The “Life Franchising” will finance 100 offline-Startups

The Financial Group “LIFE” has launched a new online-service - the Fund “Life Frinchising”, which will finance up to 90% of required to a client money for opening a new business on franchising. The shape of money offering – investments but not credit, entrepreneur during five years should buy out stocks of the Fund and become a 100% owner of its business. The projects’ plan is to invest 100 projects by the end of 2014.

The Chief of the Fund “Life Franchising” Dmitry Delnov, former Chairman of the Board of Directors of the “Express-Volga Bank”, - comments the project’s launch aims: “I would not tell about the volume of the portfolio or amount of deals. I would like to tell about entrepreneurial culture in Russia. There are not so many people, who are occupied in small and medium business in our country – whereas in many developed countries they comprise the basis of economy and hedge risks from a situation with large companies from extractive industries. Franchise business is the beat way to launch own business: a good opportunity to start own business, when there is a great wish but few experience and knowledge. Owners of franchises allow their clients receiving good entrepreneurial school: how to organize a team, processes, marketing, sales. If to say about the “bigplay”, then it is very important for me how many people just right now are eager to leave the company in “Gazprom” or “Rosneft” and will decide what to do further it their life”.

Nowadays the project works only with franchises “Coffeeshop Company”, “Shokoladnitsa”, “”Papa Jones”, “Subway”, “CoffeTun”, “Perekrestok-express”, “Columbia”, “Sportlandiya”, “Carl’s Jr”, and this list continues widening. The Fund is interested in partners, who are able to effectively manage the selected business on franchise, and possessing own funds for payment of its share in a joint business with the Fund.

The “Life franchising” offers investments but not a credit. The Fund does not require guarantees or deposits, and offers up to 90% of the investment sum for purchase and the project launch – up to 15M RUB. Direct participation of the franchise’s owner in the project success allows making the process of a decision taking about financing more comfortable.