St. Petersburg’s BayFirst Bank Achieves Fifth Place Nationally in SBA Loan Volume

St. Petersburg Bank Ranks Fifth Nationally in SBA Loan Volume

St. Petersburg, FL – BayFirst Bank, a local financial institution, has achieved remarkable success in the realm of Small Business Administration (SBA) lending. Ranking fifth in loan volume among over 1,460 SBA lenders nationwide, BayFirst has surpassed well-known banks such as Wells Fargo and Bank of America. This achievement marks a significant milestone for the bank, showcasing its effective approach to supporting small businesses.

Strong Loan Performance

In fiscal year 2024, BayFirst issued a total of 3,187 SBA loans, with an impressive average loan size of $159,412. This resulted in a total approval amount exceeding $508 million, positioning the bank as the 11th largest SBA lender in the nation. This strong performance highlights the bank’s commitment to helping small businesses thrive, particularly in challenging economic conditions.

Innovative Solutions Driving Efficiency

The secret behind BayFirst’s success lies in its innovative lending approach and automation of processes. With a team of fewer than 20 lenders, the bank harnesses state-of-the-art technology to optimize its operations. The introduction of PowerLOS, a loan operating system launched in 2022, has been a game changer, reducing loan processing times from an average of 60-90 days to less than three weeks. This efficiency allows BayFirst to process approximately 1,000 applications each month and close about 300 of those.

Support for Small Businesses

BayFirst’s operations are particularly beneficial for small businesses, especially those operating on low-profit margins, such as restaurants. The bank’s leadership has recognized the importance of supporting these ventures, and the success of its lending program has contributed to preventing closures and fostering growth within the local economy.

Technological Investments Aim for Future Success

Further emphasizing its commitment to modernization, BayFirst’s management has prioritized technology investments. Plans are underway to expand the Power platform to include all small business and conventional commercial loans by early 2025. This initiative is expected to enhance lending services and improve accessibility for business owners.

Community Focus and Customer Service

CTO John Macaluso highlights BayFirst’s strong local connections as a key factor in delivering excellent customer service. This community-focused mindset allows the bank to understand the unique challenges faced by entrepreneurs in the St. Petersburg area and address those needs effectively.

Market Comparison and Future Growth

Notably, in 2023, nearly 30% of all SBA loan approvals were for amounts under $50,000, with over half of approvals falling under $150,000. This contrasts sharply with larger banks like Bank of America, which reported a significantly larger average loan size of $512,248. BayFirst’s targeted approach provides vital support tailored for smaller businesses.

Recognition and Reputation

BayFirst’s exemplary service has not gone unnoticed. The bank was recently recognized by Forbes as the top bank in Florida for trust, terms, financial advice, and both branch and digital services. This accolade underscores its reputation as a reliable partner for small businesses navigating the lending landscape.

Overall, BayFirst Bank’s innovative practices, community focus, and strong performance position it as a leader in SBA lending, proving that size does not always dictate success in the banking industry.