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    2 Replies Latest reply on Aug 27, 2010 3:31 PM by Suncapsule

    Need Financing for 2 tanning salon franchises

    MrBubbs Newbie
      My wife and I are interested in purchasing 2 tanning salon franchises and are in the beginning stages of the purchasing process. We'd like some feedback on our available options. The purchase price is approx $500k for both with a net owner benefit of $160k. We are both currently employed with a total income of $125k but one of us would be quitting shortly after the purchase to run the business. We have no significant cash for a down payment at all so we understand we most likely would not get the most favorable terms.

      I checked out the SBA and this particular franchise is not on the approved list.

      Any advice or contacts is greatly appreciated.
        • Re: Need Financing for 2 tanning salon franchises
          Fortis Adventurer

          Good afternoon, hope all is well. Somehow this post got shot to the top. I was curious if you ever found your solution?

          Also where did you go to talk with someone about an SBA? I\'m not sure why the franchise would have anything to do with it.
          • Re: Need Financing for 2 tanning salon franchises
            Suncapsule Newbie
            The best place to look for full financing for two already established salons is a bank. If you have enough collateral (house etc) this will be the best place to get a loan. I would look at the SBA again as they have loosened up the rules to try and encourage economic growth. To do this you will need a solid business plan and proven financials. It works much the same as a standard bank loan in the fact that you first go to a bank, but the interest rate is lower and you can usually put less money down.

            Some other major companies to look at for tanning salon financing: