IBA wants to see more business loans being dished out

Although lending conditions have become far tougher in recent months, upstart companies across Australia are still dependent on financial assistance from banks in order to get themselves established.

A recent study by DBM Consultants indicated that many firms have adopted a more cautious approach to loans due to the volatile economic climate, but many enterprises have little choice but to get some help from a lender.

Leaders at Indigenous Business Australia (IBA) believe that more business banking options need to be made available to Aborigines who are trying to set up their own corporation.

Chief executive Chris Fry told the Australian that the organisation was in discussion with the nation's major banks about improving the services offered to Aborigines.

He said the demand for business loans had increased notably in recent months and budding entrepreneurs need capital and advice regarding business ideas.

Mr Fry insisted the group had already achieved great success by approaching banks over home loans for indigenous people.

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