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What does "Unencumbered Cash" mean?

Author: Franchise Finder

When a franchise or business opportunity stipulates that the minimum investment is R100 000, 50% of which should be unencumbered, it means that this should not be financed ie. it should be his or her own money that is easily accesible and can be used to secure a franchise. Securing a loan from a bank can be difficult and time-consuming and can delay a potential business deal. Franchisors are usually looking for someone who can put the money where their mouth is!


 
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