Oklahoma City-based staffing company Express Employment Professionals plans to give its first 30 new franchisees this year $30,000 in working capital to help offset a lack of financing available to startup businesses.
Although the lending climate has improved somewhat over the past year, there is still a lack of access to capital available to new business owners, the company said.
Franchisees sought $11.72 billion in lending capital over the past year, but banks supplied only $9.5 billion, according to the International Franchise Association's Education Foundation.
“This offer is unique to the franchise community, and is reflective of the Express commitment to ensure successful franchisees,” vice president of franchising David Lewis said in a statement. “$30,000 can significantly help a new owner ramp up faster and offset the investment with additional staff, allowing us to help our franchisees reach break-even as soon as possible.”
The company has plans to add 48 new staffing offices across the United States and Canada in 2013, targeting markets in 30 states and Canada.
As unemployment rates decline, more businesses are turning to staffing companies to fill their needs for workers, Lewis said.
“With employment up and more businesses using staffing companies, the market is going to double during the next 10 years,” he said. “We recognize the need to open new offices to meet the demand.”
Oklahoma City businessman Robert Funk founded Express in 1983. The company began franchising in 1985.
Express Employment Professionals has 600 offices in the United States, Canada and South Africa.