate financial hardship” also defined. In order to be considered viable, the business must show that at least one of the last two years the company was profitable. It further requires that the outstanding loan(s) from a credit institution may not have any payments more than 60 days past due.

2. The ARC l

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