Small business owners are feeling the strain of a weakening economy and looking to their small business banking partners for help, but very few are receiving an exceptional experience. According to the J.D. Power 2022 U.S. Small Business Banking Satisfaction Study,SM released today, half of small businesses nationwide are now classified as financially unhealthy,1 and although 76% of them are interested in receiving financial advice from their bank, just 15% receive comprehensive advice.
“Small business owners are staring down an increasingly ominous set of challenges that include everything from lingering supply chain issues to inflation to a talent scarcity, and they are looking to their banks for guidance on things like available credit, tips to reduce fees and technology that can benefit their businesses,” said Paul McAdam, senior director of banking and payments intelligence at J.D. Power. “This scenario presents an enormous opportunity for banks to deliver comprehensive advice that takes into account a full understanding of the company’s business goals and shows real, committed partnership. Right now, most small business banking customers are receiving only transactional advice or are receiving no advice at all from their bank.”
Click here to read the press release, including full rankings and additional key findings from the 2022 studies.
1J.D. Power measures the financial health of a small business as a metric combining their timeliness of paying bills, cash reserve, credit worthiness and safety net items like insurance coverage. Small businesses are placed on a continuum from healthy to vulnerable.