Wednesday, September 22, 2010

Franchises With No Money Down | Fact or Fiction ?

According to my research and experience as franchise consultant the chances of buying and starting a new franchise with absolutely no money is a long shot at best. Even today with more and more franchisers offering in house financing and generous terms because of the small business lending crunch its just not realistic to expect to start a legit franchise business without putting some funds down upfront. As a general rule of thumb most small business lenders and franchisers that offer financing are going to require at least 15 to 20% down.

Other Options: 

If you dont have a lot of liquid funds available to put down your best bet is to research either low cost franchise opportunities here or possibly existing franchises for sale in your local area. Often buying an existing franchise business can be relatively inexpensive vs starting a new franchise and the owner maybe more negotiable about the terms of the purchase. 

You may want to also view a number of featured franchises that offer in house financing here...

 

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