Small Business Creates 2/3 of new jobs!
In an address delivered Friday March 19, 2010, by Sheila C. Bair, the Chairman of the FDIC, Ms. Bair said, “Small businesses create two thirds or more of all net new jobs. And they overwhelmingly rely on credit provided by community banks.”
She went on to explain that while “overall bank lending is down” by the largest decline since 1942, “the smallest banks…actually increased their loans by more than half of one percent.”
We agree with Ms. Bair on this; community banks are essential to our economy and they ARE doing their share and more to provide credit to our small business community.
“The worst excesses”, according to Ms. Bair, “that led to the credit crisis were not generated by community banks.” Most of the subprime and nontraditional mortgages were not in the community banks.
Ms. Bair is correct that “While so many big banks keep pulling back, (Community Banks) are hanging in there doing (their) best to support the credit needs of our struggling economy. That deserves recognition in Washington, and all our thanks.”
So, I suggest you thank a community banker today in a way he/she will really understand, do your banking with them! Vote with your feet. What you deposit with them they loan out to businesses in your community which creates local jobs for your friends and relatives.
If you don’t know a good community banker, give me a call at 713-690-8877 x 211 and I will hook you up with a community banker in your area. I will call the banker personally and introduce your company.
