SBA 504 Quick Service Restaurant Feasibility Study in Indiana

Reading the Indiana limited-service restaurant cell

For limited-service restaurant in Indiana, this page slices SBA's limited-service restaurant record: SBA 504 loans to limited-service restaurant projects. They number 45, with $34.2 million approved from FY2017 to FY2026. Indiana is 12 among states on limited-service restaurant loan count; the class is 3 of 39 among Indiana financed classes. The Indiana median of $564,000 stands at 0.88x of what limited-service restaurant borrowers take nationally under SBA 504, and $365,000 to $936,000 spans the middle half; 60.0% of Indiana limited-service restaurant loans carry franchise flags.

Where the limited-service restaurant loans sit

Regional Development Company (18 loans, $9.8 million), Indiana Statewide Certified Development Corporation (11 loans, $12.9 million) and Business Development Corporation (BDC) (7 loans, $4.7 million) head the Indiana limited-service restaurant holder table. Indiana limited-service restaurant holders are as SBA reports today. Indiana limited-service restaurant counties: Lake 12, Hamilton 4, St Joseph 4, La Porte 3, Tippecanoe 3.

The yearly Indiana pattern

Indiana limited-service restaurant volume moved around: 2 loans in FY2018, 4 in FY2020, 9 in FY2022 and 4 in FY2025 worth $2.9 million. The Indiana high mark, 9, came in FY2022.

What the limited-service restaurant floors say

The cancellation floor for Indiana limited-service restaurant approvals from FY2017 to FY2024 is 13.9%; the ceiling, which treats undisbursed limited-service restaurant loans as cancelled, is 13.9%. Indiana limited-service restaurant charge-off rates rest on few limited-service restaurant loans funded in Indiana for FY2017 to FY2021; Indiana lenders find it held back, never zero.

Indiana limited-service restaurants under SBA 504

Fast food and counter-service concepts under SBA 504 are usually financed for the building, so the Indiana study should test the pad as much as the menu: traffic counts, drive-through queueing, visibility, and the cluster of rival concepts nearby. Brand standards and royalties belong in the cost model because the franchise share is 60.0%. Show coverage at sales that a new unit really achieves in year one, set the investment against the $564,000 median, and expect the appraiser to look at resale value of the pad to a different operator.

Indiana counter service: scope

Limited-service restaurants carry no coding caveat; Indiana loss data is withheld, so the study should stress a slow first year at a new pad.