New accelerator program from the International Franchise Association seeks to increase franchise business ownership to narrow wealth gap

Brightwood Capital Advisors today announces their support for the International Franchise Association (IFA)’s new Franchise Ascension Initiative, an accelerator program established to support individuals from underrepresented communities with education, mentorship, resources, and financial support to successfully launch a career in franchise ownership. By increasing diversity in the franchisee talent pipeline, the Ascension Initiative aims to narrow the wealth gap and provide qualified individuals with business ownership opportunities.

“Franchising is one of the greatest pathways to business ownership and creating generational wealth,” said Matt Haller, IFA President and CEO. “This program ensures that access to opportunity is available to everyone, regardless of background. What better way to bridge the wealth gap than through opening more doors for minority business owners. With the support of our generous partners like Brightwood Capital Advisors, the Ascension Initiative will further help franchising change lives and communities.”

Brightwood Capital Advisors contributed to the launch of the effort, which will begin accepting applications in the coming months. The first cohort of participants is expected in late 2024.

“We are excited to be partnering with the IFA, supporting underrepresented communities to increase diversity in the franchisee talent space,” added Sengal Selassie, Chief Executive Officer and Managing Partner of Brightwood. “This partnership represents Brightwood’s commitment to supporting diverse and under-served communities, and we’re proud to work toward the goal of providing qualified individuals with business ownership opportunities through the Franchise Ascension Initiative.”

According to data from Oxford Economics, Black-owned franchises earn 2.2 times more than Black-owned independent businesses; Hispanic-owned franchises earn 1.6 times more than Hispanic-owned independent businesses; and Asian-owned franchises earn 1.4 times more than Asian-owned independent businesses.

The Franchise Ascension Initiative will select capable candidates for a rigorous six-month education program to help them build the essential skills they need to be successful franchisees. Building on IFA’s extensive library of franchise educational materials, the program will be specifically curated for participants, along with individualized mentorship. The program will culminate in a pitch contest with potential franchise opportunities.

More information on the Ascension Initiative is available here.

About Brightwood Capital Advisors:

Brightwood Capital Advisors, LLC is a private credit firm with a long-standing track record of investing in middle-market businesses. Brightwood specializes in providing senior debt capital primarily to U.S. businesses with $5-$75 million of EBITDA within five core industries: technology & telecommunications, healthcare, business services, transportation & logistics and franchising. Brightwood partners with non-sponsored businesses as well as private equity sponsors to provide customized financing solutions for directly originated investments.

Founded in 2010, Brightwood is a minority-owned firm with a team of over 50 employees who manage more than $5 billion of assets on behalf of its primarily institutional investor base. Brightwood is headquartered in New York City. For more information, please visit: https://brightwoodlp.com/.

About the International Franchise Association:

Celebrating over 60 years of excellence, education, and advocacy, the International Franchise Association (IFA) is the world’s oldest and largest organization representing franchising worldwide. IFA works through its government relations and public policy, media relations, and educational programs to protect, enhance and promote franchising and the approximately 806,270 franchise establishments that support nearly 8.7 million direct jobs, $858.5 billion of economic output for the U.S. economy, and almost 3 percent of the Gross Domestic Product (GDP). IFA members include franchise companies in over 300 different business format categories, individual franchisees, and companies that support the industry in marketing, law, technology, and business development.

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