The findings: U.S. Bank’s “Small Business Perspective" survey found that over half of US small-business owners are 55 or older, making succession planning increasingly critical. And 45% of small-business owners plan to pass their businesses on to their children—meaning banks would need to forge or strengthen relationships with these younger successors.

The details: A notable 62% of small-business owners have accelerated their retirement timelines in the last five years, suggesting that ownership transitions are approaching faster than anticipated. And 37% plan to sell their business in the next 12 months, signaling a rapid wave of small and medium-sized business (SMB) transitions for which banks must prepare.

Why this matters: Small businesses have prioritized personalized services when deciding where to bank—often gravitating toward smaller financial institutions (FIs). But when younger, digitally native business owners take over, their bar for digital features will likely jump significantly, especially given business owners’ complaints about lagging digital banking experiences in the last few years.