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Franchise Financing

Franchise Financing

Open a new franchise location, buy an existing one or grow to multiple units. SBA and conventional financing for franchise fees, build-out, equipment and working capital.

Loan amount$5MUp to, SBA; larger for multi-unit
Down payment10%As little as, on SBA loans
Term25 yrsUp to
Credit score600Minimum, as low as
Eligible uses

From your first unit to your tenth

We work with lenders that know franchise models, so your brand, your franchise agreement and your territory are part of the underwriting from day one.

New location

Franchise fee, build-out and opening costs for a new unit.

Buy an existing franchise

Purchase an operating franchise from the current owner.

Multi-unit growth

Add locations or buy a group of units.

Remodel and reimage

Fund brand-required remodels and upgrades.

Real estate

Buy or build the property your franchise operates from.

Refinance

Refinance existing franchise debt on better terms.

Program terms

Franchise financing terms

The best terms available across our lending partners. Final terms depend on the brand, the location and your experience.

SBA 7(a)
Up to $5,000,000; as little as 10% down; up to 25 years with real estate
Conventional term loans
$500,000 – $5,000,000; up to 25 years; credit scores as low as 600
Multi-unit acquisitions
$1,000,000 – $25,000,000 for larger franchise groups
Real estate
Owner-occupied locations through SBA 504, with as little as 10% down
Equipment
Up to 100% financing through equipment financing
Eligible costs
Franchise fee, build-out, equipment, signage, opening inventory and working capital
Industries
Restaurants, automotive care, fitness, childcare, hotels, services and more
How it works

From franchise agreement to grand opening

Share your plans

Send the brand, the franchise agreement and your budget for the location.

Match the lender

We match the deal to SBA or conventional lenders that work with your brand.

Close and open

Close the loan and draw funds for build-out, equipment and opening.

What you'll need

Documents checklist

  • Franchise agreement and Franchise Disclosure Document (FDD)
  • Franchisor approval letter
  • Project budget: franchise fee, build-out, equipment and working capital
  • Business plan and projections
  • Resume and relevant management experience
  • Personal financial statement and tax returns for each owner
  • For acquisitions: seller financials and purchase agreement
Example

Funding a new location

SBA financing can cover most of the cost to open a new unit.

Loan = Total project cost − Down payment
Franchise fee$50,000 Build-out$450,000 Equipment$250,000 Working capital$100,000 Total project cost$850,000 Down payment (10%)$85,000 Franchise loan$765,000

Illustration only. New franchisees may be asked for a larger down payment. Fees and closing costs are additional.

Common questions

Franchise financing FAQ

Do lenders finance my brand?

Most established brands qualify. Lenders review the franchise agreement and the brand's track record. We'll confirm early in the process.

Can I finance the franchise fee?

Yes. The franchise fee can be part of the project cost.

I'm new to the brand. Can I qualify?

Yes. Lenders weigh management experience and may ask for a larger down payment for a first unit.

Can I buy multiple units at once?

Yes. Multi-unit and franchise group acquisitions can be financed up to $25 million.

What about buying an existing franchise?

See business acquisition loans for purchases of operating businesses.

Ready to open your next location?

Tell us about the brand and the location. We'll match you with franchise financing that fits.

Get Started

Terms shown are the best available across Capital Lending Group's lending partners as of October 2026 and change without notice. Not every borrower or property qualifies for every term. Loan amounts, leverage, terms and eligibility vary by lender, property, market, experience, credit profile and state. Business-purpose financing only. All loans are subject to lender review and approval. Capital Lending Group, LLC is a loan broker, not the lender.