A
SBA 7(a) franchise lending
Alabama
AL
- Total loans
- 1,386
- Loan volume
- $886.9M
- Charge-off rate
- 17.3%
- Jobs created
- 19,415
Defaults
162
Avg interest
7.04%
Job velocity
2.2
per $100K loaned
Franchises active
642
Highest charge-off rates in Alabama
| Franchise | Loans | State % | National % |
|---|---|---|---|
| Matco Tools (rent Tools) | 12 | charge-off rate: 50.0% | 34.8% |
| Quiznos | 20 | charge-off rate: 45.0% | 28.1% |
| Quizno's Subs | 5 | charge-off rate: 40.0% | 36.8% |
| Mail Boxes Etc. Usa | 14 | charge-off rate: 35.7% | 12.2% |
| Steak-Out | 7 | charge-off rate: 28.6% | 33.3% |
| Jimmy John's | 12 | charge-off rate: 25.0% | 5.1% |
| Piggly Wiggly | 9 | charge-off rate: 22.2% | 13.8% |
| Subway | 9 | charge-off rate: 22.2% | 11.6% |
| Church's Fried Chicken | 5 | charge-off rate: 20.0% | 19.0% |
| Anytime Fitness | 5 | charge-off rate: 20.0% | 10.7% |
Lowest charge-off rates in Alabama
| Franchise | Loans | Default % |
|---|---|---|
| Econo Lodge Motel | 5 | charge-off rate: 0.0% |
| Comfort Inn | 8 | charge-off rate: 0.0% |
| Schlotzsky's Sandwich Shop | 5 | charge-off rate: 0.0% |
| Cici's Pizza | 5 | charge-off rate: 0.0% |
| Little Ceasar's Pizza | 8 | charge-off rate: 0.0% |
| Zaxby's | 8 | charge-off rate: 0.0% |
| Moe's Sw Grill | 5 | charge-off rate: 0.0% |
| Tropical Smoothie | 5 | charge-off rate: 0.0% |
| La Quinta Inn | 5 | charge-off rate: 0.0% |
| Smoothie King | 5 | charge-off rate: 0.0% |
Industry performance (NAICS)
| Industry (NAICS) | Loans | Volume | Default % | Risk |
|---|---|---|---|---|
| Hotels & Motels721110 | 202 | $396.6M | charge-off rate: 5.8% | |
| Limited-Service Restaurants722513 | 134 | $80.5M | charge-off rate: 12.1% | |
| Limited-Service Restaurants722211 | 104 | $27.4M | charge-off rate: 25.0% | |
| Full-Service Restaurants722511 | 57 | $44.1M | charge-off rate: 16.1% | |
| Fitness & Recreational Sports713940 | 42 | $11.0M | charge-off rate: 20.0% | |
| Full-Service Restaurants722110 | 38 | $16.2M | charge-off rate: 10.5% | |
| Snack & Beverage Bars722515 | 34 | $15.4M | charge-off rate: 17.6% | |
| General Automotive Repair811111 | 17 | $5.7M | charge-off rate: 15.4% | |
| Beauty Salons812112 | 16 | $7.4M | charge-off rate: 33.3% | |
| Janitorial Services561720 | 16 | $7.6M | charge-off rate: 25.0% |
Franchise lending volume by year
18'92
19
25
26
23
32'97
21
21
22
23
29'02
22
34
43
22
30'07
29
20
25
37
28'12
27
52
58
58
57'17
67
80
69
87
56'22
78
60
75
13'26
Alabama charge-off rate by loan vintage
BrandNational avg
Shaded area: recent vintages with few resolved loans; rates may change as loans mature.
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. Job velocity = jobs created per $100K loaned.
Frequently asked questions
- How many SBA 7(a) franchise loans has Alabama received?
- 1,386 loans totaling $886.9M, with 162 charged off. The statewide charge-off rate is 17.3%.
- What is a charge-off rate and how should I interpret it?
- Charge-off rate = charge-offs / (charge-offs + paid-in-full). For SBA 7(a) franchise lending, the national average runs 5–8%. Rates materially above that suggest higher-risk franchise selection or weaker borrower vetting in this state.
- Which franchise brands perform best and worst in Alabama?
- The “Highest charge-off rates” and “Lowest charge-off rates” tables above rank the franchise brands operating in Alabama by their statewide loan performance. Click any brand for full FDD-disclosed financials and nationwide SBA history.
- 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.