According to an American Express Open Forum article… “Nearly all of the businesses surveyed own some sort of property, and the assets’ declining values cut small business’s clout with creditors. Lots of entrepreneurs have used their company’s or their own personal property to fund their businesses.” excerpted from
The Real Reason Small Businesses Struggle to Get Credit by Courtney Rubin.
Interesting excerpt. This excerpt references the value of business owners’ homes and business offices. But I’ve been reading that, in many locations, home values are ticking slightly upward (due to the lower number of houses on the market for sale). Just keep in mind that, due to the amount of collateral required for the typical small business loan or line of credit, the real estate market – residential and commercial – will impact most of the bank loans your small business would be eligible for.