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How Much Capital Is Needed to Buy a Franchise?
Buying a franchise is a major investment, and the total cost to get your business up and running varies depending on the type of franchise you choose and a number of other factors.
Whether you’re on a tight budget or have $1 million in capital sitting in the bank, there is no shortage of investment opportunities available in the franchise world.
Startup costs vary, but they typically range from $10,000 to more than $1 million. Other fees include real estate, leases, franchise fees, equipment, inventory and insurance.
Most people seek outside financing when they purchase a franchise, and many loan options are available, including rollover as business startups, Small Business Administration loans, home equity loans, a second mortgage, using your own savings or financing through the franchisor.
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