Advantages of SBA loans. SBA loans allow for projection-based underwriting, which means prospective franchise business owners can obtain capital for initial businesses or store expansion based on profitability estimates. Other benefits may include: Generous term lengths, such as a 10-year term on non-real estate loans.

SBA loans may vary on terms depending on the bank partner, but are most typically 120 months. What costs can be included in the loan? ApplePie Core loans are designed to include many costs associated with a new unit buildout including the franchise fee, construction buildout costs, equipment, inventory, and working capital.

Important Disclosures. Products and services are provided by the ApplePie Capital family of companies which include ApplePie Capital Funding Solutions, LLC, and ApplePie Capital Inc. ApplePie Capital Funding Solutions, LLC provides prequalifications and referral services to its network of lenders; the terms “pre-approved” and “preapproval” on ApplePie Capital’s website …

Important Disclosures. Products and services are provided by the ApplePie Capital family of companies which include ApplePie Capital Funding Solutions, LLC, and ApplePie Capital Inc. ApplePie Capital Funding Solutions, LLC provides prequalifications and referral services to its network of lenders; the terms “pre-approved” and “preapproval” on ApplePie Capital’s website …

SBA loans, 401(k) rollovers and personal collateral are also viable financing options, but each depends highly on your unique financial situation. Make sure to read about the risks involved with each before reaching a final decision. Understand why lenders are taking on more risk now

The same focus on processes should carry over to franchise loans. "Franchising is very process-driven," Ron says. "For instance, you need to have a lending partner that understands the real estate process for your brand, and makes sure the money is there for the contractor, instead of the contractor waiting for their money during a buildout.

The SBA requires personal collateral but ApplePie doesn’t. Early on we had multiple SBA loans with liens already on personal collateral, so the SBA lender took a portion of our tenant improvement dollars to pay down the loan, which really stunk, because we relied on that for operating dollars when we opened the store.

If you have one or more SBA or conventional loans for your franchise business, refinancing your outstanding debt can make sense for many reasons. You may want to free up your personal collateral and “get your house back,” extend your repayment period and get lower payments, or take cash out by recapitalizing your equity.

Lenders independently determine loan availability and terms. ‍ ApplePie Capital, Inc. offers its own branded loan products, the ApplePie Core & Spring loans, which are made by Cross River Bank, a New Jersey State Chartered Commercial Bank, Member FDIC. These are not deposit products.

Explore various franchise financing options, such as conventional loans, SBA loans, and other funding sources. Assess your financial needs and how they align with your budget and long-term goals. Understanding these aspects and securing appropriate financing solutions will help you plan effectively.