Franchise Failure Rates

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

Signs by Tomorrow Franchise Failure Rate on SBA Loans: 2 of 17 Charged Off (Federal Data)

2 of 17
SBA 7(a) loans to Signs by Tomorrow franchisees (FY2010–2019) ended in charge-off
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019 — Signs by Tomorrow against its industry and all franchises
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Signs by Tomorrow 11.8%; Sign Manufacturing 11.3%; All franchises 10.2%Signs by Tomorrow 11.8%; Sign Manufacturing 11.3%; All franchises 10.2%0%5%10%Signs by Tomorrow11.8% (small sample)Sign Manufacturing11.3%All franchises10.2%
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: Signs by Tomorrow 11.8%; Sign Manufacturing 11.3%; All franchises 10.2%Signs by Tomorrow 11.8%; Sign Manufacturing 11.3%; All franchises 10.2%0%5%10%Signs by Tomorrow11.8% (small sample)Sign Manufacturing11.3%All franchises10.2%

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

2 of 17 Signs by Tomorrow SBA borrowers failed to repay — too few loans to call a rate; read it as a flag, not a verdict.

2 of 17 SBA 7(a) loans to Signs by Tomorrow 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 Signs by Tomorrow franchise failure rate on SBA loans?

Signs by Tomorrow is a Sign Manufacturing franchise. This page reports the outcome of every SBA 7(a) loan the U.S. Small Business Administration's public FOIA file attributes to Signs by Tomorrow franchisees: 17 loans approved between fiscal 2010 and 2019, of which 2 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 Signs by Tomorrow compare with other Sign Manufacturing franchises?

The table sets Signs by Tomorrow's charge-off rate beside its Sign Manufacturing 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.

Signs by Tomorrow versus benchmarks, SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026. Source: U.S. SBA FOIA dataset.
MeasureSigns by TomorrowSign ManufacturingAll franchisesAll SBA borrowers
Default (charge-off) rate11.8% (small sample)11.3%10.2%8.0%
Loans in sample17———
Defaults2———
Average loan size$222,318———

What has Signs by Tomorrow SBA lending looked like since 2020?

Since 2020, Signs by Tomorrow franchisees have taken 9 new SBA 7(a) loans. None have charged off to date, though most remain outstanding and unresolved.

Charge-off rate by approval year — share of each fiscal year's Signs by Tomorrow 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 2 loans; FY2011 0% of 1 loans; FY2012 50% of 2 loans; FY2013 50% of 2 loans; FY2014 0% of 2 loans; FY2015 0% of 2 loans; FY2017 0% of 3 loans; FY2019 0% of 3 loansCharge-off rate by approval year: FY2010 0% of 2 loans; FY2011 0% of 1 loans; FY2012 50% of 2 loans; FY2013 50% of 2 loans; FY2014 0% of 2 loans; FY2015 0% of 2 loans; FY2017 0% of 3 loans; FY2019 0% of 3 loans0%5%10%0%2010n=20%2011n=150%2012n=250%2013n=20%2014n=20%2015n=20%2017n=30%2019n=3
Charge-off rate by approval year: FY2010 0% of 2 loans; FY2011 0% of 1 loans; FY2012 50% of 2 loans; FY2013 50% of 2 loans; FY2014 0% of 2 loans; FY2015 0% of 2 loans; FY2017 0% of 3 loans; FY2019 0% of 3 loansCharge-off rate by approval year: FY2010 0% of 2 loans; FY2011 0% of 1 loans; FY2012 50% of 2 loans; FY2013 50% of 2 loans; FY2014 0% of 2 loans; FY2015 0% of 2 loans; FY2017 0% of 3 loans; FY2019 0% of 3 loans0%5%10%0%’10n=20%’11n=150%’12n=250%’13n=20%’14n=20%’15n=20%’17n=30%’19n=3

Loans approved since 2020, by fiscal year — counts only: 0 have charged off to date and most are still outstanding, so no rate is drawn.

Loans approved since 2020: FY2020 2; FY2021 2; FY2023 3; FY2024 1; FY2025 1Loans approved since 2020: FY2020 2; FY2021 2; FY2023 3; FY2024 1; FY2025 12202022021320231202412025
Loans approved since 2020: FY2020 2; FY2021 2; FY2023 3; FY2024 1; FY2025 1Loans approved since 2020: FY2020 2; FY2021 2; FY2023 3; FY2024 1; FY2025 12’202’213’231’241’25

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

Show the numbers behind this chart
Fiscal yearLoansCharged offRate
FY2010200.0%
FY2011100.0%
FY20122150.0%
FY20132150.0%
FY2014200.0%
FY2015200.0%
FY2017300.0%
FY2019300.0%
FY20202—outstanding
FY20212—outstanding
FY20233—outstanding
FY20241—outstanding
FY20251—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?

Signs by Tomorrow's figure rests on 17 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 17 resolved loans, one default moves the rate by about 5.9 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 Signs by Tomorrow figure is recomputed from the public SBA FOIA file on each rebuild.

Small sample (17 loans). A single default moves this figure substantially.

Frequently asked

What is Signs by Tomorrow's franchise failure rate on SBA loans?
2 of 17 SBA 7(a) loans to Signs by Tomorrow 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 Signs by Tomorrow a safe franchise investment?
Between 2010–2019, 2 of 17 SBA loans to Signs by Tomorrow 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). Signs by Tomorrow franchise SBA 7(a) loan outcomes, FY2010–FY2019 cohort: 2 of 17 loans charged off. Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.

https://franchisefailurerates.com/franchise/signs-by-tomorrow/ · Data & methodology · Download the dataset (CSV)