SBA 7(a) Liquor Store Feasibility Study in Oregon

Oregon liquor store lending in SBA's records

In Oregon, SBA 7(a) approved 42 loans in the liquor store class. Across FY2017 to FY2026 in Oregon that came to $10.6 million gross. Counting liquor store loans, Oregon ranks 26 across states for liquor store under this program, and liquor store sits 15 of 39 among Oregon classes. A median of $109,850 is 0.25x of the national liquor store median under SBA 7(a), so Oregon runs below the norm. For liquor store in Oregon, the middle half spans $25,000 to $299,375, and franchise flags mark 0.00% of Oregon liquor store loans.

Who holds the liquor store loans, and where

The largest named liquor store holder in Oregon is Columbia Bank: 15 loans worth $2.8 million; behind it U.S. Bank, National Association, 7 loans ($495,000). Holders in Oregon are those SBA currently lists. The Oregon liquor store county count starts with Marion at 7, Multnomah at 6, Washington at 6, Jackson at 3, Lane at 3.

Timing of Oregon approvals

The Oregon liquor store calendar shows 6 loans ($1.8 million) in FY2019, then in Oregon 2 in FY2020 ($892,500), and in Oregon 4 in FY2021 ($240,000), 5 in FY2023 ($2.3 million) and 5 in FY2024 ($405,000) against Oregon's peak of 8 in FY2017.

Liquor store cancel and charge-off floors

In Oregon, approval did not always mean a liquor store loan: of FY2017 to FY2024 Oregon approvals, at least 20.0% ended in Oregon cancellation, with 20.0% the ceiling if undisbursed liquor store loans are added. The liquor store cohort funded in Oregon is too small, so Oregon holds no stable charge-off rate for liquor store loans in Oregon funded FY2017 to FY2021; Oregon withholds the rate, and Oregon lenders should not read it as zero.

Oregon package stores: what the study must show

A package-store plan in Oregon depends on licensing and location. The study should confirm the state-controlled framework governing sales, count rival outlets and grocery competitors that sell alcohol, and test the customer base that a corner or strip location can reach. Inventory investment and shrink belong in working-capital needs, and the purchase price of an existing store should reconcile with its sales history. Set the capital plan against loans centred on $109,850, with coverage shown through a quiet season, and expect the appraiser to treat the license as separate from the real estate.

Oregon package stores and the silent loss rate

SBA records no coding caveat for liquor stores, though the Oregon loss rate is withheld, so a lender cannot read history into that silence.