Who can provide business funding for Insurance Agencies?
A traditional bank term loan or line-of-credit has always been the superior lending product for insurance agencies seeking capital. Bank lending for insurance companies has competitive rates and long terms (depending upon use). However, good credit is required, and solid financials and possibly collateral, and the process of obtaining bank financing can be lengthy. In the United States, it used to be that insurance companies didn’t sell their products directly to consumers. Instead, anyone needing to purchase insurance for personal or commercial use had no option but to get the insurance through a local or national insurance agency. Today, things are different; consumers can browse the web and purchase their insurance directly from any insurance company or brokerage. Even more, they can compare and buy insurance plans through the use of online platforms and portals. Additionally, with more Americans working from home, insurance needs have changed. These changes have put enormous financial pressures on small independent insurance agencies and brokers working hard to adjust to the transformation in how insurance coverage is being supplied. We are making a positive cash flow difference with many small to medium insurance agencies to help with their business capital needs in this ever-changing business environment.