Massage Envy Carves out $15 Million in Franchisee Funding for 2013
New & Existing Franchisees Took Advantage of $11 Million in Funding in 2012
March 07, 2013 // Franchising.com // Scottsdale, Ariz. – Massage Envy, the pioneer and national leader of professional, convenient and affordable massage and spa services, announced today that new and existing Massage Envy franchisees have exclusive access to $15 million in development capital in 2013. The funding is available through a franchisee lending program agreement Massage Envy entered into with Franchise America Finance™ (FAF) and The Bancorp Bank, a wholly-owned subsidiary of The Bancorp, Inc.
With this funding through FAF and The Bancorp Bank, Massage Envy has access to a total of $15 million for both new franchisee development, as well as existing franchisee expansion. FAF has also arranged funding for a brand new offering of $100,000 for conversion to Massage Envy Spa® in 2013.
"We are very happy to report that we funded approximately $16 million to Massage Envy franchisees since inception and have an additional $15 million to offer in 2013," said Ronald Feldman, CEO of FAF. “In addition, we recently announced a new offering through other funding sources for Massage Envy franchisees that give them the ability to convert their existing Massage Envy into a Massage Envy Spa.”
In 2007, Massage Envy established an exclusive partnership with global skincare leader Murad® to offer affordable, healthy skincare beyond traditional massage therapy, and Massage Envy Spa® was born. This year, FAF has arranged financing to offer current Massage Envy franchisees the opportunity to borrow up to $100,000 at competitive fixed rates to convert their existing Massage Envy into a Massage Envy Spa clinic. Of the more than 850 clinics open nationwide, approximately 590 are spa locations.
“Massage Envy’s partnership with FAF and The Bancorp Bank has allowed us to expand from two to three clinics,” said Nancy Miller Boone, a Massage Envy Spa franchisee in Maryland. “Given that we are completely self-employed and after exhausting our personal funds, it was difficult to obtain a loan from the banking industry. Franchise America Finance worked diligently with us to provide the necessary funding to make opening our third clinic possible.”
Today, there are more than 850 Massage Envy and Massage Envy Spa locations in 46 states, making it the largest system of franchised massage clinics in the industry. The company also is the world’s largest employer of licensed/registered massage therapists with more than 18,000 therapists providing over 16 million massages a year to a total of more than 1.3 million members.
Over the next several years, Massage Envy is seeking to expand across the country with Massage Envy Spa leading the way in these development goals. To fuel this growth, the company is looking for specific franchisee candidates who have the ability and the desire to learn and follow a system that ensures value and customer satisfaction. Qualified franchisee candidates should have business sales or management experience, but do not necessarily need to have a massage therapy or spa operations background. They also should possess a minimum net worth of $500,000 and liquid assets of at least $150,000. Massage Envy and Massage Envy Spa franchisees can expect their initial investment to range from approximately $352,000 – $569,000, including the franchise fee.
Entrepreneurs interested in exploring franchising opportunities with Massage Envy may contact Lori Merrall at (480) 366-4171 and email@example.com, or visit Massage Envy’s franchising website at massageenvyfranchise.com.
About Franchise America Finance
Franchise America Finance, LLC (FAF) was formed by a group of franchising professionals to provide Program Lending Solutions for the Franchise Industry. Franchisors interested in participating in this program should contact: Ronald Feldman firstname.lastname@example.org at 610-668-9780 or visit www.franchiseamericafinance.com.
About The Bancorp, Inc.
The Bancorp, Inc. is a bank holding company that operates The Bancorp Bank, an FDIC-insured commercial bank that delivers a full array of financial services and products both directly and through private-label affinity programs nationwide. These programs enable members, employees and customers of Bancorp and its affinity clients to access customized online-banking services. To learn more, visit www.thebancorp.com.
The Government Guaranteed Lending division of The Bancorp Bank specializes in business loans and franchisee financing through programs available from the U.S. Small Business Administration and the U.S. Department of Agriculture. It focuses on government-guaranteed lending and has more than 50 years of combined experience in the field.
About Massage Envy
Massage Envy, based in Scottsdale, Arizona, is the leading provider of therapeutic massage in the United States. The national franchise is dedicated to providing professional and affordable therapeutic massage and spa services to members and guests with busy lifestyles at convenient times and locations. Founded in 2002, Massage Envy has over 850 locations in 46 states. In addition, the average unit volume for a Massage Envy is $1.2 million. Through its national partnership with the Arthritis Foundation, Massage Envy has raised more than $1 million in two, one-day Healing Hands for Arthritis events. The company was recently ranked #81 in Entrepreneur’s 2013 Franchise 500 and #29 in its 2012 Fastest Growing Franchise rankings. Massage Envy is a member of the International Franchise Association (IFA) and was recently named a 2012 Military Friendly Franchise. For more information, visit MassageEnvy.com.
SOURCE Massage Envy