Grill’d Franchise Loan
This page is for someone who needs a Grill’d franchise loan to buy a franchise in Grill’d.
Grill’d was founded in 2004 in Melbourne and has since grown to become one of the largest sellers of healthy burgers in Australia.
Its turnkey approach to franchising means franchisees have access to good systems and a strong brand.
If you want to tap into a market shift to healthy and convenient meal options, a Grill’d franchise finance loan might be just what you need to begin a new business venture.
How does a Grill’d franchise loan work?
How much can I borrow?
Depending on the strength of your case, you may be eligible for the following:
- New or existing restaurant: Borrow up to 50% of total business costs or 100% with an existing residential property as security.
- The bank will generally require a business plan and profit forecasting for the franchise.
- Loan term: Typically 10 years or the length of the franchise agreement.
- Loan term with property as security: 25 to 30 years (standard loan term).
- Low doc options not available.
- Commercial rate discounts available by mortgage broker negotiation.
Can I get residential interest rates?
Even if you’re using equity in your property as security, the bank will still charge interest rates in line with a franchise or commercial loan.
These rates are a little bit higher than standard residential loans because of the risk involved in business finance.
However, we have strong relationships with a number of lenders and can often negotiate reduced interest rates depending on the strength of your application.
Call 1300 889 743 or complete our free assessment form to find out if we can get you qualified for a Grill’d franchise loan.
What do the banks look at?
As a general rule, you’ll need to provide or meet the following requirements for a Grill’d franchise loan:
- 2 years personal financial or business statements depending on your previous experience.
- A clear credit history.
- A business plan showing potential revenue and forecasting on operation costs.
- Experience: There is no hard and fast rule with this but you can help your application if you have industry experience and past success as an owner or manager of similar-sized venture.
- Earnings before interest, tax, depreciation and amortization (EBITDA): Typically 1.5x.
Tip: existing stores are more readily accepted than opening a brand new restaurant.
The reason is that the existing location may already have foot traffic and existing customers which you can leverage.
Because of this, banks see them as a lower risk and are often willing to allow you to borrow at a higher Loan to Value Ratio (LVR).
What should I know about Grill’d?
Grill’d is one of the few fast food restaurants in Australia at forefront of the Australians growing desire for a convenient meal that’s also nutritious.
By buying a Grill’d franchise, you’re buying into an Australian-owned company that allows you to free up your cashflow and support your future expansion plans.
We can’t provide actual figures of what you could potentially earn from owning a Grill’d franchise but you need to be aware that it isn’t a passive investment like buying a commercial freehold.
The amount of profit you make will be determined by how much work you put in.
The costs of buying a Grill’d franchise can vary depending on location and the fit-out but you’re generally looking at around $546,000 to $735,250.
What do I get for that cost?
- Shop fit-out.
- Working capital.
- Initial administration.
- Your security deposit.
- A one-off franchise fee.
What’s not included?
There’s usually a royalty payable to Grill’d but this can be negotiated with the business development manager.
How long is the commitment?
You usually sign for an initial 5 year commitment although there is usually a 10 year requirement.
For more specific information, ask for a franchise kit at grilld.com.au.
Franchise model advantages
Like other types of franchises, Grill’d have the experience and resources to support your business growth:
- They know exactly what equipment you need and have the buying power to get discounted equipment for your business as well as take care of the fit out.
- They know exactly what to charge for the hamburgers that you make and sell.
- The staff and supervisor/manager ratio to run an effective operation at a low cost.
- In order to maintain quality and keep costs down, Grill’d itself prepares patties, spreads and bread offsite and delivers them to your store. Your supply and distribution chain concerns are solved with a Grill’d franchise.
Speak to a mortgage broker today
Discover if you qualify
Our mortgage brokers are commercial loan experts and can help you find the right lender for your situation.
Discover how we can tailor your Grill’d franchise loan to your personal and business requirements.
Call us on 1300 889 743 or complete our free assessment form today.