Even though Hurricane Sandy hit New Jersey and New York more than six months ago–at the end of October last year–the areas hit the hardest are still working to fully recover. As the summer months approach, this could be costly for the businesses on the Jersey Shore that rely on this time for many of their profits.
For many of these services, one of the recovery challenges is the long timeline to receive funds through the Small Business Administration (SBA). Typically, the SBA is able to provide loans for businesses damaged by a disaster within 21 days, but for Sandy, this has been lengthened to 46 days, a Newsday article said.
Part of this delay is due to under staffing and the high volume of applications after the disaster, with so many companies in need of funds. However, while this is an understandable reasoning, for businesses trying to get back on their feet before vacation season hits in, such a time frame can keep a small business from fully recovering and could cause it to go under.
For lenders, this problem–too many applications and too few staff members–is also solvable. With application processing software, financial institutions that have an increase in applications can comfortably handle the growth, as well as provide funding to qualified borrowers. Since situations like Superstorm Sandy are often unpredictable, having the additional assistance with loan origination software can allow financial institutions to continue lending, regardless of what future weather or other disasters might bring.