The UPS Store Lines Up $22.5 Million for Franchisee Lending Program
Las Vegas, ---
The UPS Store®, (NYSE: UPS) the world’s largest retail system of shipping, postal, print, document and business services, today announced a collaboration with a franchisee lending program created by Franchise America Finance™(FAF) and The Bancorp Bank, a wholly owned subsidiary of The Bancorp, Inc. (NASDAQ: TBBK).
The first franchise network in its category to receive funding through FAF and The Bancorp Bank, The UPS Store network has $15 million available for franchisees through this program for the development of new locations as well as an additional $7.5 million for the transfer of current centers to new owners.
“This collaboration creates a national funding source for franchisees and candidates,” said Stuart Mathis, president of Mail Boxes Etc., Inc. (MBE), franchisor of The UPS Store. “By providing prospective small-business owners access to start-up capital, we are able to expand our network while creating jobs in communities across the country.”
This announcement comes as franchised brands from around the world gather at the MGM Grand in Las Vegas for the International Franchise Association 51st Annual Convention.
Speaking on behalf of The Bancorp Bank, Arthur M. Birenbaum, executive vice president of commercial lending said, “Our national effort offers the smoothest, most time-sensitive loan approval process available today. This access to capitalization will enable qualified franchisees to build their business, their industry and an employment base to create jobs.”
FAF, The Bancorp Bank and MBE worked together to create the qualifications prospective franchisees must meet to gain access to this pool of money.
“We are thrilled to have The UPS Store network as a member of our franchise lending program. The FAF program provides custom lending solutions for franchisees in excellent franchise systems,” said Ronald Feldman, CEO of Franchise America Finance. “Since the inception of the program in April 2010, we have allocated more than $200 million for franchisee financing for our member franchise systems.”
In 2011, Entrepreneur magazine’s annual “Franchise 500,” a ranking of franchise opportunities based on factors such as financial strength, growth rate and size, rated The UPS Store franchise opportunity #1 in the postal and business services category for the 21st consecutive year.* Additionally, for the second year in a row, City Business Journals Network ranked The UPS Store network as the top retail brand in its 2010 American Brand Excellence Awards.
Franchise America Finance, LLC (FAF) was formed by a group of franchising professionals to address the void in the capital markets for franchising. FAF can provide senior and subordinated debt, mezzanine financing, and equity for franchisors and franchisees.
The Bancorp, Inc. is a bank holding company that operates The Bancorp Bank, an FDIC-insured commercial bank that delivers a full array of financial services and products both directly and through private-label affinity programs nationwide. These programs enable members, employees and customers of Bancorp and its affinity clients to access customized online-banking services. To learn more, please visit www.thebancorp.com.
The Government Guaranteed Lending division of The Bancorp Bank specializes in business loans and franchisee financing through programs available from the U.S. Small Business Administration and the U.S. Department of Agriculture. It focuses on government-guaranteed lending and has more than 50 years of combined experience in the field.
About The UPS Store With more than 4,700 locations, The UPS Store and Mail Boxes Etc. network comprises the world’s largest franchise system of retail shipping, postal, print and business service centers throughout the United States, Puerto Rico and Canada.Â In the United States and Puerto Rico, The UPS Store and Mail Boxes Etc. locations are independently owned and operated by licensed franchisees of Mail Boxes Etc., Inc., a UPS subsidiary. In Canada, locations are independently owned and operated by licensed franchisees of master licensee MBEC Communications, L.P.
This news content was configured by WebWire editorial staff. Linking is permitted.
News Release Distribution and Press Release Distribution Services Provided by WebWire.