LB
SBA 7(a) franchise lending portfolio
Legends Bank
CRITICAL risk
- Total loans
- 11
- Loan volume
- $4.4M
- Avg loan size
- $404K
- Charge-off rate
- 20.0%
- vs 15.4% national avg
Defaults
2
Avg interest
5.72%
Franchises funded
10
Risk rating
CRITICAL
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| Gymboree Play & Music | 2 | $195K | 100.0% (very high risk) |
| Premier Rental Purchase | 1 | $440K | 0.0% (low risk) |
| Radio Shack | 1 | $120K | 0.0% (low risk) |
| Smoothie King (health Food Sto | 1 | $150K | 0.0% (low risk) |
| Fedex | 1 | $40K | 0.0% (low risk) |
| Red Roof Inn | 1 | $2.5M | 0.0% (low risk) |
| Pure Barre | 1 | $260K | 0.0% (low risk) |
| Dunkin Donuts/Baskin-Robbins C | 1 | $302K | 0.0% (low risk) |
| Title Boxing Club | 1 | $75K | 0.0% (low risk) |
| Nature's Pet/Earthwise Pet Sup | 1 | $350K | N/A |
Lending volume by year
1'04
1'07
1'11
1'12
1'13
3'15
1'16
2'18
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 Legends Bank originated?
- 11 loans totaling $4.4M. The portfolio carries a 20.0% 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 Legends Bank fund the most?
- The “Top franchise exposures” table above lists the brands Legends 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.