Many commercial space owners get their first break by basing their business plan around buying and opening a new franchise, such as real estates like a chain restaurant, a hair salon, or a sporting goods store. Even some medical practices and building contractors have gotten a leg up on owning their franchise businesses this way. These real estate establishments provide a great platform to learn if owning and opening a franchise is right for you. After all, at first, the franchisor will often help jump-start an offshoot by waiving fees and even partnering with commercial bank lenders to assist new owners with a small business loan for their down payment funding and receiving franchise SBA loan financing. Years later, when the franchisee wishes to expand or upgrade, very often they find that due to the nature of their enterprises, franchise fees, franchise loans, franchise SBA loans, funding, and other franchise financing options may be few and far between.
Why Do You Need a Franchise Loan?
Below are the most common reasons franchises acquire capital SBA loan options for their company:
- Working Capital
- Equipment
- Company Expansion
- Cash Flow shortages
- Emergencies
- Advertising
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AdvancePoint Capital makes the loan application process a simple, straightforward experience.
Loans for Franchise Businesses
Franchise SBA Loan
The small business administration offers loan products that are available to franchise owners looking for funding for there business. SBA loans are attractive because they have the lowest rates and best terms for many needs. The application process is lengthy and qualifications can be tough, but with the right guidance, it is worth the attempt.
Long-Term Loans for Franchise Business
Franchises look to long-term loans for a large expansion or other investment in the business and need longer terms to get affordable payments.
Franchise Business Line of Credit (LOC)
A business line of credit is the solution for franchises looking for a flexible option to draw money in the future and only pay interest based on the outstanding balance. Great rates, terms, and a simple application process.
Short-Term Franchise Business Loans
Short-term loans are a great product for franchises looking for money fast with a simple application and high approval rate. Short term is defined as terms from 3 to 18 months, but exceptions to 24 months. A great working capital solution for small businesses.
Business Cash Advance (BCA)
A business cash advance is an option for franchises turned down at the bank. A business cash advance is a revenue-based funding option with a 1-page application and limited documentation required for approval. Repayment is made by a percentage of future revenue which offers flexibility in repayment.
Merchant Cash Advance (MCA)
A merchant cash advance may be the best solution for franchises with credit card processing as the primary payment for their business. This product is commonly used when traditional financing is not an option. This is not a loan but an advance of credit card processing and is repaid based on a set percentage of future credit card processing which offers flexibility in repayment.
Franchise Business Equipment Financing
For franchises that rely heavily on equipment, equipment loans and leasing are preferred because of the longer repayment terms of 2 to 7 years, providing affordable monthly payments. All credit considered and fast prequalification.
Types of Franchise Businesses We Fund
If you see the industry, but not your specific industry, we can still provide you with small business franchise loan funding. Not all industries are listed, so don’t hesitate to contact AdvancePoint Capital to find out more information.
Restaurants
- McDonald’s
- Kentucky Fried Chicken (KFC)
- Pizza Hut
- Burger King
- Domino’s Pizza
- Taco Bell
- Wendy’s
- Marco’s Pizza
- Arby’s
- IHOP
- Papa John’s Pizza
- Bojangles
- Popeyes Louisiana Kitchen
- Carl Jrs.
- Long John Silvers
- Boston Pizza
- Hardee’s
- Round Table Pizza
- Red Robin
- Johnny Rockets
- Wingstop
- Sonic Drive-In
- Saladworks
- Famous Dave’s
Automotive Repair
- AAMCO
- Snap-On Tools
- Jiffy Lube
- Midas
- CARSTAR
- Maaco
- Matco Tools
- Meineke Car Care Center
- Novus Glass
Senior Home Care
- Visiting Angels
- Senior Helpers
- Interim HealthCare
- Comfort Keepers
- Home Instead Senior Care
- HomeWell Care Services
Gyms
- Orangetheory Fitness
- Anytime Fitness
- UFC GYM
- Fit Body Boot Camp
Coffee Shops
- Dunkin’ Donuts
- Krispy Kreme
- Gloria Jean’s Coffees
- Coffee Beanery
- Daylight Donuts
- Scooter’s Coffee
Gifts
- Edible Arrangements
Insurance Agencies
- Allstate
- State Farm
Carpet Cleaning
- Chem-Dry Carpet Cleaning
Lawn Care
- Weed Man Lawn Care
Education
- The Tutoring Center
Mailing & Shipping
- The UPS Store
Child Education
- Mathnasium
Hair & Beauty Salons
- Sports Clips
- Great Clips
Pet Stores
- Petland
- Wag N’ Wash
- Pet Supplies Plus
- Dog Training Elite
- The Healthy Animal
Convenience Stores
- 7-Eleven
- Cumberland Farms
House Cleaning
- Merry Maids
- The Maids
- Oxi Fresh Carpet Cleaning
- ChemDry
Sandwich & Bagel Shops
- Subway
- Jimmy Johns
- Jersey Mikes
- Firehouse Subs
- Baskin-Robbins
- Dairy Queen
- Ben & Jerry’s
- Kona Ice
- Smoothie King
- Planet Smoothie
- Cold Stone Creamery
- Pinkberry
- Buster’s Real Ice Cream
Lodging
- Choice Hotels
Home Improvement
- Ace Hardware
- Budget Blinds
- Mr. Handyman
Medical Billing
- American Business Systems
Printer Copying & Sign
- Signarama
- Minuteman Press
- FastSigns
Commercial Cleaning
- JAN-PRO Cleaning Systems
- PuroClean
- ServiceMaster Clean
Restoration
- Paul Davis Restoration
- SERVPRO
- Rainbow International Restoration
Wellness Products & Services
- GNC Live Well
Employment & Staffing
- Express Employment Professionals
Plumbing
- Mr. Rooter
- 1-800-Plumber
Apply For Your AdvancePoint Loan Today!
Frequently Asked Questions
The Bottom Line: Advice, Tips, Warnings About Loans for Business Franchises
To apply for a business loan for your franchise, start the process by researching and identifying a reliable, trustworthy business funding originator who offers a variety of business funding options to best suit your needs. Check the originator's reputation and references to determine how reputable they are.
Check your credit to see where you stand so you know your credit before you apply.
Prepare by gathering your business financial documents, including business tax returns, business bank statements, and other documents relevant to the business.
Provide a thorough and complete application, providing accurate and detailed information about your business's financial health, revenue, and credit history.
Compare offers by looking at product features, rates, and terms as well as any conditions or performance required on loan agreements.
