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SBA lending data

SBA loans for window treatment retailers: an industry built on franchise start-ups

Four in ten SBA loans in this industry open a business that has not yet sold a blind, and more than half go to franchisees. That changes what the lender reads, and what the borrower has to bring.
Written by the Transparent underwriting desk · Updated
Quick answer

SBA lenders approved 185 7(a) loans to window treatment retailers from October 2023 to June 2026: $73,021,300 from 53 lenders. Two figures define the industry: 51.4% of loans went to franchises and 40.5% to start-ups, so a new franchisee's file is the one lenders see most. Loans clustered tightly, the middle half between $120,000 and $360,000, around a median of $180,000 against the national $150,300, at a median rate of 10.25%, the national figure. Buyers took 15.1% of loans, at a median of $447,750.

Window Treatment Retailers: what SBA lenders approvedSBA loan records
MeasureWindow Treatment RetailersAll industries
SBA 7(a) loans approved185162,355
Median loan$180,000$150,300
Middle half of loans$120,000 – $360,000$50,000 – $500,000
Loans of $1 million or more9.7%12.9%
Median rate at approval10.25%10.25%
Middle half of rates9.5% – 11.25%9.3% – 11.25%
Acquisitions (change of ownership)28 (15.1%)16,849 (10.4%)
Median acquisition loan$447,750$693,000
Lenders that made these loans531,648
SBA 504 loans (real estate, equipment)416,714

Approvals FY2024 – FY2026 to date (1 Oct 2023 – 30 Jun 2026), cancelled loans excluded. Source: SBA 7(a) and 504 FOIA loan records, as of June 30, 2026.

SBA 7(a) loans approved
185 (Oct 2023 – Jun 2026), from 53 lenders
Franchises
51.4% of loans
Start-ups
40.5% of loans
Median loan
$180,000 (national $150,300)
Median rate at approval
10.25% (national 10.25%)
Acquisitions
28 loans (15.1%), median $447,750 at 9.5%

Many of these loans open a new territory

Window treatment retailers (NAICS 449122) sell and install blinds, shades, shutters, drapery and motorized systems. A large part of the industry now works without a store: a consultant drives a van of samples to the customer's home, measures, quotes, orders made-to-measure product and returns to install it. Franchise systems built on that model account for much of the SBA lending here. More than half of all loans went to franchisees, four in ten went to businesses with no operating history, and the median business supported 3 jobs.

The shape of the loan data follows from it. The middle half of loans fell between $120,000 and $360,000, a narrow band, which fits an industry where a franchise start-up's budget looks much the same from one territory to the next. Only 4 SBA 504 loans were made, at a median of $601,000: very few of these businesses own a building. SBA Express was used for only 19.5% of loans: a start-up file, with its projection, franchise documents and traced equity, is one many lenders prefer to run through the standard 7(a) process.

SBA 7(a) approvals, NAICS 449122, 1 Oct 2023 – 30 Jun 2026, cancelled loans excluded. National figures are all 7(a) approvals in the period.
FigureWindow treatment retailersNational
Median loan$180,000$150,300
Middle half of loans$120,000 to $360,000
90th percentile$963,200
Loans of $1 million or more18 (9.7%)
Median rate10.25% (middle half 9.5% to 11.25%)10.25%
Fixed-rate share14.6%
Acquisitions28 loans (15.1%), median $447,750 at 9.5%10.4% of loans
Start-ups40.5% of loans
Franchises51.4% of loans
SBA Express19.5% of loans
SBA 5044 loans, median $601,000

How a lender underwrites a franchise start-up

With no history to read, the lender underwrites the person and the plan. It confirms the brand is on SBA's Franchise Directory, reads the franchise disclosure document for the system's fees, territory rights and support, and tests the projection against how long a new territory takes to cover its costs. It then asks the questions that decide most start-up files:

  • Can the owner sell in a customer's living room? This is a sales business. The owner's resume, which supports SBA Form 1919's management experience questions, should show selling, managing people or running a territory. See SBA Form 1919 and buyer experience requirements.
  • Where does the equity come from? SBA requires at least 10% of total project costs for a start-up. Lenders trace it: savings, home equity, a retirement rollover. See the equity injection and ROBS versus home equity.
  • How does the household live during the ramp? A new territory may not pay its owner for months. SBA looks at global cash flow of at least 1.0x including the owners, so a spouse's income or other household income often carries the file.
  • What is pledged? Every owner of 20% or more personally guarantees the loan, and with few business assets, lenders commonly take a lien on the owner's home where there is equity in it. See SBA and the personal residence.
A franchise start-up budget is mostly intangible. The loan is repaid from the business, and secured largely by the owner.
Start-up budget itemHow the lender treats it
Initial franchise feeA real project cost, financed with the rest, but worth nothing as collateral
Van and vehicle wrapThe van is the one asset with resale value, titled and liened; the wrap adds none
Sample kits and showroom displaysNeeded to sell, of little value to anyone else
Grand-opening and lead-generation marketingA large early cost; lenders look for it in the projection, not only in the budget
Installation tools and laddersSmall, practical, not collateral
Working capital reserveWhat carries the owner and the payments until orders cover them; lenders prefer it sized generously

