Press Release

 

11 04 2014

11 04 2014

Evolving Landscape of Alternative Lending Industry Directly Affects Equipment Leasing Business

National Funding, one of the country’s largest private lenders of small business loans, today released remarks from Founder and CEO David Gilbert’s recent panel discussion at the 53rd Annual Equipment Leasing and Finance Association (ELFA) Convention on the topic of the evolution of the equipment leasing industry.

Focusing on the changing landscape of alternative lending, David Gilbert; along with co-panelists Ben Gold, president of Quick Bridge Funding, and Brad Peterson, managing member at Channel Partners LLC; discussed the shifting landscape of the market from the perspective of delivery channels, changing products and changes in customer behavior; best practices and how to avoid common mistakes for marketing effectively to different types of businesses; and how to embrace the evolving technology and offer more than one product.

“Since the recession of 2008, the lending and leasing industry has seen a large impact in both the landscape as a whole and customer behaviors; many new players have joined the alternative lending space and are driving change for small ticket lending,” said Gilbert. “It is important to understand how the business has evolved from purely equipment leasing to that of offering working capital as another option.”

Research shows that banks aren’t moving quickly enough to keep up with the changing industry, and they seem less inclined to lend to small businesses, which is why alternative lending is growing so rapidly. The business has evolved into a multi-faceted industry, encompassing traditional products such as equipment leasing, and new cash-only products such as Merchant Cash Advance, Working Capital and Daily Payment loans. According to Gilbert, some of the biggest changes being seen today are quicker approvals driven by new technology, greater access to funding sources, and new product and payment schemes designed to meet both the borrower’s abilities to pay and the lender’s need for quality.

“Some alternative lenders only offer one product, whereas many customers prefer a choice of products that address all of their immediate business needs; therefore a customer is less likely to be cornered into a product that is not 100% in line with their needs,” added Gilbert. “This is why alternative lenders need a selection of many products, to ensure their customers find a solution that both meets a budget and meets the financing need.”

With the landscape of small business lending shifting, methods of acquisition are making a shift as well. Gilbert, Gold and Peterson emphasized that lenders understand the changing behavior of their customers who are shopping for financing. While traditional mail and the internet are still viable acquisition methods, customers more frequently seek personalized attention and guidance regarding their individual businesses and most appropriate products to fit their needs. For this reason, National Funding’s team is specifically committed to spending time with customers so that they feel comfortable with the process, and fully understand the product offerings and their options.

Find Out How Much Funding You Qualify For

Fields marked with an * are required
By clicking this button I agree to all terms and conditions.

Terms & Conditions

General Acceptance

Any applications submitted electronically shall have the same force and effect as if the application bore an inked original signature(s). The above information, together with any accompanying financial statements, schedules, or other materials, is submitted for the purpose of obtaining credit and is warranted to be true, correct, and complete.

 

US Patriot Act:

To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person and business that seeks a business loan.  What this means for you: When you apply for a loan, we will ask for your business name, address, and Tax Identification Number.  We will also ask for your name, address, date of birth, and other information that will allow us to identify you.  We may also ask to see your driver’s license or other identifying documents.

 

For Loan/Merchant Services:

The Merchant and Owner(s)/Officer(s) identified in the application (individually, an “Applicant”) each represents, acknowledges and agrees that (1) all information and documents provided to National Funding, Inc. (“NF”) including credit card processor statements are true, accurate and complete, (2) Applicant will immediately notify NF of any change in such information or financial condition, (3) Applicant authorizes NF to disclose all information and documents that NF may obtain including credit reports to other persons or entities (collectively, “Assignees”) that may be involved with or acquire commercial loans having daily repayment features and/or Merchant Cash Advance transactions, including without limitation the application therefor (collectively, “Transactions”) and each Assignee is authorized to use such information and documents, and share such information and documents with other Assignees, in connection with potential Transactions, (4) each Assignee will rely upon the accuracy and completeness of such information and documents, (5) NF, Assignees, and each of their representatives, successors, assigns and designees (collectively, “Recipients”) are authorized to request and receive any investigative reports, credit reports, statements from creditors or financial institutions, verification of information, or any other information that a Recipient deems necessary, (6) Applicant waives and releases any claims against Recipients and any information-providers arising from any act or omission relating to the requesting, receiving or release of information, and (7) each Owner/Officer represents that he or she is authorized to sign this form on behalf of Merchant.(8) I consent to receive direct mail, faxes, and e-mails sent by National Funding and its affiliates for the purposes of transmitting account updates, requests for information and notices, and (9) this request is for business and not for consumer purposes.

 

For Equipment Services:

I hereby certify: (1) the information provided is true and correct, (2) you are hereby authorized to investigate all bank, credit, and trade references, and said references are hereby authorized to release any requested information to you or your nominee, (3) such authorization shall extend to obtaining personal credit profile in considering this application and subsequently for the purposes of update, renewal or extension of such credit or additional credit and for reviewing or collecting the resulting account, (4) this information may be transmitted by us to you and by you to underwriter(s) for the purpose of granting me credit, either electronically or manually, and that by submitting this application, I take full responsibility for transmission thereof, (5) I am over 18 years of age, (6) I acknowledge my rights under the Fair Credit Reporting Act, (7) I consent to receive direct mail, faxes, and e-mails sent by National Funding and its affiliates for the purposes of transmitting account updates, requests for information and notices, and (8) this request is for business and not for consumer purposes.

The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status or age (provided the applicant has the capacity to enter into the binding contract); because all or part of the applicant’s income derives from any public assistance program; or because the applicant has in good faith exercised any right under the Consumer Credit Protection Act. If for any reason your application for business credit is denied, you have the right to a written statement of the specific reasons for the denial. To obtain the statement, please write to National Funding Inc., 9820 Towne Centre Drive, San Diego, California 92121.  Funding amount and credit approval is subject to a full credit profile review.