Press Release

 

11 13 2014

11 13 2014

National Funding Releases Survey on Holiday Season Outlook for Small Business Owners

National Funding, one of the country’s largest private lenders of small business loans, today released the findings of a new survey on the holiday season outlook among small business owners, which found that over a quarter of small business owners are expecting better sales than last year.

According to the survey, most small business owners (88%) have a neutral to positive outlook for the upcoming holiday season, which speaks to the boost in consumer confidence, as well the improving economy.

David Gilbert, founder and CEO of National Funding, emphasizes that the holidays are one the busiest times of year for alternative lenders, with the bulk of business happening in the fourth quarter. Depending on the type of business, seasonal needs and customer demands drive many small and medium businesses (SMBs) to seek out additional financing during this time. With over 28 million1 small businesses in the U.S., revenue from the holiday season this year is expected to be in excess of $985 billion2.

The survey found that 4.3% of small business owners expected to borrow money over the holidays and more than 37% of those said they were not confident that their banks would grant them a loan should they need one.

“The truth is that 4.3% is probably under-reported because the majority of loans that arise during the holiday season are last minute. Whether or not a small business believes they will need to borrow money, owners should always be planning ahead and anticipate the need for financing. These days, they have more alternative lending options,” said Gilbert. “Most times, small to medium size businesses don’t need long term financing, especially during the holiday season. Alternative lending options, like working capital loans, merchant cash advances or small ticket equipment leasing, offer the flexibility and quick turnaround needed for owners to keep their businesses running smoothly.”

The survey also found that while many business owners research lending providers online, 53% of respondents stated that it was important to speak with someone personally about obtaining funding, rather than staying strictly online. Even more so, over half of the small business owners surveyed are not using the Internet for sales or servicing their customers.

“Despite the popularity of ‘online-only’ or an online component, many mom-and-pop shops prefer the in-store interaction with their customers, which is something we strive to maintain in our practices, as well,” added Gilbert. “At National Funding, we have a dedicated sales team that personalizes the customer experience, so they are comfortable, fully informed and equipped to make the best decisions for their business.”

Since 1999, National Funding has been a leading provider of financial services and products for small businesses, including, working capital loans, merchant cash advances, credit card processing, and equipment leases. The company commissioned the survey to better understand the attitudes of today’s small business customer during an especially busy time of year.

Methodology

All figures, unless otherwise stated, were collected by SSRS Small Business Omnibus, an independent market research company. Interviews were completed via telephone with a nationally representative sample of 506 small business owners that have fewer than 100 employees. Fieldwork was conducted between October 13 and 28, 2014.

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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.