Franchise Note Buyers Introduces Innovative Financial Solution To Help Stimulate New Franchise Sales
Online, April 28, 2011 (Newswire.com) - Franchise Note Buyers, the nation's leading company specializing in the purchase of seller-financed business notes, recently introduced a solution to help Franchisors, whose systems are starting to feel the effects from the lack of new franchise sales due to the nation's credit crunch.
"Experts predict that the credit crisis will last for three to five years, which inhibits the loan process. Without bank loans to Franchisees, there's no ways for deals to get done. And, this hurts franchise systems because it stops the flow of new blood, new energy into the system, a necessary component to a healthy franchise system" states Rich Kolman, President of Franchise Note Buyers FNB Team.
The most effective way to get deals done or facilitate the resale/transfer process, and increase new franchise sales is for franchisees to offer seller-financing to the potential buyer. This means that the seller becomes the bank for their buyers.
Once the deal is consummated, Franchise Note Buyers will buy the newly created note from the seller making the process seamless and without risk. The process is explained in this video about increasing new franchise sales, speaking directly to Franchisors Franchise Note Buyers Video.
As further testimony to the innovativeness of their program, Nancy Estep-Critchett, President of Franchise Resales LLC, states "For all of the alternatives we see for "pioneering" and "ground-breaking" financing options in the franchise arena, this by far is one of the most innovative solutions that we have seen. I intend to work closely with Franchise Note Buyers in an effort to ensure that we are utilizing every instrument in the marketplace to get the job done".
Franchise Note Buyers offers unique alternative financing solutions to help franchisees and franchisors. They buy promissory notes (IOU's) that are secured (collateralized) by franchised businesses. They buy these franchise-backed notes from franchisees, especially those who had to carry back seller financing (i.e., become their buyer's "bank") in order to complete the re-sale (transfer) of their franchised business. Franchise Note Buyers also buys these franchise notes from franchisors, who loaned monies to their franchisees. Their innovative "non-bank" financing solutions facilitate the sale of new and existing franchises.
For more detail, visit Franchise Note Buyers