Franchise Finance

Acquiring a franchise is an attractive option for anyone who wants to be their own boss, but without the risk that comes with starting a business from scratch. Buying into an established brand means you don’t have to worry about proving the business model, and most franchisors will provide the necessary training and support to ensure your business is a success. After all, it’s in their interest for your franchise to succeed.

On the other side of the coin, becoming a franchisor can be a quicker and more cost-effective way of scaling a business than acquiring additional sites and paying for the associated overheads. Although it can take a bit of time to establish and fine-tune a franchise system, the financial burden is largely shouldered by franchisees, meaning you can grow your business without needing to generate significant revenue or raise a large amount of additional capital.

Raising finance for a franchise

A franchisor will usually point franchisees in the direction of lenders – typically banks – that can assist with the initial franchise fee, as well as the cost of purchasing premises. However, this can often be quite a long-winded process involving numerous interviews and comprehensive due diligence, something that many franchisees might wish to avoid when they require funding to purchase another franchise or assist with cash flow.

Just like any business owner, a franchisee has to make enough revenue to cover ongoing costs such as staff salaries, utility bills and stock purchases, which aren’t typically paid by a franchisor. There are also one-off expenses to consider, including refurbishment, machinery upgrades, and possibly the acquisition of additional sites. When cash flow is tight, an injection of external capital can help a business spread these costs over several months or years, rather than paying them in one go.

Franchise finance from Fleximize

Franchises often need to move quickly to get funding in place, especially when they’re unexpectedly caught short by a late-paying customer. Thankfully, a whole host of alternative lenders have emerged in recent years, many of whom are faster and more flexible than banks.

Fleximize has lent to numerous franchises, including fast-food restaurants and a canine creche. Our flexible funding solutions are an ideal fit for franchisees and franchisors alike, and can be used for practically any purpose. Here’s what Fleximize can offer your franchise:

• Business loans of £5,000 – £500,000
• Unsecured and secured borrowing options
• Flexible repayment terms of 3 – 48 months
• Speedy application with minimal paperwork
• Approval and deposit in as little as 24 hours
• No hidden fees or early-repayment penalties
• Interest charged on a reducing balance, not the total loan amount
• Repayment holidays and top-ups available with all loans
• Exclusive discounts on industry-leading business services

Our expert underwriters assess each business on a case-by-case basis, and always look for a way to say “yes” to every applicant. As long as your franchise has been trading for a minimum of six months, we’ll happily consider it for funding.

Get started: Apply now

How to use a Fleximize loan

At Fleximize, we’re passionate about helping businesses grow. Our loans are ideal for any purpose related to business growth, including but not limited to, the following:

Danny Bloomfield, a franchisee for Premier Education Group, borrowed from Fleximize after becoming frustrated with his bank. He used our funding to buy out his business partner and invest in a new franchise. Watch the video below to hear what he thought about his Fleximize experience, or click here to read his story in full. 

Apply for a franchise loan today

Ready to apply? Just click the button below and complete our simple application form. If you pass our initial checks, one of our relationship managers will be in touch promptly to guide you through the final stages. To discuss our funding options with a member of the team, feel free to drop us a line on 020 7100 0110. 

Get started: Apply now