Funding Circle, the online small business lending platform, has partnered with Pitney Bowes, a global shipping and postal service provider, to provide small businesses with more affordable loans. Under the partnership, Funding Circle’s machine learning and technology platform will be combined with Pitney Bowes’ logistics and financial services.
Pitney Bowes and Funding Circle Small Business Loan Partnership
The partnership provides businesses with a streamlined online application and loan process with competitive rates, enabling applicants to access funds within 48 hours.
This pilot program is designed to meet the increasing needs of Pitney Bowes’ small business clients seeking growth capital. A 2021 Small Business Survey from the Funding Circle 2021 found that seven in ten entrepreneurs (72%) have said they need financing this year. The pilot offering is modeled with a borrower-first approach, which works to increase accessibility and convenience for small business owners seeking much-needed, affordable capital to grow and scale their business in the post-pandemic environment.
“This lending as a service partnership demonstrates the power of our machine learning and technology platform to help customers access financing easily and seamlessly. More than a third of entrepreneurs see an opportunity to grow the size of their business this year; yet many remain hampered by a lack of access to capital to do so,” said Vipul Chhabra, Managing Director of Funding Circle US.
“The 32.5 million small businesses in America power our economy, yet the number of small business loans approved by major banks has halved in just two years,” said Christopher Johnson, Senior Vice President and President, Pitney Bowes Financial Services. As of 2010, Funding Circle had lent some $15.2 billion in loans to more than 100,000 small businesses across 700 industries.
When is the right time to expand your business?
As your business evolves and grows, you will no doubt reach a stage where you start thinking about expansion. Expansion can be a risky business as it requires a capital investment that can bring about profound changes in your organization.
Key indicators for considering expansion include seeing the potential benefits of economies of scale and the expansion of your competitors. When it comes to economies of scale, it’s all about reducing production or service costs, which can help you lower your rates and increase your overall profit. Expansion can also increase your competitive advantage by protecting yourself from your competitors’ offerings and taking advantage of marketing tactics, more efficient facilities, and additional product or service features.
In order to finance your expansion, in some cases you will need to take out loans. Those finances will help you acquire additional facilities, equipment, inventory, and/or manpower. You need to know exactly what the terms of the loans are before signing on the dotted line.
Make sure that you are aware of the interest charged, the term of the loan, the processing and other costs you will have to pay, the options for obtaining tax breaks and other specifics of the loan.
Image: pitneybowes, financing circle
This post Funding Circle and Pitney Bowes Announce Small Business Loan Partnership was original published at “https://smallbiztrends.com/2022/03/pitney-bowes-funding-circle-small-business-loan-partnership.html”