The Role of Technology in Second- Look Programs. Responsible Small Business Lending. Online. Fast. Smart.

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1 The Role of Technology in Second- Look Programs Responsible Small Business Lending. Online. Fast. Smart.

2 Why facilitate second looks for customers when they do not qualify with your bank?

3 When you say no, where do clients go?

4 Which ones do we not even know about? Many lenders starting to grow with no salesforce: $3B to roughly 115,000 small businesses since 2013 $3B to roughly 20,000 small businesses since 2011 $1.8B since 2014.

5 The Digital Lending Landscape Responsible Small Business Lending. Online. Fast. Smart.

6 Small Business Lending Landscape

7 Why do customers choose online loans? Two words. Online lenders can provide financing in as little as a few days Attractive solution to businesses searching for a quick turnaround But be wary of high interest and APR rates

8 What portion of the pie have online lenders captured? 23% online lenders other lending sources

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10 How Technology is Changing Referral and Second-Look Programs Responsible Small Business Lending. Online. Fast. Smart.

11 Big Data Large datasets that are analyzed to reveal patterns, trends, and associations Better decisions Strategic business moves Source: Pulse of Fintech 2015 Global Analysis of Fintech Venture Funding. KPMG, CB Insights

12 What is Fintech? Businesses that leverage new technology to create new and better financial services for both consumers and businesses Compete directly with traditional banking and financial institutions Source: Pulse of Fintech 2015 Global Analysis of Fintech Venture Funding. KPMG, CB Insights

13 Not all Fintech is the same Fintech can be broken down into the following 8 major categories: Lending Tech Payments and billing Personal Finance Money transfer and remittance Blockchain / Bitcoin Source: Pulse of Fintech 2015 Global Analysis of Fintech Venture Funding. KPMG, CB Insights Institutional / Capital Markets Crowdfunding Insurance

14 Online applications are the new norm Secure & convenient Simple to use Quick access Saves money Go green! Online Applications

15 Online Loan Testimonials OnDeck s process was very streamlined. I called them up, told them what I wanted to do, filled out some paper work, and within a couple days I had the money deposited in my bank account. I highly recommend OnDeck to any small business looking to grow. It has been very good for us my business has grown 59% since I started working with OnDeck. Companies like OnDeck are so important they help you build your business credit while removing stressful ups and downs in cash flow, which is really helpful for businesses like mine. Last year we made about 300 watches, and this year we ll make over 1,000 thanks to funding from OnDeck. Each time I took out a loan with OnDeck, the interest rate went down, and I like that I can pay a little off my loan each day. The funding helped me boost my advertising and manage my cash flow.

16 Our Second-Look and Bank Partnership Programs Responsible Small Business Lending. Online. Fast. Smart.

17 Offers loans up to $100,000 Simple online application process Funding in less than 5 days Affordable interest rates (11.9%) Up to 5 year terms EGF SmartLoan

18 SBA 7(a) & Community Advantage Loans $50,000 - $5 million loans Up to 10 year repayment terms Best used for: Working capital Purchasing equipment Acquisition/improvements of property Debt refinance

19 SBA 504 Financing $50,000 - $5.5 million loans 10 to 20 year repayment terms Competitive, fixed interest rates Best used for: Acquisition/improvement of existing real estate Acquisition of machinery/equipment Debt refinance

20 Referral Process Website: Anytime you are working with a small business client that is looking for funding, you can refer the borrower to the Excelsior Growth Fund online application. In Person: Start the pre-qualification and loan application directly on the Excelsior Growth Fund website with your client in person.

21 Contact 512 Bryan Doxford