Small businesses are tasked with getting the UK economy back on
track. Natwest and RBS are lending a helping hand by earmarking a
new franchise fund to help new and existing franchise businesses
thrive and grow. With reduced 1% fees, repayment holidays and two
years free banking, this new fund could create up to 1,800 new
franchise businesses and 24,000 new jobs.
RBS and NatWest are committed to supporting UK enterprise. This
is why they are launching a new initiative to help new and existing
franchise businesses start up and grow in 2011.
The franchise sector has remained remarkably buoyant throughout
the downturn. Statistics from the British Franchise Association
(BFA) show that nine out of 10 franchises remained profitable
throughout the recession.
Peter Ibbetson, chairman of small business for NatWest and RBS
says: "Everybody wants to see banks funding business growth, as
well as helping new businesses get off the ground to create jobs -
this is exactly what this fund will deliver. The industry has shown
itself to be virtually recession-proof, so for the many people left
out of work by the recession franchising is a great way to start up
a business - plus they get the support of a big brand behind
them."
Recession-proof is right. At the height of the economic
downturn, the franchise industry's turnover increased to £11.8
billion - with 94% of franchisors optimistic about the future. The
franchise model is a low-risk, straightforward route to running a
business - especially attractive to first-time entrepreneurs. And,
interestingly, more women are now choosing franchising as a means
to take the leap into enterprise. The BFA's annual survey shows the
number of female franchisees increased by 86% in the last seven
years.
Brian Smart, director general of the BFA comments: "The fund is
a great way to encourage new entrants into this vibrant sector. The
UK Franchise industry has performed well in recent years and we
welcome the further investment to build on this momentum."
The RBS/NatWest Franchise Fund: Key points
- Loans of up to 70% for new franchise businesses
- Two years free banking for new franchises
- Reduced fee of 1%
- Up to 12 months of capital repayment holidays
- Loans for existing franchise businesses
- Access to an unlimited expertise from the dedicated RBS/NatWest
franchise team
To find out more about the fund, visit NatWest.com/franchise or RBS.co.uk/franchise or call the NatWest and RBS
dedicated franchise team on 0800 092 9117