The statistics are in: Growth of small and microbusiness
lending was positive during the first half of 2008, but it was slower than in
the previous year. This is according to the latest edition of the Office of
Advocacy’s annual study of lending to small firms: Small Business & Micro
Business Lending in the United States for Data Years 2007-2008, which gives a detailed account of small business lending overall, plus
state-by-state totals and totals for individual lenders.
The report uses the most recent Consolidated Reports of
Condition and Income (Call Report) data for June 2007 to June 2008 and Community
Reinvestment Act (CRA) data for 2007 to examine financial institutions’ small
and microbusiness lending. Small business loans in these data are
business loans
of less than $1 million and microbusiness loans are loans of less than
$100,000. The report ranks lenders on their overall small business
lending, not lending under SBA programs.
The Top 10 Large Institution Small Business Lenders
-
American Express Bank
-
Capital One Financial
Corporation
-
Regions Financial
-
Synovus Financial Corp
-
First Citizens Bancshares
Inc
-
BB&T Corporation
-
Zions Bancorporation
-
GMAC
-
Fulton
Financial Corporation
-
Compass Bank
The Top 10 Large Institution Microlenders
- American
Express Bank, FSB
- Capital
One Financial Corporation
- JPMorgan
Chase & Co.
- GMAC
- Citigroup
Inc.
- Wells
Fargo & Company
-
U.S.
Bancorp
- Bank
Of America Corporation
- Regions
Financial Corporation
- Manufacturers
& Traders TC
The study finds that for the year that ended in June 2008, the total value of small
business loans outstanding increased 4% and the value of microbusiness loans outstanding
was up 6.8%. Both rates were down from the previous one-year period, but still
in positive territory. The largest increase was in the number of microbusiness
loans (under $100,000), which were up by 15.7%, which may indicate that more
loans are being made through business credit cards. The number of mid-sized
loans ($100,000 to $1 million) fell by 23.3%.
Small businesses that are looking for loans will find the report useful because
it provides state-by-state rankings of banks and other financial institutions
on their small business lending. These rankings show who made the most
small and microloans in each of the 50 states and the District
of Columbia. “In the current financial climate, it’s especially critical for small firms to know
which banks and financial institutions have been the most likely to make small
and microbusiness loans,” said Advocacy Economist Victoria Williams, coauthor
of the study with Senior Economist Charles Ou.
The full study, including expanded
state-by-state tables, is available online at
www.sba.gov/advo/research/lending.html.
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