FranLaunch USA In Partnership with Alchemi Capital.
Creating a new and innovative management and growth solution for both emerging U.S. concepts as well as established international brands.
A New Solution Created
Innovative, flexible and timely.
FranLaunch USA has developed relationships with Private Equity firms who look to become active players in the franchise space. These relationships form a new and innovative approach to growth for early-stage franchisors and international concepts to build their businesses without fear of being under-capitalized. Our unique solution leverages the strengths of both FranLaunch and equity investors to the benefit of the brands.
Over 110 Years of Combined Franchise Expertise
FranLaunch USA serves as an extended executive team for our franchise industry clients, bringing not just growth expertise but overall franchising know-how.
A Flexible Approach to Growth
Our approach is to be flexible and adaptable to each concept’s unique offering. The includes minority equity solutions and debt funding packages, typically starting at $500k to $5m.
Resources of the FranLaunch Network
The Money Tree
Having worked with dozens of franchisors, small and large, at FranLaunch USA, we understand that money doesn’t grow on trees. A franchisor needs to invest wisely for healthy growth and return-on-investment, while keeping a close eye on cash flow. That said, there’s also a very real danger to emerging franchisors who try to bootstrap it and cannot commit the growth capital to build a franchise system in the right way. The same is true of international franchises trying to enter the U.S. market for the first time. Building a franchise system from scratch in the U.S. market requires significant investment and our work with Alchemi Capital gives brands a true competitive advantage at the critical launch phase.
The Funding Conundrum
The challenge for early franchise projects in the U.S. is that funding is hard to find until your franchise system has reached a critical mass of franchised units with strong financial performance. Traditional debt financing results in – well – big debt, which can be a boat anchor for emerging franchisors. As for equity financing, most private equity firms in the franchise world will tell you, “We don’t do startups,” and they refuse to consider investments of less than $10 or $20 million plus. And when they do invest, they typically want majority control. We offer an alternative.
The FranLaunch-Alchemi Capital Solution
FranLaunch USA felt the pain of our franchisor clients, who were forced to launch their U.S. franchising program on a shoestring budget. So we searched high and low for a capital partners who could assist us to help our clients get over the funding hump. Our capital resources have a true passion for US launch projects, and they see the growth potential of early-stage franchisors, as well as emerging franchise suppliers in the franchisor space.