Preparing Yourself To Apply For An SBA Business Loan
In today’s economic environment, there’s a smart way to obtain a small-business loan according to a recent article in the Los Angeles Times.
Preparation is one thing that is essential in obtaining loan approval. You need to be able to explain and justify every area of the business you are buying. You can’t simply present projections for the next five years and talk about construction and renovation. In many cases, you will need additional data and may have to revise your application.
SBA lenders will actively look for small businesses that are aggressive in obtain a strong profit margin while keeping overhead low. They will also look at character, where you will not only be able but willing to write a check to cover a loan if it goes bad.
SBA Financing To Purchase A Business
SBA financing offers buyers attractive loan terms and interest rates while eliminating, or reducing, the need for the seller to carry a note. This means a lower down payment and lower debt service for the buyer, which translates into more net income for the buyer. Both of these factors make SBA financing attractive.
Financing the Purchase of a Business: The deal has to make dollars and sense
The most important factor a buyer must consider in the purchase of a business is cash flow. Financing substantially increases a buyer’s cash flow while lowering their up front investment. Thus, financing is a critical factor in a successful transaction.
Read more about Financing The Business Acquisition here…
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VR Has a Tremendous Opportunity, with over 100 locations worldwide and over 70,000 transactions closed.
VR is a leading international intermediary franchise. We specialize in the sale of small and medium privately-held businesses.
The VR Business Sales division, which opened in 1979, handles the sale of small businesses up to $2 million in value.
The VR Mergers and Acquisitions division serves a diverse client base, including individuals, corporations and institutions seeking assistance in the acquisition, divestiture or valuation of mid-market companies up to $200 million in size. Financing available.
Call today to learn more about owning a VR franchise at 1-800-377-8722!