Owning a franchise can be extremely beneficial for entrepreneurs who want to own their own business, but don’t want to start from scratch. When you go the franchise route, you’ll benefit from having a proven brand and franchise system from day one.
If you’re leaning towards investing in a franchise but aren’t quite sure you can handle the costs of doing so, you need not worry. That’s where franchise financing and franchise loans come into play. Let’s discuss why getting a franchise loan is smart, as well as some common questions on franchise financing.
For an in-depth breakdown of franchise financing, check out our helpful guide!
Why Should You Get a Franchise Loan?
Utilizing the franchise financing solutions at your disposal is a great way to reach your dreams of becoming a Franchise Owner when you don’t have the current capital to finance the investment yourself. You can think of a franchise loan as a way to kick-start your path to franchise ownership.
Franchise loans can be used for everything from initial franchise fees, to securing a location and buying equipment and inventory. So next time you come across a franchise opportunity that would be a great fit for you, don’t be deterred by the financial qualifications. Instead, seek out a reliable franchise financing partner.
How Do You Finance a Franchise Purchase or Sale? What Companies Offer Franchise Funding?
When it comes to franchise financing, there are many different options to choose from. This includes home equity loans, conventional loans, SBA loans, utilizing your personal savings, a franchisor-provided loan and more.
For a full run-down of the different franchise funding options, head over to our recent article, “How to Get a Franchise Loan”.
One of the best routes to take when it comes to franchise financing is partnering with a company like BoeFly, which works with current or aspiring Franchise Owners, as well as franchisors, to help new owners secure the loan they need by finding suitable franchising funding lenders that can offer conventional or Small Business Association (SBA) loans. These types of loans are very common for entrepreneurs looking for franchise financing assistance.
On the business owner side, our easy one-step online application makes the lending process easy for you. Just enter your information and we’ll help connect you with a bank that is perfect for your needs, seamlessly moving you forward in the process for SBA funding or a conventional loan.
For franchisors, we’ll help you vet candidates to ensure they are a good fit for your franchise. In addition, we’ll assist with financing support, offering faster and more efficient financing for your new Franchise Owners.
What You Can Expect for Interest Rates on Franchise Loans
Copy: When deciding which route is the right one to take for you, interest rates should be considered. SBA loans are typically capped at the Prime Rate + 2.75%. Meanwhile, conventional rates generally vary from 2% less or 3% more than SBA loans.
For conventional rates, 3%.
When you decide to finance your franchise investment with BoeFly, you’ll receive offers from lenders all over, allowing you to choose the right option for you.
Reach Out to BoeFly to Receive Assistance with Your Franchise Financing
Whether you’re an entrepreneur who wants to invest in your favorite franchise or a franchisor that needs assistance in growing your footprint, contact us today to get franchise financing help.
