Small business lending from bank lenders remained positive in 2017, but a slower pace than the previous year. The research report by the Office of Advocacy examines FDIC data to find that small banks devoted larger shares of their assets to small business loans, while large banks issued a higher total volume of small business loans. The report covers all small business loans (commercial loans of $1 million or less) and is not specific to SBA-guaranteed loans. It contains detailed appendix tables with information on small business loans outstanding and loan originations for all reporting banks by state. These tables also provide state rankings of bank lenders by small business lending ratios.

Advocacy’s small business lending report examines FDIC data to determine the state of bank lending to small businesses. This report, which analyzes loan data from June 2019 to June 2020, examines the small business lending market at the beginning of the COVID-19 pandemic. Small business loans (loans below $1 million) increased by nearly 40% from 2019 to 2020, largely due to the newly enacted Paycheck Protection Program. Alongside the report, the appendix tables provide bank level detail of small business lending activity and breakdowns at the state level.

The percentage of domestic banks in the United States tightening their standards and terms for business loans in early 2023 was much higher than in the previous year. That applied to business loans for both large and middle-market firms, as well as small firms. Any figure below zero signals that over ** percent of domestic banks had looser lending standards, while figures above zero show that at least half of domestic banks had tighter standards.

Graph and download economic data for Total Business Loans and Leases Owned and Securitized by Finance Companies, Flow (DTBTXDFBANA) from Jul 1980 to May 2025 about securitized, owned, flow, finance companies, leases, companies, finance, financial, business, loans, and USA.

description: Small Business Lending in the United States, published by the SBA s Office of Advocacy annually since 1994, looks at small business lending locally and nationally using two types of data supplied by depository institutions to their respective regulating agencies Call Reports for June 2011 and Community Reinvestment Act (CRA) reports for 2010. The annual banking study includes cooperative banks in addition to existing depository institutions and gives a brief review on the institution lending patterns in 2010 and 2011. The rankings and performance of these lenders are summarized and organized by state/ territory, loan size, number of loans, and asset size of the institution. The Small Business Lending tables use the call report data to rank all lenders by state.; abstract: Small Business Lending in the United States, published by the SBA s Office of Advocacy annually since 1994, looks at small business lending locally and nationally using two types of data supplied by depository institutions to their respective regulating agencies Call Reports for June 2011 and Community Reinvestment Act (CRA) reports for 2010. The annual banking study includes cooperative banks in addition to existing depository institutions and gives a brief review on the institution lending patterns in 2010 and 2011. The rankings and performance of these lenders are summarized and organized by state/ territory, loan size, number of loans, and asset size of the institution. The Small Business Lending tables use the call report data to rank all lenders by state.

Advocacy’s small business lending report examines FDIC data to determine the state of bank lending to small businesses. Between June 2017 and June 2019, small business lending remained positive, though below the increase in lending to large businesses. This report examines all small business loans (commercial loans valued at $1 million or less) and is not specific to SBA-guaranteed loans. The data in the report provides a snapshot of the credit market before the beginning of the COVID-19 pandemic. In addition, the appendix tables provide rankings of top bank lenders by small business lending ratios. This year, detailed state tables are provided to spotlight the small business lending activity in each state.

Less than **** of applications for loans by small businesses in the United States were approved in the first quarter of 2025. The approval rate of loans to small businesses in the U.S. has remained slightly above or under the ** percent mark, except during the first years of the COVID-19 pandemic. Those figures only refer to commercial and industrial loans to non-farm small businesses.

Note: The Board of Governors has discontinued the Survey of Terms of Business Lending (STBL) and the associated E.2 release. The final STBL was conducted in May 2017, and the final E.2 was released on August 2, 2017. The STBL has been replaced by a new Small Business Lending Survey that commenced in February 2018. The new survey is being managed and administered by the Federal Reserve Bank of Kansas City. Results from this new survey can be found here.

Small Business Lending in the United States, published by the SBA’s Office of Advocacy annually since 1994, looks at small business lending locally and nationally using two types of data supplied by depository institutions to their respective regulating agencies—Call Reports and Community Reinvestment Act (CRA) reports. The annual banking study includes cooperative banks in addition to existing depository institutions and gives a brief review on the institution lending patterns. The rankings and performance of these lenders are summarized and organized by state/territory, loan size, number of loans, and asset size of the institution. The Small Business Lending tables use the call report data to rank all lenders by state.

