Franchise Failure Rates

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

True Value Hardware Franchise Failure Rate: 7.4% SBA Loan Defaults (2010–2019 Federal Data)

7.4%
charge-off rate on 68 SBA 7(a) loans to True Value Hardware franchisees, FY2010–2019
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019 — True Value Hardware against its industry and all franchises
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: True Value Hardware 7.4%; Hardware Stores 7.6%; All franchises 10.2%True Value Hardware 7.4%; Hardware Stores 7.6%; All franchises 10.2%0%2%4%6%8%10%True Value Hardware7.4%Hardware Stores7.6%All franchises10.2%
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: True Value Hardware 7.4%; Hardware Stores 7.6%; All franchises 10.2%True Value Hardware 7.4%; Hardware Stores 7.6%; All franchises 10.2%0%2%4%6%8%10%True Value Hardware7.4%Hardware Stores7.6%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 14 True Value Hardware SBA borrowers failed to repay — in line with the Hardware Stores average of 7.6%.

Between 2010 and 2019, 68 True Value Hardware franchisees financed with SBA 7(a) loans. 5 defaulted — a 7.4% charge-off rate, 1.0x the Hardware Stores average of 7.6%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.

What is the True Value Hardware franchise failure rate on SBA loans?

True Value Hardware is a Hardware Stores franchise. This page reports the outcome of every SBA 7(a) loan the U.S. Small Business Administration's public FOIA file attributes to True Value Hardware franchisees: 68 loans approved between fiscal 2010 and 2019, of which 5 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 True Value Hardware compare with other Hardware Stores franchises?

The table sets True Value Hardware's charge-off rate beside its Hardware Stores 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.

True Value Hardware versus benchmarks, SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026. Source: U.S. SBA FOIA dataset.
MeasureTrue Value HardwareHardware StoresAll franchisesAll SBA borrowers
Default (charge-off) rate7.4%7.6%10.2%8.0%
Loans in sample68———
Defaults5———
Average loan size$484,156———
Charge-off rate by approval year — share of each fiscal year's True Value Hardware 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 9% of 11 loans; FY2011 0% of 7 loans; FY2012 0% of 7 loans; FY2013 0% of 9 loans; FY2014 33% of 6 loans; FY2015 11% of 9 loans; FY2016 9% of 11 loans; FY2017 0% of 6 loans; FY2018 0% of 2 loansCharge-off rate by approval year: FY2010 9% of 11 loans; FY2011 0% of 7 loans; FY2012 0% of 7 loans; FY2013 0% of 9 loans; FY2014 33% of 6 loans; FY2015 11% of 9 loans; FY2016 9% of 11 loans; FY2017 0% of 6 loans; FY2018 0% of 2 loans0%5%10%9%2010n=110%2011n=70%2012n=70%2013n=933%2014n=611%2015n=99%2016n=110%2017n=60%2018n=2
Charge-off rate by approval year: FY2010 9% of 11 loans; FY2011 0% of 7 loans; FY2012 0% of 7 loans; FY2013 0% of 9 loans; FY2014 33% of 6 loans; FY2015 11% of 9 loans; FY2016 9% of 11 loans; FY2017 0% of 6 loans; FY2018 0% of 2 loansCharge-off rate by approval year: FY2010 9% of 11 loans; FY2011 0% of 7 loans; FY2012 0% of 7 loans; FY2013 0% of 9 loans; FY2014 33% of 6 loans; FY2015 11% of 9 loans; FY2016 9% of 11 loans; FY2017 0% of 6 loans; FY2018 0% of 2 loans0%5%10%9%’10n=110%’11n=70%’12n=70%’13n=933%’14n=611%’15n=99%’16n=110%’17n=60%’18n=2

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

Show the numbers behind this chart
Fiscal yearLoansCharged offRate
FY20101119.1%
FY2011700.0%
FY2012700.0%
FY2013900.0%
FY20146233.3%
FY20159111.1%
FY20161119.1%
FY2017600.0%
FY2018200.0%

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?

True Value Hardware's figure rests on 68 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 68 resolved loans, one default moves the rate by about 1.5 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 True Value Hardware figure is recomputed from the public SBA FOIA file on each rebuild.

Based on 68 resolved loans — directional, not precise.

Frequently asked

What is True Value Hardware's franchise failure rate on SBA loans?
Between 2010 and 2019, 68 True Value Hardware franchisees financed with SBA 7(a) loans. 5 defaulted — a 7.4% charge-off rate, 1.0x the Hardware Stores average of 7.6%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.
Is True Value Hardware a safe franchise investment?
Between 2010–2019, True Value Hardware franchisees defaulted on SBA loans at 7.4% versus a 7.6% industry average. This data is one input for due diligence; it is not investment advice.

Cite this page

Franchise Default Rates (2026). True Value Hardware franchise SBA 7(a) default rate, FY2010–FY2019 cohort: 7.4% (5 of 68 loans charged off). Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.

https://franchisefailurerates.com/franchise/true-value-hardware/ · Data & methodology · Download the dataset (CSV)