Greg Ott, the CEO of Nav, a service that gives business owners the fastest, easiest and most trusted path to financing, sent a letter to Congressional leaders offering Nav’s support in overcoming the unprecedented challenges being experienced by small business owners and financial lenders.
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“Now that President Trump has signed the CARES Act, the government is going to need immense help to get the $367 billion of relief funding into the hands of small business owners,” said Ott. “As Nav’s purpose has always been to help business owners understand their financing options and provide the simplest path to procurement, our company is perfectly positioned to help the government and SBA lenders disburse funds to business owners as quickly as possible.”
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In the letter, Ott suggests that fintech companies like Nav are uniquely suited to help streamline the access to relief funding for small business owners, pointing to four distinct factors:
1. Underwriting needs to be nimble. — “We have seen some of our lending partners go from free-flowing capital to tightened restrictions to no fundings in a matter of days. As small businesses survive this crisis and rebuild to thrive again, approved lenders disbursing these funds need the ability to adjust underwriting requirements. It must be dynamic and flexible to fit the variety of businesses in the U.S.”
2. There is no one lender, bank or tech giant that can underwrite the diverse U.S. small business landscape. — “What a restaurant in New York City needs right now is different than what a landscape business in Mobile, Alabama needs. Multiple banks and non-bank lenders are needed. No bank or non-bank lender has built themselves to underwrite across the entire US SMB population. We recommend presenting all of those lending options through one portal to make clear the source of the funds and the confidence borrowers should have in those options.”
3. Data is more important than ever. — “Just as underwriting needs to be nimble, the real-time data to understand a small business’s financial health is even more important. Personal credit, business credit, cash flow, revenue, time in business, industry — the full picture is needed to connect SMBs to the right option. Nav sits on all of this data for our business owner customers through our unique industry partnerships with all three major business credit bureaus, and we advise them on how to manage it with our education and expertise, all for free.”
4. Small businesses need a trusted partner for the long haul. — “When the country looks back on the COVID crisis years from now, shoring up the small business ecosystem will be a pivotal moment. The stakes are high — executing here can help strong businesses bounce back better than ever, but missing the mark can have a ripple effect on the economy for years to come if business owners don’t understand how to manage these funds. Nav, along with the entire fintech ecosystem, is here to help meet the challenge.”
Since the COVID crisis began, Nav has advised tens of thousands of American business owners on their funding options and seen record numbers of loan and credit card applications through its data-driven, rules-based lending marketplace.
“Small business owners need help now more than ever, and Nav’s service and dedicated team are ready and able to be part of the solution our country needs,” shared Ott.
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