SBA 7(a) Physical Therapy Clinic Feasibility Study in Virginia

A quarter of Virginia therapy approvals did not close

The distinctive metric for Virginia's physical therapy clinics is cancellation: 25.0% or more of the approvals up to FY2024 fell away, and the ceiling matches, a rate that clears our margin against both parents. The remaining facts are ordinary: 50 approvals worth $13.5 million, a median of $150,000 that is 1.07x the nationwide level, and a central band from $51,250 to $250,000. Franchising reaches 8.0%. Virginia ranks 23 among states for rehabilitation and therapy clinic loans, and the class occupies slot 15 of 39 in its home state.

Few holders named, many counties

Celtic Bank Corporation appears in the table with 5 loans and $547,000, the only holder shown. The county list is more informative: Fairfax has 9 loans, Prince William 5, and Arlington, Botetourt and Henrico 4 each, so activity runs from the northern suburbs to the Roanoke area and Richmond. Approvals reached 9 loans in both FY2025 and FY2026, with $2.6 million and $2.5 million, and one year, FY2023, carried 6 loans worth $4.5 million.

The cell supports no charge-off rate, and we say nothing numeric about it; it should not be taken as a clean record.

Interpreting the cancellation figure for a study

A borrower who knows a quarter of approvals in this class and state did not proceed should plan for the reasons most likely to derail a clinic: a lease not signed, a licence or payer credentialing delayed, or a therapist the owner counted on leaving. A feasibility study for a Virginia clinic should therefore test the referral base, since physical therapy depends on physicians and surgeons who direct patients, together with the number of therapists the site can employ and the visits each can deliver. Reimbursement per visit varies by payer and limits on covered visits, so revenue should be modelled from payer mix and not from a headline price. Buildout covers treatment tables, equipment and a gym floor. The study should show the ramp to a working caseload and the debt service during it. Appraisal is of a going concern and a leasehold, so lease length against payback matters.

Because 25.0% of earlier approvals did not go forward, a Virginia applicant should arrive with the lease, the credentialing timetable and the buildout quotes already in hand. A lender reading the study will look for signed documents and dated steps, which cut down the avoidable reasons an approval lapses.