Here is a great statistic on Funding Small Businesses with Credit Cards from Inc. Mag October 2006 issue. How many businesses use credit card financing in their small business in 2000 vs. 2006?:
- 2000 50% of small businesses used credit cards for working capital
- 2006 11% of small businesses used credit cards for working capital
Reasons for the decrease – according to the article it seems to be a combination of the housing boom, higher home values and lower interest rates gave entrepreneurs greater access to lines of credit.
