July 17, 2012
The Foot Solutions franchise has a shockingly high SBA franchise loan default rate of 36%. Foot Solutions is listed by the SBA among the worst franchises by SBA loan default.
Are you familiar with the Foot Solutions franchise opportunity? Please share a comment – positive or negative – below.
According to the Small Business Administration, Foot Solutions franchisees have received 107 SBA-guaranteed loans; more than a third of those loans have been defaulted on by Foot Solutions franchise owners.
Foot Solutions has an SBA franchise loan default rate of 36%
Entrepreneur magazine reported that there were 209 Foot Solutions franchises in 2008, but that the number declined to 147 U.S. franchise locations in 2011. That’s a decline of 62 locations, or 30% of the total chain, in just three years.
Despite a franchise loan failure rate of 36%, Foot Solutions not only continues to sell franchises, it brags about its SBA loan program:
Foot Solutions has been pre-qualified by the SBA Program and is listed in their Franchise Registry.
Our registration means faster review and processing of your SBA loan application.
To see our listing, please go to www.FranchiseRegistry.com. [Source: Foot Solutions franchise website]
Are you familiar with the Foot Solutions franchise opportunity?
What do you think accounts for the SBA loan failure rate of Foot Solutions franchise owners?
What steps should Foot Solutions be taking to stop further franchise failures?
Have Foot Solutions taken serious action to address the problems that led to the 36% loan failures?
Please share a comment, opinion or insight – positive or negative – below. Company rebuttals welcome.
ARE YOU A FOOT SOLUTIONS FRANCHISE OWNER OR FORMER FOOT SOLUTIONS FRANCHISEE? ARE YOU FAMILIAR WITH FOOT SOLUTIONS FRANCHISE OPPORTUNITY? PLEASE SHARE A COMMENT BELOW.
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