Franchisors As A Source Of Financing

Although not considered a traditional source of financing for franchisees, many franchisors provide financing. During the current recession many franchisors are finding ways to offer a financial boost to new franchisees. Here is some timely information pertaining to franchisor financing.The first step in identifying whether a franchisor provides financing is to review the Franchise Disclosure Document (FDD) and in particular Item 10. This section of the FDD deals with franchisor financing. Another approach is to simply ask the franchise sales person if the franchisor provides financing.Following are examples of financing that franchisors provide:Debt FinancingA significant number of franchisors provide financing either directly or through third parties. In the many cases this financing is for equipment packages or real estate for the franchise location. There are franchisors that will hold the prime lease and develop the location. The franchisee will then sign a sub-lease with the franchisor that includes the basic rent plus leasehold improvements. This arrangement unburdens the franchisee from having to obtain the additional working capital for purchasing the land and/or developing the site.Another example of franchisor financing is for the equipment package that could be leased from the franchisor directly or from a leasing company that the franchisor works with. Once again leasing the equipment is a source of funding for the franchisee.In the majority of cases, these types of arrangements are usually found in franchises that require a substantial investment, such as upwards of three hundred thousand dollars. Most often found in the restaurant or hospitality industries.Franchisors Financing the Purchase of the FranchiseThere are franchisor’s that provide direct financing through the use of a promissory note. The note and its terms must be disclosed in the Franchise Disclosure Document. The note may be used to finance a portion of the franchise fee or starting inventory that is purchased from the franchisor.A more recent practice by franchisors to emerge during the recent economic recession has been to discount the initial franchise fee. This approach appears to be increasing in popularity as franchisors are looking to assist individuals purchase their franchise.In the event a franchisor doesn’t provide financing on a direct basis they may be able to assist their franchisees in obtaining 3rd party financing.Other Franchisor Financing OptionsThere are some franchisors willing to provide a form of financing on a limited basis to an individual with impressive credentials. Having operated several franchise companies I’ve encountered a number of franchise candidates with the talent, experience and desire for a particular franchise who didn’t have access to the required capital. In certain instances I found a way to accommodate their financial needs. One of the tools we used included funding part of the franchise fee. I later included this feature in our franchise disclosure document. Had some of these individuals not impressed me and my management team with their credentials we would not assisted them. If you present yourself as a strong candidate to the franchisor but with limited funding you may be pleasantly surprised by the response of the franchisor.Franchisors who seek funding for their new franchise may be able to obtain financing from the franchisor. Be sure to check the FDD under Item 10 and compare the cost to franchisor financing to other sources.

A Guide to Help You Pick the Best Air Purifier for Your Loved Ones

Holidays are around the corner. This is the time of year when people start purchasing gifts for their loved ones. If you are going to purchase an air purifier for someone you love, we have some helpful tips for you. If you want to purchase the best unit, you may be able to use this guide to your advantage. Read on to find out more.

1: Set Your Budget

Just like anything you purchase, make sure you have set your budget first. The price of the unit will vary based on a lot of factors, such as the capacity, filter type, features, and brand of the unit. If you don’t have a flexible budget, we suggest that you go for a product that is available to purchase for less than $300.

2: Consider the Needs of the Recipient

Your next move is to consider the needs of your recipient. If you are going to purchase this unit for everyday use, we suggest that you go for a unit that comes with a HEPA filter. On the other hand, if your loved one has a specific need, we suggest that you consider a specialized unit.

For example, if they are more prone to respiratory issues, such as allergies and infections, we suggest that you get a UV purifier for them. The devices are designed to neutralize viruses and bacteria.

3: Think About the Available Space

Another primary factor is to consider the available space in the office or house of the recipient. For example, if they need a general-purpose unit for a small apartment, you may want to consider a filterless unit.

On the other hand, if they have plenty of free space, you may consider a bigger unit that features a higher airflow rating. These units are powerful enough to cover a large face.

4: Consider Extra Features

Lastly, we suggest that you consider additional features that they will just love. For example, some units come with an indicator that turns on when the filter needs to be replaced. This will allow the user to change the filter so that the device continues to work properly.

So, you may want to consider these features before you place your order. These features may not be important to you, but your friend may just be over the moon.

Long story short, we suggest that you consider these four tips if you are going to purchase a gift for your loved one on these holidays. Since the air is full of pollution during winter days, nothing can make a better gift than an air purifier. Therefore, you should consider these tips before looking for an online or physical store to make your purchase decision.

The Significance of Pure Air Inside Your Home

Have you ever climbed up mountains? If so, what do you do when you reach the top? Most people open their arms, close their eyes, and take a deep breath. That is the special thing about clean and fresh air. You feel like taking a pause and inhaling fresh air. Over the past year, we have faced several waves of coronavirus. These days, we have been warned about another wave of this virus. Therefore, the importance of clean air has been increasing day by day. In this article, we are going to find out why air quality is important when it comes to our indoor environment.

The impact of pollution on your indoor air

No matter where you go, you will have to face the consequences of poor quality. Even if you are alone in your home, you will still be prone to polluted air. Every year, more than 1 million people lose their life because of air pollution.

According to some reports, India is among the top 10 countries in the world with the worst air quality. The effect of polluted air is more evident as people spend over 90% of their time inside their homes. Another research study found that residents are at a greater risk of covid-19.

As a matter of fact, indoor air pollution has become an international concern. We can say that pollution levels inside and in closed spaces are up to five times higher. Since most pollutants are not visible to the naked eye, you may not be able to aware of the dangers of dirty air.

Indoor air pollutants may be generated by common household items, such as cleaning agents, cooking fuel, furniture polish, pet dander, and paint. Apart from this, domestic appliances such as refrigerators and heaters may also be the common source.

Since homes are not airtight, air pollutants can easily get in. For example, smog, smoke, mold spores, and dust can get into your house through your windows or doors. Air conditioners can be used to cool down your rooms. But the downside is that they can also boost the movement of pollutants across your house.

What can you do to purify your indoor air?

Basically, air purifiers are simple devices that receive dirty air and put it out after passing it through powerful filters. Nowadays, you can choose from hundreds of air purification units available in the market. They are based on a wide range of technologies. They are available in different sizes to cover rooms of different sizes.

Nowadays, most types of air purifiers depend on HEPA technology. Initially, this technology was introduced in the 40s in order to capture pollutants from the air. Although these filters have been used for the filtration of particulate matter, they may not be that effective when it comes to eliminating volatile organic compounds.

Therefore, if you are worried about your health, we suggest that you invest in a type of device that comes with a HEPA filter. With these units, filtering your indoor air will be a piece of cake. Therefore, you can count on these devices to and ensure clean air inside your house.