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Help Franchise Finance · Starting a franchise Is a franchise easier to fund than an independent start-up?
Help guide · Franchise Finance · Starting a franchise 2 mins read

Is a franchise easier to fund than an independent start-up?

Often, yes. A lender funding a new independent business has only your plan to go on. With a franchise, they can also look at a model that already works elsewhere and at how other units in the network perform. Why...

Often, yes. A lender funding a new independent business has only your plan to go on. With a franchise, they can also look at a model that already works elsewhere and at how other units in the network perform.

Why lenders can find franchises easier to fund

  • A proven model: the brand, the systems and the costs are already tested.
  • Network figures: lenders can compare your forecast with how similar units trade.
  • Training and support from the franchisor.
  • Bank franchise teams: some banks have specialist teams that know established brands. Some of these fund up to 70% of a franchise's approved costs.

The wider picture

In the bfa National Franchise Survey 2024, 89% of franchise units reported being profitable, and 82% of franchisees said they were satisfied with their franchise. These are network-wide averages, not a promise for any one brand or unit.

What doesn't change

Last reviewed: 8 October 2026

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