New Report: 93 Percent of Small Businesses Expect Growth, But 76 Percent Have Already Abandoned Traditional Banks; CredFin, Inc. Says Funding Ready™ Status Is the Key to Accessing the Right Capital at the Right Cost

The Q1 2026 Small Business Cash Flow Trend Report from OnDeck and Ocrolus Reveals Record Confidence and Record Levels of Bank Avoidance Happening at the Same Time. Here Is What It Means for Every Small Business Owner in America.

MIAMI, May 14, 2026 (GLOBE NEWSWIRE) -- The Q1 2026 Small Business Cash Flow Trend Report, published on May 1, 2026 by OnDeck and Ocrolus and drawing on responses from 651 small business owners alongside cash flow data from over 3.69 million working capital applications, has delivered findings that define the current state of small business financing in America with unusual clarity. The headline number is remarkable: 93 percent of small businesses expect moderate to significant growth in the next year, and 32 percent expect significant growth specifically, which is a survey all-time high.

But a second number in the same report tells a more complicated story. For the first time in the survey's history, cash flow has overtaken inflation as the number one concern for small business owners, cited by 31 percent of respondents. The median revenue-to-expense ratio across all industries dropped to 99.84 percent in Q1 2026, which means the average small business in America is operating at a slight monthly loss even while expressing record growth confidence. And 76 percent of small business owners report bypassing traditional banks entirely for their capital needs, which is also a survey all-time high.

CredFin, Inc., a national business credit and funding advisory firm headquartered in Miami, Florida, says these numbers together tell a story that every small business owner needs to hear: the capital is out there, the lenders exist, and the growth is real. What determines which business owners access it at the right cost and on the right terms is Funding Ready™ status.

Free Business Funding Ready™ Workshop
In response to the Q1 2026 OnDeck and Ocrolus findings, CredFin, Inc. is calling on small business owners nationwide to use this moment of record growth confidence to build the Funding Ready™ infrastructure that gives them access to capital on their own terms.

The free 60-minute Business Funding Ready™ Workshop is available as part of the company's national Fund Your Freedom initiative at Workshop.CredFin.ai.

Participation in the workshop does not constitute a guarantee of any financing outcome.

Why 76 Percent Are Bypassing Banks and What It Actually Costs Them

The shift away from traditional banks is not a new trend, but the speed and scale of it in 2026 is significant. Online and fintech lenders have grown from less than 5 percent of small business loan originations in 2015 to approximately 32 percent in 2026, according to industry data. Non-bank loan inflows among working capital borrowers reached a median monthly volume of $8,824 in Q1 2026, up 5 percent year over year, compared to $6,929 for bank inflows.

The reasons business owners bypass banks are understandable: faster decisions (the use of AI to access public data), simpler applications, and more flexible qualification criteria. But the cost differential between the best alternative lenders and the most predatory ones is enormous. A well-qualified business owner who is Funding Ready™ and matched to the right lender, whether that lender is a bank, a credit union, an SBA-approved lender, or a legitimate alternative capital provider, accesses capital at dramatically better terms than an owner who applies blindly to whatever lender will say yes.

The report also notes that among business owners who have been denied by traditional banks, many have turned to merchant cash advances, a form of financing that the SBA's March 2026 SOP 50 10 8 update specifically flagged by prohibiting MCA debt from being refinanced with SBA proceeds. MCA factor rates of 1.1 to 1.5 translate to effective annual percentage rates that can reach several hundred percent in practice. Business owners who are not Funding Ready™ often end up in this part of the market by default, not by choice.

“The OnDeck report confirms what we see every day. Business owners are confident, they need capital, and they are going wherever they can find it. But there is a massive difference between accessing capital from a lender who is right for your profile and accessing it from a lender who is simply willing to say yes. Funding Ready™ status is what gives you options. Without it, the lender chooses you instead of you choosing them.”
Ray A. Smith, Founder and CEO, CredFin, Inc.

Cash Flow as the Top Concern: What Business Owners Can Do Right Now
Cash flow topping inflation as the number one concern for small business owners is a structural signal, not just a sentiment one. The OnDeck and Ocrolus data shows payroll-to-revenue rising to 17 percent in Q1 2026, up 5 percent year over year, meaning labor costs are compressing margins at the same time that revenue growth is outpacing expense management by the thinnest possible margin. For many business owners, the answer is not cost-cutting. The answer is access to the right line of credit at the right rate, which gives them the liquidity buffer to absorb the timing gaps between expense and revenue without resorting to high-cost emergency financing.

CredFin, Inc.'s Funding Ready™ system positions business owners for exactly this kind of access. By building strong commercial credit profiles across Dun and Bradstreet, Equifax Business, and Experian Business, updating outdated public data such as Secretary of State, IRS and various other public databases, and by matching each client to the most appropriate lenders from a network of funding sources, the company helps business owners move from being reactive borrowers who take what they can get to proactive ones who access the capital market on their terms.

With 93 percent of small businesses expecting growth and 46 percent naming access to business credit as the primary factor shaping their 2026 strategy, the urgency for Funding Ready™ preparation has never been more concrete.

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements based on current expectations and assumptions. These statements involve known and unknown risks and uncertainties that could cause actual results to differ materially. Words such as "may," "expects," "positioned," "designed to," and similar expressions are intended to identify forward-looking statements. CredFin, Inc. undertakes no obligation to update or revise any forward-looking statements after the date of this release.

DISCLAIMER

CredFin, Inc. is not a lender and does not make credit decisions. The company may, in certain circumstances, introduce business owners to independent third-party financing providers. All financing decisions, terms, and approvals are made solely by those independent providers and are subject to their own underwriting criteria. Participation in the workshop and use of CredFin, Inc.'s advisory services are voluntary and may not be suitable for all businesses. Outcomes vary based on individual business circumstances, creditworthiness, lender criteria, and market conditions, and there is no assurance that any business will obtain financing as a result of participation.

ABOUT CREDFIN, INC.

CredFin, Inc. is a business credit and funding advisory firm headquartered at 1395 Brickell Ave, Ste 800, Miami, FL 33131. The company provides educational resources and advisory services designed to help small business owners understand commercial credit data and prepare for potential financing opportunities. Founded by Ray A. Smith, CredFin integrates data from three business credit bureaus (Dun and Bradstreet, Equifax Business, and Experian Business), the Secretary of State, IRS and various other public databases, to help clients identify areas of their business credit profile that may benefit from correction or improvement. CredFin, Inc. is not a lender and does not provide credit directly. It may introduce clients to independent third-party financing providers whose decisions are made subject to their own underwriting standards. For more information, visit CredFin.ai.

MEDIA CONTACT

CredFin, Inc.
1395 Brickell Ave, Ste 800
Miami, FL 33131
Email: success@credfin.ai
CredFin.ai | Workshop.CredFin.ai

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