HB
SBA 7(a) franchise lending portfolio
Heritage Bank
Risk rating: Good
- Total loans
- 226
- Loan volume
- $75.9M
- Avg loan size
- $336K
- Charge-off rate
- 6.4%
- vs 16.0% national
Charged off
13
Avg interest
6.19%
Franchises funded
95
Risk rating
Good
Top franchise exposures
| Franchise | Loans | Volume | Charge-off % |
|---|---|---|---|
| Subway Sandwich Shop | 69 | $11.0M | 1.4% (excellent) |
| Taco Del Mar | 12 | $1.9M | 16.7% (elevated) |
| Dairy Queen | 11 | $3.6M | 18.2% (elevated) |
| Baskin-Robbins 31 Ice Cream | 8 | $742K | N/A |
| Arco (gas Station) | 4 | $1.3M | N/A |
| Black Bear Diners | 4 | $3.5M | N/A |
| Coldwell Banker Commercial | 4 | $814K | N/A |
| Fantastic Sam's | 3 | $167K | N/A |
| Quiznos | 3 | $500K | N/A |
| Paul Davis Restoration | 3 | $278K | N/A |
| Massage Envy | 3 | $722K | N/A |
| Comfort Inn | 2 | $4.6M | N/A |
| Toshi's Teriyaki | 2 | $128K | N/A |
| Holiday Inn Express | 2 | $1.9M | N/A |
| Hobbytown Usa | 2 | $105K | N/A |
| Econo Lodge Motel | 2 | $2.7M | N/A |
| Cold Stone Creamery, Inc. | 2 | $404K | N/A |
| Minuteman Press | 2 | $280K | N/A |
| Blimpie | 2 | $180K | N/A |
Lending volume by year
Show the numbers by year
| Fiscal year | Loans |
|---|---|
| FY1992 | 1 |
| FY1993 | 2 |
| FY1994 | 5 |
| FY1995 | 9 |
| FY1996 | 20 |
| FY1997 | 4 |
| FY1998 | 6 |
| FY1999 | 6 |
| FY2000 | 15 |
| FY2001 | 10 |
| FY2002 | 10 |
| FY2003 | 13 |
| FY2004 | 16 |
| FY2005 | 6 |
| FY2006 | 8 |
| FY2007 | 9 |
| FY2008 | 9 |
| FY2009 | 4 |
| FY2010 | 4 |
| FY2011 | 1 |
| FY2012 | 1 |
| FY2013 | 6 |
| FY2014 | 13 |
| FY2015 | 9 |
| FY2016 | 7 |
| FY2017 | 6 |
| FY2018 | 1 |
| FY2019 | 5 |
| FY2020 | 2 |
| FY2021 | 2 |
| FY2022 | 3 |
| FY2023 | 4 |
| FY2024 | 4 |
| FY2025 | 4 |
| FY2026 | 1 |
SBA 7(a) · charge-off rate by approval year
Heritage Bank: below all franchise loans in each of the 7 rated years
Hollow rings on the axis: years with fewer than 10 resolved loans, not rated (too few to judge). Their numbers are in the table.
Show the numbers by year
| Year | Resolved | Charged off | Rate |
|---|---|---|---|
| 1994 | 5 | 0 | Too few |
| 1995 | 9 | 0 | Too few |
| 1996 | 20 | 1 | 5.0% |
| 1997 | 4 | 1 | Too few |
| 1998 | 6 | 0 | Too few |
| 1999 | 6 | 2 | Too few |
| 2000 | 15 | 1 | 6.7% |
| 2001 | 10 | 1 | 10.0% |
| 2002 | 10 | 0 | 0.0% |
| 2003 | 13 | 0 | 0.0% |
| 2004 | 16 | 1 | 6.2% |
| 2005 | 6 | 0 | Too few |
| 2006 | 8 | 0 | Too few |
| 2007 | 9 | 1 | Too few |
| 2008 | 9 | 4 | Too few |
| 2009 | 4 | 0 | Too few |
| 2010 | 4 | 0 | Too few |
| 2013 | 6 | 0 | Too few |
| 2014 | 13 | 0 | 0.0% |
| 2015 | 9 | 0 | Too few |
| 2016 | 5 | 1 | Too few |
| 2017 | 5 | 0 | Too few |
Dashed line: all franchise 7(a) loans approved the same year.
Source and method
SBA 7(a) FOIA loan records. Rate: charged-off loans over resolved loans (paid in full plus charged off) for loans approved that year; it moves as loans are resolved.
Geographic exposure
Portfolio summary
Total funded$75.9M
Charged off13 of 226
Risk tierGood
Avg rate6.19%
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 Heritage Bank originated?
- 226 loans totaling $75.9M. The portfolio carries a 6.4% 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). Across SBA 7(a) franchise lending, the national charge-off rate is 16.0% over 94,550 resolved loans.Portfolios materially above that signal either riskier franchise selection or weaker underwriting. Heritage Bank's rate of 6.4% is below the national rate.
- 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 Heritage Bank fund the most?
- The “Top franchise exposures” table above lists the brands Heritage 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.