Restaurant Feasibility Study in the Sacramento-Roseville-Folsom, CA Metro Area

The $350,000 median in Sacramento, CA

Over FY2017 to FY2026, Sacramento applicants in full-service restaurant drew 244 approvals summing to $145.9 million. Loans center near $350,000, and the middle half sit between $104,425 and $673,750. Against the class nationally, Sacramento-Roseville-Folsom's median is 1.27x of the national median, above it.

Rank 27 of 821: mix and counties in Sacramento

7(a) outweighs the other program in Sacramento, CA, 217 7(a) loans to 27 504 loans. 10.2% of Sacramento loans went to franchised units. The class holds 1 of 39 among Sacramento industries, and Sacramento, CA ranks 27 of 821 among the areas for this class. A location quotient of 0.90x leaves full-service restaurant lighter in Sacramento than nationwide. The busiest counties: Sacramento County, CA at 154 loans, Placer County, CA at 46, El Dorado County, CA at 24.

Sacramento-Roseville-Folsom lenders, years and the $145.9 million file

The busiest shown year was FY2018, 32 loans and $7.3 million; the quietest was FY2022, 10 loans and $7.8 million. In Sacramento-Roseville-Folsom, 7(a) loans sit mostly with 34 loans and $5.3 million at U.S. Bank, National Association; 22 loans and $16.5 million at Plumas Bank; 15 loans and $4.8 million at Banner Bank. U.S. Bank, National Association holds the most loans, while Plumas Bank holds the most dollars, a split a Sacramento borrower should note. The 34 loans at U.S. Bank, National Association appear because SBA names it holder; the $5.3 million tells nothing of lending standards. Under 504 for full-service restaurant, the file shows 7 loans and $8.9 million at Greater Sacramento Certified Development Corporation and 6 loans and $7.0 million at The Mortgage Capital Development Corporation. The Sacramento-Roseville-Folsom cancellation floor is 10.7%, with the ceiling kept back by Loan Analytics; that is not a zero. 7.1% or more of 113 disbursed Sacramento loans are charged off across Sacramento, and Loan Analytics holds back the within-five-years rate.

What a Sacramento, CA study must test at $350,000

A Sacramento-Roseville-Folsom study starts with lunch and dinner traffic, the pull of the neighborhood after dark and household dining spend; the 244-loan file cannot stand in for them. The Sacramento build or purchase has to absorb buildout, opening inventory and kitchen and bar equipment, and Sacramento figures should replace national rules of thumb. Stress Sacramento earnings with a $104,425 loan and a $673,750 loan, then check where coverage weakens. Sacramento-Roseville-Folsom appraisers will value the operating business, the lease and the kitchen equipment one at a time, so the Sacramento study should do the same. The $145.9 million Sacramento-Roseville-Folsom record is a yardstick, not a forecast here in Sacramento, and promises no Sacramento applicant approval.

Method for Sacramento, CA's 244 loans

Sacramento-Roseville-Folsom gets its 244 loans through each project's county. Matching Sacramento County, CA and its neighbors to Sacramento, CA uses names under the July 2023 delineation. Sacramento cancellation covers FY2017 to FY2024 approvals around Sacramento; charge-offs cover FY2017 to FY2021 disbursements.