Byline Bancorp, Inc. (por): Análise de Pestle [Jan-2025 Atualizada]

Mergulhando no intrincado mundo de Byline Bancorp, Inc. (por), essa análise de pilões revela a complexa tapeçaria de forças que moldam o cenário estratégico do banco de Chicago. Das correntes políticas diferenciadas de Illinois às inovações tecnológicas de ponta que transformam o setor bancário, exploraremos o ambiente externo multifacetado que influencia a trajetória dessa instituição financeira. Prepare-se para descobrir os fatores críticos que impulsionam a resiliência, os desafios e o potencial de crescimento de Bancorp em um ecossistema financeiro em constante evolução.

Byline Bancorp, Inc. (por) - Análise de Pestle: Fatores Políticos

O banco de Chicago operando em Illinois Regulation Environment

Os regulamentos bancários de Illinois afetam diretamente as estratégias operacionais de Byline Bancorp. A partir do quarto trimestre 2023, o banco deve cumprir as diretrizes bancárias específicas do estado que incluem:

Aspecto regulatório	Requisitos de conformidade
Requisitos de reserva de capital	Taxa de capital mínimo de 8,5% de camada 1
Mandatos de empréstimos da comunidade	Portfólio mínimo de 15% de empréstimos para pequenas empresas
Padrões de proteção ao consumidor	Protocolos estritos de divulgação e transparência

Impactos da política bancária federal

As atuais políticas bancárias federais sob o governo Biden potencialmente influenciam as práticas de empréstimos do Bancorp. As principais considerações políticas incluem:

• Ajustes federais de taxa de juros por Federal Reserve
• Programas de incentivo de empréstimos para pequenas empresas
• Requisitos aprimorados de conformidade regulatória

Iniciativas regionais de desenvolvimento econômico

Os programas de desenvolvimento econômico do Estado de Illinois oferecem oportunidades de crescimento estratégico para o Byline Bancorp, com possíveis incentivos financeiros:

Iniciativa	Impacto financeiro potencial
Programa de Desenvolvimento de Negócios de Illinois	US $ 2,5 milhões disponíveis em subsídios
Programa de empréstimo de revitalização urbana	Alocações de empréstimo de baixo interesse até US $ 10 milhões

Conformidade da Lei de Reinvestimento Comunitário

As estratégias de envolvimento da comunidade do Byline Bancorp são moldadas pelos requisitos da Lei de Reinvestimento da Comunidade Federal, com métricas específicas:

• 2023 Investimentos de desenvolvimento comunitário: US $ 4,7 milhões
• Empréstimo de bairro de baixa renda de baixa a moderada: 22% do portfólio total
• Horário de serviço comunitário: 3.200 Horário de Voluntário de funcionários

Byline Bancorp, Inc. (por) - Análise de Pestle: Fatores Econômicos

Condições econômicas regionais em Chicago e Illinois

No quarto trimestre 2023, o PIB da área metropolitana de Chicago era de US $ 689,3 bilhões. Taxa de desemprego do estado de Illinois: 4,1%. Tamanho do mercado de empréstimos para pequenas empresas de Chicago: US $ 24,6 bilhões.

Indicador econômico	Valor	Ano
PIB de metrô de Chicago	US $ 689,3 bilhões	2023
Taxa de desemprego de Illinois	4.1%	2023
Mercado de empréstimos para pequenas empresas de Chicago	US $ 24,6 bilhões	2023

Impacto da taxa de juros

A taxa de fundos federais em janeiro de 2024: 5,33%. Margem de juros líquidos do Byline Bancorp: 3,52% no terceiro trimestre de 2023. Receita líquida de juros: US $ 56,4 milhões.

Métrica da taxa de juros	Valor	Período
Taxa de fundos federais	5.33%	Janeiro de 2024
Margem de juros líquidos	3.52%	Q3 2023
Receita de juros líquidos	US $ 56,4 milhões	Q3 2023

Mercado de empréstimos para pequenos e médias empresas

Volume de empréstimos comerciais metropolitanos de Chicago: US $ 87,2 bilhões. Portfólio de empréstimos comerciais da Byline Bancorp: US $ 2,3 bilhões a partir do terceiro trimestre de 2023.

Métrica de empréstimo comercial	Valor	Período
Volume de empréstimos comerciais de metrô de Chicago	US $ 87,2 bilhões	2023
Portfólio de empréstimos comerciais de Byline Bancorp	US $ 2,3 bilhões	Q3 2023

Impacto potencial econômico de desaceleração

Disposições de perda de empréstimos do Byline Bancorp: US $ 12,7 milhões no terceiro trimestre de 2023. empréstimos não-desempenho: US $ 45,3 milhões. TIER 1 Razão de capital: 13,2%.

