Small Businesses and the Federal Reserve
Issues affecting small firms are a priority for the Federal Reserve System. Not only are small businesses critical to the strength of local economies, but collectively they also make important contributions to national economic growth and employment. The Federal Reserve works with intermediaries to support small businesses and microenterprises, especially those in low- and moderate-income communities. Our efforts aim to strengthen collaboration across entities that provide assistance and funding to small businesses as well as support improved access to credit. In addition, we strive to foster a deeper understanding of trends and challenges facing small business owners.
Here at the Cleveland Fed, our work on these issues includes research on small business credit and capital, a regional survey of small business owners, and ongoing outreach with small business owners, bankers, and community leaders.
Learn more by browsing the resources here. You can find additional Federal Reserve System resources on small businesses at www.fedsmallbusiness.org/.
The Small Business Credit Survey shows continued revenue and employment growth at small businesses in 2018. But amid these gains, 73% firms also reported increases in input costs, which impacted their profitability. While credit demand increased marginally in 2018, the share of firms receiving credit remained essentially flat—with shortfalls highest among startups and firms with high credit risk. Find out more about financing and employment conditions at small firms by downloading the report. Read more
Credit and Capital
- Click, Submit: New Insights on Online Lender Applicants from the Small Business Credit Survey
- Browsing to Borrow: “Mom & Pop” Small Business Perspectives on Online Lenders
- Alternative Lending through the Eyes of "Mom-and-Pop" Small-Business Owners
Small Business Lenders
- Is “Fintech” Good for Small Business Borrowers? Impacts on Firm Growth and Customer Satisfaction
- Small Business Alternative Lenders
- Rebuilding after Disaster Strikes: How Local Lenders Aid in the Recovery