Acquisition

Business Acquisition Loans

Please note that our minimum loan requirement is $250,000

SBA loan funds can be used to purchase the assets of an existing business. Note, that this covers only the "hard" assets of the business you plan to buy, not goodwill for example.

The SBA guidelines concerning such transactions are as follows:

	Owner cash injection must be between 30-50% of the business purchase price.
	SBA funds cannot finance the purchase of an intangible asset, such as goodwill -- this is normally covered by owner cash injection.
	The business to be acquired must be profitable and have sufficient historical cash flow to support the new debt. That means that were we to take last year's net profit and add back in depreciation and interest and deduct all going forward loan payments including the new SBA loan, there must be a positive cash flow.
	The buyer must have experience in the line of business being acquired. Franchises are excluded from this requirement since the new owner will be trained by the franchiser.
	If the business is a retail operation the SBA requires that the term of the lease for the business to be acquired is equal to or longer than the term of the loan.

SBA terms for a business purchase loan are up to 10 years.

Key Benefits

	Fully Amortized Term
	No Prepayment Penalties
	No Balloon Payments

Application Form

Please fill out the following Application Form and submit to us. We will determine loan feasibility within 24 hours. If it looks good we will submit the request to our lenders and let you know within a week.

We suggest that you print this form prior to filling it out so that you can collect necessary information before you begin. We know this form is detailed, but this is the information necessary to determine your loan qualification, so please stick with it.

Important Note:

We share information submitted to us only with banks we represent and only in accordance with strict internal security standards, confidentiality polices and applicable laws. We do not share client information with other companies except in order to conduct our business, comply with applicable law, and to protect against fraud. For privacy and security reasons, we do not keep any information you submit to us tied to the Web. All such information is stored in our corporate computer files which are off line and only accessible to SBA e-loans personnel.

Note that you can <tab> from field to field.

Business Data

Applicant Name:
Applicant Business Name:

Type of Business to be Acquired:
Is it a Franchise?	Yes No
Name of Franchise

How long has this business been in existence?

years

How may employees does the business have?

employees

Do you have experience in this line of business?

Yes No

Please provide details:

How is the business to be acquired organized?

Loan Request

Business Purchase Price
Property Costs
Working Capital
(less) Your Cash Injection
(less) Other Financing
Total Loan Amount Requested

Real Estate Information (Fill out only if acquisition includes Property Costs) (Fill out only if acquisition includes Property Costs)

Property Size and Business Use (indicate total square footage after any addition):

Please indicate property size in sq.ft.
Please indicate business use in sq.ft.

Purchase of Existing Property Details

Property Purchase Price
Any Improvement Costs
Any Addition Costs

Construction of New Property Details

Land Cost
Construction Cost

Collateral

Do you have collateral to offer?

Yes No

Please provide details:

Can you offer Real Estate collateral?

Yes No

Please provide details, including any equity:

Lease Information

Term of any Business Facility Lease	years
Years Remaining on such Facility Lease	years

Acquisition Financials

Provide the following from Seller's last available Tax Return. If any amount is nil, please enter 0 (zero):

Sales

Officer/Partner Salaries (if Corporation or Partnership)
Interest Payments
Depreciation/Amortization
Net Profit

If you purchase property as part of this project that will replace all or part of a facility where you currently pay rent, please indicate the annual rent you will save:

Are there any expenses listed on Seller's Corporate/Partnership Tax Return which will not be going forward? If so, what is the total annual amount of such expenses:

Please provide details on any such expenses:

What are the terms of any Seller Carry or Other Additional Financing?

*Lender*	*Loan Amount*	*Interest (e.g. 9.50)*	*Term (in months)*

Primary Use

Primary Use

Primary Use

Principal Owner Personal and Financial Data

Who will be the principal owner of the new business, and at what ownership percentage?

Name:

Financials

Personal Assets	Value/Balance
Cash (checking, savings, escrow) before any cash injection into current project
IRA & Other Retirement Accounts
Notes Receivable
Life Insurance (cash surrender value only)
Stocks and Bonds
Autos

Personal Real Estate

IImportant Note: We use the annual payments/expenses you enter below to calculate how much you need to draw from the business, so take care to ensure that these figures are accurate. They must be verified before final loan approval. Enter as Annual amounts.

Item	Property 1	Property 2	Property 3	Property 4
Type of Property
Street Address
Property Value
Current Loan Balance
Annual Loan Payments
Loan Status
Annual Property Tax
Annual Property Insurance
Any Other Annual Expenses

Important Note: We use the annual payments you enter below to calculate how much you need to draw from the business, so take care to ensure that these figures are accurate. They must be verified before final loan approval. Enter as Annual amounts. If your are married, please enter combined household payments/expenses.

Personal Liabilities	Current Balance	Annual Payments
Accounts Payable
Non-Real Estate Notes/Loans Payable*