RB
SBA 7(a) franchise lending portfolio
Royal Business Bank
EXCELLENT risk
- Total loans
- 104
- Loan volume
- $232.2M
- Avg loan size
- $2.2M
- Charge-off rate
- 4.0%
- vs 15.4% national avg
Defaults
3
Avg interest
6.09%
Franchises funded
61
Risk rating
EXCELLENT
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| Postal Annex Plus | 7 | $587K | 0.0% (low risk) |
| Chevron (gas Station) | 6 | $12.9M | 0.0% (low risk) |
| Motel 6 | 5 | $19.6M | 0.0% (low risk) |
| Super 8 | 5 | $11.3M | 0.0% (low risk) |
| Quality Inn/Quality Suites, Ho | 4 | $8.3M | 33.3% (very high risk) |
| Comfort/ Comfort Inn & Suites/ | 4 | $14.5M | 0.0% (low risk) |
| Papa John's | 4 | $4.6M | 0.0% (low risk) |
| Best Western Inn | 3 | $9.3M | 33.3% (very high risk) |
| Ampm Mini Market- Arco | 3 | $7.0M | 0.0% (low risk) |
| La Quinta Inn | 3 | $13.4M | 0.0% (low risk) |
| Country Inns & Suites By Carls | 3 | $14.4M | 0.0% (low risk) |
| Subway | 2 | $375K | N/A |
| Conoco Service Station | 2 | $3.3M | 0.0% (low risk) |
| Howard Johnson | 2 | $3.8M | 0.0% (low risk) |
| Americas Best Value Inn (f/K/A | 2 | $7.0M | 0.0% (low risk) |
| Jackson Food Stores, Inc. (Exx | 2 | $7.0M | 0.0% (low risk) |
| Red Lion Hotels | 2 | $6.3M | 0.0% (low risk) |
| Mr. Pickle's Sandwich Shop | 2 | $1.4M | N/A |
| Brake Masters | 1 | $82K | 0.0% (low risk) |
| Comfort Inn | 1 | $1.0M | 0.0% (low risk) |
Lending volume by year
1'95
1'97
1'98
4'99
3'00
1'08
1'13
6'14
17'15
19'16
17'17
7'18
6'19
1'20
3'21
4'22
4'24
6'25
2'26
Royal Business Bank charge-off rate by loan vintage
BrandNational avg
Geographic exposure
423.4% (low risk)
140.0% (low risk)
100.0% (low risk)
70.0% (low risk)
60.0% (low risk)
50.0% (low risk)
30.0% (low risk)
30.0% (low risk)
30.0% (low risk)
20.0% (low risk)
Portfolio summary
Total funded$232.2M
Defaults3 of 104
Risk tierEXCELLENT
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 Royal Business Bank originated?
- 104 loans totaling $232.2M. The portfolio carries a 4.0% charge-off rate, earning a “EXCELLENT” 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 Royal Business Bank fund the most?
- The “Top franchise exposures” table above lists the brands Royal Business 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.