Originally published at CUInsight.com
Although business loans are some of the most lucrative lines of business, many credit unions have invested in consumer-facing technology while largely ignoring the digital experience for business borrowers. The time has come for that to change.
It’s no secret that applying for a business loan is intimidating for many small business owners. Borrowers don’t always know how to get started or what the process requires. They stress over having all of the correct documents and taking large amounts of time away from running their business to get the capital they need.
When credit unions wanted to become a first-line option for consumer financing, the industry faced similar obstacles. As a result, the solutions implemented were centered around convenience and transparency. It became a best-practice to offer online loan applications with remote underwriting and quick decisions. These developments gave consumers the tools and confidence to approach credit unions with their financing needs.
As our industry begins to focus more efforts on effectively serving business communities, your organization must commit to enhancing the digital experience in a meaningful way. As you begin to evaluate your options consider which partners are capable of supporting your organization’s strategic growth. It may seem easier to wait on your current loan operating system to repurpose their consumer loan solution for the business market, but we have found that many of these solutions come with a high price tag and lack business-centric innovation.
Business loans provide an opportunity to significantly increase the profitability of your loan portfolio. To maximize your efforts, it’s crucial to choose established and financially sound fintech partners who specialize in business services and are dedicated to helping you reach your goals. The knowledge that your partners bring to the table will aid in retaining loyal members and continuing to strengthen your relationships within the community.
Consider shifting your mindset from surviving to thriving by partnering with service providers that view your success as their success. If your credit union would like to quickly set up a custom online business loan application portal with no hardware or software requirements visit www.Lucro.org/DBLC to learn more or contact Heather Bosenko at firstname.lastname@example.org.