Who Are The Nation’s Most Committed SBA Lenders

In today’s lending environment, we hear horror stories about struggles that small business owners face in getting loans.  Despite the tough environment there are banks across the country that are doing an excellent job helping small business owners obtain loans through the Small Business Administration loan program.

MultiFunding has compiled our first annual list of  The Most Committed SBA Lenders in order to honor and recognize the banks across the country who are aggressively helping small business owners through the SBA program.  We believe that these banks deserve all of our recognition and support for assisting the economy.

The 127 lenders included in the ranking include FDIC insured banks that made a minimum of 50 SBA 7A loans in 2010.  Then, in order to rank them, their volume of approved SBA loans was divided by their deposits at the end of 2010.

MultiFunding’s Annual Ranking of Most Committed SBA Lenders

The 25 top ranked banks in MultiFunding’s ranking of Most Committed SBA lenders made $2.9 billion of SBA 7A loans in 2010, with their collective deposit base of $5.6 billion dollars.  In contrast, the 25 largest banks in the country (ranked by deposits) made $3.6 billion of SBA loans with a collective deposit base of $5.7 trillion dollars. 

The top 25 banks ranked in our study are helping small business owners in their communities live the American dream during tough economic times.  It is staggering how these banks are able to help small businesses in contrast to the largest banks in the country that are leveraging a fraction of their deposits to make SBA loans.

Methodology

While SBA loan activity is only one type of small business lending, it is the only comparative data that is publically available.  It is also a good indicator of commitment because the government guarantees these loans, making them less risky and more profitable for banks to make. The study focuses on SBA 7A loans and does not include SBA 504 loans.  SBA 7A loans are the vast majority of all loans made through the SBA program. In our study, deposit data is derived from the FDIC website www.fdic.gov.  We use yearend deposit data to mark a calendar year. SBA loan data is obtained from www.colemanpublishing.com.  All SBA data is only for the SBA 7A loan program and is based upon calendar year gross approvals. Based on the FDIC deposit data and the SBA 7A data, we have ranked the active lenders in the SBA program.    Their score is calculated by taking their SBA 7A Loans in a calendar year and dividing the gross approvals by their deposits.  The score is designed to show what percentage of their available resources they are using to lend to small businesses.  It’s also designed to even out the playing field, and show how each bank is doing comparatively, irrespective of their level of deposits.

For a ranking of all 127 institutions please click here.