Lenders › Dakota Business Finance
504 CDCSioux Falls, South Dakotacertified development company30th of 182 by approvals
Dakota Business Finance
SBA 504 loan approvals by fiscal year, where they went, how large they were, and how loans from earlier years turned out.
SBA approvals by fiscal year. The federal fiscal year runs 1 October to 30 September, so FY2025 is 1 October 2024 to 30 September 2025. *FY2026 is open: approvals to 30 Jun 2026 only.
In FY2021 to FY2025 SBA approved 318 504 loans, worth $262M, through Dakota Business Finance of Sioux Falls, South Dakota, a certified development company (CDC) that makes SBA 504 loans. By number of approvals that is 30th among 182 active CDCs.
In FY2025, the latest complete fiscal year, it had 66 approvals totalling $56.2M, up 29% on FY2024 (51). FY2026 to 30 Jun 2026 adds 42 more.
The median approval was $466K, against $657K for the 504 program as a whole; 9.4% of its approvals were for $150,000 or less (program: 4.6%).
Its loans went to businesses in 7 states and territories and 58 counties, led by South Dakota (82.1%), Iowa (10.7%) and Minnesota (6.0%). The largest industry group was accommodation and food services at 21.4% of approvals, and 15.1% of approvals were to franchise businesses.
Of 371 disbursed loans approved in FY2010 to FY2021, SBA records 4 as charged off (1.1%), 171 as paid in full and 196 still outstanding; the 504 program figure for the same approval years is 1.2%, so the rate here is close to it.
Loan status is as recorded by SBA at the data date; charge-off rates are computed on loans approved at least five fiscal years ago. Jobs supported are self-reported estimates from the SBA loan application, which SBA does not review, audit or validate. Loans appear under the lender they are assigned to today, so a lender's figures include loans it took over. Data through 30 Jun 2026.
Approvals by fiscal year
| Fiscal year | Approvals | Dollars approved | Median approval | Average approval | Jobs supported, as reported |
|---|---|---|---|---|---|
| FY2026* | 42 | $32.7M | $419K | $779K | 433 |
| FY2025 | 66 | $56.2M | $545K | $852K | 619 |
| FY2024 | 51 | $37.0M | $396K | $726K | 402 |
| FY2023 | 34 | $39.3M | $459K | $1.2M | 355 |
| FY2022 | 65 | $59.0M | $614K | $908K | 798 |
| FY2021 | 102 | $70.8M | $428K | $694K | 926 |
| FY2020 | 59 | $30.8M | $377K | $522K | 467 |
| FY2019 | 28 | $18.4M | $326K | $659K | 175 |
| FY2018 | 31 | $16.0M | $387K | $517K | 404 |
| FY2017 | 37 | $24.0M | $518K | $648K | 387 |
| FY2016 | 21 | $12.2M | $447K | $581K | 155 |
Approvals are counted in the year SBA approved them and include approvals later cancelled. In the five fiscal years before the current window (FY2016–FY2020) the lender had 176 approvals. First approval on file: FY2010.
How earlier loans turned out
Only loans approved at least five fiscal years ago (FY2010–FY2021) are counted, because newer loans have had little time to be paid in full or charged off. "Charged off" is SBA's status for a loan on which it has written off the remaining balance.
| Loans approved FY2010–FY2021 | This lender | South Dakota | 504 program |
|---|---|---|---|
| Approvals in these years | 431 | 865 | 85,591 |
| Cancelled or never disbursed | 60 | 110 | 12,514 |
| Disbursed loans | 371 | 755 | 73,077 |
| Paid in full | 171 | 345 | 35,491 |
| Charged off | 4 | 13 | 905 |
| Still outstanding (status exempt from disclosure) | 196 | 397 | 36,681 |
| Charged off, share of disbursed loans | 1.1% | 1.7% | 1.2% |
| Dollars charged off, share of disbursed dollars | 3.5% | 3.2% | 0.9% |
| Dollars charged off | $7.5M | $13.5M | $499M |
By approval year
| Approved in | Disbursed | Paid in full | Charged off | Charged off, share | 504 program, same year |
|---|---|---|---|---|---|
| FY2021 | 83 | 15 | 0 | 0.0% | 0.1% |
| FY2020 | 56 | 15 | 0 | 0.0% | 0.1% |
| FY2019 | 25 | 4 | 1 | — | 0.3% |
| FY2018 | 29 | 18 | 0 | — | 0.4% |
| FY2017 | 33 | 18 | 0 | 0.0% | 0.8% |
| FY2016 | 18 | 7 | 0 | — | 1.0% |
| FY2015 | 24 | 14 | 2 | — | 1.2% |
| FY2014 | 18 | 11 | 1 | — | 1.3% |
| FY2013 | 15 | 11 | 0 | — | 1.4% |
| FY2012 | 26 | 21 | 0 | — | 2.0% |
| FY2011 | 22 | 18 | 0 | — | 2.1% |
| FY2010 | 22 | 19 | 0 | — | 3.4% |
A share is shown only where at least 30 loans from that year were disbursed.
