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SBA 7(a) franchise lending portfolio
TowneBank
AVERAGE risk
- Total loans
- 20
- Loan volume
- $4.5M
- Avg loan size
- $224K
- Charge-off rate
- 10.5%
- vs 15.4% national avg
Defaults
2
Avg interest
6.70%
Franchises funded
15
Risk rating
AVERAGE
Top franchise exposures
| Franchise | Loans | Volume | Default % |
|---|---|---|---|
| Subway Sandwich Shop | 2 | $245K | 0.0% (low risk) |
| Great Harvest Bread Co. | 2 | $350K | 0.0% (low risk) |
| Rainbow International Corporat | 2 | $460K | 0.0% (low risk) |
| Zoyo Neighborhood Yogurt | 2 | $199K | 0.0% (low risk) |
| Hand And Stone | 2 | $788K | 0.0% (low risk) |
| Coffee Beanery (retail Coffee) | 1 | $315K | 0.0% (low risk) |
| Discount Bridal | 1 | $20K | 0.0% (low risk) |
| Minuteman Press | 1 | $225K | 100.0% (very high risk) |
| Petland | 1 | $215K | 0.0% (low risk) |
| Quiznos | 1 | $120K | 100.0% (very high risk) |
| Signs By Tomorrow | 1 | $80K | 0.0% (low risk) |
| Fedex Ground | 1 | $122K | 0.0% (low risk) |
| Amramp/American Ramp Systems | 1 | $970K | 0.0% (low risk) |
| 5 Day Kitchens | 1 | $200K | 0.0% (low risk) |
| Rita's Ice-Custard-Happiness | 1 | $179K | N/A |
Lending volume by year
1'95
1'96
1'98
1'01
1'05
1'06
1'09
3'12
4'14
3'16
2'18
1'24
TowneBank charge-off rate by loan vintage
BrandNational avg
Geographic exposure
1911.1% (elevated risk)
10.0% (low risk)
Portfolio summary
Total funded$4.5M
Defaults2 of 20
Risk tierAVERAGE
Avg rate6.70%
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 TowneBank originated?
- 20 loans totaling $4.5M. The portfolio carries a 10.5% 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). 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 TowneBank fund the most?
- The “Top franchise exposures” table above lists the brands TowneBank has the largest concentration in. Click any brand to see its full FDD-disclosed financials, growth trajectory, and SBA loan performance across all lenders.