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Buying a Business in California

The Numbers

FY2025 Acquisition Loans

754

$868M approved

Median Loan

$640k

FY2020 through FY2025

Loans Since FY2020

3,788

$4.30B in total approvals

Share of U.S. Activity

10.6%

Of change-of-ownership loans

What the Data Says

California ranks 1st of 53 states and territories for change-of-ownership SBA 7(a) lending: 3,788 loans since FY2020, 11% of the national total.

The typical deal is mid-market: its $640k median loan is close to the $650k midpoint across states.

Activity is accelerating: FY2025's 754 loans ran ahead of the state's own ~631 a year pace since FY2020.

The most-financed target is full-service restaurants (286 loans), and the 5 most active lenders wrote about 31% of the state's acquisitions, a broad lender field.

Most Active Acquisition Lenders in California

  1. 1. Live Oak Banking Company482 loans
  2. 2. Open Bank201 loans
  3. 3. Bank of Hope162 loans
  4. 4. Plumas Bank157 loans
  5. 5. Commonwealth Business Bank155 loans

A lender being active in California does not require a local branch; several top SBA lenders work nationally. Build a shortlist with Lenders.

Within two hours of Los Angeles? The Metro Target Scans rank this region's strongest industries.

What Gets Bought in California

  • Full-Service Restaurants286 loans
  • Limited-Service Restaurants227 loans
  • Gasoline Stations with Convenience Stores206 loans
  • Beer, Wine, and Liquor Retailers169 loans
  • Hotels (except Casino Hotels) and Motels114 loans

Industry-specific pricing and diligence live in the Guides. Where the buyable targets sit in California, by county, is in the California buying guide.

Method & Source

Computed from the SBA 7(a) FOIA loan-level dataset (FY2020 through FY2025), filtered to approvals flagged change of ownership with a California project address. Approvals, not closings; excludes conventional and 504 financing.