Does Madison’s Bank Have Enough Information To Approve Her Loan?
Young entrepreneur Madison Glover owns a popular garden center in Des Moines with her business partner. Sales are good and they want to expand by adding space to sell handmade outdoor furniture created by a local artisan. Assessing the risks of small businesses is a challenge. Credit data alone doesn’t tell the whole story. Lenders need to evaluate small business owners as well.
Madison’s credit union approved her loan quickly because it had access to alternative data on Madison, her partner and the business:
- The garden center has been in business for 3 years
- Madison has 50% equity in the business
- She and her partner don’t have any derogatory items in their background
- They have one business credit card and they pay more than the minimum due each month
- They have a business loan for equipment and haven’t missed any payments
Get the big picture view of your small business applicants.