CHICAGO, Sept. 26,
2024 /PRNewswire/ -- Small businesses are
overwhelmingly optimistic about their future growth, according to
the latest Small Business Cash Flow Trend Report from OnDeck,
the leading small business lending company at Enova (NYSE: ENVA)
and Ocrolus, the document AI and cash flow analytics platform for
lenders.
Key findings include:
- Optimism and Growth. A large majority of small
businesses remain optimistic about business growth opportunities
over the next 12 months.
- Payments: The use of alternative and digital payment
methods continues to grow, as 60.8% of businesses reported
accepting alternative payment methods, up from 54.5% in Q1. This
movement indicates an increasing level of interest from customers
for more flexible and convenient payment options.
- Alternative Financing: Small businesses are becoming
less reliant on traditional banks for capital – nearly 75% of small
businesses reported bypassing a traditional bank loan and instead
sought out alternative lenders as their primary funding
option.
"Small businesses remain confident in their near-term and future
growth prospects as inflation cools," said Cory Kampfer, Co-President of Small Business
Lending at OnDeck. "It's also very clear from our survey data that
small businesses are increasingly turning to digital solutions to
secure lending and facilitate payments, suggesting small business
owners are becoming less reliant on traditional financial
services."
"As more small businesses seek out alternative financing,
real-time cash flow data is integral to enable lenders to expand
their deployment of capital to a broader set of small business
borrowers across industries," said David
Snitkof, SVP of Growth at Ocrolus.
Key demographic findings include:
- 50% of accommodation and food services small businesses shared
that they plan to hire/increase their headcount over the next six
months, representing a higher percentage than any other industry
represented in the survey.
- Retail-based small businesses appeared to be the most
consistent in accepting alternative payments, as only 16% of retail
small business respondents shared that they didn't accept
alternative payments, the lowest among all industry groups.
The Q2 2024 report is based on quarterly survey responses from
413 small businesses with working capital loans from OnDeck and
cash flow data from over 2.3 million small business applications,
and provides deeper insights into the health of small businesses
across all regions.
About OnDeck®
OnDeck®, part of Enova International, is
the proven leader in transparent and responsible online lending to
small businesses. Founded in 2006, the company pioneered the use of
data analytics and digital technology to make real-time lending
decisions and deliver capital rapidly to small businesses online.
Today, OnDeck offers a wide range of term loans and lines of credit
customized for the needs of small business owners. OnDeck has
provided loans to customers in 900 different industries nationwide.
For more information, visit www.ondeck.com.
About Enova
Enova International (NYSE: ENVA) is
a leading financial services company with powerful online lending
that serves small businesses and consumers who are underserved by
traditional banks. Through its world-class analytics and machine
learning algorithms, Enova has provided more than 10.5 million
customers with over $56 billion in
loans and financing. You can learn more about the company and its
portfolio of businesses at www.enova.com.
About Ocrolus
Ocrolus is a document AI platform that
enables faster and more accurate financial decision-making. The
company analyzes documents with over 99% accuracy, regardless of
format or quality, supporting over a thousand document types,
including bank statements, pay stubs, and tax forms. Ocrolus
provides a trusted solution to detect fraud, analyze
cash flows and income, and streamline decisions for 500+ clients
across a number of use cases. Customers such as Enova, PayPal,
Brex, CrossCountry Mortgage, Plaid, and SoFi leverage Ocrolus
automation to build delightful user experiences. To learn more,
visit Ocrolus.com.
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SOURCE Enova International, Inc.
