Franchise Failure Rates

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

Jimmy John's Franchise Failure Rate: 7.1% SBA Loan Defaults (2010–2019 Federal Data)

7.1%
charge-off rate on 562 SBA 7(a) loans to Jimmy John's franchisees, FY2010–2019
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019 — Jimmy John's against its industry and all franchises
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Jimmy John's 7.1%; Limited-Service Restaurants 10.3%; All franchises 10.2%Jimmy John's 7.1%; Limited-Service Restaurants 10.3%; All franchises 10.2%0%2%4%6%8%10%Jimmy John's7.1%Limited-ServiceRestaurants10.3%All franchises10.2%
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Jimmy John's 7.1%; Limited-Service Restaurants 10.3%; All franchises 10.2%Jimmy John's 7.1%; Limited-Service Restaurants 10.3%; All franchises 10.2%0%2%4%6%8%10%Jimmy John's7.1%Limited-Service Restaurants10.3%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 14 Jimmy John's SBA borrowers failed to repay — well below the Limited-Service Restaurants average of 10.3%.

Between 2010 and 2019, 562 Jimmy John's franchisees financed with SBA 7(a) loans. 40 defaulted — a 7.1% charge-off rate, 0.7x the Limited-Service Restaurants average of 10.3%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.

What is the Jimmy John's franchise failure rate on SBA loans?

Jimmy John's is a Limited-Service Restaurants franchise. This page reports the outcome of every SBA 7(a) loan the U.S. Small Business Administration's public FOIA file attributes to Jimmy John's franchisees: 562 loans approved between fiscal 2010 and 2019, of which 40 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 Jimmy John's compare with other Limited-Service Restaurants franchises?

The table sets Jimmy John's's charge-off rate beside its Limited-Service Restaurants 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.

Jimmy John's versus benchmarks, SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026. Source: U.S. SBA FOIA dataset.
MeasureJimmy John'sLimited-Service RestaurantsAll franchisesAll SBA borrowers
Default (charge-off) rate7.1%10.3%10.2%8.0%
Loans in sample562———
Defaults40———
Average loan size$399,631———

What has Jimmy John's SBA lending looked like since 2020?

Since 2020, Jimmy John's franchisees have taken 150 new SBA 7(a) loans. None have charged off to date, though most remain outstanding and unresolved.

Charge-off rate by approval year — share of each fiscal year's Jimmy John's SBA 7(a) loans that later defaulted (FY2010–FY2019)
Charge-off rate by approval year: FY2010 0% of 39 loans; FY2011 2% of 45 loans; FY2012 2% of 56 loans; FY2013 6% of 67 loans; FY2014 10% of 80 loans; FY2015 7% of 107 loans; FY2016 10% of 78 loans; FY2017 7% of 43 loans; FY2018 19% of 31 loans; FY2019 6% of 16 loansCharge-off rate by approval year: FY2010 0% of 39 loans; FY2011 2% of 45 loans; FY2012 2% of 56 loans; FY2013 6% of 67 loans; FY2014 10% of 80 loans; FY2015 7% of 107 loans; FY2016 10% of 78 loans; FY2017 7% of 43 loans; FY2018 19% of 31 loans; FY2019 6% of 16 loans0%10%20%0%2010n=392%2011n=452%2012n=566%2013n=6710%2014n=807%2015n=10710%2016n=787%2017n=4319%2018n=316%2019n=16
Charge-off rate by approval year: FY2010 0% of 39 loans; FY2011 2% of 45 loans; FY2012 2% of 56 loans; FY2013 6% of 67 loans; FY2014 10% of 80 loans; FY2015 7% of 107 loans; FY2016 10% of 78 loans; FY2017 7% of 43 loans; FY2018 19% of 31 loans; FY2019 6% of 16 loansCharge-off rate by approval year: FY2010 0% of 39 loans; FY2011 2% of 45 loans; FY2012 2% of 56 loans; FY2013 6% of 67 loans; FY2014 10% of 80 loans; FY2015 7% of 107 loans; FY2016 10% of 78 loans; FY2017 7% of 43 loans; FY2018 19% of 31 loans; FY2019 6% of 16 loans0%10%20%0%’10n=392%’11n=452%’12n=566%’13n=6710%’14n=807%’15n=10710%’16n=787%’17n=4319%’18n=316%’19n=16

Loans approved since 2020, by fiscal year — counts only: 0 have charged off to date and most are still outstanding, so no rate is drawn.

Loans approved since 2020: FY2020 28; FY2021 38; FY2022 16; FY2023 16; FY2024 21; FY2025 19; FY2026 12Loans approved since 2020: FY2020 28; FY2021 38; FY2022 16; FY2023 16; FY2024 21; FY2025 19; FY2026 12282020382021162022162023212024192025122026
Loans approved since 2020: FY2020 28; FY2021 38; FY2022 16; FY2023 16; FY2024 21; FY2025 19; FY2026 12Loans approved since 2020: FY2020 28; FY2021 38; FY2022 16; FY2023 16; FY2024 21; FY2025 19; FY2026 1228’2038’2116’2216’2321’2419’2512’26

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

Show the numbers behind this chart
Fiscal yearLoansCharged offRate
FY20103900.0%
FY20114512.2%
FY20125611.8%
FY20136746.0%
FY201480810.0%
FY201510787.5%
FY201678810.3%
FY20174337.0%
FY201831619.4%
FY20191616.2%
FY202028—outstanding
FY202138—outstanding
FY202216—outstanding
FY202316—outstanding
FY202421—outstanding
FY202519—outstanding
FY202612—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?

Jimmy John's's figure rests on 562 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 562 resolved loans, the sample is large enough that a single default barely moves the figure. Loans approved since 2020 are excluded from the rate because most are still outstanding; they appear on this page as counts only. Every Jimmy John's figure is recomputed from the public SBA FOIA file on each rebuild.

Frequently asked

What is Jimmy John's's franchise failure rate on SBA loans?
Between 2010 and 2019, 562 Jimmy John's franchisees financed with SBA 7(a) loans. 40 defaulted — a 7.1% charge-off rate, 0.7x the Limited-Service Restaurants average of 10.3%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.
Is Jimmy John's a safe franchise investment?
Between 2010–2019, Jimmy John's franchisees defaulted on SBA loans at 7.1% versus a 10.3% industry average. This data is one input for due diligence; it is not investment advice.

Cite this page

Franchise Default Rates (2026). Jimmy John's franchise SBA 7(a) default rate, FY2010–FY2019 cohort: 7.1% (40 of 562 loans charged off). Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.

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