Did you know that buying a franchise is not as expensive as may think? Did you know that here are many options in helping you fund your franchise purchase? You don’t have to drain your life savings to purchase a franchise. Here are a few examples.
- 401 K / IRA Roll Over- Did you know that you could take your existing 401K or IRA roll over without tax or penalty to help you fund your own business? What better way to significantly increase the return you would otherwise receive on this money and that otherwise you would not be able to use for years, by purchasing a franchise and turning these dollar into a revenue producing and appreciating asset.
- Traditional Small Business Administration (SBA) Loan- The SBA continue to be a valuable and consistent means of funding the purchase of a franchise. In fact, many franchisors have their franchise offering pre-approved by the SBA which allows a more timely processing of your loan applications through the SBA. While some cash contribution is required by the purchaser, often times the SBA will loan up to 70% of the anticipated total investment cost in purchasing and operating the franchise, which significantly reduces the out-of-pocket requirement for you.
- HELOC, Stock Leverage, and Unsecured Lines of Credit- Yes, you can utilize equity in your home, you can leverage your existing stock portfolio (without giving up control of the portfolio and your ability to buy and sell stock), and you may be able to obtain unsecured lines of credit to help you fund your business.
Our partners, Commercial Funding Source and Tenet are experts in the area of 401K / IRA roll overs, as well as traditional and non-traditional funding alternatives. Click here to learn more about these companies. Of course, if you prefer, you can always contact us and we are happy to make introductions for you to any or all of these companies.
Discover your retirement account’s true investing power (and the ability to finance your franchise with money you already have)!