[nyskyline]

This might sound like a stupid question, but I was wondering when approaching a bank for a loan for a franchise business, what type, if any business plan would you submit? Isn't a franchise an already established business plan that has been successful, and the new franchisee is just operating the already proven plan?? I mean You could put location and demographics in the plan, and projected sales, previous related experience, but besides that everything is already established for the franchise such as adverising training etc. Thanks for any help.

[jasaunders]

So put in all the things you just mentioned. The bank doesn't know the anticipated revenue of your franchise by heart. I don't see how this is any different than how you would write a regular business plan, with the exception that you have more comparables to use to justify your financial data.

[linkinfo]

The only difference is you have to discuss why you choose to get a franchise instead of using all your unique Ideas. Of course in franchising you will use the name and operating guidelines of the franchisor which already have made a market niche for the business, and you, being a franchisee may just ride on that. But, you have to consider your location and make your own search if the business you want to put up would get patronage from your locality. Since your franchisor would also be needing an input from you and most likely their question would be "Why do you think getting a franchise and operating our business in your chhosen location would really work?' If you have a ready answer for that which you should include in your business plan including the franchisor approval, I believe the bank will grant you a loan.

Hope this can help.