FranFund can assist borrowers in navigating the world of small business finance. Find out how....

FranFund works with franchisors to offer creative financing options for potential franchisees. Volume 21, Number 5 - Restaurant Finance Monitor - May 20, 2010

e-Book Available March 2010

Join this "Coleman" webinar on March 17, 2010 to learn more about THE NEW NORMAL FOR FRANCHISE FINANCING. Geoffrey Seiber, CEO of FranFund and John P. Hayes, Ph.D. will explore this timely topic, moderated by Bob Coleman.

The single biggest issue facing existing and prospective business owners today is lack of financing. And nowhere is that problem more pronounced than in franchising. According to the International Franchise Association (IFA), by mid-2009 access to credit for franchisees was off by 40% from the previous year. Even worse, the IFA says the news doesn’t look much better for this year.

As many of you are aware the IRS recently released it long awaited guidelines for 401(k) rollovers with regard to business start-ups. We have been asked by several of our clients what our position is on the issues raised by the guidelines and what if anything should be done. It does appear that the IRS spent a considerable amount of time in its review of this transaction and reached the following conclusion: “We do not believe the form of these transactions may be challenged as non-compliant per se.” The IRS did however address several points of compliance that should be reviewed on a “case by case basis” if the plan is audited.

The world of finance has changed dramatically since the 4th quarter of 2008. Find out what this means to potential SBA loan applicants by reading this interview with Geoff Seiber, CEO and Bob Hernandez, EVP of Lending at FranFund published in the June 2009 issue of QSR Magazine.

Bisio calls franchise funding "among the most critical questions for anyone thinking of buying a franchise."