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SBA Business Loans - 7a Loan Basic
Lender Requirements for Business Acquisition In Arizona: |
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Below is a general list of
some of the major basic requirements and preliminary
information (documents) business buyers (or borrowers)
will need to provide when initially applying for an
SBA loan for a business acquisition in Arizona. This list is
designed to provide the basics only, please check or ask
the lender of your choice in Arizona (or beyond) for a
definitive list of requirements and items that are necessary
to complete a 7a SBA loan application. |
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Target Business Financial
Statements: Most SBA lenders will initially (3
years fed tax returns will also be required at some point)
will require you to provide (at a minimum) the last 3 years
financial statements (Profit & loss with balance sheets) of
the target acquisition business, as well as current or
interim statement. They will initially be reviewing
these statements to see if there is adequate cash flow to
cover the debt service of the requested loan, and for the borrower
to make a decent living after paying the debt service. |
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Personal Financial Statements
& Collateral:
Borrowers initially should be prepared to provide a detailed
personal financial statement listing assets and liabilities,
as well as evidence of the the collateral you will use to
secure the loan. Keep in mind that many SBA lenders will
also require a down payment or injection from the borrower
of approximately 10 to 20%. |
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Personal Resume or Work
History: Most lenders will ask to review a resume from
the borrower in order to ensure they are of good character,
and have adequate business experience. They will also look
to see if your management or business experience is related
(which is very favorable if it is) to that of the target
acquisition business.
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Detailed Business Profile:
Be prepared to provide a detailed profile of the the target
business that includes information such as the type of
business, organization, markets served, background or
history, number of employees, clients and customers, and
more. |
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Questions & Referrals: Please feel free to
contact us if you have any
general questions regarding SBA loans and financing, or
would like to be referred to a qualified SBA lender here in
Arizona that can potentially be a good source to secure SBA
financing for a business acquisition or start up in AZ. |
