 Wysłany: Pią 13:31, 18 Mar 2011 Temat postu: nike trainers clearance 5581 |
|
| Franchise Financing - Canadian Solutions by Stan Prokop
Canadian business owners have less financing options that are available in the U. S.... New franchisee entrepreneurs want to know what financing options are available in Canada for their proposed investment. Two factors that affect the type of financing available for franchises in Canada are: - The uniqueness of the industry the franchise is in - The size of the financial investment required How you structure and finalize your financing for your franchise will have a dramatic effect on your overall success, as we are talking about ability to repay debt, build your personal net worth, and limit your personal financial liability to the extent that you can. A key document in both assessing,ferragamo purse, and of course completing your financing is the business plan. Careful thought and preparation must go into this document as it will reflect the financial success of the business,nike trainers clearance, and it should also focus on the only thing the lender cares about - how will financing be repaid? If you can't demonstrate a viable repayment model then your financing is potentially at risk. Some studies in the U. S. indicate a very high rate of financing declines (80%) for the sole reason that the franchisee or new business owner was simply unprepared and could not demonstrate the overall financial success. Your franchise financing planning should therefore reflect the royalty rates based on your sales, your repayment of any term debt, and the potential need for working capital. If you are in a ' cash business ' as many restaurants are you have a limited need for working capital, and typically a small over draft will suit the firm quite well. However if you are selling on credit terms for any product of service you need to factor in a working capital component in your franchise business plan to reflect the carrying of receivables and inventory, We're discussing your financing needs for the franchise, and it is worth mentioning that by now you should have reviewed the franchisors financials they have provided to ensure the franchisor is in a viable financial position. Financing for franchises is general needed into he following categories - Working capital Assets and equipment Turnkey build out Leasehold improvements Franchisee fees and rent premises down payments In our firms experience the owner generally carries or finances the franchises fee and any miscellaneous pre paid such as rent, etc, Your franchise financing goal should be to structure a financing that properly reflects the opening and on going financial needs of the business. This typically is done with the assistance of specialize loans such as the CSBF loan program, equipment financing pertinent to your business needs, a working capital term loan,cheapest north face jacket, and a line of credit t and or business credit card. We believe that most of the franchises in Canada that are saying, under $350, 000. 00 should be able to be adequately financing under the above strategy. It's in effect a cobbled together strategy of financing structuring around your specific businesses needs. Your own investment into the franchise will often dictate the size of the franchise you can purchase. By that we simply mean that entrepreneur should expect to acquire and obtain proper financing for a 1/2 Million dollar franchise based on a small owner commitment of say 20k, etc. If you are not financially oriented,discounted nike airmax shoes, and many aren't, utilize the services of a business financing advisor to ensure you are in a position to make a strong presentation around your financial needs. Financing typically can be finalizing din less than 30 days if you are properly prepared. Your own investment into the business, a solid business plan, a successful finance strategy, a great business idea, those are the backbone of successful franchising in Canada. .Topics related articles： asics trainers 2931 asics trail shoes 1963 north faces jacket clearance 9472 |
|
