The Support of a Brand
Buying a franchise business can offer a pathway into ownership with an established brand, operating systems, training and support behind you.
It may represent greater independence, a career change or the opportunity to build a valuable business for your family.
But the brand does not guarantee success.
The location, operating costs, working capital and your ability to lead the business will still determine what happens after settlement or opening day.
UNDERSTAND THE COMPLETE FUNDING REQUIREMENT
Finance works differently when buying an existing franchise compared with opening a new greenfield location.
An existing franchise provides historical trading results. A greenfield location relies more heavily on forecasts, site selection, franchisor support and comparable locations.
The total cost may also extend beyond the purchase price or franchise fee to include:
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fit-out and equipment;
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stock and training;
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lease guarantees;
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professional and opening costs; and
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working capital until the business becomes established.
Our concise guide explains how lenders may assess the opportunity and how different costs could be funded.
FREQUENTLY ASKED QUESTIONS
Does an approved franchise brand guarantee finance?
> No. Accreditation may improve lender familiarity or appetite, but the borrower, location, contribution and ability to repay must still be assessed.
What costs can franchise finance cover?
> Depending on the lender and transaction, finance may contribute towards the business purchase, franchise fee, fit-out, equipment, vehicles, stock and working capital.
Download the Guide for Buying a Franchise Business
Our complimentary guide explains:
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existing versus greenfield franchise finance;
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approved franchise lending panels;
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buyer contributions and security;
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equipment, fit-out and working-capital finance; and
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questions to consider before signing.
Free Guide on Buying a Franchise Business
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IMPORTANT: This information is general in nature and does not consider your objectives, financial circumstances or needs. It is not financial, legal, tax, accounting or other professional advice. Finance is subject to lender approval, terms and conditions. By submitting your details, you consent to Fairlane Finance Pty Ltd and its selected partners contacting you by email, phone or SMS regarding finance and related services. You may unsubscribe at any time. See our Privacy Policy for information about how we handle your personal information.