Portfolio-Based Credit Line Financing For Your Franchise

Built for Business and Commercial Real Estate...With Client Input.

Designed for Franchise Buyers

Our LeverageLine securities-based credit line was built originally as a means to help franchise buyers get funding during the recent mortgage meltdown and subsequent financial crisis. Our clients wanted a loan service that was fast, with minimal paperwork and a means to an “in” to a conventional banking relationship via an asset-based loan relationship. LeverageLine aims to fill this need.

The goal, in addition to funding franchises, was to try to allow our clients’ investment to carry minimal debt service during the critical 1-2 years when the business was getting off the ground. With conventional lending very difficult, particularly for new buyers, our LeverageLine filled the gap.

We put this together as a custom securities-based line of credit using our client’s stocks, bonds, mutual funds, or other securities as collateral. We did this by painstakingly locating and partnering with a small group of carefully selected advisers who had experience in the franchise and commercial real estate industry and who would also offer the deeply reduced wholesale interest rates and custom features that our clients required.

A. B. Nicholas franchise-buying clients today can be sure of having their accounts with one of four major public U. S. brokerage and banking giants (disclosed on your term sheet) along with features that include waived account management fees; interest-only repayment; freedom to defer the interest-only payments to aid cash flow; rates below the best mortgages; a revolving line of credit with no maturity date; loan-to-value well above retail; and a supportive, fully licensed SIPC/FINRA lending facility that treats LeverageLine clients with gold-key service.

Clients who maintain their LeverageLine responsibility may receive priority consideration for conventional business/real estate financing to expand their investments later, having begun their relationship through this asset-based lending facility.

Buying franchises using the LeverageLine facility also means having an experienced professional adviser at your licensed lending institution ready to support you even though you are not paying them management fees — another advantage. There are no mandatory account management fees.

When we issue your term sheet, we disclose your lending institution and your lender advisor. The full history of both is available to you on www.finra.org in advance. Your financing is with the best the industry can offer.

Gather a recent brokerage statement and ID then proceed to our quote request form. We’ll have a term sheet for your review same day.


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All Inquiries Welcome
1629 K Street NW, Suite 300, Washington, DC 20006 Tel: 202.379.4744
© 2017 A. B. Nicholas All Rights Reserved PrivacyDisclaimerCopyright

Securities based lending may not be suitable for all securities owners. A. B. Nicholas urges all clients to discuss these risks with their licensed lender advisor should they proceed with their LeverageLine. Any activity involving securities, including borrowing, by definition involves certain risks and if the market value of your pledged securities declines to the point that you must add cash or assets, , for example, you may be required to pay down your line of credit, restructure your holdings into more stable securities (which can involve a sale), or both in order to maintain your loan. Although both A. B. Nicholas and each ABN lending partner advisor make maximum effort to ensure that acceptably good quality securities are accepted so as to minimize risk to the extent possible, we cannot guarantee any specific outcome of any securities performance and by proceeding you are acknowledging this. All lending, management and processing is handled solely by fully licensed U. S.-based FINRA/SIPC institutions (and their FDIC-member banking divisions) with which A. B. Nicholas has partnered for this custom program. Please review our disclaimer prior to proceeding. Our privacy policy is located here.