Acquisition Financing Tip: How Long Is The Loan

Todays Acquisition Financing Tip: How Long Is The Loan - The time to repay a business loan (or term) varies between 10 to 25 years. This will vary depending on if it is a SBA loan or a conventional loan. It also dependents on if there is real estate included in the business purchase.

Todays Featured SBA Loan Pre-Qualified Businesses For Sale:

1. Grand Rapids, Kent County, Michigan based sign company for sale - For nearly 50 years this family owned business has been fabricating and installing signs for thousands of west Michigan businesses and commercial customers. In fact, the list of active customers reads like a who’s who in west Michigan business. The company’s reputation for quality work and on time completion has helped account for its longevity. Now, with aging operators, the seller has decided it’s the time to offer this excellent business for sale.

The business operates out of a modern 3500 square foot facility ideally located off a major interstate highway exit. High visibility for customers and convenient for traveling to job sites. With rent at a low 8% of revenues, the real estate is owned by the founder and is offered for sale separately, for $395,000.

The company has averaged $360,000 in revenues the past few years with a $100,000 cash flow accruing to the seller. In addition to the strong and consistent cash flow, the business comes with an impressive list of assets including a crane truck with 64 reach, a ladder truck, a 64” wide format solvent inkjet color printer, and computers with an order management system with software specific to the printing industry to name a few.

The success of the company has resulted without any sales effort, no website, and in general a very low profile. A great reputation and solid "word of mouth" has always generated enough business to keep the owners satisfied. This could translate into meaningful growth opportunity with a planned sales and marketing effort by the new owner.

This asset intensive business is offered for sale for $345,000 which is .95 times sales and only 3.45 times cash flow. In addition, the seller will offer comprehensive training to the buyer as part of the sales price. Deal Structure: Price: $345,000, Adjusted Net: $100,000. For details go to: http://www.usabizmart.com/businesses/119621.php

2.  Colorado based HVAC company for sale - Seller will carry for this profitable, well established commercial air conditioning and heating company that also offers sheet metal work. Excellent reputation for quality work and dependability for 25+ years. Averaging $3m+ in annual sales with good cash flow, equipment, facility and growing local economy. 2007 is on pace for $4m in revenue and $400k in cash flow. Staff is well trained and loyal with several 20+ year employees. Also offers metal roofing, copper, and gutter services. Deal Structure: Price: $495,000, Adjusted Net: $338,000. For details go to: http://www.usabizmart.com/businesses/119510.php

* Note: These businesses have been business pre-qualified only - buyers of these businesses will also have to be pre-qualified - before SBA loan business purchase financing may be obtained. Approximately 32 different factors (buyer/seller info) are evaluated in the SBA loan process for business purchase loan financing.