CIT Group: Leaner and Stronger After Bankruptcy

It does seem strange just a couple of years ago, just the mention of multibillion-dollar company going bankrupt would have sent the stock market into a panic. Now we just nod our heads and wonder who is next.

As we mentioned in a recent post CIT Group became one of the largest corporate bankruptcies in history. The $71 billion bank holding company has nearly $65 billion in liabilities, and the bankruptcy is being used as a chance to refinance debt obligations and come out leaner and stronger.

However CIT will not be taking on new customers for the foreseeable future. That means small businesses have lost a major financing resource, But that doesn’t mean small businesses that want to expand have no other options. Lending has increased dramatically in the second half of the year. Since the economic stimulus package went into effect in February, the average number of loans approved each week has grown by more than 50%. according to the Small Business Administration.

So if you have a vision, you can still get funding, as long as you’re prepared to work hard for it and tick all the boxes. To read more on this story go to thestreet.com.