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Just Between Friends Franchise Loan: The Complete Financing Guide for Just Between Friends Franchise Owners

Written by Allan Garfinkle | August 6, 2026

Just Between Friends Franchise Loan: The Complete Financing Guide for Just Between Friends Franchise Owners

Just Between Friends (JBF) is one of the fastest-growing children's and maternity consignment franchise businesses in the United States, offering entrepreneurs a proven, community-driven model with low startup costs compared to traditional retail. If you're exploring how to fund a Just Between Friends franchise, understanding your financing options - from SBA loans to alternative business lenders - is the first step toward making your franchise dream a reality.

In This Article

What Is Just Between Friends?

Founded in 1997 by Shannon Wilburn in Tulsa, Oklahoma, Just Between Friends is a children's and maternity consignment franchise that operates large-scale, community-run sales events. These events - held in venues like fairgrounds, convention centers, and sports arenas - allow families to buy and sell gently used children's clothing, equipment, toys, and maternity wear at significant discounts.

The JBF franchise model is unique in the retail and resale space. Rather than operating a brick-and-mortar store, JBF franchisees organize seasonal sale events two to four times per year. This "pop-up" model means lower overhead costs compared to permanent retail stores, making it an attractive entry point for entrepreneurs looking to own a meaningful business without the complexity of managing a physical storefront year-round.

As of 2026, Just Between Friends has over 160 franchise locations across the United States, generating millions in total consignment sales annually. According to the company, a single JBF event can feature anywhere from 20,000 to 100,000 items, with thousands of shoppers and sellers participating in each sale.

Why JBF Attracts Entrepreneurs: The JBF franchise model has low initial overhead, strong community ties, and a recession-resilient product category. Families always need quality children's clothing and gear, regardless of economic conditions - making this an especially durable business model.

The franchise is a member of the International Franchise Association (IFA), which provides franchisees with industry credibility and access to resources. JBF also provides extensive training and support, including a proprietary software platform for managing consignment inventory and event logistics.

According to SBA.gov, buying into a franchise system provides a ready-made business model with established brand recognition - two major advantages over starting a business from scratch.

Just Between Friends Franchise Cost Breakdown

Before exploring financing options, it's essential to understand exactly what you're financing. Here's a detailed breakdown of typical Just Between Friends franchise investment costs:

  • Initial Franchise Fee: $15,000 - $22,500
  • Total Initial Investment Range: $32,000 - $55,000
  • Royalty Fees: Approximately 3% of gross sales per event
  • Marketing Fees: 2% of gross sales
  • Working Capital Reserve: $10,000 - $20,000 recommended
  • Technology and Software: Included in franchise fee
  • Insurance: $2,000 - $5,000 annually

Compared to food franchises or traditional retail concepts that may require $200,000 to $1 million or more to launch, Just Between Friends is significantly more accessible for first-time franchise owners. This lower cost structure also affects what type of financing you'll need.

It's important to note that while the franchise investment is modest, franchisees also need sufficient working capital to market their events, secure venue space, and manage operations between events. A strong cash reserve helps ensure smooth operations during the initial ramp-up period.

Pro Tip: Lenders evaluating franchise financing typically want to see that you have at least 10-20% of the total investment as a cash down payment, plus additional liquid reserves to cover 3-6 months of operating costs. For a JBF franchise, this means having approximately $10,000 - $15,000 in personal cash before seeking a loan.

Loan Options for Just Between Friends Franchise Owners

Financing a Just Between Friends franchise requires understanding which loan products best match the investment size and business model. Here are the primary options available to prospective JBF franchise owners:

1. SBA Microloans

Given JBF's total investment range of $32,000 - $55,000, SBA Microloans are one of the most appropriate financing tools. These loans offer up to $50,000 with competitive interest rates (typically 8-13%) and terms up to 6 years. They are administered through nonprofit intermediary lenders and are specifically designed for smaller businesses and franchises.

2. SBA 7(a) Loans

The SBA 7(a) loan program is the most popular form of SBA-backed lending. While SBA 7(a) loans can go up to $5 million, they work well for JBF franchise purchases when including working capital, additional market territory, or multi-event expansion. Interest rates typically range from prime + 2.75% to prime + 4.75%.

3. Small Business Term Loans

Private lenders offer small business loans ranging from $10,000 to $500,000+ with faster approval than SBA programs. For a JBF franchise, a $25,000 - $50,000 term loan from an online or alternative lender could cover the full initial investment, with repayment terms typically spanning 1-5 years.

4. Business Lines of Credit

A business line of credit can be highly effective for JBF franchisees, who need to cover event-specific expenses (venue rental, marketing, staffing) that spike before each sale. A revolving credit line gives you the flexibility to draw funds when needed and repay after the event generates revenue.

