| Of the dozen difficult aspects of selecting, | | | | franchise can't get a loan from a private |
| starting, and running a new franchise | | | | lender for whatever reason, the SBA is able |
| opportunity, few are as potentially | | | | to step in and provide a guaranty to the |
| paralyzing as paying for it. Most of us have | | | | lender as high as $2mil, making a loan |
| learned that money doesn't grow on trees, and | | | | possible by taking the responsibility for a |
| the average franchisee-to-be simply doesn't | | | | potential business-and thus |
| have the cold, hard resources to make a | | | | loan-repayment-failure off the franchisee's |
| business purchase outright. Whether the goal | | | | shoulders. |
| is a Sterling Optical costing no less than | | | | |
| $100,000 or a Baymont Inn at $1mil, the | | | | There are, of course, some hoops for the |
| staggering line of zeroes at the end of the | | | | potential franchise buyer to jump through in |
| prices on those business opportunities can | | | | order to get that SBA loan, but the rules of |
| sometimes be enough to discourage even a | | | | engagement are a little different with the |
| veteran entrepreneur. | | | | SBA than they are with private lenders. Banks |
| | | | and other financial institutions tend to look |
| So what does the earnest and talented | | | | more at credit and assets than anything else, |
| entrepreneur with a skinny wallet do? The | | | | because in our fading economy, their |
| same thing I did to make my way through | | | | responsibility is keeping their hands on |
| college: take out a loan. The problem many | | | | dollars whether the loan recipient succeeds |
| people run into, though, is that loans aren't | | | | or not-sounds cold, but we can't blame them. |
| always available to everyone-or at least they | | | | The SBA, however, is far more interested in |
| don't seem like it. | | | | the business model and the professional chops |
| | | | of the candidate; if they think that this guy |
| If you've got good credit and enough assets, | | | | with this work from home business plan can |
| it shouldn't be too hard to approach a bank | | | | make it, he gets the guaranty. Their concern |
| or lending institution, even through your | | | | is not keeping their hands on dollars today, |
| franchisor, and get the sufficient funding to | | | | but getting functional businesses up and |
| start your franchise. There are even lenders | | | | going to pump more dollars into the national |
| you can approach via the internet to get that | | | | economy tomorrow. |
| startup loan that you're looking for-Diamond | | | | |
| Financial and Triple-AAA Financial Service | | | | As a side note, because the SBA is interested |
| are two great options. But, in our dwindling | | | | in functional business plans, they also |
| economy with skyrocketing interest rates, if | | | | already have a record of franchisors |
| your credit is even slightly off or you | | | | registered with them, having already provided |
| aren't a homeowner with assets to leverage, | | | | and cleared their business models with the |
| chances are you're going to find yourself | | | | SBA, who agrees that their plans and |
| pacing, biting your nails, and losing | | | | practices are lucrative and clean. This is a |
| precious hours of sleep over whether your | | | | good resource in determining what franchise |
| financing is going to come through or not. | | | | to purchase as well as figuring out if it |
| There are alternatives to needless worry, | | | | will be affordable for you. |
| however. Aside from the option of finding a | | | | |
| partner, investors, or someone in your family | | | | Though getting a loan can seem like a |
| who has the cash to cosign the deal with you, | | | | hopeless endeavor, there are very real and |
| there is an alternative that has proven | | | | very effective ways to get it done, without |
| effective for a good number of franchisees | | | | having to leverage your car and sell the |
| hoping for their own franchise opportunities. | | | | shirt off your back-after all, no one is |
| That alternative is the US government. | | | | going to be comfortable coming into the |
| | | | SIGNARAMA owned by that creepy shirtless guy. |
| Yes, you read that right; the United States | | | | Your franchisor and the Small Business |
| government can actually help you. Though they | | | | Administration can help when things look |
| may be tapping your phone and reading your | | | | really dire. And when you've passed through |
| email as we speak, they are genuinely | | | | the trial and learn how it feels to both |
| concerned with getting more small | | | | flounder and fly when it comes to financing a |
| businesses-franchises included-up and | | | | franchise business, you can always go into |
| running, because that is what capitalism, and | | | | business helping others to accomplish what |
| thus our nation, thrives on. The department | | | | you have. Exclusive Commercial Lending and |
| you're looking for in this instance is the | | | | IRA and 401(k) Retirement Plan Rollover are |
| Small Business Administration (SBA), and they | | | | two companies that allow you to do just that: |
| really can get you the money that you're | | | | make other people's business dreams a |
| looking for. The way it works is this: when a | | | | reality. |
| person interested in a small business | | | | |