Horizon Business Funding Announces Successful Relationship Based Underwriting
NEW YORK, NY--(Marketwired - August 20, 2013) - Horizon Business Funding's unique underwriting process allows us to provide alternatives to bad credit business loans to business owners who are shut out of traditional business funding programs, with a high rate of client satisfaction and a low default rate.
In the hyper risk-averse financial climate left in the wake of the Great Recession, small business lending has seen requirements tighten even as more business owners are stricken with bad credit and devalued collateral. Thanks to dips in real estate prices and inflation, business owners are not able to secure the capital that they need from the banks that used to provide it, leaving them searching for options. The rigidity of bank backed funding protocols means that they are unable to provide capital for business owners who fail the increased requirements of due diligence, regardless of the relative health of their business and their potential. In fact, the Cleveland Federal Reserve published a release last week stating that commercial and industrial loans less than $1,000,000 are only at 78.4% of the level they were at in the second quarter of 2007. Horizon Business Funding has been able to fund this population of business owners with great success, allowing them to gain access to the financing they need to fuel the growth of their enterprises and local job creation. The driving force behind Horizon Business Funding's ability to successfully fund these entrepreneurs is a uniquely adapted underwriting process that goes beyond what is skin deep while evaluating clients.
In response to the constraints imposed by the drought of readily available capital for business expansion, Horizon Business Funding has adopted a non-traditional approach to underwriting. "We deal with business owners who have been turned away by banks every day," CEO Meir Hurwitz says. "Business owners will come to us who have no other options because every bank they have gone to has told them that they are too high risk, or that they would be able to get a loan if they could get more collateral. A lot of these people are really responsible and hardworking entrepreneurs who have gone through tough times and don't deserve to be cut off from business funding. That's why when we pass our due diligence we get to know our clients and their story. Because of the focus on building relationships, we have representatives who have started with us three months ago submitting applications for second and third rounds of funding from clients who know them by name." The exponential growth rates that Horizon Business Funding reported two months ago have held steady, and an ever expanding team of sales representatives and underwriters are allowing more and more business owners to gain access to direct capital. While business loan approval rates remain sluggish, the story based approach to direct capital financing that Horizon Business Funding has espoused is continuing to produce results for the business owners that need them the most.
About Horizon Business Funding
Horizon Business Funding is a provider of business loan alternatives in the form of merchant cash advances to small business owners, regardless of bad credit or other issues traditional banks use to disqualify funding applicants. We require no personal guarantees of collateral. The fact that we require no collateral from a business loans us a competitive advantage, as we can approve much faster. We fund businesses in any industry provided they have been operating for at least 2-3 months and have a monthly cash flow of $15,000. The efficiency of our underwriting department in vetting merchants with bad credit or in traditionally "high risk" industries including, but not limited to, trucking, liquor stores, construction, commercial fisheries and the automotive industry give our representatives and the ISO agents we work with a decisive edge through the ability to get small business owners the funding they need when nobody else can. By promoting our core values of professionalism, efficiency and work ethic Horizon Business Funding has experienced exponential growth and is continuing along this trajectory.
Media looking for more information can contact Andrew Greissman, Media Liaison, at 347-899-4190