Congrats! You are about to discover which banks are lending to small businesses. We used data provided by banks to create this ranking system. It is purely objective (there are no teacher's pets).
We hope this tool saves you time and helps you find the right banks. At the end of the day, banks are like every other retailer - they sell certain products and do certain things well.
For many small-business owners, the search for capital starts with walking into a local bank branch and discussing your financing needs. This tool is designed to help you evaluate banks in your community. When you look at the tool, you will see an estimate of the small-business loan balances held at each branch. The higher the amount, the more focused that bank is on servicing small-businesses.
To be included in the tool a bank must have at least $100,000,000 of domestic deposits and at least $25,000,000 of small-business loans on their books. Finally, the bank must file a quarterly call report with the FDIC. There are 3,169 banks that meet these criteria with 86,498 branches.
For the purposes of this tool, we use all business loans reported to the FDIC with balances between $100,000 and $1,000,000.
We exclude loans under $100,000 from the ranking. As of December 31st, 2013, the "small business loans" under $100,000 averaged just $8,559.28. When we looked at the big big banks (deposit bases over $10 billion), this figure dropped to $6,530.38. This number seemed to be on par with a credit card loan and not a small business bank loan.
We divide (1) the total dollar value of loans made by a bank between $100,000 and $1,000,000 by (2) the total amount of branches at the bank. This equation generates the Banking Rank. The median ranking as of June 30th 2014 is $8,418,598.