PB
SBA 7(a) franchise lending portfolio
Potomac Bank
CRITICAL risk
- Total loans
- 20
- Loan volume
- $9.1M
- Avg loan size
- $454K
- Charge-off rate
- 100.0%
- vs 15.4% national avg
Defaults
1
Avg interest
9.04%
Franchises funded
14
Risk rating
CRITICAL
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| Nothing Bundt Cakes | 7 | $4.2M | N/A |
| Sunoco, LLC (Various Brands) F | 1 | $900K | N/A |
| Carpet One Floor & Home®, by C | 1 | $315K | N/A |
| Tropical Smoothie Cafe | 1 | $437K | N/A |
| ProMd Health | 1 | $423K | N/A |
| Floor Coverings International | 1 | $150K | N/A |
| Kona Ice | 1 | $205K | N/A |
| YogaSix | 1 | $300K | 100.0% (very high risk) |
| Smoothie King | 1 | $149K | N/A |
| Manhattan Pizza | 1 | $642K | N/A |
| Code Ninjas | 1 | $220K | N/A |
| CertaPro Painters | 1 | $250K | N/A |
| Intelligent Office | 1 | $600K | N/A |
| Ellie Mental Health | 1 | $250K | N/A |
Lending volume by year
1'20
1'21
3'22
3'23
4'24
7'25
1'26
Geographic exposure
Portfolio summary
Total funded$9.1M
Defaults1 of 20
Risk tierCRITICAL
Avg rate9.04%
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 Potomac Bank originated?
- 20 loans totaling $9.1M. The portfolio carries a 100.0% 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 Potomac Bank fund the most?
- The “Top franchise exposures” table above lists the brands Potomac 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.