Banks for Small Business Loans

April 13, 2006

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Banks are highly regulated in order to minimize the government's risks from insuring the accounts of depositors. As a consequence, bank lending policies toward small businesses tend to be very conservative.

Banks can be roughly divided into these categories:

Large commercial banks are a potential source of financing for the best credit risks.
Small community banks are still the best lenders for the average small business.
Our directory of the biggest lenders for small businesses lists the best banks in each state, according to the SBA's latest report.