5. Equipment Financing

If you need to purchase display racks, tables, tagging equipment, or other event infrastructure, equipment financing allows you to spread these costs over time while preserving cash. Equipment loans typically offer lower rates since the equipment serves as collateral.

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SBA Loans for Just Between Friends Franchisees

The U.S. Small Business Administration offers several loan programs that are particularly well-suited for franchise financing. Just Between Friends is a recognized franchise system, which can simplify the SBA lending process since lenders are already familiar with the business model and FDD disclosures.

SBA 7(a) Standard Loan

For JBF franchisees seeking $50,000 to $350,000 (including working capital, multi-location development, or combined franchise purchases), the SBA 7(a) standard loan is the gold standard. Here's what to expect:

  • Loan Amounts: Up to $5 million (typically $50,000 - $350,000 for JBF)
  • Interest Rates: Prime + 2.75% to 4.75% (currently around 10.5% - 12.5%)
  • Terms: Up to 10 years for working capital, 25 years for real estate
  • Approval Time: 30-90 days
  • Down Payment: 10-30% typically required

SBA Microloan Program

Ideal for first-time JBF franchisees with limited capital:

  • Loan Amounts: Up to $50,000
  • Interest Rates: 8-13%
  • Terms: Up to 6 years
  • Approval Time: 2-4 weeks
  • Credit Score: 575+ minimum at many lenders

SBA Express Loan

For faster approval (typically 36 hours to 3 days), the SBA Express loan offers up to $500,000 with slightly higher rates than the standard 7(a). This is ideal for JBF franchisees who need to move quickly to secure a territory or cover event expenses on a tight timeline.

According to Forbes Advisor, SBA loan approval rates have remained strong for franchise businesses, as the established franchise model reduces perceived lender risk compared to independent startups.

Important: To apply for SBA financing, you must provide the Just Between Friends Franchise Disclosure Document (FDD), personal tax returns (3 years), business plan with financial projections, and personal financial statement. Starting this preparation early can significantly speed up the lending process.

Alternative Business Loans and Financing

For JBF franchise owners who need faster funding, don't qualify for SBA programs, or prefer simpler application processes, alternative lending provides strong options:

Online Small Business Loans

Online lenders like Crestmont Capital can approve and fund fast business loans in as little as 24-48 hours. Loan amounts from $10,000 to $500,000 are available with terms of 3 months to 10 years. While rates are slightly higher than SBA loans, the speed and simplicity make them attractive for time-sensitive franchise opportunities.

ROBS (Rollover for Business Startups)

If you have a 401(k) or other retirement savings, a ROBS structure allows you to use those funds to invest in a franchise without early withdrawal penalties or taxes. Many JBF franchisees use ROBS to self-fund part or all of the initial franchise investment.

Personal Savings and Home Equity

Given JBF's low initial investment, many franchisees self-fund using personal savings, home equity loans (HELOCs), or a combination of personal and business financing. A HELOC typically offers rates of 7-9% and can provide a solid, low-cost financing vehicle for the franchise fee and working capital.

Franchisor Financing Programs

Some franchise systems offer in-house financing or have relationships with preferred lenders who specialize in their franchise model. Contact Just Between Friends corporate directly to inquire about any preferred lender programs or financing incentives for new franchisees.

Bad Credit Business Loans

If your credit score is below the traditional lending threshold (typically 650), bad credit business loans can still provide access to capital. While rates will be higher, these loans can bridge the gap while you build your business credit history.

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How to Qualify for a Just Between Friends Franchise Loan

Lenders evaluate franchise loan applications based on several key factors. Here's what you need to know to maximize your approval odds for JBF financing:

Credit Score Requirements

  • SBA Loans: 650+ personal credit score preferred (some programs accept 575+)
  • Bank Loans: 680+ typically required
  • Alternative Lenders: 550+ minimum at many lenders
  • SBA Microloans: 575-600 minimum

Personal Financial Requirements

  • Net worth of at least $50,000 - $100,000 (personal assets minus liabilities)
  • Liquid capital of $10,000 - $20,000 (cash available after down payment)
  • Debt-to-income ratio below 43% for most SBA lenders
  • No recent bankruptcies (typically 3+ years clean history)

Business Experience

While JBF doesn't require prior franchise or retail experience, lenders look favorably on applicants with:

  • Management or operations experience
  • Sales, marketing, or community event experience
  • Prior business ownership
  • Experience in childcare, education, or family services (highly relevant for JBF)

Business Plan Requirements

A strong business plan is critical for franchise loan approval. Your plan should include:

  • Market analysis for your franchise territory
  • Revenue projections for the first 2-3 years
  • Event schedule and frequency plan
  • Marketing strategy for building seller and shopper communities
  • Competitive analysis of local resale and consignment options

According to CNBC, lenders are more likely to approve franchise loans when the applicant demonstrates thorough knowledge of the franchise model and realistic financial projections backed by actual Franchise Disclosure Document (FDD) data.

