It is a big step from deciding to start a franchise to actually opening your doors for business. For many, one of the biggest hurdles is approaching the bank for finance.
Banks have learnt that it can be safer to lend to franchisees of well-structured ethical franchise systems. The track record of the franchisor is important to a bank when assessing whether to lend finance and over the years Kare Plus has built a solid reputation with the banks. Franchise opportunities with a good reputation and track record will be ranked higher when it comes to a bank offering finance. For an established franchise like Kare Plus, the major banks can lend up to 70% of the start up costs, for new franchises the figure will probably be around 50%.
Kare Plus can help you every step of the way: A Kare Plus Franchise opportunity is already supported by a number of the main banks including HSBC, RBS and Natwest. If you require borrowing to assist you with your Franchise fee and/or your working capital we can introduce you to people in these institutions who have pre-approved our business opportunity and merely need to consider your personal circumstances.
What does it cost?
As a guide, the cost of a franchise is £40,000 plus VAT and working capital requirement is £35,000. You will need to provide at least between 30-50% of the value, the remaining can be funded through a bank loan with favourable funding terms.