The interest rate of business loans to small and medium enterprises (SMEs) in the United States in 2022 was lower than the average for all firms, which amounted to **** percent. However, the cost of lending money to SMEs was more expensive than to large firms between 2007 and 2019. The cost of lending decreased significantly for all types of businesses in 2020 and 2021.

This report analyses the total stock of business lending in the United Kingdom. The data is sourced from the Bank of England (BoE) in addition to estimates by IBISWorld. The figures represent the average monthly outstanding amount of pound sterling and all foreign currency loans to private non-financial corporations (PNFCs) made by monetary financial institutions during each financial year (i.e. April to March). The data is adjusted for seasonality.

The historical tables present the CSBFP statistical information on the loans and claims since April 1, 1999. Loans and claims are shown by province and territory, size of loans, asset type, industry sector, age of business, business size, type of borrower and type of operation. A summary of all financial activities per fiscal year as well as revenues and expenses are also available.

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Unsecured Business Loans Market Size 2025-2029

The unsecured business loans market size is forecast to increase by USD 4,023.4 billion, at a CAGR of 11.3% between 2024 and 2029. The market is witnessing significant growth, driven by the increasing number of Small and Medium-sized Enterprises (SMEs) seeking fintech solutions.

Major Market Trends & Insights

North America dominated the market and accounted for a 37% share in 2023.
The market is expected to grow significantly in Europe region as well over the forecast period.
Based on the End-user, the SME's segment led the market and was valued at USD 3.94 trillion of the global revenue in 2023.
Based on the Type, the short term loan segment accounted for the largest market revenue share in 2023.

Market Size & Forecast

Market Opportunities: USD 5.67 Trillion
Future Opportunities: USD 4.02 Trillion
CAGR (2024-2029): 11.3%
North America: Largest market in 2023

Industry growth expectations remain strong, with an estimated 12% annual expansion rate. Loan servicing procedures, cash flow projections, and interest rate calculations are crucial elements of the borrower-lender relationship. Due diligence processes and underwriting guidelines ensure risk mitigation strategies are effective, employing risk assessment models, fraud detection systems, and payment processing fees. Collateral requirements and loan amount limitations are factors that influence the borrower's decision to opt for term loan structures or revolving credit lines.

What will be the Size of the Unsecured Business Loans Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
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The unsecured business loan market continues to evolve, offering flexible financing solutions to businesses across diverse sectors. Eligibility criteria and the application process vary among lenders, with compliance regulations ensuring fair and transparent practices. Origination fees and loan term options are key considerations, along with prepayment penalties and late payment fees. Alternative lending options provide an avenue for businesses with less-than-perfect credit histories, while financial statement reviews and loan approval timelines influence borrower decision-making. Personal guarantees, lender requirements, and borrower credit history are essential components of the underwriting process. For instance, a small business seeking a USD100,000 loan experienced a 30% increase in sales after securing unsecured financing. The large enterprises segment is the second largest segment of the end-user and was valued at USD 1.20 trillion in 2023.

These businesses often lack the collateral required for secured loans, making unsecured loans an attractive alternative data.. Furthermore, strategic partnerships between market participants are shaping the competitive landscape, with lenders collaborating to expand their reach and offer more comprehensive financial services. However, the market faces challenges related to compliance and regulatory requirements. Stringent regulations governing the issuance and management of unsecured business loans can hinder market growth.

Ensuring full compliance with these regulations can be a complex and time-consuming process for lenders, requiring substantial resources and expertise. Navigating these challenges effectively will be crucial for companies seeking to capitalize on the opportunities presented by the growing demand for unsecured business loans.

How is this Unsecured Business Loans Industry segmented?

The unsecured business loans industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

End-user

  SMEs
  Large enterprises


Type

  Short term loan
  Medium term loan
  Long term loan


Distribution Channel

  Banks
  Non-Banking Financial Companies (NBFCs)
  Online Lenders


Purpose

  Working Capital
  Expansion
  Equipment Purchase
  Others


Geography

  North America

    US
    Canada
    Mexico


  Europe

    France
    Germany
    UK


  APAC

    China
    India
    Japan


  South America

    Brazil


  Rest of World (ROW)

By End-user Insights

The smes segment is estimated to witness significant growth during the forecast period. The segment was valued at USD 3.94 trillion in 2023. It continued to the largest segment at a CAGR of 9.23%.

