The presentation discusses the transition and opportunities that small business banking is witnessing - mostly with the adoption of digital methods.

1. Transition And Opportunity In
Small Business Banking

2. 3 Sectors Of Small Business Banking
Payment and Lending- The
process of lending loan and
payment has become less time
consuming with high digital
transformation.
Relationship management- The
right communication method
between small business owners
and bankers should be defined.
Product and Services information-
Lesser set of product and servicing
options available in banking sector
that needs to be broaden up.

3. Small Business Banking Sector- Opportunity vs. Innvovations
Small businesses represent a meaningful portion of overall
banking revenue pools
Revenue (fees and interest) after risk cost from U.S. credit1 and deposits, 2011
100% = $780 billion
Large corporate
24%
Small businesses2 15%
15% Personal banking
needs of small 5-10%
business owners
54% Retail individual
consumers
54%
1 Net of charge-offs
2 Defined as businesses with less than $20 million in annual revenues
Source: McKinsey Global Banking Profit Pools; U.S. Small Business Association
Opportunities in U.S Small business sector
S all Busi ess accou t
for 45-50% of total U.S
GDP and 20-30% of
bank's financial service
reve ues.
-Small Business
Administration Statistics

4. Some of the innovators of small business
banking sector:
Small Business Banking Sector- Opportunity vs. Innvovations
Contd.

5. Way towards success: 3 Transitions in Small
Business Banking

6. 1. Improve Lending Process
Making loan lending process more efficient and less risk-prone:
Making efficient use of data records.
Implementing easy-to-use applications.
Direct approval of lower risk loans and focusing more on sales and support.

7. 2. Implementing Value-based Relationship Management
Videoconferencing : The ultimate solution
Reaching to more customers remotely with reduced need of
relationship manager (RM)
Focusing on saved resources to strengthen the existing
relationship.
Right balance between customer preference and use of remote
RM is necessary.

8. 3. Extend Product And Services For Betterment
Moving towards non-core banking activities like
payroll processing, tax preparation, employee credit
cards etc. that provides a helping hand in achieving
user customizable banking services.
This method is adopted by many banks in U.S and
Europe.

9. About Us
Ace Cloud Hosting is an Intuit
authorized Premier Reseller
and commercial host for QuickBooks
software and application hosting
provider to CPAs, Bookkeepers and
SMBs.
To know more, please visit:
www.acecloudhosting.com
Or call us at: 1-855-219-0431

10. LIKE THIS DECK?
GET IN TOUCH!
Follow us for more Great Content
Also Check Out Some of Other Slideshares.....

11. REFERENCES
Digital Models For a Digital Age:
Transition & Opportunity in Small Business Banking
Images- Pixabay.com, Pexel.com