Franchises With 0% SBA Default Rates

SBA 7(a) loan default data, FY2010–FY2019 · Updated 2026

23 franchise brands with at least 40 SBA 7(a) loans approved between FY2010 and FY2019 recorded zero charge-offs, according to U.S. Small Business Administration data. The largest are Culver's (178 loans), Club Pilates (151 loans) and Wingstop (149 loans). The all-franchise average default rate is 10.2%.

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Which franchises have the lowest SBA loan default rates?

Every brand with at least 40 resolved loans and no charge-offs, largest loan count first. The more loans behind a 0% rate, the more it means. Brands with fewer than 40 loans are excluded so that a brand with two loans and no defaults cannot top the list. A 0% here is a clean lending record, not a promise of profit.

Franchises With 0% SBA Default Rates (40+ loans) — SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026.

Rank	Brand	Rate	Loans	Industry
1	Culver's	0.0%	178	Limited-Service Restaurants
2	Club Pilates	0.0%	151	Fitness and Recreational Sports Centers
3	Wingstop	0.0%	149	Limited-Service Restaurants
4	Christian Brothers Automotive	0.0%	139	General Automotive Repair
5	Nothing Bundt Cakes	0.0%	116	Retail Bakeries
6	Planet Fitness	0.0%	111	Fitness and Recreational Sports Centers
7	Pearle Vision	0.0%	84	Offices of Optometrists
8	ampm (ARCO)	0.0%	84	Gasoline Stations with Convenience Stores
9	Biggby Coffee	0.0%	72	Snack and Nonalcoholic Beverage Bars
10	Choice Hotels International Inc.	0.0%	66	Hotels (except Casino Hotels) and Motels
11	Popeyes Louisiana Kitchen	0.0%	62	Limited-Service Restaurants
12	Kids R Kids	0.0%	61	Child Day Care Services
13	Goldfish Swim School	0.0%	59	Sports and Recreation Instruction
14	Five Guys	0.0%	58	Limited-Service Restaurants
15	IHOP	0.0%	51	Full-Service Restaurants
16	Toppers Pizza	0.0%	50	Limited-Service Restaurants
17	Holiday Inn Express	0.0%	49	Hotels (except Casino Hotels) and Motels
18	Dutch Bros. Coffee	0.0%	47	Snack and Nonalcoholic Beverage Bars
19	Microtel Inn and Suites	0.0%	43	Hotels (except Casino Hotels) and Motels
20	Valero	0.0%	43	Gasoline Stations with Convenience Stores
21	H&R Block	0.0%	41	Tax Preparation Services
22	Howard Johnson	0.0%	41	Hotels (except Casino Hotels) and Motels
23	Dunkin'/Baskin-Robbins Co-brand	0.0%	40	Limited-Service Restaurants

Source: U.S. SBA 7(a) FOIA loan data. Loans approved FY2010–FY2019, statuses as of June 30, 2026. Download the CSV.

Rate = loans charged off ÷ SBA 7(a) loans approved FY2010–FY2019 and since resolved (paid in full or charged off). Minimum 40 loans per brand.

Source

Source: U.S. Small Business Administration, 7(a) loan program charge-off data, FY2010–FY2019. Franchise data is matched on the SBA's franchise code / brand name. "Failure rate" here means the share of approved loans (resolved: paid in full or charged off) that were charged off; it is not a measure of unit closures. Last updated September 30, 2026.

Cite this page

Franchise Failure Rates (2026). Franchises With 0% SBA Default Rates: 23 brands, FY2010–FY2019 cohort, 40+ loans each. Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.

https://franchisefailurerates.com/lowest-franchise-failure-rates/ · Data & methodology · Download the dataset (CSV)

Author: Franchise Failure Rates · First published August 17, 2026 · Updated September 30, 2026 · Citation format