Physical Therapy Clinic Feasibility Study in Texas

Larger loans for Texas therapy clinics

Texas therapy clinics take out larger SBA loans than the class does nationally. The median is $243,000, 1.62x the national median for rehabilitation and therapy clinics, and it is the measure on which Texas clinics part from both Texas lending as a whole and the class nationwide. The middle half of loans ran from $100,000 to $559,700. Texas is 2 of 54 states for these loans, with 305 approvals worth $139.0 million over FY2017 to FY2026; its 1.17x location quotient shows a heavier weighting than nationally, though the class ranks only 13 of 39 within the state. FY2025 was the busiest year, with 54 approvals worth $23.6 million.

The class is broader than physical therapy alone: it holds rehabilitation and therapy clinics generally, so other therapy practices may sit in these figures beside physical therapy. Franchise brands account for 17.7% of loans. SBA 7(a) carried 270 approvals and SBA 504 carried 35.

Lenders and loss

No Texas clinic lender dominates. The Huntington National Bank holds 27 loans for $10.7 million, PNC Bank, National Association and Wells Fargo Bank National Association 17 each, JPMorgan Chase Bank, National Association 14 and PeopleFund 13. Among certified development companies, Greater East Texas Certified Development Company holds 7 loans worth $9.4 million and LiftFund, Inc. 7 worth $8.3 million, much larger tickets than the leading 7(a) books.

The Texas clinic outcome record splits. Getting to closing has gone fairly smoothly: cancellation took at least 8.0% of Texas clinic approvals from FY2017 to FY2024, and 8.5% at the ceiling. Loss after funding deserves more attention. Charge-off has reached 5.5% or more of the 109 Texas clinic loans funded in FY2017 through FY2021, and 4.6% failed within five years, so most of the loss came early.

What a Texas therapy clinic study must test

Early losses mean the study must prove the opening years. Demand depends on referral sources and payer contracts within reach of the site, in a market led by Harris County with 51 approvals, Tarrant with 34, and Bexar and Collin with 24 each. Cost covers treatment space build-out and equipment. Debt service coverage should be modeled on visit volume per therapist and the reimbursement the clinic can actually collect, with a ramp that does not assume full schedules from opening. For a franchised Texas clinic, the study should test the unit's economics apart from the franchisor's case, and an appraisal on a leased clinic will rest mostly on equipment and business value.