“An emergency Treasury facility will get funding to small businesses in a timely manner. FIN welcomes Congressional efforts to dramatically streamline Small Business Administration loans and include alternative lenders in this process as well.”
In a letter to Congress on March 19, 2020, Financial Innovation Now pressed government leaders to include FinTech sector leaders in their efforts to combat the impact of coronavirus on small businesses.
Indeed, as more reports of federal aid packages continue to circulate, the question on many peoples’ minds is how the government intends on distributing the emergency funds to the people and businesses that need them in an effective manner. Instead of waiting for an answer, members of FIN offered a solution to senior members of Congress.
In their single-page letter to Congress, Financial Innovation Now laid out the reasons why FinTech companies can provide an answer to that looming question of distribution.
Those reasons include:
- Fast & accessible working capital programs
- Immense direct deposit & underwriting capabilities
- Ability to disburse $100 billion in a matter of weeks
- Direct visibility into real-time hardship of small businesses
- and more
If this proposal were to be accepted by Congress, it could mean rapid financial relief for thousands of small businesses owners across the country who have faced difficult odds of obtaining additional funding through banks far before coronavirus ever entered the picture.
With any luck, Congress will give their answer sooner rather than later. There’s no doubt that time plays a huge role in the fate of American businesses during this period of uncertainty.