Franchise Loans

Funding to start or grow your franchise.

1

Complete the form

Answer a few questions for us to understand your business' needs

2

We compare 100+ lenders

We will advise which options could be suitable for your business

3

You choose the offer that best suits you

We'll present any offers available for your business. You choose the one that best suits your business.

Apply Now

Please note the minimum requirement is £5,000.

Apply Now
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

What is a Franchise Loan?

A Franchise Loan is a specific type of business finance used to help individuals purchase, launch, or expand a franchise. This loan can cover franchise fees, setup costs, equipment, marketing, and working capital, making it a popular route to entrepreneurship for those following an established business model.

Types of Franchise Loans

Franchise finance can take various forms including unsecured loans, secured loans, asset finance, or startup loans for new franchisees. Some lenders offer franchise-specific packages in collaboration with franchisors, offering streamlined approval.

Loan Calculator

Monthly Payment
£0.00
Total Repayment
£0.00

Identify the Funding Need

Working capital, expansion, stock purchase or covering cash flow gaps.

Compare Lenders

Compare Business Funding will explore the most suitable lenders based on your business profile, credit score, and loan amount.

Apply and Submit Documents

Complete the application form and our team will speak to you to fully understand your requirement and request the documentation required.

Agree the Terms

Once approved, you’ll receive an offer outlining the loan amount, repayment schedule, interest rate, and any fees involved.

Receive Funds and Repay

The funds are deposited into your business account. You then make the agreed repayments over the agreed term.

Compare Business Loans Deals Today

At Compare Business Loans, we make it easy to compare a full range of business loan options from top UK lenders.

Whether you're looking for unsecured business loans, secured loans, start-up loans, working capital finance, short-term business funding, or any other type of loan, our specialised partners, expert business finance brokers, help you find the best deal for your business, saving you time, money, and hassle.

Compare now

Quick online quotes

Transparent fees and terms

Wide range of finance providers

No-obligation comparisons

Benefits of Franchise Loans

It enables entrepreneurs to enter business ownership with a lower risk profile, thanks to proven business systems and brand support. Franchise loans also typically attract competitive rates due to the reduced risk and predictable revenue stream.

Used for launching fast food outlets, gyms, home care services, retail chains, or automotive services. Funding typically supports initial franchise fees, premises fit-out, staff hiring, and equipment purchases.

Things You Need to Know

Most lenders require a business plan and projections approved by the franchisor. Lenders will also consider the franchise’s trading history, success rate, and brand reputation. Franchises on the British Franchise Association (BFA) list often have better access to funding.

FAQs

Can I get a loan if I’ve never run a business?

Yes, franchisors and lenders often support first-time owners with training and funding.

Will I need a deposit?

Often yes, typically 20–30% of the franchise cost is required upfront.

Are funds released directly to the franchisor?

Sometimes, depending on the agreement; or directly to you in staged payments.

Can I use the loan for franchise expansion?

Yes, loans are also available for multi-unit franchise owners.

Do I need the franchisor’s approval?

Yes, most lenders will require their support or documentation.

Disclaimer: Compare Business Loans helps UK firms find the right finance credit broker for access to business finance. Compare finds credit brokers, not lenders. Any quotes provided are for information purposes only and subject to status and separate lender terms and conditions. Applicants must be aged 18 and over.  Guarantees and Indemnities may be required.  

This website is operated by Spark Finance. Spark Finance Ltd (Registered office - 18 John Stow House, London, England, EC3A 7JB, Registered Number 10128297) helps UK firms access business finance. Spark is a credit broker, not a lender. Any quotes provided are for information purposes only and subject to status and separate lender terms and conditions. Applicants must be aged 18 and over.  Guarantees and Indemnities may be required.  Spark Finance may receive commission from lenders  which may vary depending on the lender, product, or other permissible factors. The nature of any commission model will be confirmed to you before you proceed.

Spark Finance Ltd is authorised and regulated by the Financial Conduct Authority in the UK (FRN 958123).