This study examines the expectations that both small business firms and bankers have regarding the bank selection process. The purpose of the study is to determine whether or not bankers understand the needs of the small business customer. It is based on a nationwide survey of 115 small business firms and 296 banks. In seven instances, statistically significant differences in expectations are noted. The results suggest a communication gap in the small business/commercial bank relationship.

JEL Codes

G21, L25, G32


Banking, Bank, Small Business, Expectations