Franchise Failure Rates

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

Servpro Franchise Failure Rate: 4.5% SBA Loan Defaults (2010–2019 Federal Data)

4.5%
charge-off rate on 287 SBA 7(a) loans to Servpro franchisees, FY2010–2019
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019 — Servpro against its industry and all franchises
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Servpro 4.5%; Residential Remodelers 12.9%; All franchises 10.2%Servpro 4.5%; Residential Remodelers 12.9%; All franchises 10.2%0%5%10%Servpro4.5%Residential Remodelers12.9%All franchises10.2%
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Servpro 4.5%; Residential Remodelers 12.9%; All franchises 10.2%Servpro 4.5%; Residential Remodelers 12.9%; All franchises 10.2%0%5%10%Servpro4.5%Residential Remodelers12.9%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 22 Servpro SBA borrowers failed to repay — well below the Residential Remodelers average of 12.9%.

Between 2010 and 2019, 287 Servpro franchisees financed with SBA 7(a) loans. 13 defaulted — a 4.5% charge-off rate, 0.3x the Residential Remodelers average of 12.9%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.

What is the Servpro franchise failure rate on SBA loans?

Servpro is a Residential Remodelers franchise. This page reports the outcome of every SBA 7(a) loan the U.S. Small Business Administration's public FOIA file attributes to Servpro franchisees: 287 loans approved between fiscal 2010 and 2019, of which 13 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 Servpro compare with other Residential Remodelers franchises?

The table sets Servpro's charge-off rate beside its Residential Remodelers 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.

Servpro versus benchmarks, SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026. Source: U.S. SBA FOIA dataset.
MeasureServproResidential RemodelersAll franchisesAll SBA borrowers
Default (charge-off) rate4.5%12.9%10.2%8.0%
Loans in sample287———
Defaults13———
Average loan size$285,649———

What has Servpro SBA lending looked like since 2020?

Since 2020, Servpro franchisees have taken 199 new SBA 7(a) loans. 3 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 Servpro SBA 7(a) loans that later defaulted (FY2010–FY2019)
Charge-off rate by approval year: FY2010 5% of 22 loans; FY2011 7% of 29 loans; FY2012 21% of 24 loans; FY2013 12% of 25 loans; FY2014 0% of 41 loans; FY2015 7% of 30 loans; FY2016 0% of 43 loans; FY2017 0% of 23 loans; FY2018 0% of 29 loans; FY2019 0% of 21 loansCharge-off rate by approval year: FY2010 5% of 22 loans; FY2011 7% of 29 loans; FY2012 21% of 24 loans; FY2013 12% of 25 loans; FY2014 0% of 41 loans; FY2015 7% of 30 loans; FY2016 0% of 43 loans; FY2017 0% of 23 loans; FY2018 0% of 29 loans; FY2019 0% of 21 loans0%12%25%5%2010n=227%2011n=2921%2012n=2412%2013n=250%2014n=417%2015n=300%2016n=430%2017n=230%2018n=290%2019n=21
Charge-off rate by approval year: FY2010 5% of 22 loans; FY2011 7% of 29 loans; FY2012 21% of 24 loans; FY2013 12% of 25 loans; FY2014 0% of 41 loans; FY2015 7% of 30 loans; FY2016 0% of 43 loans; FY2017 0% of 23 loans; FY2018 0% of 29 loans; FY2019 0% of 21 loansCharge-off rate by approval year: FY2010 5% of 22 loans; FY2011 7% of 29 loans; FY2012 21% of 24 loans; FY2013 12% of 25 loans; FY2014 0% of 41 loans; FY2015 7% of 30 loans; FY2016 0% of 43 loans; FY2017 0% of 23 loans; FY2018 0% of 29 loans; FY2019 0% of 21 loans0%12%25%5%’10n=227%’11n=2921%’12n=2412%’13n=250%’14n=417%’15n=300%’16n=430%’17n=230%’18n=290%’19n=21

Loans approved since 2020, by fiscal year — counts only: 3 have charged off to date and most are still outstanding, so no rate is drawn.

Loans approved since 2020: FY2020 41; FY2021 43; FY2022 27; FY2023 33; FY2024 20; FY2025 21; FY2026 14Loans approved since 2020: FY2020 41; FY2021 43; FY2022 27; FY2023 33; FY2024 20; FY2025 21; FY2026 14412020432021272022332023202024212025142026
Loans approved since 2020: FY2020 41; FY2021 43; FY2022 27; FY2023 33; FY2024 20; FY2025 21; FY2026 14Loans approved since 2020: FY2020 41; FY2021 43; FY2022 27; FY2023 33; FY2024 20; FY2025 21; FY2026 1441’2043’2127’2233’2320’2421’2514’26

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

Show the numbers behind this chart
Fiscal yearLoansCharged offRate
FY20102214.5%
FY20112926.9%
FY201224520.8%
FY201325312.0%
FY20144100.0%
FY20153026.7%
FY20164300.0%
FY20172300.0%
FY20182900.0%
FY20192100.0%
FY202041—outstanding
FY202143—outstanding
FY202227—outstanding
FY202333—outstanding
FY202420—outstanding
FY202521—outstanding
FY202614—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?

Servpro's figure rests on 287 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 287 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 Servpro figure is recomputed from the public SBA FOIA file on each rebuild.

Frequently asked

What is Servpro's franchise failure rate on SBA loans?
Between 2010 and 2019, 287 Servpro franchisees financed with SBA 7(a) loans. 13 defaulted — a 4.5% charge-off rate, 0.3x the Residential Remodelers average of 12.9%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.
Is Servpro a safe franchise investment?
Between 2010–2019, Servpro franchisees defaulted on SBA loans at 4.5% versus a 12.9% industry average. This data is one input for due diligence; it is not investment advice.

Cite this page

Franchise Default Rates (2026). Servpro franchise SBA 7(a) default rate, FY2010–FY2019 cohort: 4.5% (13 of 287 loans charged off). Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.

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