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We are investigating franchising our business and want to get some advice on which banks are more proactive in lending to franchises?
Responses
Hi Lisa
There are a few Lenders who lend to businesses that are looking to franchise. Best thing to do is to contact me on 0414 727 308 to chat more about your business.
Hi Lisa. You will likely deal with one of the majors for this, but not at the local branch level. The majors have specialist Franchise divisions which you will need to approach. From experience, ANZ is one bank that has an appetite for this type of lending.
You will need a solid and professional business plan, including full cash flow projections before calling them. As you are proposing a new business venture don't be surprised if they want some solid security before lending you any money.
If you really believe in what you want to do then you will have to be strong.
Appreciate that they get a lot of people approaching them with similar requests so be prepared for a fight to get what you want.
Best of luck.
It doesn't look like we can franchise our business which is disappointing. We still need finance to grow and someone suggested Prospa, who are they?
Prospa are a cashflow lender who lend on business turnover - and higher rates than borrowing against residential property for business purpose. So you need to have been in business for 2 years I think and have a track record. They will lend a % of your turnover.
Launching a franchise would normally need to be done with your own funds - showing success. Do you have residential or commercial property to secure against for business lending ?