Do you want to become a franchisee?

Dear Successful Entrepreneur!

Do you want to become a franchisee?

Becoming a franchisee in an established franchise is statistically more successful than starting a business on your own. The foundation provided by the franchisor allows you to begin operations with an already identifiable brand and have that first step stone already in place compared to when starting your own business.

This fund is aimed at entrepreneurs who wish to start their businesses by buying a franchise linked to a particular brand to reduce risks associated with start-up businesses lacking a track record.

• The NEF prefers to fund well-established franchise concepts

• Active management involvement by BEE parties is required

• A minimum BEE shareholding of 50.1% is a requirement

• NEF funding of franchises is through a loan instrument with the term matching the duration of the franchise license, however, up to a maximum term of 7 years

• The BEE party must have been pre-approved by the franchisor before approaching NEF

• NEF funding generally limited to R10 million

• NEF will fund SMEs; using mainly debt

• NEF funding is charged at prime-linked interest rates

• The NEF will exit from the investment in 5 to 7 years

To apply for this fund you will need a bankable business plan and to submit a completed application pack.

For our support to apply for this fund, simply reply to this email!

To Your Success

Your Funding Connection Team

Landline: +27 (0)31 761 8677 or Cellphone +27 (0)61 542 4037

Headquarters: 2 Old Main Road, Hillcrest Office Park, Hillcrest, KZN 3610

Satellite Offices:

Johannesburg: Infinity Venue, 30 4th Avenue, Northmead, Benoni - only by appointment

Cape Town: Suite 2B, Canal Edge Four, Tyger Waterfront, Carl Cronje Drive - only by appointment