With its stratospheric rise in popularity, padel courts are being developed in numbers across the UK. Industry growth has enticed investors and lenders alike, as the commercial potential of the sport continues to swell.
At Mill Wood Finance, we specialise in sourcing the most suitable finance for Padel Court Developers. Our 30 year expertise in financing large commercial development projects has allowed us to develop significant relationships across a panel of intent lenders.
What Finance is Available For Padel Court Developers and Franchises?
Padel Court Finance is an increasingly popular way for developers to access funding to leverage in order to build more padel courts to keep up with surging demand. There are a range of various padel court financing products at your disposal:
- Court Development Financing: Whilst this covers an array of finance facilities, we work closely with a number of lenders who can provide the most suitable development finance to accelerate your construction. Whether you’re a padel court developer in pursuit of expansion, or a new developer breaking into the market – there is finance suited to your unique requirements.
- Franchise Financing: A loan provided by a lender to fund the cost of opening a new padel franchise. This can cover the cost of premises, licensing, staff, equipment, and so on. If you’re looking to acquire an existing franchise, or forming your own, we can help you to access tailored finance options best suited to your requirements.
- Asset Finance: If you wish to fund specific aspects or equipment for your padel court, then asset finance may be the way to go. For instance, you may leverage asset finance to fund the purchase of costly floodlights that are a necessity for evening padel.
With Mill Wood Finance, we work with you to find the most suitable finance and help guide you through the application process. You gain more than just funding, we are with you from the moment you contact us, right up until the end of your agreement. Our dedicated after-sales care is there to give you comfort throughout the process.
What do lenders look for?
Your experience and background: Have you developed a padel court before? Or, do you have strong experience in managing padel courts?
Your financial strength: How much capital are you willing to contribute? Remember, lenders help you to take the risk of development, they do not take on this risk on your behalf; so they may be expecting you to contribute funds.
A clear business plan and cashflow forecast: Lenders appreciate numbers and narrative. Your business plan should include/coincide with a cash-flow forecast, the contents of which including projected revenues and costs, and how you plan to fund the finance repayments. The better a lender understands your business, the more likely they are to lend.
Repayment ability: Will your new court generate enough cash flow to meet loan repayments?
Security: Sometimes security can be a requirement to act as collateral for the finance. This can be in two forms – assets that the business owns, or personal guarantees from yourself as the borrower. Sometimes, lenders may ask you to put up both as security for the loan, depending on circumstances.
Final Thoughts
The Padel boom in the UK is showing no signs of slowing down. At Mill Wood Finance, we are committed to sourcing padel court operators the most suitable finance in order to help grow your business and the sport alike. From development finance to franchise funding, our panel of lenders are well-placed to fund your padel court operations.
To speak to an experienced broker who understands the unique financial challenges of padel court ownership, get in touch with Mill Wood.
