The online Lender Match reference tool recently announced by the Small Business Administration (SBA) was created to simplify the process of connecting lenders and borrowers.
Look at the SBA Lender Comparison Tool
Lender Match formerly called LINC (Leveraging Information and Networks to access Capital), which was launched in 2015. However, the SBA has upgraded and renamed the program to make it more relevant to small businesses. gathering information during the application process more relevant to their needs.
What this means for small businesses is that they can fill out a form quickly and expect to connect with a lender within 48 hours. For lenders, the new format allows them to filter the references that they receive from Lender Match to find the companies best suited to the type of loans that they offer. In addition, the search algorithm allows them to optimize specific criteria such as type of business and specialized financing.
The goal is to get more capital for small businesses, and the director of the SBA, Linda McMahon, said in the press release. "I want to help get more capital into the hands of small business owners and entrepreneurs, and I encourage them to tap into the SBA's resources for start-up and growth solutions. He [Lender Match] serves primarily as a matchmaker, which makes it easier for small businesses to find lenders. "
How does the SBA lender correspondence tool work?
Lender Match is a free online tool. To begin, you describe your needs by answering a series of questions. The site says it should take as little as five minutes. Within 48 hours, you will receive emails with contact information of the lenders who are interested. If you agree with rates, conditions, fees and other points, you can apply for the loan of your choice.
The SBA recommends you do some preparation before finding a lender, though. Have a business plan, the amount and use of the funds you request, the credit history, the financial projections, the guarantees and the experience of the industry ready before you go. 39; applying.
As for the lenders, they must be SBA approved and in good standing to receive the borrowers' recommendations. Currently, the SBA has more than 800 lenders in its program and has made more than two million lender referrals.
Using the resources of the SBA for your small business
The SBA is a very important source of information for small businesses. Whether it's using Lender Match to communicate with a lender or to discover the latest computer viruses, it's one of the best free and reliable sources you can use. to get answers about your business.
Image: Small Business Administration