SBA 504 Restaurant Feasibility Study in Oklahoma

Oklahoma's 504 lending is led by full-service restaurants (first of 39 classes) although the state ranks just 34th on loans counted. A leading local class in a small national table has a median of $691,000, which is 1.14x the national 504 restaurant figure, and a central half from $433,500 to $1.1 million. The 27 loans total $21.3 million. Franchised loans are 18.5%, which is high for sit-down dining and suggests branded casual concepts.

Development companies

Rural Enterprises of Oklahoma, Inc. holds 12 loans and $6.1 million, Small Business Capital Corporation 6 and $6.5 million, and Metro Area Development Corporation 5 and $5.8 million. The second has half as many loans but more dollars, so it handles bigger projects. SBA lists loans held, now or earlier, and does not grade the companies. Tulsa County has 8 loans, Oklahoma County 6, Canadian 4, Cleveland 3, and Comanche, Garvin, Logan, Muskogee, Ottawa and Stephens 1 each.

Years

FY2017 had 2 loans, FY2018 3 and $1.4 million, FY2019 none, FY2020 4, and FY2021 5 loans and $3.4 million. FY2022 had 2, FY2023 5, FY2024 a single loan of $1.2 million, FY2025 3 loans and $4.9 million, the largest dollar year, and FY2026 2. Uneven counts like these tell a lender little about direction.

Gaps in the record

For Oklahoma restaurants the small cohorts leave cancellation and charge-off percentages unprinted. A restaurant carries a high failure rate in any state, so the silence is no comfort.

An Oklahoma restaurant study

With the property itself financed, the study should treat the building as collateral that must suit a later operator. It should size the trade area by traffic and households, check the concept against nearby competitors, test sales per seat and the labour and food cost, and model a ramp with sales under plan. For branded concepts the franchisor's site approval, royalty and remodel rules affect coverage. Put liquor licensing and the construction schedule on the timeline, and ask the appraiser for the building's value as a restaurant and as other retail space. Seasonal sales deserve a separate cash-flow line. A concept that depends on a single anchor employer or event calendar should also be tested against a year when that anchor is absent.