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Franchise financing

STATE FARM INSURANCE franchise financing

What it costs to finance a STATE FARM INSURANCE franchise and how buyers fund it. The real numbers: how much gets borrowed, which lenders fund it, and the track record.

By Mario Bailey · Source: SBA FOIA data, as of 2026-03-31

SBA loans
122
Total funded
$26.3M
Median loan
$153K
7(a) charge-off
2.9%

What financing a STATE FARM INSURANCE franchise costs

The median SBA loan to a STATE FARM INSURANCE franchisee is $153K, and the middle half of STATE FARM INSURANCE's 122 loans run $100K to $253K (average $215K). Across all SBA-financed franchises the median loan is $350K. STATE FARM INSURANCE buyers borrow less than the typical franchisee.

These are loan amounts, not the brand's total startup cost. Buyers also put in equity (the SBA generally wants at least 10% down on a new franchise), and the brand's own investment estimate is Item 7 of its franchise disclosure document (FDD). The median STATE FARM INSURANCE loan runs 20 years. Model your numbers with the franchise financing calculator.

Of the 113 STATE FARM INSURANCE loans where the SBA recorded a business age, 12.4% went to new businesses two years old or younger. The rest funded existing operations.

How to finance STATE FARM INSURANCE

STATE FARM INSURANCE franchisees have financed with 122 SBA loans since FY2010, averaging $215K each. Of those, 68 ran through the 7(a) program (franchise fee, build-out, equipment, and working capital) and 54 through 504 (owner-occupied real estate). Lenders weigh your credit, management experience, and the brand's track record alongside the equity you bring.

STATE FARM INSURANCE's 7(a) charge-off rate is 2.9% across 68 loans, a relative track-record signal lenders and buyers weigh, not a guarantee. See how that compares across franchises.

STATE FARM INSURANCE SBA funded volume by fiscal year

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STATE FARM INSURANCE SBA financing FAQ

How much does a STATE FARM INSURANCE franchise cost?

The public SBA data shows what buyers actually borrow, not a sticker price: the median SBA loan to a STATE FARM INSURANCE franchisee is $153K, and the middle half of STATE FARM INSURANCE's 122 loans run $100K to $253K. Total investment (including the equity you put in, generally 10% or more) is estimated in Item 7 of STATE FARM INSURANCE's franchise disclosure document.

Can you use an SBA loan for STATE FARM INSURANCE?

Yes. Lenders have funded 122 SBA loans to STATE FARM INSURANCE franchisees, worth $26.3M in all, so STATE FARM INSURANCE is regularly financed with SBA 7(a) and 504 loans.

Can a first-time owner get an SBA loan for STATE FARM INSURANCE?

The data says yes: of STATE FARM INSURANCE's 113 SBA loans that record a business age, 12.4% went to new businesses two years old or younger. Expect the lender to look harder at your experience, business plan, and equity injection.

Which lenders finance STATE FARM INSURANCE?

By loan count, the most active SBA lenders for STATE FARM INSURANCE are Wells Fargo Bank National Association, Arizona Financial Credit Union, Florida Business Development Corporation, among others. A lender already active with your brand often moves faster.

What is STATE FARM INSURANCE's SBA charge-off rate?

Across STATE FARM INSURANCE's 68 SBA 7(a) loans, 2.9% have charged off. Read it as a relative track-record signal, not a prediction. It is not a lifetime default rate.

Which SBA program fits STATE FARM INSURANCE?

Both. Of STATE FARM INSURANCE's 122 SBA loans, 68 were 7(a) (franchise fee, build-out, equipment, working capital) and 54 were 504 (owner-occupied real estate). The median STATE FARM INSURANCE loan term is 20 years.

Method. Figures cover SBA 7(a) and 504 loans tagged to the STATE FARM INSURANCE franchise in the public SBA data, FY2010–2026 (as of 2026-03-31). Charge-off is 7(a)-only. Medians and the middle-half range are computed from per-loan approval amounts; loan terms and business age are used only where the SBA recorded them. The SBA tags loans by the franchise name it recorded; spelling variants the SBA used separately are not merged. SBA Loan Index is independent and not affiliated with STATE FARM INSURANCE or the SBA; this is information, not financial advice. See the methodology.