AF
SBA 7(a) franchise lending portfolio
Alerus Financial, National Association
GOOD risk
- Total loans
- 93
- Loan volume
- $85.7M
- Avg loan size
- $922K
- Charge-off rate
- 7.9%
- vs 15.4% national avg
Defaults
5
Avg interest
6.81%
Franchises funded
57
Risk rating
GOOD
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| Hello Sugar, Brazilian Wax and | 9 | $3.7M | N/A |
| Allstate Insurance | 7 | $2.9M | 0.0% (low risk) |
| Sylvan Learning Center | 5 | $677K | 40.0% (very high risk) |
| Americinn/Americinn Lodge & Su | 4 | $11.6M | 0.0% (low risk) |
| Subway Sandwich Shop | 3 | $3.4M | 0.0% (low risk) |
| Urban Wok | 3 | $1.1M | N/A |
| Medicap Pharmacy | 2 | $375K | 0.0% (low risk) |
| Fish Window Cleaning | 2 | $81K | 0.0% (low risk) |
| Holiday Inn Express | 2 | $10.0M | 0.0% (low risk) |
| Oil & Vinegar | 2 | $375K | 100.0% (very high risk) |
| Servpro | 2 | $589K | 0.0% (low risk) |
| OsteoStrong | 2 | $457K | 0.0% (low risk) |
| Anytime Fitness | 2 | $406K | 0.0% (low risk) |
| Perspire Sauna Studio | 2 | $707K | 0.0% (low risk) |
| Qamaria Coffee | 2 | $3.4M | N/A |
| The Flying Locksmiths / FlyLoc | 2 | $1.2M | N/A |
| Culver's ButterBurgers & Froze | 2 | $5.0M | N/A |
| Snap-On-Tools | 1 | $65K | 0.0% (low risk) |
| Computer Renaissance | 1 | $120K | 0.0% (low risk) |
| Phillips 66 | 1 | $150K | 0.0% (low risk) |
Lending volume by year
1'92
1
1
1
1
2'01
1
2
6
1
2'07
2
6
5
9
5'14
1
3
1
5
3'19
4
6
4
8
7'24
5'25
Alerus Financial, National Association charge-off rate by loan vintage
BrandNational avg
Geographic exposure
Portfolio summary
Total funded$85.7M
Defaults5 of 93
Risk tierGOOD
Avg rate6.81%
Source: SBA 7(a) FOIA loan-level data, aggregated by FranchiseVerdict
Charge-off rate = charge-offs / (charge-offs + paid-in-full). Active, exempt, and cancelled loans are excluded. Risk ratings: Excellent (<5%), Good (5-10%), Average (10-15%), Elevated (15-20%), High Risk (>20%).
Frequently asked questions
- How many SBA 7(a) franchise loans has Alerus Financial, National Association originated?
- 93 loans totaling $85.7M. The portfolio carries a 7.9% charge-off rate, earning a “GOOD” risk rating.
- What is the charge-off rate and why does it matter?
- Charge-off rate = charge-offs / (charge-offs + paid-in-full). For SBA 7(a) franchise lending, the national average runs 5–8%. Portfolios materially above that signal either riskier franchise selection or weaker underwriting.
- Where does this lending data come from?
- SBA 7(a) loan records released under the Freedom of Information Act. Each record carries approval date, amount, lender, business type, NAICS code, location, and outcome. See methodology.
- Which franchise brands does Alerus Financial, National Association fund the most?
- The “Top franchise exposures” table above lists the brands Alerus Financial, National Association has the largest concentration in. Click any brand to see its full FDD-disclosed financials, growth trajectory, and SBA loan performance across all lenders.