Lake Michigan Financial Corp. was the third-ranking lender in Michigan for the volume of U.S. Small Business Administration-backed loans approved during the final three months of 2010.
Lake Michigan Financial is the holding company for The Bank of Northern Michigan, with offices in Petoskey and Traverse City, and The Bank of Holland in Holland.
During the October-through-December timeframe, Lake Michigan Financial lent $31 million in SBA loans, ranking it in the top 3.2 percent, or No. 55, among all banks in the United States for loan volume.
In Michigan, only Huntington Bancshares Inc. and JPMorgan Chase & Co. ranked higher in terms of loan volume for that quarter.
Lake Michigan Financial actively developed the lending team which provides Small Business Administration and U.S. Department of Agriculture loans to businesses about 18 months ago. Team members have 28 years of experience in originating and servicing government-guaranteed commercial loans.
During all of 2010, Lake Michigan Financial received SBA and USDA approval for more than $70 million in loans to businesses.
"The Bank of Northern Michigan's business resource lending group sees no letup in SBA loan activity even though SBA has reinstated fees for 2011," said Kathy Erber, senior vice president and Petoskey market manager with The Bank of Northern Michigan. "The reason we see a vigorous 2011 for SBA products is that SBA has cut the paper work, streamlined the approval process and greatly enhanced its service to the banks thereby getting more capital to credit-worthy businesses in our community."