Funding Your Future Business
If you’re interested in starting a franchise, you may be wondering “How can I fund this?” Luckily, there are a few different options to consider. You may want to explore local banks, contacts from your personal network or grants.
Starting a business involves a lot of important decisions. Please contact us to discuss the details. You might be surprised about all of the financing options you have to buy a franchise! These are some methods that can be used and the typical requirements for each.
Consulting is the backbone of Saiter; it’s where we started and it underpins all the technology services we offer too. For us, it’s about really understanding the customer’s process and priorities, and making feasible, value-adding recommendations for field service improvement.
- Ricardo Matos
Saiter Real Solutions CEO
401k Rollover
While the original 401k can be removed, this type of funding can also be realized from other retirement accounts. A 401k rollover is a way to invest some or all of your retirement assets in your own company, without paying any taxes or penalties. 401k rollovers are an excellent way of funding a new franchise purchase. As previously mentioned, 401(k) rollovers are often used for cash management. We would be happy to discuss the options this may provide you with to meet SBA and private equity investment requirements or as a means of debt refinancing. This is a very common and important question that we get often. It’s best to know and understand the benefits versus the risks of using or not using a 401k. However, it can be achieved in as little as a few weeks. A 401k loan will be repaid with interest, while a 401k transfer would put the money back in the retirement account and potentially keep it in there longer.
Unsecured Loans
Unsecured loans are offered to borrowers that don’t need any collateral. To qualify, a borrower’s credit rating has to be good (700 or higher) with no negative marks on their credit report.
SBA Loans
The SBA doesn’t actually provide loans but they do offer a loan guarantee to support small businesses and make the loans more attractive and less risky for the lender. Start-up Business Administration loans can provide you with a great way to fund your franchise. With most Start-up Business Administration loans, funds can be approved and issued within the span of 60 – 90 days.
Home Equity Lines of Credit
A home equity line of credit could be a relatively low-cost method of funding your franchise. Interest rates generally range from 5-10% and they’ll typically cost anywhere from 1-3% of the value of your home. Home equity lines will also vary based on your credit.
Finding the right funding option to help your franchise business succeed can be a challenge. Our partnership with leading lending institutions allows you to find the best plans, tailored to your needs. They understand every aspect of this industry and will make sure you get an honest plan that fits well with your goals.
Talk to Our Experts About
Your Field Service Ambitions
Drop us a line for an informal discussion on what you’re trying to achieve and how we can help
Saiter Real Solutions Franchise
181756 Stone Oak Parkway Suite200 San Antonio, Texas 78258
Are You Looking to
Own a Franchise?
Do you want to own your own franchise? We can help you find the perfect option, so speak to one of our franchise consultants and they’ll be in touch shortly. A franchise is a great way to go if you’re looking for a simplified & proven business model. However, no single franchise is perfect so it pays to consult with someone who has experience in this type of venture. We are paid by the franchise so our advice will never be biased, which means we can act as an impartial advisor before you take any steps.