Just Between Friends Franchise by the Numbers

Just Between Friends: Key Statistics

160+
Active Franchise Locations
$32K-$55K
Total Initial Investment
$15K-$22.5K
Initial Franchise Fee
3%
Royalty Fee (of Gross Sales)
1997
Year Founded
2-4x/Year
Events Per Territory

Sources: Just Between Friends FDD, IFA, Company Data

How to Apply for Just Between Friends Franchise Financing

The franchise loan application process involves several steps. Here's a complete roadmap to guide you from initial inquiry to funding:

Step 1: Review the Franchise Disclosure Document (FDD)

Before approaching any lender, obtain and thoroughly review the JBF Franchise Disclosure Document (FDD). This legally required document provides detailed information about:

  • Franchise fees, royalties, and total investment costs
  • Franchisee obligations and operational requirements
  • Financial performance representations (Item 19) showing what franchisees actually earn
  • Litigation history and franchisee terminations

Lenders will request this document as part of the underwriting process, so having it ready speeds up approval.

Step 2: Assess Your Personal Finances

Pull your personal credit reports from all three bureaus (Experian, Equifax, TransUnion) and review your:

  • Credit scores
  • Debt-to-income ratio
  • Liquid assets and net worth
  • Any derogatory marks or collections

Address any errors or negative items before applying to maximize your approval odds and secure better interest rates.

Step 3: Prepare Your Documentation Package

Most lenders require the following for franchise financing:

  • 3 years of personal tax returns
  • Personal financial statement
  • JBF Franchise Disclosure Document (FDD)
  • Franchise agreement (once signed)
  • Business plan with financial projections
  • List of personal assets and liabilities
  • Bank statements (3-6 months)
  • Resume or biography highlighting relevant experience

Step 4: Apply with Multiple Lenders

Don't limit yourself to one lender. Apply with 3-5 lenders simultaneously - including an SBA lender, at least one bank, and an online/alternative lender like Crestmont Capital. This gives you multiple offers to compare on terms, rates, and closing timelines.

Step 5: Compare Loan Offers

When comparing loan offers, look beyond just the interest rate. Consider:

  • APR (includes all fees, not just interest)
  • Total repayment cost over the loan term
  • Monthly payment amount and whether it fits your cash flow
  • Prepayment penalties (especially for longer-term loans)
  • Collateral requirements
  • Personal guarantee requirements

For more information on longer-term financing structures, explore long-term business loans and short-term business loans to determine which structure best matches your revenue timeline as a JBF franchisee.

According to Bloomberg, franchise businesses tend to receive more favorable loan terms than independent startups because they represent a proven, replicable business model - which reduces lender risk.

Additional reading: See how other franchise owners are financing their businesses in our guide to Hammer and Nails franchise financing and Uptown Cheapskate franchise loans.

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Frequently Asked Questions About Just Between Friends Franchise Loans

How much does a Just Between Friends franchise cost to start?

The total initial investment for a Just Between Friends franchise ranges from $32,000 to $55,000, including the initial franchise fee of $15,000 - $22,500, working capital, insurance, and other startup costs. This is significantly lower than most food or service franchises, making JBF accessible to a broader range of entrepreneurs.

What is the minimum credit score needed to get a JBF franchise loan?

For SBA-backed loans, most lenders prefer a personal credit score of 650 or higher. Alternative lenders and online lending platforms may work with scores as low as 550. If your credit score is below 650, consider working on improving it before applying, or explore bad credit business loan options from lenders who specialize in lower-credit-score applicants.

Can I use an SBA loan to finance a Just Between Friends franchise?

Yes, SBA loans are an excellent option for JBF franchise financing. The SBA 7(a) program and SBA Microloan program are both well-suited for the JBF investment range. You will need to provide the franchise's FDD and other standard documentation. JBF's established brand and track record can work in your favor during SBA underwriting.

How long does it take to get approved for a franchise loan?

Approval timelines vary by lender type. SBA loans typically take 30-90 days. Traditional bank loans can take 2-6 weeks. Online and alternative lenders can approve and fund loans in as little as 24-48 hours. Preparing your documentation package in advance can significantly speed up any approval process.

