If you are not a full cash buyer many major banks work thru SBA business loan programs that offer low interest rates and attractive down payment options.
If you need to finance a portion of the purchase price of the business purchase consider contacting a bank that is affiliated with the Small Business Administration “SBA”. You will need about 20% of the purchase price as a down payment on the business being purchased; and if you are purchasing both the business and real estate together you will need about 20% down payment for both - as the SBA considers this a “blended loan”. In this case repayment terms can then stretch out up to 20-25 years, versus 7-10 years for “business only” financing.
Financial institutions (albeit banks, credit unions, non-bank lenders), will loan about 75-90% of the total purchase price of non-real estate business assets being purchased, and about 90% of real estate when the real estate is part of a business purchase. Many times the SBA as part of the loan will also provide additional working capital.
Hartford Business Brokers helps in arranging the financing needed to complete the business sale that we are brokering at no additional charge to the seller or the buyer. Call us today to discuss your particular situation. Sometimes it helps to get out in front of a business purchase by exploring the financing options.
Make us your first call (386) 267-4398 today for a No Charge consultation. Our phone lines are on 24/7 leave us a message and we will return your phone call promptly.
