Franchise Failure Rates

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

Mr. Appliance Franchise Failure Rate: 42.5% SBA Loan Defaults (2010–2019 Federal Data)

42.5%
charge-off rate on 40 SBA 7(a) loans to Mr. Appliance franchisees, FY2010–2019
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019 — Mr. Appliance against its industry and all franchises
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Mr. Appliance 42.5%; Appliance Repair and Maintenance 16.8%; All franchises 10.2%Mr. Appliance 42.5%; Appliance Repair and Maintenance 16.8%; All franchises 10.2%0%10%20%30%40%Mr. Appliance42.5%Appliance Repair andMaintenance16.8%All franchises10.2%
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Mr. Appliance 42.5%; Appliance Repair and Maintenance 16.8%; All franchises 10.2%Mr. Appliance 42.5%; Appliance Repair and Maintenance 16.8%; All franchises 10.2%0%10%20%30%40%Mr. Appliance42.5%Appliance Repair and Maintenance16.8%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 2 Mr. Appliance SBA borrowers failed to repay — more than double the Appliance Repair and Maintenance average of 16.8%.

Between 2010 and 2019, 40 Mr. Appliance franchisees financed with SBA 7(a) loans. 17 defaulted — a 42.5% charge-off rate, 2.5x the Appliance Repair and Maintenance average of 16.8%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.

What is the Mr. Appliance franchise failure rate on SBA loans?

Mr. Appliance is a Appliance Repair and Maintenance franchise. This page reports the outcome of every SBA 7(a) loan the U.S. Small Business Administration's public FOIA file attributes to Mr. Appliance franchisees: 40 loans approved between fiscal 2010 and 2019, of which 17 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 Mr. Appliance compare with other Appliance Repair and Maintenance franchises?

The table sets Mr. Appliance's charge-off rate beside its Appliance Repair and Maintenance 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.

Mr. Appliance versus benchmarks, SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026. Source: U.S. SBA FOIA dataset.
MeasureMr. ApplianceAppliance Repair and MaintenanceAll franchisesAll SBA borrowers
Default (charge-off) rate42.5%16.8%10.2%8.0%
Loans in sample40———
Defaults17———
Average loan size$146,288———

What has Mr. Appliance SBA lending looked like since 2020?

Since 2020, Mr. Appliance franchisees have taken 78 new SBA 7(a) loans. 11 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 Mr. Appliance 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: FY2010 0% of 1 loans; FY2013 0% of 1 loans; FY2014 0% of 1 loans; FY2015 0% of 1 loans; FY2016 17% of 6 loans; FY2017 40% of 10 loans; FY2018 67% of 9 loans; FY2019 55% of 11 loansCharge-off rate by approval year: FY2010 0% of 1 loans; FY2013 0% of 1 loans; FY2014 0% of 1 loans; FY2015 0% of 1 loans; FY2016 17% of 6 loans; FY2017 40% of 10 loans; FY2018 67% of 9 loans; FY2019 55% of 11 loans0%30%60%0%2010n=10%2013n=10%2014n=10%2015n=117%2016n=640%2017n=1067%2018n=955%2019n=11
Charge-off rate by approval year: FY2010 0% of 1 loans; FY2013 0% of 1 loans; FY2014 0% of 1 loans; FY2015 0% of 1 loans; FY2016 17% of 6 loans; FY2017 40% of 10 loans; FY2018 67% of 9 loans; FY2019 55% of 11 loansCharge-off rate by approval year: FY2010 0% of 1 loans; FY2013 0% of 1 loans; FY2014 0% of 1 loans; FY2015 0% of 1 loans; FY2016 17% of 6 loans; FY2017 40% of 10 loans; FY2018 67% of 9 loans; FY2019 55% of 11 loans0%30%60%0%’10n=10%’13n=10%’14n=10%’15n=117%’16n=640%’17n=1067%’18n=955%’19n=11

Loans approved since 2020, by fiscal year — counts only: 11 have charged off to date and most are still outstanding, so no rate is drawn.

Loans approved since 2020: FY2020 12; FY2021 17; FY2022 10; FY2023 12; FY2024 7; FY2025 13; FY2026 7Loans approved since 2020: FY2020 12; FY2021 17; FY2022 10; FY2023 12; FY2024 7; FY2025 13; FY2026 71220201720211020221220237202413202572026
Loans approved since 2020: FY2020 12; FY2021 17; FY2022 10; FY2023 12; FY2024 7; FY2025 13; FY2026 7Loans approved since 2020: FY2020 12; FY2021 17; FY2022 10; FY2023 12; FY2024 7; FY2025 13; FY2026 712’2017’2110’2212’237’2413’257’26

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

Show the numbers behind this chart
Fiscal yearLoansCharged offRate
FY2010100.0%
FY2013100.0%
FY2014100.0%
FY2015100.0%
FY20166116.7%
FY201710440.0%
FY20189666.7%
FY201911654.5%
FY202012—outstanding
FY202117—outstanding
FY202210—outstanding
FY202312—outstanding
FY20247—outstanding
FY202513—outstanding
FY20267—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?

Mr. Appliance's figure rests on 40 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 40 resolved loans, one default moves the rate by about 2.5 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 Mr. Appliance figure is recomputed from the public SBA FOIA file on each rebuild.

Based on 40 resolved loans — directional, not precise.

Frequently asked

What is Mr. Appliance's franchise failure rate on SBA loans?
Between 2010 and 2019, 40 Mr. Appliance franchisees financed with SBA 7(a) loans. 17 defaulted — a 42.5% charge-off rate, 2.5x the Appliance Repair and Maintenance average of 16.8%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.
Is Mr. Appliance a safe franchise investment?
Between 2010–2019, Mr. Appliance franchisees defaulted on SBA loans at 42.5% versus a 16.8% industry average. This data is one input for due diligence; it is not investment advice.

Cite this page

Franchise Default Rates (2026). Mr. Appliance franchise SBA 7(a) default rate, FY2010–FY2019 cohort: 42.5% (17 of 40 loans charged off). Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.

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