At Elcano Capital we divide the current 1,160 franchise systems in Australia into three tiers by size; Tier 1 is the top 5%, Tier 2 are the next 15%, and Tier 3 being the rest of the industry.

Our highest obligation, as  a manager of other peoples funds, is to mitigate the risks in our investments.  However, we also aim to do the most we can to stimulate and support the Australian franchise industry and economy.

Tier 1 franchise systems are also those few that have genuine business cashflow lending arrangements with the banks.  As such we believe the best way to meet our highest obligation, while achieving our aim is to focus on Tier 2 franchise systems.

But the franchise industry is fluid and today's Tier 3 systems will be tomorrow's Tier 1 or 2 systems.  Therefore, no matter which Tier your franchise system falls into today, we would welcome the chance to discuss your current and future franchisee funding goals.