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Assessing Risk and Financeability of a Deal
This chapter discusses the process of determining whether a client's transaction can be financed and the templates used to assess risk. The speakers also explore the riskiness of small businesses, the importance of debt service coverage ratio (DSCR), and the different types of SBA loans. They share their belief that business acquisitions, if done right, are not that risky and discuss the impact of defaulting on an SBA loan.