ICBA Study: Millennials Value Community Banks, Want to Be Bosses


The Independent Community Bankers of America and the Center for Generational Kinetics released a study entitled The 2014 ICBA American Millennials and Banking Study, which found that millennials are interested in learning more about local banks, and are the most entrepreneurial generation.

Roughly 46% of the respondents reported that they are interested in learning the process of starting and running a small business.

Key survey findings:

  • Entrepreneurs who are seeking a business loan or other funding generally seek locally owned and operated banks first.
  • About 66% of the respondents say they desire for the relationship between banks and financial institutions to be more personal.
  • Approximately 41% of millennials are interested in starting their own business. This is compared to 34% of those in Generation X and 17% of Baby Boomers.
  • About 60% of millennials say they desire to start their own business within the next two years.
  • 74% of millennials say that the ability to engage in mobile banking is very important to them.
  • Younger generations tend to shy away from carrying cash. About 24% say they carry less than $5 per day with them.

“Community banks and millennials are the perfect fit for one another–both appreciate local business, and both have a strong entrepreneurial spirit,” said Chris Lorence, ICBA executive vice president and chief marketing officer, in a statement.  “Community banks provide nearly 60% of all small business loans under $1 million, so they are an excellent resource for the 46%of Millennials who are interested in starting a business.”

 


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