Do I need a down payment for a JBF franchise loan?

Most franchise lenders require a down payment of 10-30% of the total loan amount. For a JBF franchise with a $45,000 total investment and a $40,000 loan, you would need $4,000-$12,000 as a down payment. Having personal cash reserves above this amount also strengthens your application.

What type of business loan is best for a Just Between Friends franchisee?

The best loan type depends on your financial profile and timeline. SBA Microloans (up to $50,000) are ideal for most first-time JBF owners. A business line of credit is excellent for managing event-specific cash flow spikes. If you need quick access to capital, an online term loan from a lender like Crestmont Capital can fund in days rather than weeks.

Can I use personal savings to finance my JBF franchise?

Yes, self-funding with personal savings is a common and cost-effective option for JBF franchises given the lower investment threshold. Many franchisees combine personal savings with a small business loan to cover the total investment. Using a ROBS structure with retirement funds is also an option that avoids tax penalties.

Does Just Between Friends offer any financing or preferred lender programs?

Just Between Friends may have relationships with preferred lenders familiar with their franchise model. It's advisable to contact JBF corporate directly during your franchise inquiry process to ask about any in-house financing programs, lender referrals, or incentives for qualified franchise candidates.

How much working capital do I need for a JBF franchise?

Experts recommend having 3-6 months of operating expenses in reserve when launching a franchise. For JBF, this means having $10,000 - $20,000 in working capital beyond your initial franchise investment. This covers venue deposits, marketing, insurance, and other pre-event costs while you build your seller and shopper community.

Can I buy multiple JBF territories with financing?

Yes, multi-unit franchise financing is available for operators who want to purchase multiple JBF territories. Multi-unit loans typically require stronger financials and more experience, but they can provide economies of scale. SBA 7(a) loans of $150,000 or more can cover two to three JBF franchise territories simultaneously.

What happens if my JBF loan application is denied?

If denied, ask the lender for the specific reasons. Common denial reasons include insufficient credit score, inadequate liquid assets, or incomplete documentation. Address the identified weaknesses and reapply. Alternative lenders and microloan programs often have more flexible criteria than traditional banks. Consider working with a business loan broker who can match you with lenders most likely to approve your profile.

Is a personal guarantee required for a JBF franchise loan?

Most franchise loans - especially SBA loans - require a personal guarantee for loans to new businesses. This means you are personally responsible for repayment even if the business fails. As your franchise builds a track record and you establish business credit, you may be able to reduce or eliminate personal guarantees on future financing.

What interest rates should I expect for a JBF franchise loan?

Interest rates vary by loan type and your credit profile. SBA Microloans typically range from 8-13%. SBA 7(a) loans range from prime + 2.75% to 4.75% (currently approximately 10.5-12.5%). Bank loans range from 7-12%. Alternative and online lenders range from 9-40%+, depending on credit quality and loan term. SBA loans offer the best rates for qualified applicants.

Can I use equipment financing to cover JBF event supplies?

Yes, equipment financing can cover tangible assets used in your JBF business, including display systems, racks, tagging equipment, and point-of-sale technology. Equipment loans typically range from $5,000 - $50,000 for JBF-scale needs, with rates of 6-15% and terms of 2-7 years. The equipment itself serves as collateral, which can make approval easier even for newer business owners.

How do I build business credit as a JBF franchisee?

Building business credit starts with forming a legal entity (LLC or Corporation), obtaining an EIN, opening a business bank account, and applying for a DUNS number from Dun and Bradstreet. Then, open net-30 vendor accounts, get a business credit card, and pay all obligations on time. After 12-18 months of consistent payment history, your business credit profile will qualify for better rates on future loans.

Next Steps to Finance Your JBF Franchise

  1. Contact Just Between Friends to request their Franchise Disclosure Document and learn about open territories in your area.
  2. Review your personal credit reports and scores at all three bureaus (AnnualCreditReport.com).
  3. Calculate your total liquid assets and net worth to understand your down payment capacity.
  4. Prepare your business plan including a market analysis for your target franchise territory.
  5. Apply for pre-qualification with multiple lenders - including Crestmont Capital - to compare loan terms without obligation.
  6. Work with a franchise attorney to review the FDD before signing any agreements.
  7. Secure financing, sign your franchise agreement, and attend JBF training to launch your first event!

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Disclaimer: The information provided in this article is for general educational purposes only and does not constitute financial, legal, or investment advice. Franchise costs, loan terms, and eligibility requirements vary by lender and are subject to change. Always consult with a qualified financial advisor or franchise attorney before making any franchise or financing decisions. Crestmont Capital does not guarantee loan approval or specific loan terms for any applicant.