The year 2023 brought significant challenges for small- to medium-sized businesses (SMBs), with rising business bankruptcy rates and macroeconomic factors affecting their prospects. The Main Street businesses faced operational squeezes, and accessing credit became more challenging. However, this year witnessed a transformation in how financial institutions underwrite and approve loan products, driven by insights from alternative data. The use of alternative data, generated through the digitization of the SMB operating landscape, played a pivotal role in expanding access to alternative financing solutions. SMBs are utilizing digital financing solutions to meet demand for capital, with 2024 expected for growth. AI and data analytics are revolutionizing financing, enabling personalized financial solutions and reducing one-size-fits-all credit approval processes, despite 53% lacking credit access.