Beacon Bank and Trust: SBA business acquisition lending record
Beacon Bank and Trust (home state MA) approved 570 SBA 7(a) loans to buy existing businesses since FY2018, totaling $864M. The median loan was $1,097,500. It ranks number 10 of 280 lenders by count and made 1.2% of all SBA acquisition loans nationally.
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What this tells a borrower
- Deal size it funds. Half of its acquisition loans fell between $639,000 and $2,043,750. If your deal sits well outside that band, this lender may be less practiced at it.
- Geographic reach. Pennsylvania is the largest state (19% of loans). Loans appear in at least 15 states, which points to a national lender.
- Industry concentration. Full-Service Restaurants is 7% of its acquisition loans. The mix is spread across several industries.
- Overall 7(a) volume. 1,569 SBA 7(a) loans of any purpose since FY2020, totaling $1.6B. 83% of its acquisition loans were processed under the Preferred Lenders Program.
- Franchise share. 11% of its acquisition loans involved a franchise brand, against 18% for all lenders.
- Seasoned performance. Of its loans from FY2018 to FY2021: 1.7% charged off, 51% lower than the 3.5% national average.
Beacon Bank and Trust acquisition loans by year
| Fiscal year | Loans | Total approved | Median loan | |
|---|---|---|---|---|
| FY2018 | 28 | $31.4M | $835,000 | |
| FY2019 | 57 | $61.6M | $928,000 | |
| FY2020 | 66 | $93.5M | $1,050,000 | |
| FY2021 | 79 | $99.3M | $955,000 | |
| FY2022 | 43 | $57.7M | $1,212,000 | |
| FY2023 | 62 | $80.1M | $880,000 | |
| FY2024 | 70 | $129M | $1,425,000 | |
| FY2025 | 85 | $144M | $1,260,000 | |
| FY2026 | 80 | $167M | $1,613,500 |
How often do these acquisition loans fail?
Of the 230 Beacon Bank and Trust acquisition loans approved from FY2018 to FY2021 (the seasoned cohort, every loan at least about five years old), 4 have been charged off by the SBA, a rate of 1.7% by loan count and 1.9% by dollars. 116 have already been paid in full.
For comparison, the charge-off rate across all SBA 7(a) acquisition loans in the same cohort is 3.5%, so Beacon Bank and Trust is 51% lower than the acquisition-loan average. 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.
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States served
| # | State | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Pennsylvania | 107 | 18.8% | $131M | |
| 2 | Florida | 86 | 15.1% | $114M | |
| 3 | New Jersey | 52 | 9.1% | $69.1M | |
| 4 | New York | 37 | 6.5% | $61.5M | |
| 5 | Massachusetts | 30 | 5.3% | $62.8M | |
| 6 | Texas | 26 | 4.6% | $48.5M | |
| 7 | Connecticut | 26 | 4.6% | $46.4M | |
| 8 | Colorado | 23 | 4.0% | $30.5M | |
| 9 | Georgia | 20 | 3.5% | $28.7M | |
| 10 | Maryland | 19 | 3.3% | $26.3M | |
| 11 | Rhode Island | 16 | 2.8% | $20.6M | |
| 12 | Illinois | 12 | 2.1% | $18.7M | |
| 13 | Delaware | 12 | 2.1% | $14.6M | |
| 14 | North Carolina | 11 | 1.9% | $25.8M | |
| 15 | California | 11 | 1.9% | $18.5M |
Industries financed
| # | Industry | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Full-Service Restaurants | 42 | 7.4% | $64.5M | |
| 2 | Child Care Services | 21 | 3.7% | $30.9M | |
| 3 | All Other Specialty Trade Contractors | 19 | 3.3% | $38.2M | |
| 4 | Landscaping Services | 18 | 3.2% | $23.3M | |
| 5 | Limited-Service Restaurants | 18 | 3.2% | $20M | |
| 6 | Beer, Wine, and Liquor Retailers | 11 | 1.9% | $11.2M | |
| 7 | Plumbing, Heating, and Air-Conditioning Contractors | 10 | 1.8% | $10.8M | |
| 8 | Home Health Care Services | 9 | 1.6% | $13.3M | |
| 9 | General Automotive Repair | 9 | 1.6% | $10.9M | |
| 10 | Hotels (except Casino Hotels) and Motels | 8 | 1.4% | $19.1M |
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Franchise brands financed
| # | Franchise | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Kilwins Chocolates and Ice Cream Store | 3 | 0.5% | $3.7M | |
| 2 | Dairy Queen | 3 | 0.5% | $2.9M | |
| 3 | Closet Factory | 2 | 0.4% | $1.6M | |
| 4 | True Value | 2 | 0.4% | $1.1M | |
| 5 | Woodcraft | 2 | 0.4% | $713K | |
| 6 | Primrose Schools | 1 | 0.2% | $5M | |
| 7 | Motel 6 | 1 | 0.2% | $4.2M | |
| 8 | Clarion Inn | 1 | 0.2% | $4M | |
| 9 | Servpro | 1 | 0.2% | $3.9M | |
| 10 | Sky Zone | 1 | 0.2% | $3.4M |
Questions buyers ask
Does Beacon Bank and Trust make SBA acquisition loans?
Yes. Beacon Bank and Trust approved 570 SBA 7(a) loans to buy existing businesses from FY2018 to FY2026, ranking number 10 of 280 lenders with 25 or more such loans. The SBA file shows past approvals only; it cannot tell you whether the lender will approve a particular buyer or deal.
How large are Beacon Bank and Trust's acquisition loans?
The median was $1,097,500, with the middle half between $639,000 and $2,043,750. The national median is $645,250, so this lender's typical loan is 70% higher than the national figure.
Which states does Beacon Bank and Trust lend in?
Pennsylvania (107), Florida (86), New Jersey (52), New York (37), Massachusetts (30), Texas (26). Its loans span at least 15 states.
Which industries does Beacon Bank and Trust finance?
Full-Service Restaurants (42), Child Care Services (21), All Other Specialty Trade Contractors (19), Landscaping Services (18), Limited-Service Restaurants (18). The top industry is 7% of its acquisition loans.
How have Beacon Bank and Trust's acquisition loans performed?
Of 230 loans approved FY2018 to FY2021: 1.7% charged off, 51% lower than the 3.5% national acquisition average. Charge-offs reflect the borrowers and industries a lender serves as well as its underwriting.
SBA 7(a) acquisitions, nationwide. Free consultation.
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Related
- Pennsylvania acquisitions
- Florida acquisitions
- New Jersey acquisitions
- Full-Service Restaurants
- Child Care Services
- All Other Specialty Trade Contractors
- All lenders
Figures are aggregates of public SBA data. This page is not provided or endorsed by Beacon Bank and Trust.