SMALL BUSINESS LENDING INTEL

STARTUP BUSINESS LENDING

FY2024 Startup Statistics

FY2024 (FY is SBA’s fiscal year ending 9/30/24) SBA 7(a) startup loans

  • 752 banks funded 6,817 startup loans in 465 industries. Of these 292 lenders funded 2,133 startup franchise loans for 744 different brands in 170 different industries. 

  • SBA startup loans were funded in all 50 states with borrowers from 2,498 cities. 48 states had a funded franchise SBA loan for borrowers from 1,085 different cities.

  • For FY2024 startup loans represented 17% of all funded dollars and 39% of franchisee funded dollars.

  • 59% of banks who funded a loan in last 12 months funded a startup loan but only 23% funded a franchise startup.

  • Average loan amount for a startup in FY2024 was $518,633 with the average franchise funded at $480,290. 

  • 772 startup loans funded over $1 million with 160 startup franchisee loans over this amount.

Startup franchise funded loan amount tiers

28% loan amounts < $150,000

27% loan amounts $150,000-$350,000

38% loan amounts $350,000-$1 million

8% loan amounts > $1 million

Startup funded loan amount tiers

37% loan amounts < $150,000

24% loan amounts $150,000-$350,000

28% loan amounts $350,000-$1 million

11% loan amounts > $1 million

Out of state lenders dominate startup loans

  • 85% of startup franchise dollars are funded by out of state lenders. 

  • 57% of non-franchise startup loan dollars are funded by out of state lenders

  • 66% of all startup loan dollars are funded by out of state lenders

  • 85% of startup franchise loan dollars are funded by out of state lenders. 

  • 90% of startup franchise loans under $150K are out of state bank funded while 77% of franchise startups over $1M are funded by out of state lenders.

Project States for Startup Business Loans

FY 2024 SBA 7(a) Startup Business Funded Dollars

All states had a change of ownership loan funded with borrowers from 2,498 cities.

Top Industries in SBA Lending: Startup Loans

FY 2024 SBA 7(a) Funded Loans

All LOANS

FRANCHISE LOANS

Last 2 Years Startup Business Lending Geography

FY 2024 & FY 2023 SBA 7(a) Startup Business Approved Loans

All LOANS

FRANCHISE LOANS

SBADNA Analytics

Source: All SBA 7(a) data shared is based on all SBA lending from all sources and not from SBA lending through LoanBox. SBA data and reports are not from the SBA but from SBA data from the lending analytics platform developed and maintained by SBADNA Analytics. SBADNA and LoanBox are both owned by the same parent company FuseSync LLC.  LoanBox and SBADNA does not validate or verify the data released by the SBA and provides no warranty of data accuracy or completeness.  

Data Source & Methodology

The original source of SBA loan data is derived from data released by the U.S. Small Business Administration (SBA). The SBA collects individual loan data from the SBA lender/bank approving and providing SBA loans. The SBA then makes basic loan data public through the FOIA (Freedom of Information Act) requirements. The SBA FOIA data is imported into the SBADNA advanced analytics platform which is then used to generate the reports and rankings

Read more about SBADNA utilizing SBA loan data source and methodology.