FranchiseVerdict

SBA 504 certified development company

Capital Certified Development

CRITICAL risk
Total loans
395
Loan volume
$553.7M
Avg loan size
$1.4M
Default rate
22.0%
vs 13.3% national avg

Defaults

50

Franchises funded

175

Risk rating

CRITICAL

Top franchise exposures

FranchiseLoansVolumeDefault %
Chicken Express16$14.2M0.0%
Choice Hotels International In13$19.2M46.2%
Temporary Franchises12$6.9M0.0%
Primrose Schools12$22.5M0.0%
Holiday Inn Express11$13.5M40.0%
Best Western Inn10$12.1M0.0%
Comfort Inn8$8.9M57.1%
Primrose School (daycare)8$9.3M0.0%
Hampton Inns7$11.6M42.9%
Kids R Kids7$6.2M0.0%
Days Inn7$6.2M50.0%
La Quinta Inn7$11.2M25.0%
Quality Inn6$7.3M50.0%
The Prep!6$14.6M
Kiddie Academy6$10.2M
Super 8 Motel5$3.6M20.0%
Culver's Frozen Custard5$3.1M0.0%
Holiday Inn/Holiday Inn & Suit5$19.9M
Best Western - Membership Agre5$11.9M
The Goddard School5$10.9M

Lending volume by year

1
'92
4
4
8
2
7
'98
1
3
7
4
8
'03
12
15
17
30
15
'08
24
15
13
17
10
'13
11
6
11
9
13
'18
11
7
13
26
17
'23
28
20
6
'26

Geographic coverage

Texas
36121.7%
New Mexico
3126.3%

Portfolio summary

Total funded$553.7M
Defaults50 of 395
Risk tierCRITICAL

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%).