How can I raise additional funds to acquire a business for sale?
I would like to acquire a business that is being sold for 3.9 million dollars. I don't have sufficient funds for a down payment or financing. How could I make this transaction happen given the following information? I have:
$660k in assets,
$1.2M in cash flow,
$200k in stocks,
Seller finance is 12.5% which equals $425k,
Buyer's down payment is 12.5% which equals $425k
Ian - It's difficult to get a lender comfortable providing acquisition financing without any "skin" in the game. If I am reading your question correctly, the list of assets, stocks, and cash flow are for you personally or the business you're looking to acquire? If these are your assets and cash flow then there might be a way for you to get creative. Do you have experience owning or operating a company that's in a similar business? I'd be happy to provide any information or help that I can.
Have you considered getting a bank loan, or a partner? Check with the Small Business Administration too. They give out loans. Here' their website: https://www.sba.gov/funding-programs
Please do your due diligence. Check for lawsuits, liens, liabilities, financial statements, and tax filings. Make sure everything is in order before you pull the trigger.