Métrica de risco de crédito	Valor	Período
Disposições de perda de empréstimos	US $ 12,7 milhões	Q3 2023
Empréstimos não-desempenho	US $ 45,3 milhões	Q3 2023
Índice de capital de camada 1	13.2%	Q3 2023

Byline Bancorp, Inc. (por) - Análise de Pestle: Fatores sociais

Mudanças demográficas na área metropolitana de Chicago afetam a base de clientes e as preferências bancárias

População da Área Metropolitana de Chicago: 9.618.502 a partir de 2022. Idade mediana: 37,4 anos. Taxa de crescimento populacional: 0,1% anualmente.

Faixa etária	Percentagem	Preferência bancária
18-34 anos	23.6%	Banco digital
35-54 anos	31.2%	Bancos híbridos
55 anos ou mais	45.2%	Bancos tradicionais

Crescente demanda por serviços bancários digitais entre segmentos de clientes mais jovens

Taxa de adoção bancária móvel: 67,5% para idades de 18 a 34 anos. Uso bancário on -line: 72,3% para a geração do milênio e a geração Z.

Serviço bancário digital	Porcentagem de uso
Aplicativo bancário móvel	67.5%
Pagamento on -line	62.4%
Depósito de cheque móvel	54.7%

Foco crescente na inclusão financeira e serviços bancários orientados para a comunidade

População não bancária em Chicago: 11,2%. Fundos de reinvestimento da comunidade alocados: US $ 4,7 milhões em 2023.

Métrica de inclusão financeira	Valor
População não bancária	11.2%
Ofertas de contas de baixa renda	3 produtos especializados
Investimento comunitário	US $ 4,7 milhões

Diversidade da força de trabalho Atração de talentos no mercado de trabalho bancário competitivo

Total de funcionários: 673. Diversidade Redução: 42% do sexo feminino, 58% do sexo masculino. Representação minoritária: 35%.

Composição da força de trabalho	Percentagem
Funcionários do sexo feminino	42%
Funcionários do sexo masculino	58%
Representação minoritária	35%

Byline Bancorp, Inc. (por) - Análise de Pestle: Fatores tecnológicos

Investimento contínuo em plataformas bancárias digitais e tecnologias de aplicativos móveis

A Byline Bancorp registrou US $ 3,2 milhões em investimentos em infraestrutura tecnológica para plataformas digitais em 2023. O uso de aplicativos bancários móveis aumentou 27% ano a ano, com 62.500 usuários móveis ativos no quarto trimestre 2023.

Categoria de investimento em tecnologia	2023 Despesas	Porcentagem do orçamento total de TI
Plataformas bancárias digitais	US $ 1,8 milhão	35%
Desenvolvimento de aplicativos móveis	US $ 1,4 milhão	27%

Aprimoramentos de segurança cibernética críticos para proteger as informações financeiras do cliente

A Byline Bancorp alocou US $ 2,5 milhões à infraestrutura de segurança cibernética em 2023. Foi relatada uma grande violação de dados, com 99,98% de integridade de segurança do sistema.

Métrica de segurança cibernética	2023 desempenho
Investimento anual de segurança cibernética	US $ 2,5 milhões
Tempo de resposta a incidentes de segurança	12 minutos

Inteligência artificial e implementação de aprendizado de máquina para avaliação de riscos

Modelos de avaliação de risco orientados por IA reduziu o tempo de processamento de avaliação de crédito em 44%. Algoritmos de aprendizado de máquina analisaram 87.300 pedidos de empréstimo em 2023, melhorando a precisão da decisão em 32%.

Métrica de implementação da IA	2023 dados
Pedidos de empréstimo processados	87,300
Avaliação de risco Melhoria da precisão	32%

Computação em nuvem e análise de dados Melhorando a eficiência operacional

O investimento em infraestrutura em nuvem atingiu US $ 1,6 milhão em 2023. A velocidade de processamento de dados aumentou 56%, com 92% dos sistemas bancários críticos migraram para plataformas em nuvem.

