Franchise Failure Rates

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

Code Ninjas Franchise Failure Rate: 19.0% SBA Loan Defaults (2010–2019 Federal Data)

19.0%
charge-off rate on 63 SBA 7(a) loans to Code Ninjas franchisees, FY2010–2019
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019 — Code Ninjas against all franchises and all SBA borrowers
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Code Ninjas 19.0%; All franchises 10.2%; All SBA borrowers 8.0%Code Ninjas 19.0%; All franchises 10.2%; All SBA borrowers 8.0%0%5%10%15%20%Code Ninjas19.0%All franchises10.2%All SBA borrowers8.0%
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Code Ninjas 19.0%; All franchises 10.2%; All SBA borrowers 8.0%Code Ninjas 19.0%; All franchises 10.2%; All SBA borrowers 8.0%0%5%10%15%20%Code Ninjas19.0%All franchises10.2%All SBA borrowers8.0%

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

About 1 in 5 Code Ninjas SBA borrowers failed to repay, against about 1 in 10 for all franchises; no pooled Computer Training benchmark is available.

Between 2010 and 2019, 63 Code Ninjas franchisees financed with SBA 7(a) loans. 12 defaulted — a 19.0% charge-off rate, versus 10.2% for all franchised SBA borrowers. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.

What is the Code Ninjas franchise failure rate on SBA loans?

Code Ninjas is a Computer Training franchise. This page reports the outcome of every SBA 7(a) loan the U.S. Small Business Administration's public FOIA file attributes to Code Ninjas franchisees: 63 loans approved between fiscal 2010 and 2019, of which 12 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 Code Ninjas compare with all franchises?

The table sets Code Ninjas's charge-off rate beside 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. No pooled Computer Training benchmark is available for Code Ninjas, so the industry column is omitted.

Code Ninjas versus benchmarks, SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026. Source: U.S. SBA FOIA dataset.
MeasureCode NinjasAll franchisesAll SBA borrowers
Default (charge-off) rate19.0%10.2%8.0%
Loans in sample63——
Defaults12——
Average loan size$191,170——

What has Code Ninjas SBA lending looked like since 2020?

Since 2020, Code Ninjas franchisees have taken 59 new SBA 7(a) loans. 2 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 Code Ninjas SBA 7(a) loans that later defaulted (FY2010–FY2019)
Charge-off rate by approval year: FY2018 27% of 26 loans; FY2019 14% of 37 loansCharge-off rate by approval year: FY2018 27% of 26 loans; FY2019 14% of 37 loans0%15%30%27%2018n=2614%2019n=37
Charge-off rate by approval year: FY2018 27% of 26 loans; FY2019 14% of 37 loansCharge-off rate by approval year: FY2018 27% of 26 loans; FY2019 14% of 37 loans0%15%30%27%’18n=2614%’19n=37

Loans approved since 2020, by fiscal year — counts only: 2 have charged off to date and most are still outstanding, so no rate is drawn.

Loans approved since 2020: FY2020 16; FY2021 16; FY2022 7; FY2023 9; FY2024 2; FY2025 6; FY2026 3Loans approved since 2020: FY2020 16; FY2021 16; FY2022 7; FY2023 9; FY2024 2; FY2025 6; FY2026 31620201620217202292023220246202532026
Loans approved since 2020: FY2020 16; FY2021 16; FY2022 7; FY2023 9; FY2024 2; FY2025 6; FY2026 3Loans approved since 2020: FY2020 16; FY2021 16; FY2022 7; FY2023 9; FY2024 2; FY2025 6; FY2026 316’2016’217’229’232’246’253’26

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

Show the numbers behind this chart
Fiscal yearLoansCharged offRate
FY201826726.9%
FY201937513.5%
FY202016—outstanding
FY202116—outstanding
FY20227—outstanding
FY20239—outstanding
FY20242—outstanding
FY20256—outstanding
FY20263—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?

Code Ninjas's figure rests on 63 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 63 resolved loans, one default moves the rate by about 1.6 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 Code Ninjas figure is recomputed from the public SBA FOIA file on each rebuild.

Based on 63 resolved loans — directional, not precise.

Frequently asked

What is Code Ninjas's franchise failure rate on SBA loans?
Between 2010 and 2019, 63 Code Ninjas franchisees financed with SBA 7(a) loans. 12 defaulted — a 19.0% charge-off rate, versus 10.2% for all franchised SBA borrowers. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.
Is Code Ninjas a safe franchise investment?
Between 2010–2019, Code Ninjas franchisees defaulted on SBA loans at 19.0% versus a 10.2% all-franchise average. This data is one input for due diligence; it is not investment advice.

Cite this page

Franchise Default Rates (2026). Code Ninjas franchise SBA 7(a) default rate, FY2010–FY2019 cohort: 19.0% (12 of 63 loans charged off). Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.

https://franchisefailurerates.com/franchise/code-ninjas/ · Data & methodology · Download the dataset (CSV)