Byline Bank: SBA business acquisition lending record
Byline Bank (home state IL) approved 930 SBA 7(a) loans to buy existing businesses since FY2018, totaling $1.3B. The median loan was $1,050,000. It ranks number 3 of 280 lenders by count and made 1.9% 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 $547,000 and $1,922,500. If your deal sits well outside that band, this lender may be less practiced at it.
- Geographic reach. Illinois is the largest state (21% of loans). Loans appear in at least 15 states, which points to a national lender.
- Industry concentration. Gasoline Stations with Convenience Stores is 6% of its acquisition loans. The mix is spread across several industries.
- Overall 7(a) volume. 2,715 SBA 7(a) loans of any purpose since FY2020, totaling $3.3B. 86% of its acquisition loans were processed under the Preferred Lenders Program.
- Franchise share. 18% of its acquisition loans involved a franchise brand, against 18% for all lenders.
- Seasoned performance. Of its loans from FY2018 to FY2021: 6.6% charged off, 86% higher than the 3.5% national average.
Byline Bank acquisition loans by year
| Fiscal year | Loans | Total approved | Median loan | |
|---|---|---|---|---|
| FY2018 | 41 | $52.9M | $1,150,000 | |
| FY2019 | 81 | $97.5M | $790,000 | |
| FY2020 | 63 | $86.3M | $1,140,000 | |
| FY2021 | 74 | $118M | $1,170,000 | |
| FY2022 | 133 | $199M | $1,141,500 | |
| FY2023 | 119 | $172M | $1,000,000 | |
| FY2024 | 87 | $127M | $1,183,000 | |
| FY2025 | 148 | $184M | $865,000 | |
| FY2026 | 184 | $252M | $1,110,000 |
How often do these acquisition loans fail?
Of the 259 Byline Bank acquisition loans approved from FY2018 to FY2021 (the seasoned cohort, every loan at least about five years old), 17 have been charged off by the SBA, a rate of 6.6% by loan count and 3.0% by dollars. 130 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 Byline Bank is 86% higher 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 | Illinois | 194 | 20.9% | $261M | |
| 2 | California | 83 | 8.9% | $111M | |
| 3 | Wisconsin | 82 | 8.8% | $118M | |
| 4 | Florida | 79 | 8.5% | $104M | |
| 5 | Texas | 66 | 7.1% | $91.5M | |
| 6 | Michigan | 47 | 5.1% | $62.3M | |
| 7 | Colorado | 30 | 3.2% | $47.9M | |
| 8 | New York | 25 | 2.7% | $35.2M | |
| 9 | Georgia | 24 | 2.6% | $31.7M | |
| 10 | Minnesota | 23 | 2.5% | $22.6M | |
| 11 | Utah | 22 | 2.4% | $27.2M | |
| 12 | North Carolina | 20 | 2.2% | $31.3M | |
| 13 | Indiana | 19 | 2.0% | $35.1M | |
| 14 | Ohio | 19 | 2.0% | $32.7M | |
| 15 | Arizona | 18 | 1.9% | $24.8M |
Industries financed
| # | Industry | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Gasoline Stations with Convenience Stores | 53 | 5.7% | $89.2M | |
| 2 | Insurance Agencies and Brokerages | 48 | 5.2% | $44.2M | |
| 3 | Beer, Wine, and Liquor Retailers | 46 | 4.9% | $62.9M | |
| 4 | Limited-Service Restaurants | 35 | 3.8% | $32.7M | |
| 5 | Pharmacies and Drug Retailers | 34 | 3.7% | $51.8M | |
| 6 | Full-Service Restaurants | 31 | 3.3% | $29.6M | |
| 7 | Home Health Care Services | 29 | 3.1% | $43.1M | |
| 8 | Landscaping Services | 20 | 2.2% | $20.7M | |
| 9 | General Freight Trucking, Local | 17 | 1.8% | $20.4M | |
| 10 | Portfolio Management and Investment Advice | 16 | 1.7% | $18.3M |
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Franchise brands financed
| # | Franchise | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Allstate Home Inspection | 8 | 0.9% | $3.7M | |
| 2 | Ameriprise Financial | 7 | 0.8% | $8.9M | |
| 3 | Parent Petroleum | 6 | 0.6% | $14M | |
| 4 | Jackson Hewitt Tax Service | 5 | 0.5% | $7.5M | |
| 5 | Papa John's | 5 | 0.5% | $4.8M | |
| 6 | Home Instead | 4 | 0.4% | $4.4M | |
| 7 | Budget Blinds | 4 | 0.4% | $2M | |
| 8 | Quality Inn | 3 | 0.3% | $9.7M | |
| 9 | Ace Hardware | 3 | 0.3% | $6.7M | |
| 10 | Moe's Southwest Grill | 3 | 0.3% | $3.6M |
Questions buyers ask
Does Byline Bank make SBA acquisition loans?
Yes. Byline Bank approved 930 SBA 7(a) loans to buy existing businesses from FY2018 to FY2026, ranking number 3 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 Byline Bank's acquisition loans?
The median was $1,050,000, with the middle half between $547,000 and $1,922,500. The national median is $645,250, so this lender's typical loan is 63% higher than the national figure.
Which states does Byline Bank lend in?
Illinois (194), California (83), Wisconsin (82), Florida (79), Texas (66), Michigan (47). Its loans span at least 15 states.
Which industries does Byline Bank finance?
Gasoline Stations with Convenience Stores (53), Insurance Agencies and Brokerages (48), Beer, Wine, and Liquor Retailers (46), Limited-Service Restaurants (35), Pharmacies and Drug Retailers (34). The top industry is 6% of its acquisition loans.
How have Byline Bank's acquisition loans performed?
Of 259 loans approved FY2018 to FY2021: 6.6% charged off, 86% higher 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
- Illinois acquisitions
- California acquisitions
- Wisconsin acquisitions
- Gasoline Stations with Convenience Stores
- Insurance Agencies and Brokerages
- Beer, Wine, and Liquor Retailers
- All lenders
Figures are aggregates of public SBA data. This page is not provided or endorsed by Byline Bank.