Métrica de computação em nuvem	2023 desempenho
Investimento em infraestrutura em nuvem	US $ 1,6 milhão
Sistemas migraram para a nuvem	92%
Melhoria da velocidade de processamento de dados	56%

Byline Bancorp, Inc. (por) - Análise de Pestle: Fatores Legais

Conformidade regulatória estrita com o Federal Reserve e os regulamentos bancários do FDIC

Byline Bancorp, Inc. mantém a conformidade com os seguintes requisitos regulatórios:

Órgão regulatório	Métricas de conformidade	Requisitos específicos
Federal Reserve	Índice de adequação de capital	13,2% a partir do quarto trimestre 2023
Fdic	Requisito de capital baseado em risco	Índice de capital de nível 1 de 12,7%
Sec	Relatando conformidade	Divulgação financeira 100% oportuna

Desafios legais potenciais relacionados a práticas de empréstimos e proteção ao consumidor

Métricas de disputa legal:

Categoria	Número de casos	Total de despesas legais
Disputas de empréstimos ao consumidor	7 casos ativos em 2023	US $ 425.000 em custos legais
Investigações regulatórias	2 investigações em andamento	US $ 210.000 em despesas de conformidade

Requisitos de governança corporativa para instituições financeiras de capital aberto

Estrutura de conformidade de governança:

• Membros independentes do conselho: 7 dos 9 diretores
• Comitê de Auditoria da Diretoria Composição: 3 Especialistas Financeiros Independentes
• Custo anual de auditoria de governança corporativa: US $ 185.000

Adaptação contínua à mudança de cenário legal de serviços financeiros

Mudança regulatória	Investimento de conformidade	Linha do tempo da implementação
Dodd-Frank Atualizações da Lei	US $ 1,2 milhão	Concluído pelo terceiro trimestre de 2023
Regulamentos do Departamento de Proteção Financeira do Consumidor	$750,000	Implementação em andamento

Byline Bancorp, Inc. (por) - Análise de Pestle: Fatores Ambientais

Práticas bancárias sustentáveis ​​e iniciativas de empréstimos verdes

A Byline Bancorp registrou US $ 52,3 milhões em portfólio de empréstimos verdes a partir do quarto trimestre 2023. Os empréstimos de energia renovável aumentaram 17,4% ano a ano.

Categoria de empréstimo verde	Valor total do portfólio	Taxa de crescimento anual
Projetos de energia solar	US $ 18,7 milhões	12.6%
Financiamento de energia eólica	US $ 22,5 milhões	21.3%
Empréstimos de eficiência energética	US $ 11,1 milhões	9.8%

Estratégias de redução de pegada de carbono

O Byline Bancorp reduziu as emissões operacionais de carbono em 22,3% em 2023, direcionando a redução de 35% até 2025.

Métrica de redução de carbono	2023 desempenho	2025 Target
Emissões totais de CO2	1.247 toneladas métricas	810 toneladas métricas
Redução do consumo de energia	18.7%	30%

Avaliação de Risco Ambiental

A cobertura de avaliação de risco ambiental empréstimos atingiu 94,6% da carteira total de empréstimos em 2023.

• Triagem de risco climático implementado para 100% dos empréstimos imobiliários
• US $ 437,6 milhões em empréstimos avaliados para conformidade ambiental
• 3,2% dos empréstimos comerciais exigiam planos de remediação ambiental

Programas de responsabilidade social corporativa

A Byline Bancorp investiu US $ 2,3 milhões em programas de mitigação de riscos financeiros relacionados ao clima durante 2023.

Programa de RSE	Valor do investimento	Métrica de impacto
Treinamento de risco climático	$620,000	287 funcionários treinados
Subsídios em tecnologia verde	US $ 1,1 milhão	24 projetos de sustentabilidade local
Relatórios ambientais	$580,000	Relatórios de ESG abrangentes implementados

Byline Bancorp, Inc. (BY) - PESTLE Analysis: Social factors

You're looking at Byline Bancorp, Inc. (BY) and trying to gauge its social license to operate-how well it fits into the communities it serves. Honestly, for a regional bank, this is a huge factor. It's not just about the numbers; it's about the trust built with small businesses and local consumers, especially in a concentrated market like Chicago. My analysis shows Byline is leaning hard into its community bank identity, which is a smart move to differentiate from the national giants.

Regional Concentration

Byline Bancorp's strategy is deeply rooted in the Midwest, which is a strength but also a concentration risk. The bank operates a network of 45 branch locations primarily throughout the Chicago and Milwaukee metropolitan areas. This focus means their economic health is tightly coupled with the regional economy, but it also allows for deep, long-standing community relationships that bigger, national banks can't easily replicate.

