SBA loans in Massachusetts: who lends, what gets bought, how it performs
Since FY2018, SBA lenders have approved 963 7(a) loans to buy an existing business in Massachusetts, totaling $777M. The median loan was $410,000, 36% lower than the $645,250 national median for SBA-financed acquisitions. Volume rose 18% from FY2024 to FY2026.
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SBA lenders in Massachusetts
The lenders that made the most SBA 7(a) acquisition loans in Massachusetts, FY2018 to FY2026.
| # | Lender | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Rockland Trust Company | 127 | 13.2% | $74.5M | |
| 2 | Live Oak Banking Company | 108 | 11.2% | $137M | |
| 3 | Eastern Bank | 60 | 6.2% | $27.6M | |
| 4 | Santander Bank, National Association | 49 | 5.1% | $33M | |
| 5 | Leader Bank, National Association | 35 | 3.6% | $13.7M | |
| 6 | The Huntington National Bank | 31 | 3.2% | $28.5M | |
| 7 | Salem Five Cents Savings Bank | 31 | 3.2% | $14.4M | |
| 8 | Beacon Bank and Trust | 30 | 3.1% | $62.8M | |
| 9 | Customers Bank | 20 | 2.1% | $19.9M | |
| 10 | Cape and Coast Bank | 16 | 1.7% | $9.5M |
What this tells a buyer
- Deal size band. Half of Massachusetts acquisition loans fell between $175,000 and $1,041,000. The nationwide band is $283,000 to $1,465,000.
- Share of national volume. Massachusetts accounts for 2.0% of all SBA acquisition loans and ranks number 19 of 54 states and territories by count.
- Industry concentration. Full-Service Restaurants is the most financed business type here (73 loans, 8% of the state). The top three industries together are 17%.
- Lender concentration. Rockland Trust Company made 13% of the state's acquisition loans. No single lender dominates, so there are several lenders with local acquisition experience.
- Franchise resales. 11% of acquisition loans in Massachusetts involved a franchised brand; the most frequent is The UPS Store (14 loans).
Massachusetts acquisition loans by year
| Fiscal year | Loans | Total approved | Median loan | |
|---|---|---|---|---|
| FY2018 | 87 | $38.7M | $250,000 | |
| FY2019 | 103 | $70M | $396,000 | |
| FY2020 | 87 | $63.2M | $424,800 | |
| FY2021 | 132 | $98.2M | $393,950 | |
| FY2022 | 78 | $65.5M | $350,000 | |
| FY2023 | 90 | $80.2M | $466,350 | |
| FY2024 | 115 | $89.5M | $437,500 | |
| FY2025 | 135 | $132M | $550,000 | |
| FY2026 | 136 | $140M | $604,250 |
How often do these acquisition loans fail?
Of the 409 Massachusetts acquisition loans approved from FY2018 to FY2021 (the seasoned cohort, every loan at least about five years old), 13 have been charged off by the SBA, a rate of 3.2% by loan count and 1.9% by dollars. 218 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 Massachusetts is 10% 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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Top industries in Massachusetts
| # | Industry | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | Full-Service Restaurants | 73 | 7.6% | $41.5M | |
| 2 | Beer, Wine, and Liquor Retailers | 49 | 5.1% | $36.4M | |
| 3 | Limited-Service Restaurants | 37 | 3.8% | $20M | |
| 4 | General Automotive Repair | 29 | 3.0% | $15.4M | |
| 5 | Home Health Care Services | 26 | 2.7% | $27.9M | |
| 6 | Landscaping Services | 23 | 2.4% | $21.7M | |
| 7 | Beauty Salons | 20 | 2.1% | $11.4M | |
| 8 | Fitness and Recreational Sports Centers | 17 | 1.8% | $7.3M | |
| 9 | Offices of Certified Public Accountants | 16 | 1.7% | $7.9M | |
| 10 | Pet Care (except Veterinary) Services | 15 | 1.6% | $4.4M |
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Franchise brands bought in Massachusetts
| # | Franchise | Loans | Share | Dollars | |
|---|---|---|---|---|---|
| 1 | The UPS Store | 14 | 1.5% | $5.7M | |
| 2 | Home Instead | 5 | 0.5% | $4.3M | |
| 3 | Honey Dew Donuts | 5 | 0.5% | $1.9M | |
| 4 | Budget Blinds | 4 | 0.4% | $2.6M | |
| 5 | Visiting Angels | 3 | 0.3% | $1.7M | |
| 6 | Fitness Together | 3 | 0.3% | $255K | |
| 7 | ComForCare Home Care | 2 | 0.2% | $5M | |
| 8 | Econo Lodge | 2 | 0.2% | $3.4M | |
| 9 | Domino's Pizza | 2 | 0.2% | $2.5M | |
| 10 | Ace Hardware | 2 | 0.2% | $2.4M | |
| 11 | The Goddard School | 2 | 0.2% | $1.7M | |
| 12 | U.S. Lawns | 2 | 0.2% | $1.4M | |
| 13 | Servpro | 2 | 0.2% | $1.2M | |
| 14 | Senior Helpers | 2 | 0.2% | $1.2M | |
| 15 | Midas | 2 | 0.2% | $752K |
Acquisitions by industry in Massachusetts
The 20 industries with the most acquisition loans in Massachusetts (minimum ten). Charge-off rates appear where at least 20 loans are old enough to measure.
