Lenders need an experienced partner for PPP servicing
Servicing provider advocates for small businesses through loan servicing solutions
The future of SBA-relief lending and forgiveness is changing for the better, with PPP loan servicing providers leading the way. Lenders need a PPP servicing partner who participated in the first round of PPP origination and understands what our nation’s entrepreneurs and lenders need most right now: simple, streamlined PPP support.
Consider ACAP, a non-bank servicing partner, who offered small business borrowers and banks loan servicing as soon as the program was released. Adapting to PPP’s requirements and complexities early, ACAP’s team gained valuable experience and insight on how to improve PPP access, financing, and forgiveness. In light of data revealing discrimination in PPP lending, is it clear more needs to be done to help correct the program’s fairness.
Minority-owned businesses left out
While the program provided rapid disbursement of funds to small businesses throughout the country, unequal access to funding was staggering. Of the $525 billion in approved PPP funding, only 2% of relief money was granted to black-owned businesses. Federal Reserve data suggests that black small business owners were denied PPP loans at twice the rate of white owners. The Small Business Majority survey details this disparity further, with 23% of black-owned business PPP applications denied compared to 9% for white business owners, 13% of Latino business owners, and 9% of Asian American business owners.
Improving PPP equity through access
Lenders should recognize minority-owned small business borrowers were overlooked, and select a PPP servicing partner committed to helping resolve issues. ACAP helped banks save tens of thousands of American jobs during the first wave of PPP lending as a white-glove servicing partner. Today, the company is expanding relief-loan servicing, actively seeking partnerships, and leveraging experience to help drive equal access and program fairness as PPP moves forward.
“Helping American businesses – and the lenders who support them – should be simple and less complicated. ACAP exists to make PPP lending, servicing, and loan forgiveness better,” said David Cody, co-founder of ACAP.
Uniting borrowers and banks throughout America
PPP transformed our nation’s small business lending landscape forever. As Congress considers additional relief-funding and legislation, lenders should consider partnering with a PPP loan servicing provider who understands the specific challenges borrowers and banks face, with tools and solutions in place to make it simple and fair.
“ACAP stands ready to support banks and small business borrowers through PPP and beyond. Now is the time to act, and stand together to support our American workforce,” David Cody continued.
ACAP was created exclusively to service PPP loans and are currently servicing 30K loans totaling $4.0 billion. We are a non-bank servicing partner providing complete PPP loan servicing solutions for American small business borrowers and banks