Why On Deck?

Friday, February 24, 2012 by Tom McCammon

This is the second in a series of posts from our Underwriting Operations in Virginia. Tom McCammon, our esteemed underwriter, will be discussing all things On Deck.  

Whether it's buying a new piece of equipment, launching a marketing push, hiring new staff to support sales growth, or buying additional inventory for peak season, one of the most stressful parts of being a small business owner is finding capital. Funds can be obtained for these purposes by calling a bank or leasing company, filling out a mountain of paperwork, and waiting a month or so to see if they say yes. That is, if the bank is lending money to small businesses at all. When that isn't an option, there is also digging into your savings, calling friends and family, or doing without. That is, before On Deck. 
 
At On Deck, we recognize that sometimes business growth, or mere survival, is often driven by opportunities with short timelines. Our fast, fair, credit decisions are designed with these facts in mind. That’s why we make the application process simple, providing a decision in as fast as 2 business days with the transfer of funds in as fast as 7.
 
Our short loan terms and daily payments help business owners align their income stream with their debt service payments. Unlike a standard bank loan, small business owners no longer need to worry about making large, lump sum payments at the beginning or end of the month—a time when cash can be sparse. Instead, they can make smaller payments every day, which not only eases the cash crunch, but also retires the debt faster. 
 
Some business owners are concerned that paying off debts in this fast, daily manner will negatively impact their business and cash flow due to the rapid repayment, but our underwriters are advocates, not naysayers. They evaluate every business loan application with the borrower's livelihood in mind, so that owners don't take on too much debt or repay it too quickly and end up harming their business. 
 
We believe that we don't succeed unless our clients succeed. 
0 Comments »

Introducing On Deck's Underwriting Operation

Thursday, January 19, 2012 by Tom McCammon
Team VirginiaThis is the first in a series of posts from our Underwriting Operations in Virginia. Tom McCammon, our esteemed underwriter, will be discussing all things On Deck. 

If you’ve ever received a phone call from an On Deck loan processor, underwriter, customer service rep or loan closer, you’ve probably noticed the New York City area code, 212, but we’re in Virginia! Located just a few miles from downtown Washington, DC, in Arlington, is our Virginia operations center. Every loan that On Deck evaluates comes through our office. We love our jobs and take pride in the fact that we are an essential facet in connecting Main Street businesses with the capital they need to make their business a success.

Coming from a commercial lending background before landing at On Deck as an underwriter, I’m well aware of the hurdles and setbacks that often hobble small business owners when seeking capital for their business. Banks lean heavily of personal credit scores and financial statements that several months to over a year old, which may ignore positive, recent changes to business operations, and aren’t the most reliable indicators of business’ ability to repay their debts. Further, traditional bank lending is often cumbersome, duplicative, and moves as slow as molasses in January.

This is what makes On Deck such a great development for small business lending. Using recent, pertinent financial data and our cutting edge business evaluation model, we can make smart, effective credit decisions in hours, not weeks, with funding in as little as 48 hours. Further, this efficiency and technical approach to risk management reduces our costs versus those of our competitors and allows us to pass those savings on to our customers.

A universal maxim for production and productivity is often expressed as “Good, Fast, Cheap. Pick two.” Here at On Deck, we like to think we are changing the game by offering all three to our customers, and based on the feedback we get daily from our customers and business partners, we think we’re making great strides towards it. 


0 Comments »