Predicting what will transpire in the coming year is always challenging, particularly in relatively nascent and growing industries such as marketplace lending.
When borrowing from family and friends is the only way to start or fund a business, the following steps can greatly reduce that risk. First, you must inform the person you’re borrowing from how much money you need, what you’ll use it for and how you’ll pay it back. Next, draw up the legal papers -- an agreement stating that the person will indeed put money into the business.
Optimism seems to be abound, economically at least, with a businessman heading for the White House. The Dow has risen and, despite vocal opposition from opponents on many of his decisions, President-elect Trump has been announcing job creation measures even before he has taken the oath of office. For Wall St. and Main St., exciting things are happening. Banks and FinTech companies are using technological advances to improve access to capital, which is the lifeblood for small business growth. These developments bode well for small businesses in search of capital in 2017.
As a New Year approaches, fair lending will be the priority for the nation’s consumer financial cop on the beat. Mortgage and student loan servicing along with redlining and small business lending will be a triple-focus in 2017 for the Consumer Financial Protection Bureau (CFPB).
When Judy Balint, the chief marketing officer at SmartBiz Loans, read a freelance article that her company’s president contributed to Entrepreneur.com last month, she was startled to see that a promotion for a rival lender had been added to the beginning — a lender with a partnership with Entrepreneur.
African-American-owned businesses are the backbone of their communities, major contributors to our growing economy, and sources of innovation and thought leadership -- not just in their industries but throughout our society. They also provide economic opportunity and stability to struggling minority communities. The problem is there are simply not enough of them.
Since 2000, the so-called Schumer box has been to credit cards what nutrition labels are to food. Instead of listing calorie and carbohydrate counts, the summary table requires disclosure of basic numbers like the interest rate and annual fee at the top of credit card solicitations. Named for legislation by then-Rep.
Alternative lending arose from the financial crisis of 2008, in part, as a solution for business owners that were constantly getting turned down for capital. Some would say the industry has done a great job of helping small business owners, like mom-and-pop-shops, keep their doors open, while others remain a bit skeptical of online alternative lenders.
The Consumer Financial Protection Bureau (CFPB) has business lending in its sights thanks to an oft-forgotten mandate of the 2010 Dodd-Frank Act.
The agency is beginning preliminary work to implement Section 1071 of the law, which requires it to collect new data on the state of small-business lending, along with information about access to credit for women-owned and minority-owned businesses.