Guidant Financial Group Blog

Is now the right time to buy a franchise? Well, FranChoice CEO, Jeff Elgin believes so. In an interview with Jenna Lee, Elgin said, “You just have to pick your spots carefully. You want recession-resistant businesses, like hair care, restoration or senior care—markets that are growing rather dramatically.”

Rising unemployment, light consumer spending and retail sales—and low consumer confidence in general—has many people worried about the economic outlook. Elgin agreed that it is tough out there— particularly for a prospective franchisee looking for financing. “But everyone understands that this [small business] is where jobs get created.”

Guidant couldn’t agree more. As a leader in small business financing Guidant is very familiar with the financing troubles Mr. Elgin speaks of. But hope is not lost. Deals are getting funded. Last year Guidant helped over 1,700 people buy a franchise or small business. A significant portion of those individuals did not opt for a loan, but rather invested their retirement funds into the new venture. They used our 401(k) Small Business Financing vehicle. Those individuals chose to purchase their business by investing their retirement funds into something they control and build.

If you’re looking to buy a franchise, you might want to consider researching the franchise industry. There are many franchise opportunities that are touted as recession-resistant. I guess that even in a down turn seniors still need care and hair still grows...