Business purchase including real estate

Emmett H.
Emmett H.
  • 3 years ago

What would be the best option for financing the purchase of an existing business when real estate is included in the price? Are there different types of loans programs for this or would you have to do separate financing for the two?

You may do better to financing the real property separately.

You should check out the SBA loan program, I think they will finance real estate and equipment at the same time. The advantage is that equipment is usually amortized at the real estate term, lowering your payment.

The thing about separating the two is that you are going to have an extremely difficult time trying to finance the business without the real property to secure it.

just walk into a community bank and ask about their sba programs. they make a ton of money from these loans so you will be greeted with open arms.