John Franklin (https://twitter.com/JohnIsBuilding) & Mateo Lopez talk to Angelo Medici, a senior VP at Live Oak Bank (https://www.liveoakbank.com/), where he reveals exactly how gym owners can use the bank to build their wealth really fast.

Show notes:

(1:39) What is Life Oak Bank and SBA lending?

(6:12) What makes a gym bankable? (aka, good target to get a loan)

(9:09) What is the debt service coverage ratio?

(11:48) How can gym owners value their business?

(13:33) Example of a deal structure as a buyer with SBA

(15:51) Benefits of SBA lending

(17:47) How can gym owners qualify for an SBA loan?

(18:47) What do payments & rates look like for a $1M loan?

(23:17) How do interest rates affect a business's value?

(25:53) Can you borrow from other lenders to put equity into an SBA?

(28:17) What does the SBA timeline & process look like?

(33:41) Can you have multiple SBA loans?

(37:35) If you're not profitable, can you still qualify for a loan?

(39:06) How do banks calculate a gym's EBITDA number?

(42:31) The BEST use of an SBA loan

(46:27) If I profit more, am I obligated to pay off the loan faster?

(48:15) What is a line of credit and how does it work?

(52:49) Where should gym owners look for a broker?

(55:10) I have no experience in business, can I still qualify for a loan?