Exploring franchise opportunities is a very exciting time, before you start your exploration, it is important to put together a plan on how to fund your new business. It is much like purchasing a home and working with a lender to see how much you can qualify for. There are many options available, and it is essential to decipher which option is the best fit for you. Some franchises could cost as little as $5,000 or as much as $1 million. This does not mean that one is more profitable than the other based on the franchise fee.
There are many ways to fund your franchise, here are the top three:
1. SBA-Backed Loan
This is one of the most popular ways to fund a franchise because it is a tried-and-true method of borrowing. An SBA loan is a small business loan that is partially guaranteed by the government (the Small Business Administration), which eliminates some of the risk for the financial institution issuing the loan. The SBA works with a network of approved financial institutions to lend money to the small business. Senior Helpers is SBA approved so we can assist you in finding the right SBA lender to help you fund your franchise.
2. 401(k) Rollover
A 401(k) Rollover is a simple way to transfer your money from an old 401(k) to an individual retirement account (IRA) to save money and stay organized. It is a franchise funding method that allows you to draw money from your IRA to buy a franchise without a tax penalty or incurring an early withdrawal fee. Senior Helpers supports the process of 401(k) rollover because it helps candidates with their investment cost without having to incur any debt.
3. Partners or Investors
Many people partner up when they have a shared goal or want to decrease the financial costs when opening a business. Investors are also a great way to help you financially when fronting the costs of the franchise and can help decrease your risk of economic failure. Some of our Senior Helpers franchisees are partnerships or have had the help of investors. Most of these partnerships typically include family members, friends, and colleagues.
Senior Helpers is a great investment opportunity and has many options available for financing. We’re named a low-cost franchise by Entrepreneur and ranked in Entrepreneur’s Franchise 500 for ten consecutive years. Senior Helpers provides an excellent discovery process for you to learn about our franchise opportunity. We have a third-party lender option that will help you find the best fit when funding your franchise. Our lender is happy to share the different options available to help you fund the franchise of your dreams.
If you are interested in owning a franchise and are looking for one with a proven franchise model, then Senior Helpers may be the best option for you. Our discovery process and training prepare you for every aspect of owning your own franchise. Contact us today by filling out our web form or call 1-877-376-7120.