How to finance your franchise
By - October 22, 2018
Categories: Best Practices, News, Update
Today the Augusta Free Press ran a story on how to finance your franchise.
You can find the story at this link on the AFP website. I’ve also summarized their take on franchise financing here:
When you need financing, royalty fees, working capital, and inventory, you have options.
First, though, you have to get your records and personal finances in order.
How is your credit score? You also need a business plan.
In many cases, franchisors offer franchise financing. They typically can assist with 15% to 75% of what you need.
Other options include banks, friends, family, investors, and others.
There are many other options and tips to consider when it comes to franchise financing.
U.S. Small Business Administration
One source of help to refer to is the U.S. Small Business Administration.
SBA provides assistance primarily through its four programmatic functions:
Access to Capital (Business Financing, including franchise financing)
Entrepreneurial Development (Education, Information, Technical Assistance & Training)
Government Contracting (Federal Procurement)
Advocacy (Voice for Small Business)
Small Business Development Centers
Another valuable source of help is your local Small Business Development Center office.
Check with your local SBDC for free face-to-face business consulting and at-cost training, on topics including business planning, accessing capital (including franchise financing), marketing, regulatory compliance, technology development, international trade and much more.
SBDCs are hosted by leading universities, colleges, state economic development agencies and private sector partners, and funded in part by the United States Congress through a partnership with the U.S. Small Business Administration.
There are nearly 1,000 local centers available to provide no-cost business consulting and low-cost training to new and existing businesses.