FranchiseVerdict

SBA 504 certified development company

Business Expansion Funding Corporation

ELEVATED risk
Total loans
198
Loan volume
$210.0M
Avg loan size
$1.1M
Default rate
15.2%
vs 13.3% national avg

Defaults

21

Franchises funded

117

Risk rating

ELEVATED

Top franchise exposures

FranchiseLoansVolumeDefault %
Temporary Franchises11$7.0M18.2%
Choice Hotels International In10$13.9M20.0%
Super 8 Motel7$4.9M28.6%
Days Inn6$3.8M0.0%
Comfort Inn6$5.4M16.7%
Golden Corral (restaurant)5$4.0M0.0%
Culver's ButterBurgers & Froze5$7.4M0.0%
Zaxby's4$2.7M0.0%
Microtel4$3.3M66.7%
Econo Lodge Motel3$2.1M0.0%
Sonic3$4.6M33.3%
Holiday Inn Express3$2.4M0.0%
Zaxby's3$3.0M0.0%
Primrose Schools3$5.8M
Comfort Suites by Choice Hotel3$8.6M
International House Of Pancake2$2.1M0.0%
Sleep Inn Motel2$1.1M0.0%
Sir Speedy Printing Center2$1.1M0.0%
Quality Inn2$1.7M0.0%
Country Inns & Suites2$2.3M0.0%

Lending volume by year

2
'92
1
3
3
1
4
'99
2
7
5
2
4
'04
10
16
14
7
6
'09
7
7
17
10
4
'14
3
8
8
10
6
'19
6
9
11
2
2
'25
1
'26

Geographic coverage

Portfolio summary

Total funded$210.0M
Defaults21 of 198
Risk tierELEVATED

Source: SBA 504 FOIA loan-level data, aggregated by FranchiseVerdict

Default 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%), Critical (>20%).