Erik Daniels, head of SBA lending, on helping small businesses grow

The award-winning leader draws inspiration from his grandfather’s success as an entrepreneur

During the Great Depression, Erik Daniels’ grandfather started a butcher shop and grocery store in East Los Angeles. Through grit, resilience and a deep commitment to community, he supported a family of 14 children for more than 30 years. His legacy laid the inspirational foundation for Daniels’ own journey in banking and financial services.

Today, Daniels leads Small Business Administration (SBA) lending at U.S. Bank. He oversees a team dedicated to helping small businesses like his grandfather’s access the capital they need to serve customers, hire employees and strengthen communities.

Recently, the National Association of Government Guaranteed Lenders (NAGGL), a leading trade group for SBA lenders, honored Daniels as its 2025 Executive of the Year. In this interview, he reflects on his path into SBA lending, his commitment to helping small businesses grow, and his reaction to the reward.

How did you become involved in SBA lending?
I am truly an accidental banker. After college, I was talking to one of my uncles about his career. He was a former district director at the Los Angeles District office of the SBA, had spent time at an international bank, and was working on his early-stage bank and business consulting practice. I was intrigued and took a leap of faith to go work for him. I worked for three months without a paycheck until we landed a new client. This began my career in financial services and love of SBA lending.

I worked in the consulting space with about 30 community banks and many other engagements. I learned about banks, their community impact and how SBA lending enabled and benefited small businesses. I later joined a mid-size bank, then a nonbank lender, before finding my home at U.S. Bank in 2007. It’s been a journey rooted in service, strategy and purpose.

Why is U.S. Bank committed to SBA lending?
SBA lending is one of the most effective ways to deploy capital to small businesses. The government guaranteeing SBA loans helps us mitigate risk for the bank and is a highly efficient use of capital. The SBA program also provides small businesses with significant advantages, such as lower down payments and longer repayment terms. SBA loans are also an excellent gateway to build deeper relationships with small business clients.

Our goal is to become a trusted adviser, helping small businesses with payments, deposits, business transition, wealth management and other needs. It’s about helping them grow holistically.

We are seeing strong results. In the fiscal year that ended Sept. 30, we totaled $871 million in SBA 7(a) loans, up 23% from fiscal 2024, and the sixth most among all lenders. We made more than 3,400 loans during the year, placing us fourth overall nationally. That momentum reflects the strength of our team and the trust of our clients.

How is U.S. Bank different from other SBA lenders?
One key differentiator is that we’re a portfolio lender, which means we hold our SBA loans rather than selling them to investors. That gives us the flexibility to work with our clients in a more personalized way, such as with rate structure, modifications and overall flexibility. That kind of responsiveness is a direct result of our commitment to long-term relationships. We’re not just funding businesses – we’re partnering with them.

What does winning the Executive of the Year award from NAGGL mean to you?
It’s incredibly humbling. This award reflects the dedication and excellence of the entire team at U.S. Bank. I’ve been fortunate to work alongside people who care deeply about small businesses and understand the effect they have on families, neighborhoods and local economies.

On a personal level, it’s also a tribute to my grandfather’s legacy. He built a business during one of the hardest times in American history, and that spirit of resilience has always guided me. To be honored by NAGGL, an organization that champions the very entrepreneurs we serve, is both meaningful and motivating.

But this isn’t a finish line, it’s fuel. There’s still so much work to do to expand access to capital. I’m committed to continuing that work, growing our impact and helping more small businesses write their own success stories. It feels like the job is just beginning.