Today online business loans are becoming increasingly popular with small business owners and the reason why is that they are quicker and often more easily acquired. Online lending companies like Funding Wizards are able to make these loans easier to acquire by having dozens of lenders on their books and so when a business owner applies, online, for a loan, it is just a matter of connecting them to an appropriate lender.
The lenders that these online companies use are not too interested in collateral or stringent financial background checks; they merely want the opportunity to lend out money at a reasonable rate of interest. This, of course, is very beneficial to small business owners that often would rather not go through the rather stringent financial background checks which the traditional banks insist on. Plus, as there are not a lot of checks needed, the loans can be approved far quicker, making the money available to a business owner as soon as possible instead of the usual 3 or 4-day wait which most banks impose.
Most businesses, large or small will need a business loan at one point or another and although the banks have been the traditional place for owners to go for those loans unless the banks re-organize their lengthy loan procedures, online lending will become the provider of more loans than the banks. The banks, due to the threat to their business these online lenders pose, are now re-evaluating their procedures and so soon they may also be able to provide loans faster but currently, with their insistence on financial background checks, banks are rapidly losing customers to the online services and more business owners are receiving loans that would be if only the banks were doing the lending.
Regardless of what a business owner may require the loan for and what period of time they would like to have to pay back the loan, the chances are that the online lender will have someone on their books that is prepared to make the loan under the conditions that the business owner would like and so a loan is quickly approved. Current statistics show that on average, 80% of small business loans applied for online are approved, the vast majority without any collateral and within 24 hours. Therefore today, an increasing number of business owners are turning to the internet for their loans rather than waiting for an appointment with a bank’s loan officer.