TR
SBA 7(a) franchise lending portfolio
Texas Regional Bank
CRITICAL risk
- Total loans
- 12
- Loan volume
- $4.3M
- Avg loan size
- $360K
- Charge-off rate
- 20.0%
- vs 15.4% national avg
Defaults
2
Avg interest
5.91%
Franchises funded
9
Risk rating
CRITICAL
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| Smoothie King | 4 | $988K | 0.0% (low risk) |
| Merle Norman Cosmetics | 1 | $70K | 0.0% (low risk) |
| Honest1 Auto Care (aka Honest | 1 | $248K | N/A |
| Fuzzy's Taco Shop | 1 | $450K | 0.0% (low risk) |
| Baskin-Robbins | 1 | $140K | 0.0% (low risk) |
| Minuteman Press | 1 | $105K | 0.0% (low risk) |
| Bright Star Healthcare/Brights | 1 | $283K | 100.0% (very high risk) |
| Three Dog Bakery | 1 | $150K | 100.0% (very high risk) |
| Mellow Mushroom | 1 | $1.9M | N/A |
Lending volume by year
1'04
2'10
2'13
2'14
3'15
2'16
Geographic exposure
1220.0% (very high risk)
Portfolio summary
Total funded$4.3M
Defaults2 of 12
Risk tierCRITICAL
Avg rate5.91%
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 Texas Regional Bank originated?
- 12 loans totaling $4.3M. The portfolio carries a 20.0% 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 Texas Regional Bank fund the most?
- The “Top franchise exposures” table above lists the brands Texas Regional 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.