It’s natural to feel nervous about what a franchise investment may entail. Before starting your own business as a franchisee, you’ll have to secure funds for the bid itself. Access to small business funding – or even a look-in from the banks – isn’t something you can take for granted.
However, you don’t have to be daunted by the franchise finance options when taking on a Rainbow International territory. We have a strong reputation in the specialist cleaning and disaster recovery sector, and have strong links to lenders who can satisfy most of the upfront cost.
Every case is different, but we’ll do all we can to help you reach the financial target we ask for. Starting your own business should be as seamless as possible, so take advantage of Rainbow’s support for accessing franchise funding and ensure nothing gets in the way of you and your ambition.
The vast majority of ventures will be lucky to get 50% of their start-up costs covered by a bank, investor or lending partner. Yet Rainbow is a proven entity; our low-cost franchises have been hugely successful around the UK. Therefore, we’re seen as a more assured bet by lenders. Depending on your circumstances and financial history, there’s an average success rate of 70% for anyone seeking small business funding with us.
We’ll introduce you to the right people – those who have worked with our franchisees in the past. On top of the initial investment of £55,000+VAT, our experience has shown that £30,000-£40,000 working capital is sufficient. We can help you create detailed financial projects, ensuring you have enough franchise funding to cover the rent, utilities, hiring and equipment costs required until you start making a healthy profit.
However, we also suggest you look at your credit score, which can hamper or aid your claim to investment. If you apply with a bad score, it’ll further reduce your credit status, making borrowing much harder. All of these factors align for a great, positive investment strategy that has a high chance of success.
To learn more about franchise finance and explore your options, speak to Rainbow’s advisory team today.