In recognition of National Small Business Month this May, the Independent Community Bankers of America® (ICBA) is celebrating the critical role community banks play in supporting the nation’s small businesses—the backbone of the American economy.
Community banks fund more than 60% of small business loans, helping entrepreneurs launch, grow, and sustain their businesses. Their relationship-based approach and local market knowledge also earned them the highest net satisfaction rate among small business borrowers–far outpacing online lenders and large banks, according to the Federal Reserve’s 2025 Report on Employer Firms.
“Small businesses and community banks are a natural fit—both are deeply rooted in their communities and thrive on trust, service, and long-term relationships,” ICBA President and CEO Rebeca Romero Rainey said. “As we celebrate Small Business Month, we’re proud to recognize the commitment community banks make every day to help entrepreneurs turn ideas into lasting businesses.”
With nearly 45,000 locations nationwide, community banks are not only key small business lenders but also active partners in local growth. They work closely with small business owners to navigate everything from startup financing to expansion plans, often going beyond traditional banking to provide advice, flexibility, and community connections.
“Supporting small businesses isn’t just part of what community banks do—it’s who we are,” said Romero Rainey. “Strong small businesses mean strong communities, and no one understands that better than local banks who live and work alongside the customers they serve.”
ICBA encourages consumers to show support for small businesses this month by shopping locally and recognizing the vital role community banks play in fueling entrepreneurship and economic resilience nationwide.