Franchise Group Inc. has been granted temporary court approval to borrow up to $250 million from its senior lenders as it goes through bankruptcy proceedings.

This funding is essential for the brand management firm to continue its operations while it works on reducing its debt and exploring potential sale options.

Bankruptcy Judge John Dorsey dismissed objections from lower-ranking creditors, including Pacific Investment Management Co. and Irradiant Partners LP, who had proposed an alternative loan with lower fees and interest rates but were unable to provide the necessary cash for Franchise Group to sustain its Chapter 11 case.