New Car Dealers: SBA business acquisition loan data
72 SBA 7(a) loans since FY2018 financed the purchase of an existing business classified as New Car Dealers (NAICS 441110), totaling $234M. Median loan $3,375,000, 423% higher than the all-acquisition median. Annual volume fell 69% from FY2024 to FY2026. 64% of these deals were franchised units.
The purchase agreement decides what you bought, not the loan approval.
Request Engagement AssessmentAlex Lubyansky leads every engagement.
Reading this industry's numbers
- Deal size. The loan excludes the buyer's equity and any seller note and may include working capital. A loan request far above $5,000,000 would be in the top quarter of SBA acquisition loans in this industry.
- Share of all acquisitions. This industry is 0.1% of all SBA-financed business purchases, ranking #124 of 300 industries tracked.
- Geography. Texas leads with 6 loans; the top five states account for 38% of the industry's acquisitions.
- Jobs. Lenders reported 2,688 jobs supported across these loans, about 37.3 per acquisition, a rough proxy for the size of business changing hands.
New Car Dealers acquisitions by year
| Fiscal year | Loans | Total approved | Median loan | |
|---|---|---|---|---|
| FY2018 | 0 | $0 | - | |
| FY2019 | 2 | $3.1M | $1,556,000 | |
| FY2020 | 4 | $10.2M | $1,900,000 | |
| FY2021 | 23 | $61.5M | $2,520,000 | |
| FY2022 | 8 | $31.3M | $5,000,000 | |
| FY2023 | 12 | $46.1M | $4,178,750 | |
| FY2024 | 13 | $56.5M | $5,000,000 | |
| FY2025 | 6 | $16.8M | $2,800,000 | |
| FY2026 | 4 | $8.2M | $2,049,700 |
How often do these acquisition loans fail?
Of the 29 New Car Dealers acquisition loans approved from FY2019 to FY2021 (the seasoned cohort, every loan at least about five years old), none have been charged off by the SBA. 13 have already been paid in full.
For comparison, New Car Dealers has none charged off, against the 3.5% average across all SBA 7(a) acquisition loans in the FY2018 to FY2021 cohort. 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.
The purchase agreement decides what you bought, not the loan approval.
Request Engagement AssessmentAll 50 states. Free consultation.
Top states
| # | State | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Texas | 6 | 8.3% | $26.3M | |
| 2 | California | 6 | 8.3% | $25.6M | |
| 3 | North Carolina | 6 | 8.3% | $12M | |
| 4 | Pennsylvania | 5 | 6.9% | $11.9M | |
| 5 | Virginia | 4 | 5.6% | $16.8M | |
| 6 | Florida | 4 | 5.6% | $10.1M | |
| 7 | Michigan | 4 | 5.6% | $8.7M | |
| 8 | New York | 3 | 4.2% | $15M | |
| 9 | Illinois | 3 | 4.2% | $12.4M | |
| 10 | Indiana | 3 | 4.2% | $11.7M |
Most active lenders
| # | Lender | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Live Oak Banking Company | 52 | 72.2% | $192M | |
| 2 | Community Banks of Colorado, A Division of NBH Bank | 2 | 2.8% | $3.7M | |
| 3 | Cedar Rapids Bank and Trust Company | 2 | 2.8% | $3.3M | |
| 4 | First National Bank of Pennsylvania | 2 | 2.8% | $1.5M | |
| 5 | InBank | 1 | 1.4% | $5M | |
| 6 | KeyBank National Association | 1 | 1.4% | $4.5M | |
| 7 | IncredibleBank | 1 | 1.4% | $4.2M | |
| 8 | Glacier Bank | 1 | 1.4% | $3M | |
| 9 | Southwestern National Bank | 1 | 1.4% | $3M | |
| 10 | Native American Bank, National Association | 1 | 1.4% | $2.6M |
The purchase agreement decides what you bought, not the loan approval.
Request Engagement AssessmentAlex Lubyansky leads every engagement.
Franchise brands in New Car Dealers
64% of acquisition loans in this industry involved a franchised unit. Brands with the most SBA-financed resales:
| # | Brand | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Chrysler | 12 | 26.1% | $39.7M | |
| 2 | Ford Motor Company | 10 | 21.7% | $26M | |
| 3 | Nissan North America | 8 | 17.4% | $27.7M | |
| 4 | General Motors | 7 | 15.2% | $19.5M |
Questions buyers ask
How much is a typical SBA loan to buy a business in New Car Dealers?
Median $3,375,000 across 72 acquisition loans (FY2018 to FY2026); the middle half ran $1,787,500 to $5,000,000. That is 423% higher than the $645,250 median for all SBA-financed acquisitions.
Which lenders finance the most New Car Dealers acquisitions?
Live Oak Banking Company (52), Community Banks of Colorado, A Division of NBH Bank (2), Cedar Rapids Bank and Trust Company (2), First National Bank of Pennsylvania (2), InBank (1).
Are businesses in New Car Dealers often franchised?
Yes, often. 64% of SBA acquisition loans in this industry financed a franchised unit. Top brands: Chrysler, Ford Motor Company, Nissan North America, General Motors.
How risky are SBA loans for buying a business in New Car Dealers?
Of 29 seasoned loans (FY2019 to FY2021), none charged off, against the 3.5% benchmark for all SBA acquisition loans.
What loan terms are common for New Car Dealers acquisitions?
Median term 10.1 years, average initial rate 7.35% at approval (blended across years and fixed/variable structures). Terms longer than 10 years usually indicate real estate was included in the purchase.
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