Quick Service Restaurant Feasibility Study in the Philadelphia-Camden-Wilmington, PA-NJ-DE-MD Metro Area

Counties across four states, one lending record

Quick-service restaurants in Philadelphia-Camden-Wilmington spread over Pennsylvania, New Jersey, Delaware and Maryland, and SBA's record follows the project county rather than the state line. Philadelphia County itself leads with 92 loans, then Montgomery with 68, Bucks with 62, New Castle in Delaware with 46, Delaware County with 41, Chester with 40, Camden in New Jersey with 36, Burlington with 30 and Gloucester with 19. Between FY2017 and FY2026 SBA approved 440 loans for the class here, worth $174.5 million. Nationally the area stands 8 of 779; at home the class is second of 39 (2 of 39).

A near-national mix of franchise and independent

Franchised units account for 38.9% of the loans, a mixed picture rather than a franchise-dominated one. A location quotient of 1.07x leaves the class barely above par, while a $262,500 median, 0.84x the class's national figure, is lighter than the class nationally. The middle half spans $67,500 to $494,250. Nearly all of the loans are SBA 7(a), at 429, with SBA 504 at 11. Approvals dipped to 28 in FY2020 and peaked at 59 in FY2025, a year that also carried $31.1 million.

Who holds the loans

TD Bank, National Association heads the 7(a) holders with 72 loans but only $8.3 million, a very small average. Wilmington Savings Fund Society FSB holds 45 for $21.7 million, Manufacturers and Traders Trust Company 24, Meridian Bank 22 for $10.5 million and Fulton Bank, National Association 20 for $12.5 million. No 504 lender appears in the listing for this page. The page states SBA's definition of holder; the figures reflect SBA's books on current holdings and carry no judgment of any bank.

Losses and what is withheld

Cancellation after approval hit a minimum of 12.6% for the FY2017 to FY2024 approval years. Among the 179 loans approved in FY2017 through FY2021 that disbursed, no fewer than 6.1% have been charged off. For this metro Loan Analytics also holds back the upper cancellation bound and the loss rate at five years, each resting on a cohort too small to print; no number is given, and a withheld value is not a zero.

Testing a Delaware Valley quick-service unit

A study for a unit in this region has to begin with the trade area. It should test the franchisor's required investment against a $262,500 median, check that lease terms leave coverage intact after royalties, and show downside cases for a slow ramp. The appraisal will want sales supported by comparable units. Loans whose county could not be placed in a July 2023 statistical area are not part of this record.