Franchise funding
Fixed weekly payments for a fixed project, sized next to your royalty schedule.
✓ Merchant Fund Express starts with a soft credit pull. Terms depend on your business's revenue and history.
Updated October 21, 2026 · Merchant Fund Express
A franchise term loan from Merchant Fund Express is a fixed amount from $10,000 to $250,000, repaid over 12 to 18 months in weekly payments, with 0% origination. The amount is capped at 15% of the unit's annual revenue and the loan sits in first position. It fits a defined project in an established unit: a franchisor-scheduled refresh, a remodel or a brand-standard equipment bundle.
The generic product page is business term loans. This page covers how those terms land in a franchise unit.
A term loan suits a cost with a clear finish line. In franchise units that usually means:
For recurring short gaps, a franchise line of credit is the better tool. For a single machine with a vendor quote, compare franchise equipment financing.
The cap is measured on the unit's own revenue, as shown by its deposits, not on system averages. A hypothetical sandwich unit deposits $19,000 a week.
| Line | Figure |
|---|---|
| Weekly deposits | $19,000 |
| Annual revenue | $19,000 x 52 = $988,000 |
| 15% cap | $988,000 x 15% = $148,200 |
| Refresh quote | $135,000 (fits under the cap and under $250,000) |
| Hypothetical total interest over 18 months | $16,200 |
| Total repaid | $135,000 + $16,200 = $151,200 |
| Weekly payment (78 weeks) | $151,200 / 78 = about $1,938 |
| Payment as share of weekly deposits | $1,938 / $19,000 = about 10.2% |
If the quote were $175,000, the unit would land above its cap. The owner would fund $148,200 with the term loan and cover the rest from cash or a separate structure.
Figures in this example are illustrations of the arithmetic, not an offer, quote or approval. Real terms depend on the file and the funder.
Royalty and advertising-fund debits usually leave the account on a fixed weekly or monthly date. Merchant Fund Express reads them as normal recurring costs and sizes the term loan payment after them. Because the term loan is weekly, not daily, the owner can see both debits on one calendar and keep a cushion for payroll week.
The term loan uses the Tier 1 requirements: 3+ years in business, FICO 650+, $300K a year or $25K a month in revenue with 8+ deposits a month, negative days at most 3 a month and 9 in 6 months, NSFs at most 6 a month and 24 in 6 months, at least 50% ownership, and no bankruptcy or foreclosure in the last 3 years. Because it is first position only, it fits a unit with no current advance. A unit that already carries an advance should read franchise funding with existing advances. Final terms depend on the business's revenue and history.
Say the same hypothetical unit has $8,000 of scheduled interest left halfway through. A full early repayment takes 50% off that, so the owner saves $4,000. Once half the loan is repaid, the owner may be eligible to renew into a line of credit, which turns a one-time project loan into standing access for the next refresh or equipment failure.
Figures in this example are illustrations of the arithmetic, not an offer, quote or approval. Real terms depend on the file and the funder.
Each unit or entity is reviewed on its own deposits, and the 15% cap applies to each entity's revenue. See multi-unit franchise funding.
Weekly payments are easier to plan around a weekly royalty debit and payroll. Merchant Fund Express term loans are weekly by design.
No. The term loan carries 0% origination.
The term loan is first position only. Owners with a current advance usually look at a line of credit, which can sit in second position, or a structure that lowers the existing payment.
Same-day decision on a complete file; funding often the next business day.
Merchant Fund Express reviews your location's revenue, deposits and existing payments. Same-day decision on a complete file; funding often the next business day. About five minutes to apply.