Unsecured business loans have emerged as a popular online financing solution for small and medium enterprises (SMEs) in the US, providing an accessible alternative to traditional banking options. These loans enable businesses to secure funds without the need for collateral, making them an attractive choice

Loans to Private Sector in the United States increased to 2840.06 USD Billion in June from 2819.79 USD Billion in May of 2025. This dataset provides - United States Loans to Private Sector - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Luxembourg, the Netherlands, and Malta were the Eurozone countries with the lowest average interest rates on non-financial corporations as of July 2024. Meanwhile, the average business loan interest rate for the euro area was 5.06 percent. On the other side of the spectrum, Estonia and Latvia were two of the countries with the highest business loan interest rates. The interest rates on consumer loans in Eurozone countries were even more varied.

Bank Lending Conditions: Small & Medium Business: Loan Diversity data was reported at -1.020 % Point in Mar 2019. This records a decrease from the previous number of -1.000 % Point for Dec 2018. Bank Lending Conditions: Small & Medium Business: Loan Diversity data is updated quarterly, averaging -2.859 % Point from Jun 2009 (Median) to Mar 2019, with 40 observations. The data reached an all-time high of 24.528 % Point in Dec 2014 and a record low of -16.667 % Point in Mar 2010. Bank Lending Conditions: Small & Medium Business: Loan Diversity data remains active status in CEIC and is reported by The Central Bank of the Russian Federation. The data is categorized under Russia Premium Database’s Monetary and Banking Statistics – Table RU.KAC017: Bank Lending Tightness: Loans to Small & Medium Business.

The Survey of Small Business and Farm Lending (SSBFL) is currently comprised of the Survey of Terms of Bank Lending to Farmers (FR 2028B), Prime Rate Supplement of the Survey of Terms of Lending (FR 2028S), and the Small Business Lending Survey (FR 2028D). The FR 2028B collects information on farm loans made by commercial banks during a representative week. The collected data include price and nonprice terms. The respondents provide information on the stated rate of interest on the loan and the frequency with which interest is compounded, and other important loan terms, including loan size, commitment status, maturity, collateralization, the purpose of the loan and loan risk ratings. The FR 2028S, a companion report, collects institutions' prime interest rate for the days reported. The FR 2028D collects information on the availability and cost of loans to small businesses from domestically chartered commercial banks during each quarter. The survey provides unique quantitative and qualitative information on small business commercial and industrial (C&I) loans, including amounts, interest rates, terms, bank credit standards, applications and quality of applicants, and loan demand. The Survey of Terms of Business Lending (FR 2028A) has been discontinued. The final data collection for the FR 2028A was for the May 2017 survey week.

Commercial and industrial loans granted by U.S. commercial banks amounted to approximately *** trillion U.S. dollars as of April 2025. The value of that type of loans peaked in May 2020, after significantly increasing in the months leading up to that date. The total value in May 2020 reached approximately **** trillion U.S. dollars, but decreased drastically again in the following months, coming back down to similar values as those seen before that drastic peak.

Semi-annual business debt for all supplier types, by financing characteristics and by the North American Industry Classification System (NAICS), displayed in millions of dollars unless otherwise specified.

Russia Bank Lending Conditions: Small & Medium Business: Loan Interest Rate data was reported at 1.020 % Point in Mar 2019. This records a decrease from the previous number of 10.000 % Point for Dec 2018. Russia Bank Lending Conditions: Small & Medium Business: Loan Interest Rate data is updated quarterly, averaging -12.415 % Point from Jun 2009 (Median) to Mar 2019, with 40 observations. The data reached an all-time high of 74.528 % Point in Dec 2014 and a record low of -48.889 % Point in Mar 2010. Russia Bank Lending Conditions: Small & Medium Business: Loan Interest Rate data remains active status in CEIC and is reported by The Central Bank of the Russian Federation. The data is categorized under Russia Premium Database’s Monetary and Banking Statistics – Table RU.KAC017: Bank Lending Tightness: Loans to Small & Medium Business.