Nonbanks are the first and second largest players in the Small Business Administration lending realm, according to a recent BAI report, "Strategies to Serve Small Businesses." The Money Store, a SBA preferred lender as well as a consumer finance lender, leads the nation with a 1995 loan volume of $457 million.
From a standing start, AT&T Capital has become one of the largest and fastest growing lenders in two and a half years, originating $180 million in loans in 1985. AT&T focuses on making the SBA complex loan process convenient and easy to access, leveraging its credit card experience, and providing simplified applications and consolidated billing. GE Capital Small Business was formed in 1995 to aggressively target small businesses for SBA loans and equipment leases. The company wants to set up more than 80 offices nationwide, and has doubled its sales force annually for the last two years. At year-end 1995, it had a $750 million loan portfolio.