A Short Guide to Franchise Funding Process 

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When negotiating the funding process, a Franchisee can’t be expected to do this on their own, as funding requirements and responsibilities vary daily and can be confusing to most. A franchisee needs an experienced and reliable partner to guide them through the process and to respond to any inquiries that come up along the way.

Franchise Funding Solutions (FFS) has a team of professional and experienced lenders who own franchises and run franchise systems, guaranteeing continuous support throughout the funding process so you can focus on your business.  Franchise Marketing Systems developed the Franchise Funding Solutions platform as a way to navigate the franchise selling process and to help manage the work involved in obtaining franchise funding for new franchise owners.   

Unlike a conventional finance company, Franchise Funding Solutions aim to provide the best customer service, ensuring the design, installation, and administration of your 401(k) is done correctly. Many people looking to start a business or scale their brand through franchising are often unfamiliar with the funding process, which can compromise their ability to make sound financial decisions. Franchise Funding Solutions will be responsible for providing clients with top-notch services and guidance. 

While an attorney or CPA may be a knowledgeable source for information and guidance on the franchise funding process, they may not be fully aware of the use of retirement plans in small corporations. Although using the 401(k) is prevalent with big corporations, Franchise Funding Solutions can help you make the most of your retirement plan to support and grow a franchise business ownership dream. Reach out to our team of experts about customizing and installing a 401(k) profit-sharing plan suited to a franchise buyer’s needs. 

Leverage Retirement Funds to Purchase a Franchise 

Upon launching the 401k rollover platform, the FFS lending experts will design and install a profit-sharing plan that takes about one month to fund your corporation. FFS believes it is the franchise owner’s right to roll over your retirement funds and use the money to invest in your own company by purchasing stock in your new location without the risk of penalties or tax deferment. Many businesses set out to franchise usually deal with a lot of debt in the initial stages, affecting the efficiency and effectiveness of operations. 

When a franchise investor consults with the team of experts at Franchise Funding Solutions, we can help you get the money needed quickly to gain the funding needed to start and build your business effectively. With all the different funding options, business owners should control how much debt the new business takes on to design an effective plan to help it make more money and launch successfully. 

SBA Funding for Purchasing a Franchise 

The most common funding options for business owners looking to expand their venture are Small Business Association (SBA) and using a small business loan through an unsecured line of credit. Every funding option has specific requirements and responsibilities, hence the need to onboard our professional lenders for insight and guidance to help you manoeuvre the process successfully. Here are some of the go-to funding alternatives and their requirements to help you get started. 

Unsecured Lines of Credit 

Franchise Funding Solutions can help your business succeed by introducing you to revolving business credit lines. This form of funding is preferred for small businesses because revolving credit accounts don’t usually affect your personal credit. The money ranges from $25,000 to $100,000, and you can be pre-approved within 24 hours and get the funds within a month. 

If you are considering unsecured lines of credit as your funding option, no monetary input or collateral is required. Business owners are also protected from early payment penalties, which is familiar with most franchise funding alternatives. Prospective franchisors are required to have a credit history of at least five years and FICO ratings of 700 and above. If you meet these requirements and don’t have any recent or significant disparaging items, Franchise Funding Solutions can help you get the financial help you need. 

Small Business Association (SBA) Franchise Loans 

SBA loans are government-backed and developed exclusively for small enterprises to help them get their venture up and running as quickly as possible. If you are considering acquiring an SBA loan to fund your business expansion, you must familiarize yourself with the requirements to enhance efficiency throughout the process. Our lenders can provide pertinent information to help you understand what is needed to secure the funds.  The SBA Franchise Directory also offers franchise investors an opportunity to speed up the lending process by purchasing an SBA Approved Franchise.   

All these requirements can be challenging to grasp, but we provide continuous support and guidance throughout the process.  

For more information on how to finance your franchise business, contact us: