SmartBiz Loans, an SBA loan marketplace and bank-enabling technology platform, announced on Thursday it has topped $500 million in loans funded. The platform reported that this milestone comes on the back of its other recent successes, which includes the addition of a fifth bank to its software platform and ranking as the number one facilitator of traditional SBA 7(a) loans under $350,000 for the 2016 fiscal year, over Wells Fargo and other major banks according to SBA lending data released in November, reflecting its 2016 fiscal year.
“We are proud to announce this milestone, as it means that we are helping generate increased access to SBA loans for small business owners. As alternative online lenders continue to raise rates and banks struggle to make smaller loans profitably, SmartBiz is connecting banks with small business borrowers in a way that is a win-win for both sides.”
SmartBiz noted that the $500 million in funded SBA loans reflects not only continued growth for its platform but also for the entire market of bank-originated, small-sized business loans. Post-2008, banks reduced the number of smaller business loans they made because they couldn’t process them efficiently enough to make a profit. Singer added:
“The half a billion dollars represents a significant return of banks to this market.”
SmartBiz claims its technology platform is the first in the industry to automate bank originations using machine learning, intelligent automation, and big data analytics to bring agility and efficiency to underwriting and originating government-backed SBA loans. On average, about 90% of the loan applications SmartBiz refers to its SBA preferred bank partners are approved.