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The crumbling of Wall Street and banks has spilled over to Queens business owners regarding getting money. What happens when banks will not issue loans? Where should you go for money and is doing so wise?

Credit unions are a place to start. The ownership structure is such that those with accounts own part of the institution. The downside is rates can vary and credit unions, especially now, can be as cautious as banks.

Family and friends are always an option. The upside is they are a phone call and sincere pitch away. The downside is if things go sour, you are going to see them at social gatherings. You do not want to feel uncomfortable if things do not work out. You will also feel worse about losing their money.

Try "angel investors," wealthy investors who invest at the early stages of businesses. The upside is the deal and funding can move quickly because money is accessible and the investor wants to go forward if he or she likes an idea. The downside is angel investors have their own rules because it is their money.

Use credit cards. The upside is they are sources of capital for immediate money. The downsides are high interest rates and the risk of decimating your credit, which can financially cripple your future. Even corporate credit cards carry personal guarantees. Use them as a last resort.

So How's Business regarding financing your small business if banks say "no"? Now is the time to tighten your belts and have as little debt as possible. The future, in terms of how this will play out, is uncertain. In some respects, financial history will be rewritten.

Reach Joe Palumbo at 516-248-0256 or info@camelotlimo.com.

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