AB
SBA 7(a) franchise lending portfolio
American Bank
CRITICAL risk
- Total loans
- 22
- Loan volume
- $31.5M
- Avg loan size
- $1.4M
- Charge-off rate
- 50.0%
- vs 15.4% national avg
Defaults
2
Avg interest
8.74%
Franchises funded
16
Risk rating
CRITICAL
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| Planet Beach | 2 | $125K | 100.0% (very high risk) |
| Extended Stay America Suites f | 2 | $2.6M | N/A |
| Best Choice Roofing | 2 | $394K | N/A |
| Sonesta Simply Suites | 2 | $10.0M | N/A |
| Sonesta ES Suites | 2 | $10.0M | N/A |
| T-Swirl Crepe | 2 | $649K | N/A |
| Coast-To-Coast Store | 1 | $150K | 0.0% (low risk) |
| Aaron's Sales & Lease Ownershi | 1 | $200K | 0.0% (low risk) |
| Johnny's Pizza House | 1 | $241K | N/A |
| Luv 2 Play | 1 | $813K | N/A |
| Blue Kangaroo Packoutz | 1 | $75K | N/A |
| RE/MAX Southwest Region | 1 | $68K | N/A |
| Monster Mini Golf | 1 | $5.0M | N/A |
| Zivel | 1 | $352K | N/A |
| Insulation Commandos | 1 | $150K | N/A |
| Dickey's Barbecue Pit | 1 | $700K | N/A |
Lending volume by year
1'93
1'12
3'21
1'22
2'23
6'24
4'25
4'26
Geographic exposure
13100.0% (very high risk)
3N/A
2N/A
20.0% (low risk)
1N/A
10.0% (low risk)
Portfolio summary
Total funded$31.5M
Defaults2 of 22
Risk tierCRITICAL
Avg rate8.74%
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 American Bank originated?
- 22 loans totaling $31.5M. The portfolio carries a 50.0% charge-off rate, earning a “CRITICAL” 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 American Bank fund the most?
- The “Top franchise exposures” table above lists the brands American Bank has the largest concentration in. Click any brand to see its full FDD-disclosed financials, growth trajectory, and SBA loan performance across all lenders.