The Federal Trade Commission (FTC) held a forum that found, due to time restrictions, small businesses may not always choose the best financing tools for their needs.

Instead, small businesses are focused more on ensuring that their business is operating efficiently, rather than spending time to learn the ins and outs of the numerous financing tools available. Experts on the panel addressed other key issues such as access to capital, annual percentage rates and lending.

The forum was made up of three panel discussions. In the first panel, speakers provided an overview of the small business financing marketplace, specifically discussing the types of financing products available to small business owners, including term loans, lines of credit, cash advances and the benefits those products provide. The second panel addressed merchant cash advance and the benefits and issues these products pose to consumers. The third panel had a broader discussion on consumer protection risks in the financing marketplace.

Small businesses are essential to the U.S. economy, and most need financing for growth and functionality. However, not all small business owners have the means or time to secure traditional loans through banks.

To learn more about the forum and panelists, click here.

To view the full panel discussions, click here to visit the FTC’s Facebook page.