Indiana banks expect small business lending to surge in 2011

4/29/2011

Some financial institutions based out of Indiana are anticipating a surge in small business lending this year, the Indiana Business Journal reports.

To better prepare for this, many began amping up their small business departments over the course of last year. For example, Chase and Fifth Third Bank revamped their small business sections to better handle requests.

Even banks that suffered declines in small business lending last year, such as Old National Bank, are eagerly anticipating an increase in loan activity among smaller companies.

"A lot of people were sitting on the sidelines, waiting to jump back into the game," Tim Oliver, head of Chase's business banking in Indiana, told the source. "I think people are much more confident today than they were back in that 2009 time frame. They're seeing a lot more positive signs that things are really starting to recover."

Small business owners should spend their loan money in the way that best benefits their company. For example, if sales are lagging, they should spend more on advertising.