Finance & Lending

 

01 30 2014

01 30 2014

Small Businesses Able To Obtain Loans

As the country emerges from the depths of the Great Recession, small businesses are finding it easier to get the funding they require than in the past several years. According to data from the National Federation of Independent Business, as reported by USA Today, only 4 percent of small-business owners indicated that all of their credit needs were not met in December.

It seems that small businesses are able to obtain low-rate interest loans more easily now than several years before.

This information is helping to boost the confidence of small-business owners, as the NFIB’s small-business optimism index jumped to 93.9 in December, up from 92.5 the month prior and 91.6 in October, reported Dow Jones Business News. Small-business owners are looking forward to stronger economic conditions. They indicated that their sales will increase at a faster pace than inflation and, as such, are beginning to increase their capacity to be ready for the predicted business.

According to the report, 64 percent of small businesses made capital outlays during the last half of 2013, which is the highest percentage for nearly a decade. Of the companies that reportedly made investments, 43 percent bought new equipment, 26 percent purchased vehicles and 16 percent expanded or upgraded their facilities. In addition, the end of 2013 saw the best hiring statistics for small businesses since early 2006.

There are a few factors playing into the fact that small businesses are finding it easier to obtain loans than in the past several years. However, it mostly comes down to the market. After the 2008 financial crash, lenders tightened their standards. As many businesses, large and small, were not showing the necessary profits to qualify for loans, they were denied funding. In addition, it is not unusual for small-business owners to leverage their home equity as collateral against a loan. When the housing bubble burst, home values plummeted, leaving homeowners without the necessary equity for a small business loan.

Small business loans and the economy

The benefits for small-business loans go well beyond growing companies. The Support Center, a community development financial institution, recently released a new report examining the economic impacts that small businesses have on their state’s economy.

According to the report, funding money into small businesses allowed the local economy to grow and flourish. Not only did the small businesses save the state millions of dollars and even provide significant profits, but it saved and created hundreds of jobs.

Still, though small businesses are continuing to flourish in this recovering economy, they also need to continue to focus their funds on things that matter. They can save money across the board through smart choices like leasing business equipment and other smart options.

While small businesses are seeing some success through traditional banks, many others are finding the funding they need by looking to less-traditional lenders. Any entrepreneurs or small-business owners who need a cash advance for business should reach out to National Funding today to explore their options.

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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, text-messages, 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, text-messages, 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.

 

Text Messaging:

By providing my wireless phone number to National Funding, Inc., I agree and acknowledge that National Funding, Inc. may send text and multimedia messages to my wireless phone number for any purpose. I agree that these text or multimedia messages may be regarding the products and/or services that I have previously purchased and products and/or services that National Funding, Inc. may market to me. I acknowledge that this consent may be removed at my request but that until such consent is revoked, I may receive text or multimedia messages from National Funding, Inc to my wireless phone number.

  
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.