The Bancorp Bank, N.A., a wholly owned subsidiary of The Bancorp, Inc. (), has announced the next phase of its ongoing initiative to align business priorities, operating model, and resources with Apex 2030, the company's long-term strategic plan.

As part of this phase, The Bancorp is restructuring its Small Business Lending ("SBL") business line and intends to discontinue retail and wholesale new originations by the end of 2026. The company will continue to responsibly manage and serve existing SBL customers and the associated loan portfolio. The move narrows the company's lending footprint to lines it has identified as higher-value under Apex 2030, and reflects a broader pattern among mid-sized banks of exiting lower-return business lines as they reallocate capital toward payments, fintech partnerships, and technology-driven operations. Staffing adjustments were also made across several other areas of the organization as The Bancorp continues to refine workflows, expand automation and artificial intelligence, optimize costs, allocate capital with discipline, and invest in its highest-value strategic priorities.

The restructuring will eliminate 64 currently filled positions across the organization, equivalent to 9% of the enterprise-wide workforce. The company currently estimates it will incur approximately $5.6 million in charges in connection with the restructuring, consisting primarily of cash expenditures for severance payments, employee benefits, outplacement services, retention payments, and other related costs. Of these charges, $4.5 million is expected to be recognized in the third quarter.

Separately from the 64 positions eliminated under the restructuring, 16 additional positions have been, or are expected to be, vacated and not backfilled. The discontinuance of these 80 positions is expected to generate approximately $14 million in annualized run-rate savings. Combined with the reorganization of the Institutional Banking business in the fourth quarter of 2025, the company expects to generate over $20 million in annualized run-rate savings — a figure that indicates the near-term cost of the restructuring charges is expected to be recouped through ongoing savings within roughly two years, based on the company's own estimates.

"We have a clear strategic map of where The Bancorp is headed and are making these changes consistent with our fintech pipeline and growth expectations," said Damian Kozlowski, Chief Executive Officer of The Bancorp. "Advancing Apex 2030 requires us to align our people, capital and technology with the opportunities that offer the greatest potential to create durable value. By simplifying how we operate and building a more focused, technology-enabled organization, we can move faster, serve our partners more effectively and sustain strong performance over the long term. We recognize that these changes affect valued colleagues, and we are grateful for their contributions to The Bancorp."

With the restructuring announced, attention now shifts to execution: the wind-down of SBL new originations through the end of 2026, the realization of the projected run-rate savings, and how freed-up capital and technology resources are redirected toward the fintech-focused priorities the company has identified under Apex 2030.