One of the factors that has helped keep the economic recovery slow is that small businesses are still showing little growth. At the end of the first quarter of this year, banks held $585 billion in loans to small businesses - down from a peak of $711 billion in 2008, according to the Federal Deposit Insurance Corp.
Loans to businesses for smaller amounts are also on the decline. The number of loans for $1 million or less held by banks is still down about 14 percent since 2008.
Fortunately, loans to bigger businesses are showing more strength. Loans to businesses of all sizes grew to $2.48 trillion as of the end of the first quarter, which is up 9 percent since 2008. All told, loans and leases grew in the second quarter at the highest quarterly rate since the end of the financial crisis.
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