Taxpayers are the ones who are picking up the tab for a record $2.1 billion in small business loans that small businesses throughout the nation defaulted on last year. 73 small businesses in Montana defaulted on loans. Looking at all 73 defaulted Montana loans ---the dollar figure ranges from $1,165 to $446,989 for the individual loans.
Six of those small businesses were in Bozeman, two in Butte, one in Three Forks, two in Anaconda, ten in Missoula three in Kalispell, and one in Frenchtown, according to records.
In 2008, the government concluded it wouldn't be able to cover one point three billion in defaulted bank loans it had guaranteed.
"You know we're in a dangerous time here when we're trying to fight a fire with different squirt guns from different angles here. You just can't say well this is the problem here's how to fix it," said David Smith, President and CEO of the Bozeman Chamber of Commerce.
The types of small businesses in Montana that defaulted on their loans runs the gamut from beauty salons to vending machine services. The Small Business Association said it expects more loan defaults for this year.
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