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Small Business Financing - A Month of Conferences

Thursday, November 18, 2010 by Dan H
The On Deck Capital team has been all over the country this month discussing the state of small business lending.  The shows have ranged from a regional Chamber of Commerce Small Business Expo to a National Small Business Banking conference, as well as a Restaurant Financing event.  Small business lending is at the front of everyone's mind, and On Deck Capital is working hard to provide business financing options for America's small businesses.

The Chamber of Commerce event allowed On Deck to meet with Main Street business owners, discussing everything from dental practice financing to hair salon loans.  These regional events don't represent any particular industry, but instead have true small business owners from every industry, looking to network and grow their business.

There was a lot of conversation at the small business banking event about bad credit business loans.  Credit score is a large part of the approval process when applying for bank or SBA small business loans, and there are millions of businesses that do not have the credit necessary to get approved.  This is where On Deck works to provide business financing options based on the cash flow and health of the business as opposed putting a large emphasis on credit score.

The restaurant financing event was a great opportunity to learn more about the needs of restaurant owners, and help them understand their business financing options.  A good portion of the restaurant owners talked about how important new equipment can be, and business equipment financing can be difficult to find.  Helping owners to understand their financing options, including information about how important a business credit report can be to obtaining the financing they need was a major point of conversation.

These events allow members of the On Deck team to get out to Main Street and have real conversations with Small Business owners all over the country.  Our goal is to provide fair financing to healthy Main Street businesses, and these shows are a great way of spreading the word!

Auto Repair Shop Preparing for Winter

Thursday, November 11, 2010 by Dan H
 I just got off of the phone with a business owner in upstate New York interested in AutoRepair Shop Loans.  He informed me that he was preparing to purchase inventory for the winter and was exploring his business financing options.  The conversation gave me some good insight into how seasonal inventory purchases affect small business owners cash flow.

The repair shop owner said that the winter inventory of snow tires, windshield wipers, and extra batteries cost more money than the other seasons.  The owner also noted that though he had to stock up on some extra inventory, he did not mind the snow because the collision rates went up which leads to more business for him!
Because we were discussing business financing options, he asked me what the opportunities were for auto repair shop micro business loans.  He was interested in the importance of his business credit report, where to find SBA small business loans, and if there were online business loans he should explore.  

A good amount of his questions could be answered through the On Deck Capital free tool.  By taking 5 minutes, a small business owner can get a snapshot of their business credit report, track their recent cash flow, and find out what sources of business finance are right for them.
 

Small Businesses Not Thrilled with Big Banks

Thursday, October 21, 2010 by On Deck
Consumer satisfaction research firm J.D. Power just released their "U.S. Small Business Banking Satisfaction Study" which details how small business owners view their bank.  It does not come as a surprise to us here at On Deck that business owners are not very satisfied with their banks.

Every day we talk to business owners who are searching for business equipment financing, working capital financing or SBA small business loans. And the majority of these business owners that we speak to have a story to tell about their bank  - and the stories aren't good.

From lines of credit being reduced (or cut off) to high fees to rotating relationship managers, small business owners are frustrated. And they are especially frustrated when they are turned down for a small business loan despite running a healthy business.

From the article: 
While larger firms can gain access to capital through multiple channels, including selling bonds, small businesses are very dependent on their bank as a source of capital.

"Banks are a critical support mechanism for small businesses, so these customers may be experiencing some frustration with the lack of support," he said.

Luckily, On Deck is available to make unsecured small business loans to Main Street businesses. We have now loaned over $85,000,000 to small businesses across the country and we look forward to making even more!