Tanworld vs The Entrepreneurs Source
Tanworld vs The Entrepreneurs Source: Tanworld costs $73K to $775K to open; The Entrepreneurs Source costs $100K to $172K. Tanworld has 17 units, The Entrepreneurs Source has 30. SBA loan history: Tanworld = 25 loans (4.0% default); The Entrepreneurs Source = 38 loans (15.8% default). The franchise with more SBA funded units, a lower SBA default rate, and a lower royalty load is the safer financing bet; see the comparison below.
Tanworld vs The Entrepreneurs Source: Capital, Scale & Lending Analysis
Analysis based on FDD filings and SBA 7(a) loan level data. Each pairing reflects a unique combination of capital intensity, system scale, and financing path.
Capital Intensity
Tanworld requires the lower minimum capital commitment ($73K vs $100K for The Entrepreneurs Source), a 28% spread. Initial franchise fees come in at $52K for Tanworld versus $75K for The Entrepreneurs Source, Tanworld has the lower entry fee.
System Scale & Tenure
On scale, The Entrepreneurs Source operates 30 units to Tanworld's 17. The Entrepreneurs Source has been operating 42 years (founded 1984) versus 31 for Tanworld (founded 1995), a 11-year tenure gap that affects unit-economics maturity and FDD revision history.
SBA Lending Profile
The Entrepreneurs Source has the deeper SBA lending track record, with 38 7(a) approvals compared with 25 for Tanworld. Tanworld's peak SBA year was 2005 (6 loans); The Entrepreneurs Source's peak was 2021 (7 loans). The Entrepreneurs Source's more recent peak generally indicates fresher lender appetite. Tanworld has the most SBA funded units in IA, with 16. The Entrepreneurs Source leads in CA, with 5. Borrowers should pick the brand whose strongest SBA state matches their own state for warmer lender introductions. Average SBA loan size on funded Tanworld deals is $409K vs $134K for The Entrepreneurs Source, useful as a sizing anchor when modeling your own unit.
Risk Signal
SBA default rates are 4.0% for Tanworld and 15.8% for The Entrepreneurs Source, Tanworld has the cleaner SBA loss record by 11.8 points. PeerSense FPI scores come in at 39 (Fair) for Tanworld and 64 (Moderate) for The Entrepreneurs Source, giving The Entrepreneurs Source the stronger composite signal across SBA performance, lender appetite, and operational consistency.
Health & Performance
FPI Score | 39/100 | 64/100 |
Health Tier | Fair | Moderate |
Confidence | N/A | N/A |
Lending Trend | Declining | Declining |
SBA Lending
SBA Loans | 25 | 38 |
SBA Volume | – | – |
Default Rate | 4.0% | 15.8% |
Peer Tier | established | established |
Investment & Costs
Total Investment | $73K to $775K | $100K to $172K |
Franchise Fee | $52K | $75K |
Royalty Rate | 6% | 25% |
Ad Fund | N/A | 1% |
Liquid Capital | N/A | N/A |
Net Worth Required | N/A | N/A |
Financial Performance (Item 19)
Item 19 Status | Not Disclosed | Disclosed |
System Size & Operations
Total Units | 17 | 30 |
Franchised Units | 17 | 30 |
Company Owned | – | – |
Term Length | N/A | 10 yrs |
Brand Information
Year Founded | 1995 | 1984 |
Franchising Since | N/A | 2016 |
Years Franchising | N/A | 10 yrs |
Headquarters | Ankeny, IA | OCEANSIDE, CA |
Category | All Other Personal Services | All Other Personal Services |
Website | ||
FDD Year | N/A | 2025 |
Which Is Better, Tanworld or The Entrepreneurs Source?
Lower upfront capital required
Tie
Tanworld: $73K starting · The Entrepreneurs Source: $100K starting
More SBA lender confidence
The Entrepreneurs Source
Tanworld: 25 SBA loans · The Entrepreneurs Source: 38 SBA loans
Lower SBA default rate
Tanworld
Tanworld: 4.0% · The Entrepreneurs Source: 15.8%
Larger system & brand presence
Tie
Tanworld: 17 units · The Entrepreneurs Source: 30 units
Lower ongoing royalty load
Tanworld
Tanworld: 6% · The Entrepreneurs Source: 25%
More lender financing options
Tanworld
Tanworld: 8 unique lenders · The Entrepreneurs Source: 7 unique lenders
Decision matrix uses publicly disclosed FDD and SBA loan data. Not a recommendation. Your best franchise depends on capital, market, operating capacity, and risk tolerance.
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About These Franchises
Tanworld vs The Entrepreneurs Source: Franchise Funding Comparison
Comparing Tanworld and The Entrepreneurs Source is about more than brand preference. It's about which franchise fits your financial profile and funding strategy. Investment ranges from $73K to $775K.
Tanworld has 25 SBA loans on record and The Entrepreneurs Source has 38. Those totals are cumulative history rather than a measure of current appetite. Recent lending activity is trending down for at least one of these brands, so current lender appetite has to be checked deal by deal rather than assumed from the totals.
SBA 7(a) loans are the most common franchise funding vehicle, offering up to $5M with as little as 10% down. PeerSense connects franchise buyers with the specific lenders who have approved loans for these brands, not generic referrals, but lenders with actual franchise lending track records.
Data sourced from SBA loan records, Franchise Disclosure Documents, and public filings. Updated regularly. Not financial advice, consult with a lending professional before making investment decisions.
Tanworld vs The Entrepreneurs Source, Frequently Asked Questions
Which is a better franchise investment, Tanworld or The Entrepreneurs Source?
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Which has a lower SBA default rate, Tanworld or The Entrepreneurs Source?
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Page Review
Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense
- PeerSense is a capital advisory firm that places commercial financing with direct capital sources; the capital source sets final terms.
- Edward L. Freeman founded PeerSense in January 2020.
- He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
- His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
- In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page
Last reviewed LinkedIn profileAbout Edward Freeman