Car Wash Feasibility Study in the Philadelphia-Camden-Wilmington, PA-NJ-DE-MD Metro Area

Where Philadelphia stands for this class

The Philadelphia total comes to 80 approved approvals for car wash businesses, carrying $101.6 million in gross dollars, in this cell, in the FY2017 to FY2026 file. Philadelphia ranks 10 of 458 nationally for car wash approvals, and inside the area the class ranks 12 of 39. Loan size here is anchored by $893,000; in plain terms, compared with the class's national midpoint, for now, that is a ratio of 0.96x, so loans track the country. On the location quotient, 1.13x, car washes claim a larger slice of approvals around Philadelphia compared with the whole nation. The middle half of loans rest between $93,750 and $2.0 million.

Programs, franchises and lenders in Philadelphia

The 80 approvals split into 64 under 7(a) and 16 under 504, which shows which SBA program car washes projects have used around Philadelphia. Among 504 lending, Empire State Certified Development Corporation (6 loans). Franchise-affiliated borrowers make up 7.5% of wash operations approvals here. Under 7(a) lending, TD Bank, National Association tops the list in Philadelphia with 10 loans, followed by Celtic Bank Corporation with 6. These banks are the present holders of these approvals according to SBA, which means the table reports who has the loans at present, in practice, rather than who made the initial decision or never what any of them demands.

Philadelphia by county and fiscal year

18 loans sit in Montgomery County, PA, 14 in New Castle County, DE and 10 in Camden County, NJ. The busiest year in Philadelphia was FY2021 with 13 approvals and $21.3 million, and the lightest was FY2017 with 5 loans and $1.9 million.

Cancellation rates, as a rule, charge-offs and the limits of the record in Philadelphia

Philadelphia has no loss rate on this page: Loan Analytics withholds one when the funded cohort of wash operations is under 30 loans; the blank is no evidence of a zero. Tunnel washes and washes for trucks, mobile operators included, are filed under one code, so the Philadelphia record cannot print which is which. Looking at cancellations, Philadelphia car washes record 18.3%, a minimum, as reported, for approved loans of FY2017 to FY2024, while Loan Analytics withholds the ceiling. Philadelphia is best judged as a county-built number: on this record, as reported, SBA's project county, for the record, paired by name to 2023 areas, determines which approvals enter for car washes.

Testing a car washes project in Philadelphia

Before anything else, Philadelphia demand has to be tested: cars per day from counts, and site access and queue room. Lending history of 80 loans shows what lenders did for car wash businesses, at present, and is silent on a specific corner. Cost lines to price include tunnel or bay equipment and equipment replacement cycles; at present, the sum is then set beside Philadelphia loans of $93,750 to $2.0 million, with $893,000 at the center. Nothing here promises an approval; it only offers lenders and borrowers a shared baseline in Philadelphia. Appraisal questions for wash operations in Philadelphia include land value apart from operations and equipment with little collateral value. Debt service coverage must then keep through a slower opening than the plan assumes, since at least 18.3% of the Philadelphia approvals in the cancellation cohort were cancelled after approval.