We offer programs with Funding Circle and ApplePie Capital, leading small business lenders, to provide community banks access to a bank-friendly lending platforms. Members are able to purchase a diversified portfolio of small business loans through these platforms, without having to maintain the expensive infrastructure and processes that such lending requires. The program is designed to enable member banks, often seeking higher yields and loan portfolio diversification, to add pools of small business loans to their balance sheets.
Funding Circle is one of the largest online lenders in the United States, focused on small dollar loans with lower risk, to well-established, credit-worthy businesses. Funding Circle is a direct lender and has originated over $3.5 billion across over 20,000 businesses in the US.
ApplePie Capital is a financial solutions provider dedicated to the franchise industry. They seek to connect qualified borrowers, proven brands, and a diverse network of capital providers. ApplePie Capital offers financing for new units, remodel/refresh, existing unit purchases, recapitalizations, refinancing, and equipment financing.
Benefits of the BancAlliance Small Business Program
BancAlliance facilitates the extensive due diligence process required by the partnership and helps ensure program participants stay current on vendor management responsibilities. Our partners originate all loans and sell to participating BancAlliance members subject to a pre-approved credit box.
Based on historical performance and current economic conditions, purchased portfolios are estimated to yield between 4.5-6.0%, net of all fees and expected losses.
Benefits of BancAlliance Scale
As a member of BancAlliance, program participants benefit from the scale and size of BancAlliance as a partner. Additionally, there is opportunity for regular dialogue between program participants, allowing for the sharing of best practices and diligence.