• Small business acquisition space is currently active, but many deals lack sufficient cash flow for traditional financing.
• - To address this, sellers are increasingly open to carrying a second seller financing component on full standby for up to two years.
• - This seller carryback helps remove a substantial portion of the loan amount from the debt service ratio (DSR) calculation, making deals more feasible.
• - Buyers are willing to pay a premium for such deals because they see the potential beyond the DSR metrics.
• - Interest rates on these loans, often not fixed, can be high (up to 11%), further driving the need for seller carryback financing, making it an attractive time for buyers using SBA financing with limited equity injection.

If you'd like to meet with Beau to talk financing, book a call here ( http://bookwithbeau.com/ )