Student-Loan Load Kills Startup Dreams
Career College Central summary:
The rising mountain of student debt, recently closing in on $1.2 trillion, is forcing some entrepreneurs to abandon startup dreams and radically reshape their business plans.
The average student who borrows has piled up about $40,000 in debt by graduation, including parents' loans, nearly double the levels of a decade ago, according to Edvisors.com, which runs college-planning and financial-aid websites. Recipients of graduate and professional degrees who borrow average more than $55,000 in debt at graduation, including undergraduate loans, but not parent loans. That is up from $40,800 some 10 years ago.
Some academic experts say leftover loans are the biggest impediment to upstart entrepreneurship by those who recently received college or graduate degrees.
One state has taken steps to alleviate the pressures. California this year enacted legislation that will reduce college costs for middle-class Californians who attend its public universities.
Click through for full article content.
THE WALL STREET JOURNAL