This local presence is critical for their core business of serving small- and medium-sized businesses (SMBs) and consumers. They have approximately $9.8 billion in total assets as of September 30, 2025, and this asset base is largely deployed locally. Their visibility as a top Small Business Administration (SBA) lender nationally is a direct result of this regional focus. For the 2025 fiscal year, one ranking placed them as the 14th largest SBA lender nationally by volume, with approximately $393.1 million in total loan volume.

Workforce Recognition

A strong internal culture translates directly to better customer service and lower employee turnover, which is defintely a competitive edge in banking. Byline Bank was recognized by U.S. News & World Report as one of the 2025-2026 Best Companies to Work For, which is a significant win for talent acquisition and retention.

They earned recognition in three key categories, showing a broad commitment to employee experience. This kind of external validation matters to new hires and to the communities that want to see local employers succeed.

• Best Companies in the U.S. overall.
• Best Companies in the Midwest.
• Best in Finance and Insurance.

Diversity Metrics

In the current environment, diversity, equity, and inclusion (DEI) are non-negotiable for attracting top talent and reflecting the customer base. Byline Bancorp has made its diversity metrics public, which shows transparency. Their commitment is clear, especially when looking at the representation in the higher ranks.

Here's the quick math on their reported diversity metrics. While these figures are from their latest comprehensive report (2022 data), they set the baseline for their current performance and goals.

Metric	Percentage	Significance
Overall Workforce Diversity	73%	High representation across all roles.
Female Workforce	62%	Strong female representation overall.
Female Executive Leadership	43%	Near parity at the executive level.
Executive Leadership Diversity	64%	High diversity among top decision-makers.

Having 43% female representation in executive leadership is a strong figure for the financial sector, a place that historically struggles with gender parity at the top. This diversity at the executive level helps ensure their commercial and community banking products are relevant to a wider market.

Community Reinvestment

Community Reinvestment Act (CRA) performance is the official scorecard for a bank's social commitment. Byline Bank's most recent official CRA Performance Evaluation rated them as Satisfactory. They continue to uphold their commitment by focusing on development lending and financial literacy, which is a core mission for any successful community bank.

Their dedication to community development is evidenced by the scale of their past efforts, which included originating $333.7 million in community development loans during the most recent CRA evaluation period. This is a substantial commitment that directly supports affordable housing and economic development in low- and moderate-income (LMI) neighborhoods. Plus, their ongoing role as a top SBA lender-providing $504.6 million in 7(a) loan volume nationally in FY2024-is a powerful mechanism for small business support and job creation.

The bank's CRA Public File was updated as recently as September 9, 2025, which shows a continuous effort toward transparency and public engagement in meeting community credit needs.

Actionable Insight: Monitor for the next CRA Performance Evaluation; maintaining an Outstanding rating would significantly derisk their regulatory compliance profile and strengthen their social capital.

Byline Bancorp, Inc. (BY) - PESTLE Analysis: Technological factors

Efficiency Drive

You know that in banking, the efficiency ratio (non-interest expense as a percentage of revenue) is the clearest signal of how well a bank uses technology to manage costs. For Byline Bancorp, this is a core focus. They posted a reported efficiency ratio of 51.00% for the third quarter of 2025, which is an improvement of 161 basis points from the prior quarter.

However, the adjusted efficiency ratio-which strips out one-time items-was 50.27%. Management views operational efficiency not as a one-off cost-cutting exercise, but as a continuous source of reinvestment capital for the business, and technology is the main engine for this. They are defintely looking for new tech to push that ratio even lower, ideally into the high 40s, which is top-tier for a regional bank.

New Commercial Payments

The biggest technological opportunity for Byline Bancorp right now is their new commercial payments business. This isn't just a minor product update; it's a strategic push into high-margin, fee-based services. The bank is specifically targeting high-volume Automated Clearing House (ACH) and payroll processors, essentially becoming a sponsor bank for FinTechs and other payment companies.

They invested in hiring an experienced team of industry veterans in 2025, with a track record of managing portfolios that included over 100 FinTech clients and $2 billion in deposits at their previous firm. The focus in 2025 has been on building the necessary infrastructure and establishing strong controls, but the real payoff-the scaling of the business-is slated for 2026. That's a clear, near-term revenue driver to watch.

• Offer third-party payment processing for treasury payment flows.
• Provide issuing and deposit sponsorship for virtual card programs.
• Deliver network sponsorship banking for payment processors.

Digital Focus and Data-Driven Strategy

The bank's ongoing investment in customer-centric digital improvements is a necessity, not a luxury, to meet evolving banking preferences. This is about more than just a slick mobile app; it's about embedding finance (embedded finance) directly into the business tools their commercial clients already use.

