SmallBusinessNewz

It has been more expensive and difficult for owners of small businesses to obtain loans lately. The Federal Reserve acknowledges this, and of course so does Senator John Kerry.

Kerry, in his continuous efforts to call attention to Bush Administration failures, is now calling for legislation to temporarily reduce fees for borrowers and lenders.

A statement from Kerry's camp notes that entrepreneurs are being "squeezed" as a result of the mortgage-lending crisis.

"No one should dismiss the small business credit crunch as a small problem. The Bush Administration has refused to address the rippling effects of the mortgage crisis that's now squeezing America's small businesses," said Senator Kerry, who is Chairman of the Committee on Small Business and Entrepreneurship.

"I've heard from small business owners in Massachusetts who say that the fees on government guaranteed loans are too high, the paperwork's too burdensome, and they have nowhere to turn because the Bush Administration isn't holding up their end of the bargain," Kerry continued.

"I've already introduced legislation and I'm considering additional proposals to make sure that entrepreneurs have access to affordable credit so that small businesses can continue to create jobs and grow our economy," he says.

The number of business loans is down significantly from the same period a year ago. 7(a) loans (the biggest government small business loan program) are down 18% while the quicker 7(a) Express version loans are down 29%.

It will be interesting to see what comes of Kerry's proposed legislation. Have you had trouble getting a loan for your business recently?