About this Deal: $1 Million Loan to Buy the Family Business
This client had always planned on owning the family auto parts shop one day. Then, when there was a sudden opportunity to purchase the business, she was in hot water because she hadn’t saved enough money. After all, the business was listed at $1 million, meaning she would need at least $100,000 for the down payment (SBA requires 10% down.) Despite working hard, she was also a single mother of three – making it even more difficult to save that amount so quickly.
Despite these challenges, she knew her window of opportunity was closing… So she scraped together as much cash as she could, and came to ComCapFL to see if she had a shot.
Although she was light on the liquidity needed for the down payment, she had one huge thing going for her: she was a current employee of the business. As we’ve mentioned before, experience makes a big difference in the rates and terms we can offer. Thanks to her experience in this all female-run family business, we were able to secure her an SBA 7a loan with only 5% down (owner-financed, so the business could be left with adequate post-closing liquidity.) Not to mention, we closed in record time!
What was the big takeaway? We’ve already preached the benefits of an employee acquiring their business, so we’d like to highlight another aspect of this loan’s success: the client’s can-do attitude. The pieces didn’t simply fall into place – this client gave everything to make her Cinderella story come true. She was proactive, asked questions before submitting documents, followed up for next steps and was persistent on getting everything we needed in as quickly as possible.
In our line of business, that level of initiative pays in more ways than one. Not only did she gain our respect, but she also won the respect of her family and her future employees by closing the loan quickly and diligently following through on her plans to succeed as owner. If she can conquer this loan the way she did, she’s going to be a great business owner!
Remember: it costs nothing to explore your options. With our own fund and access to more than 300 affiliate funds, your best loan options are all under one roof at ComCapFL. To get started, submit your loan today through our fast, no-document Loan Finder tool above or simply call us at (888) 959-1648.
Or, click to learn more about SBA loans here.