The most typical question clients ask me about business purchase financing is all about how quickly we are able to secure them funding to have their business purchase completed. While there are lots of steps we (myself and also the actual loan provider selected) will need to take from beginning to end, my response is “it’s completely up to you.” This statement frequently catches people unawares but it’s the complete truth.
There are specific products you’ll want ready to be able to start presenting “a transaction or deal” to potential lenders and banking institutions. Your pursuit for Small business administration business acquisition financing is going to be considerably faster if you possess the following products ready.
* Past three years personal tax statements for those proprietors with 20% or even more possession (Federal Returns only)
* Personal Financial Plan
* For just about any other affiliate company with a minimum of 20% possession by the owner of applicant business you will have to supply the past three years corporate tax statements
* Signed Purchase Agreement
* Brief write-up concerning the business – possible “small” strategic business plan
* Past three years corporate tax statements from the business you’re purchasing
* Past three years P&L and Balance Sheet from the business you’re purchasing
* Interim P&L and Balance Sheet from the business you’re purchasing
* Reason the present owner is selling
For those who have many of these products all set to go it can help get the business purchase financing deal into underwriting considerably faster. If you’re in early stages of hunting for a business to purchase then simply just have your individual products readily available for review, after you have identified the company you would like we are able to then request the products needed in the owner/seller.