Print
Banking & Finance

Live Oak Bank Tops Small Business Lending List, Again

By Audrey Elsberry, posted Nov 20, 2023
Live Oak Bank was the most active SBA 7(a) lender for the sixth year in-a-row, according to the Wilmington-based small business bank. (Photo by Audrey Elsberry)
Wilmington-based Live Oak Bank, announced Monday that it was the most active lender of SBA 7(a) loans for the sixth consecutive year, according to the U.S. Small Business Administration.
 
A 7(a) loan is the SBA’s primary business loan program. It can be used by small businesses for refinancing, acquiring or improving real estate buildings and can be short- or long-term working capital.
 
Live Oak Bank was the top lender by dollar amount during the SBA’s fiscal year, which ended Sept. 30. This means Live Oak lent the most money to small businesses through the SBA 7(a) loan program. Live Oak lent $1.8 billion, almost $50 million more than the runner-up, Huntington National Bank in Ohio, which lent $1.37 billion.
 
Live Oak approved 1,215 SBA 7(a) loans nationwide this fiscal year. The bank did not have the most loans nor the largest average loan size of the group, according to the SBA.
 
A standard 7(a) loan can range in amount from $500,001 to $5 million. Loans less than $500,000 are considered 7(a) small loans. Standard 7(a) loans typically have long repayment periods and low interest rates, according to Nerdwallet, features that have become increasingly coveted as interest rates hit historic heights this year.
 
This is possible because the SBA reimburses the lender for a portion of the loan in case the borrower defaults or cannot repay the loan, making it a less risky investment for the bank. In exchange, the SBA charges the lender a guarantee fee, which usually is passed on to the borrower. The fee is based on the size of the loan — the larger the loan, the larger the fee.
Ico insights

INSIGHTS

SPONSORS' CONTENT
Headshotrosaliecalarco 1182131047

A New Take on an Old Scam

Jasonpathfinder3

What You Need to Know About SECURE 2.0 and Its Effect on Retirement Plans

Jason Wheeler - Pathfinder Wealth Consulting
Web awstaffpic2020 1 132245438

The 2024 Luncheon for Literacy featuring Special Guest Jason Mott

Alesha Edison Westbrook - Cape Fear Literacy Council

Trending News

Wilmington Startup Gains Endorsement Through Spokesperson, Potential Investors

Audrey Elsberry - Feb 26, 2024

Rezoning Proposed For Carolina Beach Land, Including Seawitch Site

Emma Dill - Feb 26, 2024

Sullivan Promoted To Marketing Director At Thomas Construction

Staff Reports - Feb 27, 2024

Sikes Honored As Top Franchisee

Staff Reports - Feb 27, 2024

Wilmington's Venture Capital Spending Declines Sharply In 2023

Audrey Elsberry - Feb 27, 2024

In The Current Issue

INFO JUNKIE: Brooke Rudd-Gaglie

Brooke Rudd-Gaglie, vice president, director and practicing broker at Margaret Rudd & Associates Realtors, shares her tech and info picks....


Gadgets Boost Area’s Biotech

“AI is starting to weave itself into our social culture. Say you have a wearable on 24/7; you don’t even know it’s there,” said Morris Nguye...


Trouble Brewing: How A Social Media Post Bubbled Over For A Wilmington Brewery

Social media can influence which local breweries are favored among patrons and restaurants. This dynamic played out recently with an online...

Book On Business

The 2024 WilmingtonBiz: Book on Business is an annual publication showcasing the Wilmington region as a center of business.

Order Your Copy Today!


Galleries

Videos

2023 Power Breakfast: Major Developments