The primary function of the proprietary CBI Loans4Biz program (https://cbiteam.com/l4b/) is to help buyers finance acquisitions. However, sellers of the businesses being acquired also benefit when buyers decide to use the program.
If a buyer decides to go only to one lender they hope to use to obtain a loan needed for an acquisition, they may be disappointed to learn that lender is not really interested in their deal or doesn’t like the business or that the lender’s bank avoids “that” industry or type of business. This negatively affects the buyer’s motivation to move forward with the transaction.
Kelly Tivis, CBI Loans4Biz Program Administrator, works with multiple lenders while searching for the best financing option for a particular buyer on a specific deal. The chances of finding a lender who likes the deal and the business as well as “that” industry or type of business are greatly increased when multiple lenders are given an opportunity to review a deal and submit a loan proposal. Both the buyer and the seller benefit from finding a lender that is a good match for their deal and keeping the deal on track for a future closing.
Working with over 85 lenders possessing years of experience working on a variety of deals results in different perspectives and restructuring options being presented. Although things like favorable terms or the inclusion of working capital may benefit the buyer without affecting the seller, a re-structuring of the deal often benefits both parties. A change in the structure of the deal proposed by a savvy lender may even result in the seller ending up with more cash at closing due to seller financing being reduced or eliminated altogether.
Some lenders know how to navigate the SBA process better and faster than other lenders in areas where they have more experience. Getting financing in place and getting everyone to the closing table faster is a tremendous benefit for the seller as well as the buyer.
Keep all of these benefits for buyer and seller in mind when considering the Loans4Biz program and remember that…
Loans4Biz saves participants time and money by offering/providing:
– Assistance with gathering and completion of documents required by most lenders
– Initial communication with all lenders is managed by the Loans4Biz program manager
– Much better chance of finding a lender who is interested in providing a loan
– A number of financing options presented for consideration
– Thousands of dollars of interest saved over the full term of the loan
Although the Loans4Biz program was created to assist buyers of businesses listed by CBI, the benefits of using the Loans4Biz program are available to anyone who needs assistance with financing… whether or not you are buying a business listed by CBI. To learn more about the Loans4Biz program, contact Kelly Tivis @ 479-770-8989 or kelly.tivis@cbiteam.com
