Trust and Access to Capital 2023

OVERVIEW

Capital is the lifeblood of business. When small businesses have trust in financial institutions, they are more likely to seek out and obtain the necessary funding to grow.

With this second annual survey of who small businesses trust, we sought to better understand capital needs of small business owners and to assess confidence in their ability to meet those needs.

The survey data offers valuable insights into how we must meet the capital needs of diverse businesses—including reliance on trusted messengers, innovation in product design and delivery, and commitment to a robust marketplace of capital providers.

Top Findings

Owners are open to sharing data: More than half (58%) of respondents expressed willingness to share digital access to their financial data when applying for financing.

• Demand is high for small dollar amounts: Just over half (54%) of respondents applied for credit last year. Of these, the majority (85%) were seeking less than $250,000 and 57% wanted to borrow less than $50,000. 
  
  
• Priorities differ by race and ethnicity: Black business owners prioritized their confidence in application approval, while Latino business owners most valued swift responses. Meanwhile, both Asian American and Pacific Islander (AAPI) and white business owners rated low rates or "good pricing" as their prime criterion when deciding where to seek financing. 
  
  
• Business owners report they are most likely to turn to other business owners for counsel and guidance.