SBA 504 Auto Repair Shop Feasibility Study in Georgia

Smaller than the class nationally, with lenders of equal count

Georgia's mechanical repair shops borrow less under SBA 504 than shops elsewhere: the median of $319,000 is 0.78x the 504 level nationwide; loans in the central band sit between $238,000 and $532,500. The 31 approvals add up to $16.1 million in gross approvals, counted FY2017 to FY2026. On loan count Georgia is 14 among states, while the class takes 11 of 39 places at home. Franchise affiliation is 3.2%. Development companies tie at 9 loans: Capital Partners Certified Development Company with $4.6 million, and Florida Business Development Corporation with $2.7 million.

Where and when

Cobb County has 4 loans, Chatham, DeKalb and Henry 3 each, and Cherokee, Clayton, Fayette and Hall 2 each, with Bryan and Forsyth at 1. The map is metro Atlanta plus the coast. FY2023 was the peak, with 8 loans and $4.1 million, while FY2019 had none and FY2017 had only 1 loan of $260,000. FY2025 had 3 loans but $4.3 million, a sign of a few larger buildings. Washington's repair cohort gives no stable cancellation or loss percentage, so the page prints none; nothing should be read into the blank.

Coding note

Passenger-car and truck work are coded together, so this class covers shops that fix cars and trucks alike. Collision work, glass, lube jobs and all other repair belong to different classes, and a Georgia collision or lube project will not be found here.

What the Georgia garage study must establish

The study has to treat the 504 loan as real-estate finance. It should show the site, its zoning and environmental condition, the bays and lifts planned and the build or purchase cost. Demand evidence includes the age and number of vehicles within the trade area, competing independents, chains and dealers, and the owner's ability to attract and keep technicians. Revenue should come from billable hours and average repair orders. The lender will want to see the payment covered in a year when volume lags the plan, together with an appraiser's view on resale to another repair operator or a different commercial user. Georgia's heat, traffic and long commutes add wear to vehicles, which helps repair demand, but the study should show it with local registration and age data and not assume it. Quotes for lifts and diagnostic tools should be attached.