Buying a Batteries Plus franchise: SBA acquisition loan data
Since FY2018, SBA lenders have approved 14 7(a) loans to buy an existing Batteries Plus (classified mostly as All Other Miscellaneous Retailers), totaling $18.7M. The median loan was $1,146,500, 78% higher than the $645,250 median for all SBA-financed acquisitions. 3 of these loans were approved in the last two fiscal years.
Terms signed in the LOI shape the purchase agreement that follows.
Request Engagement AssessmentFree consultation. All 50 states.
What this tells a buyer
- Price range to expect. Loan size tracks purchase price. Half of Batteries Plus resale loans landed between $728,250 and $1,566,475.
- Lender experience exists. ConnectOne Bank alone has financed 2 Batteries Plus resales.
- Guaranty. The SBA guaranteed 76% of the dollars lent here.
- What the file leaves out. The SBA file does not record franchisor transfer terms or fees.
Financing a Batteries Plus resale
The median SBA 7(a) loan for a Batteries Plus resale was $1,146,500 across 14 loans (FY2018 to FY2026). ConnectOne Bank, UMB Bank, National Association and Citizens First Bank have financed the most Batteries Plus resales. Too few of these loans are old enough to measure a charge-off rate; the average for all SBA acquisition loans is 3.5%.
Batteries Plus acquisition loans by year
| Fiscal year | Loans | Total approved | Median loan | |
|---|---|---|---|---|
| FY2018 | 0 | $0 | - | |
| FY2019 | 4 | $8.5M | $1,547,650 | |
| FY2020 | 1 | $1.8M | $1,757,000 | |
| FY2021 | 2 | $1.3M | $667,000 | |
| FY2022 | 3 | $3.1M | $850,000 | |
| FY2023 | 1 | $2.1M | $2,100,000 | |
| FY2024 | 0 | $0 | - | |
| FY2025 | 2 | $888K | $444,050 | |
| FY2026 | 1 | $1.1M | $1,075,000 |
How often do these acquisition loans fail?
Fewer than 20 Batteries Plus acquisition loans are old enough to measure losses reliably, so no charge-off rate is shown. The benchmark across all SBA acquisition loans in the FY2018 to FY2021 cohort is 3.5% by count. Non-acquisition 7(a) loans (every other stated purpose) approved FY2018 to FY2021 charged off at 6.2%.
"Charged off" is the SBA's final loss action on a defaulted loan after collection efforts. It lags default by a year or more, which is why only older cohorts are measured. It is not the same as a delinquency rate, and loans still outstanding can still fail. See charge-off in the glossary.
Terms signed in the LOI shape the purchase agreement that follows.
Request Engagement AssessmentAlex Lubyansky leads every engagement.
Lenders financing Batteries Plus resales
| # | Lender | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | ConnectOne Bank | 2 | 14.3% | $2.3M | |
| 2 | UMB Bank, National Association | 1 | 7.1% | $5M | |
| 3 | Citizens First Bank | 1 | 7.1% | $2.1M | |
| 4 | United Midwest Savings Bank National Association | 1 | 7.1% | $1.8M | |
| 5 | SouthState Bank, National Association | 1 | 7.1% | $1.6M | |
| 6 | Platinum Bank | 1 | 7.1% | $1.5M | |
| 7 | Sunflower Bank National Association | 1 | 7.1% | $1.2M | |
| 8 | Bankwell Bank | 1 | 7.1% | $1.1M | |
| 9 | United Community Bank | 1 | 7.1% | $840K | |
| 10 | First Bank | 1 | 7.1% | $691K |
States where Batteries Plus units are bought
| # | State | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Arizona | 2 | 14.3% | $5.4M | |
| 2 | Alabama | 2 | 14.3% | $2.6M | |
| 3 | Illinois | 1 | 7.1% | $2.1M | |
| 4 | Florida | 1 | 7.1% | $1.6M | |
| 5 | Minnesota | 1 | 7.1% | $1.5M | |
| 6 | Michigan | 1 | 7.1% | $1.4M | |
| 7 | Texas | 1 | 7.1% | $1.2M | |
| 8 | Colorado | 1 | 7.1% | $1.1M | |
| 9 | North Carolina | 1 | 7.1% | $850K | |
| 10 | South Carolina | 1 | 7.1% | $691K |
The purchase agreement decides what you bought, not the loan approval.
Request Engagement AssessmentAlex Lubyansky leads every engagement.
How lenders classify Batteries Plus
Lenders code each loan to a NAICS industry. For Batteries Plus the codes used were:
| # | Industry | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | All Other Miscellaneous Retailers | 5 | 35.7% | $5.2M | |
| 2 | Automotive Parts and Accessories Stores | 3 | 21.4% | $6.7M | |
| 3 | Electrical Apparatus and Equipment, Wiring Supplies, and Related Equipment Merchant Wholesalers | 2 | 14.3% | $3.3M | |
| 4 | Automotive Parts and Accessories Retailers | 2 | 14.3% | $1.9M | |
| 5 | All Other General Merchandise Retailers | 1 | 7.1% | $1.4M |
Questions buyers ask
How much do buyers borrow to buy a Batteries Plus franchise?
The median SBA 7(a) loan for a Batteries Plus resale was $1,146,500 across 14 loans (FY2018 to FY2026). The middle half of loans ran from $728,250 to $1,566,475. The loan excludes the buyer's equity and any seller note and may include working capital, so the price is usually higher than the loan.
Which banks finance Batteries Plus acquisitions?
ConnectOne Bank has made the most SBA acquisition loans for Batteries Plus (2, 14% of the total). UMB Bank, National Association, Citizens First Bank, United Midwest Savings Bank National Association follow.
What interest rate and term do Batteries Plus acquisition loans carry?
The average initial rate at approval was 6.83% (a blend of fixed and variable loans across several rate environments, so treat it as context, not a quote). The median term was 10 years.
Is a Batteries Plus resale riskier than other SBA-financed acquisitions?
Too few Batteries Plus acquisition loans are old enough to measure. The benchmark for all SBA acquisition loans is 3.5% charged off in the FY2018 to FY2021 cohort.
Where are Batteries Plus units being bought with SBA loans?
Arizona (2), Alabama (2), Illinois (1), Florida (1), Minnesota (1). State counts follow where the brand has units and where SBA lending is most active generally; see the state pages for the overall picture.
The purchase agreement decides what you bought, not the loan approval.
Request Engagement AssessmentAll 50 states. Free consultation.
Advertise on this site: lenders, brokers, valuation and insurance firms. See options
Related
- All All Other Miscellaneous Retailers acquisitions
- Arizona acquisitions
- Alabama acquisitions
- Illinois acquisitions
- ConnectOne Bank
- UMB Bank, National Association
- United Midwest Savings Bank National Association
- All franchise brands
Brand name as recorded by lenders in the SBA file: "Batteries Plus" (franchise code S0196). Figures are aggregates of public SBA data and are not provided or endorsed by the franchisor.