I’m going through this process now. Company price $890k, 3x multiple. SBA lenders are looking for more personal liquidity than you mention, even if the seller is willing to do a 10% note. They are wanting me to have 10% post close liquidity on hand AFTER being able to cover 10% down. So essentially 20%. I’m sure it’s temporary based on the current climate, but this is what I’ve seen from multiple SBA lenders so far.
I’m going through this process now. Company price $890k, 3x multiple. SBA lenders are looking for more personal liquidity than you mention, even if the seller is willing to do a 10% note. They are wanting me to have 10% post close liquidity on hand AFTER being able to cover 10% down. So essentially 20%. I’m sure it’s temporary based on the current climate, but this is what I’ve seen from multiple SBA lenders so far.