Restaurant Feasibility Study in the Colorado Springs, CO Metro Area

The Colorado Springs record for table-service restaurants

From FY2017 to FY2026, borrowers starting or acquiring sit-down restaurants in Colorado Springs were given 113 approvals with $60.7 million in gross dollars. At $350,000, the Colorado Springs median sits above the national class median, at 1.27x. Colorado Springs sits at 50 of 821 metro and micro areas on these approvals, and locally the class ranks first among 39. Loans in the central half range from $112,400 to $707,000. On the location quotient, 1.12x, sit-down restaurants make up more of the loans in Colorado Springs than they do in the nation overall.

Programs, franchises and lenders in Colorado Springs

Franchise-affiliated borrowers make up 12.4% of full-service restaurant loans in Colorado Springs. On the 7(a) side, as reported, The Huntington National Bank leads at 19 ($3.6 million); then Busey Bank (8 loans) and U.S. Bank, National Association (7). Full-service restaurant borrowers in Colorado Springs used 7(a) 100 times and 504 13 times, a split worth noting before choosing a program. The 504 holders in Colorado Springs are led as follows: 8 loans sit with B:Side Capital. Since SBA lists each loan to its present holder, for the record, the names for Colorado Springs show who holds them; they are not a view of how any lender decides.

Place and timing for table-service restaurants

By project county, El Paso County, CO carries 106 loans of full-service restaurant approvals. The yearly record peaks in FY2026 at 21 loans and $14.0 million, and bottoms out in FY2018 at 5 loans and $1.0 million.

Rates that may only move up for table-service restaurants

Colorado Springs is best viewed as a county-based number: a table-service loan counts toward Colorado Springs only when the project county in SBA's file lines up by name with the July 2023 boundaries. Of 32 full-service restaurant approvals in Colorado Springs in the FY2017 to FY2021 disbursed cohort, 0.00% were charged off to date, a floor, and 0.00% came within five years of approval. Looking at cancellations, Colorado Springs sit-down restaurants show 16.3%, a lower bound, for loans of FY2017 to FY2024; the same 16.3% is the ceiling when undisbursed loans count as lost.

Feasibility questions for sit-down restaurants around Colorado Springs

Any feasibility work on full-service restaurants in Colorado Springs starts with demand: rivals in the category, and neighborhood, visitor and worker guests. The 113 approvals print that lenders have funded the class in Colorado Springs; they say nothing about whether a supplied site meets the same bar. Value questions for full-service restaurants in Colorado Springs include equipment with little collateral value and lease term against payback. The budget covers dining room fit-out as well as kitchen, hood and buildout, and the full-service restaurant total can be laid against the middle half of Colorado Springs loans, $112,400 to $707,000. The coverage check should assume a late initial period, since Colorado Springs shows full-service restaurant approvals that did not go as approved.