California small business funding
Business Acquisition Loans
Financing from $100K to $5M to buy an existing business. SBA 7(a), conventional, and seller-note structures. First-time buyers and experienced operators welcome.
Free consultation. No obligation. A direct answer on every deal.
Run your numbers
SBA loan calculator for buying a business.
Enter the asking price, your down payment, and any seller financing to estimate the monthly payment on a standard SBA 7(a) acquisition loan, including the SBA guarantee fee.
Total monthly payment
$9,282
$7,761 bank + $1,521 seller
Amount financed (bank)
$575,156
Seller carries
$75,000
Est. SBA guarantee fee
$12,656
Total interest
$372,392
Estimate only, using standard SBA 7(a) assumptions: 75% SBA guarantee and the published guarantee fee schedule, with the fee rolled into the bank loan. Seller financing is the seller carrying part of the purchase price at the rate and term you set — in many SBA deals the seller note must stand by (no payments) for 24 months to count toward the buyer's equity injection. Rates shown reflect typical SBA 7(a) pricing (Prime plus a margin, capped by the SBA). SBA fees are set by the SBA and can change. This isn't a loan offer — your actual rate and fees depend on the lender, your credit, and the deal.
How deals get funded
Structures for every kind of acquisition.
SBA 7(a) Acquisition Loans
Up to $5M, terms to 10 years, as little as 10% down. The gold standard for buying a profitable small business.
Conventional Acquisition Financing
Bank and non-bank term loans for larger or faster deals, structured around the target's cash flow.
Seller Note Structures
Combine a senior loan with seller financing on standby to reduce your cash injection and close the gap on price.
Partner Buyouts
Finance the purchase of a partner's or co-owner's stake so you keep full control of the business.
Franchise Purchases
Buy an existing franchise location or territory, including transfer fees and initial working capital.
Acquisition + Working Capital
Fold operating capital into the deal so you take over with cash in the bank, not just the keys.
What lenders look for
Business acquisition loan requirements.
- A profitable target. The business should show 2–3 years of consistent revenue and cash flow on tax returns — the business's own performance drives the approval.
- Cash flow coverage. Lenders want the business's earnings to cover the new loan payment by roughly 1.25x or better after you pay yourself a salary.
- 10–30% down. Your cash injection, sometimes reduced by a seller note on standby.
- Relevant experience. Management or industry background strengthens the file — though strong targets with key staff staying can offset thin experience.
- Credit around 650+. Stronger credit unlocks SBA terms; lower scores shift the structure toward larger down payments.
- Clean deal documents. Purchase agreement, 3 years of the seller's financials, and lease terms. We help you collect what the lender needs.
How it works
From offer to ownership in 30–60 days.
- 1
Tell us about the deal
Purchase price, the business's revenue and cash flow, and your background. 5-minute application.
- 2
We structure the financing
An advisor reviews the deal and shops it across SBA and conventional acquisition lenders.
- 3
Due diligence & approval
Lender reviews the target's tax returns, P&L, and lease. We help you gather what they need.
- 4
Close & take over
Funds are wired at closing, typically 30–60 days from application, and the business is yours.
Related funding options
SBA Loans
The most common way to finance a business purchase.
Learn moreSBA Prequalification
See if your deal fits SBA 7(a) before you make an offer.
Learn moreCommercial Real Estate
Buying a business that includes its building? Finance both together.
Learn moreWorking Capital
Operating cash for your first months of ownership.
Learn moreEquipment Financing
Finance the equipment that comes with the deal.
Learn moreDiscuss an Opportunity
Tell us about the business you're buying. 5-minute application.
Learn moreBusiness acquisition loan FAQ
How much can I borrow to buy a business?
Acquisition loans typically range from $100,000 to $5 million. The loan size depends on the target business's cash flow, its sale price, and your down payment. Most lenders size the loan so the business's earnings comfortably cover the debt payments.
How much down payment do I need to buy a business?
Expect 10–20% down for SBA 7(a) acquisition loans and 20–30% for conventional deals. A seller note (where the seller finances part of the price) can reduce the cash you need out of pocket.
Can I get a loan to buy a business with no experience in that industry?
It helps to have related management or industry experience, but it's not always required. Lenders look harder at the business's own track record, the strength of its cash flow, and whether key staff or the seller will stay on through the transition.
What is an SBA 7(a) acquisition loan?
The SBA 7(a) program is the most common way to finance a business purchase. It offers up to $5 million, terms up to 10 years for acquisitions (25 with real estate), and down payments as low as 10%. The tradeoff is more paperwork and a longer timeline — typically 45–60 days.
Can the seller's financing count toward my down payment?
Often yes. Many acquisition structures combine a senior loan, a seller note on standby, and your cash injection. A seller note of 5–10% of the price signals the seller's confidence in the business and can satisfy part of the equity requirement.
How long does it take to fund a business acquisition loan?
Conventional and SBA acquisition loans typically fund in 30–60 days from a complete application. Deals with real estate, multiple owners, or franchise transfers can take longer. Starting with clean financials from the seller is the single biggest factor in speed.
Found a business worth buying?
Bring us the deal. A California advisor will tell you directly whether it can be financed — and how.
Start My Application →