Banks for Small Business Loans

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.