ApplePie Capital operates a franchise loan marketplace that enables franchisees to obtain financing to start or expand their businesses and allows investors to earn fixed-income returns tied to franchise loans. The company offers a proprietary Core loan product and has formed partnerships with 60 franchise brands since it began lending in January 2015. ApplePie emphasizes credit quality—borrowers have an average 770 FICO score and a $2M median net worth—and its Core portfolio showed strong credit performance through the COVID-19 pandemic. ApplePie recently surpassed $1.25 billion in loans originated to franchise businesses. Future plans discussed in the articles include expanding distribution through a commercial relationship with Bankers Healthcare Group (BHG), including potential purchase of its Core product and future securitizations. The company is positioned to capture what it estimates is roughly $105 billion in annual debt capital demand within franchising as the sector rebounds. ApplePie Capital operates a franchise loan marketplace that connects franchisees seeking startup or expansion capital with investors seeking fixed-income returns. The firm focuses on channel-first lending by partnering directly with franchise brands and structuring products tailored to franchisees. Since it began lending in January 2015, ApplePie has formed partnerships with 40 franchise brands, funded over $50 million in loans, and returned over $7 million in principal and interest to investors. Borrower profiles cited include 750+ FICO scores and a $2M median net worth, and the company highlights strong credit performance to date. Recent capital and financing arrangements are intended to scale originations and broaden distribution to accelerate growth. The company is headquartered in San Francisco and added a seasoned franchise finance executive as a strategic advisor to support underwriting and risk management. ApplePie Capital operates a marketplace lending platform focused solely on the franchise industry, originating loans to franchise entrepreneurs and offering those loans to investors whole or fractionally. The firm uses a proprietary multi-factor underwriting model that analyzes historical brand performance, borrower experience, credit quality, and financials to curate high-quality investment opportunities. ApplePie streamlines funding for franchisees by pre-qualifying brands in 2 business days, providing firm commitments within 5 business days, and delivering funds in under 30 days through an automated online application. The company has eleven brands on its marketplace and reported more than $40 million in borrower capital demand to date. Financially, ApplePie closed a $6 million Series A and has secured over $28 million in debt capital commitments to fund loans, and has raised nearly $10 million in equity to date. Management says the Series A plus debt commitments will accelerate growth and increase lending capacity as loan demand scales. ApplePie Capital operates a loan marketplace that connects franchise brands and their entrepreneurs with investors seeking fixed-income returns. Founded in 2013 and led by CEO Denise Thomas and COO Steve Pelletier, the company is based in San Francisco. The marketplace is designed to offer loans of $100K to $1M to qualified borrowers. ApplePie planned to launch the marketplace in the first quarter of 2015 and to serve qualified borrowers across all 50 states. The company raised funding to support the planned launch and early operations.

Total raised

$241M

Funding rounds

6

Latest round

Series C

Latest activity

Oct 2021