Depending on the start up costs, franchisees will probably need to borrow to buy your franchise. In the early days of your franchise banks will probably lend around 50% of the start up costs.

Once a franchise network is well established, with a good track record, franchisees may be able to borrow up to two thirds of the start up costs. Franchisees will need to prepare a business plan, together with financial forecasts to support their request for finance. You will probably need to help with this, but the franchisee should understand the figures and 'own' the business plan.

Our Franchise Loan has been specially developed to finance the purchase or expansion of a franchised business and offers flexible terms, with the option of fixed interest rates and capital repayment holidays for loans of over £25,000.

Important Notice for Franchising