February 28, 2012
Massage Envy Announces $15 Million In Franchisee Funding Available In 2012
-$5 Million Was Financed in 2011 to New and
Existing Massage Envy Franchisees-
Scottsdale, Ariz. (February 2012) - Massage
Envy, the pioneer and national leader of professional, convenient
and affordable massage and spa
services, announced today that new and existing Massage Envy
franchisees have exclusive access to $15 million in development
capital in 2012. The funding is available through a
franchisee lending program agreement Massage Envy entered into with
Franchise America Finance™ (FAF) and The
Bancorp Bank, a wholly-owned subsidiary of The Bancorp, Inc. (NASDAQ: TBBK).
With this funding through FAF and The Bancorp Bank, Massage Envy
has access to a total of $15 million for both new franchisee
development, as well as existing franchisee expansion. Last year,
Massage Envy franchisees took advantage of more than $5 million in
funding offered through the lending program.
"We are very happy to report that we funded approximately $5
Million to Massage Envy franchisees in 2011, and have an additional
$10 million in the funding process today. There is a total of
$25 million allocated for Massage Envy franchisees so
far," said Ronald Feldman, CEO of FAF. "Since the
inception of its franchise lending program in April 2010, FAF has
allocated more than $400 million for franchisee financing for
member franchise systems. FAF and Massage Envy worked together to
create the qualifications prospective franchisees must meet to gain
access to this available capital."
Massage Envy experienced strong growth in 2011 with a 13 percent
increase in new clinics, adding a total of 87 new locations.
Today, there are more than 745 Massage Envy and Massage Envy Spa
locations in 44 states, making it the largest system of franchised
massage clinics in the industry. The company also is the
world's largest employer of licensed/registered massage
therapists with more than 16,000 therapists providing over
250,000 massages every week to a total of more than 1 million
"With financing so hard to access for many in this economic
climate, Massage Envy is excited to be able to offer our current
franchise partners, as well as incoming franchisees, access to
funding that will enable them to either expand their business or
purchase their first clinic," said Massage Envy CFO Greg Esgar.
"Massage Envy is one of only 30 franchises out of thousands
to be selected for this national financing program and we are
thrilled to extend this extraordinary opportunity to Massage Envy
Over the next several years, Massage Envy is seeking to expand
further across the country with Massage Envy Spa leading the way in
these development goals. To fuel this growth, the company is
looking for specific franchisee candidates who have the ability and
the desire to learn and follow a system that ensures value and
customer satisfaction. Qualified franchisee candidates should have
business sales or management experience, but do not necessarily
need to have a massage therapy or spa operations background.
They also should possess a minimum net worth of $500,000 and liquid
assets of at least $150,000. Massage Envy and Massage Envy Spa
franchisees can expect their initial investment to range from
approximately $343,000 to $568,000, including the franchisee
"Part of ensuring Massage Envy continues its growth and
expansion in markets across the U.S. includes offering access to
strong, franchise-focused lending programs such as this," added
Esgar. "In doing so, we will arm our franchisees with the tools and
resources they need for long-term success."
Entrepreneurs interested in exploring franchising opportunities
with Massage Envy Spa may contact Lori Merrall at (480) 366-4171
or visit Massage Envy's franchising website at http://www.massageenvyfranchise.com/.
About Franchise America Finance
Franchise America Finance, LLC (FAF) was formed by a group of
franchising professionals to address the void in the capital
markets for franchising. FAF can provide senior and subordinated
debt, mezzanine financing, and equity for franchisors and
franchisees. Franchisors interested in participating in this
program should contact: Ronald Feldman or Nate Greenberg at
610-668-9780 or visit www.franchiseamericafinance.com.
About The Bancorp, Inc.
The Bancorp, Inc. is a bank holding company that operates The
Bancorp Bank, an FDIC-insured commercial bank that delivers a full
array of financial services and products both directly and through
private-label affinity programs nationwide. These programs enable
members, employees and customers of Bancorp and its affinity
clients to access customized online-banking services. To learn
more, visit www.thebancorp.com.
The Government Guaranteed Lending division of The Bancorp Bank
specializes in business loans and franchisee financing through
programs available from the U.S. Small Business Administration and
the U.S. Department of Agriculture. It focuses on
government-guaranteed lending and has more than 50 years of
combined experience in the field.
About Massage Envy
Massage Envy, based in Scottsdale, Arizona, is the leading
provider of therapeutic massage in the United States. The national
franchise is dedicated to providing professional and affordable
therapeutic massage and spa services to consumers with busy
lifestyles at convenient times and locations. Founded in 2002,
Massage Envy has more than 745 locations in 44 states. In
addition, the average unit volume for a Massage Envy is $1 million.
The company was recently ranked #57 in Entrepreneur's 2012
Franchise 500 and #29 in its Fastest Growing Franchise
rankings. Massage Envy is a member of the International
Franchise Association (IFA). For more information, visit MassageEnvy.com.