Small Business Funding: The Impact of Technology and Big Data | Behalf
Small Business Funding: The Impact of Technology and Big Data
As a small business owner, you may feel like David in an industry of Goliaths. You know your small business is destined for greatness, but you need a little help getting there. Corporations have power in numbers, but consider small business funding your sling shot. Business funding is essential to not only run your small business but also grow it. Many small businesses fail because of a lack of business funding – not because of a shortage of great ideas. In answer to these obstacles, the alternative lending industry is quickly expanding to meet small business funding needs.
The hunt for good business funding is a major source of anxiety for small business owners, but it doesn’t have to be. Now, more than ever, you can find affordable small business funding outside of banks. Don’t get caught in a cycle of only applying for traditional bank loans and getting the door slammed in your face. This article discusses the growing impact technology and data have on the alternative lending industry and what it means for small business funding.
The Dynamic Duo: Technology and Big Data
Together, technology and big data have empowered the alternative lending industry, creating more business funding options for small businesses. With technology, alternative lenders have beaten banks at their own game. Small business owners can now apply for business funding conveniently online and get approved within minutes. Lending firms provide better business funding tools by implementing software that improves user experience like CRM platform software and cloud data storage. Technology has given lenders ways to quickly evaluate your business creditworthiness by securely accessing your personal information – without a mountain of paperwork.
Data has also been key in the rise of alternative lending. Data empowers all parties involved in the business funding process. With data, lenders can access more than your business credit history. They can access your business operational data, track business cash inflows and outflows, and view payment history to make smarter, faster decisions about your creditworthiness. This comes as a relief to businesses who do not have a long credit history, but demonstrate good spending habits and sound business practices. Big data gives lenders the bigger picture. Traditional banks tend to have a tunnel visioned approach to evaluating business creditworthiness. Seek business funding with lenders that use technology and data to confidently give your business the benefit of the doubt.
Small business borrowers also have the benefit of more data. Think back to any time you have been sitting at a bank discussing their proposed loan terms and felt anxious. Did you completely understand the rates and figures they threw out for you to sign? Did you wonder whether you could be getting a better deal at another bank? But how could you ever know? Those days are finished with alternative lending. You can go now go online to comparison shop for business funding products with payment terms that support your business needs, while getting a transparent view of fees across lenders.
The Bottom Line
Thanks to technology and big data, your business can receive quick, affordable business funding online. You no longer have to endure long traditional bank loan approval processes and high rejection rates. You have options. Shop for business funding wisely and only apply for business funding that meets your business needs. Alternative lenders are more flexible than traditional banks. They can work with you to empower your small business and help it reach its full potential.
That being said, keep an eye out for predatory lenders with exorbitant fees and unfair terms. Behalf offers a purchasing line of credit through a flexible and affordable payment structure. With no hidden fees, you can customize your payment schedule and give yourself up to six months to fulfill business purchases. Get up to $50,000 in business funding to drastically increase your purchasing power. Behalf uses technology and data to provide a seamless borrowing experience for small businesses. Choose a lender that genuinely believes in the potential small businesses have to grow the economy. Behalf is passionate about empowering small businesses with on demand payment tools. Cushion your capital reserve and fund operational business expenses with a Behalf line of credit.