As the economy steadily improves, business owners may be faced with another credit hurdle - sufficient working capital.  Banks continue to operate with more stringent lending terms and some are only supporting existing clients or are reluctant to increase credit lines.

As companies grow, they may find it difficult to have their lending facility grow with them.  The result may be further increased dependency on trade credit to grow a business.  The question - how credit worthy is that customer and will you have enough equity to support your growth?

Also, although businesses have enhanced their productivity during this downturn, as the business climate improves, new hiring will be necessary - yet another demand on working capital.  Cash is still king and well-capitalized firms should have a competitive advantage in this environment.  There is a significant amount of capital available outside of the secured lending environment, but to attract it you need a comprehensive business plan.