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More Information About Lenders Open for Business

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It’s not only business credit card issuers that are open for business in 2021. Banks, Situs Nonton Movie Sub Indo credit unions, online lenders and fintechs are willing and able to extend cash to small business owners, said Lendio CEO Brock Blake.

Sure, there are more restrictions in certain industries and tighter underwriting standards for small business lending, but lenders have an appetite to lend, he said. Loans doing well on Lendio include cash flow, asset-backed, and Small Business Administration loans noted the executive.

“We expect the SBA to increase the guarantee from around 85% to 90%,” said Blake. “That will increase confidence on the part of lenders” to issue an SBA loan.

With increased liquidity, more lenders will serve small businesses. That means borrowing will be cheap for business owners with good credit scores. Banks and credit unions will play their part in business lending as well, but alternative lenders and fintechs are expected to be the major issuers of loans in 2021. After all, investors aren’t getting much yield outside the stock market and with less COVID-19 uncertainty they are willing to lend their money instead.

“A lot of money is flooding the non-bank lending market because bond yields are low,” said Matthew Gillman, CEO of SMB Compass. “The new year is exciting for alternative lenders. There will be a lot of liquidity but not in the form of banking financing.”