SC
SBA 7(a) franchise lending portfolio
Southwest Capital Bank
GOOD risk
- Total loans
- 12
- Loan volume
- $29.3M
- Avg loan size
- $2.4M
- Charge-off rate
- 8.3%
- vs 15.4% national avg
Defaults
1
Avg interest
5.42%
Franchises funded
9
Risk rating
GOOD
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| Comfort Inn | 2 | $5.1M | 0.0% (low risk) |
| Motel 6 | 2 | $8.0M | 0.0% (low risk) |
| Choice Hotels International In | 2 | $3.3M | 0.0% (low risk) |
| Days Inn | 1 | $750K | 0.0% (low risk) |
| Super 8 Motel | 1 | $1.1M | 100.0% (very high risk) |
| Hampton Inns | 1 | $5.0M | 0.0% (low risk) |
| La Quinta Inn | 1 | $2.8M | 0.0% (low risk) |
| Sleep Inn Motel | 1 | $2.0M | 0.0% (low risk) |
| Quality Inn | 1 | $1.2M | 0.0% (low risk) |
Lending volume by year
1'94
1'06
1'10
6'11
2'13
1'14
Geographic exposure
30.0% (low risk)
20.0% (low risk)
20.0% (low risk)
250.0% (very high risk)
10.0% (low risk)
10.0% (low risk)
10.0% (low risk)
Portfolio summary
Total funded$29.3M
Defaults1 of 12
Risk tierGOOD
Avg rate5.42%
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 Southwest Capital Bank originated?
- 12 loans totaling $29.3M. The portfolio carries a 8.3% charge-off rate, earning a “GOOD” 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 Southwest Capital Bank fund the most?
- The “Top franchise exposures” table above lists the brands Southwest Capital 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.