What is small business lending?
Small businesses are looking for easy, rapid access to small dollar loans, lines of credit and credit cards.
Small business lending is NOT commercial real estate (CRE)
According to the SBA, 93% of small business loans are C&I loans less than $250K, while 89% are less than $100K.
Small business lending is NOT consumer or commercial lending
McKinsey calls it the “Underserved Middle”. A $75K small business loan should not be treated like a $10K consumer loan or a $5M commercial loan.
Small business is NOT small and midsize businesses (SMB)
Small and medium are not the same. There are more than 33 million small businesses in the U.S., 31 million of which have less than 10 employees.
