Business acquisition financing solutions
Every acquisition has a different mix of cash flow, buyer liquidity, seller flexibility and lender constraints. We start with the deal and then determine the financing route — not the other way around. That may mean conventional bank financing, SBA financing, private credit, seller financing, outside equity or several sources working together.
Our job is not to force a deal into a particular loan product. Our job is to determine how the deal should be financed.
01
Conventional financing
Conventional bank financing can work well when the business has clean, supportable cash flow and the buyer has sufficient equity and liquidity.
We review the deal first, then take it to banks and other senior lenders whose current appetite fits the business, the buyer and the structure.
Discuss conventional financingTends to suit
- The business has stable, documented cash flow over several years.
- The buyer has strong personal credit and verifiable liquidity.
- The seller will carry part of the price, or the buyer brings meaningful equity.
Where it stops
- Earnings depend on one customer, or on add-backs a lender will not accept.
- The structure needs more leverage than the lender’s advance rate allows.
- The buyer has no liquidity beyond the equity contribution.
02
SBA financing
SBA-backed financing can be attractive when the buyer, business and deal structure meet current program requirements.
We check eligibility early, structure the deal to fit the program and take qualified deals to experienced SBA lenders.
Discuss SBA financingTends to suit
- The business meets SBA size and eligibility rules.
- Every owner is a US citizen or US national residing in the United States, which the program has required since March 1, 2026.
- The buyer accepts a longer underwriting process in exchange for a lower equity requirement.
Where it stops
- The seller will not accept an SBA-contingent offer.
- Any owner is a lawful permanent resident or other non-citizen. Since March 1, 2026 the program requires every owner to be a US citizen or US national, and partial ownership is enough to disqualify.
- The structure includes terms the program does not permit.
03
Private credit
Private credit can make sense when an acquisition is larger, more complex or does not fit conventional bank underwriting.
We work with private credit funds and other institutional lenders across a range of deal sizes and industries.
Discuss private creditTends to suit
- The business is of a scale and quality that institutional lenders underwrite.
- The buyer or sponsor has operated or acquired businesses of comparable size.
- The structure needs flexibility, or speed, that a bank cannot offer.
Where it stops
- The business is too small for institutional capital to underwrite economically.
- The buyer is acquiring a first business with no operating history.
- The lowest available rate matters more than structural flexibility.
04
Structured capital
Some acquisitions need more than one source of capital.
We can combine senior debt with seller financing, subordinated debt, private credit and/or outside equity when one source alone cannot bridge the gap.
Discuss your capital structureTends to suit
- The senior lender will not cover the full gap between price and equity.
- The seller is willing to carry a note, or to roll part of the equity.
- Outside equity or subordinated debt is available, or can be raised.
Where it stops
- The business cannot service the combined debt, whatever its layers.
- The parties will not accept the intercreditor terms a layered structure requires.
The bars are illustrative. Equity, leverage and structure vary by lender and by deal; the proportions show how each route can divide a purchase, not what any lender has offered.
Funding the equity
Buyer liquidity before an LOI
Some buyers have the net worth or credit capacity to support an acquisition but do not have the entire equity requirement sitting in cash.
Where appropriate, we can explore liquidity options before an LOI so the buyer understands what capital may be available and can present stronger proof of funds.
Any additional borrowing still has to work within the acquisition lender’s underwriting.
Tends to suit
- The buyer is still searching and wants to show proof of funds.
- Equity, not senior debt, is the binding constraint.
- The buyer has assets or credit capacity that are not yet liquid.
Where it stops
- The buyer already holds the full equity contribution in cash.
- The buyer intends to service the facilities from the acquired business on day one.
- The additional personal debt would fail the senior lender’s own credit test.
Additional financing capabilities
Financing beyond the acquisition
Acquisition financing is our core focus, but the same relationships can support other business financing needs before, during or after a transaction.
Working capital
Financing for operating liquidity, growth, seasonal needs and other business requirements.
Commercial real estate
Financing for owner-occupied or deal-related commercial real estate.
Equipment financing
Financing for equipment purchases, replacement or expansion.
Refinancing and recapitalization
Financing to refinance existing debt, restructure obligations or recapitalize the business.
Test a structure on your own figures
This page describes the solutions. These calculators price one of them on the numbers in front of you.
- Capital stackHow does the whole purchase get funded?
- DSCRCan the target’s cash flow cover the debt?
- SBA eligibilityDoes this deal fit the SBA program, or does it need another route?
The detail behind each solution
How the sources in a capital stack interact, what the SBA route asks, and the alternatives when it does not fit.
- How Business Acquisition Capital Stacks WorkCompare senior debt, seller financing, buyer equity, and investor capital to understand how an acquisition funding structure comes together.
- SBA Business Acquisition Financing: A Buyer's GuideUnderstand SBA acquisition financing, buyer cash, seller notes, debt coverage, and diligence before choosing a structure for your business purchase.
- How to Finance a Business Acquisition Without SBAExplore conventional debt, private credit, seller financing, and investor capital when an SBA structure does not fit your business acquisition.
Have a deal in front of you?
Whether you have a signed LOI, are preparing an offer or are still evaluating the opportunity, send us the basic numbers and where you are in the process. We’ll look at the business, buyer and proposed structure and determine what the financing path may look like.