How to finance a business acquisition is a critical factor business owners face when evaluating the merits of an acquisition. A loan from the Small Business Administration is an attractive option for established businesses in need of financing. Sometimes, however, it’s hard to get approved for an SBA loan. If you do not qualify for an SBA loan, there are plenty of other lenders who are willing to work with you on business purchase financing. Following are several types of non-SBA loans that you should consider when buying a business.
When Should You Buy a Business (or Not)?
Buying a business is ordinarily less risky than starting a new business — if you make the correct choice. Finding the right company, securing the funding to buy a business and timing your purchase all play a role in turning the idea of buying a business into a reality. Continue Reading…
What is Leveraged Financing?
Business owners often find themselves facing special situations, such as an acquisition opportunity, where they need more capital. For temporary, short-term funding needs, leveraged financing can be an investment strategy that supports business growth and increases returns. Continue Reading…
What Is Seller Financing?
Whether you’re a business owner looking to sell your firm or a budding entrepreneur looking to acquire a business, the common denominator to a successful transaction is having the financial capital necessary to accomplish the deal. Seller financing plays a role in more than 50 percent of mid-size business sales and nearly 90 percent of small-business transactions. Seller financing, often called owner financing, is an attractive option for buyers and sellers. Continue Reading…