Franchise Financing FAQ

Franchise financing is funding that can be used to finance furniture, fixtures, and equipment (FF&E). In addition, franchise financing is an option for franchise owners who need funding to finance property improvement programs (PIPs), brand mandates, or remodeling and expansion initiatives. 

Franchise financing is an intelligent choice because it does not require a large upfront payment that might disrupt your cash flow. Another benefit of franchise financing is that the monthly payments are predictable. Knowing how much is due each month can help you forecast your expenses. Finally, the equipment, furniture, POS systems, light fixtures, etc., that you finance might be eligible for the Section 179 tax deduction. Just make sure you confirm this with your accountant or business attorney.

Your franchise needs to be operating for more than one year, and it needs to have $100,000 or more in annual gross revenues. Additionally, you need a FICO score of 620 or greater. We will also consider other criteria when evaluating your application. Your Balboa Capital account manager will explain our requirements to you in greater detail.

To get started with Balboa Capital, complete a franchise financing application that takes just a few minutes to complete. Then, we will promptly provide you with a credit decision during our regular business hours, and one of our franchise financing experts will call you to discuss the next steps and get everything in order.

Balboa Capital works with franchisees in many different industries. We are a preferred or qualified lender for some of the most prominent franchise concepts in the United States. In addition, we develop custom-tailored financing solutions for franchisees who need funding for brand mandates, remodeling, PIPs, and FF&E.

Yes. Some franchisors work closely with lenders to develop special financing programs with competitive rates for franchisees. This is a common practice for mandatory brand updates, which can be very expensive, particularly for multi-unit franchise owners.

Balboa Capital offers financing solutions for just about everything once your franchise is up and running. We provide funding to finance furniture, fixtures, and equipment (FF&E), property improvement programs (PIPs), brand updates, and remodeling/re-imaging.