SBA Loan for Franchise: How to Secure Financing While Interest Rates Are Low

Need an SBA loan for your franchise? Learn how to secure financing for your new business venture.

SBA Loans: Franchise Financing Solutions

If you’re interested in an SBA loan for franchise business opportunities, now might be a great time. Interest rates still relatively low and may not stay that way since the Federal Reserve approved its largest increase since 2000 with further hikes planned for the remainder of 2022 and into 2023.

Small Business Administration (SBA) loans are ideal for new franchise business owners and can be used to finance initial expenditures like franchise fees, securing real estate, and purchasing equipment. However, securing an SBA loan can only happen if your chosen franchise is listed in the SBA franchise directory – Marco’s Pizza is included in this directory.  Additionally, Marco’s has well-established relationships with preferred lenders connecting our franchisees directly with the SBA, which expedites the loan approval process.

Get Your Loan! Here’s How…

Once you’ve established the franchisor’s inclusion in the SBA franchise directory, you can explore some of the loans’ incredible features. For example, the loans typically have high capital amounts, up to $5 million, with low interest rates, and long repayment terms between 10 and 25 years.

There are two types of loans available: an SBA 7(a) loan, which is great for covering your startup costs; or an SBA CDC/504 loan, which is used for large expenses like securing real estate. The SBA lender of your choice can help you determine which loan best suits your new business needs.

Here are some tips for your next steps so you can secure the financing you need to open your franchise business:

  • Verify that the franchise you’re interested in is eligible for an SBA loan by checking the SBA franchise directory. Marco’s is listed in this directory.
  • Decide which loan type is most suitable for your business startup needs.
  • Choose your lender. It’s important to know the SBA doesn’t issue loans. Instead, you’ll choose an SBA-approved lender. The SBA even provides a handy tool for your convenience. Strong franchise brands, like Marco’s, typically have well-established relationships with lenders.
  • Gather all the necessary documents. They typically include an SBA loan application form, a copy of your signed franchise agreement, a statement of your personal and business financial statements, tax returns, your resume, and an explanation of how an SBA loan will benefit you and your business.
  • Submit your application. You might wait for an answer for up to three months if you submit it to an SBA office, or much sooner if you submit it directly to one of Marco’s preferred lenders.
  • Get approved. Before you sign, make sure to review the interest rate and repayment terms so you are clear about what you’re agreeing to.

Marco’s Pizza: The Right Franchise at the Right Time

In 2021 Marco’s received the highest FUND Score rating in the pizza category.  Marco’s 890 FUND score is in the top 1% of all evaluated franchise systems and is among the top three scores for all QSR Brands. The FUND score is a highly competitive scoring system that highlights brands that have simplified the financing process and improved key metrics that lenders look for when lending. Marco’s Pizza connects franchisees directly with preferred lenders, which expedites the overall loan approval process.

It’s the right time to take advantage of these preferred vendor relationships and secure your SBA loan financing. Choosing the right brand is key, which is why Marco’s Pizza is the franchise business opportunity you’ve been waiting for.

Marco’s Pizza is exploding onto the national scene, taking the $46 billion pizza industry by storm and is the 5th largest pizza brand in sales (2021). Marco’s is opening its 1100th store in June and has plans to grow even more. Marco’s has opportunities for the ambitious entrepreneur looking to take advantage of prime territories available for multi-unit development nationwide.

Time for you to join this soaring brand – get started today.