SB
SBA 7(a) franchise lending portfolio
Stearns Bank National Association
Risk rating: Average
- Total loans
- 3,342
- Loan volume
- $976.0M
- Avg loan size
- $292K
- Charge-off rate
- 13.0%
- vs 16.0% national
Charged off
349
Avg interest
7.05%
Franchises funded
960
Risk rating
Average
Top franchise exposures
| Franchise | Loans | Volume | Charge-off % |
|---|---|---|---|
| Supercuts | 113 | $16.2M | 3.8% (excellent) |
| Subway | 70 | $14.8M | 5.8% (good) |
| Quiznos | 66 | $9.4M | 16.7% (elevated) |
| Dairy Queen | 41 | $15.8M | 4.9% (excellent) |
| F45 Training | 41 | $10.4M | 20.8% (high risk) |
| Fedex Ground | 39 | $14.6M | 12.1% (average) |
| Cornwell Quality Tool Company, | 33 | $2.3M | 27.3% (high risk) |
| Ilovekickboxing.com | 32 | $6.2M | 29.0% (high risk) |
| Papa Murphy's | 31 | $9.1M | 3.7% (excellent) |
| Firehouse Subs | 29 | $8.1M | 12.5% (average) |
| The UPS Store | 28 | $5.2M | 0.0% (excellent) |
| Culver's Frozen Custard | 27 | $23.9M | 0.0% (excellent) |
| Jake's Wayback Burgers | 27 | $6.1M | 25.0% (high risk) |
| Deka Lash | 27 | $5.8M | 14.3% (average) |
| Seva Beauty | 27 | $3.6M | 8.3% (good) |
| Great Clips | 25 | $10.1M | 4.2% (excellent) |
| Dickey's Barbecue Pit | 25 | $7.1M | 29.2% (high risk) |
| Jimmy John's | 24 | $9.2M | 17.4% (elevated) |
Lending volume by year
Show the numbers by year
| Fiscal year | Loans |
|---|---|
| FY1992 | 1 |
| FY1993 | 1 |
| FY1994 | 2 |
| FY1995 | 7 |
| FY1996 | 2 |
| FY1997 | 8 |
| FY1998 | 4 |
| FY1999 | 21 |
| FY2000 | 37 |
| FY2001 | 22 |
| FY2002 | 26 |
| FY2003 | 47 |
| FY2004 | 87 |
| FY2005 | 109 |
| FY2006 | 43 |
| FY2007 | 12 |
| FY2008 | 1 |
| FY2010 | 6 |
| FY2011 | 9 |
| FY2012 | 11 |
| FY2013 | 18 |
| FY2014 | 68 |
| FY2015 | 273 |
| FY2016 | 567 |
| FY2017 | 535 |
| FY2018 | 552 |
| FY2019 | 568 |
| FY2020 | 183 |
| FY2021 | 12 |
| FY2022 | 21 |
| FY2023 | 25 |
| FY2024 | 37 |
| FY2025 | 25 |
| FY2026 | 2 |
SBA 7(a) · charge-off rate by approval year
Stearns Bank National Association: below all franchise loans in 14 of 18 rated years
Hollow rings on the axis: years with fewer than 10 resolved loans, not rated (too few to judge; recent years are too early to judge while loans are still being repaid). Their numbers are in the table.
Show the numbers by year
| Year | Resolved | Charged off | Rate |
|---|---|---|---|
| 1995 | 7 | 1 | Too few |
| 1997 | 8 | 1 | Too few |
| 1998 | 4 | 1 | Too few |
| 1999 | 21 | 2 | 9.5% |
| 2000 | 37 | 4 | 10.8% |
| 2001 | 22 | 5 | 22.7% |
| 2002 | 26 | 4 | 15.4% |
| 2003 | 47 | 5 | 10.6% |
| 2004 | 87 | 16 | 18.4% |
| 2005 | 109 | 27 | 24.8% |
| 2006 | 43 | 12 | 27.9% |
| 2007 | 12 | 1 | 8.3% |
| 2010 | 6 | 0 | Too few |
| 2011 | 9 | 0 | Too few |
| 2012 | 11 | 0 | 0.0% |
| 2013 | 18 | 1 | 5.6% |
| 2014 | 66 | 2 | 3.0% |
| 2015 | 259 | 37 | 14.3% |
| 2016 | 512 | 81 | 15.8% |
| 2017 | 442 | 48 | 10.9% |
| 2018 | 418 | 45 | 10.8% |
| 2019 | 377 | 47 | 12.5% |
| 2020 | 117 | 9 | 7.7% |
| 2021 | 5 | 0 | Too early |
| 2022 | 9 | 0 | Too early |
| 2023 | 6 | 0 | Too early |
| 2024 | 6 | 0 | Too early |
Dashed line: all franchise 7(a) loans approved the same year.
Source and method
SBA 7(a) FOIA loan records. Rate: charged-off loans over resolved loans (paid in full plus charged off) for loans approved that year; it moves as loans are resolved.
Geographic exposure
43822.6% (high risk)
34011.6% (average)
29316.7% (elevated)
1558.8% (good)
1498.5% (good)
14814.2% (average)
14410.3% (average)
1276.5% (good)
11811.1% (average)
1129.4% (good)
Portfolio summary
Total funded$976.0M
Charged off349 of 3,342
Risk tierAverage
Avg rate7.05%
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 Stearns Bank National Association originated?
- 3,342 loans totaling $976.0M. The portfolio carries a 13.0% charge-off rate, earning a “Average” risk rating.
- What is the charge-off rate and why does it matter?
- Charge-off rate = charge-offs / (charge-offs + paid-in-full). Across SBA 7(a) franchise lending, the national charge-off rate is 16.0% over 94,550 resolved loans.Portfolios materially above that signal either riskier franchise selection or weaker underwriting. Stearns Bank National Association's rate of 13.0% is below the national rate.
- 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 Stearns Bank National Association fund the most?
- The “Top franchise exposures” table above lists the brands Stearns Bank National Association has the largest concentration in. Click any brand to see its full FDD-disclosed financials, growth trajectory, and SBA loan performance across all lenders.