U.S. Needs More Entrepreneurial Spirit, Credit Unions Help Make It Possible

According to research from UCLA, it's true that Millennials are less interested in becoming successful entrepreneurs than baby boomers were at the same age. Are you surprised? I'm not. When student debt has risen from an average of $12,000 in 1995 to a sky-high $29,000 average in 2013, who can afford that PLUS a small business startup!? 

The great thing about living in the U.S. is that entrepreneurship matters - and support is available! People understand that small business ownership in the U.S. plays an important role in the development of the economy. With brilliant ideas, entrepreneurs stimulate the emergence of new innovations, and encourage product improvement. They create the competitiveness that has characterized the U.S. for years. With new and developing technology, the possibilities for entrepreneurship are limitless! 

Credit unions have always encouraged the entrepreneurial spirit. But now, they are taking more action to help those who wish to excel in entrepreneurship, and share ideas with the economy. By joining forces with the Small Business Administration, there are more opportunities for entrepreneurs to receive the financial assistance they need from their credit unions. 

This article form prnewswire.com shows exactly how the partnership will benefit aspiring entrepreneurs! 

WASHINGTONFeb. 25, 2015 /PRNewswire-USNewswire/ -- Today, Administrator Maria Contreras-Sweet, the head of the U.S. Small Business Administration (SBA) and Dan Berger, President of the National Association of Federal Credit Unions (NAFCU), signed a Memorandum of Understanding (MOU) to invest in America's future entrepreneurs and economy.

"The SBA and NAFCU are formalizing a national partnership to promote small business lending. Credit unions help their members with so many other financial needs, and we want them to be able to help the entrepreneurs they serve with SBA loans as well," says Contreras-Sweet. "Credit unions have stepped up and stepped in to fill a real need, adding outlets for SBA loans in communities that need our assistance the most. SBA's joint effort with NAFCU will make credit unions even more valuable as we work to give credit where it's due to small business across the nation."

"This partnership is particularly valuable to credit unions because each dollar of an SBA-guaranteed business loan from a credit union is excluded from the credit union's member business lending cap. This affords credit unions much-needed flexibility to serve their small business members. Credit unions have always wanted to do more to help their small business members, and this initiative will go a long way toward making that possible."

The partnership between the SBA and credit unions will increase the availability of small dollar loans by providing more outlets entrepreneurs can access SBA products in their neighborhoods. Second, it will help small business owners get capital for investments into their new or existing business they may have otherwise put on a high-interest credit card or a personal credit line. Third, it will make the small dollar loans more accessible to underserved communities, including women and minorities.

Stay inspired everyone! 

Mallory 

Sources:

http://www.entrepreneur.com/article/231221

http://www.prnewswire.com/news-releases/small-business-administration-and-national-association-of-federal-credit-unions-join-forces-to-solve-the-entrepreneurial-credit-crunch-300041621.html

https://www.sba.gov/sites/default/files/Student%20Debt%20Among%20Young%20Entrepreneurs%20Nov%202014.pdf