With 90-100% financing available, an SBA 7(a) loan comes with a 10-year term which drives down your monthly payments and leaves you with extra cash to fuel your business operations. You not only gain the small business funding you need, but you can also finance extra FF&E or machinery as well as working capital to manage transition costs – all bundled up in one long-term loan. If your transaction includes real estate, the SBA gives you options for a longer term on your loan.
Solutions
- Partial change of ownership now SBA eligible
- Buy 80%+ of company, seller can stay with no personal guarantee
- Seller participates in equity requirements
- A seller note on standby can be counted as part of equity
- Total equity of 10% of total project cost on business acquisitions
- 100% financing available for growth through acquisition if same six-digit NAICS code
- Up to $2MM unsecured financing available, sometimes more
- 10-year term, longer if real estate is included in the transaction
- Can be combined with an SBA Express credit line to manage cash flow and control interest costs
Benefits
- 90% - 100% financing available
- Quarterly variable, 3-year fixed rate, 5-year fixed rate, or 10-year fixed rate structures available
- Full 10-year term available on most business acquisitions
- No balloon payments or call options
- No loan covenants or deposit requirements
Pre-Application Checklist:
Ready to get started? Below is a list of documents we’ll ask you for during the initial call:
- Estimated project costs
- Three years of tax returns, interim financial statements on target business and on existing business(es) if applicable including Income Statement, Balance Sheet, Debt Schedule
- Three years personal tax returns – all owners 20%+
- Personal Financial Statement – all owners 20%+