Acquisitions Anonymous - #1 for business buying, selling and operating cover image

Can we make an SBA loan pencil on a 5% margin business? - Acquisitions Anonymous 195

Acquisitions Anonymous - #1 for business buying, selling and operating

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How Much Can This Decrease Before I Can't Pay My Debt?

Sally Kohn: I'm looking at the structure. They're suggesting a bank loan of a million 650. That's going to be an SBA loan with a 10 year term. Of course, they're using the old rate of 6%. You're going to be paying over 10% now. If I were to buy it at all, I would be really worried about buying this company just based on the fact that it does seem to be equipment sales and that is really going to be probably inconsistent revenue here over here.

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