YOU ARE LOOKING FOR FRANCHISE BUSINESS FUNDING!
You've arrived at the right address! Welcome to 7 Park Avenue Financial
Financing & Cash flow are the biggest issues facing business today
ARE YOU UNAWARE OR DISSATISFIED WITH YOUR CURRENT BUSINESS FINANCING OPTIONS?
CALL NOW - DIRECT LINE - 416 319 5769 - Let's talk or arrange a meeting to discuss your needs
EMAIL - sprokop@7parkavenuefinancial.com
‘In the loop’... it’s, of course, being informed and up to date on a subject. So when it comes to a decision such around franchise business funding and staying in the loop on the issue surrounding franchising loans, lenders, and other related issues what could be more important?!
The whole issue of purchasing a franchise and then sourcing franchising loans to complete that purchase is clearly a journey these days... we like to think about it as simply basic steps you can implement in an orderly fashion.
It should be no secret that the franchise you ultimately choose, whether it be in hospitability or service business has to match and complement your financial resources. Naturally related to those decisions are key areas such as suitability of the business when it comes to work experience, fields of interest, etc.
What many franchisees may not realize is that your actual experience in the business is certainly one key factor that a franchise lender considers with respect to a final approval of your transaction. This is probably most evident in the hospitality area, when it comes to a restaurant as an example.
While we personally believe a solid mix of business and marketing skills should make a strong case for a positive supplement to your franchise loan approval the hard reality is that in many cases no experience in an industry often raises a red flag with lenders when it comes to probability of financial success in the business. In any business management experience, rather mismanagement is cited as a case for business failure, and this is equally so in franchising in Canada.
Your own investment in the business, i.e. your equity or down payment is of course a strong motivator for you to make the right decision. Although we see some franchisors providing what we could call at best 'guidance' to your financing needs it should be clearly understood that you're on your own when it comes to franchise business funding in Canada. The one caveat is that in some cases franchisors have a program established with a financial institution of some type, but this is absolutely certainly no guarantee of final approval.
Doing the right due diligence around the financial aspects of your purchase is critical. Understanding revenue potential, profits after your salary that would define a reasonable return on investment, and the ability to finance the business on an ongoing basis are key to being ' in the loop. This can be accomplished through research, talking to current franchisees in the system, and getting some solid advice or mentoring from your accountant, lawyers, or business peers.
Franchising sales account for a huge part of the Canadian economy. Financing your franchise via a specialized loan program such as the Government SBL/BIL program allows you to limit your liability while at the same time having access to solid rates, terms and structures. It quite frankly the 'proper' financing for your franchising business loan.
Speak to a trusted, credible and experienced Canadian business financing advisor on which type of financing best suits your needs... and, as we said, you'll be 'in the loop'!
Click here for the business finance track record of 7 Park Avenue Financial 
Stan Prokop 7 Park Avenue Financial/Copyright/2020
