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SBA 7(a) franchise lending portfolio
Commencement Bank
AVERAGE risk
- Total loans
- 21
- Loan volume
- $7.6M
- Avg loan size
- $364K
- Default rate
- 12.5%
- vs 15.4% national avg
Defaults
2
Avg interest
6.10%
Franchises funded
5
Risk rating
AVERAGE
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| Subway | 10 | $3.6M | 14.3% |
| Subway Sandwich Shop | 8 | $2.6M | 14.3% |
| Dairy Queen Grill & Chill/Texa | 1 | $289K | 0.0% |
| Great Clips | 1 | $147K | 0.0% |
| Big Chicken | 1 | $988K | — |
Lending volume by year
1'12
9'13
7'14
2'15
1'16
1'23
Geographic exposure
2112.5%
Portfolio summary
Total funded$7.6M
Defaults2 of 21
Risk tierAVERAGE
Avg rate6.10%
Source: SBA 7(a) FOIA loan-level data, aggregated by FranchiseVerdict
Default 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%), Critical (>20%).