Biz2Credit Small Business Lending Index™ for March 2022 Finds Approval Rates Rise Once Again
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Meanwhile, total nonfarm payroll employment rose by 431,000 in March, and the unemployment rate declined to 3.6%, according to the Jobs Report released by the U.S. Bureau of Labor Statistics on Friday, April 1. Notable job gains continued in leisure and hospitality, professional and business services, retail trade, and manufacturing. Many of these jobs are created by small businesses.
Biz2Credit analyzed loan requests from companies in business more than two years with credit scores above 680. The results are based on primary data submitted by more than 1,000 small business owners who applied for funding on Biz2Credit's platform. To view the report for March 2022.
“When the COVID-19 pandemic began in March 2020, loan approval percentages were almost double what they are today for banks and non-bank lenders,” said Biz2Credit CEO Rohit Arora, one of the nation’s leading experts in small business lending and FinTech. “Two years later, small business lending still has not fully rebounded. This is disappointing news for companies looking to grow their businesses.”
“Because of supply chain issues, small businesses are sometimes having to borrow money when inventory is available and buy more than they typically would need in order to hedge against shortages,” added Arora. “I don’t see this changing until supply chain issues ease. Big corporations can weather the storm. It is harder for SMBs.”
The Report
About Biz2Credit Small Business Lending Index™
The Biz2Credit Small Business Lending Index™ is an analysis of 1,000 monthly loan applications on the Biz2Credit website. The Index reports the loan approval rates of small business financing requests at Big Banks ($10 billion+ in assets), local and regional banks and non-bank lenders (credit unions, Community Development Financial Institutions (CDFI), micro lenders, and others).
Unlike other surveys, the results are based on primary data submitted by more than 1,000 entrepreneurs who applied for funding on Biz2Credit's online lending platform, which connects small business borrowers with sources of capital.
Results of the Biz2Credit Small Business Lending Index™ have been reported by The Wall Street Journal, Bloomberg BusinessWeek, Entrepreneur.com, Bloomberg Radio's "The Hays Advantage", SBA Radio, NY Daily News, Crain's NY Business, Michigan Banker, and other media.