Newtek Business Services, The Small Business Authority, Announces Its Exclusive Health Insurance Relationship with Credit Union National Association's Strategic Services Group

NEW YORK, Jan. 19, 2012 /PRNewswire/ -- Newtek Business Services, NASDAQ: NEWT, The Small Business Authority, has announced that its Newtek Insurance Agency, LLC, has been selected to be the exclusive endorsed provider for health and benefit insurance products to credit union small business members through CUNA Strategic Services (CSS).

The products include: group health, group life, group accidental death and dismemberment (AD&D), group short-term disability (STD), group long-term disability (LTD), group dental, group vision, as well as individual and family health. Newtek Insurance Agency LLC, which is licensed in all 50 states, works with more than 40 highly rated carriers to provide the best and most cost-effective health and benefits, as well as other business, insurance products.

President and CEO Barry Sloane said, "We are pleased that our eight-year relationship with CUNA Strategic Services and our performance in servicing credit union members has led to the addition of health insurance and benefits for small-business members. 

"This is probably the most important product and service offering that we will be involved with in 2012, and working with CSS as well as credit unions to solve their members' issues surrounding health insurance is an honor and a challenge.  Never before have credit union members and Americans been so challenged to protect their health and families.  We are proud to help members sort out their best choices."

Since 2003, The Small Business Authority has been a CSS strategic alliance provider for products such as small business loans, credit- and debit-card processing services, web-hosting services, connectivity, data storage, security, network infrastructure, business tax services, web-based payroll services and accounts receivable financing.  CSS is owned by Credit Union National Association (CUNA) and the state credit union leagues.

"Credit unions can meet an important need of their small business members through this new suite of health and benefits products," said Bill Cheney, President/CEO of CUNA and CUNA Strategic Services. "Our long-standing alliance with The Small Business Authority through CUNA Strategic Services provides an ideal platform for credit unions and small businesses to be successful."

The Small Business Authority is focused on providing services to small and medium-size businesses and does so primarily through alliance relationships.  As a non-depository institution, The Small Business Authority does not compete for members' accounts and instead works to preserve the relationship between each member and their credit union.  Credit unions can begin offering business services to their members quickly, with no up-front investment in additional staff or infrastructure.

About Newtek Business Services, Inc.

Newtek Business Services, The Small Business Authority, provides the following products and services:

• Electronic Payment Processing: eCommerce, electronic solutions to accept non-cash payments, including credit and debit cards, check conversion, remote deposit capture, ACH processing, and electronic gift and loyalty card programs.
• Managed Technology Solutions (Cloud Computing): Full-service web host, which offers eCommerce solutions, shared and dedicated web hosting and related services including domain registration and online shopping cart tools.
• eCommerce:  A suite of services that enable small businesses to get up and running on-line quickly and cost effectively, with integrated web design, payment processing and shopping cart services.
• Business Lending: Broad array of lending products including SBA 7(a) and SBA 504 loans through our lending subsidiary, Newtek Small Business Finance, Inc.. 
• Insurance Services: Commercial and personal lines of insurance, including health and employee benefits in all 50 states, working with over 40 insurance carriers^*.
• Web Services: Customized web design and development services.
• Data Backup, Storage and Retrieval: Fast, secure, off-site data backup, storage and retrieval designed to meet the specific regulatory and compliance needs of any business.
• Accounts Receivable Financing: Receivable purchasing and financing services.
• Payroll: Complete payroll management and processing services. 

Newtek Business Services, Inc., The Small Business Authority, is a direct distributor of a wide range of business services and financial products to the small- and medium-sized business market under the Newtek® brand. Since 1999, Newtek has helped small- and medium-sized business owners realize their potential by providing them with the essential tools needed to manage and grow their businesses and to compete effectively in today's marketplace. Newtek provides its services to over 100,000 business accounts and has positioned the Newtek® brand as a one-stop-shop provider of such business services. According to the U.S. Small Business Administration, there are over 27.5 million small businesses in the United States, which in total represent 99.7% of all employer firms.

About CUNA Strategic Services

CUNA Strategic Services Inc., owned jointly by Credit Union National Association (CUNA) and the state credit union leagues, saved credit unions more than $25 million in 2010 through its alliance programs. It provides credit unions with access to quality products, services, and technologies delivered with a competitive advantage made possible through volume pricing and strategic program development. For more information, visit cunastrategicservices.com.

Note Regarding Forward Looking Statements

Statements in this press release including statements regarding Newtek's beliefs, expectations, intentions or strategies for the future, may be "forward-looking statements" under the Private Securities Litigation Reform Act of 1995. All forward-looking statements involve a number of risks and uncertainties that could cause actual results to differ materially from the plans, intentions and expectations reflected in or suggested by the forward-looking statements. Such risks and uncertainties include, among others, intensified competition, operating problems and their impact on revenues and profit margins, anticipated future business strategies and financial performance, anticipated future number of customers, business prospects, legislative developments and similar matters. Risk factors, cautionary statements and other conditions, which could cause Newtek's actual results to differ from management's current expectations, are contained in Newtek's filings with the Securities and Exchange Commission and available through http://www.sec.gov.

^*Insurance services are provided by Newtek Insurance Agency, LLC and U.S. Small Business Loans are provided by Newtek Small Business Finance, Inc.

Rubenstein Public Relations
Telephone: (212) 843-9335
Contact: Jonathan Goldberg / [email protected]

SOURCE Newtek Business Services, Inc.