By Mary Wisniewski – February 3, 2012
Even online reviews can play roles in granting small businesses loans.
On Deck Capital, a technology platform that strives to get small businesses capital, began using such online data last fall to help do just that, Noah Breslow, COO, tells Bank Innovation.
“It’s still early days for us,” Breslow says.
To date, On Deck primarily uses social data for customer validation reasons. In other words, On Deck is finding “interesting ways” to indicate whether a small business actually has customers coming through its doors since it is not meeting business owners in person. By looking at social review sites like Google Places and Yelp, On Deck can help verify whether the business is actually in business, Breslow says. For example, if a company has had five reviews within the last week, it’s a good indication that the company is functioning.