The definition of "small business" varies a lot. You probably think of a locally owned dry cleaner or coffee shop when you hear the term "small business." I kn

The definition of "small business" varies a lot. You probably think of a locally owned dry cleaner or coffee shop when you hear the term "small business." I know that's what I think of when I hear the term. But in the context of lending, the definition of "small business" (usually lumped together with mid-sized businesses under the umbrella term "SMBs") is usually something like <$50MM in annual revenue, or <100 to <500 employees, depending on who you're talking to. They can be quite large compared to what most people think of when they hear "small business," but they're small when compared to large enterprises. This categorization speaks less to the size of the businesses themselves, and more to the scales that these banks operate on. After all, $50MM annual revenue or 500 employees seems pretty darn big to me!