A franchise investigation is an exciting (and sometimes overwhelming) process. There are several items to consider when deciding to become a business owner – a funding strategy is often at the top of that list. For folks who have never pursued business ownership before, the financing world can look intimidating at first glance. Rest assured that there is an array of funding options available to assist small business owners in different situations.
One popular method of franchise funding is borrowing money from a bank for a portion of the total investment. Traditional bank lending took a decline for a few years starting in 2008 and loans were being granted to business owners of franchises in fairly specific industries. About halfway through 2014, we experienced a substantial increase in loan approval, largely due to additional SBA loan programs being introduced for lenders to take advantage of.
Lenders are still looking for strong borrowers with clean credit and access to cash, but the doors are wide open with regard to industry and business size. To determine whether or not a small business loan will be viable for a given candidate, a pre-qualification process is required. This process is concise and quick so that realistic expectations are achieved right up front.
Please contact me to determine if a small business loan could be right for you.