This digital expansion is directly tied to their data-driven strategy. They are leveraging digital tools to enhance operational efficiency and inform strategic decision-making. For example, their ability to grow low-cost core deposits is heavily reliant on providing a seamless digital experience that competes with larger national banks and pure-play FinTechs. This focus is critical as the bank's total assets stand at approximately $9.8 billion as of Q3 2025, meaning they are rapidly approaching the $10 billion regulatory threshold in Q1 2026.

Here's the quick math on their Q3 2025 performance, which shows the impact of their technology-driven efficiency and growth:

Metric	Q3 2025 Value	Context/Driver
Reported Efficiency Ratio	51.00%	161 bps improvement from Q2 2025, driven by higher revenues.
Adjusted Efficiency Ratio	50.27%	Management's key measure of operational cost control.
Net Interest Income (NII)	$99.9 million	4.1% increase from Q2 2025, supported by loan growth and deposit strategy.
Total Assets	$9.8 billion	Approaching the $10 billion regulatory threshold in Q1 2026.
Non-interest Income	$15.9 million	9.5% increase from Q2 2025, showing early signs of fee-based revenue growth.

The bottom line is that technology is no longer a support function; it's a primary revenue and efficiency lever for Byline Bancorp. The success of the new commercial payments unit will be the ultimate test of their technology investment strategy in 2026.

Byline Bancorp, Inc. (BY) - PESTLE Analysis: Legal factors

You're looking at Byline Bancorp, Inc. (BY) in late 2025, and the legal landscape is clearly mapped to the bank's growth trajectory. The biggest near-term legal factor isn't a lawsuit; it's the regulatory cliff edge at the $10 billion asset mark. Management has been proactive, but the new rules will defintely impact the bottom line and capital structure. We need to focus on the numbers that drive future profitability.

Durbin Amendment Impact: Crossing the $10 billion asset threshold exposes the bank to the Durbin Amendment, potentially reducing annual interchange fee revenue by $4.5 million to $5 million.

The Durbin Amendment, part of the Dodd-Frank Act, caps the interchange fees (or swipe fees) that banks can charge for debit card transactions once they cross the $10 billion in total assets threshold. Byline Bancorp is on track to cross this critical mark in Q1 2026.

This is a clear, quantifiable revenue risk. The bank's management estimates the Durbin Amendment will reduce annual interchange fee revenue by approximately $4.5 million to $5 million. For context, the bank's ATM and interchange fees for the third quarter of 2025 were only $1.015 million. This new cap won't take full effect until 2027, giving the bank time to adjust its fee structure and product offerings, but the revenue hit is inevitable.

Capital Requirements: Future increase in regulatory compliance costs and capital requirements associated with becoming a Systemically Important Financial Institution (SIFI) lite.

Crossing the $10 billion asset line doesn't just trigger the Durbin rules; it also subjects Byline Bancorp to a host of new regulatory requirements, often called the 'SIFI lite' regime, which means higher compliance costs and a more complex operating structure. You'll see increased spending on risk management, data systems, and legal teams. Plus, the bank will face higher deposit insurance premiums from the Federal Deposit Insurance Corporation (FDIC), though this impact only begins after four consecutive quarters above the threshold.

The good news is the bank is starting from a position of strength. As of September 30, 2025, the bank's regulatory capital ratios are robust, providing a solid cushion to absorb these future costs.

Capital Metric (Q3 2025)	Ratio	Significance
Common Equity Tier 1 (CET1) Ratio	12.15%	Exceeds regulatory minimums, providing a strong buffer.
Tangible Common Equity to Tangible Assets (TCE/TA)	10.78%	Improved by 106 basis points year-over-year, showing capital build.

CRA Compliance: Maintained a 'Satisfactory' Community Reinvestment Act (CRA) rating, demonstrating compliance with lending obligations to low- and moderate-income areas.

The Community Reinvestment Act (CRA) is a key legal and social obligation for any community-focused bank. Byline Bank has maintained a 'Satisfactory' CRA rating, based on its most recent public performance evaluation dated August 15, 2022. This rating confirms the bank is meeting the credit needs of its entire community, including low- and moderate-income (LMI) neighborhoods, which is crucial for maintaining good standing with regulators and for future mergers or acquisitions.

The commitment continues, with the bank's CRA Public File updated as recently as September 9, 2025. This ongoing compliance is a non-negotiable legal factor; any downgrade could halt expansion plans.

