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NEW YORK, November 09, 2021 (GLOBE NEWSWIRE) – Small businesses loan approval percentages To big banks (assets over $ 10 billion) fell from 14% in September 2021 to 14.1% in October. During this time, small banks” approvals also fell from 19.5% in September to October’s figure of 19.7%, according to the last Biz2Credit Index of Small Business Loans™ released today.
“The banks are showing a willingness to lend, but they have been cautious. While this is a good sign that approval percentages continue to rise, we are still well below the levels we were seeing before the pandemic, ”said Rohit Arora, CEO of Biz2Credit, one of the leading national experts. in FinTech and small business loans. “All categories of lenders except credit unions, which remained stable, saw their loan approval percentages increase this month. “
Non-farm payroll employment increased by 531,000 in October and the unemployment rate fell 0.2 percentage points to 4.6%, according to the Bureau of Labor Statistics employment report released on Friday, November 5. . Notable employment growth was observed in recreation and hospitality, professional and business services, manufacturing, transportation and warehousing. Many of these new jobs are created by small businesses.
“We are seeing an increase in funding requests from transportation and warehousing companies. These industries have rebounded well after the pandemic, ”said Arora. “Entertainment-related businesses are starting to come back, although restaurants are still suffering. Many small businesses are gearing up for the holiday season and need capital to cover anticipated additional costs. “
Increase in approval percentages of non-bank lenders
- Iinstitutional lenders approval percentage increased to 24.7% in October, against 24.5% in September.
- Alternative lenders approved 25.6% of small business financing requests in October, up from 25.4% in September.
- VSrepeat unions approved 20.6% in October, as in September, but down from 20.9% a year ago.
Biz2Credit analyzed loan applications from businesses that have been in business for more than two years with credit scores above 680. The results are based on primary data submitted by over 1,000 small business owners who have applied for financing on the Biz2Credit platform. To consult the October 2021 report, Click here.
About Biz2Credit
Founded in 2007, Biz2Credit has arranged over $ 7 billion in small business financing. The company extends its cutting-edge technology into customized digital platform solutions for banks and other financial institutions, investors and service providers. Visit www.biz2credit.com or Twitter @ Biz2Credit, Facebook, and LinkedIn.
Media Contact: John Mooney, (908) 720-6057, [email protected]
Source: Biz2Credit
