Funders and Lenders are Relying More on Brokers, Survey FindsSeptember 27, 2017 | By: Sean Murray
Business lending and MCA CEOs are not finding it easy to reduce their dependence on brokers, the latest Bryant Park Capital/deBanked survey results suggest. In a past survey conducted in Q4 2015, respondents indicated that an average of 46% of their business came from external sources/ISOs versus internal marketing. 44% of respondents also reported at the time that they expected the percentage of ISO business to decrease while 33% expected it would remain the same.
Nearly two years later, respondents to the latest survey reported that an average of 64% of their business now comes from ISOs/external sources, a significant increase. 62% of those surveyed said they expected that percentage to decrease.
OnDeck, who did not participate in the survey, reported last quarter that 21.1% of their loans were originated through ISOs, brokers and related parties, up from its lowest point in recent years. That accounted for 24.3% of the total dollars loaned for the period.Last modified: September 27, 2017