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

Restoration 1 Franchise Failure Rate on SBA Loans: 1 of 16 Charged Off (Federal Data)

1 of 16
SBA 7(a) loans to Restoration 1 franchisees (FY2010–2019) ended in charge-off
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019 — Restoration 1 against its industry and all franchises
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Restoration 1 6.2%; Remediation Services 7.4%; All franchises 10.2%Restoration 1 6.2%; Remediation Services 7.4%; All franchises 10.2%0%2%4%6%8%10%Restoration 16.2% (small sample)Remediation Services7.4%All franchises10.2%
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Restoration 1 6.2%; Remediation Services 7.4%; All franchises 10.2%Restoration 1 6.2%; Remediation Services 7.4%; All franchises 10.2%0%2%4%6%8%10%Restoration 16.2% (small sample)Remediation Services7.4%All franchises10.2%

Source: U.S. SBA FOIA dataset, statuses as of June 30, 2026. Figures also in the comparison table below.

1 of 16 Restoration 1 SBA borrowers failed to repay — too few loans to call a rate; read it as a flag, not a verdict.

1 of 16 SBA 7(a) loans to Restoration 1 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 Restoration 1 franchise failure rate on SBA loans?

Restoration 1 is a Remediation 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 Restoration 1 franchisees: 16 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 Restoration 1 compare with other Remediation Services franchises?

The table sets Restoration 1's charge-off rate beside its Remediation 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.

Restoration 1 versus benchmarks, SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026. Source: U.S. SBA FOIA dataset.
MeasureRestoration 1Remediation ServicesAll franchisesAll SBA borrowers
Default (charge-off) rate6.2% (small sample)7.4%10.2%8.0%
Loans in sample16
Defaults1
Average loan size$116,450

What has Restoration 1 SBA lending looked like since 2020?

Since 2020, Restoration 1 franchisees have taken 60 new SBA 7(a) loans. 5 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 Restoration 1 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: FY2018 0% of 9 loans; FY2019 14% of 7 loansCharge-off rate by approval year: FY2018 0% of 9 loans; FY2019 14% of 7 loans0%5%10%0%2018n=914%2019n=7
Charge-off rate by approval year: FY2018 0% of 9 loans; FY2019 14% of 7 loansCharge-off rate by approval year: FY2018 0% of 9 loans; FY2019 14% of 7 loans0%5%10%0%’18n=914%’19n=7

Loans approved since 2020, by fiscal year — counts only: 5 have charged off to date and most are still outstanding, so no rate is drawn.

Loans approved since 2020: FY2020 10; FY2021 14; FY2022 9; FY2023 8; FY2024 9; FY2025 4; FY2026 6Loans approved since 2020: FY2020 10; FY2021 14; FY2022 9; FY2023 8; FY2024 9; FY2025 4; FY2026 61020201420219202282023920244202562026
Loans approved since 2020: FY2020 10; FY2021 14; FY2022 9; FY2023 8; FY2024 9; FY2025 4; FY2026 6Loans approved since 2020: FY2020 10; FY2021 14; FY2022 9; FY2023 8; FY2024 9; FY2025 4; FY2026 610’2014’219’228’239’244’256’26

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

Show the numbers behind this chart
Fiscal yearLoansCharged offRate
FY2018900.0%
FY20197114.3%
FY202010outstanding
FY202114outstanding
FY20229outstanding
FY20238outstanding
FY20249outstanding
FY20254outstanding
FY20266outstanding

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?

Restoration 1'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 Restoration 1 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 Restoration 1's franchise failure rate on SBA loans?
1 of 16 SBA 7(a) loans to Restoration 1 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 Restoration 1 a safe franchise investment?
Between 2010–2019, 1 of 16 SBA loans to Restoration 1 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). Restoration 1 franchise SBA 7(a) loan outcomes, FY2010–FY2019 cohort: 1 of 16 loans charged off. Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.

https://franchisefailurerates.com/franchise/restoration-1/ · Data & methodology · Download the dataset (CSV)