Many franchisors are calling for uniform reimaging of franchised units, citing figures that it may boost sales, attract new customers, and increase profits. When the corporate office of Popeyes Chicken & Biscuits required Mid-Atlantic Restaurants, LLC to remodel, the franchisee turned to GE Capital Solutions, Franchise Finance for a solution.
The lender offered its first development line of credit to fund the project, the newest offering from GE Capital Solutions, Franchise Finance. It is a financing option for franchisees and franchisors in the restaurant industry.
?Though reimaging is beneficial for both franchisors and franchisees in the long-term, many owners struggle to find the capital needed for such drastic, multi-unit projects,? says Andy Tubb, senior vice president, GE Capital Solutions, Franchise Finance. ?Our development line of credit is ideal for multi-unit reimaging and new unit development because owners are able to get approval upfront with a single application, and receive capital almost immediately for each renovation.?
The development line of credit is part of a deal for the reimaging of 18 Popeyes restaurants in North Carolina and Georgia.
?With the development line of credit, I can focus on operating my business instead of dealing with the day-to-day details typically involved with financing,? says Mike Webster, owner, Mid-Atlantic Restaurants. ?I don?t have to spend my time compiling receipts and applying for capital to fund each unit. This is a simple, flexible solution that let?s me stay focused on running my business.?
The reimaging of each unit includes both indoor and outdoor renovations. It is on track to be complete by the November 2008 deadline.
?The situation facing Mid-Atlantic Restaurants is increasingly common,? says Tubb. ?Chains are requesting more reimaging for franchised units, and owners are facing tight deadlines for financing and executing the remodels. The development line of credit offers a convenient, easy-to-use solution to help franchisees meet their deadlines, focus on their business, and control how they use their capital.?
GE Capital Solutions, Franchise Finance offers a full menu of financing options to help franchisees and franchisors grow, compete, and prosper through new construction, acquisitions, refinancing, or reimaging.