Against the 504 program
| FY2021–FY2025 | This lender | 504 program |
|---|---|---|
| Median approval | $466K | $657K |
| Average approval | $825K | $1.0M |
| Approvals of $150,000 or less | 9.4% | 4.6% |
| Approvals to startups and businesses 2 years old or less | 31.4% | 14.4% |
| Approvals to franchise businesses | 15.1% | 9.0% |
| Jobs supported per approval, as reported | 9.7 | 10.1 |
| Charged off, loans approved FY2010–FY2021 | 1.1% | 1.2% |
States served
| # | State of the business (7 in all) | Approvals | Dollars | Share | |
|---|---|---|---|---|---|
| 1 | South Dakota | 261 | $215M | 82.1% | |
| 2 | Iowa | 34 | $33.6M | 10.7% | |
| 3 | Minnesota | 19 | $10.0M | 6.0% | |
| 4 | North Dakota | 1 | — | 0.3% | |
| 5 | Missouri | 1 | — | 0.3% | |
| 6 | Nebraska | 1 | — | 0.3% | |
| 7 | Wisconsin | 1 | — | 0.3% |
In South Dakota the lender accounts for 52.1% of all 504 approvals in FY2021–FY2025.
Counties served
| # | County of the business (58 in all) | Approvals | Dollars | Share | |
|---|---|---|---|---|---|
| 1 | Minnehaha County, SD | 130 | $130M | 40.9% | |
| 2 | Lincoln County, SD | 47 | $24.4M | 14.8% | |
| 3 | Pennington County, SD | 10 | $11.3M | 3.1% | |
| 4 | Dickinson County, IA | 10 | $5.8M | 3.1% | |
| 5 | Davison County, SD | 9 | $5.9M | 2.8% | |
| 6 | McCook County, SD | 9 | $2.0M | 2.8% | |
| 7 | Brown County, SD | 7 | $1.9M | 2.2% | |
| 8 | Polk County, IA | 5 | $5.4M | 1.6% | |
| 9 | Clay County, SD | 5 | $1.2M | 1.6% | |
| 10 | Lyon County, IA | 4 | $5.6M | 1.3% | |
| 11 | Codington County, SD | 4 | $4.4M | 1.3% | |
| 12 | Union County, SD | 4 | $3.3M | 1.3% |
Industry mix
| # | NAICS sector | Approvals | Share | |
|---|---|---|---|---|
| 1 | Accommodation and Food Services | 68 | 21.4% | |
| 2 | Retail Trade | 36 | 11.3% | |
| 3 | Manufacturing | 32 | 10.1% | |
| 4 | Other Services (except Public Administration) | 32 | 10.1% | |
| 5 | Health Care and Social Assistance | 31 | 9.7% | |
| 6 | Construction | 24 | 7.5% | |
| 7 | Professional, Scientific, and Technical Services | 21 | 6.6% | |
| 8 | Real Estate and Rental and Leasing | 18 | 5.7% |
| # | Industry group | Approvals | Share | |
|---|---|---|---|---|
| 1 | Traveler AccommodationNAICS 7211 | 32 | 10.1% | |
| 2 | Restaurants and Other Eating PlacesNAICS 7225 | 31 | 9.7% | |
| 3 | Automotive Repair and MaintenanceNAICS 8111 | 15 | 4.7% | |
| 4 | Child Day Care ServicesNAICS 6244 | 12 | 3.8% | |
| 5 | Cattle Ranching and FarmingNAICS 1121 | 9 | 2.8% | |
| 6 | Lessors of Real EstateNAICS 5311 | 9 | 2.8% | |
| 7 | Other Personal ServicesNAICS 8129 | 8 | 2.5% | |
| 8 | Miscellaneous Nondurable Goods Merchant WholesalersNAICS 4249 | 8 | 2.5% | |
| 9 | Offices of Other Health PractitionersNAICS 6213 | 8 | 2.5% | |
| 10 | Legal ServicesNAICS 5411 | 7 | 2.2% |
Approval sizes
- $50,000 or less0.3%1
- $50,001 to $150,0009.1%29
- $150,001 to $350,00026.1%83
- $350,001 to $1 million43.1%137
- $1 million to $2 million11.9%38
- Over $2 million9.4%30
Loan terms
- Over 5 to 10 years6.0%19
- Over 10 to 20 years8.8%28
- Over 20 years85.2%271
Age of the businesses
- Existing, more than 2 years old64.2%204
- New business, 2 years or less2.8%9
- Startup, loan funds will open the business28.6%91
- Change of ownership4.4%14
SBA processing method
| # | Method | Approvals | Share | |
|---|---|---|---|---|
| 1 | Accredited Lenders Program | 216 | 67.9% | |
| 2 | ALP Express | 67 | 21.1% | |
| 3 | 504 Refinancing Program | 29 | 9.1% | |
| 4 | ALP Express Debt Refi | 4 | 1.3% | |
| 5 | 504 Basic | 2 | 0.6% |
Franchise share
48 of 318 approvals in FY2021–FY2025 (15.1%) carried an SBA franchise code; across the 504 program the share is 9.0%.
