ILLINOIS · NAICS NAICS 6211, 6212
Illinois medical and dental practice deals are typically goodwill-heavy acquisitions or projection-based startups and relocations. Studies translate procedure mix, payer contracts, and trade-area demand into defensible revenue, and the appraisal file resolves intangible value where the deal crosses the goodwill threshold.
FEASIBILITY TRIGGER
Acquisitions routinely cross the $250,000 goodwill threshold triggering an independent going-concern appraisal; startups and relocations are projection-based.
Between FY2010 and FY2026, SBA lenders approved and disbursed 833 7(a) and 504 loans for medical and dental practice projects in Illinois, totaling $352.5 million in approved financing at an average of $423,000 per loan. Illinois ranks #8 of 38 states tracked for medical and dental practice SBA lending volume and accounts for 2.0% of national medical and dental practice SBA dollar volume. 80.8% of these loans were made under the 7(a) program, the remainder under 504. 84 loans have been approved since FY2024.
| Disbursed loans (FY2010–FY2026) | 833 |
| Approved volume | $352.5 million |
| Average loan size | $423,000 |
| 7(a) share | 80.8% |
| Approvals since FY2024 | 84 |
| State rank by loan count | #8 of 38 |
Among the 683 seasoned loans in this segment (approvals FY2010–FY2021), 4.5% reached adverse resolution — purchased, liquidated, or charged off. The national benchmark for medical and dental practice is 3.7%, against 7.3% across all industries. That performance runs above the national benchmark for this asset class, which is a factor lenders weigh in their credit decision.
Source: SBA 7(a) and 504 FOIA loan-level data, as of March 31, 2026. Disbursed loans only. See data methodology.
A 4.5% adverse-resolution rate against the national medical and dental practice benchmark of 3.7% tells credit committees to scrutinize revenue projections and coverage assumptions closely on Illinois deals in this class. A rigorous third-party feasibility study — built on documented demand, defensible pricing, and stressed coverage — carries meaningful weight in that underwriting conversation, particularly at an average loan size of $423,000 across 833 loans.
Every Illinois medical and dental practices project we underwrite follows the same lender ready process: independent market analysis, site and technical review, and financial projections tested against SBA SOP 50 10 8 standards. Our SBA feasibility study consultants guide explains scope, timing, deliverables, and what lenders and CDCs expect in the report.
Illinois projects often fit SBA 504 where owner-occupied real estate anchors the deal, with the 50/40/10 structure delivering up to 90 percent financing at a fixed debenture rate, while SBA 7(a) covers acquisitions, working capital, and equipment. From July 4, 2026 eligible borrowers can combine 7(a) and 504 for up to $10 million in total program credit.
Chicagoland practice consolidation and downstate primary-care demand anchor competitive analysis for Illinois practice deals.
For a national view of this asset class, see our medical and dental practice SBA feasibility overview, and read our related analysis in the medical and dental practice lending research on our blog.
Public SBA and CDC program records, cited as program evidence
SBA 504 through PeopleFund
Medical office real estate purchase, national program evidence
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