Generally, no specific collateral. Working capital loans are usually unsecured, meaning you don’t have to pledge a particular asset like property or equipment. The lender might file a UCC lien on your business assets (a blanket lien) as a form of security, but that’s not quite the same as requiring hard collateral up front. The most important “collateral” in a sense is your franchise’s cash flow – lenders give money based on your ability to generate revenue. Of course, if you do have assets, you might get better terms by offering them, but it’s often not mandatory for these types of loans.