| # | Franchise brand | Approvals | Share | |
|---|---|---|---|---|
| 1 | Scooter's Coffee | 4 | 1.3% | |
| 2 | Pizza Ranch | 4 | 1.3% | |
| 3 | AmericInn by Wyndham | 3 | 0.9% | |
| 4 | Slim Chicken's | 3 | 0.9% | |
| 5 | Quality Inn | 3 | 0.9% | |
| 6 | Real Property Management | 3 | 0.9% | |
| 7 | Holiday Inn Express | 2 | 0.6% | |
| 8 | Sleep Inn | 2 | 0.6% |
Third-party lenders in its 504 projects
A 504 project pairs the CDC's loan with a larger loan from a bank or other lender. Banks and credit unions named on five or more of this CDC's projects in FY2021–FY2025:
| # | Third-party lender | Projects | Share | |
|---|---|---|---|---|
| 1 | First Dakota National Bank | 52 | 16.4% | |
| 2 | Plains Commerce Bank | 23 | 7.2% | |
| 3 | The First National Bank in Sioux Falls | 22 | 6.9% | |
| 4 | Central Bank | 20 | 6.3% | |
| 5 | First Interstate Bank | 18 | 5.7% | |
| 6 | American Bank and Trust | 17 | 5.3% | |
| 7 | CorTrust Bank National Association | 16 | 5.0% | |
| 8 | Dacotah Bank | 13 | 4.1% | |
| 9 | First Bank & Trust | 13 | 4.1% | |
| 10 | Bank Midwest | 12 | 3.8% |
Questions and answers
How many SBA loans does Dakota Business Finance make?
SBA approved 66 504 loans through Dakota Business Finance in FY2025, worth $56.2M, and 318 over FY2021 to FY2025. That ranks 30th of 182 active CDCs by number of approvals.
How large are Dakota Business Finance's typical SBA loans?
The median 504 approval in FY2021 to FY2025 was $466K and the average $825K. The program-wide median was $657K.
What is Dakota Business Finance's charge-off rate?
Of 371 disbursed loans approved in FY2010 to FY2021, SBA records 4 as charged off (1.1%), 171 as paid in full and 196 still outstanding; the 504 program figure for the same approval years is 1.2%, so the rate here is close to it. Loans are listed under the lender that holds them today, so the figure includes loans taken over from other lenders. Status is as recorded by SBA on 30 Jun 2026.
Which industries does Dakota Business Finance lend to most?
By number of approvals in FY2021 to FY2025: traveler accommodation (32); restaurants and other eating places (31); automotive repair and maintenance (15); child day care services (12).
Where does Dakota Business Finance make SBA loans?
In 7 states and territories. South Dakota 261, Iowa 34, Minnesota 19, North Dakota 1, Missouri 1. In South Dakota it accounts for 52.1% of all 504 approvals.
Is Dakota Business Finance's SBA lending rising?
Approvals in the three latest complete fiscal years total 151, against 226 in the three before: falling (-33%).
Where does this data come from?
From the Small Business Administration's 7(a) and 504 FOIA loan files, as of 30 Jun 2026. Borrower names and addresses in those files are discarded when the files are read and appear nowhere on this site.
About these figures
Figures are totals of the Small Business Administration's 7(a) and 504 FOIA loan files, data through 30 Jun 2026. SBA updates the files quarterly. Counts are loan approvals, including approvals later cancelled; the five-year window is FY2021–FY2025, the five latest complete fiscal years. Charge-off rates use only loans approved in FY2010–FY2021, at least five fiscal years ago, and count disbursed loans SBA records as charged off. Loans are listed under the lender they are assigned to today. Dollar figures behind fewer than three approvals are not shown, and no borrower is named anywhere on this site.Methodology · Report an error