Small business lending trends in 2012

Although some experts predict that the economy will begin to rebound in 2012, lending is still shaky and small business owners should be looking for signs of so-called lender fatigue - indications that their ability to borrow capital may be compromised - according to the Miami Herald.

There are several things banks look for when considering whether to reevaluate their lending relationships. These include revenues that aren't meeting projections, the depreciating value of the property used as collateral for the loan, poor communication with the lender and a small or non-diverse customer base.

The news source advises entrepreneurs seeking to secure capital to look beyond the interest rate when shopping for a loan, taking factors such as loan covenants and prepayment penalties into account as well. Lenders that are "small business-friendly" are a safer bet because they're likely to be more understanding about problems faced by smaller enterprises.

According to Fox Business, 2012 is expected to see the continued rise of alternative sources of funding. These include companies that help entrepreneurs roll over their retirement savings to invest into new businesses or franchises, and crowdfunding sites such as Kickstarter that encourage large pools of investors to contribute small amounts of money.