EQUIPMENT FINANCING

AMOUNT FINANCED

TYPE TRANSACTION

• UCC Filing on equipment only.
  
  
• Personal guarantee of principals and spouses.
  

• 100% Franchise Fee*
• 100% Furniture/Fixtures, Equipment*
• 100% Leasehold Improvements, Signage*
• 100% Working Capital*
• 100% Land and Building*
  *(Some Limits Apply - max.loan 80% for starts ups, 90% exsisting owners)

Term

• Equipment/Leaseholds 3 -7 -10 Years
• Land/Building 25 Years

• UCC Filing on Equipment Only
• Personal Guarantee of Principals & Spouses
• Landlord Waiver & Assignments of Lease
• Outside Collateral Required on Loans if available.

• Floating
• Preferred Lender means if we approve, SBA automatically approves with less required paperwork

Getting Started

1. A Cover Letter generally explaining the transaction
   (First time, additional location or resale)
   
   
2. A Credit Application: signed and dated.
   (printable forms are located here)
   
   
3. Current Personal Financial Statement
   
   
4. Business Financial Statement for the last two years (if applicable)
   
   
5. A completed Source and Use of Funds form
   
   
   
6. Tax Returns for the last two years (all pages, signed and dated)
   
   
7. A Financial Statement for any existing store you wish to
   remodel or for a resale.
   
   
8. Current Bank or Brokerage Statements to verify cash, stocks, and bonds, IRAs, etc. on financial statements (Deposit receipts not acceptable)
   
   
9. A Copy of Articles of Incorporation or Partnership Agreement (if applicable)
   
   
10. An application deposit noted on application. Fully refunded if not approved; not refunded if Franchisee cancels after credit approval. When approved, the deposit becomes an application fee

11. Budget Projections. (SBA ONLY)

PROCEDURES

1. Applicant downloads application, or calls Franchise Finance to request application by mail.
   (501) 228-4047
2. Applicant reviews application, calls Franchise Finance for current rate quote and any assistance needed completing application.
3. Applicant completes application and mails to
   Rick Anderson
   General Manager
   92 Pebble Beach Drive
   Little Rock, AR 72212
   501-228-4047 fax 501-228-0708
   with application deposit along with all required credit information.
   
4. Franchise Finance will review and forward to credit department.
5. Credit will review transaction and will inform applicant, Franchise Finance and Franchisor of decision. (Approx. two (2) weeks.)
6. A commitment letter will be sent to Applicant which must be signed and returned within 15 days.
7. Applicant signs and returns commitment letter to Franchise Finance with the origination fee along with other items requested, in order to start the documentation process.
8. Documentation at Corporate Headquarters calls Applicant, and discusses additional information needed, then forwards Loan Documents to Applicant and orders UCC searches for location. (Allow one (1) week.)
9. Applicant gathers all other information needed and sends directly to Documentation. This will include a Landlord wavier and option of assignment of lease signed by landlord (SBA ONLY) and a copy of your insurance certificate showing Lender as a loss payee and additional insured. (Copy of space lease with legal description also, if not submitted.)
10. After all required items are presented to Documentation, and applicant has signed the Loan Documents, an advance payment of the loan amount maybe requested with invoices.
11. Advanced payments are paid directly to the franchisor, vendor or contractor unless applicant shows acceptable proof of payment. On all advanced payments and final funding, allow 5 to 7 days for processing.
12. A total of three draws maybe paid up to a maximum 50% of total funding, the remaining 50% must be paid after the project is completed. (Subject to change by credit department.)
13. Equipment must be installed, inspected and tagged before funded. Lender will send a firm to tag the equipment.
    
    

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