MountainSeed Partners with Kabbage to Help Small Businesses Access $800 Million in PPP Funding
Partnership has already successfully processed, approved and funded nearly 20,000 PPP applications through 135 community banks and credit unions in non-urban areas.
MountainSeed, a nationwide real estate services provider for banks and credit unions, has formed a partnership with Kabbage, an automated Paycheck Protection Program (PPP) lender, to give community bank and credit union clients timely access to PPP loans for their small business customers in non-urban areas.
Because of complications with the PPP and its confusing application process, many of America’s smallest businesses and banks were overlooked and not prioritized for funding relief to help them through the COVID-19 pandemic. By teaming up with Kabbage, the fourth largest PPP lender in the U.S. by application volume, MountainSeed has positioned itself as a resource to fill the gap for more than 135 of the company’s community bank and credit union clients.
A data and technology company providing small business cash flow solutions, Kabbage has used its automated lending platform to successfully process and fund $800 million for nearly 20,000 small businesses on behalf of banks and credit unions. So far, 80 percent of the loans that have resulted from the partnership with MountainSeed have been made in non-urban areas, with an average loan size of $40,000. That amounts to over 115,000 paychecks for employees in financially fragile communities and industries.
“Our partnership with Kabbage is an example of how powerful fintech collaborations can result in a meaningful, positive impact for underserved U.S. businesses,” said MountainSeed CEO Carl Streck. “We owe our entire business to the invaluable partnerships we have with community banks and credit unions. When we saw we could help them with the PPP through a partnership with Kabbage, we jumped at the chance. While the PPP process was a rocky road for all involved, we are thrilled that many of our clients are now able to serve more businesses in their communities. That is truly a win-win for everyone, but most importantly for the small businesses that needed these funds.”
“Thanks to MountainSeed, we’re proud to have formed over 135 partnerships with local banks in a matter of days, which under normal circumstances would typically demand months or years of planning,” said Kabbage CEO Rob Frohwein. “I’m honored that so many credit unions and community banks placed their trust in us, and it is because of their leadership and quick action that hundreds of millions of dollars are flowing back to the businesses for which this program was designed to serve.”
MountainSeed is a nationwide real estate service provider and trusted partner of nearly 10 percent of all U.S. community banks and credit unions in all 50 states. Through its service lines of commercial appraisal management, tax appeal, debt brokerage and whole loan trading, MountainSeed provides services for approximately $5 billion in commercial property transactions each month. For more information, visit www.MountainSeed.com.
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