Franchise Failure Rates

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

Primrose School Franchise Failure Rate: 2.4% SBA Loan Defaults (2010–2019 Federal Data)

2.4%
charge-off rate on 41 SBA 7(a) loans to Primrose School franchisees, FY2010–2019
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019 — Primrose School against its industry and all franchises
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Primrose School 2.4%; Child Day Care Services 4.5%; All franchises 10.2%Primrose School 2.4%; Child Day Care Services 4.5%; All franchises 10.2%0%2%4%6%8%10%Primrose School2.4%Child Day Care Services4.5%All franchises10.2%
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Primrose School 2.4%; Child Day Care Services 4.5%; All franchises 10.2%Primrose School 2.4%; Child Day Care Services 4.5%; All franchises 10.2%0%2%4%6%8%10%Primrose School2.4%Child Day Care Services4.5%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 42 Primrose School SBA borrowers failed to repay — well below the Child Day Care Services average of 4.5%.

Between 2010 and 2019, 41 Primrose School franchisees financed with SBA 7(a) loans. 1 defaulted — a 2.4% charge-off rate, 0.5x the Child Day Care Services average of 4.5%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.

What is the Primrose School franchise failure rate on SBA loans?

Primrose School is a Child Day 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 Primrose School franchisees: 41 loans approved between fiscal 2010 and 2019, of which 1 was 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 Primrose School compare with other Child Day Care Services franchises?

The table sets Primrose School's charge-off rate beside its Child Day 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.

Primrose School versus benchmarks, SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026. Source: U.S. SBA FOIA dataset.
MeasurePrimrose SchoolChild Day Care ServicesAll franchisesAll SBA borrowers
Default (charge-off) rate2.4%4.5%10.2%8.0%
Loans in sample41———
Defaults1———
Average loan size$1,839,171———
Charge-off rate by approval year — share of each fiscal year's Primrose School 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 7 loans; FY2011 0% of 13 loans; FY2012 8% of 12 loans; FY2013 0% of 9 loansCharge-off rate by approval year: FY2010 0% of 7 loans; FY2011 0% of 13 loans; FY2012 8% of 12 loans; FY2013 0% of 9 loans0%5%10%0%2010n=70%2011n=138%2012n=120%2013n=9
Charge-off rate by approval year: FY2010 0% of 7 loans; FY2011 0% of 13 loans; FY2012 8% of 12 loans; FY2013 0% of 9 loansCharge-off rate by approval year: FY2010 0% of 7 loans; FY2011 0% of 13 loans; FY2012 8% of 12 loans; FY2013 0% of 9 loans0%5%10%0%’10n=70%’11n=138%’12n=120%’13n=9

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

Show the numbers behind this chart
Fiscal yearLoansCharged offRate
FY2010700.0%
FY20111300.0%
FY20121218.3%
FY2013900.0%

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?

Primrose School's figure rests on 41 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 41 resolved loans, one default moves the rate by about 2.4 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 Primrose School figure is recomputed from the public SBA FOIA file on each rebuild.

Based on 41 resolved loans — directional, not precise.

Frequently asked

What is Primrose School's franchise failure rate on SBA loans?
Between 2010 and 2019, 41 Primrose School franchisees financed with SBA 7(a) loans. 1 defaulted — a 2.4% charge-off rate, 0.5x the Child Day Care Services average of 4.5%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.
Is Primrose School a safe franchise investment?
Between 2010–2019, Primrose School franchisees defaulted on SBA loans at 2.4% versus a 4.5% industry average. This data is one input for due diligence; it is not investment advice.

Cite this page

Franchise Default Rates (2026). Primrose School franchise SBA 7(a) default rate, FY2010–FY2019 cohort: 2.4% (1 of 41 loans charged off). Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.

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