Credit Crunch Aside, CUs Still Ask for Collateral, Cash Flow
While credit unions continue to tout having more money to lend, some still prefer to deal with existing businesses with positive cash flows and tangible assets.
According to an Intuit small business report of 35 credit unions and other lenders, most are actively seeking to provide credit to small businesses. Still, lending standards, which are not any more rigorous now than in the past, remain high. Nearly all said they have stringent underwriting criteria for granting credit.