Hello Kyle. I am looking to buy a pool cleaning business that my friend has in Orlando, she is going to move out from US to Europe and wants to sell. My question is: I am Spanish and I am creating a LLC in US but can I apply for a SBA Loan being foreigner and I won’t move to US only will be owner and traveling about 5 times a year to US. Her business is profitable and she is asking around $300k, I understand made $10k ebitda a month but we have to sit down and see everything in detail. Important to know if I can apply and % of my own money that should I put because I am looking to be close to 100% loan Thanks in advance for taking the time to respond Best Regards
Great question! I do not think you will be eligible for an SBA loan, especially since you will not reside in the United States. The best option might be for you to pay a substantial down payment to the seller and then just pay them the rest of the purchase price over time. This is called a seller note, where the seller basically provides the loan and you pay them over time for the purchase price.
Hey Kyle, The company I work for (35 years old) wants to gift me 10% ownership of the company in exchange for leveraging my home/personal finances (450-500K) the loan is for 1+ million (buying a competitor)... I feel like the SBA lender is pushing me to contribute and treating me like a 20% owner. I've contacted my lawyer to look over documents/answer any questions before signing paperwork. Any feedback would be greatly appreciated.
Hey there! Great question and really interesting. It sure sounds like you are personally guaranteeing the loan if you are putting up your house. I would absolutely ask for 20% ownership if that is going to be the case. Or if they won't go for that, then maybe the new business that you are buying should be put into a new entity and you should be a larger % owner in that new company so that you have some more upside for the amount of personal risk that it sounds like they are asking you to take.
Great video! Thanks for all the valuable information!
Glad it was helpful!
Hello Kyle. I am looking to buy a pool cleaning business that my friend has in Orlando, she is going to move out from US to Europe and wants to sell. My question is:
I am Spanish and I am creating a LLC in US but can I apply for a SBA Loan being foreigner and I won’t move to US only will be owner and traveling about 5 times a year to US.
Her business is profitable and she is asking around $300k, I understand made $10k ebitda a month but we have to sit down and see everything in detail.
Important to know if I can apply and % of my own money that should I put because I am looking to be close to 100% loan
Thanks in advance for taking the time to respond
Best Regards
Great question! I do not think you will be eligible for an SBA loan, especially since you will not reside in the United States. The best option might be for you to pay a substantial down payment to the seller and then just pay them the rest of the purchase price over time. This is called a seller note, where the seller basically provides the loan and you pay them over time for the purchase price.
Lol list the 15...great listen.
Please help me 😢
We are happy to try to help. We offer a free SBA review if you would like to fill out the form here - www.projectionhub.com/free-sba-review
Hey Kyle,
The company I work for (35 years old) wants to gift me 10% ownership of the company in exchange for leveraging my home/personal finances (450-500K) the loan is for 1+ million (buying a competitor)...
I feel like the SBA lender is pushing me to contribute and treating me like a 20% owner.
I've contacted my lawyer to look over documents/answer any questions before signing paperwork.
Any feedback would be greatly appreciated.
Hey there! Great question and really interesting. It sure sounds like you are personally guaranteeing the loan if you are putting up your house. I would absolutely ask for 20% ownership if that is going to be the case.
Or if they won't go for that, then maybe the new business that you are buying should be put into a new entity and you should be a larger % owner in that new company so that you have some more upside for the amount of personal risk that it sounds like they are asking you to take.