Waiting For Feedback On Offer, SBA Loan Process Times, SBA Loan Documentation

Today's Update From Mark / Business Buyer-SBA Loan Client

Currently interested in purchasing an auto shop and towing company. The asking price is a little over $1M. The adjusted net is approximately $600K. I have submitted a full price offer and am awaiting their response. The shop is an absentee owner operation with 2 managers in place for the shop and the towing operation. However, I will be involved part time and keeping my current job (which is very flexible with hours etc.). Should hear from the business broker if my full price offer will be accepted either today or tomorrow.

Questions From Mark:

How long does the average SBA loan take to process?
What documentation do I need to provide to get the loan?

My Response To Mark's Situation / Question(s):

Make sure you keep on top of this offer & let the business broker know that you have been fully pre-qualified for SBA financing with several of my lenders for this particular type and size of business. You should expect the SBA loan process for this type of business with your background/financial status to take 28-35 days as long as we have the cooperation of the broker and owner of the business. You will need to complete approximately 14 forms about you and the business you are purchasing. You will also need to have: 3 years tax returns from the business, 3 years personal tax returns, a copy of the current lease from the business, and any current A/R, A/P reports.

Current Situation/Information on Mark / Business Buyer-SBA Loan Client:

Currently interested in purchasing an auto shop and towing company. The asking price is a little over $1M. The adjusted net is approximately $600K. I have submitted a full price offer and am awaiting their response. The shop is an absentee owner operation with 2 managers in place for the shop and the towing operation. However, I will be involved part time and keeping my current job (which is very flexible with hours etc.).

Mark's Background/Information: Manager of operations in a medium sized company. Good general management skills. Flexible work hours & works approximately 20 Hrs per week. Current salary at his current job is $110K. Down payment available: $500K from savings. Credit Score: 775. Spouse Works: $65K Year. Equity In Real Estate: Approximately $450K, Annual Living Expenses: Approximately $50K.•Technorati  •del.icio.us  •Digg It  •Furl  •ma.gnolia  •Spurl  •Yahoo MyWeb