Small businesses with 20 to 499 employees are leading the chargein increasing private sector employment, according to the SBA.

These firms represented more than 50% of growth from the secondquarter of 2010 to the first quarter of 2011, which is the latestdata available, the SBA's Business Quarterly Bulletin for the thirdquarter showed.

Small businesses with fewer than 20 employees represented only12% of the employment growth over the time period tracked.Historically, this smaller size class has represented about aquarter of net employment increases, the SBA said.

Meanwhile, financing for small businesses is showing modestimprovements, according to the data. Bankers reported that smallbusiness loan demand and commercial and industrial loansoutstanding increased in all three quarters of 2011. Credit union data was not tracked.

Still, although improving, the financing environment still seemsweaker today than the official end of the downturn in mid-2009,according to the SBA. While sales have been up recently, smallbusinesses may have long-term concerns about future sales.

“A double whammy of a graying population and the increasingpersonal savings rate returning to early-1990s levels, a directionit has taken in recent years, could lead to relatively lower salesover the next 10 years and beyond,” the agency reported.