SBA 7(a) loan outcomes · FY2010–FY2019 cohort · Statuses as of June 30, 2026 · Last updated August 17, 2026
Nestle Toll House Cafe by Chip Franchise Failure Rate on SBA Loans: 3 of 16 Charged Off (Federal Data)
Source: U.S. SBA FOIA dataset, statuses as of June 30, 2026. Figures also in the comparison table below.
3 of 16 Nestle Toll House Cafe by Chip SBA borrowers failed to repay — too few loans to call a rate; read it as a flag, not a verdict.
3 of 16 SBA 7(a) loans to Nestle Toll House Cafe by Chip franchisees (2010–2019) ended in charge-off. The sample is small; treat this as a diligence flag, not a verdict. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.
What is the Nestle Toll House Cafe by Chip franchise failure rate on SBA loans?
Nestle Toll House Cafe by Chip is a Snack and Nonalcoholic Beverage Bars franchise. This page reports the outcome of every SBA 7(a) loan the U.S. Small Business Administration's public FOIA file attributes to Nestle Toll House Cafe by Chip franchisees: 16 loans approved between fiscal 2010 and 2019, of which 3 were charged off. Loan statuses are as of June 30, 2026, and the cohort has matured, so these are settled outcomes rather than projections.
- SBA 7(a) loans approved FY2010–FY201916
- Charged off3
- Charge-off rate (small sample)18.8%
- Snack and Nonalcoholic Beverage Bars franchise benchmark10.1%
- Brand vs industry1.9x
- All-franchise SBA benchmark10.2%
- Average loan size, 2010s cohort$237,913
- New SBA loans since 20205
- Early charge-offs since 20201
How does Nestle Toll House Cafe by Chip compare with other Snack and Nonalcoholic Beverage Bars franchises?
The table sets Nestle Toll House Cafe by Chip's charge-off rate beside its Snack and Nonalcoholic Beverage Bars 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.
| Measure | Nestle Toll House Cafe by Chip | Snack and Nonalcoholic Beverage Bars | All franchises | All SBA borrowers |
|---|---|---|---|---|
| Default (charge-off) rate | 18.8% (small sample) | 10.1% | 10.2% | 8.0% |
| Loans in sample | 16 | — | — | — |
| Defaults | 3 | — | — | — |
| Average loan size | $237,913 | — | — | — |
What has Nestle Toll House Cafe by Chip SBA lending looked like since 2020?
Since 2020, Nestle Toll House Cafe by Chip franchisees have taken 5 new SBA 7(a) loans. 1 has already charged off. Early defaults on loans under six years old are notable — most SBA failures take longer to develop.
Loans approved since 2020, by fiscal year — counts only: 1 has charged off to date and most are still outstanding, so no rate is drawn.
Source: U.S. SBA FOIA dataset, statuses as of June 30, 2026.
Show the numbers behind this chart
| Fiscal year | Loans | Charged off | Rate |
|---|---|---|---|
| FY2013 | 1 | 0 | 0.0% |
| FY2014 | 1 | 0 | 0.0% |
| FY2015 | 6 | 1 | 16.7% |
| FY2016 | 2 | 0 | 0.0% |
| FY2017 | 2 | 0 | 0.0% |
| FY2018 | 1 | 1 | 100.0% |
| FY2019 | 3 | 1 | 33.3% |
| FY2020 | 3 | — | outstanding |
| FY2022 | 1 | — | outstanding |
| FY2023 | 1 | — | 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?
Nestle Toll House Cafe by Chip's figure rests on 16 resolved SBA 7(a) loans approved between fiscal 2010 and 2019 — a matured cohort, so the count is a settled outcome, not a projection. With 16 resolved loans, one default moves the rate by about 6.2 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 Nestle Toll House Cafe by Chip figure is recomputed from the public SBA FOIA file on each rebuild.
Small sample (16 loans). A single default moves this figure substantially.
Frequently asked
- What is Nestle Toll House Cafe by Chip's franchise failure rate on SBA loans?
- 3 of 16 SBA 7(a) loans to Nestle Toll House Cafe by Chip franchisees (2010–2019) ended in charge-off. The sample is small; treat this as a diligence flag, not a verdict. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.
- Is Nestle Toll House Cafe by Chip a safe franchise investment?
- Between 2010–2019, 3 of 16 SBA loans to Nestle Toll House Cafe by Chip franchisees were charged off. The sample is small. This data is one input for due diligence; it is not investment advice.
Cite this page
Franchise Default Rates (2026). Nestle Toll House Cafe by Chip franchise SBA 7(a) loan outcomes, FY2010–FY2019 cohort: 3 of 16 loans charged off. Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.
https://franchisefailurerates.com/franchise/nestle-toll-house-cafe-by-chip/ · Data & methodology · Download the dataset (CSV)