Two small business owners are calling on the banking and finance sector to rethink an “adverse approach” to financing small entrepreneurs.
The two men, who were guests on Starcom Network’s Brass Tacks Sunday, contended that access to capital, unnecessary red tape and little wiggle room for mistakes, remain perennial obstacles for small enterprise.
According to Troy Crichlow, owner of Johnson’s Farm, the time has come for financial institutions to get past the notion that big businesses are less of a risky proposition for financial institutions. He argued that even though the odds are against a start-up company getting it right on the very first try, large and medium-sized businesses also default on debt.
He noted that sometimes the debts racked up by established companies are in the millions of dollars, yet financial institutions always stand ready to be their backers.