Franchise Finance Limited ('FFL') is a wholly owned subsidiary of CLSL. FFL offers loans to Crest franchisees for:

    1. Franchise establishment fees
    2. Equipment leasing
    3. Purchasing additional contracts.

The directors of CLSL recognised a strong need for a financing vehicle for prospective franchisees. Many hard working and motivated candidates lack the necessary capital to launch themselves into business. Traditional financing sources such as banks have been slow to enter the franchising sector, and require a home mortgage as security, limiting the options available for potential franchisees.

Financing potential franchisees into a Crest business strategically enhances CLSL's ability to grow the franchise base. The loan principal and interest is deducted by the Company from the franchisees' contract revenues, enhancing the security of the repayments. Existing franchisees also use FFL to purchase additional contracts and grow their business faster. With existing cashflow in place, CLSL has security that sufficient funds are available to service the loan.

The directors have considerable experience in financing and in operating a finance company. Administration is contracted to G. S. McLauchlan and Co, Chartered Accountants, Dunedin, who have software and operational systems to facilitate the growth of this subsidiary.