Subordinated Debt: Completed a $75.0 million offering of subordinated debt at 6.875% in Q3 2025, managing capital structure under current regulations.

In anticipation of future regulatory capital needs and to optimize its current structure, Byline Bancorp completed a private placement of $75.0 million in subordinated debt in Q3 2025. This was a smart move to bolster its Tier 2 capital.

The key terms are clear:

• Amount: $75.0 million in aggregate principal.
• Coupon Rate: 6.875% fixed-to-floating rate.
• Completion Date: August 7, 2025.
• Purpose: The proceeds were used to redeem an equal amount of outstanding 6.00% subordinated notes due 2030, effectively refinancing the debt at a higher rate but extending the maturity to 2035.

This transaction, while increasing the interest rate, strategically manages the capital base, ensuring the bank has the necessary regulatory capital (Tier 2 capital) to support its growth and prepare for the more stringent requirements coming in 2026.

Byline Bancorp, Inc. (BY) - PESTLE Analysis: Environmental factors

ESG Reporting: Publishes an Environmental, Social, and Governance (ESG) report, signaling a formal commitment to non-financial disclosures.

Byline Bancorp, Inc. has formalized its commitment to non-financial disclosures, primarily through its annual Community Impact Report, which covers activities with an environmental, social, or economic effect. This report, which outlined the bank's 2024 calendar year activities, demonstrates a clear focus on the evolving expectations of its stockholders and customers.

The company's dedication to environmental responsibility is evident in its operational practices. For instance, Byline Bank offsets 100% of its branch electricity consumption. This isn't just a vague goal; it's a concrete action backed by the retirement of over 21.5 million kWhs of wind-generated Renewable Energy Certificates (RECs).

Here's the quick math on their environmental commitment:

Metric	Value (Based on 2024/2025 Data)	Context
Branch Electricity Offset	100%	The portion of branch electricity consumption offset by RECs.
Renewable Energy Certificates (RECs) Retired	Over 21.5 million kWhs	Wind-generated RECs retired to achieve the 100% offset.
Total Assets (Q3 2025)	Approximately $9.8 billion	The bank's size provides context for the scale of its operational commitment.

Climate Evaluation: Stated priority to evaluate the impact of climate change on the business and measure its own carbon footprint.

While the bank has not published a total Scope 1 and 2 carbon footprint number for 2025, its actions show a clear, measurable effort to reduce its environmental impact. They are defintely focused on reducing energy usage in their facilities.

This focus translates into specific facility management practices:

• Use LED lighting: Standard practice for all new lighting fixtures in branch designs.
• Install daylight sensors: Used in new branches to further reduce electricity consumption.
• Reduce HVAC consumption: Lowering electricity use from lighting also produces less heat, which cuts down on air conditioning needs.

The bank is actively investing in more sustainable practices and materials for its facilities, which is a tangible way to manage the environmental impact of its physical footprint of over 40 branch locations.

Stakeholder Focus: Integrating environmental and social factors into core business values for long-term sustainable value.

Byline Bancorp views its environmental and social priorities through the lens of its core values, which they call the 'Things That Matter.' This integration is a strategic move to build long-term sustainable value, not just for shareholders but for all stakeholders. The bank's leadership has stated a commitment to continuing this positive impact with a keen eye on the evolving expectations of customers, employees, and communities.

The bank's vision is to leave the world a better place for future generations by maintaining a sustained commitment to its stakeholders and the environment. This is a crucial element for a regional bank, as community perception and local impact are paramount to its success and deposit base. You can't be a premier community bank in Chicago without a visible commitment to sustainability.

Green Lending: The bank's large SBA lending program provides a mechanism for financing businesses that may pursue environmentally friendly projects.

The bank's position as a top U.S. Small Business Administration (SBA) lender provides a significant channel for financing green projects. Byline Bank offers competitive financing solutions specifically for high-performance commercial energy efficiency projects across the U.S.

This is a direct opportunity to influence the environmental performance of small and mid-sized enterprises (SMEs), a core customer segment. For the 2024 fiscal year, Byline Bank was ranked as a top SBA 7(a) lender nationally by dollar volume, with loans totaling $504.6 million. This volume of lending-which includes the potential for green projects-shows the scale of their financing mechanism. The types of qualified systems eligible for this energy efficiency financing include:

• Energy efficiency lighting retrofit/upgrades.
• HVAC systems and energy management controls.
• Water management equipment.

Finance: Track the percentage of SBA and equipment leasing loan volume directed toward energy efficiency projects by the end of Q4 2025.