A according to latest study released by the Federal Reserve. This figure was up from 8% in 2020 and 9% in 2019. For previous years, this figure had remained fairly constant at 7%. [See 2015, See 2017]. Market penetration has therefore arguably increased by around 40% since 2015.
Meanwhile, the percentage of applicants who have sought out leasing has declined over the past seven years: from 11% in 2015 to 8% in 2021. Factoring has consistently hovered around 3-4%.
Seeking loans and lines of credit has dropped significantly from 89% in 2020 to 72% in 2021. And approvals have dropped across the board. Approvals for business loans, lines of credit and MCAs peaked at 83% in 2019 and plunged to 76% in 2020, the first year of Covid. The figure has fallen further in 2021, to 68%. Online lenders and big banks had the lowest approval rates overall, at 51% and 48% respectively.
Last modification : April 18, 2022
Category: Business Lending, merchant cash advance