MOUNTAIN VIEW, Calif .– (BUSINESS WIRE) – May 21, 2021 –
At a QuickBooks Town Hall virtual event this week, small businesses met with leading experts to discuss the importance of access to capital to fuel the recovery for small businesses, including the opportunities and challenges for minority and women-owned businesses and how the private and public sectors can help these underserved markets.
Cedric Richmond, former congressman and senior adviser to the president and director of the White House Office of Public Engagement, and Luke Voiles, vice president and general manager of QuickBooks Capital, participated in mayoralty on May 20, 2021. It was moderated by Emmy Award-winning reporter Lisa Ling.
âThe American Jobs Plan will create a new grant program through the Minority Business Development Agency that will help small brown and black-owned manufacturers access private capital,â Richmond said during the conversation. ‘one hour. âWe want to expand access to contracts and capital assistance for small businesses. Technical assistance is important. You need access to capital to grow your business. We will provide direct support, including improving access to federal contracts and investing more than $ 110 billion in federal funding and assistance programs and targeted assistance to small businesses.
The conversation comes at a time when access to capital for small businesses of all types and sizes is imperative for financial recovery. To understand the challenges small businesses face in obtaining financing and managing inequality in access to financing, Richmond and Sails discussed the following topics with a virtual audience of small business owners:
- Where minority and women owned businesses can apply for loans and financial assistance beyond the payroll protection program
- How fintech platforms like QuickBooks uniquely meet the financial needs of small businesses
- The growing need for financial inclusion and how it is handled by the private and public sectors
- The Role of the White House Office of Public Engagement in Helping Small Businesses and Working with the SBA
- How small businesses that are generally underserved have been successful in obtaining grants or loans
According to a recent investigation From Intuit QuickBooks, in March 2021, small businesses on average made nearly three times as many funding requests as they did in the first nine months of the pandemic. Businesses owned by blacks and Hispanics were the most likely to seek financing during the pandemic, with up to 80% of loan or line of credit applications since March 2020, according to the survey.
Below are some excerpts from the event’s transcript, which have been edited slightly for length and readability. The full event can be viewed here.
On how new lending approaches like QuickBooks Capital are helping small businesses today:
Luke Voiles: âIntuit’s primary mission is to foster prosperity for our customers around the world and we want to simplify and automate the financial aspects of small businesses. Especially for businesses owned by young people, minorities or women, it is difficult to access Forty percent of the loans we have made have been to companies that have been in business for less than two years . Capital is a massive bridge and we are committed to helping our clients gain more access than they otherwise could. “
On the opportunities that alternative datasets can offer to raise capital for underserved businesses:
Luke Voiles: âFrom March to December last year, minority and female-owned businesses were proportionately more affected by the pandemic. Minority-owned businesses are also more likely to be denied loans. We believe that leveraging real-time alternative data can help small businesses access capital. “
On how real-time data can unlock new opportunities for capital:
Luke Voiles: âThere is a chicken and egg problem right now for many underserved communities just to be factored in – and that goes for consumers and small businesses. For small businesses in particular, it’s hard to know what credit score is. One thing that has QuickBooks excited about is the datasets we have that can break down these barriers. Lenders can use real-time data, with the client’s consent, to open loans to borrowers who are not yet part of the club. If small businesses open up access to datasets like these, we can use the data to help break down barriers for underserved populations. “
On measures taken by small businesses to finance their business:
Allison DeVane, Teaspressa: âYou don’t know what you don’t know when you start out. I took credit cards, I got loans. It’s hard to think that the only way to access capital is was to go on Shark Tank. I still take it day in and day out and lean on the pivot, and I’m building it brick by brick. Right now all I come across is predatory loans. “
To make an impact in the boardroom to get funding:
Dana Donofree, AnaOno: âAs women, we struggled in the boardroom. There are statistics that prove that women have difficulty facing investors. We all start businesses with the goal of solving a problem. I was called a niche business. Make sure you sell yourself first. “
About the QuickBooks Town Hall Series
Intuit QuickBooks connects customers, small business owners, and the self-employed with lawmakers, business leaders, and other experts. Today’s Virtual Town Hall, the first of 2021, was hosted by award-winning journalist Lisa Ling and featured Cedric Richmond, former congressman, senior advisor to the president and director of the House’s Office of Public Engagement. Blanche, Luke Sails from Intuit and live video questions with small business owner Allison DeVane ( Teaspressa tea ) and Dana Donofree ( AnaOno ), as well as questions submitted by other participants. Over 2,500 people registered for the event and over 600 watched it live.
QuickBooks is committed to connecting its customers, and small businesses in general, to the experts they need to be successful. This city hall is an example of this ongoing commitment.
Intuit is a global technology platform that helps our customers and communities overcome their biggest financial challenges. Serving around 100 million customers worldwide with TurboTax, QuickBooks, mint and Credit Karma, we believe that everyone should have the opportunity to prosper. We never stop working to find new, innovative ways to make this possible. Please visit us for the latest information about Intuit, our products and services, and find us on social.
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CONTACT: Jen Garcia
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SOURCE: Intuit Inc.
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PUB: 05/21/2021 8:30 a.m. / DISC: 05/21/2021 8:32 a.m.