| Industry | Loans | Median loan | Charge-off |
|---|---|---|---|
| Full-Service Restaurants | 73 | $250,000 | 0.0% |
| Beer, Wine, and Liquor Retailers | 49 | $677,000 | 4.2% |
| Limited-Service Restaurants | 37 | $440,000 | 0.0% |
| General Automotive Repair | 29 | $315,000 | n/a |
| Home Health Care Services | 26 | $837,500 | n/a |
| Landscaping Services | 23 | $627,000 | n/a |
| Beauty Salons | 20 | $164,750 | n/a |
| Fitness and Recreational Sports Centers | 17 | $250,000 | n/a |
| Offices of Certified Public Accountants | 16 | $330,000 | n/a |
| Pet Care Services | 15 | $205,000 | n/a |
| Plumbing, Heating, and Air-Conditioning Contractors | 14 | $389,500 | n/a |
| Janitorial Services | 14 | $313,600 | n/a |
| Child Care Services | 13 | $250,000 | n/a |
| Convenience Retailers | 13 | $240,000 | n/a |
| Fuel Dealers | 11 | $40,000 | n/a |
| Offices of Dentists | 11 | $613,000 | n/a |
| All Other Specialty Trade Contractors | 11 | $470,700 | n/a |
| Automotive Body, Paint, and Interior Repair and Maintenance | 11 | $500,000 | n/a |
| Supermarkets and Other Grocery Retailers | 10 | $293,050 | n/a |
| Couriers and Express Delivery Services | 10 | $306,250 | n/a |
Questions buyers ask
How much do buyers borrow to buy a business in Massachusetts?
The median SBA 7(a) acquisition loan in Massachusetts was $410,000 across 963 loans (FY2018 to FY2026), 36% lower than the $645,250 national median. The middle half of loans ran from $175,000 to $1,041,000. A loan is not the purchase price: it is net of the buyer's equity injection and usually includes some working capital.
Which banks make the most SBA acquisition loans in Massachusetts?
Rockland Trust Company (127), Live Oak Banking Company (108), Eastern Bank (60), Santander Bank, National Association (49), Leader Bank, National Association (35). Rockland Trust Company alone accounts for 13% of Massachusetts acquisition loans. See each lender page for industries and states served.
What kinds of businesses are bought with SBA loans in Massachusetts?
Full-Service Restaurants (73), Beer, Wine, and Liquor Retailers (49), Limited-Service Restaurants (37), General Automotive Repair (29), Home Health Care Services (26). The top three industries make up 17% of the state's acquisition loans.
How often do SBA acquisition loans fail in Massachusetts?
In the seasoned cohort (FY2018 to FY2021), among 409 Massachusetts acquisition loans: 3.2% charged off, 10% lower than the 3.5% national acquisition average.
How does Massachusetts compare with other states?
Massachusetts ranks number 19 of 54 states and territories by acquisition loan count, with 2.0% of national volume (963 of 48,902 loans) and $777M approved. Browse the full state ranking.
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Related
- Full-Service Restaurants nationally
- Beer, Wine, and Liquor Retailers nationally
- Limited-Service Restaurants nationally
- Rockland Trust Company
- Live Oak Banking Company
- Eastern Bank
- All states
- Buyer's guide to the data
State is the project state recorded by the lender (where the acquired business operates), not the borrower's mailing state.