Despite improvements in the economy, SMBs still find it challenging to raise capital. A recent Capital One survey found that about 70% of small businesses were able to access the credit or financing they needed during the first quarter of this year. But not all companies have obtained the funding they need. The SBA has again run out of money  for special funding programs under the American Reinvestment and Recovery Act; Congress could extend the programs with an infusion of new money. For now, businesses that are willing to look beyond traditional financing sources can be successful.

Take the case of a British confectioner that created promissory notes paying interest in chocolate. The company was too small for a public debt offering, so it devised a borrowing plan from its customer base. The program is being administered through its accounting firm. The downside to this financing arrangement could be some loss in sales (customers are receiving chocolate interest so they may not purchase as much chocolate from the company), but it’s too early to tell.

There are a growing number of online sources to help companies find the money they need to buy equipment and property, expand into new markets, or for other growth needs. Examples:

  • BusinesFinance.com boasts over 4,000 loan sources.
  • MultiFunding is a business loan advisor that helps companies determine the right type of loan and works with them to prepare a single loan application that can be submitted to over 100 lenders in the company's network.
  • Prosper.com offers peer-to-peer lending (personal loans to creditworthy borrowers).
  • Receivables Exchange is the world’s first online marketplace for real-time of accounts receivable.

Perhaps the smartest thing that businesses can do is to become their own bankers. This means creating their own cash reserve that can be tapped as needed. This is difficult to do when firms are running on austerity budgets, but when things improve, new budgets should include savings programs to build up cash reserves.