PR
SBA 7(a) franchise lending
Puerto Rico
PR
- Total loans
- 436
- Loan volume
- $86.2M
- Charge-off rate
- 15.3%
- Jobs created
- 4,601
Charged off
58
Avg interest
7.10%
Job velocity
5.3
per $100K loaned
Franchises active
132
Highest charge-off rates in Puerto Rico
| Franchise | Resolved loans | State % | National % |
|---|---|---|---|
| Carvel Ice Cream | 11 | charge-off rate: 36.4% | 42.7% |
| Taco Maker | 42 | charge-off rate: 23.8% | 28.1% |
| Quiznos | 20 | charge-off rate: 20.0% | 28.5% |
| Post Net | 22 | charge-off rate: 13.6% | 19.9% |
| Yogen Fruz | 13 | charge-off rate: 7.7% | 11.1% |
| Subway Sandwich Shop | 86 | charge-off rate: 4.7% | 6.8% |
| Marco's Pizza | 11 | charge-off rate: 0.0% | 7.6% |
Lowest charge-off rates in Puerto Rico
| Franchise | Resolved loans | Charge-off % |
|---|---|---|
| Marco's Pizza | 11 | charge-off rate: 0.0% |
| Subway Sandwich Shop | 86 | charge-off rate: 4.7% |
| Yogen Fruz | 13 | charge-off rate: 7.7% |
| Post Net | 22 | charge-off rate: 13.6% |
| Quiznos | 20 | charge-off rate: 20.0% |
| Taco Maker | 42 | charge-off rate: 23.8% |
| Carvel Ice Cream | 11 | charge-off rate: 36.4% |
Resolved loans = paid in full + charged off. A brand with fewer than 10 resolved loans in Puerto Rico is left out of both tables: too few resolved loans to judge.
Industry performance (NAICS)
| Industry (NAICS) | Loans | Volume | Charge-off % | Risk |
|---|---|---|---|---|
| Limited-Service Restaurants722211 | 105 | $19.7M | charge-off rate: 22.1% | |
| Limited-Service Restaurants722513 | 57 | $12.0M | charge-off rate: 10.5% | |
| Full-Service Restaurants722511 | 28 | $11.3M | charge-off rate: 0.0% | |
| Full-Service Restaurants722110 | 18 | $3.9M | charge-off rate: 11.1% | |
| Other Specialty Food Stores445299 | 16 | $1.9M | charge-off rate: 20.0% | |
| 722213722213 | 12 | $2.5M | charge-off rate: 16.7% | |
| 491110491110 | 8 | $766K | charge-off rate: 12.5% | |
| Gasoline Stations with Convenience Stores447110 | 6 | $530K | charge-off rate: 0.0% | |
| Private Mail Centers561431 | 6 | $535K | charge-off rate: 0.0% | |
| Drycleaning & Laundry812320 | 6 | $1.3M | charge-off rate: 33.3% |
Franchise lending volume by year
Show the numbers by year
| Fiscal year | Loans |
|---|---|
| FY1992 | 3 |
| FY1993 | 6 |
| FY1994 | 3 |
| FY1995 | 7 |
| FY1996 | 13 |
| FY1997 | 13 |
| FY1998 | 22 |
| FY1999 | 24 |
| FY2000 | 16 |
| FY2001 | 17 |
| FY2002 | 19 |
| FY2003 | 19 |
| FY2004 | 21 |
| FY2005 | 28 |
| FY2006 | 13 |
| FY2007 | 30 |
| FY2008 | 16 |
| FY2009 | 10 |
| FY2010 | 9 |
| FY2011 | 13 |
| FY2012 | 11 |
| FY2013 | 6 |
| FY2014 | 11 |
| FY2015 | 17 |
| FY2016 | 9 |
| FY2017 | 13 |
| FY2018 | 7 |
| FY2019 | 16 |
| FY2020 | 6 |
| FY2021 | 12 |
| FY2022 | 7 |
| FY2023 | 6 |
| FY2024 | 7 |
| FY2025 | 3 |
| FY2026 | 3 |
SBA 7(a) · charge-off rate by approval year
Puerto Rico: below all franchise loans in 12 of 18 rated years
Hollow rings on the axis: years with fewer than 10 resolved loans, not rated (too few to judge; recent years are too early to judge while loans are still being repaid). Their numbers are in the table.
Show the numbers by year
| Year | Resolved | Charged off | Rate |
|---|---|---|---|
| 1992 | 3 | 1 | Too few |
| 1993 | 6 | 1 | Too few |
| 1994 | 3 | 1 | Too few |
| 1995 | 7 | 2 | Too few |
| 1996 | 13 | 0 | 0.0% |
| 1997 | 13 | 1 | 7.7% |
| 1998 | 21 | 0 | 0.0% |
| 1999 | 24 | 4 | 16.7% |
| 2000 | 16 | 1 | 6.2% |
| 2001 | 17 | 4 | 23.5% |
| 2002 | 19 | 4 | 21.1% |
| 2003 | 19 | 1 | 5.3% |
| 2004 | 21 | 4 | 19.0% |
| 2005 | 28 | 3 | 10.7% |
| 2006 | 13 | 4 | 30.8% |
| 2007 | 30 | 13 | 43.3% |
| 2008 | 16 | 1 | 6.2% |
| 2009 | 9 | 3 | Too few |
| 2010 | 8 | 2 | Too few |
| 2011 | 12 | 3 | 25.0% |
| 2012 | 11 | 1 | 9.1% |
| 2013 | 6 | 0 | Too few |
| 2014 | 11 | 2 | 18.2% |
| 2015 | 17 | 1 | 5.9% |
| 2016 | 8 | 0 | Too few |
| 2017 | 12 | 1 | 8.3% |
| 2018 | 6 | 0 | Too few |
| 2019 | 6 | 1 | Too few |
| 2020 | 3 | 0 | Too early |
Dashed line: all franchise 7(a) loans approved the same year.
Source and method
SBA 7(a) FOIA loan records. Rate: charged-off loans over resolved loans (paid in full plus charged off) for loans approved that year; it moves as loans are resolved.
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 Puerto Rico received?
- 436 loans totaling $86.2M, with 58 charged off. The statewide charge-off rate is 15.3%.
- What is a charge-off rate and how should I interpret it?
- Charge-off rate = charge-offs / (charge-offs + paid-in-full). Across SBA 7(a) franchise lending, the national charge-off rate is 16.0% over 94,550 resolved loans. Rates materially above that suggest higher-risk franchise selection or weaker borrower vetting in this state.
- Which franchise brands perform best and worst in Puerto Rico?
- The “Highest charge-off rates” and “Lowest charge-off rates” tables above rank the franchise brands operating in Puerto Rico 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.