Franchise Failure Rates

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

Massage Envy Franchise Failure Rate: 10.3% SBA Loan Defaults (2010–2019 Federal Data)

10.3%
charge-off rate on 300 SBA 7(a) loans to Massage Envy franchisees, FY2010–2019
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019 — Massage Envy against its industry and all franchises
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Massage Envy 10.3%; Other Personal Care Services 10.0%; All franchises 10.2%Massage Envy 10.3%; Other Personal Care Services 10.0%; All franchises 10.2%0%2%4%6%8%10%Massage Envy10.3%Other Personal CareServices10.0%All franchises10.2%
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Massage Envy 10.3%; Other Personal Care Services 10.0%; All franchises 10.2%Massage Envy 10.3%; Other Personal Care Services 10.0%; All franchises 10.2%0%2%4%6%8%10%Massage Envy10.3%Other Personal Care Services10.0%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 10 Massage Envy SBA borrowers failed to repay — in line with the Other Personal Care Services average of 10.0%.

Between 2010 and 2019, 300 Massage Envy franchisees financed with SBA 7(a) loans. 31 defaulted — a 10.3% charge-off rate, 1.0x the Other Personal Care Services average of 10.0%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.

What is the Massage Envy franchise failure rate on SBA loans?

Massage Envy is a Other Personal Care Services franchise. This page reports the outcome of every SBA 7(a) loan the U.S. Small Business Administration's public FOIA file attributes to Massage Envy franchisees: 300 loans approved between fiscal 2010 and 2019, of which 31 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 Massage Envy compare with other Other Personal Care Services franchises?

The table sets Massage Envy's charge-off rate beside its Other Personal Care Services 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.

Massage Envy versus benchmarks, SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026. Source: U.S. SBA FOIA dataset.
MeasureMassage EnvyOther Personal Care ServicesAll franchisesAll SBA borrowers
Default (charge-off) rate10.3%10.0%10.2%8.0%
Loans in sample300———
Defaults31———
Average loan size$516,065———

What has Massage Envy SBA lending looked like since 2020?

Since 2020, Massage Envy franchisees have taken 20 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 Massage Envy SBA 7(a) loans that later defaulted (FY2010–FY2019)
Charge-off rate by approval year: FY2010 0% of 12 loans; FY2011 4% of 23 loans; FY2012 8% of 26 loans; FY2013 4% of 25 loans; FY2014 18% of 38 loans; FY2015 10% of 51 loans; FY2016 14% of 36 loans; FY2017 12% of 48 loans; FY2018 10% of 29 loans; FY2019 8% of 12 loansCharge-off rate by approval year: FY2010 0% of 12 loans; FY2011 4% of 23 loans; FY2012 8% of 26 loans; FY2013 4% of 25 loans; FY2014 18% of 38 loans; FY2015 10% of 51 loans; FY2016 14% of 36 loans; FY2017 12% of 48 loans; FY2018 10% of 29 loans; FY2019 8% of 12 loans0%10%20%0%2010n=124%2011n=238%2012n=264%2013n=2518%2014n=3810%2015n=5114%2016n=3612%2017n=4810%2018n=298%2019n=12
Charge-off rate by approval year: FY2010 0% of 12 loans; FY2011 4% of 23 loans; FY2012 8% of 26 loans; FY2013 4% of 25 loans; FY2014 18% of 38 loans; FY2015 10% of 51 loans; FY2016 14% of 36 loans; FY2017 12% of 48 loans; FY2018 10% of 29 loans; FY2019 8% of 12 loansCharge-off rate by approval year: FY2010 0% of 12 loans; FY2011 4% of 23 loans; FY2012 8% of 26 loans; FY2013 4% of 25 loans; FY2014 18% of 38 loans; FY2015 10% of 51 loans; FY2016 14% of 36 loans; FY2017 12% of 48 loans; FY2018 10% of 29 loans; FY2019 8% of 12 loans0%10%20%0%’10n=124%’11n=238%’12n=264%’13n=2518%’14n=3810%’15n=5114%’16n=3612%’17n=4810%’18n=298%’19n=12

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 1; FY2021 6; FY2022 3; FY2023 3; FY2024 3; FY2025 4Loans approved since 2020: FY2020 1; FY2021 6; FY2022 3; FY2023 3; FY2024 3; FY2025 4120206202132022320233202442025
Loans approved since 2020: FY2020 1; FY2021 6; FY2022 3; FY2023 3; FY2024 3; FY2025 4Loans approved since 2020: FY2020 1; FY2021 6; FY2022 3; FY2023 3; FY2024 3; FY2025 41’206’213’223’233’244’25

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

Show the numbers behind this chart
Fiscal yearLoansCharged offRate
FY20101200.0%
FY20112314.3%
FY20122627.7%
FY20132514.0%
FY201438718.4%
FY20155159.8%
FY201636513.9%
FY201748612.5%
FY201829310.3%
FY20191218.3%
FY20201—outstanding
FY20216—outstanding
FY20223—outstanding
FY20233—outstanding
FY20243—outstanding
FY20254—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?

Massage Envy's figure rests on 300 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 300 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 Massage Envy figure is recomputed from the public SBA FOIA file on each rebuild.

Frequently asked

What is Massage Envy's franchise failure rate on SBA loans?
Between 2010 and 2019, 300 Massage Envy franchisees financed with SBA 7(a) loans. 31 defaulted — a 10.3% charge-off rate, 1.0x the Other Personal Care Services average of 10.0%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.
Is Massage Envy a safe franchise investment?
Between 2010–2019, Massage Envy franchisees defaulted on SBA loans at 10.3% versus a 10.0% industry average. This data is one input for due diligence; it is not investment advice.

Cite this page

Franchise Default Rates (2026). Massage Envy franchise SBA 7(a) default rate, FY2010–FY2019 cohort: 10.3% (31 of 300 loans charged off). Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.

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