Small Business Lending on the Rise

As of June, there were nearly $300 billion in small business loans outstanding.

October 01, 2013

NEW YORK – A recent industry group statement announced that thirteen major banks, including Bank of America, JPMorgan, and Wells Fargo, have increased small business lending by $17 billion since September 2011, Businessweek reports.

The banks’ measurements were not uniform, with each left to define “small business” and even “increase” independently, according to reporting from Bloomberg BNA.

According to FDIC data, as of June 2013, there were $297 billion in small business loans outstanding.

Three years ago, President Obama signed the Small Business Jobs Act (SBJA) into law, a collection of tax cuts, lending programs, and other measures intended to help small businesses.

As part of the SBJA, the State Small Business Credit Initiative (SSBCI), has helped 47 states provide $1.9 billion in financing to more than 4,600 small businesses through the end of 2012. That total included more than $800 million in loan subsidies and $470 million for state-supported venture capital programs. Forty-two percent of SSBCI loans and investments helped support companies in low- and moderate-income areas.

Advertisement
Advertisement
Advertisement