DB
SBA 7(a) franchise lending portfolio
Drake Bank
CRITICAL risk
- Total loans
- 16
- Loan volume
- $5.3M
- Avg loan size
- $334K
- Charge-off rate
- 22.2%
- vs 15.4% national avg
Defaults
2
Avg interest
8.47%
Franchises funded
12
Risk rating
CRITICAL
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| Quiznos | 3 | $258K | 0.0% (low risk) |
| Dry Cleaning Station | 2 | $200K | 0.0% (low risk) |
| Nautical Bowls | 2 | $597K | N/A |
| Fantastic Sam's | 1 | $150K | 100.0% (very high risk) |
| Quizno's Subs | 1 | $280K | 100.0% (very high risk) |
| Fitness Together | 1 | $80K | 0.0% (low risk) |
| Sirius Day Spa | 1 | $528K | N/A |
| Mgm Liquor | 1 | $300K | 0.0% (low risk) |
| Casa De Corazon | 1 | $1.5M | N/A |
| F45 Training | 1 | $914K | N/A |
| The UPS Store (f/k/a Mail Box | 1 | $375K | N/A |
| StarCycle | 1 | $215K | N/A |
Lending volume by year
2'05
3'06
1'07
1'09
1'12
1'13
1'19
3'24
3'25
Geographic exposure
1622.2% (very high risk)
Portfolio summary
Total funded$5.3M
Defaults2 of 16
Risk tierCRITICAL
Avg rate8.47%
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 Drake Bank originated?
- 16 loans totaling $5.3M. The portfolio carries a 22.2% 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 Drake Bank fund the most?
- The “Top franchise exposures” table above lists the brands Drake 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.