Biz2Credit Analysis of Industry
Sectors Finds Restaurant Loan Approval Rates Were
Greater Than 50% During 2018
Health Care, Retail, IT, and Professional Services Approvals All Exceed 30% in New Study
In an examination small business loan industry funding trends, Restaurants & Accommodation businesses had the highest loan approval rates (51%) in 2018 compared to other industries, including retail, health care, and professional and personal services, according to a new study by Biz2Credit.
Industry Approval rate
Restaurants and other food and accommodation businesses are inherently more risky than other types of businesses. However, with a strong lending atmosphere, the approval rates have been surprisingly high, who oversaw the research.“One reason for this result is that many food businesses do not qualify for traditional bank loans, but they are able to get funding via non-bank lenders, who charge higher rates but are willing to provide funding.” 
Rohit Arora, Biz2Credit CEO
average funded amount
Biz2Credit examined the financials of nearly 30,000 companies in the following sectors that applied for funding in 2018: Restaurants & Accommodation, Healthcare, Business Services, Professional Services, Retail, and Information Technology (IT).
Technology companies led in terms of average funded amount, followed by Retail, Restaurants, Personal Services, Healthcare, and Business & Professional Services.
highest level of funding
Technology businesses received the highest level of funding in New Jersey.
The highest levels for Retail and Restaurants were in New York. Personal Services funding was highest in Texas, but Professional Services funding was highest in Massachusetts. For Healthcare, California was the leader
| Industry | State | Average Funded Amount |
National | Average Funded Amount |
|
|---|---|---|---|---|---|
 |
Information Technology |
New Jersey | $251,250 | National | $102,029 |
 |
Retail | New York | $121,867 | National | $73,564 |
 |
Personal Services |
Texas | $116,154 | National | $52,989 |
 |
Restaurant & Accommodation |
New York | $106,701 | National | $59,746 |
 |
Business & Professional |
Massachusetts | $77,538 | National | $43,248 |
 |
Healthcare | California | $66,010 | National | $49,835 |
The economies on both coasts are doing well – particularly real estate and IT. Other industries are seeing some of their success because they are tied to the growth or real estate and IT, Also, these states are home to many immigrants and first-generation Americans, who are typically very entrepreneurial. 
Rohit Arora, Biz2Credit CEO
credit scores and Average Revenue
Industry breakouts
-
Accommodation & Food Service: Restaurants/bars, caterers, hotels, other food businesses.
-
Business & Professional Services: Accounting and tax preparation, bookkeeping, payroll services, legal services, marketing, and design services, among other businesses.
-
Healthcare: General medical services, doctor’s offices, dentist’s offices, visiting nurse services, residential care facilities, outpatient care centers (ex: physical therapy), mental health facilities.
-
IT: Software developers, consultants, staffing firms
-
Personal Services: Beauty (hair and nail salons), gyms, dance studios, yoga studios, laundry and dry cleaning, landscaping, cleanings services.
-
Retail Trade: Brick-and-mortar stores, ecommerce companies, clothing and fashion, florists, grocery stores, pharmacies, home furnishings, and vending machine operators.