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SBA 7(a) franchise lending portfolio
Hometown Bank
ELEVATED risk
- Total loans
- 13
- Loan volume
- $16.1M
- Avg loan size
- $1.2M
- Default rate
- 16.7%
- vs 15.4% national avg
Defaults
1
Avg interest
7.98%
Franchises funded
12
Risk rating
ELEVATED
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| Budget Blinds | 2 | $424K | — |
| Neehee's | 1 | $3.2M | — |
| Red Roof Inn | 1 | $1.9M | 0.0% |
| X-Golf | 1 | $700K | 0.0% |
| Quality Inn by Choice Hotels / | 1 | $2.1M | 0.0% |
| Farmers Insurance Agent Appoin | 1 | $472K | 100.0% |
| A&w | 1 | $1.4M | — |
| Rodeway Inn by Choice Hotels/R | 1 | $1.7M | — |
| DQ Treat | 1 | $891K | — |
| JETSET Pilates | 1 | $760K | — |
| Americas Best Value Inn | 1 | $1.9M | 0.0% |
| Wayback Burgers | 1 | $522K | 0.0% |
Lending volume by year
1'18
3'19
2'20
1'21
1'22
3'24
1'25
1'26
Geographic exposure
Portfolio summary
Total funded$16.1M
Defaults1 of 13
Risk tierELEVATED
Avg rate7.98%
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%).