U.S. Franchise Loan Defaults Soar in 2001

<b></b>
1 min read
Opinions expressed by Entrepreneur contributors are their own.

New York City-Defaults on loans to U.S. franchise operators of fast-food chains and gas stations soared this year, due to a slumping economy and aggressive lending practices, according to bond rating service Fitch Investors. More than $900 million of franchise loans were in default for the 12-month period that ended in September, compared with $200 million a year earlier.

Fitch attributes the increase in defaults to the slumping economy and relaxed lending requirements. -Reuters

More from Entrepreneur

Are paying too much for business insurance? Do you have critical gaps in your coverage? Trust Entrepreneur to help you find out.
Get Your Quote Now

One-on-one online sessions with our experts can help you start a business, grow your business, build your brand, fundraise and more.
Book Your Session

Whether you are launching or growing a business, we have all the business tools you need to take your business to the next level, in one place.
Enroll Now

Latest on Entrepreneur

My Queue

There are no Videos in your queue.

Click on the Add to next to any video to save to your queue.

There are no Articles in your queue.

Click on the Add to next to any article to save to your queue.

There are no Podcasts in your queue.

Click on the Add to next to any podcast episode to save to your queue.

You're not following any authors.

Click the Follow button on any author page to keep up with the latest content from your favorite authors.

It Started As a Joke and Turned Into a Startup That Raised $1 Million in Funding