TL;DR
NRD Capital advises on financing options for franchisees, but smaller franchisees face challenges in obtaining money to grow. NRD Capital's managing partner Aziz Hashim notes that larger franchisees have an easier time borrowing money, while smaller ones struggle to secure financing from banks.
It takes money to make money, and in the franchise industry there are several options to finance your concept - but after the last recession, obtaining money to grow is still an uphill battle for some. In a recent issue of QSR Magazine, they explored the current financing climate.
“Ever since the last recession, it’s been a little bit of a tale of two cities in the sense that larger franchisees have gotten an easier time to borrow money,” Aziz Hashim, managing partner of NRD Capital , a private equity firm specializing in franchise businesses, told QSR. “And for smaller franchisees, a lot of banks have kind of given up on them, because there were a lot of losses.”
Hashim encourages smaller franchise concepts to employ a varied strategy to pull financing from sources such as friends, family, and angel investors.
Brian Jaeger is a Vice President of Media Relations at No Limit Agency. Brian joined No Limit Agency after seven years working for local television news stations in Florida, four years at WCJB in Gainesville and three years at Bay News 9, the 24-hour local news station in the Tampa Bay area. Brian is a graduate of the University of Florida, where he studied journalism and telecommunications.
He brings a journalist’s viewpoint to the public relations field, and when he’s not busy telling the stories of No Limit Agency's brands, you can find him writing, on a karaoke stage, or cheering on the Gators.
In this story
This story was originally published in 1851 Franchise on February 20, 2017. Burnaze summarizes and links to the original reporting.
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