Can I get an
SBA Loan
to buy a
business
or grow a
small business?
Are you looking at an SBA loan or SBA financing for a small business?
SBA financing is one of the best financing options out there for a variety of reasons.
Some of these reasons include:
- Buying a business
- Purchasing commercial real estate
- Partnership buyouts and buy-ins
- Refinancing business debt
- Equipment financing
- Financing a franchise
If you are looking at doing any of the above options, an SBA loan may be the perfect fit for your business needs!
There are many advantages and benefits of SBA loans for small businesses. They include competitive rates, term lengths, and low-down payments. SBA financing makes it easy for individuals like you to get the best terms possible for financing a business. The best part, Peak Business Valuation is here to help you! Our SBA lender matching process can help ensure you get the best SBA financing out there.
Purchasing a business or real estate?
If the answer is yes, then you might be using debt to acquire the business
or commercial real estate.
The most popular loan programs out there are the Small Business Administration (SBA) programs, primarily the SBA 7(a) Loan program and the SBA 504 Loan program.
Peak Business Valuation currently works with nearly 100 SBA lenders across the country. We provide third-party SBA business valuation and SBA equipment appraisal services. As such, we have built strong relationships with all of these SBA lenders.
As a result of these SBA partnerships, we have been able to help hundreds of individuals looking to acquire a business, buy out a partner, or purchase commercial real estate through an SBA loan. We would love to help you!
Proven Success through our SBA Lender matching process
Our large and ever-expanding network of SBA lenders is open to you. More importantly, when we speak with you over the phone, we will make sure that you are personally introduced to SBA lenders that fit your individual needs.
When it comes to the SBA 7(a) Loan Program, we ask you the following questions:
- Why do you need the funding?
- What industry does the business operate in?
- What is the current cash flow of the business?
- What collateral is available in the business?
- If you know your credit score, what is your credit score?
We ask several questions beyond this, but these are the primary questions we address to better understand your SBA financing needs. Once we understand your financing needs, we make personal introductions to SBA lenders who will best be able to assist you along your loan journey. If you would like to have a call with us, schedule an appointment by clicking on the link below.
When it comes to the SBA 504 Loan Program,
we ask you the following questions:
Will the funds be used to purchase real estate for a start-up or for an existing business?
If the funds will be used for an existing business:
- What industry does the business operate in?
- What is the current cash flow of the business?
If you know your credit score, what is your credit score?
Again, we ask several questions to understand your individual situation and financing needs. A personal introduction is then made to an SBA lender or SBA lenders once we have a better feel for your need and who would be best to help you secure SBA financing!
What documents do I need to collect for an SBA Loan?
As you begin to talk with an SBA lender, you will need to start gathering the following information:
- Business Plan
- This is a document that you will need to create. If you need a template, you can use the following template: Click Here
- Personal Income Tax Returns
- Personal Financial Statement, known as Form 413: Click Here
- You will need to document savings accounts, retirement accounts, investments in stock or bonds, salaries, etc.
- Form 1919:
- This is the most difficult document to fill out. Depending on the SBA lender you work with, the SBA lender or SBA bank will have a video and easy-to-use form fill out to help you with this document
- Legal Documents
- Third-party contracts, if applicable
- Franchise agreements, if applicable
- Commercial lease agreements, if applicable
- Judgments or bankruptcies for the business and you, if applicable
- Lawsuit documentation, if applicable
- Articles of Incorporation or Operating Agreement for your new entity
- Business license and registration for your new entity
- SBA Form 912: Click Here
- This is required to document your personal history, primarily criminal history
Get Assistance with SBA Financing
At Peak Business Valuation, we help hundreds of individuals a year get SBA funding.
We have been a part of the SBA loan process for years and we are here to help
address your questions and match you with the right SBA lender!
If you are interested in learning more about
SBA Loans and SBA financing, refer to the following featured articles:
• 4 Steps to Obtaining an SBA Loan
• Using an SBA Loan to Buy a Business
• Choosing an SBA Lender
• Finding an SBA Lender
• Ask These 8 Questions Before Obtaining an SBA Loan
• Business Valuations for SBA Loans
• Advantages of SBA Loans
• Denied for an SBA Loan
Frequently Asked Questions
Can I get an SBA loan to buy a business?
Yes. SBA loans can be used to finance the purchase of an existing business, subject to SBA and lender requirements.
How much can I borrow with an SBA loan to buy a business?
The amount depends on the purchase price, business cash flow, borrower qualifications, and lender requirements.
What are the SBA loan requirements for buying a business?
Requirements typically include adequate credit, business experience, available equity, and sufficient business cash flow to support loan repayment.
How much down payment do I need to buy a business with an SBA loan?
The required down payment varies by transaction and lender. Your SBA lender can determine the required equity contribution for your purchase.
Can I use an SBA loan to buy an existing business?
Yes. SBA loans can finance eligible acquisitions of existing businesses, including many transactions through the SBA 7(a) program.
What documents do I need for an SBA loan to buy a business?
Common documents include tax returns, financial statements, a personal financial statement, purchase agreement, and business plan. Additional documents may be required by the lender.
Does an SBA loan require a business valuation?
An independent SBA business valuation is required for certain business acquisitions. Your lender can determine whether a valuation is required for your transaction.
Can I use an SBA loan to buy a business with no money down?
Most SBA business acquisitions require the buyer to contribute some equity. The amount depends on the transaction and lender requirements.
What credit score do I need for an SBA loan?
There is no single SBA-required credit score. Lenders consider your credit history, financial position, experience, and ability to repay the loan.
Securing SBA Financing
Peak Business Valuation is here to help you secure SBA financing for all your small business needs.
We would love to connect you with an SBA lender who best fits your individual needs! Our dozens of connections to SBA lenders across the country make us the perfect resource. Schedule a free consultation today to get started with SBA financing. We are happy to answer any questions you have about obtaining an SBA loan and SBA financing.
