Small firms to invest in technology, travel this year

As market conditions begin to improve and businesses start hiring and investing in new equipment, it's important for lenders and financial professionals to observe where and how companies are spending money, and to formulate credit decisions accordingly. A survey released this week by daily deals service RapidBuyr shows small businesses plan to invest mostly in new technologies and travel expenses this year. Specifically, 49 percent of respondents plan to purchase a tablet computer, 44 percent intend to buy mobile phones, and as many as 62 percent expect to invest in air travel. "These results underscore just how important having access to the latest technology can be for small businesses to allow them to get more done with fewer resources," said Pete Angus, director of marketing with RapidBuyr. "But, these products also tend to be quite expensive." According to the Equipment Leasing and Finance Association's, equipment financing soared by 20 percent in December, compared to the same period in 2010. Combined, these reports point to a rise in business equipment investment that should gain the attention of lenders.