Small business owners have never had more options when it comes to financial services. From neobanks to fintech apps, competition is fierce, and expectations are high. In this crowded marketplace, what sets a financial institution apart isn’t just its rates or products—it’s about positioning your institution as a go-to source for insight and support. One increasingly powerful way to do that? Delivering real value through financial education. 

Why Small Business Education Now 

According to the U.S. Chamber of Commerce, small businesses account for 99% of all U.S. businesses, employ 46% of the American workforce, and contribute 44% of U.S. GDP. And their financial needs are growing. The small business loan market is forecast to reach $7.2 trillion by 2032, driven by increasing capital demands and a wave of new entrepreneurs entering the space.  

Despite this, many financial institutions continue to under-serve this segment—perceiving it as costly, low-margin, and high-risk. But this mindset is costing them. Small businesses are turning to agile fintechs for cash flow solutions, payroll services, and lending. Banks and credit unions that fail to evolve their thinking will continue to lose market share. The upside? Education offers a strategic path to deepen relationships, improve trust, and win in a competitive market. 

Small Business Owners Want More Than Banking 

Entrepreneurs don’t just want checking accounts or loans—they want guidance. Financial education helps institutions move beyond a transactional relationship to become a valued partner. It also meets a real need: most small business owners lack formal financial training and struggle with things like budgeting, taxes, credit, and cash flow. 

This financial literacy gap comes at a cost. Studies show that poor financial knowledge can cost small business owners over $100,000 in lost profit, while more than 80% of business failures stem from poor cash flow management. Yet only 38% have an emergency fund, and many use personal credit cards to finance business expenses. It’s clear: small businesses need support, not just services. 

Why Education Matters to Small Businesses 

Running a small business means constantly learning—about cash flow, taxes, payroll, benefits, inflation, supply chains, and more. But most business owners don’t have formal financial training. That’s where financial institutions have a unique opportunity to fill the gap. By offering financial education, banks and credit unions can deliver short, actionable learning modules that help small business customers strengthen their financial decision-making.  

Three Benefits of Providing Education to Small Business Customers 

Investing in small business financial education isn’t just good community outreach—it’s good business. Here are three key reasons: 

1. Stronger Trust and Retention: A survey by the Federal Reserve found that 64% of small businesses are more likely to bank with institutions that offer financial education. When banks show up with support and insight—especially during early stages—business owners remember. That loyalty can last for years. 

1. More Informed Borrowers and Healthier Portfolios: Small business owners with higher financial literacy are 80% more likely to have positive cash flow and experience fewer defaults. They’re also more likely to use credit wisely, qualify for loans, and manage their finances with confidence—leading to stronger loan performance and better outcomes for banks. 

1. Increased Revenue Through Cross-Selling and Upselling: Financially savvy business customers are more likely to explore services beyond basic banking. From business credit cards to payroll services, education often opens the door to deeper relationships. One example? Educating business owners on the difference between credit card debt and small business loans can lead to cost-saving transitions—and long-term relationships. 

Scalable, Strategic Financial Education 

EVERFI Achieve is designed to meet small businesses where they are, offering scalable, measurable, and personalized financial education. This mobile-first platform includes a newly released “Starting a Business” pathway that guides entrepreneurs through critical early-stage decisions—from credit readiness to cash flow and account selection. Achieve gives financial institutions a scalable way to support small businesses at every stage—from formation to expansion. By investing in education, financial institutions aren’t just helping business owners succeed, they’re helping their institution grow with them. 

Download our latest report — Small Business Financial Education: A Trillion Dollar Opportunity for Banks – to see how financial education is reshaping small business banking and why the opportunity is too big to ignore.