Why have so few loans gone to help small businesses in California?

President Obama says as jobs come back, they’re going to start at small businesses. But with the economy still lagging, many business owners are finding it hard to pay off existing debt, let alone take out new loans to grow. The stimulus package created a new type of Small Business Administration loan that’s supposed to help these business owners pay off old debt, but few of these loans have been claimed, especially in California. Karen Weise, a reporter at the UC Berkeley Graduate School of Journalism, finds out why.

Misisipi Mike
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