Abrigo launches new SBA Lending Product
AUSTIN, TX (May 1, 2019) — Abrigo, the leading technology provider of compliance, credit risk, and lending solutions for community financial institutions, announced the launch of a new SBA lending (Small Business Administration-guaranteed loans) product, powered by Sageworks, to help financial institutions streamline and improve SBA lending efficiency.
SBA loans are a popular choice for entrepreneurs, start-ups, and growing businesses seeking funding for their enterprise due to low interest rates and flexible terms. Community banks approve nearly 50 percent (49.4) of SBA loans, but a major drawback for borrowers is the length of time to apply for an SBA loan. In addition to a lengthy application process, it can take, on average, 60 to 90 days from the initial application to the release of funds. Customers may spend months going back and forth with their bank trying to get the necessary paperwork and documentation together.
The Sageworks SBA 7(a) lending product streamlines underwriting by eliminating duplicative data entry through an E-Tran integration with the Sageworks API, and it allows financial institutions to decision SBA loans in the same platform as other loan or product types, reducing bottlenecks and siloed systems. Two required PDF forms for an SBA loan — Form 1919 Borrower Information Form and Form 1920 Lender’s Application for Loan Guaranty — can also be generated within the SBA lending product. Financial institutions who are already using the Sageworks solutions will be able to pull data stored within Sageworks into these documents, further decreasing the amount of manual data entry typically required for SBA loans.
“SBA lending is so important to community financial institutions, but we frequently see them get bogged down by lengthy documentation and tons of duplicative data entry,” said Abrigo President Jay Blandford. “We wanted to give these institutions a solution that could help them remain competitive in the SBA lending market, while giving them a technology that fits seamlessly within Sageworks solutions and their existing technology infrastructure.”
As more small business borrowers turn to online lenders to get money in their hands faster, the Sageworks SBA Lending product levels the playing field for community financial institutions to compete with online lenders. These institutions can maintain their advantage in favorable repayment terms and low interest rates with SBA backed loans, while also generating efficiency from the initial application all the way to E-Tran export.
Sageworks SBA Lending Product will launch on June 15, 2019. For more information, click here.
Abrigo is a leading technology provider of compliance, credit risk, lending, and asset/liability management solutions that community financial institutions use to manage risk and drive growth. Our software automates key processes – from anti-money laundering to asset/liability management to fraud detection to lending solutions – empowering our customers by addressing their Enterprise Risk Management needs. Visit www.abrigo.comto learn more. Follow Abrigo on social media using @WeAreAbrigo.