Buying an Erbert and Gerbert's franchise: SBA acquisition loan data
Since FY2018, SBA lenders have approved 8 7(a) loans to buy an existing Erbert and Gerbert's (classified mostly as Limited-Service Restaurants), totaling $2M. The median loan was $201,200, 69% lower than the $645,250 median for all SBA-financed acquisitions. 2 of these loans were approved in the last two fiscal years.
That draft favors the seller. We review it for the buyer, line by line.
Submit Transaction DetailsFree consultation. All 50 states.
What this tells a buyer
- Price range to expect. Loan size tracks purchase price. Half of Erbert and Gerbert's resale loans landed between $51,250 and $320,475.
- Lender experience exists. BankVista alone has financed 4 Erbert and Gerbert's resales.
- Guaranty. The SBA guaranteed 74% of the dollars lent here.
- What the file leaves out. The SBA file does not record franchisor transfer terms or fees.
Financing an Erbert and Gerbert's resale
The median SBA 7(a) loan for an Erbert and Gerbert's resale was $201,200 across 8 loans (FY2018 to FY2026). BankVista, The Huntington National Bank and First Community CU have financed the most Erbert and Gerbert's 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%.
Erbert and Gerbert's acquisition loans by year
| Fiscal year | Loans | Total approved | Median loan | |
|---|---|---|---|---|
| FY2018 | 0 | $0 | - | |
| FY2019 | 1 | $755K | $755,000 | |
| FY2020 | 0 | $0 | - | |
| FY2021 | 0 | $0 | - | |
| FY2022 | 3 | $514K | $60,000 | |
| FY2023 | 2 | $402K | $201,200 | |
| FY2024 | 0 | $0 | - | |
| FY2025 | 0 | $0 | - | |
| FY2026 | 2 | $309K | $154,600 |
How often do these acquisition loans fail?
Fewer than 20 Erbert and Gerbert's 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.
That draft favors the seller. We review it for the buyer, line by line.
Submit Transaction DetailsAlex Lubyansky leads every engagement.
Lenders financing Erbert and Gerbert's resales
| # | Lender | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | BankVista | 4 | 50.0% | $643K | |
| 2 | The Huntington National Bank | 2 | 25.0% | $309K | |
| 3 | First Community CU | 1 | 12.5% | $755K | |
| 4 | BMO Bank National Association | 1 | 12.5% | $274K |
States where Erbert and Gerbert's units are bought
| # | State | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Minnesota | 6 | 75.0% | $952K | |
| 2 | North Dakota | 1 | 12.5% | $755K | |
| 3 | Wisconsin | 1 | 12.5% | $274K |
Terms signed in the LOI shape the purchase agreement that follows.
Request Engagement AssessmentFree consultation. All 50 states.
Questions buyers ask
How much do buyers borrow to buy an Erbert and Gerbert's franchise?
The median SBA 7(a) loan for an Erbert and Gerbert's resale was $201,200 across 8 loans (FY2018 to FY2026). The middle half of loans ran from $51,250 to $320,475. 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 Erbert and Gerbert's acquisitions?
BankVista has made the most SBA acquisition loans for Erbert and Gerbert's (4, 50% of the total). The Huntington National Bank, First Community CU, BMO Bank National Association follow.
What interest rate and term do Erbert and Gerbert's acquisition loans carry?
The average initial rate at approval was 7.13% (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 an Erbert and Gerbert's resale riskier than other SBA-financed acquisitions?
Too few Erbert and Gerbert's 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 Erbert and Gerbert's units being bought with SBA loans?
Minnesota (6), North Dakota (1), Wisconsin (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.
That draft favors the seller. We review it for the buyer, line by line.
Submit Transaction DetailsAlex Lubyansky leads every engagement.
Advertise on this site: lenders, brokers, valuation and insurance firms. See options
Related
- All Limited-Service Restaurants acquisitions
- Minnesota acquisitions
- North Dakota acquisitions
- Wisconsin acquisitions
- BankVista
- The Huntington National Bank
- BMO Bank National Association
- All franchise brands
Brand name as recorded by lenders in the SBA file: "Erbert and Gerbert's" (franchise code S0582). Figures are aggregates of public SBA data and are not provided or endorsed by the franchisor.