The established dealer: designers, builders and deposits

The rest of the industry is the established dealer: a showroom or design studio selling shutters, drapery and motorized shades, often through interior designers, custom home builders and commercial buyers. These businesses borrow like other specialty retailers. Lenders read the referral channels, because a dealer with most of its sales from two designers or one builder carries their risk; the margin after installation labor; and customer deposits. Made-to-measure product is ordered against a deposit and cannot be returned to the supplier, so a deposit is money the dealer owes in work, and a lender counts it as a liability until the job is installed.

Of the loans, 18 were $1 million or more and the 90th percentile was $963,200. Loans that size are more likely to go to multi-territory franchisees, to buyers of an established dealer, or to a dealer buying its premises. For a sister industry with the same deposit and installation questions, see floor covering retailers; for the design side, interior design services.

In a made-to-measure business, the customer's deposit has usually already been spent on the customer's order. Lenders check that the next month's installs are not funding this month's bills.

Buying a territory or a dealer

Buyers took 28 loans, 15.1% of the total, at a median of $447,750 and a median rate of 9.5%, below the industry's overall median. Buying a franchised territory requires the franchisor's approval of the buyer and the transfer, and usually a new franchise agreement; the lender will want both before closing. See franchise resale financing.

  • Valuation. A median purchase above $250,000, with little equipment or real estate to subtract, means SBA's independent business valuation is required in most of these deals, and the purchase loan cannot exceed it.
  • The seller's role. In a small territory the seller often is the salesperson. The seller may consult for up to 12 months, or up to 24 months under SOP 50 10 8.1 from 1 October 2026, but may not remain as an owner, officer or employee. See SBA seller transition rules.
  • Equity and seller notes. At least 10% of total project costs; a seller note counts toward up to half only on full standby for the life of the loan. SBA prohibits an earnout to the seller.
  • Coverage. From 1 October 2026 a change of ownership must show 1.25x debt service coverage on historical results, and financial due diligence is required on every one.

Preparing the file

Every file begins with SBA's list: personal tax returns and a personal financial statement for each owner of 20% or more, a business plan and use-of-proceeds narrative, and the owner's resume. An existing business adds business tax returns for 2–3 years, a P&L and balance sheet with a year-to-date P&L, and a debt schedule with copies of notes being refinanced. For this industry:

  • Franchise start-up: the franchise disclosure document, the signed or proposed franchise agreement, a month-by-month projection for the first two years, the start-up budget, and proof of the equity and where it came from
  • Existing dealer or franchisee: sales by channel and by referral source, a schedule of deposits held against open orders, installation costs by job, and monthly sales for two years
  • Purchase: the letter of intent, the franchisor's transfer approval where there is one, and the business's latest full year of figures, never an older year

Related industries: other home furnishings retailers, furniture retailers and flooring stores. Once the documents are in, Transparent builds the full lender package in a day; on SBA loans the lender pays Transparent, not the borrower.

Common questions

Can I get an SBA loan to open a blinds and shutters franchise?
Yes. Franchises took 51.4% of SBA loans in this industry and start-ups 40.5%, so lenders here see this file often. Expect to bring at least 10% of total project costs as equity, show relevant sales or management experience, and personally guarantee the loan.
How much do window treatment businesses borrow?
The median 7(a) loan from October 2023 to June 2026 was $180,000, and the middle half fell between $120,000 and $360,000. The median rate was 10.25%.
What collateral does a window treatment start-up have?
Very little inside the business: a van, samples and tools. Lenders secure what they can, commonly including a lien on the owner's home where there is equity, and rely on the owner's personal guarantee.
Can I buy an existing window treatment franchise with an SBA loan?
Yes. Buyers took 15.1% of loans, at a median of $447,750. The franchisor must approve the transfer, SBA will usually require an independent valuation, and the seller cannot be paid through an earnout.
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