Low down payment of as
little as 25% (with no seller carry back) or 15% (with
minimum 10% seller carry back, gift or outside investor
funds).
•
Financing available for
most eligible industry types.
Loan Amounts
•
$150,000 to $2.0 million
Special Requirements
•
Buyers must have direct
or highly related industry experience coupled with acceptable
personal credit histories.
•
Loans available to purchase
100% ownership in an existing business.
•
Transaction can be structured
as either an asset purchase or stock purchase redemption.
•
Due to the uniqueness
of each transaction, business acquisitions are evaluated
on a case-by-case basis.
•
Loans typically must
be secured with a First Security Interest in all business
assets as well as all available collateral (including
the buyer's personal residence) until the loan is fully
secured. At a minimum, each loan requires collateral to
cover 50-75% of the loan request using the bank's discounted
collateral values.
•
Third party business
valuation may be required.
Terms
•
Terms up to 10 years
depending on use of proceeds (terms will be longer if
real estate is included with the business purchase).
•
SBA 7a loans with terms
of up to 15 years have no prepayment penalty while terms
of 15 years or greater have no prepayment penalty after
year 3.
•
Rates are based on a
spread over the Prime Lending Rate. Rates vary depending
on the specific strengths of the transaction.
•
SBA Guarantee Fee is
paid directly to U.S. Small Business Administration. Amount
varies based on loan/guarantee amount. Other customary
fees also apply.
•
All 7a loans are fully
amortized and are assumable.
•
Loans have no call dates
or balloons.
Pre-Screen
•
Pre-screen service available
within 24 hours with no charge or obligation by providing
limited information. Contact me for more information.
