TB
SBA 7(a) franchise lending portfolio
The Bank of Elk River
ELEVATED risk
- Total loans
- 21
- Loan volume
- $10.4M
- Avg loan size
- $496K
- Charge-off rate
- 18.2%
- vs 15.4% national avg
Defaults
2
Avg interest
6.64%
Franchises funded
11
Risk rating
ELEVATED
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| The UPS Store (f/k/a Mail Box | 4 | $1.1M | 0.0% (low risk) |
| HealthSource Chiropractic | 4 | $784K | 100.0% (very high risk) |
| Dryer Vent Wizard | 3 | $120K | 0.0% (low risk) |
| DOJO Karate (Minnesota only) | 2 | $551K | 0.0% (low risk) |
| Tommy's Express | 2 | $500K | N/A |
| Dojo Karate | 1 | $125K | 0.0% (low risk) |
| Snap Fitness | 1 | $103K | N/A |
| Healthsource Chiropractic | 1 | $375K | 0.0% (low risk) |
| Spherion General Staffing | 1 | $4.6M | 0.0% (low risk) |
| Buff City Soap | 1 | $1.7M | N/A |
| Hardware Hank | 1 | $444K | N/A |
Lending volume by year
1'07
3'09
1'13
2'19
2'20
5'21
2'22
1'23
4'24
Geographic exposure
2118.2% (high risk)
Portfolio summary
Total funded$10.4M
Defaults2 of 21
Risk tierELEVATED
Avg rate6.64%
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 The Bank of Elk River originated?
- 21 loans totaling $10.4M. The portfolio carries a 18.2% charge-off rate, earning a “ELEVATED” 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 The Bank of Elk River fund the most?
- The “Top franchise exposures” table above lists the brands The Bank of Elk River has the largest concentration in. Click any brand to see its full FDD-disclosed financials, growth trajectory, and SBA loan performance across all lenders.