PB
SBA 7(a) franchise lending portfolio
Paradise Bank
ELEVATED risk
- Total loans
- 31
- Loan volume
- $30.6M
- Avg loan size
- $986K
- Charge-off rate
- 17.4%
- vs 15.4% national avg
Defaults
4
Avg interest
6.09%
Franchises funded
17
Risk rating
ELEVATED
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| Freedom Boat Club | 7 | $2.3M | 0.0% (low risk) |
| The Original Brooklyn Water Ba | 4 | $3.7M | 100.0% (very high risk) |
| Freedom Boat Club | 4 | $5.8M | 0.0% (low risk) |
| The Poke Company | 2 | $465K | 0.0% (low risk) |
| Sunoco Service Station | 2 | $4.3M | 0.0% (low risk) |
| Mobil Oil (stations) | 1 | $2.2M | 0.0% (low risk) |
| Holiday Inn Express | 1 | $4.5M | N/A |
| Carstar Automotive | 1 | $735K | 0.0% (low risk) |
| Century 21 | 1 | $2.8M | 0.0% (low risk) |
| Smash My Trash | 1 | $400K | 0.0% (low risk) |
| Holiday Inn | 1 | $533K | N/A |
| Chevron (gas Station) | 1 | $456K | 0.0% (low risk) |
| AlphaGraphics | 1 | $790K | N/A |
| BurgerFi | 1 | $845K | N/A |
| Mayweather Boxing & Fitness | 1 | $368K | N/A |
| The Driveway Company | 1 | $90K | N/A |
| Pirtek | 1 | $360K | N/A |
Lending volume by year
1'11
1'12
1'13
7'14
2'15
5'16
2'17
1'18
2'19
2'20
4'21
1'22
2'23
Geographic exposure
3117.4% (high risk)
Portfolio summary
Total funded$30.6M
Defaults4 of 31
Risk tierELEVATED
Avg rate6.09%
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 Paradise Bank originated?
- 31 loans totaling $30.6M. The portfolio carries a 17.4% charge-off rate, earning a “ELEVATED” 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 Paradise Bank fund the most?
- The “Top franchise exposures” table above lists the brands Paradise 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.