Franchise Failure Rates

SBA 7(a) loan outcomes · FY2010–FY2019 cohort · Statuses as of June 30, 2026 · Last updated August 17, 2026

9ROUND Franchise Failure Rate: 26.2% SBA Loan Defaults (2010–2019 Federal Data)

26.2%
charge-off rate on 80 SBA 7(a) loans to 9ROUND franchisees, FY2010–2019
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019 — 9ROUND against its industry and all franchises
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: 9ROUND 26.2%; Fitness and Recreational Sports Centers 11.4%; All franchises 10.2%9ROUND 26.2%; Fitness and Recreational Sports Centers 11.4%; All franchises 10.2%0%5%10%15%20%25%9ROUND26.2%Fitness and RecreationalSports Centers11.4%All franchises10.2%
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: 9ROUND 26.2%; Fitness and Recreational Sports Centers 11.4%; All franchises 10.2%9ROUND 26.2%; Fitness and Recreational Sports Centers 11.4%; All franchises 10.2%0%5%10%15%20%25%9ROUND26.2%Fitness and Recreational Sports Centers11.4%All franchises10.2%

Source: U.S. SBA FOIA dataset, statuses as of June 30, 2026. Figures also in the comparison table below.

About 1 in 4 9ROUND SBA borrowers failed to repay — more than double the Fitness and Recreational Sports Centers average of 11.4%.

Between 2010 and 2019, 80 9ROUND franchisees financed with SBA 7(a) loans. 21 defaulted — a 26.2% charge-off rate, 2.3x the Fitness and Recreational Sports Centers average of 11.4%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.

What is the 9ROUND franchise failure rate on SBA loans?

9ROUND is a Fitness and Recreational Sports Centers franchise. This page reports the outcome of every SBA 7(a) loan the U.S. Small Business Administration's public FOIA file attributes to 9ROUND franchisees: 80 loans approved between fiscal 2010 and 2019, of which 21 were charged off. Loan statuses are as of June 30, 2026, and the cohort has matured, so these are settled outcomes rather than projections.

How does 9ROUND compare with other Fitness and Recreational Sports Centers franchises?

The table sets 9ROUND's charge-off rate beside its Fitness and Recreational Sports Centers peers and the two economy-wide benchmarks. All figures use the same cohort — SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026 — and the same denominator of resolved loans, so they are directly comparable. A cell in red is more than twice the industry benchmark.

9ROUND versus benchmarks, SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026. Source: U.S. SBA FOIA dataset.
Measure9ROUNDFitness and Recreational Sports CentersAll franchisesAll SBA borrowers
Default (charge-off) rate26.2%11.4%10.2%8.0%
Loans in sample80———
Defaults21———
Average loan size$91,590———

What has 9ROUND SBA lending looked like since 2020?

Since 2020, 9ROUND franchisees have taken 20 new SBA 7(a) loans. 4 have already charged off. Early defaults on loans under six years old are notable — most SBA failures take longer to develop.

Charge-off rate by approval year — share of each fiscal year's 9ROUND SBA 7(a) loans that later defaulted (FY2010–FY2019); years with fewer than 10 loans are outlined, not filled
Charge-off rate by approval year: FY2014 50% of 4 loans; FY2015 6% of 16 loans; FY2016 36% of 11 loans; FY2017 50% of 16 loans; FY2018 12% of 25 loans; FY2019 38% of 8 loansCharge-off rate by approval year: FY2014 50% of 4 loans; FY2015 6% of 16 loans; FY2016 36% of 11 loans; FY2017 50% of 16 loans; FY2018 12% of 25 loans; FY2019 38% of 8 loans0%25%50%50%2014n=46%2015n=1636%2016n=1150%2017n=1612%2018n=2538%2019n=8
Charge-off rate by approval year: FY2014 50% of 4 loans; FY2015 6% of 16 loans; FY2016 36% of 11 loans; FY2017 50% of 16 loans; FY2018 12% of 25 loans; FY2019 38% of 8 loansCharge-off rate by approval year: FY2014 50% of 4 loans; FY2015 6% of 16 loans; FY2016 36% of 11 loans; FY2017 50% of 16 loans; FY2018 12% of 25 loans; FY2019 38% of 8 loans0%25%50%50%’14n=46%’15n=1636%’16n=1150%’17n=1612%’18n=2538%’19n=8

Loans approved since 2020, by fiscal year — counts only: 4 have charged off to date and most are still outstanding, so no rate is drawn.

Loans approved since 2020: FY2020 10; FY2021 5; FY2023 4; FY2026 1Loans approved since 2020: FY2020 10; FY2021 5; FY2023 4; FY2026 1102020520214202312026
Loans approved since 2020: FY2020 10; FY2021 5; FY2023 4; FY2026 1Loans approved since 2020: FY2020 10; FY2021 5; FY2023 4; FY2026 110’205’214’231’26

Source: U.S. SBA FOIA dataset, statuses as of June 30, 2026.

Show the numbers behind this chart
Fiscal yearLoansCharged offRate
FY20144250.0%
FY20151616.2%
FY201611436.4%
FY201716850.0%
FY201825312.0%
FY20198337.5%
FY202010—outstanding
FY20215—outstanding
FY20234—outstanding
FY20261—outstanding

How to read this

A charge-off means a franchisee borrowed, operated, and failed severely enough that the SBA wrote off the government-guaranteed loan. Unlike franchisor marketing or Item 19 disclosures, this is an observed outcome recorded by a federal agency. One caveat cuts the other way: SBA borrowers are typically less capitalized than all-cash buyers, so these rates can overstate risk for well-funded operators.

How reliable is this number?

9ROUND's figure rests on 80 resolved SBA 7(a) loans approved between fiscal 2010 and 2019 — a matured cohort, so the rate is a settled outcome, not a projection. With 80 resolved loans, one default moves the rate by about 1.2 percentage points. Loans approved since 2020 are excluded from the rate because most are still outstanding; they appear on this page as counts only. Every 9ROUND figure is recomputed from the public SBA FOIA file on each rebuild.

Based on 80 resolved loans — directional, not precise.

Frequently asked

What is 9ROUND's franchise failure rate on SBA loans?
Between 2010 and 2019, 80 9ROUND franchisees financed with SBA 7(a) loans. 21 defaulted — a 26.2% charge-off rate, 2.3x the Fitness and Recreational Sports Centers average of 11.4%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.
Is 9ROUND a safe franchise investment?
Between 2010–2019, 9ROUND franchisees defaulted on SBA loans at 26.2% versus a 11.4% industry average. This data is one input for due diligence; it is not investment advice.

Cite this page

Franchise Default Rates (2026). 9ROUND franchise SBA 7(a) default rate, FY2010–FY2019 cohort: 26.2% (21 of 80 loans charged off). Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.

https://franchisefailurerates.com/franchise/9round/ · Data & methodology · Download the dataset (CSV)