How to Get Business Financing for a Cookie Franchise in Utah
Financing a business is always a challenge, but it can be especially difficult when you’re starting a franchise. However, with a little bit of preparation, getting business financing for your cookie franchise in Utah or anywhere in the U.S. can be a breeze!
Here are 7 steps to help you get started:
1. Know Your Credit Score
The first step to getting business financing is knowing your credit score. Your credit score is a key factor that lenders will consider when evaluating your loan application, so it’s important to know what it is before you start talking to any lenders. If your credit score is below 620, you may have difficulty qualifying for traditional financing, but there are still options available to you.
2. Research Your Financing Options
Once you know your credit score, you can begin researching your financing options. If you have good credit, you may qualify for a traditional bank loan or SBA-backed loan. However, if your credit score is below 620, you may need to look into alternative financing options such as private loans or lines of credit.
3. Prepare Your Financial Documentation
No matter what type of financing you ultimately decide on, you’ll need to prepare some financial documentation before applying for a loan. This includes tax returns, bank statements, and financial projections for your franchise. Having this documentation ready will make the application process go much smoother and increase your chances of getting approved for financing.
4. Find the Right Lender
Not all lenders are created equal! When you’re looking for business financing, it’s important to find a lender who understands the unique needs of franchises and has experience working with businesses like yours. Be sure to shop around and compare rates and terms before making any decisions.
5. Get Pre-Approved for Financing
Once you’ve found the right lender, the next step is to get pre-approved for financing by filling out a loan application and providing all of the required documentation. This will give you a better idea of how much money you’ll be able to borrow and what kind of interest rate you’ll be paying. At Alta Commercial Capital we can have a pre-approval for you in a matter of 24-48 hours.
6. Negotiate the Terms of Your Loan
Before signing on the dotted line, take some time to negotiate the terms of your loan with your lender. This includes things like the interest rate, repayment schedule, and any fees or penalties associated with late payments or defaults. Getting these terms in writing will help protect you if things go wrong down the road.
7. Close on Your Loan and Open Your Franchise!
After negotiating the terms of your loan, it’s time to close on the deal and get started on opening your cookie franchise in Utah! These seven steps should help prepare you for the process and make it as smooth as possible.”
Following these seven steps should help make getting business financing for your cookie franchise in Utah a breeze! Once you’ve been approved for funding, it’s time to open up shop and start selling cookies to customers throughout the state!
There’s been so much buzz with #utahcookiewars and Dirty Dough I figured it was good to put out a Blog on what steps you need. We work with many people who are looking to get financing for different businesses and especially the cookie franchise inquiries have gone up.
With our expertise we’re confident we can point you in the right way when it comes to getting properly financed for your franchise.
Contact us today through phone or email or talk to your VP of Franchising for us to review your FDD and ultimately narrow down your best options for financing.