Test Drive MBE Magazine May June 2013 | Page 16

Show me the Money

(continued)

to banking, let’s say an SBA-backed
loan, those franchises that are on the
SBA registry, they have a better chance
of being funded because they’ve gone
the extra mile to complete a lot of
paper work and the SBA already has
a lot of data looking at their success
rate,” says Brewer. “If there is a concept
that is out there and you see that it
has a high number of failures, that’s
something to look at. No one is going to fund something where a high
number of franchisees are defaulting
on their loan.”
Brewer is hopeful about the future.
She reports that projections for 2013
show franchisees growing by 1.4 percent, slightly behind last year’s growth
of 1.5 percent. “Franchises as a whole
would increase more if individuals
could get more access to capital,” she
said. With that in mind, she noted
that reports have shown small busi-

ness lending to franchises has reached
the highest level since the recession.

T

o Brewer, Holmes, and Daly that
is a key statistic. Anytime Fitness
is looking to continue its growth and
Holmes is looking to increase the
number of franchises from 4 to 250
in the next five years. Brewer wants to
see increased job growth as a result of
new franchises. To meet these goals,
any potential franchisees need access
to capital.
“If people can’t get the money they
need to open up their franchise, it’s
a loss of jobs, it’s a loss of economic
development in that city, in that area
where an individual is trying to
open or expand their business,” says
Brewer.
Holmes shares Brewer’s optimism
for the future. She believes innovation
will drive future growth in the sector,

and not just in emerging industries.
“I believe we will see successful franchises emerge that are doing things
differently, better. And not just in the
technology or environmental sectors,”
she said. “I think those that try a new
‘twist’ on tried-and-true traditional
businesses will be movers in the franchise industry.”
She also believes that industry
growth can come from one key segment that, according to Holmes, is
under represented in franchising:
women. “As one of too few female
franchisors, I feel a real responsibility
to reach out to female entrepreneurs
and let them know they can think
big, dream big, and grow big—that
their goals can go beyond owning a
small business and that market expansion for their business on a national
or international level is achievable,”
she said.
◆

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We’re committed to Women-, Minority- and Disadvantaged-Owned Business development and creating an inclusive
environment with a variety of cultures, ideas and ethnicities. And with our great cars, valuable savings and convenient
locations all over the world, we’re committed to making your travels easier, too.

For information on business opportunities, contact: Lynn Boccio, Vice President
P.O. Box 4319 Huntington, NY 11743
Phone [phone]
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May/June 2013

MBE

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