PB
SBA 7(a) franchise lending portfolio
Popular Bank
CRITICAL risk
- Total loans
- 1,275
- Loan volume
- $311.5M
- Avg loan size
- $244K
- Charge-off rate
- 48.1%
- vs 15.4% national avg
Defaults
602
Avg interest
7.00%
Franchises funded
276
Risk rating
CRITICAL
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| AAMCO Transmissions | 59 | $14.1M | 69.5% (very high risk) |
| Planet Beach | 57 | $12.8M | 82.5% (very high risk) |
| Subway Sandwich Shop | 52 | $7.9M | 17.3% (high risk) |
| Cold Stone Creamery, Inc. | 50 | $13.1M | 66.0% (very high risk) |
| Massage Envy | 45 | $12.0M | 6.7% (moderate risk) |
| Dunkin Donuts | 44 | $21.6M | 6.8% (moderate risk) |
| Domino's Pizza | 38 | $6.8M | 23.7% (very high risk) |
| Golf Etc. | 32 | $4.9M | 93.8% (very high risk) |
| Huntington Learning Center | 30 | $5.9M | 35.7% (very high risk) |
| Philly Soft Pretzel Factory | 27 | $4.2M | 65.4% (very high risk) |
| Quiznos | 24 | $3.4M | 25.0% (very high risk) |
| All Tune And Lube | 19 | $2.3M | 31.6% (very high risk) |
| Wingstop Restaurant | 19 | $4.3M | 0.0% (low risk) |
| 24 Seven Vending | 18 | $2.9M | 88.9% (very high risk) |
| Foot Solutions | 17 | $2.7M | 75.0% (very high risk) |
| Premier Rental Purchase | 16 | $4.5M | 68.8% (very high risk) |
| Buffalo Wings & Rings | 16 | $5.3M | 64.3% (very high risk) |
| Play N Trade | 13 | $1.5M | 76.9% (very high risk) |
| Wetzel's Pretzel | 12 | $2.0M | 58.3% (very high risk) |
| King Bear Auto Service | 12 | $2.6M | 8.3% (moderate risk) |
Lending volume by year
1'94
5'95
7'96
28'97
26'98
37'99
28'00
33'01
42'02
72'03
62'04
85'05
159'06
322'07
363'08
4'09
1'14
Popular Bank charge-off rate by loan vintage
BrandNational avg
Shaded area: recent vintages with few resolved loans; rates may change as loans mature.
Geographic exposure
22647.1% (very high risk)
19642.3% (very high risk)
14346.5% (very high risk)
9329.7% (very high risk)
8239.0% (very high risk)
6140.0% (very high risk)
4460.5% (very high risk)
4165.9% (very high risk)
3561.8% (very high risk)
2950.0% (very high risk)
Portfolio summary
Total funded$311.5M
Defaults602 of 1,275
Risk tierCRITICAL
Avg rate7.00%
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 Popular Bank originated?
- 1,275 loans totaling $311.5M. The portfolio carries a 48.1% 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 Popular Bank fund the most?
- The “Top franchise exposures” table above lists the brands Popular 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.