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FranchiseVerdict

SBA 7(a) franchise lending portfolio

Stellar Bank

GOOD risk
Total loans
181
Loan volume
$147.8M
Avg loan size
$816K
Charge-off rate
8.7%
vs 15.4% national avg

Defaults

10

Avg interest

6.21%

Franchises funded

92

Risk rating

GOOD

Top franchise exposures

FranchiseLoansVolumeDefault %
Christian Brothers Automotive52$14.9M0.0% (low risk)
Marco's Pizza8$2.8M0.0% (low risk)
Marco's Pizza4$1.5M0.0% (low risk)
Shipley Do-Nut4$3.2M0.0% (low risk)
Red Roof Inn3$7.7M0.0% (low risk)
Ivy Kids Early Learning Center3$13.4M0.0% (low risk)
Primrose School (daycare)3$2.8M0.0% (low risk)
Wendy's3$1.5M0.0% (low risk)
Children's Lighthouse2$4.1M0.0% (low risk)
Arby's2$2.4M50.0% (very high risk)
iShine Express Car Wash & Deta2$8.7MN/A
Planet Fitness2$2.6M0.0% (low risk)
Kiddie Academy2$6.9M0.0% (low risk)
The UPS Store2$375K0.0% (low risk)
Urban Air Adventure Park2$2.0MN/A
Martinizing Dry Cleaning2$1.2MN/A
Tommy's Express2$4.4MN/A
F45 Training2$752K0.0% (low risk)
Children's Lighthouse Early Le2$1.1M0.0% (low risk)
Chicken Kitchen2$772K100.0% (very high risk)

Stellar Bank charge-off rate by loan vintage

BrandNational avg
Stellar Bank charge-off rate by loan vintage. Showing 12 vintages from 2009 to 2022. Rates range from 0.0% to 66.7%.0%5%10%15%20%25%30%35%40%45%50%55%60%65%70%'09'11'13'15'17'20'22

Geographic exposure

15211.2% (elevated risk)
50.0% (low risk)
50.0% (low risk)
30.0% (low risk)
30.0% (low risk)
30.0% (low risk)
30.0% (low risk)
20.0% (low risk)
10.0% (low risk)
10.0% (low risk)

Portfolio summary

Total funded$147.8M
Defaults10 of 181
Risk tierGOOD
Avg rate6.21%

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 Stellar Bank originated?
181 loans totaling $147.8M. The portfolio carries a 8.7% 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 Stellar Bank fund the most?
The “Top franchise exposures” table above lists the brands Stellar 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.