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F&B Capital Launches for Franchise Financing Needs

F&B Capital, a new venture by ZJD and Branded Capital Solutions, offers specialized financial advisory for franchisors and franchisees. Expert capital solutions.

AM
Alvaro de la Maza

Partner at Aninver

Key Takeaways

  • Sector: Financial Services & Fintech, Business Services.
  • Geography: United States.

Analysis

A new financial advisory firm, F&B Capital, has emerged to address the distinct capital requirements within the expansive franchising sector. This strategic alliance brings together the deep industry connections of ZJD, an investment group backed by veterans of prominent franchise public relations firms like Fishman PR and Franchise Elevator PR, with the specialized financial services of Branded Capital Solutions, a division of Branded Hospitality.

The firm is poised to offer a comprehensive suite of financial solutions tailored for franchisors, franchisees, and other businesses operating within the franchise ecosystem. Services will encompass growth equity fundraising, structured credit facilities, minority stake recapitalizations, and expert guidance on mergers and acquisitions. This move acknowledges the growing complexity and capital demands faced by businesses in this unique market segment, which often requires specialized financial instruments beyond traditional banking.

Leading F&B Capital are managing partners Zack Fishman, representing the ZJD contingent, and Jimmy Frischling, from Branded Capital Solutions. The operational team also includes key figures such as Brad Fishman, Jake Fishman, Michael "Schatzy" Schatzberg, and Evan Veryard, bringing a wealth of collective experience in both capital markets and franchise operations.

Zack Fishman highlighted the firm's genesis, stating, "F&B Capital was established to directly confront the persistent capital challenges observed throughout the franchise landscape." He further elaborated that the unique operational dynamics of franchise businesses necessitate bespoke financial strategies, a need his team is uniquely positioned to fulfill due to their extensive industry relationships and specialized knowledge.

Echoing this sentiment, Jimmy Frischling emphasized the synergistic advantage of the partnership. "By combining Branded's extensive hospitality background with ZJD's profound understanding of the franchise industry, F&B Capital delivers an uncommon fusion of operational acumen and capital markets sophistication," he remarked. "Our team possesses an intrinsic understanding of these businesses, moving beyond external advisory to offer truly integrated support."

The franchise sector, a significant contributor to the U.S. economy estimated to generate over $700 billion annually, is experiencing robust growth, particularly in sectors like food service, retail, and business services. This expansion fuels a continuous need for capital to support new unit development, technology adoption, and strategic acquisitions. F&B Capital's launch arrives at a time when access to specialized financing is crucial for franchisors seeking to scale and franchisees looking to consolidate or expand their portfolios.

Branded Capital Solutions, with its established presence in the food and beverage industry, brings expertise in M&A advisory, capital raising, and strategic partnerships. Complementing this, ZJD leverages its deep ties within the franchise community, cultivated through its successful portfolio of marketing and public relations agencies that serve a wide array of franchise brands nationwide. This dual expertise positions F&B Capital as a formidable player in facilitating financial growth and strategic transactions within the franchise world.