Bank of America 2001 Annual Report Download - page 20

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18
Small Business is a big opportunity for Bank of
America. As a national leader in Small Business
Banking, with the largest market share in the
fastest-growing states, we have major oppor-
tunities in 2002 to build on our foundation, using dis-
tribution, products and people. Continued growth
will come from helping our clients grow.
We have built a billion-dollar business in our Small
Business segment, with outstanding market penetration,
unparalleled transacting convenience and substantial
revenue and shareholder value added (SVA).
One of the keys to this success, and an important competi-
tive advantage, is our unmatched reach and convenience. We
have more than 5,000 contact points, including 4,251 banking
centers, more than 800 client managers and sales associates,
and almost 200 Merchant Card and Treasury Management sales
officers for Small Business, plus business lending centers and
call centers. In short, we can provide the easy, flexible access
to financial services that small businesses demand.
Bank of America has the deepest small-business pene-
tration of any single banking institution, across nearly every
market in our franchise. Half our client base is in the key
growth states of California and Florida, where we have the
leading market share, and Texas, where we are second. We
are also No. 1 in the Northwest, and No. 2 in the Southwest,
Midwest, Mid-Atlantic and Mid-South. Recently the U.S. Small
Business Administration (SBA) named us the top lender in
nine states and 12 key markets.
We have just under 2 million relationships with small-
business clients, which we define as businesses with annual
sales of less than $10 million. Nearly $85 billion in deposit,
credit and investment balances led to approximately $900 million
in net income and $585 million in SVA in 2001.
Our clients have convenient access and a comprehensive
and growing product mix and are served by highly motivated,
innovative people. By adding these competitive strengths to
our solid existing base, we see significant growth opportunity
for 2002 in the small-business segment.
Our strategy to realize those growth opportunities in
2002 involves a disciplined, integrated approach to attract-
ing, retaining and deepening client relationships. And we’ll
measure our success by focusing on customer satisfaction,
on associate satisfaction and on SVA.
Attracting new clients is a very important part of our
strategy. While we enjoy the leading share of the small-busi-
ness market in our franchise, our clients still represent just
one small business of every seven. Given the number of small
businesses in our franchise – more than 14 million – the
scope of this market is enormous, and represents a truly
extraordinary opportunity to grow this business segment.
>
Opportunities
>Market leader in key growth states
>Almost 2 million existing clients
>5,000 points of access, a significant
advantage in distribution and
convenience
>
Recent Achievements
>Significantly increased use of online
banking by small-business clients
>Named top SBA lender in nine states
and 12 key markets
>Contributed almost $1 billion to the
company’s earnings in 2001
>
Strategies
>Identify potential clients and offer
them compelling value packages
and service
>Improve “highly satisfied” client
scores
>Grow
“
share of wallet” from
existing clients
Serving Small Businesses >