Entrepreneurs interested in investing in a franchise understand that there are upfront costs as well as other fees needed to get started. Although its usually easier for franchisees to secure funding from traditional banks, the process can still be difficult and lengthy. This can be a real roadblock for entrepreneurs that are both short on cash and time. This is one of the many reasons why many have moved to alternative forms of lending to speed up the process and obtain funding under less stringent terms.
SmartBiz: SBA Loans For Franchises
SmartBiz SBA loans are low-interest online loans that allow franchisees to get the financing they need much quicker. These SBA 7(a) small business loans offer financing up to $5 million for a commercial real estate repurchase. They also offer up to $350K for debt refinancing and $500K in bank term loans.
OnDeck: Franchise Loans (Fair Credit)
If your franchise is newer, OnDeck is a good choice because it offers a quick and easy way to secure a short-term loan of up to $250K. OnDeck even offers a line of credit up to $100K.
Credibly: Franchise Loans (Bad Credit)
Often, credit can be a real roadblock for franchise owners who don’t have the best credit. However, some lenders still cater to those with less than perfect credit. Credibly is one such lender. Credibly offers a mix of short and medium-term loans as well as merchant cash advances or MCAs. YOu can receive up to $400K in MCAs and short-term loans, or $200K for medium-term loans.
ApplePie Capital: (Starting A Franchise)
Entrepreneurs looking for funding to start a franchise should consider ApplePie Capital. This lender offers loans from $100K and up for both new and established franchises. They also provide equipment loans, franchise refinancing, and other forms of funding related to franchises.
Funding Circle: (Restaurant Franchises and More)
Funding Circle is a flexible lender that provides funding for a diverse variety of different businesses as well as businesses in various stages of growth. This lender is attractive because funding can often be secured quickly and at lower rates and fees. As a franchise owner/business owner or hopeful entrepreneur, you have many avenues that you can pursue when it comes to securing the funding you need.