GBank: SBA business acquisition lending record
GBank (home state NV) approved 623 SBA 7(a) loans to buy existing businesses since FY2018, totaling $1.7B. The median loan was $2,474,000. It ranks number 8 of 280 lenders by count and made 1.3% 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 $1,544,500 and $4,050,350. If your deal sits well outside that band, this lender may be less practiced at it.
- Geographic reach. North Carolina is the largest state (16% of loans). Loans appear in at least 15 states, which points to a national lender.
- Industry concentration. Hotels (except Casino Hotels) and Motels is 82% of its acquisition loans. This is a specialist pattern.
- Overall 7(a) volume. 901 SBA 7(a) loans of any purpose since FY2020, totaling $2.4B. 97% of its acquisition loans were processed under the Preferred Lenders Program.
- Franchise share. 82% of its acquisition loans involved a franchise brand, against 18% for all lenders.
- Seasoned performance. Of its loans from FY2018 to FY2021: 1.5% charged off, 57% lower than the 3.5% national average.
GBank acquisition loans by year
| Fiscal year | Loans | Total approved | Median loan | |
|---|---|---|---|---|
| FY2018 | 12 | $29.8M | $2,159,500 | |
| FY2019 | 53 | $134M | $2,275,000 | |
| FY2020 | 60 | $147M | $2,419,500 | |
| FY2021 | 74 | $176M | $2,215,000 | |
| FY2022 | 69 | $169M | $2,240,000 | |
| FY2023 | 47 | $113M | $2,107,500 | |
| FY2024 | 116 | $351M | $2,992,500 | |
| FY2025 | 117 | $346M | $2,800,000 | |
| FY2026 | 75 | $245M | $3,400,000 |
How often do these acquisition loans fail?
Of the 199 GBank acquisition loans approved from FY2018 to FY2021 (the seasoned cohort, every loan at least about five years old), 3 have been charged off by the SBA, a rate of 1.5% by loan count and 0.6% 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 GBank is 57% 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 | North Carolina | 99 | 15.9% | $311M | |
| 2 | Ohio | 50 | 8.0% | $153M | |
| 3 | South Carolina | 44 | 7.1% | $121M | |
| 4 | Virginia | 44 | 7.1% | $118M | |
| 5 | Illinois | 41 | 6.6% | $116M | |
| 6 | Indiana | 40 | 6.4% | $125M | |
| 7 | Georgia | 40 | 6.4% | $108M | |
| 8 | Texas | 36 | 5.8% | $101M | |
| 9 | Florida | 26 | 4.2% | $72M | |
| 10 | Michigan | 17 | 2.7% | $57.8M | |
| 11 | California | 17 | 2.7% | $35.2M | |
| 12 | Mississippi | 15 | 2.4% | $37.2M | |
| 13 | Kentucky | 14 | 2.2% | $36.4M | |
| 14 | Pennsylvania | 11 | 1.8% | $30.5M | |
| 15 | Tennessee | 11 | 1.8% | $28.1M |
Industries financed
| # | Industry | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Hotels (except Casino Hotels) and Motels | 509 | 81.7% | $1.6B | |
| 2 | General Freight Trucking, Local | 13 | 2.1% | $16.6M | |
| 3 | Couriers and Express Delivery Services | 13 | 2.1% | $16.3M | |
| 4 | Gasoline Stations with Convenience Stores | 10 | 1.6% | $17.7M | |
| 5 | General Freight Trucking, Long-Distance, Truckload | 8 | 1.3% | $7.6M | |
| 6 | Local Messengers and Local Delivery | 7 | 1.1% | $8.7M | |
| 7 | Limited-Service Restaurants | 4 | 0.6% | $3.1M | |
| 8 | Beer, Wine, and Liquor Retailers | 3 | 0.5% | $2.9M | |
| 9 | Supermarkets and Other Grocery Retailers (except Convenience Retailers) | 2 | 0.3% | $3.9M | |
| 10 | Car Washes | 2 | 0.3% | $3.6M |
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Franchise brands financed
| # | Franchise | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Quality Inn | 70 | 11.2% | $212M | |
| 2 | Super 8 | 46 | 7.4% | $99.5M | |
| 3 | Days Inn | 33 | 5.3% | $82.1M | |
| 4 | Comfort Inn | 28 | 4.5% | $123M | |
| 5 | Red Roof Inn | 26 | 4.2% | $72.5M | |
| 6 | Baymont | 24 | 3.9% | $63.1M | |
| 7 | Best Western | 21 | 3.4% | $76.4M | |
| 8 | La Quinta | 20 | 3.2% | $80.5M | |
| 9 | Sleep Inn | 17 | 2.7% | $65.2M | |
| 10 | Econo Lodge | 16 | 2.6% | $33.2M |
Questions buyers ask
Does GBank make SBA acquisition loans?
Yes. GBank approved 623 SBA 7(a) loans to buy existing businesses from FY2018 to FY2026, ranking number 8 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 GBank's acquisition loans?
The median was $2,474,000, with the middle half between $1,544,500 and $4,050,350. The national median is $645,250, so this lender's typical loan is 283% higher than the national figure.
Which states does GBank lend in?
North Carolina (99), Ohio (50), South Carolina (44), Virginia (44), Illinois (41), Indiana (40). Its loans span at least 15 states.
Which industries does GBank finance?
Hotels (except Casino Hotels) and Motels (509), General Freight Trucking, Local (13), Couriers and Express Delivery Services (13), Gasoline Stations with Convenience Stores (10), General Freight Trucking, Long-Distance, Truckload (8). The top industry is 82% of its acquisition loans.
How have GBank's acquisition loans performed?
Of 199 loans approved FY2018 to FY2021: 1.5% charged off, 57% 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
- North Carolina acquisitions
- Ohio acquisitions
- South Carolina acquisitions
- Hotels (except Casino Hotels) and Motels
- General Freight Trucking, Local
- Couriers and Express Delivery Services
- All lenders
Figures are aggregates of public SBA data. This page is not provided or endorsed by GBank.