SBA 7(a) Quick Service Restaurant Feasibility Study in New Mexico

The SBA 7(a) book for quick service restaurants in New Mexico

The SBA 7(a) record for quick service restaurants in New Mexico runs to 61 loans and $30.0 million approved, counting FY2017 to FY2026 in New Mexico. Half the New Mexico loans sit at or below $315,700; the middle half of quick service restaurants spans $150,000 up to $588,000. Next to quick service restaurants nationally under SBA 7(a), New Mexico shows a median ratio of 1.06x, which puts New Mexico above the national figure for quick service restaurants. Brand systems matter for quick service restaurants: the franchise share is 59.0% in New Mexico.

For SBA 7(a) loans to quick service restaurants, New Mexico stands at rank 46 among states, while within New Mexico the class ranks 3 of 39. FY2018 was the New Mexico high point, 10 loans and $2.8 million together, and FY2026 lists 3 loans worth $1.0 million. New Mexico fast-food borrowers who come through 7(a) can pay for equipment, leasehold work or the purchase of a going business out of one loan, which this cell sets apart from the blended class view.

Most New Mexico loans sit with U.S. Bank, National Association, which holds 8 worth $2.3 million. Next come Wells Fargo Bank National Association: 5 loans, $2.5 million in all. SBA's New Mexico file puts U.S. Bank, National Association first among 61 loans, where each name holds or held quick service restaurants loans; none is rated. Among counties of New Mexico, Bernalillo shows 37 loans; next are Eddy with 4 and San Juan with 4. Lower on the list are Sandoval 3, Curry 2 and Dona Ana 2.

Reading the outcome floors for New Mexico quick service restaurants

For New Mexico quick service restaurants approved by FY2024, 19.6% as the least that was cancelled, and counting undisbursed loans changes nothing, so 19.6% is also the ceiling. The loss side is blank: the New Mexico funded cohort is too small, which says nothing about New Mexico either way. Only loans in SBA's New Mexico files appear.

What a New Mexico fast-food study must prove

Start with the frontage: count passing cars and walkers at the actual site near Bernalillo, then show how much of that flow a drive-thru window or counter can capture. Rent or ownership cost belongs on the same page as sales, because a unit that looks busy can still fail on occupancy. Between food cost, labor and royalties, little may be left to service a typical $315,700 loan, so stress the forecast with higher wages and a soft season. For a franchised unit, swap brand averages for the franchisor's disclosure and unit economics, because averages conceal weak locations. The appraisal will turn on what a different operator could afford to pay for the building.