SBA Franchise Loan

So you're thinking of buying a franchise. As an intelligent and driven entrepreneur you realize that although the risk of starting a business is much greater than buying into a franchise you know you may need additional funding, whether it be from personal funding from the franchisor, or perhaps a Franchise loan from a commercial lending company, or financing from of the franchisor's businesses.

Another route, if the franchisor offers to help, is to get a loan from a bank. If you do this you should see if you are eligible for a SBA guaranteed loan. The first thing that you need to do is check with the bank and the SBA concerning your eligibility. Once you confirmed your eligibility do what you can to get this particular franchise registered with the SBA registry of franchises, assuming it wasn't already on it.  Once it is, your application for a franchise loan guaranty you should be able to get your money in no time.

Well why should you consider an SBA loan: well the SBA doesn't actually loan directly instead guaranteeing 75% the loan for the bank or lender allowing less risk on their part which means you can ask for more money up to 2,000,000 dollars! All you have to do is in your application is show the SBA your integrity, responsibility, character, and financial record, and plan to repay the money. Even good collateral isn't always needed!

The SBA loans will help you move past obstacles that were in the way of your success getting into the franchise.