In a recent episode of The Advisory Board Podcast, host Dave Hansen sat down with Ron Davison, the Chief Revenue Officer at JumpStart Finance, to explore financing strategies that help entrepreneurs fund and grow their franchise businesses. With over two decades of experience in business and finance, Ron brings a practical and insightful perspective to franchise funding—especially in a market where interest rates have climbed, and traditional loans have become harder to secure.
Ron focuses on how franchisees can think more creatively about financing. He introduces new options beyond the standard SBA loans and outlines how to mix and match different sources of capital to make deals happen. This episode speaks directly to franchisors, consultants, and prospective franchisees who want realistic, flexible strategies for financing new units, expansions, or equipment—all without getting bogged down by red tape.
Instead of simply presenting financing options, the conversation takes a strategic turn, with Ron providing specific, field-tested approaches to secure the funding needed to get deals done quickly and smartly. This recap will walk through the most important insights from the podcast, with each section tied to key soundbites from the episode and time-stamped for easy reference.
Creative Strategies for Traditional Franchise Financing (05:46 – 08:01)
Ron starts by explaining how traditional funding sources—like personal savings, 401(k) rollovers, and SBA loans—can be used together to create a stronger financial foundation. While many franchisees think of these as standalone options, Ron suggests combining them to overcome common limitations. For example, rolling over retirement funds into a ROBS account to serve as an SBA loan cash injection can increase approval chances.
He also talks about using a home equity line of credit (HELOC) or unsecured loans in tandem with SBA loans, especially when one source alone won’t meet the total capital requirement. These layered strategies provide franchisees with the flexibility to move forward with deals that might otherwise be out of reach.
Alternative SBA Loan Strategies for Franchise Financing (08:01 – 11:53)
As the conversation continues, Ron addresses how to get creative within the SBA loan process itself. Many franchisees face challenges when applying for SBA loans due to cash flow or documentation requirements. Ron explains how JumpStart works with clients to find ways around these barriers—often by using nontraditional assets or by pairing SBA loans with other lending tools.
In some cases, clients use HELOCs or unsecured funding to provide the cash required for an SBA down payment. This approach helps clients who might not have enough liquid assets to qualify for a loan on their own. By helping clients structure loans in smarter ways, JumpStart offers a more tailored experience that saves time and reduces stress.
Thinking Beyond SBA Loans – Alternative Financing Options (11:53 – 13:52)
SBA loans aren’t the right fit for everyone. In this part of the episode, Ron highlights several alternatives for franchisees who either don’t qualify or don’t want to deal with the slow pace and rigid structure of SBA funding.
He outlines private lending, crowdfunding, vendor financing, and JumpStart’s own in-house loan program as strong options for franchisees with limited collateral or less conventional financial profiles. These alternatives are especially helpful for emerging franchise brands or buyers who need fast access to capital. Ron notes that JumpStart’s proprietary lending program can approve loans in one to two weeks and uses flexible underwriting that considers both the franchise brand and the individual borrower.
Maximizing Small Investments Through Multiple Funding Sources (17:51 – 19:32)
Ron next dives into how franchisees can fund smaller franchise investments using multiple loan sources. Many service-based franchises require less upfront capital, which opens the door to creative financing strategies like stacking microloans, term loans, and even support from family or partners.
He discusses the pros and cons of stacking loans and how some lenders limit the amount they’ll offer on a single loan. In these cases, pairing smaller loans allows the franchisee to reach the full amount needed for startup or expansion. This type of thinking helps newer entrepreneurs who may not yet have strong personal or business credit but are ready to launch.
Expert Guidance for Stronger Franchise Financing Opportunities (29:52 – 33:20)
In the final stretch of the podcast, Ron shares practical advice on how franchise candidates can prepare for financing before they even apply. One of the most common mistakes he sees is candidates making major changes—like closing credit cards or paying off loans—without consulting a finance expert. These moves, while well-intentioned, can damage credit profiles and reduce funding eligibility.
Ron encourages franchisees to maintain a diverse credit history, keep utilization under 30%, and build separate business credit when possible. He also recommends speaking with a financial advisor who understands franchise funding. JumpStart’s concierge-style advisors help clients map out a funding strategy tailored to their situation, increasing the odds of success.
Wrap-Up Thoughts
This episode of The Advisory Board Podcast offers a down-to-earth, highly relevant look at franchise funding from someone who lives and breathes it every day. Ron Davison’s experience with private lending, SBA alternatives, and creative financing strategies gives listeners actionable ways to secure capital and avoid common traps.
Franchise operators, consultants, and candidates will walk away with a better understanding of how to prepare for funding, which options to consider, and how to structure deals that work. More importantly, this episode highlights that smart funding isn’t just about having cash—it’s about building the right strategy. JumpStart Finance’s approach to personalized lending is especially useful for emerging franchise brands and franchisees who need fast, flexible funding options.
To learn more about tools that help franchise brands grow, visit ClientTether. To explore funding options, visit JumpStart Finance.
📄 Review the full transcript: Podcast Transcript
📺 Watch the episode on YouTube: YouTube Link
🎧 Listen to the full episode: Spreaker Link
