First Quarter of 2014 Closes on a High Note with 21% Increase in Small Business Lending Activity, Says Direct Capital Lending Index
Financing Demand for Vehicles and Restaurant Industries Show Stand-Out Strength
PORTSMOUTH, N.H.- April 9, 2014 // PRNewswire // - The first quarter of 2014 ended on an upbeat note in the small business economy as March lending activity posted 21 percent growth according to the Small Business Lending Index released by Direct Capital, a leading national small business lender.
In addition to its 21 percent gain over February, March 2014 showed a 42 percent improvement over March 2013, continuing a trend of steady improvement in the economy that stretches back to early 2012. The Lending Index is up 25 percent in the year to date as the U.S. heads into the spring and summer.
Specific segments tracked by the Lending Index are looking particularly robust in this transitional season. Auto service, commercial vehicle, computer, medical equipment and restaurant lending all increased by double digits in March.
"There have been signs since 2014 started that small businesses are gearing up for a strong spring and summer," said Direct Capital Senior Vice President Stephen Lankler. "Demand for lending has been consistently strong throughout the winter months, even though we've had really miserable weather that has kept people inside. You can draw a credible conclusion from those factors that small businesses see a lot of pent-up demand, or they wouldn't be extending themselves by borrowing."
The Direct Capital Small Business Lending Index is based on an algorithm that collects data from more than 200 sources. It documents small business spending patterns and indicates future economic activity. Direct Capital has 20 years of experience in small business financing. Since its inception, the company has lent $2.25 billion to more than 80,000 businesses across over 1,000 different industries. The company was recently named to the Inc. 500/5000 list of the fastest-growing private U.S. businesses.
About Direct Capital
Established in 1993, Direct Capital (www.directcapital.com) is a financial technology company that delivers financial solutions for small & medium sized businesses, franchisors, and equipment and technology sellers. The company is headquartered in Portsmouth, N.H. and operates offices in New York, California, and Georgia. You can follow Direct Capital on Twitter at http://twitter.com/DirectCapital or subscribe to its PointBlank blog at http://blog.directcapital.com/.
SOURCE Direct Capital
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Direct Capital Corporation
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