Small Businesses Turn to Lending Startups as Tariff Costs Mount

The article discusses how small businesses in the United States are increasingly turning to lending startups to obtain short-term loans as they grapple with the rising costs of tariffs on Chinese imports. The ongoing trade war between the US and China has resulted in the imposition of tariffs, which have significantly impacted the bottom line of many small companies that rely on imported goods. To address this challenge, these businesses are seeking alternative financing options from lending startups, which can provide them with the necessary funds to cover the additional tariff costs more quickly and efficiently than traditional banking channels. The article highlights that the demand for these short-term loans has spiked as small businesses struggle to maintain their operations and profitability in the face of the ongoing trade tensions. Overall, the article underscores the financial strain faced by small businesses due to the tariff situation and their growing reliance on innovative lending solutions to overcome these challenges.