Understanding Small Business Lending: The Statistics and The Solution
top of page
  • Anthony E

Understanding Small Business Lending: The Statistics and The Solution

Navigating the realm of business finance can be daunting. Recent data provides intriguing insights into small business lending. Let’s break it down and understand why, in this landscape, considering a cash advance with Trust Capital can be your best move.


Why Businesses Seek Loans


- Expansion and Opportunity: 56% of small businesses apply for funding to expand, venture into a new opportunity, or acquire vital assets.

- Capital Crunch: A significant 29% of small businesses meet their untimely end due to a lack of capital.

- Loan Amounts: A majority, 57% of businesses, often seek loans of $100,000 or less. This suggests that many businesses don’t always need massive loans; they require the right amount at the right time.


Challenges in Traditional Lending


- High Rejection Rate: 9% of businesses walk away empty-handed after applying for a traditional loan. Another 14% receive only part of what they requested.

- Credit Score Woes: For 36% of businesses that faced a rejection, their credit score was the culprit.

- Unmet Needs: An alarming statistic is that only 48% of businesses have their financing needs entirely met through traditional means.


The Rise of Alternatives: Enter Merchant Cash Advances


- Top of the Pack: With an 85% approval rate, Merchant Cash Advances (MCAs) tower above other funding options. Their high approval rate is a beacon of hope for many businesses in urgent need of cash flow.

- Swift and Smooth: In a digital age, 32% of business loan seekers are turning to online lenders. They offer speed, efficiency, and often a more customized lending experience.


Why Trust Capital’s Cash Advance Stands Out


Trust Capital isn’t just another name in the business financing sector. We understand the unique challenges faced by today’s businesses. Here's why our cash advance option deserves your attention:


1. High Approval Rates: Echoing the industry trend, our cash advances come with incredibly high approval rates.

2. Tailored to Your Needs: We don’t give you a one-size-fits-all solution. Our cash advances are tailored to fit your unique financial needs.

3. Simple and Fast: Gone are the days of endless paperwork and prolonged wait times. Our process is streamlined to ensure you get the funds when you need them.


Conclusion: Trust Capital - Your Reliable Financial Partner


Understanding the statistics can help make informed decisions. Yet, numbers only tell half the story. The other half is about trust, reliability, and understanding - values we hold dear at Trust Capital. In an uncertain financial landscape, we stand as your steadfast partner, ready to fuel your vision with our unmatched cash advance options.


Ready to redefine your business's financial future? Dive into the world of hassle-free financing with Trust Capital. Apply Now

51 views
bottom of page