New Study Highlights U.S. Small and ‘Micro’ Businesses as Engines for Job Creation

–But are the poorest of the poor being served by and benefiting from microfinance in the US?–
Key study findings of a new report called “U.S. Microfinance: Small Loans, Big Results” (from Accion, Opportunity Fund, and the Aspen Institute) include:
1) *Microloans contribute to strong, sustainable small businesses.* Of small businesses financed in 2010, 97 percent reported that they were still in business in 2011.
2) *Microloans contribute to increases in small business owner take-home pay and business revenue.* 32 percent of small business owners surveyed reported an increase in owner’s draw and 36 percent indicated an increase in overall business revenue
3) *Accion supports small businesses primed for growth and ready to contribute to the local economy.* 43 percent of borrowers surveyed reported seeking a loan to grow their business, and nearly 70 percent reported that their businesses were full-time endeavors.