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How Franchisees Use Revenue-Based Financing to Grow
Most franchisees think bank loans or SBA financing are the only paths to growth. But a growing number of multi-unit operators are turning to revenue-based financing — where repayment scales with your top line instead of a fixed monthly payment. In this episode, Lucas and Luna break down how one Subway franchisee in Ohio used a $400,000 revenue-based deal to open two new locations without diluting equity or taking on crushing fixed debt. They explore the mechanics: the repayment cap, the percentage of monthly revenue, the typical cost of capital, and the trade-offs versus conventional lending…
The skinny
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